HomeMy WebLinkAbout2022/02/15 Post-Meeting Agenda Package
REGULAR MEETING OF THE CITY COUNCIL
**POST AGENDA**
Date:February 15, 2022, 5:00 p.m.
Location:Council Chambers, 276 Fourth Avenue, Chula Vista, CA
View the Meeting Live in English & Spanish: chulavistaca.gov/councilmeetings
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Welcome to your City Council Meeting
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by dialing 711) at least forty-eight hours in advance of the meeting.
SPEAKER TIME LIMITS: The time allotted for speakers may be adjusted by the Mayor.
- Five minutes* for specific items listed on the agenda
- Three minutes* for items NOT on the agenda (called to speak during Public Comments)
- A group of individuals may select a spokesperson to speak on their behalf on an agenda item, waiving
their option to speak individually on the same item. Generally, five minutes are allotted per person, up to
a limit of 30 minutes, although the limits may be adjusted. Members of the group must be present.
*Individuals who use a translator will be allotted twice the amount of time.
GETTING TO KNOW YOUR AGENDA
Agenda Sections:
CONSENT CALENDAR items are routine items that are not expected to prompt discussion. All items are
considered for approval at the same time with one vote. Councilmembers and staff may request items be
removed and members of the public may submit a speaker slip if they wish to comment on an item. Items
removed from the Consent Calendar are discussed after the vote on the remaining Consent Calendar items.
PUBLIC COMMENT provides the public with an opportunity to address the Council on any matter not listed on
the agenda that is within the jurisdiction of the Council. In compliance with the Brown Act, the Council cannot
take action on matters not listed on the agenda.
PUBLIC HEARINGS are held on matters specifically required by law. The Mayor opens the public hearing and
asks for presentations from staff and from the proponent or applicant involved (if applicable) in the matter
under discussion. Following questions from the Councilmembers, the Mayor opens the public hearing and
asks for public comments. The hearing is closed, and the City Council may discuss and take action.
ACTION ITEMS are items that are expected to cause discussion and/or action by the Council but do not
legally require a Public Hearing. Staff may make a presentation and Councilmembers may ask questions of
staff and the involved parties before the Mayor invites the public to provide input.
CLOSED SESSION may only be attended by members of the Council, support staff, and/or legal counsel. The
most common purpose of a Closed Session is to avoid revealing confidential information that may prejudice
the legal or negotiating position of the City or compromise the privacy interests of employees. Closed
sessions may be held only as specifically authorized by law.
Council Actions:
RESOLUTIONS are formal expressions of opinion or intention of the Council and are usually effective
immediately.
ORDINANCES are laws adopted by the Council. Ordinances usually amend, repeal or supplement the
Municipal Code; provide zoning specifications; or appropriate money for specific purposes. Most ordinances
require two hearings: an introductory hearing, generally followed by a second hearing at the next regular
meeting. Most ordinances go into effect 30 days after the final approval.
PROCLAMATIONS are issued by the City to honor significant achievements by community members,
highlight an event, promote awareness of community issues, and recognize City employees.
2022/02/15 City Council Post Agenda Page 2 of 406
Pages
1.CALL TO ORDER
2.ROLL CALL
3.PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE
4.CONSENT CALENDAR (Items 4.1 through 4.6)
All items listed under the Consent Calendar are considered and acted upon by one
motion. Anyone may request an item be removed for separate consideration.
RECOMMENDED ACTION:
Council approve the recommended action on the below consent calendar items.
4.1.Approval of Meeting Minutes 8
RECOMMENDED ACTION:
Approve the minutes dated: June 15, 2021
4.2.Waive Reading of Text of Resolutions and Ordinances
RECOMMENDED ACTION:
Approve a motion to read only the title and waive the reading of the text of all
resolutions and ordinances at this meeting.
4.3.Consideration of Request for Excused Absences 22
RECOMMENDED ACTION:
Consider requests for excused absences as appropriate.
4.4.Annual Report: Acceptance of Audited Annual Comprehensive Financial Report
(ACFR) for Fiscal Year Ended June 30, 2021 and Update on City Reserve Funds
23
Report Number: 22-0044
Location: No specific geographical location
Department: Finance
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution accepting the audited Annual Comprehensive Financial Report
(ACFR) for Fiscal Year ended June 30, 2021, and update on City reserve funds.
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4.5.Contract Extension: Approve Contract Extension with Axon Enterprise, Inc. for
Body Worn Camera Program
235
Report Number: 22-0067
Location: No specific geographic location
Department: Police
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution accepting an agreement extension with Axon Enterprise, Inc.
for the Body Worn Camera Program, and authorizing the City Manager to execute
the same.
4.6.Contract Award: Approve Contract with AEP-California LLC to Provide Vehicle
Outfitting Services for the Police Department
245
Report Number: 22-0068
Location: No specific geographic location
Department: Police
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution awarding an agreement with American Emergency Products
doing business as AEP-California LLC to provide vehicle outfitting services for the
Police Department, authorizing the City Manager to execute the same, and
authorizing the Director of Finance/Treasurer to approve up to four additional
one-year extensions.
5.PUBLIC COMMENTS
The public may address the Council on any matter within the jurisdiction of the Council
but not on the agenda.
6.PUBLIC HEARINGS
The following item(s) have been advertised as public hearing(s) as required by law.
2022/02/15 City Council Post Agenda Page 4 of 406
6.1.Annual Report: Federal Block Grant Programs Funding Priorities for Fiscal Year
2022/23
303
Report Number: 22-0066
Location: No specific geographic location
Department: Development Services Department
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines and Title 24 of
the Federal Code of Regulations; therefore, pursuant to State Guidelines Section
15060(c)(3) and Federal Guidelines Part 58.34(a)(2)&(3) no environmental review
is required. Notwithstanding the foregoing, the activity qualifies for an Exemption
pursuant to Section 15061(b)(3) of the California Environmental Quality Act State
Guidelines and Part 58.34 (a)(2)&(3) of the National Environmental Policy Act.
RECOMMENDED ACTION:
Conduct the public hearing and accept the report.
7.ACTION ITEMS
The following item(s) will be considered individually and are expected to elicit discussion
and deliberation.
7.1.Agreement and Appropriation: Approve an Agreement Between the City and
CBRE Group, Inc. For Real Estate Advisement, Marketing and Brokerage
Services and Appropriating Funds for that Purpose
317
Report Number: 22-0051
Location: University-Innovation District
Department: Economic Development
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution waiving the consultant selection process, approving a two-
party agreement (“Agreement”) between the City and CBRE Group, Inc. for real
estate advisement, marketing and brokerage services for the University-
Innovation District, appropriating funds for the advisement and marketing services
portions of the agreement in the amount of $653,500 and authorizing the City
Manager to execute Agreement, and the brokerage services implementing
exclusive listing agreement, all in final forms approved by the City Attorney. (4/5
Vote Required)
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7.2.Agreement and Appropriation: Approving a Legal Services Agreement with
Stradling, Yocca, Carlson & Rauth Regarding a Proposed University/Innovation
District Master Development Agreement with HomeFed Corporation, and
Appropriating Funds for that Purpose
352
Report Number: 22-0080
Location: University-Innovation District
Department: City Attorney
Environmental Notice: The activity is not a “Project” as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt the proposed resolution waiving the consultant selection process,
approving a legal services agreement between the City and Stradling, Yocca,
Carlson and Rauth for assistance with negotiations and documentation of a
Master Development Agreement with HomeFed Corporation and related
University-Innovation District matters, and appropriating funds therefor. (4/5 Vote
Required)
7.3.Agreement: Approve a Second Amendment to the Core Agreement with the
United States Olympic & Paralympic Committee
366
Report Number: 22-0070
Location: 2800 Olympic Avenue
Department: City Manager
Environmental Notice: The activity is not a "Project" as defined under Section
15378 of the California Environmental Quality Act State Guidelines; therefore,
pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
RECOMMENDED ACTION:
Adopt a resolution approving a Second Amendment to the Core Agreement
between the City and United States Olympic & Paralympic Committee and related
agreements.
8.CITY MANAGER’S REPORTS
9.MAYOR’S REPORTS
10.COUNCILMEMBERS’ COMMENTS
11.CITY ATTORNEY'S REPORTS
12.CLOSED SESSION
Announcements of actions taken in Closed Sessions shall be made available by noon on
the next business day following the Council meeting at the City Attorney's office in
accordance with the Ralph M. Brown Act (Government Code 54957.7)
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12.1.Conference with Legal Counsel -- Anticipated Litigation
Initiation of litigation pursuant to Government Code Section 54956.9(d)(4):
One [1] case.
Ongoing issues with Republic Services, Inc.
13.ADJOURNMENT
to the regular City Council meeting on February 22, 2022 at 5:00 p.m. in the Council
Chambers.
Materials provided to the City Council related to an open session item on this agenda are
available for public review, please contact the Office of the City Clerk at
cityclerk@chulavistaca.gov
or (619) 691-5041.
Sign up at www.chulavistaca.gov to receive email notifications when City Council
agendas are published online.
2022/02/15 City Council Post Agenda Page 7 of 406
1
City of Chula Vista
Regular Meeting of the City Council
Meeting Minutes
June 15, 2021, 5:00 p.m.
Council Chambers, 276 Fourth Avenue, Chula Vista, CA
Present: Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, Mayor Casillas Salas
Excused: Deputy Mayor McCann
Also Present: City Manager Kachadoorian, City Attorney Googins, Deputy City
Attorney Silva, City Clerk Bigelow, Assistant City Clerk Turner
The City Council minutes are prepared and ordered to correspond to the City Council Agenda.
Agenda items may be taken out of order during the meeting. The agenda items were considered
in the order presented.
_____________________________________________________________________
1. CALL TO ORDER
A regular meeting of the City Council of the City of Chula Vista was called to order at
5:02 p.m. via teleconference and in the Council Chambers, located in City Hall, 276
Fourth Avenue, Chula Vista, California.
2. ROLL CALL
City Clerk Bigelow called the roll.
3. PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE
Councilmember Galvez led the Pledge of Allegiance.
4. SPECIAL ORDERS OF THE DAY
4.1 COVID-19 Update by the City of Chula Vista Emergency Services Coordinator
Marlon King
Emergency Services Coordinator King gave a presentation on the item.
4.2 Presentation by Economic Development Specialist Miranda Evans of the
Choose Chula Smartphone App
Development Specialist Evans gave a presentation on the item and responded to
questions from the Council.
4.3 Update by Conservation Specialist Cory Downs on the San Diego Community
Power Phase Two Enrollment
2022/02/15 City Council Post Agenda Page 8 of 406
2
Conservation Specialist Downs gave a presentation on the item.
4.4 Special Recognition of San Diego PFLAG Scholarship Recipients and Chula
Vista Residents: Sofia Alcocer, Aaron Bautista, Elizabeth Granados Johnson,
Aranzazu Salgado-Gutierrez, and Jay Schmidt
Mayor Casillas Salas recognized the recipients of the PFLAG Scholarship and
Councilmember Padilla presented certificates to the recipients.
5. CONSENT CALENDAR (Items 5.1 through 5.13)
Deputy City Attorney Silva announced Councilmember Padilla would abstain from voting
on item 5.4 B due to a potential property-related conflict of interest.
Moved by Councilmember Padilla
Seconded by Councilmember Galvez
To approve the recommended action appearing below consent calendar Items 5.1
through 5.4 A, and 5.5 through 5.13. The headings below were read, text waived. The
motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember Padilla,
and Mayor Casillas Salas
Result, Carried (4 to 0)
Moved by Mayor Casillas Salas
Seconded by Councilmember Galvez
To approve the recommended action appearing below consent calendar Item 5.4 B. The
heading below was read, text waived. The motion carried by the following vote:
Yes (3): Councilmember Cardenas, Councilmember Galvez, and Mayor Casillas Salas
Abstain (1): Councilmember Padilla
Result, Carried (3 to 0)
5.1 Approval of Meeting Minutes
Approve the minutes dated: March 23, 2021
5.2 Waive Reading of Text of Resolutions and Ordinances
Anonymous constituent submitted written comments in opposition to staff's
recommendation on this item.
Approve a motion to read only the title and waive the reading of the text of all
resolutions and ordinances at this meeting.
5.3 Local Coastal Program and Municipal Code Amendments for Accessory
Dwelling Units and Junior Accessory Dwelling Units
Adopt ordinance to amend various chapters of the Chula Vista Municipal Code
relating to construction of Accessory Dwelling Units and Junior Accessory Dwelling
Units (Second Reading and Adoption).
2022/02/15 City Council Post Agenda Page 9 of 406
3
ORDINANCE NO. 3503 OF THE CITY OF CHULA VISTA AMENDING THE
SPECIFIC PLAN OF THE CHULA VISTA LOCAL COASTAL PROGRAM AND
AMENDING CHULA VISTA MUNICIPAL CODE, SECTIONS 19.58.022
(ACCESSORY DWELLING UNIT) AND 19.58.023 (JUNIOR ACCESSORY
DWELLING UNITS); AND CHAPTERS 19.22 (RESIDENTIAL ESTATES ZONE);
19.24 (SINGLE-FAMILY RESIDENCE); 19.26 (ONE-AND TWO-FAMILY
RESIDENCE ZONE); 19.28 (APARTMENT RESIDENTIAL ZONE); 19.30
(ADMINISTRATIVE AND PROFESSIONAL OFFICE ZONE); 19.36 (CENTRAL
COMMERCIAL ZONE); 19.48 (PLANNED COMMUNITY ZONE); AND 19.84
(BAYFRONT SPECIFIC PLAN-LAND USE ZONES)
5.4 Approval of the Community Facilities Districts Levy of Special Taxes and
Collectibles for Fiscal Year 2021/22
Adopt resolutions A) levying special taxes to be collected to pay the costs of
facilities and services for Community Facilities Districts 97-1, 97-2, 97-3, 98-1, 98-
2, 98-3, 99-1, 99-2, 2000-1, 2001-1, 2001-2, 07-I, 08-I, 08-M, 09-M, 11-M, 12-I, 12-
M, 13-I, 13-M, 14-M, 14-M2, 16-I, 17-I, 18-M and 19-M within the City of Chula
Vista and designating the Deputy City Manager to file a list of taxes to be levied on
each parcel with the County auditor each year; and B) levying special taxes to be
collected to pay the costs of facilities and services for Community Facilities
Districts 06-I and 07-M, within the City of Chula Vista and designating the Deputy
City Manager to file a list of taxes to be levied on each parcel with the County
auditor each year.
A) RESOLUTION NO. 2021-105 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING SPECIAL TAXES TO BE COLLECTED TO PAY THE
COSTS OF FACILITIES AND SERVICES FOR COMMUNITY FACILITIES
DISTRICTS 97-1, 97-2, 97-3, 98-1, 98-2, 98-3, 99-1, 99-2, 2000-1, 2001-1, 2001-2,
07-I, 08-I, 08-M, 09-M, 11-M, 12-I, 12-M, 13-I, 13-M, 14-M, 14-M2, 16-I, 17-I, 18-M,
AND 19-M WITHIN THE CITY OF CHULA VISTA AND DESIGNATING THE
DEPUTY CITY MANAGER TO FILE A LIST OF TAXES TO BE LEVIED ON EACH
PARCEL WITH THE COUNTY AUDITOR EACH YEAR
B) RESOLUTION NO. 2021-106 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING SPECIAL TAXES TO BE COLLECTED TO PAY THE
COSTS OF FACILITIES AND SERVICES FOR COMMUNITY FACILITIES
DISTRICTS 06-I AND 07-M WITHIN THE CITY OF CHULA VISTA AND
DESIGNATING THE DEPUTY CITY MANAGER TO FILE A LIST OF TAXES TO
BE LEVIED ON EACH PARCEL WITH THE COUNTY AUDITOR EACH YEAR
5.5 Gann Initiative: Establish Appropriation Limits for Fiscal Year 2021/22
Adopt a resolution establishing the GANN initiative appropriations limit for the City
of Chula Vista for Fiscal Year 2021/22.
RESOLUTION NO. 2021-107 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA ESTABLISHING THE GANN INITIATIVE APPROPRIATIONS LIMIT FOR
THE CITY OF CHULA VISTA FOR FISCAL YEAR 2021-2022
5.6 Approve a Fifth Amendment to the Agreement with the Accounting Firm of
Lance, Soll and Lunghard, LLP to Provide Auditing Services
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4
Adopt a resolution approving audit services amendment between City and LSL for
Fiscal Years 2020/21 and 2021/22.
RESOLUTION NO. 2021-108 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING THE FIFTH AMENDMENT TO THE AGREEMENT WITH
THE ACCOUNTING FIRM OF LANCE, SOLL AND LUNGHARD, LLP TO
PROVIDE AUDITING SERVICES
5.7 Approval of Extension of 100% Clean Energy Sales Agreement with Shell
Energy
Adopt a resolution approving a Continuation Agreement extending the term of the
parties’ Energy Service Agreement for electricity commodity purchases through
June 30, 2024; and authorizing the City Manager to execute all necessary
documents.
RESOLUTION NO. 2021-109 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING A CONFIRMATION AGREEMENT WITH SHELL ENERGY
EXTENDING THE TERM OF THE ENERGY SERVICE AGREEMENT BETWEEN
THE CITY OF CHULA VISTA AND SHELL ENERGY THROUGH JUNE 30, 2024
5.8 Consideration of Participation in CALeVIP Program for Electric Vehicle
Chargers at City-Owned Parking Lots
Adopt a resolution authorizing the acceptance of up to $720,000 in incentive
funding through the San Diego County Incentive Project of the California Electric
Vehicle Infrastructure Project (CALeVIP) and approving an agreement with Zero
Impact Solutions and Zero Impact Builders to install electric vehicle infrastructure
at City-owned parking lots.
RESOLUTION NO. 2021-110 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA AUTHORIZING THE ACCEPTANCE OF UP TO $720,000 IN INCENTIVE
FUNDING THROUGH THE SAN DIEGO COUNTY INCENTIVE PROJECT OF
THE CALIFORNIA ELECTRIC VEHICLE INFRASTRUCTURE PROJECT
(CALEVIP) AND APPROVING AN AGREEMENT WITH ZERO IMPACT
SOLUTIONS AND ZERO IMPACT BUILDERS TO INSTALL ELECTRIC VEHICLE
INFRASTRUCTURE AT CITY-OWNED PARKING LOTS
5.9 Contract: Approve Emergency Contract Change Orders with Sancon
Technologies, Inc for the Corrugated Metal Pipe Rehabilitation Inside the
Right- of-Way Project (CIP Nos. DRN0205/DRN0212); and Transfer $350,000
in Transnet Appropriation
Adopt a resolution approving emergency contract change orders and transferring
funds to DRN0205 (4/5 Vote Required).
RESOLUTION NO. 2021-111 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING EMERGENCY CONTRACT CHANGE ORDERS WITH
SANCON TECHNOLOGIES, INC. FOR THE CMP REHABILITATION INSIDE THE
RIGHT-OF-WAY (ROW) PROJECT (CIP NOS. DRN0205/DRN0212); AND
TRANSFERRING $350,000 IN TRANSNET APPROPRIATIONS FROM DRN0217,
CMP REPAIR IN ROW FY2020/21 TO DRN0205
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5
5.10 Department of Housing and Urban Development Planning Documents: 2020-
2024 Citizen Participation Plan, 2020-2024 Five-Year Consolidated Plan and
the 2021-2022 Annual Action
Mama's Kitchen submitted written comments in support of the item.
Adopt a resolution (1) approving the 2020-2024 Citizen Participation Plan, 2020-
2024 Five-Year Consolidated Plan and the 2021-2022 Annual Action Plan for the
U.S. Department of Housing and Urban Development Block Grant Programs; (2)
authorizing the City Manager or her designee to execute any and all HUD
documents related to the grants; (3) authorizing the City Manager or her designee
to execute agreements with each subrecipient; and, (4) establishing new Capital
Improvement Project Number PRK0338 entitled Lancerlot Park Playground and
appropriating funds thereof. (4/5 Vote Required)
RESOLUTION NO. 2021-112 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA (1) APPROVING THE 2020-2024 CITIZEN PARTICIPATION PLAN, 2020-
2024 FIVE-YEAR CONSOLIDATED PLAN AND THE 2021-2022 ANNUAL
ACTION PLAN FOR THE U.S. DEPARTMENT OF HOUSING DEVELOPMENT
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAMS; (2) AUTHORIZING
THE CITY MANAGER OR HER DESIGNEE TO EXECUTE ANY AND ALL HUD
DOCUMENTS RELATED TO THE GRANTS; (3) AUTHORIZING THE CITY
MANAGER OR HER DESIGNEE TO EXECUTE AGREEMENTS WITH EACH
SUBRECIPIENT; AND (4) ESTABLISHING NEW CAPITAL IMPROVEMENT
PROJECT NUMBER PRK0338 ENTITLED LANCERLOT PARK PLAYGROUND;
AND, APPROPRIATING FUNDS THEREFOR
5.11 Contract: Award of Tree Maintenance Contract to West Coast Arborists, Inc.
Adopt a resolution awarding a contract for open space tree maintenance services
to West Coast Arborists, Inc. in an amount not to exceed $2,500,000 for the up to
five-year term of the contract.
RESOLUTION NO. 2021-113 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA AWARDING A CONTRACT FOR TREE MAINTENANCE SERVICES IN
OPEN SPACE AREAS TO WEST COAST ARBORISTS, INC.
5.12 Authorization to Accept Dedications of Land in Accordance with the
Agreement Regarding Otay River Valley Restoration between Chula Vista and
HomeFed Corporation approved by City Council on May 17, 2016
Adopt a resolution authorizing the City Manager to acquire the PA 20 parcel and to
accept subsequent offers of dedication under the Agreement Regarding Otay River
Valley Restoration between Chula Vista and HomeFed Corporation.
RESOLUTION NO. 2021-114 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA AUTHORIZING THE CITY MANAGER TO ACQUIRE THE PA 20 PARCEL
AND TO ACCEPT SUBSEQUENT OFFERS OF DEDICATION UNDER THE
AGREEMENT
5.13 Post Employment Health Plan for eligible public employees in the
Unclassified Middle Management/Professional, Confidential Middle
Management/Professional, Unclassified Confidential, and Confidential
Classified groups
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6
Adopt a resolution entering into a Post-Employment Health Plan with Nationwide
Retirement Solutions.
RESOLUTION NO. 2021-115 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA ADOPTING A POST-EMPLOYMENT HEALTH PLAN FOR ELIGIBLE
PUBLIC EMPLOYEES IN THE UNCLASSIFIED MIDDLE MANAGEMENT/
PROFESSIONAL, CONFIDENTIAL MIDDLE MANAGEMENT/ PROFESSIONAL,
UNCLASSIFIED CONFIDENTIAL, AND CONFIDENTIAL CLASSIFIED GROUPS
6. PUBLIC COMMENTS
Greg Moore submitted written comments regarding the Moss Street redevelopment.
Maria Teresa Pineda, Chula Vista resident, spoke regarding traffic on Broadway.
7. BOARD AND COMMISSION REPORTS
7.1 City Council consideration and action regarding the Human Relations
Commission’s recommendations regarding the composition and scope of
activities of the Christopher Columbus Statue and Discovery Park Task
Force
Human Resources Director Chase introduced the item. She and Human Relations
Commissioner Medina were available for questions.
Moved by Mayor Casillas Salas
Seconded by Councilmember Galvez
To adopt Minutes Resolution No. 2021-132, accepting the recommendation of the
Human Relations Commission with respect to the composition and scope of
activities for the Columbus Statue and Discovery Park Task Force; with a limit of
nine-months, subject to extensions. The motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
8. PUBLIC HEARINGS
8.1 Approval of the Open Space Districts Levy Assessments and Collectibles for
Fiscal Year 2021/22
Notice of the hearing was given in accordance with legal requirements, and the
hearing was held on the date and no earlier than specified in the notice.
Deputy City Attorney Silva announced Mayor Casillas Salas would abstain from
voting on Item 8.1B and Councilmember Padilla would abstain from voting on Item
8.1D, due to potential property-related conflicts of interest.
Mayor Casillas Salas opened the public hearing.
There being no members of the public who wished to speak, Mayor Casillas Salas
closed the public hearing.
2022/02/15 City Council Post Agenda Page 13 of 406
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Moved by Mayor Casillas Salas
Seconded by Councilmember Galvez
To adopt Resolution Nos. 2021-116 (Item 8.1A) and 2021-118 (Item 8.1C). The
headings below were read, text waived. The motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
A) RESOLUTION NO. 2021-116 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING THE ASSESSMENTS AND COLLECTIBLES FOR THE
FISCAL YEAR 2021/2022 FOR OPEN SPACE DISTRICTS 2 THROUGH 9, 11,
14, 15, 17, 18, 20 (ZONES 1 THROUGH 9), 23, 24, 26, 31, 33, EASTLAKE
MAINTENANCE DISTRICT NO 1 (ZONES A, B, AND D), AND BAY BOULEVARD
MAINTENANCE DISTRICT
C) RESOLUTION NO. 2021-118 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING THE ASSESSMENTS AND COLLECTIBLES FOR THE
FISCAL YEAR 2021/2022 FOR OPEN SPACE DISTRICT 1
Mayor Casillas Salas left the room during voting on Item 8.1B
Moved by Councilmember Galvez
Seconded by Councilmember Padilla
To adopt Resolution No. 2021-117 (Item 8.1B). The heading below was read, text
waived. The motion carried by the following vote:
Yes (3): Councilmember Cardenas, Councilmember Galvez, and Councilmember
Padilla
Abstain (1): Mayor Casillas Salas
Result, Carried (3 to 0)
B) RESOLUTION NO. 2021-117 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING THE ASSESSMENTS AND COLLECTIBLES FOR THE
FISCAL YEAR 2021/2022 FOR OPEN SPACE DISTRICTS 10, EASTLAKE
MAINTENANCE DISTRICT NO 1 (ZONE E), AND TOWN CENTRE
MAINTENANCE DISTRICT
Councilmember Padilla left the room during voting on Item 8.1D.
Moved by Mayor Casillas Salas
Seconded by Councilmember Cardenas
To adopt Resolution No. 2021-119 (Item 8.1D). The heading below was read, text
waived. The motion carried by the following vote:
Yes (3): Councilmember Cardenas, Councilmember Galvez, and Mayor Casillas
Salas
Abstain (1): Councilmember Padilla
2022/02/15 City Council Post Agenda Page 14 of 406
8
Result, Carried (3 to 0)
D) RESOLUTION NO. 2021-119 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA LEVYING THE ASSESSMENTS AND COLLECTIBLES FOR THE
FISCAL YEAR 2021/2022 FOR EASTLAKE MAINTENCE DISTRICT 1 (ZONE C)
8.2 Proposed Amendments to Otay Ranch Village 3 to Include the “FlatRock”
Parcel and Change Land Use of Three Parcels of Land to Residential Uses,
Resulting in an Increase From 1,597 to 1,638 Permitted Residential Units
Notice was given in accordance with legal requirements, and the hearing was held
on the date and no earlier than the specified in the notice.
Sr. Project Coordinator Kurz gave a presentation on the item and responded to
questions of the Council.
Mayor Casillas Salas opened the public hearing.
There being no members of the public who wished to speak, Mayor Casillas Salas
closed the public hearing.
Moved by Councilmember Padilla
Seconded by Mayor Casillas Salas
To adopt Resolution Nos. 2021-120 through 2021-126 and place the below
ordinances (Items 8.2D and 8.2I) on first reading. The headings below were read,
text waived. The motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
A) RESOLUTION NO. 2021-120 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA CONSIDERING AN ADDENDUM (IS20-0003) TO THE FINAL
ENVIRONMENTAL IMPACT REPORT FOR VILLAGE THREE AND A PORTION
OF VILLAGE FOUR (FEIR 13-01)
B) RESOLUTION NO. 2021-121 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AMENDMENTS TO THE CHULA VISTA GENERAL
PLAN AND THE OTAY RANCH GENERAL DEVELOPMENT PLAN TO REFLECT
LAND USE CHANGES FOR APPROXIMATELY 484.6 ACRES WITHIN THE
OTAY RANCH VILLAGE THREE AND A PORTION OF VILLAGE FOUR
PLANNED COMMUNITY, INCLUDING ASSOCIATED TEXT, MAPS AND TABLES
C) RESOLUTION NO. 2021-122 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AMENDING THE OTAY RANCH VILLAGE THREE AND A
PORTION OF VILLAGE FOUR SECTIONAL PLANNING AREA (SPA) PLAN
(MPA20-0017), INCLUDING THE PLANNED COMMUNITY DISTRICT
REGULATIONS/DESIGN PLAN (FORM BASED CODE), TO EXPAND THE SPA
BOUNDARY TO INCLUDE THE FLATROCK PARCEL, APPROXIMATELY 48.6 -
ACRE AREA, SOUTH OF MAIN STREET (VILLAGE 3 SOUTH) WHICH RESULTS
IN A 484.6-ACRE SPA PLAN AREA, AND FURTHER CHANGE THE LAND USE
DESIGNATIONS ON THREE PARCELS: 1) PARCEL R-19 FROM
PROFESSIONAL & OFFICE TO 224 UNITS HIGH RESIDENTIAL (APN # 644-
061-10-00 AND 644-061-11-00); 2) PARCEL R-6 FROM MEDIUM RESIDENTIAL
2022/02/15 City Council Post Agenda Page 15 of 406
9
TO 78 UNITS MEDIUM-HIGH RESIDENTIAL (APN # 644-062-01-00 THROUGH
644-062-47-00); AND 3) PARCEL R-20 FROM LIMITED INDUSTRIAL TO 116
UNITS MEDIUM-HIGH RESIDENTIAL (APN # 644-060-13-00) AND AMEND THE
VILLAGE 9 SECTIONAL PLANNING AREA PLAN TO MOVE 41 RESIDENTIAL
DWELLING UNITS FROM VILLAGE 9 TO VILLAGE 3
D) ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECTIONAL
PLANNING AREA (SPA) PLANNED COMMUNITY DISTRICT (FORM BASED
CODE) REGULATIONS FOR OTAY RANCH VILLAGE THREE AND A PORTION
OF VILLAGE FOUR
E) RESOLUTION NO. 2021-123 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A TENTATIVE SUBDIVISION MAP FOR THE OTAY
RANCH VILLAGE THREE PARCEL R-19 (CVT-20-0004) PROJECT SUBJECT TO
THE CONDITIONS CONTAINED HEREIN
F) RESOLUTION NO. 2021-124 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A TENTATIVE SUBDIVISION MAP FOR THE OTAY
RANCH VILLAGE THREE PARCELS R-6 AND R-20 (CVT-20-0005) PROJECT
SUBJECT TO THE CONDITIONS CONTAINED HEREIN
G) RESOLUTION NO. 2021-125 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING AN AMENDED TENTATIVE MAP FOR OTAY
RANCH VILLAGE NINE TO REMOVE 41 RESIDENTIAL DWELLING UNITS
(CHULA VISTA TRACT 20-0006)
H) RESOLUTION NO. 2021-126 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING THE OTAY RANCH VILLAGE THREE AND A
PORTION OF VILLAGE FOUR MASTER PRECISE PLAN AMENDMENT
I) ORDINANCE OF THE CITY OF CHULA VISTA APPROVING THE SECOND
AMENDMENTS TO THE DEVELOPMENT AGREEMENTS BETWEEN THE CITY
OF CHULA VISTA AND HOMEFED VILLAGE III MASTER, LLC AND HOMEFED
OTAY LAND II, LLC AND OTAY LAND COMPANY, LLC AND HOMEFED
VILLAGE 8, LLC
8.3 Public Hearing to Consider Various Actions for the Financing, Development
and Operations of a Resort Hotel, Convention Center, Parking Structure and
Related Public Improvements on and Adjacent to Parcel H-3 within the Chula
Vista Bayfront Master Plan
Notice was given in accordance with legal requirements, and the hearing was held
on the date and no earlier than the specified in the notice.
City Manager Kachadoorian introduced the item and Director of Development
Services Allen gave a presentation on the item and responded to questions of the
Council.
Mayor Casillas Salas opened the public hearing.
Ruben Guerra and Enrique Velez, representing the Latin Business Association
spoke in support of staff's recommendation.
Larry West submitted written comments regarding consideration of the sea-level
rising and weather changes.
2022/02/15 City Council Post Agenda Page 16 of 406
10
At the conclusion of the public commenting period Mayor Casillas Salas closed the
public hearing.
Council discussion ensued.
Ira Mitzner, representing RIDA Development Corporation and Ann Moore,
representing The Port of San Diego, spoke regarding the project and thanked City
Staff.
City Attorney Googins spoke regarding the project.
Moved by Councilmember Padilla
Seconded by Mayor Casillas Salas
To adopt Resolution Nos. 2021-127 and 2021-128. The headings below were
read, text waived. The motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
A) RESOLUTION NO. 2021-127 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AUTHORIZING THE EXECUTION AND DELIVERY BY THE CITY
OF A FACILITY LEASE, SUBLEASE AGREEMENT, PROJECT
IMPLEMENTATION AGREEMENT, MUTUAL LEASE AND SUBLEASE
ENFORCEMENT AGREEMENT, AMENDMENT NO. 1 TO THE AMENDED AND
RESTATED JOINT EXERCISE OF POWERS AGREEMENT AND BOND
PURCHASE AGREEMENT IN CONNECTION WITH THE ISSUANCE OF CHULA
VISTA BAYFRONT FACILITIES FINANCING AUTHORITY REVENUE BONDS
MAKING REQUIRED FINDINGS UNDER GOVERNMENT CODE SECTIONS
6586 AND 52201(B) AND AUTHORIZING THE EXECUTION OF NECESSARY
DOCUMENTS AND CERTIFICATES AND RELATED ACTIONS
B) RESOLUTION NO. 2021-128 OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA, ACTING AS THE LEGISLATIVE BODY OF THE BAYFRONT
PROJECT SPECIAL TAX FINANCING DISTRICT AUTHORIZING THE
EXECUTION AND DELIVERY BY THE BAYFRONT PROJECT SPECIAL TAX
FINANCING DISTRICT OF A PROJECT IMPLEMENTATION AGREEMENT,
BOND PURCHASE AGREEMENT AND LOAN AGREEMENT IN CONNECTION
WITH THE ISSUANCE OF CHULA VISTA BAYFRONT FACILITIES FINANCING
AUTHORITY REVENUE BONDS AND AUTHORIZING THE EXECUTION OF
NECESSARY DOCUMENTS AND CERTIFICATES AND RELATED
IMPLEMENTING ACTIONS
9. ACTION ITEMS
9.1 Interim Urgency Ordinance: Prohibition of Uses in Conflict with Land Use
Amendment and Rezoning Initiation IR19-0026
Mayor Casillas Salas announced that this item would be continued to the August
10, 2021 City Council meeting.
Councilmember Padilla expressed concern regarding the builder's withdrawal of
their application and pre-application due to objection to the ordinance.
2022/02/15 City Council Post Agenda Page 17 of 406
11
City Manager Kachadoorian responded to questions of the Council.
Moved by Councilmember Padilla
Seconded by Mayor Casillas Salas
To continue the item to the August 10, 2021 meeting.
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
9.2 Grant Agreement Approval: Community Congregational Development
Corporation
Parks and Recreation Administrator Farmer introduced the item and David Hand,
Laurie Orange and Aaron Ruiz, representing Community Congregation
Development Corporation gave a presentation on the item.
Council discussion ensued.
Moved by Councilmember Galvez
Seconded by Mayor Casillas Salas
To adopt Resolution No. 2021-129. The heading below was read, text waived. The
motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
RESOLUTION NO. 2021-129 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA APPROVING THE GRANT AGREEMENT BETWEEN THE CITY AND
COMMUNITY CONGREGATIONAL DEVELOPMENT CORPORATION (CCDC)
9.3 Campaign Contributions: Ordinance Regarding Campaign Contributions and
Possible Reassignment of Districts After Fundraising Has Begun Due to
Redistricting
Deputy City Attorney Silva gave a presentation on the item.
Council discussion ensued.
City Attorney Googins and Deputy City Attorney Silva responded to questions of
the Council.
Deputy Mayor Galvez stated she would abstain from voting on this item.
Moved by Mayor Casillas Salas
Seconded by Councilmember Padilla
To adopt Emergency Ordinance No. 3505-A and place the ordinance on first
reading. The heading below was read, text waived. The motion was carried by the
following vote:
2022/02/15 City Council Post Agenda Page 18 of 406
12
Yes (3): Councilmember Cardenas, Councilmember Padilla, and Mayor Casillas
Salas
Abstain (1): Councilmember Galvez
Result, Carried (3 to 0)
EMERGENCY ORDINANCE NO. 3505-A OF THE CITY OF CHULA VISTA
AMENDING VARIOUS SECTIONS OF CHULA VISTA MUNICIPAL CODE
CHAPTER 2.52, “CAMPAIGN CONTRIBUTIONS,” TO ACCOUNT FOR
POSSIBLE REASSIGNMENT OF CITY COUNCIL DISTRICTS AFTER
FUNDRAISING HAS BEGUN AS A RESULT OF REDISTRICTING
10. CITY MANAGER’S REPORTS
There were none.
11. MAYOR’S REPORTS
At the request of Mayor Casillas Salas, there was consensus of the Council to form a
subcommittee consisting of herself and Councilmember Cardenas to explore the
formation of a Small Business Advisory Council.
Mayor Casillas Salas spoke regarding the following recent events: the opening of the
Library Deck at Friendship Park and the unveiling of the Padres mural at the Vouge
theater.
11.1 City Council Policy: Consideration of Adopting a City Council Policy on City
Council Member Communications, Limiting Certain Communications to City
Council Districts
Mayor Casillas Salas presented a draft Council policy and responded to questions
of the Council.
City Attorney Googins and Deputy City Attorney Silva provided the Council with
clarification regarding violations of the policy.
Roberto submitted comments in opposition to the item.
Moved by Mayor Casillas Salas
Seconded by Councilmember Galvez
To adopt Minutes Resolution No. 2021-133, approving the presented policy as
amended to provide that repeated violations be subject to censuring by the Council
and to allow periodic communications, including newsletters, to residents in other
districts when requested. The motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
11.2 Consideration of Adopting a City Council Resolution in Support of CalCare
(AB 1400) and the Medicare for All Act of 2021 (H.R. 1976)
Mayor Casillas Salas introduced the item.
2022/02/15 City Council Post Agenda Page 19 of 406
13
Council discussion ensued.
Moved by Mayor Casillas Salas
Seconded by Councilmember Padilla
To adopt Resolution No. 2021-130. The heading below was read, text waived. The
motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
RESOLUTION NO. 2021-130 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA IN SUPPORT OF CALCARE (AB 1400) AND THE MEDICARE FOR ALL
ACT OF 2021(H.R. 1976)
11.3 Consideration of Adopting the 2021 Legislative Program
Mayor Casillas Salas introduced the item.
Moved by Mayor Casillas Salas
Seconded by Councilmember Galvez
To adopt Resolution No. 2021-131. The heading below was read, text waived. The
motion carried by the following vote:
Yes (4): Councilmember Cardenas, Councilmember Galvez, Councilmember
Padilla, and Mayor Casillas Salas
Result, Carried (4 to 0)
RESOLUTION NO. 2021-131 OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA ADOPTING THE 2021/22 LEGISLATIVE PROGRAM
12. COUNCILMEMBERS’ COMMENTS
Councilmember Galvez spoke regarding the following recent events: the opening of the
Library Deck at Friendship Park and the unveiling of the Padres mural at the Vouge
theater. She congratulated the artists, PJ Jimenez and Signe Ditona with Ground Floor
Murals. Councilmember Galvez thanked Community Congregation Development
Corporation for their donation and assistance with a micro-mobility grant.
Councilmember Galvez closed her comments honoring Martha Bertha Villalobos Romo
a recent victim of a deadly street-racing vehicle accident and rallied to raise awareness
regarding youth engaging in street-racing.
Councilmember Padilla congratulated Mayor Casillas Salas on the opening of the Library
Deck at Friendship Park and introduced his new Senior Staff Council Aide, Ali Zaidi.
13. CITY ATTORNEY'S REPORTS
There were none.
14. CLOSED SESSION
Pursuant to Resolution No. 13706 and Council Policy No. 346-03, Official Minutes and
records of action taken during Closed Sessions are maintained by the City Attorney.
2022/02/15 City Council Post Agenda Page 20 of 406
14
Deputy City Attorney Silva announced that the Council would convene in closed session
to discuss the items listed below.
Mayor Casillas Salas recessed the meeting at 9:21 p.m. The Council convened in
Closed Session at 9:31 p.m., with all members present.
14.1 Conference with Legal Counsel Regarding Existing Litigation Pursuant to
Government Code Section 54956.9(d)(1)
Name of case: Arturo Castanares v. City of Chula Vista, San Diego Superior
Court, Case No. 37-2021-00017713-CU-MC-CTL.
ACTION: No Reportable Acton.
14.2 Conference with Legal Counsel Regarding Existing Litigation Pursuant to
Government Code Section 54956.9(d)(1)
Name of case: City of Imperial Beach, et al. v. The International Boundary & Water
Commission-United States Section, United States District Court, Case No. 18-cv-
0457 JM LL.
ACTION: No Reportable Action.
15. ADJOURNMENT
The meeting was adjourned at 9:44 p.m.
Minutes prepared by: Tyshar Turner, Assistant City Clerk
_________________________
Kerry K. Bigelow, MMC, City Clerk
2022/02/15 City Council Post Agenda Page 21 of 406
Mayor and City Council
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
(619) 691-5044
MEMORANDUM
DATE:2/15/2022
TO:Mayor, Councilmembers
CC:City Manager, City Clerk, City Attorney
FROM:Stephen C. Padilla,Councilmember
SUBJECT:Excused Absence
Dear Colleagues,
I request an excused absence from the meeting of the Chula Vista City Council on February
15th, 2022 due to a family emergency.
Sincerely,
Steve Padilla
Councilmember
District 3
2022/02/15 City Council Post Agenda Page 22 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Annual Report: Acceptance of Audited Annual Comprehensive Financial Report (ACFR) for Fiscal Year
Ended June 30, 2021 and Update on City Reserve Funds
Report Number: 22-0044
Location: No specific geographical location
Department: Finance
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution accepting the audited Annual Comprehensive Financial Report (ACFR) for Fiscal Year
Ended June 30, 2021, and update on City reserve funds.
SUMMARY
Presented for City Council information and acceptance are the audited basic financial statements included in
the ACFR for the fiscal year ending June 30, 2021, as prepared by the independent audit firm of Lance Soll &
Lunghard, LLP. The audit report submitted for the City has received an unmodified (clean) opinion from the
independent audit firm. An update on City reserve funds is also provided.
ENVIRONMENTAL REVIEW
The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act
State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is
required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
2022/02/15 City Council Post Agenda Page 23 of 406
P a g e | 2
Pursuant to the City Charter Section 1017, an annual audit is performed of the City's financial records by an
independent accounting firm. The ACFR report is included as an attachment. The firm of Lance Soll &
Lunghard, LLP has audited the basic financial statements of the City of Chula Vista and has issued their
opinion that the statements present fairly, in all material respects, the respective financial position of the
governmental activities, the business-type activities, each major fund, and the aggregate remaining fund
information of the City as of June 30, 2021 and the respective changes in financial position, and where
applicable, cash flows thereof for the year then ended in accordance with accounting principles generally
accepted in the United States of America.
Additionally, Lance Soll & Lunghard, LLP considered the City’s internal control over financial reporting to
determine the appropriate audit procedures for expressing opinions on the financial statements, but not for
the purpose of expressing an opinion on the effectiveness of the City’s internal control. The Independent
Auditors’ 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 is
included in the ACFR for fiscal year 2021. This was Lance Soll & Lunghard, LLP’s eighth year serving as the
City’s independent auditors.
General Fund Reserve Update
Below is an update of various City Reserve funds:
General Fund Operating Reserve
The unassigned fund balance for the City’s General Fund (Fund 100 only) totaled $28.3 million as of June 30,
2021. This amount reflects an unassigned fund balance of 16.4% of budgeted General Fund operating
expenditures (less Measure A and Measure P Sales Taxes). This fully funds the General Fund Operating
Reserve 15% target. Additionally, this amount includes $2.5 million in surplus funds which per the reserve
policy will be recommended as an additional contribution to the Pension Reserve Fund (PRF). The
unassigned fund balance increased from $25.6 million to $28.3 million when compared to June 30, 2020,
representing an increase of $2.7 million, and resulted in the City’s fourth consecutive year in full funding of
the General Fund Operating Reserves and for the first year resulting in funds for the anticipated contribution
to the PRF (per the General Fund Reserves Policy and Pension & OPEB Reserve Fund Policy, respectively).
Economic Contingency and Catastrophic Event Reserves
In addition to the unassigned fund balance, the General Fund ended fiscal year 2020-21 with $8.6 million in
the Economic Contingency Reserve, which represents an increase of $0.3 million from the prior fiscal year.
This reserve was also established by the City Council in fiscal year 2009 with the approval of the General
Fund Reserves Policy. The additional $0.3 million was funded after fully funding the General Fund Operating
Reserve as described above and setting aside 75% of the surplus funds for transfer to the PRF. The reserve
policy sets a reserve goal of 5% for the Economic Contingency Reserve. The General Fund ended fiscal year
2020-21 with the full 5% in the Economic Contingency Reserve. The City also has a Catastrophic Event
Reserve Fund with a reserve goal of 3%. The City was able to partially fund the Catastrophic Event Reserve
in fiscal year 2020-2021 by adding $0.6 million. This amount is equal to 1.9% of the 3% Emergency Reserve
policy goal.
2022/02/15 City Council Post Agenda Page 24 of 406
P a g e | 3
Pension Reserve Fund
The Pension & OPEB Reserve Fund Policy established the City’s Pension Reserve Fund (PRF). Per the policy,
upon meeting the 15% General Fund Operating Reserve, 75% of all surplus funds shall be transferred to the
PRF. As stated earlier in this report, $2.5 million in surplus funds will be recommended as an additional
contribution to the PRF in fiscal year 2021-2022. The policy also states that 75% of the net annual savings
from the issuance of Pension Obligation Bonds (determined at bond issuance for years 1-10, not adjusted
annually for any new unfunded liability or change in actuarial assumptions) for bond fiscal years 1 through
10 is required to be transferred to the PRF on an annual basis. The scheduled contribution for net annual
savings is projected to be $8.3 million in fiscal year 2021-2022. Pursuant to the policy, the Finance
Department is required to provide the following comprehensive PRF status report, including five-year
reserve fund balance projections, annually to the City Council along with the ACFR. The following report
projects the scheduled contributions from net annual savings, additional contributions from surplus funds,
projected future costs in unfunded actuarial liability to CalPERS, and the estimated PRF balance over the next
five fiscal years.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
INFLOWS FY2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027
Scheduled Contributions 8,287,643 9,929,907 10,848,629 11,976,156 11,892,443 12,513,429
Additional Contributions*2,464,336 - - - - -
Total Inflows 10,751,979 9,929,907 10,848,629 11,976,156 11,892,443 12,513,429
OUTFLOWS
Miscellaneous Plan UAL**- (630,419) (630,000) (630,000) (630,000) (630,000)
Safety Plan UAL**- (323,899) (324,000) (324,000) (324,000) (324,000)
Total Outflows - (954,318) (954,000) (954,000) (954,000) (954,000)
Savings/(Deficit)10,751,979 8,975,589 9,894,629 11,022,156 10,938,443 11,559,429
Est. Accumulated Reserve
Balance 10,751,979 19,727,568 29,622,197 40,644,353 51,582,796 63,142,224
* Prior year surplus funds transferred to the Pension Reserve Fund (per Pension & OPEB Reserve Policy)
Pension Reserve Fund Balance Projections
COMPREHENSIVE PENSION RESERVE FUND STATUS REPORT
CITY OF CHULA VISTA
** UAL projections are from the CalPERS Actuarial Valuation - June 30, 2020 Report, which may change in future
valuation reports issued by CalPERS.
2022/02/15 City Council Post Agenda Page 25 of 406
P a g e | 4
CURRENT-YEAR FISCAL IMPACT
There is no fiscal impact as a result of accepting the ACFR for Fiscal Year Ended June 30, 2021 report.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact as result of this action.
ATTACHMENTS
Attachment 1: Annual Comprehensive Financial Report for Fiscal Year Ended June 30, 2021
Staff Contact: Sarah Schoen, Finance Director/Treasurer
2022/02/15 City Council Post Agenda Page 26 of 406
CALIFORNIA
Annual
Comprehensive
Financial Report
June 30, 2021
FISCAL YEAR ENDED
2022/02/15 City Council Post Agenda Page 27 of 406
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Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Chula Vista
California
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2020
Executive Director/CEO
vii2022/02/15 City Council Post Agenda Page 40 of 406
2022/02/15 City Council Post Agenda Page 41 of 406
203 N. Brea Blvd., Suite 203 Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022
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32022/02/15 City Council Post Agenda Page 44 of 406
42022/02/15 City Council Post Agenda Page 45 of 406
CITY OF CHULA VISTA
MANAGEMENT’S DISCUSSION AND ANALYSIS
As management of the City of Chula Vista, we are presenting the readers of this annual financial
report a narrative overview and analysis of the financial activities of the City of Chula Vista for
the fiscal year ended June 30, 2021 We encourage the readers of this document to consider the
information presented here in conjunction with additional information furnished in the letter of
transmittal found in the introductory section of this annual report.
FINANCIAL HIGHLIGHTS
The following outlines financial highlights for the year:
1. At June 30, 2021, the assets and deferred outflows of the City exceeded its liabilities and
deferred inflows by $1,590.8 million (net position). Total net position consisted of net
investment in capital assets of $1,409.4 million, restricted net position of $197.3 million, and
unrestricted net position of a negative $16.0 million.
2. Total unrestricted net position for governmental activities was $12.1 million higher than the
prior fiscal year, an increase of 8.95%, whereas unrestricted net position for business type
activities, was $5.2 million higher than the previous year, a 5.11% increase.
3. The City’s total net position increased by $76.3 million in fiscal year 2021. The net position
for governmental activities increased by a net $71.1 million, while the net position for business
type activities increased by $5.2 million.
4. The City’s governmental funds reported combined ending fund balances of $318.1 million, an
increase of $19.5 million, or 7%.
5. Total citywide liabilities increased by $410.3 million. Liabilities for governmental activities
increased by $352.7 million and business-type activities slightly increased by $57.6 million.
6. The City’s total long-term debt obligations for governmental activities had a net increase of
$298.8 million or 170.2% increase during fiscal year 2021. The increase is primarily due to
the pension obligation bonds in the amount of $311.3 million in addition to the new capital
leases in the amount of $2.3 million issued during the fiscal year.
7. In February 2021, the City issued approximately $350 million in pension obligation bonds
(POBs). The proceeds from the issuance were used to significantly reduce the pension liability
known as the unfunded accrued liability (UAL) resulting in pension cost savings of
approximately $116 million. The majority of the pension cost savings are being set aside in an
Internal Revenue Code Section 115 pension and bond call trust fund which will help mitigate
future increases from pension and other post‐employment benefits costs or provide the City
the opportunity to pay off the bonds earlier.
52022/02/15 City Council Post Agenda Page 46 of 406
OVERVIEW OF FINANCIAL STATEMENTS
This discussion and analysis is intended to serve as an introduction to the City’s basic financial
statements. The City’s basic financial statements are comprised of three components:
1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial
statements.
This report also contains required supplementary information (RSI) as well as other supplemental
financial information.
Government-Wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad overview
of the City’s finances, in a manner similar to private-sector business. They are comprised of the
Statement of Net Position and Statement of Activities.
The Statement of Net Position presents information on all the City’s assets and deferred outflows,
along with liabilities and deferred inflows, with the difference reported as net position. Over time,
increases or decreases in net position may serve as a useful indicator of whether the financial
position of the City is improving or deteriorating. This statement combines and consolidates
governmental funds’ current financial resources with capital assets and long-term obligations.
The Statement of Activities presents information showing how the government’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. Thus,
revenues and expenses are reported in this statement for some items that will only result in cash
flows in future fiscal periods (e.g. uncollected taxes and earned but unused vacation leave).
The government-wide financial statements have separate sections for three different types of
activities. These three types of activities are:
Governmental Activities - The activities in this section are mostly supported by taxes and charges
for services. The governmental activities of the City include General Government,
Public Safety, Community Development, Public Works, Parks and Recreation and Library.
Business-Type Activities – These functions normally are intended to recover all or a significant
portion of their costs through user fees and charges to external customers for goods and services.
The business-type activities of the City include the Sewer Fund, the Sewer Development Impact
Fees, the Development Services Fund, the Chula Vista Elite Athlete Training Center Fund, the
Transit Fund, the Transport Enterprise Fund, and the Living Coast Discovery Center Fund.
Discretely Presented Component Units - The City of Chula Vista has no discretely presented
component units to report upon.
62022/02/15 City Council Post Agenda Page 47 of 406
Fund Financial Statements and Major Component Unit Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources that have
been segregated for specific activities or objectives. The City, like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements. All the funds of the City can be divided into three categories: governmental
funds, proprietary funds, and fiduciary funds.
The fund financial statements provide detailed information about each of the City’s most
significant funds, called Major Funds. The concept of Major Funds, and the determination of which
are major funds, was established by GASB Statement 34 and replaces the concept of combining
like funds and presenting them in total. Instead, each Major Fund is presented individually, with
all Non-major Funds summarized and presented in a single column.
Governmental Funds – Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike
the government-wide financial statements, governmental fund financial statements focus on
near-term inflows and outflows of spendable resources, as well as on balances of spendable
resources available at the end of the fiscal year. Such information may be useful in evaluating a
government’s near-term financial capacity.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements.
By doing so, readers may better understand the long-term impact of the government’s near-term
financing decisions. Both the governmental fund balance sheet and the governmental fund
statement of revenues, expenditures, and changes in fund balances provide a reconciliation to
facilitate this comparison between governmental funds and governmental activities. These
reconciliations are presented on the pages immediately following each governmental fund
financial statement.
As of Fiscal Year 2020-21, the City maintains numerous governmental funds within the adopted
budget and its financial system. However, for financial reporting, the funds are summarized as
follows for presentation purposes:
Fund Category Major Funds Non‐Major Funds Total
General Fund 1 0 1
Special Revenue 2 14 16
Capital Project 1 9 10
Debt Service 3 2 5
Permanent 0 0 0
Total Presented 7 25 32
72022/02/15 City Council Post Agenda Page 48 of 406
Each major fund is presented separately in the governmental fund balance sheet and in the
governmental fund statement of revenues, expenditures, and changes in fund balance. Information
for the City’s remaining governmental funds is combined into a single, aggregated “Other
Governmental Funds” column. Individual fund data for each of these non-major governmental
funds is provided in the supplementary information portion of the report.
Proprietary Funds – The City maintains two different types of proprietary funds - enterprise funds
and internal service funds. Enterprise funds are used to report the same functions presented as
business-type activities in the government-wide financial statements. The City uses enterprise
funds to account for its sewer, development services, transit, and Chula Vista Elite Athlete
Training Center. Internal service funds are used to accumulate and allocate costs internally among
the City’s various functions. The City uses internal service funds to account for its vehicle fleet,
information systems, and workers’ compensation program. Because these services predominantly
benefit governmental rather than business-type functions, they have been included within
governmental activities in the governmental-wide financial statements.
Proprietary funds provide the same type of information as the government-wide financial
statements, only in more detail. Like the government-wide financial statements, proprietary fund
financial statements use the accrual basis of accounting. There is no reconciliation needed between
the government-wide financial statements for business-type activities and the proprietary fund
financial statements.
Fiduciary Funds – Fiduciary funds are used to account for resources held for the benefit of parties
outside the government. Fiduciary funds are not reflected in the government-wide financial
statements because the resources of those funds are not available to support the City’s own
programs.
Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data
provided in the government-wide and fund financial statements.
Required Supplementary Information
In addition to the basic financial statements and accompanying notes, this report also presents
certain required supplementary information concerning the City’s budgetary results for the general
fund and all major special revenue funds with an appropriated budget. Required supplementary
information also includes trend data for the City’s pension plans and other postemployment
benefits.
Other supplementary information, including combining statements for nonmajor governmental
funds, nonmajor proprietary funds, internal service funds, and all agency funds, are presented
immediately following the required supplementary information. Budgetary comparison schedules
are also included in this section for all nonmajor governmental funds with an appropriated budget.
82022/02/15 City Council Post Agenda Page 49 of 406
GOVERNMENT-WIDE FINANCIAL ANALYSIS
Net Position
As noted earlier, net position may serve over time as a useful indicator of a government’s financial
position. For the City of Chula Vista, total net position (governmental and business- type
activities) totaled $1,590.8 million at the close of the fiscal year ending June 30, 2021. This is a
net increase of $76.3 million when compared to the prior year. There was an increase in the City’s
governmental activities of $71.1 million and an increase in business-type activities of $5.2 million.
A summary schedule follows which shows the components that make up the City’s net position at
June 30, 2021 and 2020.
City of Chula Vista
Net Position
Fiscal Year Ending June 30
As the table above illustrates, an amount of $1,409.4 million is reported as invested in capital
assets (e.g. land, streets, sewers, buildings, improvements, equipment and work in progress), less
any related debt used to acquire those assets that are still outstanding (“net investment in capital
assets”). The City uses these capital assets to provide services to citizens; consequently, these
assets are not available for future spending. Although the City’s investment in its capital assets is
reported net of related debt, it should be noted that the resources needed to repay this debt must be
provided from other sources, since the capital assets themselves cannot be used to liquidate these
liabilities.
2021 2020 2021 2020 2021 2020
Current Assets 439,099,280$ 365,985,272$ 164,355,202$ 141,705,632$ 603,454,482$ 507,690,904$
Non‐Current Assets 14,578,279 25,883,098 (3,543,883) (271,207) 11,034,396 25,611,891
Capital Assets 1,251,471,456 1,206,204,465 321,060,921 317,722,714 1,572,532,377 1,523,927,179
Total Assets 1,705,149,015 1,598,072,835 481,872,240 459,157,139 2,187,021,255 2,057,229,974
Deferred outflow of resources 372,492,780 59,792,161 41,901,555 2,977,605 414,394,335 62,769,766
Total Deferred Outflows 372,492,780 59,792,161 41,901,555 2,977,605 414,394,335 62,769,766
Current Liabilities 55,107,750 47,548,825 12,971,432 1,943,844 68,079,182 49,492,669
Non‐Current Liabilities 852,540,821 507,360,494 85,803,878 39,255,525 938,344,699 546,616,019
Total Liabilities 907,648,571 554,909,319 98,775,310 41,199,369 1,006,423,881 596,108,688
Deferred inflows of resources 4,213,867 8,302,878 19,832 1,145,186 4,233,699 9,448,064
Total Deferred Inflows 4,213,867 8,302,878 19,832 1,145,186 4,233,699 9,448,064
Net Position
Net Investment in Capital Assets 1,092,307,720 1,048,711,594 317,133,368 317,722,714 1,409,441,088 1,366,434,308
Restricted 196,782,954 181,367,432 565,547 ‐ 197,348,501 181,367,432
Unrestricted (123,311,317) (135,426,227) 107,279,738 102,067,475 (16,031,579) (33,358,752)
Total Net Position 1,165,779,357$ 1,094,652,799$ 424,978,653$ 419,790,189$ 1,590,758,010$ 1,514,442,988$
Governmental Activities Business‐Type Activities Total
92022/02/15 City Council Post Agenda Page 50 of 406
A portion of the City’s net position is restricted for governmental activities – $197.3 million or
12.4% – and represents resources that are subject to external restrictions on how they may be used.
Restricted net position increased $15.9 million from the prior year mainly due to revenues
exceeding program costs for capital related projects, public safety, and community development
programs.
Unrestricted net position represents the portion of net position that can be used to finance daily
operations without constraints established by debt covenants, enabling legislation, or other legal
requirements. The remaining balance of unrestricted net position – ($16.0) million or (1.01%) –
is comprised of ($123.3) million for governmental activities offset by $107.3 million for business-
type activities, an increase of $17.3 million from the prior year.
At the end of the fiscal year, the City was able to report positive balances for all
categories of net position for its business-type activities, however, both the total primary
government as well as the governmental activities column show a negative unrestricted net
position as a result of net pension and total OPEB liabilities.
102022/02/15 City Council Post Agenda Page 51 of 406
Changes in Net Position
The statement of net position provides a snapshot at a given point in time of the assets and liabilities
of the City. The other citywide statement provided is the Statement of Activities and Changes in
Net Position. This statement provides the reader with information regarding the revenues, expenses
and changes in net position over the fiscal year. Generally, all changes to the City’s net position
from one fiscal year to the next flow through the Statement of Activities.
City of Chula Vista
Summary of Changes in Net Position
Fiscal Year Ending June 30
2021 2020 2021 2020 2021 2020
Revenues:
Program Revenues:
Charges for Services 44,606,846$ 82,498,211$ 53,304,108$ 54,844,065$ 97,910,954$ 137,342,276$
Operating Grants & Contributions 25,787,760 16,656,454 185,587 33,893 25,973,347 16,690,347
Capital Grants & Contributions 59,987,995 25,449,043 2,672,900 ‐ 62,660,895 25,449,043
General Revenues:
Property Taxes 66,864,796 62,905,983 ‐ ‐ 66,864,796 62,905,983
Sales Taxes 92,895,930 78,964,672 ‐ ‐ 92,895,930 78,964,672
Franchise Taxes 13,130,357 12,619,252 ‐ ‐ 13,130,357 12,619,252
Utility User Taxes 3,915,862 4,064,893 ‐ ‐ 3,915,862 4,064,893
Business License Taxes 1,680,475 1,531,921 ‐ ‐ 1,680,475 1,531,921
Transient Occupancy Taxes 5,270,799 4,522,127 ‐ ‐ 5,270,799 4,522,127
Property Transfer Taxes 1,685,405 1,398,348 ‐ ‐ 1,685,405 1,398,348
Construction Taxes 11,554,226 11,111,352 ‐ ‐ 11,554,226 11,111,352
Investment Earnings 4,836,055 14,062,136 1,175,687 5,450,627 6,011,742 19,512,763
Miscellaneous 13,635,554 13,897,888 7,245,994 380,617 20,881,548 14,278,505
Gain (Loss) Disposal of Capital Assets 105,741 ‐ 11,425 1,313 117,166 1,313
Total Revenues 345,957,801$ 329,682,280$ 64,595,701$ 60,710,515$ 410,553,502$ 390,392,795$
Expenses:
General Government 18,121,564$ 33,033,583$ ‐$ ‐$ 18,121,564$ 33,033,583$
Public Safety 131,262,122 125,991,666 ‐ ‐ 131,262,122 125,991,666
Community Development 8,555,836 11,768,626 ‐ ‐ 8,555,836 11,768,626
Public Works 68,218,192 69,016,705 ‐ ‐ 68,218,192 69,016,705
Parks and Recreation 40,789,923 16,592,077 ‐ ‐ 40,789,923 16,592,077
Library 4,505,740 1,107,068 ‐ ‐ 4,505,740 1,107,068
Interest on Long‐Term Debt 8,857,969 6,027,344 ‐ ‐ 8,857,969 6,027,344
Sewer Funds ‐ ‐ 39,808,699 38,523,661 39,808,699 38,523,661
Transit ‐ ‐ 8,461 13,923 8,461 13,923
Transport Fund ‐ ‐ 3,634,677 ‐ 3,634,677 ‐
Sewer DIFs ‐ ‐ 438,680 510,789 438,680 510,789
Development Services Fund ‐ ‐ 10,165,866 9,644,465 10,165,866 9,644,465
Living Coast Discovery Ctr ‐ ‐ 101,112 95,405 101,112 95,405
CV Elite Athlete Training Ctr ‐ ‐ 585,009 691,256 585,009 691,256
Total Expenses 280,311,346 263,537,069 54,742,504 49,479,499 335,053,850 313,016,568
Increase/(Decrease) in Net Position Before
Transfers 65,646,455 66,145,211 9,853,197 11,231,016 75,499,652 77,376,227
Transfers 4,664,733 4,352,954 (4,664,733) (4,352,954) ‐ ‐
Change in Net Position 70,311,188 70,498,165 5,188,464 6,878,062 75,499,652 77,376,227
Net Position, Beginning of Year ‐ Restated 1,095,468,169 1,024,154,634 419,790,189 412,912,127 1,515,258,358 1,437,066,761
Net Position, End of Year 1,165,779,357$ 1,094,652,799$ 424,978,653$ 419,790,189$ 1,590,758,010$ 1,514,442,988$
Governmental Activities Business‐Type Activities Total
112022/02/15 City Council Post Agenda Page 52 of 406
Further analysis is provided within the governmental and business-type activity sections below.
Governmental Activities
Governmental activities increased the City’s net position by $71.1 million, which partially offsets
the City’s negative unrestricted net position due to pension and OPEB related. The City received
a total of $130.4 million in program revenues from governmental activities in fiscal year 2020-21,
an increase of $5.8 million from the previous year. A comparison of the cost of services by
function for the City’s governmental activities is shown in the chart below, along with the program
revenues used to cover the net expenses of the governmental activities.
Total program revenues from governmental activities were $130.4 million in fiscal year
2020-21. Program revenues are derived directly from the program itself or from parties outside
the reporting government’s taxpayers or citizenry. They reduce the net cost of the function to be
financed from the government’s general revenues. A discussion of the different Program Revenue
categories and its components follows.
General
Government Public Safety Community
Development Public Works Parks and
Recreation Library
Expenses $18,121,564 131,262,122 8,555,836 68,218,192 40,789,923 4,505,740
Total Program Revenues $4,791,301 24,687,681 40,758,753 56,510,669 1,576,819 2,057,378
$‐
$20
$40
$60
$80
$100
$120
$140
MillionsExpenses and Program Revenues
Governmental Activities
122022/02/15 City Council Post Agenda Page 53 of 406
Charges for Services had a net decrease of ($37.9) million for governmental activities when
compared to the previous year mainly due to a change in accounting treatment for deferred loans
related to community development in fiscal year 2020 that resulted in a one-time catch up of
revenue. Changes by service category in comparison to the prior fiscal year are summarized in the
table below.
Charges for Services
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 3,685,466$ 1,194,045$ 2,491,421$
Public Safety 6,912,095 8,154,003 (1,241,908)
Community Development 10,780,843 46,290,223 (35,509,380)
Public Works 20,949,678 24,140,150 (3,190,472)
Parks and Recreation 1,576,819 2,066,000 (489,181)
Library 701,945 653,790 48,155
Total Charges for Services 44,606,846$ 82,498,211$ (37,891,365)$
Operating Grants and Contributions for governmental activities had a net increase of
$9.1 million from the previous fiscal year mainly due to federal contributions from the CARES
Act and the Emergency Rental Assistance Program. Changes by service category in comparison
to the prior fiscal year are summarized in the table below.
Operating Grants and Contributions
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 769,931$ 977,472$ (207,541)$
Public Safety 17,739,649 15,284,038 2,455,611
Community Development 7,190,803 309,753 6,881,050
Public Works 2,045 3,800 (1,755)
Library 85,332 81,391 3,941
Total Operating Grants and
Contributions 25,787,760$ 16,656,454$ 9,131,306$
132022/02/15 City Council Post Agenda Page 54 of 406
Capital Grants and Contributions for governmental activities had a net increase of $34.5 million
from the previous fiscal year mainly due to an increase in donated capital assets related to various
development projects throughout the City. Changes by service category in comparison to the prior
fiscal year are summarized in the table below.
Capital Grants and Contribution
As of June 30
Service Category 2021 2020
Increase/
(Decrease)
General Government 335,904$ 155,857$ 180,047$
Public Safety 35,937 14,835 21,102
Community Development 22,787,107 11,048,012 11,739,095
Public Works 35,558,946 13,190,030 22,368,916
Library 1,270,101 1,040,309 229,792
Total Capital Grants and
Contributions 59,987,995$ 25,449,043$ 34,538,952$
General Revenues are all other revenues not categorized as program revenues such as property
taxes, sales taxes and investment earnings. Total general revenues from governmental activities
were $214.5 million in fiscal year 2020-21. The largest source of general revenues received during
the year for governmental activities were taxes for a total of $197.0 million, which included
amounts from Property Taxes for $66.9 million, Sales Taxes for $92.9 million, and
Franchise Taxes for $13.1 million. All taxes combined increased a total of $19.9 million in
comparison to the prior year.
The City’s General Revenues increased overall by $10.4 million when compared to the prior fiscal
year. While most of the revenue categories increased moderately from last year, there were
significant increases in the collection of sales taxes and property tax. There was a significant
decrease in investment earnings in fiscal year 2020-21. The significant changes in comparison to
the prior year are identified in the table below.
General Revenues
As of June 30
2021 2020
Increase/
(Decrease)
Property Taxes 66,864,796$ 62,905,983$ 3,958,813$
Sales Taxes 92,895,930 78,964,672 13,931,258
Franchise Taxes 13,130,357 12,619,252 511,105
Utility User Taxes 3,915,862 4,064,893 (149,031)
Business License Taxes 1,680,475 1,531,921 148,554
Transient Occupancy Taxes 5,270,799 4,522,127 748,672
Property Transfer Taxes 1,685,405 1,398,348 287,057
Construction Taxes 11,554,226 11,111,352 442,874
Investment Earnings 4,836,055 14,062,136 (9,226,081)
Miscellaneous 13,635,554 13,897,888 (262,334)
Total General Revenues 215,469,459$ 205,078,572$ 10,390,887$
142022/02/15 City Council Post Agenda Page 55 of 406
The increase in property tax revenue can be attributed mainly to an increase in total assessed
property value combined with a significant decrease county-wide in the total number of
foreclosures in comparison to the prior year. The increase in s ales tax revenue is largely attributable
to the collection of sales taxes related to Measure A to fund staffing and services for public safety.
In addition, there was an increase in the collection of taxes related to transportation as well as in
the collection of general sales and use tax related to the economy turning around. Due to a drop in
interest rate yields across the board from the recent economic downturn, cash from maturing
investments was held in the County of San Diego Investment Pool rather than reinvested in the
market. A combination of lower interest rates and a shrinking portfolio caused the annual interest
earnings to decrease.
Total governmental activity type expenses were $280.3 million in fiscal year 2020-21. The largest
expenses were incurred for Public Safety, Public Works and Parks and Recreation. These three
activities combined account for 86% of all general activity expenses. These expenses do not
include capital outlays, which are reflected in the City’s capital assets.
Business Type Activities
Net position for business-type activities was $425.0 million, an increase of $5.2 million from the
prior fiscal year. Overall, expenses for the business-type activities showed a $5.3 million increase
over the prior fiscal year primarily related to the new transport program costs in relation to
providing emergency services to the residents of Chula Vista. Total program revenues for
business-type activities were $56.2 million and are composed primarily of sewer service charges
for $42.1 million and development fees for $10.6 million. Total expenses for the business-type
activities were $54.7 million and were mainly for expenses related to sewer activity for
$39.8 million and for processing development permits and plans for $10.2 million.
General Government
6%
Public Safety
47%
Community
Development
3%
Public Works
24%
Parks and Recreation
15%
Library
2%
Interest on Long‐Term
Debt
3%
Governmental Expenses by Activity
152022/02/15 City Council Post Agenda Page 56 of 406
FUND LEVEL FINANCIAL ANALYSIS
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements.
Governmental Funds
The City uses governmental fund accounting to ensure compliance with budgetary allocations and
to maintain control over resources that are legally, or otherwise, restricted for specific purposes.
The following is a discussion of the significant changes for the City’s major funds as shown on
the balance sheet for governmental funds in the basic financial statements.
General Fund – The General Fund is used to account for the general operations of the City. It is
used to account for all financial resources, except those required to be accounted for in another
fund. The General Fund is always reported as a major fund. For the fiscal year, the General Fund
reported $216.4 million in revenues and $209.2 million in expenditures. This resulted in revenues
over expenditures in the amount of $7.2 million. After accounting for net other financing uses of
$1.7 million, the fund balance for the General Fund increased by $5.5 million for the fiscal year.
Current expenditures decreased $12.3 million in comparison to the prior fiscal year with significant
increases in general government and public safety. Additional positions for public safety were
added this fiscal year funded with Measure A sales tax as well as increased overtime costs due to
the deployment of strike teams related to fire containment and the overall response from public
safety and general government to the COVID-19 pandemic. Capital outlay decreased by
$11.0 million from the prior year with decreased activity across various capital improvement
projects funded with Measure P and Measure A sales tax and unspent bond proceeds. Revenues
increased by $14.1 million from the prior year primarily due to increased sales tax from
Measure A and Measure P, revenue sources from intergovernmental, and contributions.
Total fund balance at June 30, 2021 was $119.1 million, composed of $136.7 million in assets
offset with $10.7 million in liabilities and $6.9 million in deferred inflows of resources related to
unavailable revenues. Total fund balance included $12.6 million of nonspendable amounts, which
represents the portion of fund balance that is not available for appropriation. Restricted fund
balance totaled $1.0 million in cash restricted for employee flexible spending account benefits.
Committed fund balance totaled $11.9 million, including $8.6 million committed for economic
contingency and $3.3 million committed for a catastrophic event contingency. This portion of
fund balance includes amounts that can only be used for specific purposes pursuant to constraints
imposed by formal action of the City Council and remains binding unless removed in the same
manner. Assigned fund balance, totaling $65.3 million, represents the portion of fund balance that
includes amounts that are constrained by the government’s intent to be used for specific purposes,
but that are neither restricted nor committed. The City Council has delegated its authority to assign
fund balance amounts to the City’s Director of Finance. The final component of total fund balance
is unassigned fund balance. Unassigned fund balance totaling $28.3 million, represents the portion
of fund balance that is available for appropriation for any purpose.
162022/02/15 City Council Post Agenda Page 57 of 406
Sundry Grants Fund – The Sundry Grants fund is to account for miscellaneous grants such as:
Supplemental Law Enforcement Services, California Library Services Act, Public Library Act,
Asset Seizure, Local Law Enforcement Block Grants, federal library grants, waste management
and recycling, energy conservation, parks and recreation, social service grants, Gayle McCandliss
memorial cultural arts, federal assistance, CDBG program income projects, HOME project, and
Community Development Block grants.
The Sundry Grants fund had total revenues of $22.8 million and expenditures of $20.5 million,
resulting in revenues over expenditures in the amount of $2.3 million. Revenues were $7.4 million
more in comparison to the prior fiscal year mainly due to increased contributions. The
Sundry Grants fund balance increased by $0.2 million for the fiscal year, after accounting for net
other financing uses of ($2.1) million. Total fund balance at June 30, 2021 was $8.7 million,
composed primarily of restricted fund balance, except for the amount classified as nonspendable
related to prepaid costs.
Housing Successor Agency Fund – The California legislature voted to end redevelopment
agencies on February 1, 2012. This fund was created as a result of the dissolution process and was
formerly known as the Low and Moderate Income Housing Fund. The City opted to become the
Successor Agency to the Redevelopment Agency and to the Low and Moderate Housing
Successor.
For the year, this fund had total revenues of $2.3 million composed primarily of interest earnings,
property rentals and loan repayments from affordable housing projects. Total fund balance as of
June 30, 2021 was $13.1 million, an increase of $0.8 million from the prior year. Fund balance
is composed of restricted fund balance.
Development Impact Fee Fund – This fund was established as a depository for various
development impact fees (DIFs). The fees are levied against all new development in the City in
order to pay for the construction or improvement of public facilities as a result of City growth.
Revenues for this fund totaled $13.1 million attributable to building permit fees for new
development. Expenditures totaled $2.9 million, composed primarily of capital expenditures on
Telegraph Canyon Drainage, Transportation DIF, and the Western Transportation DIF, for a
combined total of $2.2 million.
Total fund balance increased by $5.0 million for the year. At June 30, 2021, fund balance in the
amount of $62.4 million was presented as restricted fund balance related to various capital projects
for public facilities due to new development.
Proprietary Funds
The City’s Sewer Fund is reported as a major fund on the Statement of Net Position for Proprietary
Funds in the basic financial statements.
Sewer Fund– The Sewer fund is used to account for all activities related to providing sewer service
to the residents of Chula Vista. Resources for the fund come primarily from sewer service charges
paid for by users of the system. For the fiscal year, operating revenues totaled $42.5 million, a
decrease of $2.5 million from the prior fiscal year. In addition, non-operating revenues totaled
172022/02/15 City Council Post Agenda Page 58 of 406
$1.0 million which included interest income. Operating expenses totaled $39.7 million for the
fiscal year, with the most significant cost related to the wastewater treatment by the
City of San Diego in the amount of $30.0 million.
After accounting for all revenues and expenses, both operating and non-operating, net position of
the fund increased by $3.1 million for the year, totaling $263.7 million as of June 30, 2021. Of
total net position, $120.9 million is designated for sewer system infrastructure such as pump
stations, sewer lines and other related equipment and therefore not available to fund the
day-to-day operations of the sewer system. Current assets total $139.2 million, comprised of cash
and investments ($131.2 million) and accounts receivable ($8.0 million). Fund liabilities at the end
of the fiscal year totaled $28.8 million, of which $1.2 million were considered current liabilities,
with the remainder non-current liabilities primarily related to pension costs and other post-
employment benefits (OPEB). The fund had $13.2 million of bonded debt. In addition, the fund
reported deferred outflows of resources in the amount of $14.4 million and deferred inflows of
resources for $6,775 related to pension and OPEB costs.
Sewer Development Impact Fee Fund – This fund was established as a depository for sewer
development impact fees. The fees are levied against all new development in the City in order to
pay for the construction or improvement of public sewer facilities as a result of City growth.
Operating revenues totaled $0.6 million for the fiscal year. In addition, non-operating revenues
and expenses netted together for a total of $0.4 million in expenses over revenues mainly due to
interest expense greater than interest income for the year. Operating expenses totaled $35,541 for
the year, comprised mainly of administrative and general costs for operation.
Net position of the fund was a negative $13.7 million primarily due to an interfund loan and was
comprised of $4.2 million in assets and $18.0 million in liabilities (including the interfund loan
from the Sewer Fund). Please reference note 6 to the financial statements for additional
information on the advances from other funds.
Development Services Fund – This fund accounts for revenues and expenses related to the
processing of development plans and permits. The fund is comprised of three divisions, Planning,
Building, and Engineering, which provide direct services to property owners, developers, and the
City as required for the entitlement and/or improvement of property. The services provided
encompass most development activities, including land use entitlements; public infrastructure,
open space, and landscape planning; public infrastructure construction, grading and building
permits.
Operating revenues totaled $10.7 million and were primarily comprised of permits and fees.
Operating expenses totaled $10.0 million for the year, mostly comprised of personnel service costs.
Nonoperating revenues and expenses were comprised of interest revenue. The sum of all transfers
reflects funding to and from other funds for subsidies and overhead expenses.
Net position of the fund was negative $23.8 million for the fiscal year primarily due to liabilities
related to pensions. Assets (both current and noncurrent) totaled $13.8 million for the year.
Current liabilities were $12.4 million and noncurrent liabilities totaled $52.7 million primarily
consisting of liabilities related to pension costs and OPEB. In addition, the fund also reported
182022/02/15 City Council Post Agenda Page 59 of 406
deferred outflows of resources in the amount of $27.5 million and deferred inflows of resources
for $13,057 related to pension costs and OPEB.
Chula Vista Elite Athlete Training Center (CVEATC) Fund – This fund was established to
account for the CVEATC’s activities in partnership with Elite Athlete Services, the CVEATC
operator.
Net position decreased by $0.4 million from the prior year mainly due to depreciation expense and
administrative costs. This fund’s primary asset consists of the land and facilities held for the
Chula Vista Elite Athlete Training Center in the amount of $196.0 million. Current liabilities
totaled $0.5 million. Net position of the fund was $195.6 million primarily due to the facility
contribution from the US Olympic Committee in January 2017.
GENERAL FUND BUDGETARY HIGHLIGHTS
The final amended general fund budget totaled $253,898,666 including $17,814,497 in budget
amendments to the originally adopted budget, $17,651,138 carried forward for capital
improvements and encumbrances of $23,623,299 which will fund contractual obligations and
outstanding purchase orders. The budget amendments occurred because of: modification of
spending specific to Measure A, the City’s half cent sales tax which will fund public safety
staffing; Measure P, the City’s half cent sales tax which will fund infrastructure repair/replacement
over the next several years; staffing and organizational changes within various City departments;
transfers out to other funds; and new supplies and services appropriations approved subsequent to
budget adoption; spending in response to COVID-19. The General Funds’ budget amendments of
$17,814,497 are summarized as follows:
2020-189 FY2021 Ph 1 Budget Adjustments ($3,919,063)
2020-196 Appropriations (Measure A)$560,868
2020-206 Grant Appropriation (Animal Care Facility)$7,500
2020-274 First Quarter Budget Adjustments $2,334,710
2020-093 Economic Relief Appropriation (Econ)$200,000
2020-242 Appropriations (Measure A)$147,267
2021-040 Second Quarter Budget Adjustments $5,620,389
2020-235 Donation Appropriation (Parks & Recreation)$11,000
2021-041 CIP Appropriation (Engineering)$100,000
2020-043 Appropriations (Measure A)$128,985
2020-204 CARES Appropriations $2,428,564
2020-145 CARES Appropriations $2,669,121
2021-071 Third Quarter Budget Adjustments $1,025,770
2021-159 Grant Appropriation (Parks & Recreation)$13,000
2021-189 FY2021 Year-End Budget Adjustments $6,486,386
TOTAL GENERAL FUND BUDGET AMENDMENTS $17,814,497
192022/02/15 City Council Post Agenda Page 60 of 406
Revenues - Overall budgeted revenues were $225,424,528 and actuals were $228,530,437
resulting in revenues exceeding budget by $2,925,909. The significant General Fund revenue
variances were the following:
Taxes category revenue exceeded budget for a total of $3.2 million. This is primarily due
to Sales Tax revenues exceeded budget by $2.3 million because of increase in sales tax
revenues as a result of more online sales. The City is receiving more revenues due to the
Supreme Court decision in the South Dakota vs Wayfair, Inc. case, and recent legislative
changes by the State increasing the collection of sales and use taxes from out state
businesses doing business within the state.
Intergovernmental revenues were below budget for a total of $1.0 million. This includes
Federal FEMA reimbursement revenues coming in below budget by $0.7 million related
to COVID-19 related reimbursements that were not received within the fiscal year.
Reimbursement from Other Agencies for the City Jail was below budget by $0.7 million
related to decrease inmate population related to the COVID-19 pandemic. Reimbursement
from State Mandated Costs for prior year reimbursements exceeded budget by $0.3 million,
and Federal CARES funds exceeded budget by $0.1 million.
Licenses and permits category revenues exceeded budget for a total of $0.3 million related
to cannabis compliance inspection fees for newly established cannabis businesses to ensure
compliance to the municipal code.
Fines and forfeitures revenues were below budget for a total of $0.3 million. As a result of
the COVID-19 pandemic Library fines was below budget by $0.1 million due to library
facility closures and waiving the collection of fines and penalties. False Alarm Penalty
revenues were below budget by $0.1 million due to less activity with more people working
from their residences. Vehicles impound fees were below budget by $0.1 million because
of less people driving.
Expenditures - Overall budgeted expenditures were $253,898,666 and actuals were $222,813,332
resulting in expenditures under budget by $31,085,334. The significant General Fund revenue
variances were the following:
Capital outlay expenditures were below budget for a total of $26.3 million, which is due to
the timing of capital outlay expenditures for multi-year capital projects.
General Fund expenditures were below budget for a total of $4.8 million. Reductions in
expenditures were due in part to fiscally prudent approach undertaken by
City Departments. Departments limited non-essential spending and personnel saving
through the end of the fiscal year. The Police Department was under budget by $1.8 million,
Fire Department was under budget by $1.4 million, and the Library Department was under
budget by $0.6 million primarily from reduced expenditures in the personnel and supplies
and services categories.
202022/02/15 City Council Post Agenda Page 61 of 406
CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets
The City’s investment in capital assets for its governmental and business type activities as of
June 30, 2021, amounts to $1,572.5 million, net of accumulated depreciation of $716.1 million.
This investment in capital assets includes land, buildings, improvements, machinery and
equipment, infrastructure and construction in progress. Infrastructure assets are items that are
normally immovable and of value only to the City such as roads, bridges, streets and sidewalks,
drainage systems, lighting systems and similar items. The total change to the City’s investment in
capital assets for the current fiscal year was an increase of $48.6 million, net of accumulated
depreciation. Additional information on the City’s capital assets can be found in note 7 to the
financial statements.
Debt Administration
Long Term Debt - At June 30, 2021, the City had $517.6 million in debt outstanding compared to
$175.6 million last year, a net increase of $342.1 million or 194.8%, primarily due to the pension
obligation bonds in the amount of $350.0 million in addition to new capital leases in the amount
of $6.8 million, offset by principal repayments of $14.7 million. Most of the debt is in the form
of the pension obligation bonds, the Lease Revenue Bonds ($71.0 million), and Certificates of
Participation ($67.3 million). The remainder of the outstanding long-term debt is in the form of a
CDBG Section 108 Loan, unamortized bond premium, notes payable, and capital lease obligations.
The City has no outstanding general obligation debt.
As of June 30, 2021, the City received an AA long-term rating for its 2021 Taxable Pension
Obligation Bonds (POBs). At the same time, it was affirmed that the City maintains its AA- rating
by Standard & Poor's for the Chula Vista Public Financing Authority Certificates of Participation
and Chula Vista Municipal Financing Authority Lease Revenue Bonds, which represents a stable
outlook. Additional information on the City's long-term debt obligations can be found in note 8 of
the financial statements.
ECONOMIC FACTORS AND NEXT YEAR’S BUDGET
Assessed Valuation and Property Tax
According to the County of San Diego Assessors’ Office, the city’s total assessed valuation
(both secured and unsecured) for the 2020-21 fiscal year was $33,778,347,204. This is an increase
of $1,990,725,229, or 6.26% over the 2019-2020 assessed valuation. It should be noted that
assessed value was set as of January 1, 2021. Actual current secured property tax revenues for the
2020-21 fiscal year totaled $38.2 million, which is $2.1 million more than collected in the prior
year.
Building Activity
The valuation of all building and related permits totaled $478.8 million for the 2020-21 fiscal year.
This is approximately 81.2% more than the valuation of $264.1 million for these permit categories
in the prior fiscal year.
212022/02/15 City Council Post Agenda Page 62 of 406
Building Permit Valuation 2021 2020 Change $ Change %
Residential 328,455,056$ 140,054,504$ 188,400,552$ 134.5%
Non-Residential 60,216,359 41,102,408 19,113,951 46.5%
Additions & Alterations 89,823,253 82,946,811 6,876,442 8.3%
Demolitions 259,932 39,814 220,119 552.9%
Total 478,754,600$ 264,143,537$ 214,611,063$ 81.2%
As of June 30
The issuance of building permits is a result of several different factors, the largest of which are
market based. Permits are not pulled unless there is sufficient demand in the market, or the builders
are able to sell the homes for a sufficient price to cover costs and a profit margin. The other factor
impacting the issuance of building permits is the development timeline, and whether the
developers have all the necessary approvals in place to move forward with construction.
Local Economy
The San Diego area economy had showed signs of continued improvement over the past few years
as indicated with decreased unemployment. However, due to the COVID-19 pandemic beginning
in March 2020 and the ensuing economic recession, the unemployment rate had a significant spike
in prior year but decreased in fiscal year 2020-2021. According to the U.S. Bureau of Labor
Statistics, the seasonally unadjusted unemployment rate in San Diego County was 7.0 percent rate
in June 2021, which is lower than the 13.8 percent rate recorded one year ago in June 2020. The
regional unemployment rate for June 2021 remained slightly lower the state’s rate (7.6%) but
slightly higher than the national unemployment rate (5.9%). The City’s unemployment rate also
decreased from the prior year, 8.1 percent rate in June 2021 in comparison to 15.7 percent rate in
June 2020.
The consumer price index for the greater San Diego area showed an increase of 1.6 percent for the
calendar year 2020, which is lower than the 2.4 percent rate for calendar year 2019. Consumer
price index information for the San Diego area is only released twice each year, June and
December. The consumer price index for the first half of calendar year 2020 increased at an annual
rate of 1.3 percent, whereas the second half of the year showed a rate increase of 1.7 percent,
resulting in the overall total rate for the year of 1.5 percent. For the first half of calendar year
2021, the rate increased at a higher annual rate of 4.1.
In June 2021, the region’s housing market reported 1,947 existing single-family homes sold. On
average, single family homes in the region were on the market for 24 days in June 2021, a decrease
of 2 days of market time in comparison to June 2020.
The median price for the region in June 2021 was $780,000, an increase of 18.2% compared to
one year ago, when the median price was $660,000.
The table below presents the City’s five zip codes median listing price for single family homes
comparing data for June 2021 and June 2020. The information was obtained from Zillow Inc, a
company that tracks and analyzes real estate markets.
222022/02/15 City Council Post Agenda Page 63 of 406
Data for June 2021 Compared to June 2020
Zip Code Locale 2021 2020 Percent Change
91910 North 687,349$ 546,469$ 25.8%
91911 South 647,398 509,584 27.0%
91913 Eastlake 748,695 599,937 24.8%
91914 NE 717,098 574,925 24.7%
91915 SE 900,900 731,483 23.2%
Median Price
Fiscal Year 2020-2021 Budget
The City ended the 2020-21 fiscal year with an unassigned fund balance of $25.7 million and a
committed fund balance of $17.7 million, including $8.6 million for an Economic Contingency
Reserve and $3.3 million for a Catastrophic Events Contingency Reserve within the General Fund.
Assigned fund balance included $14.0 million in Measure P bond proceeds and transaction and
use taxes related to capital projects and $48.1 million is related to Measure A and Measure P sales
tax.
In May 2021, the Chula Vista City Council adopted the fiscal year 2021-22 budget which provides
$472.9 million in appropriations to fund all City activities. The General Fund budget total is
$218.1 million. The City continues to adopt a one-year budget.
The City’s property tax values continue to recover from the late 2000’s national mortgage crisis
and recession. Based on information received from the San Diego County Assessor, Chula Vista’s
projected change in total assessed value for fiscal year 2021-22 is 4.21% higher when compared
to 2020-21 total assessed values. Management budgeted anticipated property tax revenue growth
in 2021-22 at 3% greater than 2020-21 budgeted revenue.
REQUESTS FOR INFORMATION
This financial report is designed to provide a general overview of the City’s finances for all of its
citizens, taxpayers, customers, investors and creditors. Questions concerning any of the
information provided in this report or requests for additional information should be addressed to
the City of Chula Vista, Finance Department, 276 Fourth Avenue, Chula Vista, California 91910.
232022/02/15 City Council Post Agenda Page 64 of 406
242022/02/15 City Council Post Agenda Page 65 of 406
BASIC FINANCIAL STATEMENTS
252022/02/15 City Council Post Agenda Page 66 of 406
262022/02/15 City Council Post Agenda Page 67 of 406
GOVERNMENT-WIDE FINANCIAL
STATEMENTS
272022/02/15 City Council Post Agenda Page 68 of 406
282022/02/15 City Council Post Agenda Page 69 of 406
CITY OF CHULA VISTA
STATEMENT OF NET POSITION
JUNE 30, 2021
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments 333,017,146$ 149,868,734$ 482,885,880$
Restricted assets:
Cash and investments 1,899,439 -1,899,439
Cash with fiscal agent 9,134,957 15,615 9,150,572
Receivables:
Accounts 3,582,087 14,338,686 17,920,773
Taxes 22,786,785 -22,786,785
Accrued interest 56,015 -56,015
Deferred loans 58,867,790 -58,867,790
Due from other governments 10,884,089 9,544 10,893,633
Due from Successor Agency of Chula Vista RDA 9,147,838 -9,147,838
Internal balances 3,543,883 (3,543,883)-
Prepaid costs 757,530 122,623 880,153
Capital assets not being depreciated 579,475,133 189,454,832 768,929,965
Capital assets, net of depreciation 671,996,323 131,606,089 803,602,412
Total Assets 1,705,149,015 481,872,240 2,187,021,255
DEFERRED OUTFLOWS OF RESOURCES
Pension related 362,418,837 41,258,497 403,677,334
OPEB related 6,148,513 643,058 6,791,571
Deferred charge on refunding 3,925,430 -3,925,430
Total Deferred Outflows of Resources 372,492,780 41,901,555 414,394,335
LIABILITIES
Accounts payable 12,338,055 820,127 13,158,182
Accrued liabilities 5,006,020 607,416 5,613,436
Retention payable 1,546,906 110,214 1,657,120
Accrued interest payable 3,603,968 310,553 3,914,521
Deposits payable 3,751,602 11,123,122 14,874,724
Unearned revenue 28,861,199 -28,861,199
Noncurrent liabilities:
Due within one year:
Bonds, notes, and leases 19,719,894 1,586,582 21,306,476
Compensated absences 6,053,286 334,045 6,387,331
Claims and judgments 4,000,000 -4,000,000
Due in more than one year:
Net pension liability 312,749,485 39,215,709 351,965,194
Total OPEB liability 24,250,991 2,536,353 26,787,344
Bonds, notes, and leases 454,641,398 41,666,791 496,308,189
Compensated absences 4,118,100 464,398 4,582,498
Claims and judgments 27,007,667 -27,007,667
Total Liabilities 907,648,571 98,775,310 1,006,423,881
DEFERRED INFLOWS OF RESOURCES
Pension related 4,213,867 19,832 4,233,699
Total Deferred Inflows of Resources 4,213,867 19,832 4,233,699
NET POSITION
Net investment in capital assets 1,092,307,720 317,133,368 1,409,441,088
Restricted for:
Community development projects 37,758,734 -37,758,734
Public safety 6,588,216 -6,588,216
Parks and recreation 40,453,804 -40,453,804
Capital projects 110,657,781 565,547 111,223,328
Debt service 144,073 -144,073
Library 137,376 -137,376
Flexible spending account 1,042,970 -1,042,970
Unrestricted (deficit)(123,311,317) 107,279,738 (16,031,579)
Total Net Position 1,165,779,357$ 424,978,653$ 1,590,758,010$
Primary Government
The notes to financial statements are an integral part of this statement.292022/02/15 City Council Post Agenda Page 70 of 406
CITY OF CHULA VISTA
STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Operating Capital Total
Charges for Contributions Contributions Program
Expenses Services and Grants and Grants Revenues
FUNCTIONS/PROGRAMS:
Primary Government:
Governmental Activities:
General government 18,121,564$ 3,685,466$ 769,931$ 335,904$ 4,791,301$
Public safety 131,262,122 6,912,095 17,739,649 35,937 24,687,681
Community development 8,555,836 10,780,843 7,190,803 22,787,107 40,758,753
Public works 68,218,192 20,949,678 2,045 35,558,946 56,510,669
Parks and recreation 40,789,923 1,576,819 --1,576,819
Library 4,505,740 701,945 85,332 1,270,101 2,057,378
Interest on long-term debt 8,857,969 ----
Total Governmental Activities 280,311,346 44,606,846 25,787,760 59,987,995 130,382,601
Business-Type Activities:
Sewer Fund 39,808,699 42,091,953 13,504 2,672,900 44,778,357
Sewer Development Impact Fees 438,680 594,707 --594,707
Development Services Fund 10,165,866 10,617,448 165,605 -10,783,053
CV Elite Athlete Training Ctr 585,009 ----
Transit Fund 8,461 ----
Transport Enterprise 3,634,677 -6,478 -6,478
Living Coast Discovery Center 101,112 ----
Total Business-Type Activities 54,742,504 53,304,108 185,587 2,672,900 56,162,595
Total Primary Government 335,053,850$ 97,910,954$ 25,973,347$ 62,660,895$ 186,545,196$
GENERAL REVENUES
Taxes:
Property taxes, levied for general purpose
Transient occupancy taxes
Sales taxes
Franchise taxes
Business licenses taxes
Utility users tax
Residential Construction tax
Property transfer tax
Investment earnings
Miscellaneous
Gain on sale of capital asset
TRANSFERS
Total General Revenues and Transfers
Change in Net Position
NET POSITION - BEGINNING
Restatement
Net Position - Beginning, as restated
NET POSITION - ENDING
Program Revenues
The notes to financial statements are an integral part of this statement.302022/02/15 City Council Post Agenda Page 71 of 406
Primary Government
Governmental Business-Type
Activities Activities Total
(13,330,263)$ -$ (13,330,263)$
(106,574,441) -(106,574,441)
32,202,917 -32,202,917
(11,707,523)-(11,707,523)
(39,213,104)-(39,213,104)
(2,448,362)-(2,448,362)
(8,857,969)-(8,857,969)
(149,928,745)-(149,928,745)
- 4,969,658 4,969,658
-156,027 156,027
-617,187 617,187
- (585,009)(585,009)
-(8,461)(8,461)
- (3,628,199)(3,628,199)
- (101,112)(101,112)
- 1,420,091 1,420,091
(149,928,745) 1,420,091 (148,508,654)
66,864,796 -66,864,796
5,270,799 -5,270,799
92,895,930 -92,895,930
13,130,357 -13,130,357
1,680,475 -1,680,475
3,915,862 -3,915,862
11,554,226 -11,554,226
1,685,405 -1,685,405
4,836,055 1,175,687 6,011,742
13,635,554 7,245,994 20,881,548
105,741 11,425 117,166
4,664,733 (4,664,733)-
220,239,933 3,768,373 224,008,306
70,311,188 5,188,464 75,499,652
1,094,652,799 419,790,189 1,514,442,988
815,370 -815,370
1,095,468,169 419,790,189 1,515,258,358
1,165,779,357$ 424,978,653$ 1,590,758,010$
Net (Expenses) Revenues and Changes in Net Position
The notes to financial statements are an integral part of this statement.312022/02/15 City Council Post Agenda Page 72 of 406
322022/02/15 City Council Post Agenda Page 73 of 406
FUND FINANCIAL STATEMENTS
332022/02/15 City Council Post Agenda Page 74 of 406
342022/02/15 City Council Post Agenda Page 75 of 406
GOVERNMENTAL FUND FINANCIAL
STATEMENTS
352022/02/15 City Council Post Agenda Page 76 of 406
CITY OF CHULA VISTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2021
Capital
Projects Fund
General
ASSETS
Cash and investments 93,838,641$ 43,049,114$ 11,717,869$ 63,061,590$
Receivables:
Accounts 3,227,455 - -102,523
Taxes 21,528,528 160,699 --
Accrued interest 12,116 17,811 --
Deferred loans (net of allowance for uncollectibles)- 23,574,087 24,839,904 3,424,165
Due from other governments 1,383,622 6,533,907 --
Due from other funds 3,135,258 ---
Due from Successor Agency of Chula Vista RDA 9,095,666 -52,172 -
Prepaid costs 233,970 30,609 --
Advances to other funds 3,229,393 ---
Restricted assets:
Cash and investments 1,044,912 26,179 828,348 -
Cash and investments with fiscal agents 181 ---
Total Assets 136,729,742$ 73,392,406$ 37,438,293$ 66,588,278$
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE
Liabilities:
Accounts payable 3,122,411$ 3,846,156$ 1,215$ 165,532$
Retentions payable 904,639 31,326 -17,379
Accrued liabilities 4,522,678 412,808 --
Deposits payable 2,183,542 - --
Due to other funds ----
Unearned revenues - 28,840,035 --
Total Liabilities 10,733,270 33,130,325 1,215 182,911
Deferred Inflows of Resources:
Unavailable revenues 6,892,220 31,515,375 24,316,895 4,008,105
Total Deferred Inflows of Resources 6,892,220 31,515,375 24,316,895 4,008,105
Fund Balances:
Nonspendable:
Prepaid costs 233,970 30,609 --
Due from Successor Agency of Chula Vista RDA 9,095,666 ---
Advances to other funds 3,229,393 ---
Restricted:
Community development projects - 3,426,356 13,120,183 -
Public safety - 5,138,205 --
Parks and recreation - 14,160 --
Capital projects ---62,397,262
Debt service ----
Library - 137,376 --
Flexible spending account 1,042,970 ---
Committed:
Debt service ----
Economic contingency 8,617,195 ---
Catastrophic events contingency 3,287,109 ---
Assigned:
General government 1,434,943 - --
Public safety 467,559 - --
Parks and recreation 61,625 - --
Public works 29,125 - --
Community development 37,950 ---
Capital projects 14,021,590 - --
Library 419 - --
Public liability 1,086,536 - --
Measure P Sales Tax 19,538,721 ---
Measure A Sales Tax 28,603,557 ---
Unassigned 28,315,924 - --
Total Fund Balances 119,104,252 8,746,706 13,120,183 62,397,262
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 136,729,742$ 73,392,406$ 37,438,293$ 66,588,278$
Special Revenue Funds
Sundry Grants
Housing
Successor Agency
Development
Impact Funds
The notes to financial statements are an integral part of this statement.362022/02/15 City Council Post Agenda Page 77 of 406
CITY OF CHULA VISTA
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Due from other funds
Due from Successor Agency of Chula Vista RDA
Prepaid costs
Advances to other funds
Restricted assets:
Cash and investments
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Due from Successor Agency of Chula Vista RDA
Advances to other funds
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Library
Flexible spending account
Committed:
Debt service
Economic contingency
Catastrophic events contingency
Assigned:
General government
Public safety
Parks and recreation
Public works
Community development
Capital projects
Library
Public liability
Measure P Sales Tax
Measure A Sales Tax
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Other Total
Governmental Governmental
Funds Funds
-$ 63$ 2,300$ 110,962,430$ 322,632,007$
---215,714 3,545,692
--- 1,097,558 22,786,785
-9,274 -16,814 56,015
--- 7,029,634 58,867,790
--- 2,966,560 10,884,089
----3,135,258
----9,147,838
474,598 --14,051 753,228
----3,229,393
----1,899,439
6,355 5,330,921 - 3,797,442 9,134,899
480,953$ 5,340,258$ 2,300$ 126,100,203$ 446,072,433$
-$ 2,300$ 2,300$ 4,820,813$ 11,960,727$
---593,562 1,546,906
---28,789 4,964,275
--- 1,568,060 3,751,602
41 -- 2,680,574 2,680,615
---21,164 28,861,199
41 2,300 2,300 9,712,962 53,765,324
--- 7,450,528 74,183,123
--- 7,450,528 74,183,123
474,598 --14,051 753,228
----9,095,666
----3,229,393
--- 21,212,195 37,758,734
--- 1,450,011 6,588,216
--- 40,439,644 40,453,804
--- 48,260,519 110,657,781
---144,073 144,073
----137,376
----1,042,970
6,314 5,337,958 --5,344,272
----8,617,195
----3,287,109
----1,434,943
----467,559
----61,625
----29,125
----37,950
----14,021,590
----419
----1,086,536
----19,538,721
----28,603,557
--- (2,583,780)25,732,144
480,912 5,337,958 - 108,936,713 318,123,986
480,953$ 5,340,258$ 2,300$ 126,100,203$ 446,072,433$
Debt Service Funds
City Debt Service
Public Financing
Authority
Municipal
Financing
Authority
The notes to financial statements are an integral part of this statement.372022/02/15 City Council Post Agenda Page 78 of 406
382022/02/15 City Council Post Agenda Page 79 of 406
CITY OF CHULA VISTA
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET POSITION
JUNE 30, 2021
Amounts reported for governmental activities in the statement of net position are different because:
Total fund balances - governmental funds 318,123,986$
1,251,152,257
Deferred outflows - pension related 359,443,080$
Deferred outflows - OPEB related 6,101,745
Deferred inflows - pension related (4,212,444)
Total deferred outflows and inflows related to postemployment benefits 361,332,381
74,183,123
7,340,703
Bonds payable (138,175,000)
Private placement notes (6,616,007)
Pension-related debt (308,476,102)
Leases (6,497,094)
Compensated absences (10,119,260)
Claims (31,007,667)
Net pension liability (309,935,262)
Total OPEB liability (24,066,529)
Accrued interest payable on long-term debt (3,584,537)
Total long-term liabilities (838,477,458)
Deferred amount on refunding 3,925,430
Premium on bonds payable (11,801,065)
Total premiums, discounts, and deferred items (7,875,635)
Net Position of Governmental Activities 1,165,779,357$
Capital assets of $1,812,148,837, net of accumulated depreciation of $560,996,580, used in governmental activities are not financial
resources and, therefore, are not reported in the funds.
Other long-term assets that are not available to pay for current period expenditures and, therefore, are either deferred or not reported in the
funds.
Internal service funds are used by management to charge the cost of fleet management, technology replacement, and workers'
compensation to individual funds. The assets, deferred outflows or resources, liabilities, and deferred inflows of resources of the internal
service funds are included in governmental activities in the statement of net position.
Long-term liabilities that are not due and payable in the current period, and therefore, are not reported in the funds.
Governmental funds report the effect of premiums, discounts, and refundings and similar items when debt is first issued, whereas these
amounts are deferred and amortized in the statement of activities.
Differences between expected and actual experiences, assumption changes, net differences between projected and actual earnings, and
contributions subsequent to the measurement date for the postretirement benefits (pension and OPEB) are recognized as deferred outflows
of resources and deferred inflows of resources on the statement of net position.
The notes to financial statements are an integral part of this statement.392022/02/15 City Council Post Agenda Page 80 of 406
CITY OF CHULA VISTA
STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Capital
Projects Fund
General
Revenues:
Taxes 178,559,883$ -$ -$ -$
Licenses and permits 1,985,050 ---
Intergovernmental 8,675,075 13,557,162 --
Charges for services 6,724,422 1,757,240 1,044 542,234
Use of money and property 2,183,702 869,587 942,135 (37,257)
Fines and forfeitures 857,780 ---
Contributions 2,299,163 5,380,489 --
Developer participation 1,559,107 --12,610,844
Miscellaneous 14,502,841 1,235,665 1,334,234 -
Total Revenues 217,347,023 22,800,143 2,277,413 13,115,821
Expenditures:
Current:
General government 29,068,982 553,986 --
Public safety 114,003,738 9,215,609 --
Community development 6,914,497 9,205,929 1,517,437 656,741
Parks and recreation 10,279,207 ---
Public works 21,076,291 ---
Library 2,811,144 20,880 --
Capital outlay 24,876,665 1,465,354 -2,221,676
Debt service:
Principal retirement 763,233 --63,160
Interest and fiscal charges 134,388 ---
Total Expenditures 209,928,145 20,461,758 1,517,437 2,941,577
Excess (Deficiency) of Revenues
Over (Under) Expenditures 7,418,878 2,338,385 759,976 10,174,244
Other Financing Sources (Uses):
Transfers in 11,942,223 104,436 --
Transfers out (13,596,396) (2,242,078)-(5,214,073)
Proceeds from issuance of bonds ----
Total Other Financing Sources (Uses)(1,654,173) (2,137,642)-(5,214,073)
Net Change in Fund Balances 5,764,705 200,743 759,976 4,960,171
Fund Balances - Beginning 112,524,177 8,545,963 12,360,207 57,437,091
Restatements 815,370 ---
Fund Balances - Beginning, as Restated 113,339,547 8,545,963 12,360,207 57,437,091
Fund Balances - Ending 119,104,252$ 8,746,706$ 13,120,183$ 62,397,262$
Development
Impact Funds
Housing
Successor Agency Sundry Grants
Special Revenue Funds
The notes to financial statements are an integral part of this statement.402022/02/15 City Council Post Agenda Page 81 of 406
CITY OF CHULA VISTA
STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Revenues:
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Contributions
Developer participation
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Community development
Parks and recreation
Public works
Library
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Transfers in
Transfers out
Proceeds from issuance of bonds
Total Other Financing Sources (Uses)
Net Change in Fund Balances
Fund Balances - Beginning
Restatements
Fund Balances - Beginning, as Restated
Fund Balances - Ending
Other Total
Governmental Governmental
Funds Funds
-$ -$ -$ 7,423,766$ 185,983,649$
- - - 20,873 2,005,923
--- 15,041,883 37,274,120
--- 21,968,150 30,993,090
-21,169 -856,719 4,836,055
---488,712 1,346,492
----7,679,652
--- 1,785,400 15,955,351
--318,146 2,399,877 19,790,763
-21,169 318,146 49,985,380 305,865,095
51,090,168 20,301 74,776 1,053,319 81,861,532
162,784,730 --38,626 286,042,703
--- 1,158,753 19,453,357
34,078,056 ---44,357,263
51,064,151 -- 14,877,614 87,018,056
7,877,694 ---10,709,718
--- 20,945,192 49,508,887
- 3,860,000 7,400,000 1,168,155 13,254,548
1,100,352 2,957,894 3,505,457 263,225 7,961,316
307,995,151 6,838,195 10,980,233 39,504,884 600,167,380
(307,995,151) (6,817,026) (10,662,087) 10,480,496 (294,302,285)
- 6,832,996 10,662,387 1,677,720 31,219,762
--- (5,679,900)(26,732,447)
308,476,104 ---308,476,104
308,476,104 6,832,996 10,662,387 (4,002,180)312,963,419
480,953 15,970 300 6,478,316 18,661,134
(41) 5,321,988 (300) 102,458,397 298,647,482
----815,370
(41) 5,321,988 (300) 102,458,397 299,462,852
480,912$ 5,337,958$ -$ 108,936,713$ 318,123,986$
City Debt
Service
Public Financing
Authority
Municipal
Financing
Authority
Debt Service Funds
The notes to financial statements are an integral part of this statement.412022/02/15 City Council Post Agenda Page 82 of 406
CITY OF CHULA VISTA
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Amounts reported for governmental activities in the statement of activities are different because:
Net change in fund balances - total governmental funds 18,661,134$
14,195,576
Proceeds from issuances of long-term receivables 6,634,642$
Development impact fees (3,827,212)
Miscellaneous revenues 8,299,238
11,106,668
Donation of capital assets 31,152,057
Issuance of pension-related debt (308,476,104)
Leases issued (2,273,805)
Principal paid on bonds payable 11,260,000
Principal paid on private placement notes 1,024,638
Principal paid on leases 965,650
(297,499,621)
1,184,382
Accrued interest on long-term debt (2,029,851)
Amortization of bond premiums and discounts 1,486,612
Amortization of deferred amounts on refunding (324,007)
Compensated absences and claims (6,292,498)
Changes in pension liabilities and related deferred outflows and inflows of resources 300,990,593
Changes in OPEB liabilities and related deferred outflows and inflows of resources (2,319,857)
291,510,992
Change in Net Position of Governmental Activities 70,311,188$
Governmental funds report capital outlays as expenditures. However, in the statement of activites, the cost of these assets is allocated over
their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation expense
in the current period.
Revenues in the statement of activities that do not provide current financial resources are not reported as revenues in the funds.
The net effect of various miscellaneous transactions involving capital assets (i.e., sales, trade-ins, and donations) is to increase net position.
Bond and other debt proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the
Statement of Net Position. Repayment of bond and other debt principal is an expenditure in the governmental funds, but repayment reduces
long-term liabilities in the Statement of Net Position. Also, governmental funds report the effect of premiums, discounts, and similar items
when debt is first issued, whereas these amounts are deferred and amortized in the statement of activities.
The internal service funds are used by management to charge the costs of fleet management, technology replacement, and workers'
compensation to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities.
Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as
expenditures in the governmental funds.
The notes to financial statements are an integral part of this statement.422022/02/15 City Council Post Agenda Page 83 of 406
PROPRIETARY FUND FINANCIAL
STATEMENTS
432022/02/15 City Council Post Agenda Page 84 of 406
CITY OF CHULA VISTA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
JUNE 30, 2021
ASSETS
Current Assets:
Cash and investments 131,235,515$ 4,205,905 $ 13,550,220 $ -$
Cash with fiscal agent 273 -526 -
Accounts receivable 7,971,487 -16,527 93,600
Due from other governments 9,387 -157 -
Prepaid costs 20,362 - 102,261 -
Total Current Assets 139,237,024 4,205,905 13,669,691 93,600
Noncurrent Assets:
Advances to other funds 18,001,404 ---
Capital assets:
Land ---180,677,144
Construction in progress 8,763,248 14,440 --
Buildings and structures ---17,027,588
Machinery and equipment 7,763,255 -185,581 -
Infrastructure 251,035,587 121,387 --
Less accumulated depreciation (146,689,589) (18,235)(81,411)(1,687,434)
Total Noncurrent Assets 138,873,905 117,592 104,170 196,017,298
Total Assets 278,110,929 4,323,497 13,773,861 196,110,898
DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals 14,090,495 - 27,168,002 -
OPEB deferrals 280,607 -362,451 -
Total Deferred Outflows of Resources 14,371,102 -27,530,453 -
LIABILITIES
Current Liabilities:
Accounts payable 430,911 5,787 237,766 23,378
Accrued liabilities 181,251 -236,190 -
Accrued interest 91,974 -177,341 -
Compensated absences 173,017 -161,028 -
Retention payable 110,214 -30,802 -
Deposits payable -- 11,123,122 -
Due to other funds ---454,643
Bonds, notes, and capital leases 249,528 -474,243 -
Total Current Liabilities 1,236,895 5,787 12,440,492 478,021
Noncurrent Liabilities:
Accrued compensated absences 76,801 -387,597 -
Advances from other funds - 18,001,404 --
Bonds, notes, and capital leases 12,992,378 - 25,044,124 -
Net pension liability 13,396,792 - 25,818,917 -
Total OPEB liability 1,106,772 - 1,429,581 -
Total Noncurrent Liabilities 27,572,743 18,001,404 52,680,219 -
Total Liabilities 28,809,638 18,007,191 65,120,711 478,021
DEFERRED INFLOWS OF RESOURCES
Pension deferrals 6,775 -13,057 -
Total Deferred Inflows of Resources 6,775 -13,057 -
NET POSITION
Net investment in capital assets 120,872,501 117,592 104,170 196,017,298
Restricted for capital projects ----
Unrestricted 142,793,117 (13,801,286) (23,933,624)(384,421)
Total Net Position 263,665,618$ (13,683,694)$ (23,829,454)$ 195,632,877$
Adjustment to report the cumulative internal balance for the net effect of the activity
between the internal service funds and the enterprise funds over time.
Net Position of Business-Type Activities
Business-Type Activities - Enterprise Funds
Sewer
Development
Impact Fees
Development
Services Fund Sewer Fund
CV Elite Athlete
Training Ctr
The notes to financial statements are an integral part of this statement.442022/02/15 City Council Post Agenda Page 85 of 406
CITY OF CHULA VISTA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
JUNE 30, 2021
ASSETS
Current Assets:
Cash and investments
Cash with fiscal agent
Accounts receivable
Due from other governments
Prepaid costs
Total Current Assets
Noncurrent Assets:
Advances to other funds
Capital assets:
Land
Construction in progress
Buildings and structures
Machinery and equipment
Infrastructure
Less accumulated depreciation
Total Noncurrent Assets
Total Assets
DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals
OPEB deferrals
Total Deferred Outflows of Resources
LIABILITIES
Current Liabilities:
Accounts payable
Accrued liabilities
Accrued interest
Compensated absences
Retention payable
Deposits payable
Due to other funds
Bonds, notes, and capital leases
Total Current Liabilities
Noncurrent Liabilities:
Accrued compensated absences
Advances from other funds
Bonds, notes, and capital leases
Net pension liability
Total OPEB liability
Total Noncurrent Liabilities
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Pension deferrals
Total Deferred Inflows of Resources
NET POSITION
Net investment in capital assets
Restricted for capital projects
Unrestricted
Total Net Position
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
877,094 $ 149,868,734$ 10,385,139 $
14,816 15,615 58
6,257,072 14,338,686 36,395
-9,544 -
-122,623 4,302
7,148,982 164,355,202 10,425,894
- 18,001,404 -
- 180,677,144 -
- 8,777,688 -
- 17,027,588 -
4,428,554 12,377,390 6,464,254
- 251,156,974 -
(479,194) (148,955,863)(6,145,055)
3,949,360 339,062,325 319,199
11,098,342 503,417,527 10,745,093
- 41,258,497 2,975,757
-643,058 46,768
- 41,901,555 3,022,525
91,483 789,325 377,328
189,975 607,416 41,745
41,238 310,553 19,431
-334,045 41,600
-141,016 -
- 11,123,122 -
-454,643 -
862,811 1,586,582 51,962
1,185,507 15,346,702 532,066
-464,398 10,526
3,229,393 21,230,797 -
3,630,289 41,666,791 2,744,062
- 39,215,709 2,814,223
- 2,536,353 184,462
6,859,682 105,114,048 5,753,273
8,045,189 120,460,750 6,285,339
-19,832 1,423
-19,832 1,423
21,807 317,133,368 319,199
565,547 565,547 -
2,465,799 107,139,585 7,161,657
3,053,153$ 424,838,500 7,480,856$
140,153
424,978,653$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement.452022/02/15 City Council Post Agenda Page 86 of 406
CITY OF CHULA VISTA
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
OPERATING REVENUES
Sales and service charges 42,091,953$ 594,707$ 10,617,448$ -$
Interdepartmental charges ----
Other 365,672 -97,517 122,689
Total Operating Revenues 42,457,625 594,707 10,714,965 122,689
OPERATING EXPENSES
Administration and general 29,966,064 32,500 9,926,653 247,863
Source of supply 3,170,741 ---
Depreciation expense 6,547,934 3,041 37,116 337,146
Total Operating Expenses 39,684,739 35,541 9,963,769 585,009
Operating Income (Loss)2,772,886 559,166 751,196 (462,320)
NONOPERATING REVENUES (EXPENSES)
Intergovernmental 13,504 -165,605 -
Interest revenue 1,095,026 8,164 96,096 (6,715)
Interest expense (139,182) (403,139) (268,367)-
Gain (loss) on disposal of capital assets 11,425 ---
Total Nonoperating Revenues (Expenses)980,773 (394,975)(6,666)(6,715)
Income (Loss) Before Transfers and Capital Contributions 3,753,659 164,191 744,530 (469,035)
Transfers in --538,892 117,406
Transfers out (3,280,695)- (1,923,650)(31,280)
Capital contributions 2,672,900 ---
Changes in Net Position 3,145,864 164,191 (640,228)(382,909)
NET POSITION - BEGINNING 260,519,754 (13,847,885) (23,189,226)196,015,786
NET POSITION - ENDING 263,665,618$ (13,683,694)$ (23,829,454)$ 195,632,877$
Adjustment for the net effect of the current year activity between
the internal service funds and the enterprise funds
Changes in Net Position of Business-Type Activities
CV Elite Athlete
Training Ctr
Business-Type Activities - Enterprise Funds
Sewer Fund
Sewer
Development
Impact Fees
Development
Services Fund
The notes to financial statements are an integral part of this statement.462022/02/15 City Council Post Agenda Page 87 of 406
CITY OF CHULA VISTA
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
OPERATING REVENUES
Sales and service charges
Interdepartmental charges
Other
Total Operating Revenues
OPERATING EXPENSES
Administration and general
Source of supply
Depreciation expense
Total Operating Expenses
Operating Income (Loss)
NONOPERATING REVENUES (EXPENSES)
Intergovernmental
Interest revenue
Interest expense
Gain (loss) on disposal of capital assets
Total Nonoperating Revenues (Expenses)
Income (Loss) Before Transfers and Capital Contributions
Transfers in
Transfers out
Capital contributions
Changes in Net Position
NET POSITION - BEGINNING
NET POSITION - ENDING
Adjustment for the net effect of the current year activity between
the internal service funds and the enterprise funds
Changes in Net Position of Business-Type Activities
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
-$ 53,304,108$ -$
--7,971,773
6,660,116 7,245,994 207,993
6,660,116 60,550,102 8,179,766
3,215,779 43,388,859 7,016,692
- 3,170,741 -
467,158 7,392,395 152,999
3,682,937 53,951,995 7,169,691
2,977,179 6,598,107 1,010,075
6,478 185,587 2,045
(16,884) 1,175,687 -
(61,313) (872,001)(29,405)
-11,425 105,741
(71,719)500,698 78,381
2,905,460 7,098,805 1,088,456
101,112 757,410 218,942
(186,518) (5,422,143)(41,524)
- 2,672,900 -
2,820,054 5,106,972 1,265,874
233,099 6,214,982
3,053,153$ 7,480,856$
81,492
5,188,464$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement.472022/02/15 City Council Post Agenda Page 88 of 406
CITY OF CHULA VISTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers and users 41,726,848$ 594,707$ 14,612,264$ 102,519$
Cash received from interfund service provided ----
Cash paid to suppliers for goods and services (28,925,425)(12,186)(37,440)(306,705)
Cash paid to employees for services (17,844,038)(18,149) (33,735,416)-
Net Cash Provided by (Used for)
Operating Activities (5,042,615) 564,372 (19,160,592)(204,186)
CASH FLOWS FROM NON-CAPITAL
FINANCING ACTIVITIES
Proceeds from issuance of pension bonds 13,228,120 - 25,518,367 -
Cash transfers in --538,892 117,406
Cash received from interfund borrowings 96,861 --124,775
Grant subsidies 18,546 -184,913
Cash transfers out (3,280,695)- (1,923,650)(31,280)
Interest paid on interfund borrowings - (403,139)--
Repayment of interfund borrowings -(96,861)--
Interest paid on pension bonds (47,208)(91,026)
Net Cash Provided by (Used for)
Non-Capital Financing Activities 10,015,624 (500,000) 24,227,496 210,901
CASH FLOWS FROM CAPITAL
AND RELATED FINANCING ACTIVITIES
Proceeds from sales of capital assets 11,425 ---
Proceeds from capital debt ----
Acquisition and construction of capital assets (3,662,237)(9,215)--
Principal paid on capital debt (3,459)---
Interest paid on capital debt ----
Net Cash Provided by (Used for)
Capital and Related Financing Activities (3,654,271) (9,215) --
CASH FLOWS FROM INVESTING ACTIVITIES
Investment earnings 1,095,026 8,164 96,096 (6,715)
Net Cash Provided by (Used for)
Investing Activities 1,095,026 8,164 96,096 (6,715)
Net Increase (Decrease)
in Cash and Cash Equivalents 2,413,764 63,321 5,163,000 -
CASH AND CASH EQUIVALENTS - JULY 1 128,822,024 4,142,584 8,387,746 -
CASH AND CASH EQUIVALENTS - JUNE 30 131,235,788$ 4,205,905$ 13,550,746$ -$
Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 131,235,515$ 4,205,905$ 13,550,220$ -$
Cash with fiscal agent 273 -526 -
Total Cash and Cash Equivalents reported
on the Statement of Net Position 131,235,788$ 4,205,905$ 13,550,746$ -$
Sewer Fund
Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr
The notes to financial statements are an integral part of this statement.482022/02/15 City Council Post Agenda Page 89 of 406
CITY OF CHULA VISTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers and users
Cash received from interfund service provided
Cash paid to suppliers for goods and services
Cash paid to employees for services
Net Cash Provided by (Used for)
Operating Activities
CASH FLOWS FROM NON-CAPITAL
FINANCING ACTIVITIES
Proceeds from issuance of pension bonds
Cash transfers in
Cash received from interfund borrowings
Grant subsidies
Cash transfers out
Interest paid on interfund borrowings
Repayment of interfund borrowings
Interest paid on pension bonds
Net Cash Provided by (Used for)
Non-Capital Financing Activities
CASH FLOWS FROM CAPITAL
AND RELATED FINANCING ACTIVITIES
Proceeds from sales of capital assets
Proceeds from capital debt
Acquisition and construction of capital assets
Principal paid on capital debt
Interest paid on capital debt
Net Cash Provided by (Used for)
Capital and Related Financing Activities
CASH FLOWS FROM INVESTING ACTIVITIES
Investment earnings
Net Cash Provided by (Used for)
Investing Activities
Net Increase (Decrease)
in Cash and Cash Equivalents
CASH AND CASH EQUIVALENTS - JULY 1
CASH AND CASH EQUIVALENTS - JUNE 30
Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments
Cash with fiscal agent
Total Cash and Cash Equivalents reported
on the Statement of Net Position
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
403,044$ 57,439,382$ -$
--8,202,571
(1,677,052) (30,958,808)(6,228,868)
(1,265,315) (52,862,918)(3,362,317)
(2,539,323) (26,382,344)(1,388,614)
- 38,746,487 2,796,024
101,112 757,410 218,942
3,229,393 3,451,029 -
6,478 209,937 2,045
(186,518) (5,422,143)(41,524)
- (403,139)-
-(96,861)-
(138,234)(9,974)
3,150,465 37,104,486 2,965,513
-11,425 105,741
4,493,100 4,493,100 -
(4,386,250) (8,057,702)(72,357)
-(3,459)-
(20,075)(20,075)-
86,775 (3,576,711)33,384
(16,884) 1,175,687 -
(16,884) 1,175,687 -
681,033 8,321,118 1,610,283
210,877 141,563,231 8,774,914
891,910$ 149,884,349$ 10,385,197$
877,094$ 149,868,734$ 10,385,139$
14,816 15,615 58
891,910$ 149,884,349$ 10,385,197$
Business-Type Activities -
Enterprise Funds
The notes to financial statements are an integral part of this statement.492022/02/15 City Council Post Agenda Page 90 of 406
CITY OF CHULA VISTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
Sewer Fund
Sewer
Development
Impact Fees
Business-Type Activities - Enterprise Funds
Development
Services Fund
CV Elite Athlete
Training Ctr
Operating income (loss)2,772,886$ 559,166$ 751,196$ (462,320)$
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:
Depreciation 6,547,934 3,041 37,116 337,146
(Increase) decrease in accounts receivable (730,777) - (9,734)(20,170)
(Increase) decrease in prepaid costs (2,804)- (102,261)-
Increase (decrease) in accounts payable (285,037) 2,165 34,019 (58,842)
Increase (decrease) in retentions payable 69,016 -30,802 -
Increase (decrease) in accrued liabilities 8,679 -9,560 -
Increase (decrease) in deposits payable -- 3,907,033 -
Increase (decrease) in compensated absences (13,148)-(34,195)-
Increase (decrease) in net pension liability (13,455,200)- (23,904,813)-
Increase (decrease) in total OPEB liability 45,836 -120,685 -
Total Adjustments (7,815,501)5,206 (19,911,788)258,134
Net Cash Provided by (Used for)
Operating Activities (5,042,615)$ 564,372$ (19,160,592)$ (204,186)$
Non-Cash Investing, Capital, and Financing Activities:
Donated capital assets 2,672,900$ -$ -$ -$
Unrealized gain/(loss) on investments (1,722,940)(73,575)(3,723)(6,715)
The notes to financial statements are an integral part of this statement.502022/02/15 City Council Post Agenda Page 91 of 406
CITY OF CHULA VISTA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FISCAL YEAR ENDED JUNE 30, 2021
Operating income (loss)
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:
Depreciation
(Increase) decrease in accounts receivable
(Increase) decrease in prepaid costs
Increase (decrease) in accounts payable
Increase (decrease) in retentions payable
Increase (decrease) in accrued liabilities
Increase (decrease) in deposits payable
Increase (decrease) in compensated absences
Increase (decrease) in net pension liability
Increase (decrease) in total OPEB liability
Total Adjustments
Net Cash Provided by (Used for)
Operating Activities
Non-Cash Investing, Capital, and Financing Activities:
Donated capital assets
Unrealized gain/(loss) on investments
Governmental
Activities
Other
Enterprise Internal
Funds Totals Service Funds
Business-Type Activities -
Enterprise Funds
2,977,179$ 6,598,107$ 1,010,075$
467,158 7,392,395 152,999
(6,257,072) (7,017,753)22,805
- (105,065)(4,302)
83,437 (224,258)(12,051)
-99,818 -
189,975 208,214 12,259
- 3,907,033 -
-(47,343)512
- (37,360,013)(2,575,730)
-166,521 4,819
(5,516,502) (32,980,451)(2,398,689)
(2,539,323)$ (26,382,344)$ (1,388,614)$
-$ 2,672,900$ -$
(21,980) (1,828,933) -
The notes to financial statements are an integral part of this statement.512022/02/15 City Council Post Agenda Page 92 of 406
CITY OF CHULA VISTA
STATEMENT OF FIDUCIARY NET POSITION
FIDUCIARY FUNDS
JUNE 30, 2021
Custodial
Funds
ASSETS
Cash and cash equivalents 3,142,919$ 12,375,642$
Cash and cash equivalents held with fiscal agents -34,275,770
Accounts receivable 303,560 -
Taxes receivable -72,886
Notes and loans receivable 121,769 -
Capital assets, not being depreciated 5,600,080 -
Capital assets, net of accumulated depreciation 845,856 -
Total Assets 10,014,184 46,724,298
DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding 1,252,258 -
Total Deferred Outflows of Resources 1,252,258 -
LIABILITIES
Accounts payable 2,550 26,747
Accrued liabilities 1,328 -
Accrued interest 242,311 2,123,391
Due to other governments 55,141 -
Due to the City of Chula Vista 9,159,926 -
Unearned revenues 121,769 -
Long-term liabilities:
Bonds payable - due in one year 1,840,000 6,400,000
Bonds payable - due in more than one year 24,445,849 138,857,436
Total Liabilities 35,868,874 147,407,574
NET POSITION
Restricted:
Individuals, organizations, and other governments (24,602,432)(100,683,276)
Total Net Position (24,602,432)$ (100,683,276)$
Private-Purpose
Trust Fund
Successor Agency
of the Former
Chula Vista RDA
The notes to financial statements are an integral part of this statement.
522022/02/15 City Council Post Agenda Page 93 of 406
CITY OF CHULA VISTA
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
FIDUCIARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
ADDITIONS
Investment Earnings:
Net increase (decrease) in fair value of investments (82,629)$ 1,924$
Interest, dividends, and other 57,472 235,761
Net Investment Earnings (25,157)237,685
Taxes 2,722,849 -
Special assessments -12,932,813
Miscellaneous -1,775,267
Total Additions 2,697,692 14,945,765
DEDUCTIONS
Administrative expenses 236,085 412,951
Contractual services 222,217 12,548,090
Interest expense 852,485 8,450,367
Depreciation expense 47,724 -
Total Deductions 1,358,511 21,411,408
Net Increase (Decrease) in Fiduciary Net Position 1,339,181 (6,465,643)
NET POSITION - BEGINNING (25,941,613)-
Restatements -(94,217,633)
Net Position - Beginning, as restated (25,941,613)(94,217,633)
NET POSITION - ENDING (24,602,432)$ (100,683,276)$
Custodial Funds
Private-Purpose
Trust Fund
Successor Agency
of the Former
Chula Vista RDA
The notes to financial statements are an integral part of this statement.
532022/02/15 City Council Post Agenda Page 94 of 406
542022/02/15 City Council Post Agenda Page 95 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
NOTE DESCRIPTION PAGE
1 Reporting Entity and Summary of Significant Accounting Policies ................................................................. 57
2 Reconciliation of Government-Wide and Fund Financial Statements ............................................................... 68
3 Stewardship, Compliance, and Accountability .................................................................................................. 69
4 Cash and Investments ....................................................................................................................................... 70
5 Receivables ....................................................................................................................................................... 75
6 Interfund Balances and Transactions ................................................................................................................ 79
7 Capital Assets ................................................................................................................................................... 81
8 Long-Term Liabilities ....................................................................................................................................... 83
9 Unearned Revenue ............................................................................................................................................ 93
10 Compensated Absences .................................................................................................................................. 93
11 Self-Insurance Accrued Liabilities ................................................................................................................. 94
12 Pension Plans .................................................................................................................................................. 94
13 Post Retirement Health Benefits ................................................................................................................... 101
14 Commitments and Contingencies ................................................................................................................. 105
552022/02/15 City Council Post Agenda Page 96 of 406
562022/02/15 City Council Post Agenda Page 97 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies
The basic financial statements of the City of Chula Vista, California (the “City”) have been prepared in conformity
with generally accepted accounting principles 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 more significant of the City’s
accounting policies are described below.
A. Reporting Entity
The City, incorporated in 1911, was recognized as a city in the State of California by election in 1949. The City
operates under an elected Council and appointed City Manager form of government and provides the following
services as authorized by its charter: public safety, community services, engineering services, planning services,
public works, general administrative services, and capital improvements.
The financial reporting entity consists of the primary government, the City, and its component units. Component
units are legally separate entities for which the elected officials of the primary government are financially
accountable. In addition, component units can be other organizations for which the primary government is
accountable, and their exclusion would cause the reporting entity’s financial statements to be misleading or
incomplete.
Blended component units, although legally separate entities, are, in substance part of the primary government’s
operation and so data from these units are combined with data of the primary government. Discretely presented
component units, on the other hand, are reported in a separate column in the combined financial statements to
emphasize that they are legally separate from the primary government.
The City Council acts as the governing body and is able to impose its will on the following organizations,
establishing financial accountability and operational responsibility. As a result, these organizations are considered
component units of the City and are included within the financial statements of the City using the blended method.
All component units have a June 30 year-end. The City has no discretely presented component units.
The Chula Vista Industrial Development Authority (the “Development Authority”)
The Development Authority was formed in February 1982 for the purpose of promoting and developing
commercial, industrial, and manufacturing enterprises and encouraging employment. The governing body of
the Development Authority is comprised of the members of the City Council. The Development Authority’s
financial data and transactions are included within the capital projects fund type. The City does not produce
separate financial statements for the Development Authority.
The Chula Vista Public Financing Authority (the “Public Financing Authority”)
The Public Financing Authority was established by resolution, pursuant to the City Charter and Constitution
of the State of California, as a public body, to serve the public purposes of the City. The resolution was
adopted on April 4, 1995. The Public Financing Authority was established by a joint exercise of powers
agreement between the City and the Redevelopment Agency. The governing body of the Public Financing
Authority is comprised of the consenting members of the City Council. The Public Financing Authority is
authorized to borrow money for the purpose of financing the acquisition of bonds, notes, and other obligations
of, or for the purpose of making loans to the City and/or to refinance outstanding obligations of the City.
The Chula Vista Municipal Financing Authority (the “Municipal Financing Authority”)
The Municipal Financing Authority was established by resolution, pursuant to the City Charter and
Constitution of the State of California, as a public body, to serve the public purposes of the City. The
resolution was adopted on June 11, 2013. The Municipal Financing Authority was established by a joint
exercise of powers agreement between the City and the Housing Authority. The governing body of the
572022/02/15 City Council Post Agenda Page 98 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
A. Reporting Entity (Continued)
The Chula Vista Public Financing Authority (the “Public Financing Authority”) (Continued)
Municipal Financing Authority is comprised of the consenting members of the City Council. The Municipal
Financing Authority is authorized to borrow money for the purpose of financing the acquisition of bonds,
notes, and other obligations of, or for the purpose of making loans to the City and/or to refinance outstanding
obligations of the City.
The Chula Vista Housing Authority (the “Housing Authority”)
The Housing Authority was created by the City of Chula Vista City Council (“City Council”) in March 1993
to centrally coordinate and administer the City’s programs for promoting balanced housing for families of all
income levels. It was established pursuant to the State of California Health and Safety Code, Section 34200.
It is empowered to develop, finance and own low-income housing within the territorial limits of the
City of Chula Vista. It uses a variety of local, state, and federal funding sources to administer and finance
these programs. It is also the financing vehicle for the issuance of bonds for housing programs and services.
The Housing Authority’s financial data and transactions are included within the special revenue fund type.
The City does not produce separate financial statements for the Housing Authority.
Fiduciary component units are legally separate entities for which the City has a financial accountability for
due to the City Council appointing the majority of the members of the component units’ respective Boards
of Directors, and thereby being able to significantly influence and impose the City’s will on the component
units’ activities. The assets of these component units are not held in a trust but are held for the benefit of
organizations and other governments that are not part of the City; additionally, the assets of these component
units are not derived from the City’s provision of goods or services to them. The following entities are
considered to be fiduciary component units and are reported as Custodial Funds:
The Chula Vista Bayfront Facilities Financing Authority (the “Bayfront Financing Authority”)
The Bayfront Financing Authority was created as a joint powers agreement between the
City of Chula Vista, the County of San Diego, and the San Diego Unified Port District for the purpose of
issuing tax exempt debt obligations to finance development of the Chula Vista Bayfront Master Plan area.
The Bayfront Financing Authority does not issue separate financial statements.
The Bayfront Project Special Tax Financing District (the “Bayfront District”)
The Bayfront District was created as a joint powers agreement between the City of Chula Vista and the
San Diego Unified Port District for the purpose of financing the acquisition or construction of certain public
and private improvement and funding of certain services within the Chula Vista Bayfront Master Plan area.
The Bayfront District does not issue separate financial statements.
B. Basis of Accounting and Measurement Focus
The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting
entity. The operations of each fund are accounted for by providing a separate set of self-balancing accounts that
comprise its assets, liabilities, fund equity, revenues and expenditures, or expenses, as appropriate. Fund
accounting segregates funds according to their intended purpose and is used to aid management in demonstrating
compliance with finance-related legal and contractual provisions. The minimum number of funds is maintained
in accordance with legal and managerial requirements.
582022/02/15 City Council Post Agenda Page 99 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Government - Wide Financial Statements
The City’s Government-Wide Financial Statements include a Statement of Net Position and a
Statement of Activities. These statements present summaries of governmental and business-type activities for the
City accompanied by a total column. Fiduciary activities of the City 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 the City’s assets and deferred outflows as well as liabilities and deferred inflows,
with the difference reported as net position are presented in the accompanying Statement of Net Position. Also
presented in this statement are capital assets including infrastructure assets as well as long-term liabilities.
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 City in three categories:
Charges for services
Operating grants and contributions
Capital grants and contributions
Governmental Fund Financial Statements
Governmental Fund Financial Statements include a Balance Sheet and a Statement of Revenues, Expenditures
and Changes in Fund Balances for all major governmental funds and aggregate non-major governmental funds.
An accompanying schedule is presented to reconcile and explain the differences in total fund balance as presented
in these statements to the Net Position presented in the Government-Wide Financial Statements. The City has
presented all major funds that met the applicable criteria.
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) to fund balances.
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.
Revenues become available when received in cash, except for revenue which is subject to accrual and are
recognized when due by the City. Generally, 60 days after year-end for primary revenue sources (i.e., property
tax, sales tax, intergovernmental revenues, and other taxes). Revenue recognition for grants is up to one year.
Expenditures are recorded in the accounting period in which the related fund liability is incurred.
Unavailable revenues arise when potential revenues do not meet both the “measurable” and “available” criteria
for recognition in the current period. Unearned revenues arise when the government receives cash 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,
unavailable and unearned revenue is removed from the Balance Sheet and recognized as revenue.
The Reconciliation of the Fund Financial Statements to the Government-Wide Financial Statements is provided
to explain the differences created by the integrated approach of GASB Statement No. 34.
592022/02/15 City Council Post Agenda Page 100 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Governmental Fund Financial Statements (Continued)
The City reports the following major Governmental Funds:
General Fund – This is the primary operating fund of the City. It is used to account for all revenues and
expenditures that are not required to be accounted for in another fund.
Sundry Grants Special Revenue Fund – This fund consists of miscellaneous grants/revenues such as:
Supplemental law enforcement services, CBAG, California Library Services Act, asset seizure, local law
enforcement block grants, California Recreation grants, Public Safety grants, ARRA grants,
waste management and recycling, energy conservation, emergency shelter program, HOME program,
CDBG program income project, and Community Development Block grants.
Housing Successor Agency Special Revenue Fund – This fund was established pursuant to Health and
Safety Code Section 34176(b)(2) and is used to fund Low- and Moderate-Income Housing and related
expenditures through the collection of property taxes. The Low- and Moderate-Income Housing Successor
Fund was created due to the dissolution of the Chula Vista RDA. In accordance with Health and Safety Code
Section 34176(b)(2), on February 1, 2013, all rights, powers, assets, liabilities, duties, and obligations of the
Low- and Moderate-Income Housing Fund were transferred to the Low- and Moderate-Income Housing
Successor Agency special revenue fund.
Development Impact Capital Projects Fund – This fund was established as a depository of various
development impact fees. The fees are levied against all new development in the City in order to pay for the
construction or improvement of public facilities as a result of City growth.
City Debt Service Debt Service Fund – This fund is used to account for the activities of the City’s bonds
(not issued by the Public Financing Authority or Municipal Financing Authority), notes, and capital leases.
Public Financing Authority Debt Service Fund – This fund is used to account for financing the acquisition
of bonds, notes and other obligations of, or for the purpose of making loans to the City and / or to refinance
outstanding obligations of the City.
Municipal Financing Authority Debt Service Fund – This fund is used to account for the financing or
refinancing activities for the acquisition, construction, and improvement of public capital improvements.
Proprietary Fund Financial Statements
Proprietary Fund Financial Statements include a Statement of Net Position, a Statement of Revenues, Expenses
and Changes in Fund Net Position, and a Statement of Cash Flows for each major Proprietary Fund and aggregate
non-major proprietary funds.
A separate column representing internal service funds is also presented in these statements. However, internal
service balances and activities have been combined with the governmental activities in the Government-Wide
Financial Statements. The City’s internal service funds include three individual funds which provide services
directly to other City funds. These areas of service include Fleet and Vehicle Maintenance, Information
Technology Replacement, and Workers Compensation.
Proprietary funds are accounted for using the "economic resources" measurement focus and the accrual basis of
accounting. Accordingly, all assets and liabilities (whether current or noncurrent) are included on the
Statement of Net Position. The Statement of Revenues, Expenses and Changes in Fund Net Position presents
increases (revenues) and decreases (expenses) in total Net Position. Under the accrual basis of accounting,
602022/02/15 City Council Post Agenda Page 101 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Proprietary Fund Financial Statements (Continued)
revenues are recognized in the period in which they are earned while expenses are recognized in the period in
which the liability is incurred. In these funds, receivables have been recorded as revenue and provisions have
been made for uncollectible amounts.
Operating revenues in the proprietary funds are those revenues that are generated from the primary operations of
the fund. All other revenues are reported as non-operating revenues. Operating expenses are those expenses that
are essential to the primary operations of the fund. All other expenses are reported as non-operating expenses.
The City reports the following major proprietary funds:
Sewer Enterprise Fund – This fund consists of several sub-funds that are used to account for sewer activities:
The Sewer Income Fund is a depository for all monies collected to cover the cost of connecting properties
to the City's public sewer system. All monies received may be used only for the acquisition, construction,
reconstruction, maintenance, and operation of sanitation or sewerage facilities.
The Trunk Sewer Capital Reserve Fund is used to account for sewerage facility participation fee received
from owner or person making application for a permit to develop or modify use of any residential,
commercial, industrial, or other property, which increases the volume of flow into the City sewer system.
All monies received shall be used for the enlargement of sewer facilities of the City to enhance efficiency
of utilization and/or adequacy of capacity and for planning and/or evaluating any future proposals for
area wide sewage treatment and/or water reclamation systems or facilities.
The Sewer Service Revenue Fund is a depository for all monies collected from the monthly sewer service
charge. Monies in this fund may be used for construction, maintenance, or operation of sewer.
The Sewer Facility Replacement Fund is a depository for a portion of the revenue derived from the
monthly sewer service charge. Monies in this fund shall be used solely for the purpose of refurbishment
and/or replacement of sewerage facilities including related evaluation, engineering, and utility
modification costs.
Sewer Development Impact Fees Fund – This fund is a depository for sewer development impact fees (DIFs).
Development Services Fund – This fund is a depository for a portion of developer fees and other development
related activities.
Chula Vista Elite Athlete Training Center (CVEATC) Fund – This fund is used to account for the CVEATC’s
activities in partnership with the CVEATC operator Elite Athlete Services (EAS).
Fiduciary Fund Financial Statements
Fiduciary fund financial statements include a Statement of Net Position and a Statement of Changes in Fiduciary
Net Position. The City’s fiduciary funds represent custodial funds and private purpose trust funds.
Fiduciary fund types are accounted for according to the nature of the fund. The City’s custodial funds are used to
account for money and property held by the City as trustee or custodian. They are also used to account for various
assessment districts for which the City acts as an agent for debt service activities. The City’s private purpose trust
fund is a fiduciary fund type used by the City to report assets, liabilities, and activities of the Successor Agency
to the Chula Vista Redevelopment Agency. Its results of operations are presented on the Statement of Changes
of Fiduciary Net Position. Both types of fiduciary funds follow the economic resources basis of accounting similar
to proprietary funds.
612022/02/15 City Council Post Agenda Page 102 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
B. Basis of Accounting and Measurement Focus (Continued)
Fiduciary Fund Financial Statements (Continued)
The Successor Agency was created by the City of Chula Vista City Council (City Council) in August 2012.
It was established pursuant to Assembly Bill x1 26. Its purpose is to expeditiously wind down the affairs of
the dissolved RDA. The governing body of the Successor Agency is comprised of the members of the
Oversight Board selected by the County of San Diego, City of Chula Vista, school, and special districts. The
Successor Agency has been included in the accompanying basic financial statements as a private purpose
trust fund.
C. Encumbrances
Formal budgetary integration is employed as a management control device. Encumbrance accounting, under
which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to
reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration.
Encumbrances outstanding at year-end do not constitute U.S. GAAP basis expenditures or liabilities because the
commitments will be honored during the subsequent year. Therefore, the City has assigned a portion of its fund
balance for future encumbrances.
D. Cash, Cash Equivalents, and Investments
The City pools its available cash for investment purposes. The City considers pooled cash and investment
amounts, with original maturities of three months or less, to be cash equivalents.
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. The City reported its investments at fair value and the unrealized gain on
investments amounted to $5,925,993 for the fiscal year ended June 30, 2021.
The statement of cash flows requires presentation of “cash and cash equivalents”. For the purposes of the
statement of cash flows, the City considers all proprietary fund pooled cash and investments as “cash and cash
equivalents”, as such funds are available to the various funds as needed.
Certain disclosure requirements, if applicable, for Deposits and Investment Risks in the following areas:
Interest Rate Risk
Credit Risk
o Overall
o Custodial Credit Risk
o Concentration of Credit Risk
Foreign Currency Risk
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.
E. Inventories and Prepaid items
Inventories are valued on an average-cost basis which are adjusted to annual physical counts or estimates under
the consumption method of accounting and are recorded in the internal service fund. Prepaid items are items the
City has paid in advance and will receive future benefit from. They are recorded under the consumption method
in the General Fund, Sundry Grants Special Revenue Fund, Public Financing Authority, Sewer Fund and
Development Service Fund.
622022/02/15 City Council Post Agenda Page 103 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
F. Restricted Assets
Fiscal agents acting on behalf of the City hold investment funds arising from the proceeds of
long-term debt issuances. The funds may be used for specific capital outlays or for the payment of certain bonds,
certificate of participation or tax allocation bonds and have been invested only as permitted by specific State
statutes or applicable City ordinance, resolution, or bond indenture. In addition, the City restricts cash deposits
from developers that are refundable.
G. Interfund Transactions
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the
fiscal year are referred to as either “due to/from other funds” or “advances to/from other funds” (i.e., the current
portion of interfund loans). Any residual balances outstanding between the governmental activities and
business-type activities are reported in the Governmental-Wide Financial Statements as “internal balances.”
H. Capital Assets
Capital assets are valued at historical cost or estimated historical cost if actual historical cost was not available.
Donated capital assets are valued at their acquisition value on the date donated. City policy has set the
capitalization threshold for reporting capital assets at $10,000 for equipment and $50,000 for infrastructure.
Depreciation is recorded on a straight-line basis over estimated useful lives of the assets as follows:
Buildings 50 years
Improvements other than buildings 50 years
Machinery and equipment 5-15 years
Infrastructure 30-75 years
The City defines infrastructure as the basic physical assets that allow the City to function. The assets include:
Street system
Sewer system
Site amenities such as parking and landscaped areas used by the City in the conduct of its business
Each major infrastructure system can be divided into subsystems. For example, the street system can be
subdivided into pavement, curbs and gutters, sidewalks, medians, streetlights, landscaping, and land. These
subsystems were not delineated in the basic financial statements. The appropriate operating department maintains
information regarding the subsystems.
Interest accrued during capital assets construction, if any, is capitalized for the business-type funds as part of the
asset cost.
For all infrastructure systems, the City elected to use the Basic Approach for infrastructure reporting.
I. Compensated Absences
Government-Wide Financial Statements
For governmental and business-type activities, compensated absences are recorded as expenses and liabilities as
incurred.
632022/02/15 City Council Post Agenda Page 104 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
I. Compensated Absences
Fund Financial Statements
In governmental funds, compensated absences are recorded as expenditures in the years paid, as it is the City’s
policy to liquidate any unpaid compensated absences at June 30 from future resources, rather than currently
available financial resources. The General Fund is typically used to liquidate compensated absences. In
proprietary funds, compensated absences are expensed to the various funds in the period they are earned, and
such fund’s share of the unpaid liability is recorded as a long-term liability of the fund.
J. Pensions
For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions,
and pension expense, information about the fiduciary net position of the City’s California Public Employees’
Retirement System (CalPERS) plan (Plan) and additions to/deductions from the Plan’s fiduciary net position have
been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments
(including refunds of employee contributions) are recognized when due and payable in accordance with the
benefit terms. Investments are reported at fair value. The net pension liability is typically liquidated through the
General Fund for the portion reported in governmental activities, and also through the respective enterprise fund
in which it is allocated.
K. Other Post-Employment Benefits
For purposes of measuring the total OPEB liability, deferred outflows of resources and deferred inflows of
resources related to OPEB, and OPEB expense have been determined by an independent actuary. For this purpose,
benefit payments are recognized when currently due and payable in accordance with the benefit terms. The total
OPEB liability is typically liquidated through the General Fund for the portion reported in governmental activities,
and also through the respective enterprise fund in which it is allocated.
Generally accepted accounting principles require that the reported results must pertain to liability information
within certain defined timeframes. For this report, the following timeframes are used:
Valuation Date June 30, 2019
Measurement Date June 30, 2021
Measurement Period July 1, 2020, to June 30, 2021
L. Long-Term Debt
Government-Wide Financial Statements
Long-term debt and other financial obligations are reported as liabilities in the appropriate funds. Bond premiums
and discounts, as well as issuance costs relating to bond insurance, are deferred, and amortized over the life of
the bonds using the effective interest method. Bonds payable are reported net of the applicable premium or
discount.
Fund Financial Statements
The fund financial statements do not present long-term debt but are shown in the Reconciliation of the
Governmental Funds Balance Sheet to the Government-Wide Statement of Net Position.
642022/02/15 City Council Post Agenda Page 105 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
M. Deferred Outflows/Inflows of Resources
In addition to assets, the financial statements will sometimes report a separate section for deferred outflows of
resources. This separate financial statement element, deferred outflows of resources, represents a consumption of
net position that applies to a future period(s) and will not be recognized as an outflow of resources
(expense/ expenditure) until then. The City has three items that qualify for reporting in this category, which are
reported in the government-wide statement of net position.
One item is the deferred charge on refunding reported on the statement of net position. A deferred charge on
refunding results from the difference in the carrying value of refunded debt and its reacquisition price. This
amount is deferred and amortized over the shorter of the life of the refunded or refunding debt. The second item
is the deferred outflows related to pensions, which represents the City’s pension contributions made subsequent
to the measurement date, change of assumptions, difference between expected and actual experience, and the net
difference between projected and actual earnings on plan investments. The third item is related to OPEB, which
represents the change of assumptions and difference between expected and actual experience.
In addition to liabilities, the financial statements will sometimes report a separate section for deferred inflows of
resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of
net position that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue)
until that time. The City has two types of deferred inflows of resources, one of which arises only under a modified
accrual basis. Accordingly, the first item, unavailable revenue, is reported only in the governmental funds balance
sheet. The governmental funds report unavailable revenues from two sources: taxes and grant receivables. These
amounts are deferred and recognized as an inflow of resources in the period that the amounts become available.
The second item is deferred inflows related to pensions and OPEB reported in the statement of net position. These
inflows are the results of changes in assumptions and differences between expected and actual experiences, and
the net difference between projected and actual earnings on plan investments which are deferred and amortized
over the expected average remaining service lifetime.
N. Property Taxes
The County of San Diego, California (County) bills and collects property taxes and remits them to the City
according to a payment schedule established by the County. The County’s tax calendar is from July 1 to June 30.
Property taxes attach as a lien on property on January 1. Taxes are levied on July 1, based on the assessed values
as of the lien date, and are payable in two installments: November 1 and February 1 of each year. Property taxes
become delinquent on December 10, and April 10, for the first and second installments, respectively.
The County is permitted by State law to levy taxes at 1% of full market value (at time of purchase) and can
increase the property tax rate no more than 2% per year or the current CPI, whichever is less. The City receives a
share of this basic tax levy proportionate to what it received during the years 1980-1981.
Property tax revenue is recognized in the fiscal year for which the taxes have been levied, provided the taxes are
received within 90 days after the end of the fiscal year. Property taxes received after this date are not considered
available as a resource that can be used to finance the current year operations of the City and, therefore, are not
recorded as revenue until collected.
No allowance for doubtful accounts was considered necessary.
O. Public Facilities Financing
Interest costs incurred from the date of borrowing to the completion of the improvement project(s) are capitalized,
net of interest earnings, on all proprietary fund assets acquired with tax-exempt debt.
652022/02/15 City Council Post Agenda Page 106 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
P. Net Position
In governmental-wide and proprietary fund financial statements, Net Position are categorized as follows:
Net Investment in Capital Assets – This component of net position consists of capital assets, net of
accumulated depreciation, reduced by the outstanding balances of debt that are attributable to the acquisition,
construction, or improvement of those assets.
Restricted – This component of net position consists of restricted assets reduced by liabilities and deferred
inflows of resources related to those assets.
Unrestricted – This 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.
When expenses are incurred for purposes for which both restricted and unrestricted Net Position are available,
the City’s policy is to apply restricted Net Position first, then unrestricted Net Position as they are needed.
Q. Fund Balances
In governmental fund financial statements, fund balances are categorized as follows:
Nonspendable – Items that cannot be spent because they are not in spendable form, such as prepaid items
and inventories, and 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 City 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 City Council is
considered the highest authority for the City that can, by adoption of an ordinance prior to the end of the
fiscal year, commit fund balance. Once adopted, the limitation imposed by the ordinance remains in place
until a similar action is taken (the adoption of another ordinance) to remove or revise the limitation.
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. City Council has by resolution, authorized the
Director of Finance to assign fund balances. City Council may also assign fund balance as it does when
appropriating fund balance to cover a gap between estimated revenue and appropriations in the subsequent
year’s appropriated budget. Unlike commitments, assignments generally only exist temporarily. In other
words, an additional action does not normally have to be taken for the removal of an assignment. Conversely,
as discussed above, an additional action is essential to either remove or revise a commitment.
Unassigned – This amount is for any portion of the fund balances that do not fall into one of the above
categories. This classification includes the residual fund balance for the General Fund. It also includes the
negative residual balance for any other governmental fund that cannot be eliminated by offsetting assigned
fund balance amounts.
662022/02/15 City Council Post Agenda Page 107 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
Q. Fund Balances (Continued)
Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources
(the total of committed, assigned, and unassigned fund balance). In order to calculate the amounts to report
as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial
statements a flow assumption must be made about the order in which the resources are considered to be
applied. It is the City’s policy to consider restricted fund balance to have been depleted before using any of
the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can
be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance.
Unassigned fund balance is applied last.
R. Spending and Reserve Policy
Government-Wide Financial Statements and the Proprietary Fund Financial Statements
When an expense is incurred for purposes for which both restricted and unrestricted Net Position are available,
the City’s policy is to apply restricted Net Position first.
Governmental Fund Financial Statements
When expenditures are incurred for purposes where only unrestricted fund balances are available, the City uses
the unrestricted resources in the following order: committed, assigned, and unassigned.
In November 2020, the City Council adopted a resolution adopting the Pension & OPEB (Other Pension
Employment Benefits) Reserve Fund Policy, and amending the General Fund Reserve Policy to include the
allocation methodology to the General Fund reserve categories: General Fund Operating Reserve,
Economic Contingency Reserve, and Catastrophic Event Reserves.
The General Fund Operating Reserve represents unrestricted resources available for appropriation by the
City Council to address extraordinary needs of an emergency nature of annual General Fund budgeted
expenditures (excluding Measure A and P Sales taxes).
The Economic Contingency Committed Balance represents monies set aside to mitigate service impacts
during a significant downturn in the economy which impacts City revenues such as sales tax, property tax,
business license tax, etc. funded at minimum of 5% of the General Fund of annual General Fund budgeted
expenditures (excluding Measure A and P Sales taxes).
The Catastrophic Event Reserves are monies set aside to fund unanticipated expenditures related to a major
disaster in the City and are associated with the City’s Disaster Preparedness Program funded at 3% of the
General Fund of annual General Fund budgeted expenditures (excluding Measure A and P Sales taxes).
The Pension & OPEB Reserve Fund Policy (PRF) established an Irrevocable Section 115 Trust where all PRF
contributions will be made to cover the following: repayment of future CalPERS unfunded liabilities in part or
whole; establishment of an OPEB reserve fund; to pay off any outstanding Pension Obligation Bonds; and any
other unanticipated pension related costs or charges. Upon meeting the 15% General Fund Operating Reserves
75% of all future surplus funds shall be transferred to the PRF while the remaining 25% is allocated to the
Economic Contingency Reserves and Catastrophic Event reserves in accordance with the General Fund Reserve
Policy. In the event all three General Fund reserve accounts are fully funded at the stated policy percentage, 100%
of surplus funds will be transferred to the PRF until it reaches 15% of annual General Fund budgeted expenditures
(excluding Measure A and P Sales taxes).
S. Use of Estimates
The preparation of basic financial statements in conformity with U.S. GAAP requires management to make
estimates and assumptions that affect the reported amounts and disclosures. Actual results could differ from these
estimates and assumptions.
672022/02/15 City Council Post Agenda Page 108 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 1 – Reporting Entity and Summary of Significant Accounting Policies (Continued)
T. Changes in Accounting Principles and New GASB Pronouncements
The City implemented Government Accounting Standards Board (GASB) Statement No. 84, Fiduciary Activities
during fiscal year 2020-21. The requirements of this Statement will enhance consistency and comparability by
(1) establishing specific criteria for identifying activities that should be reported as fiduciary activities and
(2) clarifying whether and how business-type activities should report their fiduciary activities. Greater consistency
and comparability enhance the value provided by the information reported in financial statements for assessing
government accountability and stewardship. The change in accounting principle resulted in a prior period
adjustment in the amount of ($94,217,633) being reported for the custodial funds in the Statement of Changes in
Fiduciary Net Position; and a prior period adjustment in the amount of $815,370 being reported for governmental
activities in the Statement of Activities and General Fund in the Statement of Revenues, Expenditures, and
Changes in Fund Balance, respectively.
The City early adopted GASB Statement No. 98, the Annual Comprehensive Financial Report, which establishes
the term annual comprehensive financial report and its acronym ACFR. The new term and acronym replace
instances of comprehensive annual financial report and its acronym in generally accepted accounting principles
for state and local governments. This statement was developed in response to concerns raised by stakeholders that
the common pronunciation of the acronym for comprehensive annual financial report sounds like a profoundly
objectionable racial slur. This Statement’s introduction of the new term is founded on a commitment to promoting
inclusiveness.
Note 2 – Reconciliation of Government-Wide and Fund Financial Statements
A. Explanation of Certain Differences Between the Governmental Fund Balance Sheet and the
Government-Wide Statement of Net Position
The governmental fund balance sheet includes a reconciliation between fund balance – total governmental funds
and net position – governmental activities as reported in the government-wide statement of net position. One
element of that reconciliation explains that “other long-term assets that are not available to pay for current period
expenditures and, therefore, are either labeled unavailable or not reported in the funds.” The details of this
$74,183,123 are as follows:
Long-term receivables 58,867,790$
Development impact fees 583,940
Miscellaneous revenues 14,731,393
Total other long-term assets 74,183,123$
B. Explanation of Certain Differences Between the Governmental Fund Statement of Revenues,
Expenditures, and Changes in Fund Balances and the Government-Wide Statement of Activities
The governmental fund statement of revenues, expenditures, and changes in fund balances includes a
reconciliation between net changes in fund balances – total governmental funds and change in net position of
governmental activities as reported in the government-wide statement of activities. One element of that
reconciliation explains that “governmental funds report capital outlays as expenditures. However, in the statement
of activities the cost of these assets is allocated over their estimated useful lives and reported as depreciation
expense in the current period.” The details of this $14,195,576 difference are as follows:
Capital outlay $ 47,066,276
Depreciation expense (32,870,700)
Total other long-term assets $ 14,195,576
682022/02/15 City Council Post Agenda Page 109 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 2 – Reconciliation of Government-Wide and Fund Financial Statements (Continued)
C. Explanation of Certain Differences Between the Proprietary Fund Statement of Net Position and the
Government-Wide Statement of Net Position
The proprietary fund statement of net position includes a reconciliation between net position – total enterprise
funds and net position of business-type activities as reported in the government-wide statement of net position.
The description of the sole element of that reconciliation is “adjustment to report the cumulative internal balance
for the net effect of the activity between the internal service funds and the enterprise funds over time.” The details
of the $159,583 difference are as follows:
Internal receivable representing charges in excess of cost to business-type
activities - prior years 58,661$
Internal receivable representing charges in excess of cost to business-type
activities - current year 81,492
Net adjustment to increase net position - total enterprise funds to arrive at
net position - business-type activities 140,153$
Note 3 – Stewardship, Compliance, and Accountability
A. Deficit Fund Equity
At June 30, 2021, the Sewer Development Impact Fees Fund and the Development Services Fund, both major
proprietary funds, reported deficits in net position in the amounts of $13,683,694 and $23,765,658, respectively.
The reason for the deficit in the Sewer Development Impact Fees Fund is the long-term advance payable in the
amount of $18,001,404 to the General Fund discussed in Note 8. The deficit is expected to be eliminated in future
years, as repayments to the General Fund are made on the advance. The reason for the deficit in the Development
Services Fund is the allocation of the Fund’s share of the 2021 Pension Obligation Bonds issued during the fiscal
year in the amount of $25,454,571. Due to timing differences between the measurement date of the CalPERS
pension liability and the reporting date, the proceeds from the bond were not recognized as a reduction to the net
pension liability for the Fund. The deficit is expected to be eliminated in the next fiscal year, as the proceeds from
the Pension Obligation Bonds are recognized by CalPERS as a reduction to the net pension liability.
At June 30, 2021, the following non-major funds had deficit fund equity:
Fund Type Funds Deficit
Special Revenue Transportation Sales Tax 1,592,850$
Capital Projects Residential Construction Tax 583,604
Capital Projects Bicycle Facility 4,460
Capital Projects Other Transportation Program Fund 402,866
Transportation Sales Tax – The Transportation Sales Tax Fund had an accumulated deficit of $1,592,850 due to
the timing of the collection of tax revenues compared to disbursements. The City expects to eliminate this deficit
through future revenues.
Residential Construction Tax – The Residential Construction Tax Fund had an accumulated deficit of $583,604
due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit.
Bicycle Facility – The Bicycle Facility Fund had an accumulated deficit of $4,460 due to non-reimbursable
expenditures that were incurred. The City does not expect to eliminate the deficit.
692022/02/15 City Council Post Agenda Page 110 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 3 – Stewardship, Compliance, and Accountability (Continued)
A. Deficit Fund Equity (Continued)
Other Transportation Program – The Other Transportation Program Fund had an accumulated deficit of $402,866
due to non-reimbursable expenditures that were incurred. The City does not expect to eliminate the deficit.
B. Violations of Legal or Contractual Provisions
Note 1 to Required Supplementary Information describes budgetary violations that occurred for the fiscal year
ended June 30, 2021.
Note 4 – Cash and Investments
The following is a summary of pooled cash and investments, including cash and investments with fiscal agents at
June 30, 2021.
Fiduciary Funds
Governmental
Activities
Business-Type
Activities Total
Statement of Net
Position Total
Cash and investments 333,017,146$ 149,868,734$ 482,885,880$ 15,518,561$ 498,404,441$
Restricted cash and investments:
Held by City 1,899,439 - 1,899,439 - 1,899,439
Held by fiscal agents 9,134,957 15,615 9,150,572 34,275,770 43,426,342
Total restricted cash and investments 11,034,396 15,615 11,050,011 34,275,770 45,325,781
Total cash and investments 344,051,542$ 149,884,349$ 493,935,891$ 49,794,331$ 543,730,222$
Government-Wide Statement of Net Position
Cash, cash equivalents and investments consisted of the following at June 30, 2021:
Petty cash 10,144$
Deposits with financial institution 32,141,721
Investments 468,152,015
Investments held by fiscal agents 43,426,342
Total cash and investments 543,730,222$
A. Deposits
The carrying amount of the City’s cash deposits were $32,141,721 at June 30, 2021. Bank balances before
reconciling items were $31,582,036 at that date, the total amount of which was insured or collateralized with
securities held by the pledging financial institutions in the City’s name as discussed below.
The California Government Code requires California banks and savings and loan associations to secure the City’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 City's name. The market value of pledged securities
must equal at least 110% of the City's cash deposits. California law also allows institutions to secure City deposits
by pledging first trust deed mortgage notes having a value of 150% of the City’s total cash deposits. The City
may waive collateral requirements for cash deposits, which are fully insured up to $250,000 by the
Federal Deposit Insurance Corporation. The City, however, has not waived the collateralization requirements.
702022/02/15 City Council Post Agenda Page 111 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 4 – Cash and Investments (Continued)
A. Deposits (Continued)
The City follows the practice of pooling cash and investments of all funds, except for funds required to be held
by fiscal agents under the provisions of bond indentures. Interest income earned on pooled cash and investments
is allocated on an accounting period basis to the various funds based on the period-end cash and investment
balances. Interest income from cash and investments with fiscal agents is credited directly to the related fund.
B. Investments
As of June 30, 2021, the City had the following investments and maturities:
Investment Type Fair Value 1 year or fewer 1 - 2 years 2 - 3 years 3 - 4 years 4 - 5 years
LAIF 28,745,623 28,745,623$ -$ -$ -$ -$
Time Deposits 310,000 310,000 - - - -
San Diego County Investment Fund 192,486,121 192,486,121 - - - -
Federal Agency Bonds 27,848,654 10,575,765 6,175,380 2,793,419 8,304,090 -
Municipal Bonds 59,183,232 9,662,954 18,930,937 10,473,375 13,528,729 6,587,237
Supranationals 5,094,150 - 5,094,150 - - -
Asset-Backed Securities 4,899,614 - 130,810 3,561,946 1,206,858 -
Medium-Term Corporate Notes 99,659,857 24,644,128 48,114,090 22,831,640 4,069,999 -
Certificates of Deposit 38,286,050 9,276,313 7,638,623 10,086,665 11,284,449 -
Placement Service Deposits 4,145,563 4,145,563 - - - -
Money Market Funds 7,493,151 7,493,151 - - - -
Held by bond trustee:
Mutual Funds 43,426,342 - - - - -
Total 511,578,357$ 287,339,618$ 86,083,990$ 49,747,045$ 38,394,125$ 6,587,237$
Investment Maturities
Investments Authorized by the California Government Code and the City’s Investment Policy
The table below identifies the investment types that are authorized for the City by the
California Government Code (or the City’s investment policy, where more restrictive). The table also identifies
certain provisions of the California Government Code (or the City’s investment policy, where more restrictive)
that address interest rate risk, credit risk, and concentration of credit risk. This table does not address investments
of debt proceeds held by bond trustee that are governed by the provisions of debt agreements of the City, rather
than the general provisions of the California Government Code or the City’s investment policy.
712022/02/15 City Council Post Agenda Page 112 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 4 – Cash and Investments (Continued)
B. Investments (Continued)
Investments Authorized by the California Government Code and the City’s Investment Policy (Continued)
Authorized Investment Type
Maximum
Maturity
Maximum
Percentage of
Portfolio*
Maximum
Investment in One
Issuer
Bankers' Acceptance 180 days 40%30%
Negotiable Certificates of Deposits 5 years 30%None
Commercial Paper 270 days 25%10%
State and Local Agency Bond Issues 5 years None None
U.S. Treasury Obligations 5 years None None
U.S. Agency Securities 5 years None None
Repurchase Agreement 1 year None None
Reverse-Purchase Agreements 92 days 20%None
Medium-Term Corporate Notes 5 years 30%10%
Time Certificates of Deposits 5 years None None
Money Market Funds N/A 20%10%
San Diego County Treasurer's Pooled Money Fund N/A None None
Local Agency Investment Fund (LAIF)N/A None $75 Million**
Shares of Beneficial Interest issued by a JPA N/A None None
Asset Backed Securities 5 years 20%None
Supranationals 5 years 30%None
Placement Service Deposits 5 years 30%None
* Excluding amounts held by bond trustee that are not subject to California Government
** Maximum is $75 million per account
Investments Authorized by Debt Agreements
Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreement rather than
the general provisions of the California Government Code or the City’s investment policy. The table below
identifies certain provisions of these debt agreements that address interest rate risk, credit risk, and concentration
of credit risk.
Authorized Investment Type
Maximum
Maturity
Maximum
Percentage of
Portfolio
Maximum
Investment in
One Issuer
U.S Treasury Obligations None None None
Federal Home Loan Mortgage Corporation None None None
Farm Credit Banks None None None
Federal Home Loan Banks None None None
Federal National Mortgage Association None None None
Student Loan Marketing Association None None None
Financing Corporation None None None
Resolution Funding Corporation None None None
Certificates of Deposits, Time Deposits and Bankers' Acceptance 180 or 365 days None None
Commercial Paper 270 days None None
Money Market Funds None None None
State Obligations None None None
Municipal Obligations None None None
Repurchase Agreements None None None
Investment Agreements None None None
Local Agency Investment Fund (LAIF)None None None
722022/02/15 City Council Post Agenda Page 113 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 4 – Cash and Investments (Continued)
C. Risks Disclosures
Interest Rate Risk
As a means of limiting its exposure to fair value losses arising from rising interest rates, the City’s investment
policy provides that final maturities of securities cannot exceed five years. Specific maturities of investments
depend on liquidity needs. At June 30, 2021, the City’s pooled cash and investments had the following maturities:
Maturity
Percentage of
Investment
Less than one year 61.4%
1 - 2 years 18.4%
2 - 3 years 10.6%
3 - 4 years 8.2%
4 - 5 years 1.4%
The weighted average maturity of the portfolio was 1.7 years.
Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the
investment. This is measured by the assignment of a rating by a nationally recognized statistical rating
organization. To be eligible to receive City money, a bank, savings association, federal association, or federally
insured industrial loan company shall have received an overall rating of not less than "satisfactory" in its most
recent evaluation by the appropriate federal financial supervisory agency of its record of meeting the credit needs
of California's communities, including low-and moderate-income neighborhoods.
The City’s investments are rated by the nationally recognized statistical rating organizations as follows:
Investment Type Fair Value Moody's
Standard &
Poor's
LAIF 28,745,623$ Not Rated Not Rated
Time Deposits 310,000 Not Rated Not Rated
San Diego County Investment Pool 192,486,121 Not Rated Not Rated
Federal Agency Bonds 27,848,654 Exempt Exempt
Municipal Bonds 59,183,232 A1 to Aa1 A to AA+
Supranationals 5,094,150 Aaa AAA
Asset-Backed Securities 4,899,614 Aaa AAA
Medium-Term Corporate Notes 99,659,857 A3 to Aaa BBB+ to AAA
Certificates of Deposit 38,286,050 Not Rated Not Rated
Placement Service Deposits 4,145,563 Not Rated Not Rated
Money Market Fund 7,493,151 Not Rated Not Rated
Mutual Funds 43,426,342 Not Rated Not Rated
511,578,357$
Custodial Credit Risk
Custodial credit risk is the risk that, in the event of the failure of the counter party, the City will not be able to
recover the value of its investments or collateral securities that are in the possession of an outside party. All
securities, with the exception of LAIF and other pooled investments, are held by a third-party custodian
(BNY Western Trust). BNY is a registered member of the Federal Reserve Bank.
732022/02/15 City Council Post Agenda Page 114 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 4 – Cash and Investments (Continued)
C. Risks Disclosures (Continued)
Concentration of Credit Risk
The City’s investment policy contains limitations on the amount that can be invested in any one issuer, in
accordance with the limitations stipulated by the California Government Code. For the fiscal year ended
June 30, 2021, the City had no investments in any one issuer that exceeded percentage of portfolio limitations set
forth by either the City’s investment policy or the California Government Code.
D. Investments in Local Agency Investment
The City is a participant in LAIF which is regulated by California Government Code Section 16429 under the
oversight of the Treasurer of the State of California.
As of June 30, 2021, the City had $28,745,623 invested in LAIF. LAIF determines fair value on its investment
portfolio based on market quotations for those securities where market quotations are readily available and based
on amortized cost or best estimate for those securities where market value is not readily available. The City valued
its investments in LAIF as of June 30, 2021, by mult74iplying its account balance with LAIF times a fair value
factor determined by LAIF. This fair value factor was determined by dividing all LAIF participants’ total
aggregate amortized cost by total aggregate fair value. The credit quality rating of LAIF is unrated as of
June 30, 2021. There are no limitations or restrictions on participant withdrawals from LAIF.
E. Fair Value Hierarchy
The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted
accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset.
Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other
observable inputs; Level 3 inputs are significant unobservable inputs. The City has the following recurring fair
value measurements as of June 30, 2021:
Totals 1 2 Uncategorized
Local Agency Investment Fund (LAIF)28,745,623$ -$ -$ 28,745,623$
Time Deposits 310,000 - 310,000 -
San Diego County Investment Pool 192,486,121 - - 192,486,121
Federal Agency Bonds 27,848,654 - 27,848,654 -
United States Treasury Notes - - - -
Municipal Bonds 59,183,232 - 59,183,232 -
Supranationals 5,094,150 - 5,094,150 -
Asset-Backed Securities 4,899,614 - 4,899,614 -
Medium-Term Corporate Notes 99,659,857 - 99,659,857 -
Certificates of Deposit 38,286,050 - 38,286,050 -
Placement Service Deposits 4,145,563 - - 4,145,563
Money Market Funds 7,493,151 - 7,493,151 -
Held by Fiscal Agent:
Cash & Money Market Mutual Funds 43,426,342 - - 43,426,342
Total Investments 511,578,357$ -$ 242,774,708$ 268,803,649$
Level
Investment Type
742022/02/15 City Council Post Agenda Page 115 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 4 – Cash and Investments (Continued)
E. Fair Value Hierarchy (Continued)
U.S. Treasury Notes classified in Level 1 of the fair value hierarchy are valued using prices quoted in active
markets for those securities. U.S. Agency Securities, Corporate Notes, Asset Backed Securities and Time Deposits
classified in Level 2 of the fair value hierarchy are valued using institutional bond quotes or specified fair market
value factors.
Note 5 – Receivables
A. Taxes Receivable
At June 30, 2021, the City had the following taxes receivable:
Governmental Fiduciary
Activities Funds Total
Sales Tax 16,414,576$ -$ 16,414,576$
Property Tax 522,375 - 522,375
Highway Users Tax 919,568 - 919,568
Franchise Fee Tax 2,965,711 - 2,965,711
Special Assessments 55,374 72,886 128,260
Other Taxes 1,909,181 - 1,909,181
Total 22,786,785$ 72,886$ 22,859,671$
B. Loans Receivable
At June 30, 2021, the City had the following loans receivable, including principal and accrued interest:
Principal Interest Total
South Bay Community Services (Trolley Trestle, Muncey Manor, CNV I, CNII, NCV II) $ 2,022,483 $ 2,216,755 $ 4,239,238
Cordova and Trolley Terrace Apartments (Cordova Trolley, LP) 2,672,511 226,384 2,898,895
St. Regis Park (Chelsea Investment Corp) 1,232,822 62,408 1,295,230
Chula Vista Rehabilitation CHIP Loans 807,705 82,238 889,943
Park Village Apts (Civic Center Barrio Housing Corporation) 128,642 - 128,642
Los Vecinos (Wakeland Housing and Development Corporation) 5,680,000 3,789,732 9,469,732
Brisa del Mar (Main Plaza, LP) 1,800,000 685,440 2,485,440
Seniors on Broadway (MAAC Project) 3,511,194 1,595,808 5,107,002
The Landings II (Chelsea Investment Corp) 8,464,731 1,736,418 10,201,149
First Time Home Buyers Program 3,432,711 138,619 3,571,330
NSP Rental Housing Program 1,000,000 256,008 1,256,008
Community Energy Retrofit Program 613 - 613
Lofts on Landis 2,000,000 428,486 2,428,486
Duetta Apartments (F Street Family CIC, LP) 2,068,000 325,344 2,393,344
Volta Senior Apartments (G Street Seniors CIC, LP) 932,000 143,738 1,075,738
Anita Street Apartments (Wakeland- Anita LP) 5,195,165 24,766 5,219,931
Deferred development impact fees 5,965,425 241,644 6,207,069
46,914,002$ 11,953,788$ 58,867,790$
Governmental Activities
South Bay Community Services
In 1998, the former Chula Vista Redevelopment Agency (RDA) and City of Chula Vista entered into several loan
agreements with South Bay Community Services, a California non-profit public benefit corporation. Prior years’
loan was made to South Bay Community Services for the purpose of purchasing several properties throughout
752022/02/15 City Council Post Agenda Page 116 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 5 – Receivables (Continued)
B. Loans Receivable (Continued)
South Bay Community Services (Continued)
the City of Chula Vista, including Concord Way (1-unit) and Trolley Trestle (11-unit). These projects are to
provide housing to very low-income families. Deeds of trust and assignments of rent secure the notes. Principal
and interest are payable annually out of any and all residual receipts derived from the property and/or operation
of the property. Interest accrues annually on the unpaid balance with rates ranging from 3% to 6%. At
June 30, 2021, the outstanding balance of the loan was $4,239,238 which included an interest accrual of
$2,216,755.
Cordova and Trolley Terrace Apartments- (Cordova Trolley, LP)
In January 2019, the Housing Authority and the Cordova Trolley, LP (Developer) entered into a loan agreement
to refinance two scattered site rental housing developments at 1280 E J Street (40-unit) and 750 ADA Street
(18-unit). The developer partially repaid the outstanding accrued interest of the previous loan in the amount of
$200,000 and carried forward the remaining balance of $2,672,511 as a new loan on the Project. The project
provides affordable housing to very-low and low-income households for an additional 55-years. The amended
and restated promissory note is secured by a deed of trust and will accrue 3.15% interest compounding
annually. Residual receipt payments (if any) will be applied towards the outstanding loan balance until the loan
is paid in full. At June 30, 2021, the outstanding balance of the loan was $2,898,895, which included an interest
accrual of $226,384.
St. Regis Park (Chelsea Investment Corporation)
In 2000, the former RDA entered into a loan agreement with Chelsea Investment Corporation for the acquisition
and rehabilitation of the 119-unit multi-family housing project (formerly known as Pear Tree Apartments) at
1025 Broadway. In June 2019, the developer repaid the outstanding principal balance of the previous loan in the
amount of $1,387,152 and carried forward the accrued interest of $1,232,822 as a new loan amount. The project
will remain affordable to very-low and low-income households for an additional 55-years. The amended and
restated promissory note is secured by a deed of trust and will accrue 2.76% interest compounding annually.
Residual receipt payments (if any) will be applied towards the outstanding loan balance until the loan is paid in
full. At June 30, 2021, the outstanding balance of the loan was $1,295,230 which included an interest accrual of
$62,408
Chula Vista Rehabilitation CHIP Loans
The Chula Vista Rehabilitation Community Housing Improvement Program (CHIP) is under the direct control of
the Housing Authority acting as the Successor Housing Entity for those loans that were funded using Low- and
Moderate-Income Housing Funds. These loans provide funding to assist owner occupied or mobile homeowners
with assistance to make health and safety repairs to their dwelling unit. CHIP loans funded by CDBG, or HOME
funds are also managed by the Housing Authority. CHIP offers deferred and low interest rate home improvement
loans to qualified borrowers residing within a target area. The rate terms vary from 0 to 5% deferred interest
loans to forgivable loans for mobile homeowners. Loan repayments are re-deposited into the program cash
accounts and are redistributed as future loans. At June 30, 2021, the outstanding balance of the loan was $889,943
which included an interest accrual of $82,238.
Park Village Apartments (Civic Center Barrio Housing Corporation)
In 1991, the former RDA entered into a loan agreement with the Civic Center Barrio Housing Corporation, a
California non-profit public benefit corporation. The loan was made for the purchase of land and the development
of a 28 - unit low-income housing project. During 1992, the loan was assigned to Park Village Apartments Ltd.,
a California limited partnership in which Civic Center Barrio Housing Corporation is the managing general
partner. The loan is secured by a deed of trust on the property and assignment of rents. Principal and interest are
762022/02/15 City Council Post Agenda Page 117 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 5 – Receivables (Continued)
B. Loans Receivable (Continued)
Park Village Apartments (Civic Center Barrio Housing Corporation) (Continued)
payable monthly. In 2009, an amendment to the loan was entered into changing the interest from 5% to 3% per
annum on the unpaid principal balance of the note. It also required monthly payments based on a 24-year
amortization schedule with the entire balance paid by December 31, 2022. At June 30, 2021, the outstanding
balance of the loan was $128,642.
Los Vecinos (Wakeland Housing and Development Corporation)
In 2008, the former RDA entered into a loan agreement with Wakeland Housing and Development Corporation
to assist the borrower in constructing 41 affordable multi-family rental housing units for occupancy by extremely
low, very low, and low-income households. The loan amount of $5,680,000 was funded by the Low- and
Moderate-Income Housing Fund. The loan bears an interest rate of 5% per annum. Principal and interest
payments will be made on an annual basis out of a fund equal to 50% of the residual receipts for years 1-30 and
75% of the residual receipts for years 31-54, until 55 years from the date the improvements are placed in service,
at which time, all principal and unpaid interest is due and payable. The improvements were placed in service on
February 7, 2008. At June 30, 2021, the outstanding balance of the loan was $9,469,732 which included an interest
accrual of $3,789,732
Brisa del Mar (Main Plaza, LP)
In 2003, the former RDA and City entered into a loan agreement with Main Plaza, LP to assist in acquiring and
improving certain real property for occupancy by very low, low, and moderate-income households. The loan
bears an interest rate of 3% per annum. The loan is due and payable on the date that is 55 years from the date of
the City’s issuance of the Certificate of Completion, which is in 2061. At June 30, 2021, the outstanding balance
of the loan was $2,485,440 which included an interest accrual of $685,440
Seniors on Broadway (MAAC Project)
The City entered into a loan agreement with Seniors on Broadway, Limited Partnership to assist in acquiring and
improving certain real property for occupancy by very low, low, and moderate-income households. The loan bears
an interest rate of 3% per annum. The loan is due and payable on the date that is 55 years from the date of the
City’s issuance of the Certificate of Completion. At June 30, 2021, the outstanding balance of the loan was
$5,107,002 which included an interest accrual of $1,595,808.
The Landings II (Chelsea Investment Corporation)
In July 2010, the former RDA and City entered into a loan agreement with Landings II, L.P. to assist the borrower
in constructing 143 affordable multifamily rental housing units for occupancy by very low- and low-income
households. The loan bears an interest rate of 3.6% per annum and requires monthly payments based on a 25-year
amortization schedule. At June 30, 2021, the outstanding balance of the loan was $10,201,149 which included an
interest accrual of $1,736,418.
First Time Home Buyers Program
The Chula Vista First-Time Homebuyer Program is under the direct control of the City and its Housing Authority.
The Programs is funded through U.S. Department of Housing and Urban Development HOME Investment
Partnership Act and Neighborhood Stabilization Program funds. Cal Home funds from the State of California
Department of Housing and Community Development are also used to fund loans. The Program is currently
administered by Springboard CDFI, (formerly known as Community Housing Works Realty and Lending). The
program offers low interest loans or equity share deferred gap financing loans to qualified borrowers. Loan
772022/02/15 City Council Post Agenda Page 118 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 5 – Receivables (Continued)
B. Loans Receivable (Continued)
First Time Home Buyers Program (Continued)
repayments are re-deposited into the program and are redistributed as future loans. At June 30, 2021, the
outstanding balance of the loan was $3,571,330 which included an interest accrual of $138,619.
NSP Rental Housing Program
The City entered into two separate loan agreements with San Diego Community Housing Corporation to acquire
and rehabilitate rental housing for very low-income households. The loans are secured by promissory notes and
a deed of trusts. The outstanding principal and interest amount of the loan will be repaid over fifty-five (55) years
and shall accrue at the simple interest rate of three (3%) percent per annum. Principal and interest are payable
annually out of a fund equal to 50% of residual receipts derived from the property and/or operation of the property.
At June 30, 2021, the outstanding balance of the loan was $1,256,008 which included an interest accrual of
$256,008.
Community Retrofit Program
The Chula Vista Community Energy Revolving Loan Fund (RLF) is under the direct control of the
City of Chula Vista and was capitalized through the American Recovery & Reinvestment Act. The RLF offers
fully amortized low-interest rate home energy improvement loans to qualified borrowers residing within
Chula Vista. The loans are secured by a deed of trust on the properties. Principal and interest are payable monthly.
Interest accrues annually on the unpaid principal balance of the notes. Loan repayments are re-deposited into the
program cash accounts and are redistributed as future loans except for loans funded by General fund. At
June 30, 2021, the outstanding balance of the loans were $613.
Lofts on Landis
The City has adopted a Housing Element of the General Plan which sets forth the objective of providing balances
and varied housing opportunities throughout the City to satisfy needs and desires of various age, income, and
ethnic groups of the community. The Housing Authority found that the City’s financial participation in the
development of the Landis Project will be a sound investment based upon the Developer’ ability to effectively
service the City’s housing needs and priorities expressed in the housing Element and Consolidated plan. At
June 30, 2021, the outstanding balance of the loan was $2,428,486 which included an interest accrual of $428,486.
Duetta Apartments (F Street Family CIC, LP)
In 2016, the City entered into a loan agreement with F Street Family CIC, LP to assist to assist in the construction
and permanent financing of affordable multifamily apartments with 86 deed restricted units for occupancy by
extremely low, very low- and lower-income households. Loans are in the principal amount of $800,000 from the
City’s federal HOME funds, $372,660 from the City’s Balanced Communities In-Lieu funds, and $895,340 from
Low- and Moderate-Income Housing Fund. The loan bears an interest rate of 3% simple interest per annum for a
55-year period. Payment of principal and interest is made on an annual basis out of a fund equal to 50% of the
residual receipts. The outstanding principal and accrued interest on the loan is to be repaid by
December 31, 2072. Fund balance has been restricted in the Sundry Grants Special Revenue Fund and in the
Low- & Moderate-Income Housing Successor Special Revenue Fund. At June 30, 2021, the outstanding balance
of the loans were $2,393,344 which included an interest accrual of $325,344.
Volta Senior Apartments (G Street Seniors CIC, LP)
In 2016, the City entered into a loan agreement with G Street Senior CIC, LP to assist to assist in the construction
and permanent financing of affordable multifamily apartments with 122 deed restricted units for occupancy by
782022/02/15 City Council Post Agenda Page 119 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 5 – Receivables (Continued)
B. Loans Receivable (Continued)
Volta Senior Apartments (G Street Seniors CIC, LP) (Continued)
extremely low, very low- and lower-income households. The loan amount of $932,000 was funded by the
Low- and Moderate-Income Housing Fund. The loan bears an interest rate of 3% simple interest per annum for a
55-year period. Payment of principal and interest is made on an annual basis out of a fund equal to 50% of the
residual receipts. The outstanding principal and accrued interest on the loan is to be repaid by
December 31, 2072. Fund balance has been restricted in the Low- & Moderate-Income Housing Successor
Special Revenue Fund. At June 30, 2021, the outstanding balance of the loans were $1,075,738 which included
an interest accrual of $143,738.
Anita Street Apartments (Wakeland- Anita LP)
In 2017 and 2018, the Housing Authority entered into amended loan agreements with Wakeland Anita LP to assist
in the acquisition of land and pre-development of an affordable multifamily apartment development known as
Anita Street Apartments with up to 72 possible deed restricted units for occupancy by extremely low, very
low- and lower-income households. This loan supports the proportionate share of costs for 30% and 45% AMI
(area median income) units in the project. The total loan amount of $5,195,165 was made using low- and
moderate-income housing funds. No interest accrues on the loan during the predevelopment phase of the Project.
Upon completion of the predevelopment phase, the loan bears an interest rate of 3% simple interest per annum
for a 55-year period. At June 30, 2021, the outstanding balance of the loans were $5,219,931 which includes an
interest accrual of $24,766.
Deferred development impact fees
The DIF Deferral Community Facilities District (CFD 17-I) was established to promote development in specified
areas of the City known as “Western Chula Vista” by deferring specific development impact fees for projects that
met the specific criteria outlined in the CFD formation documents. The primary area included within the CFD
plan was land west of the I-5 freeway to spur on early development in preparation for the new Bayfront project,
as well as land in the portion of the City between Interstate 5 and Interstate 805, including the Palomar Gateway
and Urban Core Specific Planning Areas and the Auto Park located East of the Interstate 805. As the Rate and
Method of Apportionment defines, developers can defer their Development Impact Fees up to ten years or as
otherwise defined in the CFD documents. Upon issuance of the Certificate of Occupancy (COO), the city
calculates interest on an annual basis, and it is included as part of the long-term receivable. At June 30, 2021, the
outstanding balance of the loans were $6,207,069 which includes interest accrual $241,644.
Note 6 – Interfund Balances and Transactions
Due to/Due from other funds
At June 30, 2021, interfund receivables and payables were as follows:
CV Elite
Athlete
Due from Other
Funds
Training
Center
General Fund 41$ 454,643$ 2,680,574$ 3,135,258$
Due To Other Funds
Nonmajor
Governmental
Funds Total
City Debt
Service
Current interfund balances arise in the normal course of operations to cover cash shortages and are expected to be
repaid shortly after the end of the fiscal year.
792022/02/15 City Council Post Agenda Page 120 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 6 – Interfund Balances and Transactions (Continued)
Long-Term Advances
At June 30, 2021, balances were as follows:
Sewer Other
Development Enterprise
Impact Fees Funds Total
Advances to Other Funds:
General -$ 3,229,393$ 3,229,393$
Sewer Fund 18,001,404 - 18,001,404
Total 18,001,404$ 3,229,393$ 21,230,797$
Advances from Other Funds:
The City Council authorized and set terms for loans from the Trunk Sewer fund to Salt Creek for $16,598,381, to the
Storm Drain fund for $744,612, and $803,331 from the Sewer Facility fund for capital improvement projects, via
Resolution 2015-035. In accordance with Council Policy No. 220-06, approved via Resolution 2015-028, the financing
costs shall be calculated using the City's pooled investment earning rate on a quarterly basis. The balance was
$18,001,404 at June 30, 2021, of which all $18,001,404 is outstanding from the Sewer Fund to the Sewer Development
Impact Fees Fund and the portion due from the Sewer Fund to the Storm Drain Fund has been paid in full.
The City Council authorized and set terms for loans from the General Fund to Transport Enterprise nonmajor
enterprise fund for $4,881,710, via Resolution 2020-152. In accordance with Council Policy No. 220-06, the financing
costs shall be calculated using the City's pooled investment earning rate on a quarterly basis. The balance was
$3,229,393 at June 30, 2021.
Transfers In/Out
Interfund transfers for the year ended June 30, 2021, were as follows:
Public Municipal Other Development CV Elite Other Internal
Financing Financing Governmental Services Athlete Enterprise Service
General Sundry Grants Authority Authority Funds Fund Training Ctr. Funds Funds Total
Transfers Out:
General -$ 86,436$ 2,492,977$ 9,118,964$ 1,011,830$ 448,729$ 117,406$ 101,112$ 218,942$ 13,596,396$
Sundry Grants 1,608,428 - - - 633,650 - - - - 2,242,078
Development Impact Funds - - 3,670,650 1,543,423 - - - - - 5,214,073
Other Governmental Funds 4,918,446 18,000 669,369 - 960 73,125 - - - 5,679,900
Sewer Fund 3,263,657 - - - - 17,038 - - - 3,280,695
Development Services Fund 1,923,650 - - - - - - - - 1,923,650
CV Elite Athlete Training Ctr.- - - - 31,280 - - - - 31,280
Other Enterprise Funds 186,518 - - - - - - - - 186,518
Internal Service Funds 41,524 - - - - - - - - 41,524
Total 11,942,223$ 104,436$ 6,832,996$ 10,662,387$ 1,677,720$ 538,892$ 117,406$ 101,112$ 218,942$ 32,196,114$
Transfers In:
General Fund – Operating support to the General Fund for City staff services and equipment. Total amount of support
was $11,942,223.
Sundry Grants Special Revenue Fund – Transferring the matching contribution to the federal grants in the amount of
$104,436.
Public Financing Authority – Funding debt service funds for repayment of various long-term obligations amounted to
$6,832,996.
802022/02/15 City Council Post Agenda Page 121 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 6 – Interfund Balances and Transactions (Continued)
Municipal Financing Authority – Funding debt service fund for repayment of long-term obligation amounted to
$10,662,387.
Non-major Governmental Funds – Transfer from General Fund in the amount of $1,011,830 for various debt
obligations. Transfer from Chula Vista Elite Athlete Training Center to Eastlake Maintenance District in the amount
of $31,280 for taxes related to City owned property. Various transfers between Sundry Grants Special Revenue fund
and other nonmajor governmental funds in the amounts of $633,650 and $960 respectively.
Development Services Fund – Operating support to the Development Services Fund for services provided; $538,892
support from the General Fund.
Chula Vista Elite Athlete Training Center – Support from General Fund: $117,406 for telecom site license fee.
Non-major Enterprise Funds – Operating support to the nonmajor enterprise funds for services provided; $101,112
support from the General Fund.
Internal Service Funds – Operating support to the internal service funds for services provided; $218,942 support from
the General Fund.
Note 7 – Capital Assets
A. Government-Wide Financial Statements
Summary of changes in capital assets for governmental activities for the year ended June 30, 2021, are as follows:
Balance CIP Balance
July 1, 2020 Additions Deletions Transfers June 30, 2021
Capital assets, not being depreciated:
Land 437,045,968$ -$ -$ -$ 437,045,968$
Construction in progress 125,818,271 42,946,923 - (26,336,029) 142,429,165
Total capital assets, not being depreciated 562,864,239 42,946,923 - (26,336,029) 579,475,133
Capital assets, being depreciated:
Buildings 212,221,823 - - 19,073,268 231,295,091
Improvements other than buildings 134,954,153 10,742,639 - 12,059 145,708,851
Machinery and equipment 50,893,836 4,191,710 (1,842,680) - 53,242,866
Infrastructure 781,231,030 20,409,418 - 7,250,702 808,891,150
Subtotal 1,179,300,842 35,343,767 (1,842,680) 26,336,029 1,239,137,958
Less accumulated depreciation
Buildings (68,851,962) (4,161,795) - - (73,013,757)
Improvements other than buildings (59,802,960) (2,788,168) - - (62,591,128)
Machinery and equipment (31,584,478) (4,789,722) 1,842,680 - (34,531,520)
Infrastructure (375,721,216) (21,284,014) - - (397,005,230)
Subtotal (535,960,616) (33,023,699) 1,842,680 - (567,141,635)
Total capital assets, being depreciated 643,340,226 2,320,068 - 26,336,029 671,996,323
Total governmental activities 1,206,204,465$ 45,266,991$ -$ -$ 1,251,471,456$
812022/02/15 City Council Post Agenda Page 122 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 7 – Capital Assets (Continued)
Depreciation expense was charged to functions/programs as follows:
General government 84,061$
Public safety 3,286,572
Public works 27,475,434
Community Development 30,424
Parks and recreation 1,983,375
Library 10,834
Internal service 152,999
33,023,699$
Summary of changes in capital assets for business-type activities for the year ended June 30, 2021, are as follows:
Balance CIP Balance
July 1, 2020 Additions Deletions Transfers June 30, 2021
Capital assets, not being depreciated:
Land 180,677,144$ -$ -$ -$ 180,677,144$
Construction in progress 5,740,812 3,036,876 - - 8,777,688
Total capital assets, not being depreciated 186,417,956 3,036,876 - - 189,454,832
Capital assets, being depreciated:
Buildings and structures 17,027,588 - - - 17,027,588
Machinery and equipment 7,396,408 5,020,826 (39,844) - 12,377,390
Infrastructure 248,484,074 2,672,900 - - 251,156,974
Subtotal 272,908,070 7,693,726 (39,844) - 280,561,952
Less accumulated depreciation
Buildings and structures (1,350,288) (337,146) - - (1,687,434)
Machinery and equipment (5,343,207) (1,373,894) 39,844 - (6,677,257)
Infrastructure (134,909,817) (5,681,355) - - (140,591,172)
Subtotal (141,603,312) (7,392,395) 39,844 - (148,955,863)
Total capital assets, being depreciated 131,304,758 301,331 - - 131,606,089
Total business-type activities 317,722,714$ 3,338,207$ -$ -$ 321,060,921$
Depreciation expense for business-type activities for the year ended June 30, 2021, are as follows:
CV Elite Training Center 337,146$
Sewer 6,547,934
Sewer Development Impact Fees 3,041
Development Services 37,116
Transportation 458,697
Transit 8,461
7,392,395$
822022/02/15 City Council Post Agenda Page 123 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 7 – Capital Assets (Continued)
B. Fiduciary Funds Financial Statements
Summary of changes in capital assets for fiduciary funds for the year ended June 30, 2021, are as follows:
Balance Balance
July 1, 2020 Additions Deletions June 30, 2021
Capital assets, not being depreciated:
Land 5,600,080$ -$ -$ 5,600,080$
Total capital assets, not being depreciated 5,600,080 - - 5,600,080
Capital assets, being depreciated:
Buildings 2,386,218 - - 2,386,218
Subtotal 2,386,218 - - 2,386,218
Less accumulated depreciation
Buildings (1,492,638) (47,724) - (1,540,362)
Subtotal (1,492,638) (47,724) - (1,540,362)
Total capital assets, being depreciated 893,580 (47,724) - 845,856
Total fiduciary activities 6,493,660$ (47,724)$ -$ 6,445,936$
Depreciation expense for fiduciary funds for the year ended June 30, 2021, was $47,724.
Note 8 – Long-Term Liabilities
A summary of changes in long-term debt for the year ended June 30, 2021, is as follows:
Balance Balance Amount
Beginning End Due Within
of Year Additions Deletions of Year One Year
Governmental Activites
Bonds payable
Certificates of Participation 71,110,000$ -$ 3,860,000$ 67,250,000$ 4,045,000$
Lease Revenue Bonds 78,325,000 - 7,400,000 70,925,000 7,790,000
Premium 13,287,677 - 1,486,612 11,801,065 -
Total Bonds Payable 162,722,677 - 12,746,612 149,976,065 11,835,000
Private Placement Notes 7,640,645 - 1,024,638 6,616,007 1,048,581
Pension-Related Debt - 311,272,126 - 311,272,126 5,784,802
Leases 5,188,939 2,273,805 965,650 6,497,094 1,051,511
Total Governmental Activities 175,552,261$ 313,545,931$ 14,736,900$ 474,361,292$ 19,719,894$
Business-type Activities
Pension-Related Debt -$ 38,752,874$ -$ 38,752,874$ 720,198$
Leases 10,858 4,493,100 3,459 4,500,499 866,384
Total Business-type Activities 10,858$ 43,245,974$ 3,459$ 43,253,373$ 1,586,582$
832022/02/15 City Council Post Agenda Page 124 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Governmental Activities Long-Term Debt
A. Certificates of Participation
2014 Refunding COP
In February 2014, the Chula Vista Public Financing Authority (Authority) issued $45,920,000 in 2014 Certificates
of Participation to refinance the City’s outstanding 2002 Certificates of Participation (Police Facility Project),
fund a reserve fund, and pay the costs incurred in connection with the execution and delivery of the Certificates.
The source of repayment of the certificates is the lease payments to be made by the City to the Authority. Should
the City default under the Lease, the Trustee, as assignee of the Authority, may terminate the Lease and re-lease
the Leased Premises or may retain the Lease and hold the City liable for all Lease Payments thereunder on an
annual basis. Under no circumstances will the Trustee have the right to accelerate Lease Payments. Interest is
payable semiannually on April 1 and October 1 of each year, commencing October 1, 2014. The certificates
mature in 2032 and principal is payable on October 1 each year, commencing October 1, 2014. As of
June 30, 2021, the outstanding balance is $33,735,000.
2015 Refunding COP
In August 2015, the Chula Vista Public Financing Authority (Authority) issued $34,330,000 in 2015 Certificates
of Participation to refinance the City’s outstanding 2004 Certificates of Participation (Civic Center Project Phase)
and a portion of the 2006 Certificates of Participation (Civic Center Project Phase II), fund a reserve fund, and
pay the costs incurred in connection with the execution and delivery of the Certificates. The refunding resulted in
a difference between the reacquisition price and the net carrying amount of the old debt of $445,970, which is
reported as a deferred outflow of resources in the accompanying financial statements and amortized over the
remaining life of the refunded debt. The City completed the refunding to reduce its total debt service payments
by $4,384,723 and to obtain an economic gain (difference between the present values of the old and new debt
services payments) of $3,073,833. The source of repayment of the certificates is the lease payments to be made
by the City to the Authority. Should the City default under the Lease, the Trustee, as assignee of the Authority,
may terminate the Lease and re-lease the Leased Premises or may retain the Lease and hold the City liable for all
Lease Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to
accelerate Lease Payments. Interest is payable semi-annually on March 1 and September 1 of each year,
commencing March 1, 2016. The certificates mature in 2034 and principal is payable on March 1 each year,
commencing October 1, 2015. As of June 30, 2021, the outstanding balance is $24,915,000.
2016 Refunding COP
In July 2016, the Chula Vista Public Financing Authority (Authority) issued $8,600,000 in 2016 Certificates of
Participation (Certificates) to current refund all of the City’s outstanding 2006 Certificates of Participation
(Civic Center Project – Phase 2), to satisfy the reserve requirement with respect to the Certificates and to pay the
costs of issuance of the Certificates. The refunding resulted in a difference between the reacquisition price and
the net carrying amount of the old debt of $221,204, which is reported as a deferred outflow of resources in the
accompanying financial statements and amortized over the remaining life of the refunded debt. The City
completed the refunding to reduce its total debt service payments by $1,144,525 and to obtain an economic gain
(difference between the present values of the old and new debt services payments) of $973,849. The source of
repayment of the certificates is the lease payments to be made by the City to the Authority. Should the City default
under the Lease, the Trustee, as assignee of the Authority, may terminate the Lease and re-lease the Leased
Premises or may retain the Lease and hold the City liable for all Lease Payments thereunder on an annual basis.
Under no circumstances will the Trustee have the right to accelerate Lease Payments. Interest is payable
semi-annually on March 1 and September 1 of each year, commencing March 1, 2017. The certificates mature
in 2036 and principal is payable on March 1 each year, commencing March 1, 2027. As of June 30, 2021, the
outstanding balance is $8,600,000.
842022/02/15 City Council Post Agenda Page 125 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Governmental Activities Long-Term Debt (Continued)
B. Lease Revenue Bonds
2016 Lease Revenue Refunding Bonds
In July 2016, the Chula Vista Municipal Financing Authority (Authority) issued $25,885,000 in
2016 Lease Revenue Refunding Bonds to refinance an existing lease by advance refunding the City’s outstanding
2010 Certificates of Participation (Capital Facilities Refunding Projects) and to pay the costs of issuance of the
Bonds. The refunding resulted in a difference between the reacquisition price and the net carrying amount of the
old debt of $4,898,948, which is reported as a deferred outflow of resources in the accompanying financial
statements and amortized over the remaining life of the refunded debt. The City completed the refunding to reduce
its total debt service payments by $2,167,047 and to obtain an economic gain (difference between the present
values of the old and new debt services payments) of $2,293,798. The source of repayment of the certificates is
the lease payments to be made by the City to the Authority. Should the City default under the Lease Agreement,
the Trustee, as assignee of the Authority, may terminate the Lease Agreement and re-lease the Leased Property
or may retain the Lease Agreement and hold the City liable for all Base Rental Payments thereunder on an annual
basis. Under no circumstances will the Trustee have the right to accelerate Base Rental Payments. Interest is
payable semi-annually on November 1 and May 1 of each year, commencing November 1, 2016. The certificates
mature in 2033 and principal is payable on May 1 each year, commencing May 1, 2017. As of June 30, 2021, the
outstanding balance is $19,020,000.
2017 Lease Revenue Bonds
In June 2017, the Chula Vista Municipal Financing Authority (Authority) issued $61,355,000 in 2017 Lease
Revenue Bonds to finance infrastructure, facilities, and equipment and to pay the costs of the issuance of the
Bonds. Should the City default under the Lease Agreement, the Trustee, as assignee of the Authority, may
terminate the Lease Agreement and re-lease the Leased Property or may retain the Lease Agreement and hold the
City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee
have the right to accelerate Base Rental Payments. Interest is payable semi-annually on November 1 and May 1
of each year, commencing November 1, 2017. The bonds mature in 2027 and principal is payable on May 1 each
year, commencing May 1, 2019. As of June 30, 2021, the outstanding balance is $38,985,000.
2017 Lease Revenue Bonds, Series A (New Clean Renewable Energy Bonds – Federally Taxable)
In December 2017, the Chula Vista Municipal Financing Authority (Authority) issued $12,045,000 in 2017 Lease
Revenue Bonds, Series A (New Clean Renewable Energy Bonds – Federally Taxable), to finance photovoltaic
energy systems at various City facilities, to capitalize interest on the Bonds and to pay the costs of issuance of the
Bonds. Should the City default under the Lease Agreement, the Trustee, as assignee of the Authority, either may
terminate the Lease Agreement and re-lease the Leased Property or may retain the Lease Agreement and hold the
City liable for all Base Rental Payments thereunder on an annual basis. Under no circumstances will the Trustee
have the right to accelerate Base Rental Payments. Interest is payable semi-annually on December 1 and June 1
of each year, commencing June 1, 2018. The bonds mature in 2049 and principal is payable on
December 1 each year, commencing December 1, 2021. As of June 30, 2021, the outstanding balance is
$12,045,000.
852022/02/15 City Council Post Agenda Page 126 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Governmental Activities Long-Term Debt (Continued)
2017 Lease Revenue Bonds, Series B (Tax-Exempt)
In December 2017, the Chula Vista Municipal Financing Authority (Authority) issued $1,085,000 in 2017 Lease
Revenue Bonds, Series B (Tax-Exempt), to finance photovoltaic energy systems at various City facilities, to
capitalize interest on the Bonds and to pay the costs of issuance of the Bonds. Should the City default under the
Lease Agreement, the Trustee, as assignee of the Authority, either may terminate the Lease Agreement and
re-lease the Leased Property or may retain the Lease Agreement and hold the City liable for all Base Rental
Payments thereunder on an annual basis. Under no circumstances will the Trustee have the right to accelerate
Base Rental Payments. Interest is payable semi-annually on December 1 and June 1 of each year, commencing
June 1, 2018. The bonds mature in 2029 and principal is payable on December 1 each year, commencing
December 1, 2019. As of June 30, 2021, the outstanding balance is $875,000.
C. Private Placement Notes
Section 108 Loan
In June 2008, the City entered into a Contract for Loan Guarantee Assistance with the U.S. Department of Housing
and Urban Development (“HUD”) as part of the Section 108 Loan Program in the amount of $9,500,000. The
Section 108 Loan is an “advance” of future CDBG entitlement funds and, as such, is repaid with a portion of the
City’s annual entitlement. Proceeds of the loan will be used to fund multiple capital improvement projects. Debt
service payments will be made with future CDBG entitlements for 20 years, with interest payments beginning
with fiscal year 2009. On November 27, 2018, the City received notice from HUD regarding the opportunity to
refinance the existing Section 108 Loan from an average of 5.19% interest rate (2019 through 2028) to an
estimated average of 3.23% interest rate (2019 through 2028). On December 6, 2018, the City notified HUD of
its election to redeem the current note. The City signed the agreement for the refinancing on January 23, 2019.
No changes were made to the term of the loan. As of June 30, 2021, the outstanding balance is $4,926,000.
Taxable QECB Lease/Purchase Agreement
On December 31, 2012, the City entered into a lease purchase agreement with a private party to purchase certain
energy conservation equipment. The lease/purchase agreement would bridge the financial gap between the
Municipal Street Listing Retrofit Project capital costs and the available rebates for energy conservation
equipment. As of June 30, 2021, the outstanding balance is $688,951.
California Energy Commission Loans/SDG&E On-Bill Financing
On September 25, 2007, the City Council approved Resolution 2007-241 authorizing the City’s participation in
the California Energy Commission (“CEC”) and the SDG&E On-Bill Financing program. The loans would bridge
the financial gap between energy conservation project capital costs and the available rebates for energy
conservation equipment. As of June 30, 2021, the outstanding balance is $1,001,056.
D. Pension-Related Debt
2021 Taxable Pension Obligation Bonds
In February 2021, the City issued $350,025,000 in 2021 Taxable Pension Obligation Bonds to finance the rolled
forward Pension Liability as of June 30, 2019, as projected by CalPERS. Interest is payable semi-annually on
December 1 and June 1 of each year, commencing December 1, 2021. The bonds mature in 2045 and principal
is payable on December 1 each year, commencing June 1, 2022. As of June 30, 2021, the outstanding balance is
$350,025,000. The Bonds are allocated among the various funds on the same basis as the City’s net pension
liability. The portion of the Bonds attributable to governmental activities at June 30, 2021, is $311,272,126.
862022/02/15 City Council Post Agenda Page 127 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Governmental Activities Long-Term Debt (Continued)
E. Leases
Solar Energy Financing
On July 23, 2013, the City Council approved Resolution 2013-149 authorizing the City to utilize a $2,121,500
Tax-Exempt Facility Lease Purchase Agreement with Banc of America, which would be repaid through the annual
energy cost savings. As of June 30, 2021, the outstanding balance is $1,090,891.
PNC Equipment Lease
In November 2015, the City entered into a capital lease agreement with PNC Equipment Finance for the
acquisition of two Pierce Arrow XT Triple Combination Pumper/Fire Engines. The lease term is ten years and
the lease amount of $1,285,053 is to be paid in annual installments beginning November 2016. As of
June 30, 2021, the outstanding balance is $693,019
JP Morgan Equipment Lease
In August 2016, the City entered into a capital lease agreement with JP Morgan Chase Bank, N.A. for the
acquisition of one Pierce Fire Engine. The lease term is ten years and the lease amount of $1,229,470 is to be
paid in annual installments beginning in August 2017. As of June 30, 2021, the outstanding balance is $768,815.
Motorola Solutions CAD Equipment Lease
In July 2017, the City entered into a capital lease agreement with Motorola Solutions, Inc. for the acquisition of
a PSA System. The lease term is ten years and the lease amount of $1,351,409 is to be paid in annual installments
beginning in July 2018. As of June 30, 2021, the outstanding balance is $915,225.
Mail Folding Machine Lease
In January 2018, the City entered into a capital lease agreement with Mail Finance, Inc. for the acquisition of a
mail folding machine. The lease term is ten years and the lease amount of $17,245 is to be paid in annual
installments beginning in July 2018. As of June 30, 2021, the outstanding balance is $7,372.
JP Morgan Equipment Lease
In October 2019, the City entered into a capital lease agreement with JP Morgan Chase Bank, N.A. for the
acquisition of one Pierce Fire Engine. The lease term is ten years and the lease amount of $720,786 is to be paid
in annual installments beginning in October 2019. As of June 30, 2021, the outstanding balance is $596,709.
Dell MDC Lease
In January 2020, the City entered into a capital lease agreement with Dell Financial Services for the acquisition
of computer equipment. The lease term is four years and the lease amount of $303,014 is to be paid in annual
installments beginning in January 2020. As of June 30, 2021, the outstanding balance is $151,258.
Banc of America Equipment Lease
In July 2020, the City entered into a capital lease agreement with Banc of America Public Capital Corp. for the
acquisition of two Pierce Arrow pumpers. The lease term is 5 years and the lease amount of $2,273,805 is to be
paid in annual installments beginning on July 30, 2021. As of June 30, 2021, the outstanding balance is
$2,273,805.
872022/02/15 City Council Post Agenda Page 128 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Governmental Activities Long-Term Debt (Continued)
F. Debt Service to Maturity
The debt service requirements to maturity for the long-term debts previously described are as follows:
Year Ending
June 30, Principal Interest Total Principal Interest Total
2022 4,045,000$ 2,762,394$ 6,807,394$ 7,790,000$ 3,150,087$ 10,940,087$
2023 4,250,000 2,557,394 6,807,394 7,860,000 2,776,920 10,636,920
2024 4,475,000 2,341,894 6,816,894 7,935,000 2,401,049 10,336,049
2025 4,660,000 2,158,319 6,818,319 8,345,000 2,021,878 10,366,878
2026 4,885,000 1,934,444 6,819,444 8,760,000 1,623,764 10,383,764
2027-2031 27,410,000 6,364,475 33,774,475 17,975,000 4,042,092 22,017,092
2032-2036 17,525,000 1,198,960 18,723,960 3,735,000 2,058,114 5,793,114
2037-2041 - - - 2,615,000 1,532,494 4,147,494
2042-2046 - - - 3,405,000 914,133 4,319,133
2047-2051 - - - 2,505,000 164,053 2,669,053
Total 67,250,000$ 19,317,880$ 86,567,880$ 70,925,000$ 20,684,584$ 91,609,584$
Year Ending
June 30, Principal Interest Total Principal Interest Total
2022 1,048,581$ 178,851$ 1,227,432$ 6,505,000$ 9,782,164$ 16,287,164$
2023 896,844 151,566 1,048,410 8,795,000 7,679,215 16,474,215
2024 930,385 124,666 1,055,051 9,005,000 7,658,019 16,663,019
2025 864,939 96,420 961,359 9,215,000 7,620,288 16,835,288
2026 800,258 72,814 873,072 9,475,000 7,559,469 17,034,469
2027-2031 2,075,000 93,243 2,168,243 51,980,000 35,998,281 87,978,281
2032-2036 - - - 71,800,000 30,664,532 102,464,532
2037-2041 - - - 93,885,000 20,704,992 114,589,992
2042-2046 - - - 89,365,000 6,519,137 95,884,137
2047-2051 - - - - - -
Total 6,616,007$ 717,560$ 7,333,567$ 350,025,000$ 134,186,097$ 484,211,097$
Year Ending
June 30, Principal Interest Total Principal Interest Total
2022 1,051,511$ 174,586$ 1,226,097$ 20,440,092$ 16,048,082$ 36,488,174$
2023 1,091,902 137,482 1,229,384 22,893,746 13,302,577 36,196,323
2024 1,035,623 110,717 1,146,340 23,381,008 12,636,345 36,017,353
2025 1,061,766 87,792 1,149,558 24,146,705 11,984,697 36,131,402
2026 1,088,767 64,092 1,152,859 25,009,025 11,254,583 36,263,608
2027-2031 1,167,525 94,454 1,261,979 100,607,525 46,592,545 147,200,070
2032-2036 - - - 93,060,000 33,921,606 126,981,606
2037-2041 - - - 96,500,000 22,237,486 118,737,486
2042-2046 - - - 92,770,000 7,433,270 100,203,270
2047-2051 - - - 2,505,000 164,053 2,669,053
Total 6,497,094$ 669,123$ 7,166,217$ 501,313,101$ 175,575,244$ 676,888,345$
Lease Revenue BondsCertificates of Participation
Private Placement Notes Pension-Related Debt
Leases Total Future Debt Service
882022/02/15 City Council Post Agenda Page 129 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Business-type Activities Long-Term Debt
A. Pension-Related Debt
2021 Taxable Pension Obligation Bonds
In February 2021, the City issued $350,025,000 in 2021 Taxable Pension Obligation Bonds to finance the rolled
forward Pension Liability as of June 30, 2019, as projected by CalPERS. Interest is payable semi-annually on
December 1 and June 1 of each year, commencing December 1, 2021. The bonds mature in 2045 and principal
is payable on December 1 each year, commencing June 1, 2022. As of June 30, 2021, the outstanding balance is
$350,025,000. The Bonds are allocated among the various funds on the same basis as the City’s net pension
liability. The portion of the Bonds attributable to business-type activities at June 30, 2021, is $38,752,874. Refer
to the debt service requirements to maturity for this bond on the previous page.
B. Leases
Mail Folding Machine Lease
In January 2018, the City entered into a capital lease agreement with Mail Finance, Inc. for the acquisition of a
mail folding machine. The lease term is ten years and the lease amount of $17,245 is to be paid in annual
installments beginning in July 2018. As of June 30, 2021, the outstanding balance is $7,399.
Banc of America Equipment Lease
In July 2020, the City entered into a capital lease agreement with Banc of America Public Capital Corp. for the
acquisition of a Medix Ambulance, and various equipment associated with the ambulance The lease term is
5 years and the lease amount of $4,493,100 is to be paid in annual installments beginning on July 30, 2021. As of
June 30, 2021, the outstanding balance is $4,493,100.
C. Debt Service to Maturity
Year Ending
June 30, Principal Interest Total
2022 866,384$ 65,301$ 931,685$
2023 897,864 34,074 931,938
2024 903,001 25,111 928,112
2025 912,053 16,059 928,112
2026 921,197 6,915 928,112
Total 4,500,499$ 147,460$ 4,647,959$
Leases'
892022/02/15 City Council Post Agenda Page 130 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Fiduciary Funds Long-Term Debt
A. Tax Allocation Bonds
Balance Balance Amount
Beginning End Due Within
of Year Additions Deletions of Year One Year
Private Purpose Trust Funds
Bonds payable
Tax Allocation Refunding Bonds 24,540,000$ -$ 1,770,000$ 22,770,000$ 1,840,000$
Premium 3,750,239 - 234,390 3,515,849 -
Total Private Purpose Trust Funds 28,290,239$ -$ 2,004,390$ 26,285,849$ 1,840,000$
2016 Tax Allocation Refunding Bonds
In July 2016, the Successor Agency to the Redevelopment Agency of the City of Chula Vista
(the Successor Agency) issued $29,315,000 in 2016 Tax Allocation Refunding Bonds to refinance the following
obligations of the Former Agency:
Bayfront/Town Centre Redevelopment Project 2006 Senior Tax Allocation Refunding Bonds, Series A,
currently outstanding in the principal amount of $8,770,000.
Bayfront/Town Centre Redevelopment Project 2006 Subordinate Tax Allocation Refunding Bonds, Series
B, currently outstanding in the principal amount of $8,245,000; and
2008 Tax Allocation Refunding Bonds (Merged Redevelopment Project), currently outstanding in the
principal amount of $20,450,000.
The refunding resulted in a difference between the reacquisition price and the net carrying amount of the old debt
of $1,669,678, which is reported as a deferred outflow of resources in the accompanying financial statements and
amortized over the remaining life of the refunded debt. The City completed the refunding to reduce its total debt
service payments by $9,561,410 and to obtain an economic gain (difference between the present values of the old
and new debt services payments) of $4,617,835. In the event of default of the payment of the scheduled principal
of or interest on the 2016 Insured Bonds when all or some becomes due, the Trustee on behalf of any owner of
the 2016 Insured Bonds shall have a claim under the 2016 Insurance Policy for such payments. The maturity of
Insured Bonds shall not be accelerated without the consent of the 2016 Insurer. Interest is payable semi-annually
on April 1 and October 1 of each year, commencing April 1, 2017. The certificates mature in 2037 and principal
is payable on October 1 each year, commencing October 1, 2017. As of June 30, 2021, the outstanding balance
is $22,770,000.
The annual debt service requirements for the 2016 Tax Allocation Refunding Bonds outstanding at
June 30, 2021, are as follows:
Year Ending
June 30, Principal Interest Total
2022 1,840,000$ 948,600$ 2,788,600$
2023 1,920,000 873,400 2,793,400
2024 1,995,000 795,100 2,790,100
2025 2,075,000 713,700 2,788,700
2026 2,155,000 629,100 2,784,100
2026-2031 5,875,000 2,175,775 8,050,775
2031-2036 5,625,000 867,800 6,492,800
2036-2041 1,285,000 19,275 1,304,275
Total 22,770,000$ 7,022,750$ 29,792,750$
902022/02/15 City Council Post Agenda Page 131 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Fiduciary Funds Long-Term Debt (Continued)
Pledged Revenues
The Successor Agency has pledged tax revenues to the repayment of the RDA’s debts transferred to it on February
1, 2012, through the final maturity of the Bonds, or early retirement of the Bonds, whichever comes first. Tax
revenues consist of Redevelopment Property Tax Trust Fund distributions allocated to the RDA’s project areas
pursuant to Section 33670 of the Redevelopment Law excluding that portion of such tax increment revenues
required to be paid under tax-sharing agreements unless the payment of such amounts has been subordinated to
payment of debt services on the Bonds. Redevelopment Property Tax Trust Fund distributions earned in fiscal
year 2021 was $2,722,849 and total debt service of all Tax Allocation Bonds paid was $2,790,800. The Bonds
required 75% of net distributions. In future years, annual principal and interest payments on the Tax Allocation
Bonds are expected to require 75% of Redevelopment Property Tax Trust Fund distributions.
B. Special Assessment Debt – Non-City Obligations
Bonds issued to finance public improvement projects in certain assessment districts are liabilities of the property
owners and are secured by liens against the assessed properties. The City acts as an agent for collection of
principal and interest payments by the property owners and remittance of such monies to the bondholders. The
City has no obligation or duty to pay any delinquency out of any available funds of the City. Neither the faith,
credit, nor the taxing power of the City is pledged to the payment of the bonds, however, the City accounts for
the bonds and makes payments in a fiduciary capacity. Therefore, following obligations are included in the
accompanying basic fiduciary fund financial statements as part of the custodial funds. At June 30, 2021, the
special assessment debts recorded in custodial funds outstanding are as follows:
Original Outstanding
Amount June 30, 2021
Special Tax Revenue Refunding Bonds, Series 2013 72,100,000$ 53,455,000$
Special Tax Revenue Refunding Bonds, Series 2015A 30,460,000 26,275,000
Revenue Refunding Bonds, Series 2015B 43,695,000 32,965,000
CFD 16-1 1A1 12,280,000 12,230,000
CFD 16-1 1A2 11,255,000 11,255,000
Bond Premium 10,389,831 9,077,436
Total 180,179,831$ 145,257,436$
912022/02/15 City Council Post Agenda Page 132 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 8 – Long-Term Liabilities (Continued)
Multi-Family Housing Bonds – Non-City Obligations
Bonds issued to finance public improvement and/or affordable multifamily housing projects are liabilities of the
developers and are secured by liens against the assessed property. The City has no obligation or duty to pay any
delinquency out of any available funds of the City. Neither the faith, credit, nor the taxing power of the City is pledged
to the payment of the bonds. Therefore, none of the following obligations are included in the accompanying basic
financial statements. At June 30, 2021, the multi-family housing bonds outstanding are as follows:
Original Outstanding
Amount June 30, 2021
2007 A Oxford Terrace Apartments 2,276,000$ 1,595,000$
2007 B Oxford Terrace Apartments 2,363,000 2,363,000
2006 A Teresina Apartment Projects 37,940,000 37,940,000
2007 C The Landing Apartment 16,670,000 5,518,171
2013 A Congregational Tower 20,540,000 19,110,368
2016 A-1 Duetta Apts Homes 18,675,000 7,741,063
2016 A-3 Duetta Apts Homes Junior 725,000 725,000
2016 B-1 Volta Apts Homes 20,925,000 9,843,574
2016 B-3 Volga Apts Homes Junior 775,000 575,000
2010 A-1 Landings II Senior 11,786,233 9,945,720
2005A Rancho Vista 1,715,000 -
2003A Rancho Vista 11,485,000 -
2019 A Cordova and Trolley Apartments 6,450,000 4,014,813
2019 Series B-1 St. Regis Park Apartments 13,300,000 13,216,445
2019 Series B-2 St. Regis Park Apartments 1,300,000 -
2019 Series B-3 St. Regis Park Apartments 4,400,000 -
2019 Series B-4 Sub St. Regis Park Apartments 6,800,000 6,800,000
2020 Series A Otay Ranch Apartments 5,354,124 5,354,124
Total 183,479,357$ 124,742,278$
922022/02/15 City Council Post Agenda Page 133 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 9 – Unearned Revenue
At June 30, 2021, unearned revenue was reported in the amount of $28,861,199 and related to grant program funding
received but not expended for allowable costs as of June 30, 2021.
Note 10 – Compensated Absences
The City’s liability for vested and unpaid compensated absences (accrued vacation) has been accrued and amounts to
$10,969,829 at June 30, 2021. For the governmental activities claims and judgments and compensated absences are
generally liquidated by the general fund and the fleet management internal service fund. In business-type funds, the
liabilities are typically liquidated by the Sewer Fund and the Development Services Fund. Refer to the schedule of
changes in long-term liabilities at Note 8 for the changes in compensated absences during the year. The table below
describes the dollar amount of compensated absences allocated to the different activities and funds, and the percentage
of liquidation applicable to those funds or activities:
Percentage of
Balance Liquidation
Governmental Activities
General Fund 10,119,260$ 92.2%
Fleet Management internal service fund 52,126 0.5%
Subtotal - Governmental Activities 10,171,386
Business-type Activities
Sewer Fund 249,818 2.3%
Development Services Fund 548,625 5.0%
Subtotal - Business-type Activities 798,443
Total Compensated Absences 10,969,829$ 100.0%
Balance Balance Amount
Beginning End Due Within
of Year Additions Deletions of Year One Year
Governmental Activites
Compensated Absences 10,200,707$ 6,041,414$ 6,070,735$ 10,171,386$ 6,053,286$
Business-type Activities
Compensated Absences 845,786 305,852 353,195 798,443 334,045
Grand Total 11,046,493$ 6,347,266$ 6,423,930$ 10,969,829$ 6,387,331$
932022/02/15 City Council Post Agenda Page 134 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 11 – Self-Insurance Accrued Liabilities
California employers, including the cities, are required to provide for workers’ compensation when the employees are
injured on the job and the City of Chula Vista, in compliance with its workers compensation obligations, has a self-
insurance workers’ compensation program. To administer City of Chula Vista's workers’ compensation program. The
City requires a qualified workers’ compensation claims management service company (commonly called "Third Party
Administrators" or "TPA") to supervise and administer the workers’ compensation claims made upon the City's
self-insurance program.
City Council of the City of Chula Vista authorized the City Manager to execute an Agreement with Intercare Holdings
Insurance Services, Inc., to act as the Third-Party Administrator for the City’s Workers’ Compensation Program,
effective July 1, 2017. The term of this agreement began July 1, 2017, and ended on June 30, 2018, for completion of
all Required Services. The Agreement may be extended for up to five (5) additional terms and has been extended
through June 30, 2021.
The City is self-insured for the first $1,000,000 per occurrence for workers’ compensation liabilities. Excess workers’
compensation coverage is obtained through participation in the Public Risk Innovation, Solutions, and Management
(PRISM), formerly known as CSAC - Excess Insurance Authority. As of June 30, 2021, the program that offers per
occurrence coverage up to $5,000,000 through pooled resources and from $5,000,000 to statutory limits via group
purchased excess insurance policies.
Only the probable amounts of loss as estimated by the City’s Risk Manager and Attorney, including an estimate of
incurred-but-not reported losses, have been recorded as liabilities in the accompanying basic financial statements.
There were no reductions in insurance from the prior year and there were no insurance settlements that exceeded
coverage in each of the past three years.
The aggregate change in the balance of claims payable as recorded in the Governmental Activities were as follows:
Claims and
Beginning
Balance
Changes in
Estimates
Claims
Payments Ending Balance
2018-2019 22,880,705$ 5,663,568$ (4,306,980)$ 24,237,293$
2019-2020 24,237,293 4,472,938 (4,024,895) 24,685,336
2020-2021 24,685,336 11,304,276 (4,981,945) 31,007,667
The City determines that $4,000,000 of the $31,007,667 to be short term. The liabilities for claims and judgments are
typically liquidated from the General Fund.
Note 12 – Pension Plans
A. California Public Employees’ Retirement Plans
Plan Description
All qualified permanent and probationary employees are eligible to participate in the City’s Miscellaneous Plan
or the City’s Safety Plan, both agent multiple employer defined benefit pension plans administered by the
California Public Employees’ Retirement System (CalPERS), which acts as a common investment and
administrative agent for its participating member employers. Benefit provisions under the Plans are established
by State statute and City resolution. CalPERS issues publicly available reports that include a full description of
the pension plans regarding benefit provisions, assumptions and membership information that can be found on
the CalPERS website.
942022/02/15 City Council Post Agenda Page 135 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits
to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service,
equal to one year of full-time employment. Members with five years of total service are eligible to retire at age
50 (52 under PEPRA) with statutorily reduced benefits. All members are eligible for non-duty disability benefits
after 10 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor
Benefit, or the Optional Settlement 2W Death Benefit. The cost-of-living adjustments for each plan are applied
as specified by the Public Employees’ Retirement Law.
The Plan’s provisions and benefits in effect at June 30, 2021, are summarized as follows:
Miscellaneous Plan
Tier 1*Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011, but
prior to January 1, 2013
New Member on or
after January 1,
2013
Benefit formula 3% @ 60 2% @ 60 2% @ 62
Benefit vesting schedule 5 years’ service 5 years’ service 5 years’ service
Benefit payments monthly for life monthly for life monthly for life
Retirement age 50 50 52
Monthly benefits, as a % of
eligible compensation 2.0% to 3.0% 1.092% to 2.418% 1.0% to 2.5%
Required employee contribution
rates 8.0%7.0% 6.75%
Required employer contribution
rates 31.545%31.545% 12.757%
Safety Fire Plan
Tier 1*Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011,
but prior to January 1,
2013
New Member on or
after January 1,
2013
Benefit formula 3% @ 50 3% @ 55 2.7% @ 57
Benefit vesting schedule 5 years’ service 5 years’ service 5 years’ service
Benefit payments monthly for life monthly for life monthly for life
Retirement age 50 50 50
Monthly benefits, as a % of eligible
compensation 3.00%2.4% to 3.0% 2.0% to 2.7%
Required employee contribution
rates 9.0%9.0% 12.25%
Required employer contribution
rates 35.570%35.570% 24.095%
952022/02/15 City Council Post Agenda Page 136 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Safety Police Plan
Tier 1* Tier 2 PEPRA
Hire date
Prior to
April 22, 2011
New Member on or
after April 22, 2011,
but prior to January 1,
2013
New Member on or
after January 1,
2013
Benefit formula 3% @ 50 3% @ 55 2.7% @ 57
Benefit vesting schedule 5 years’ service 5 years’ service 5 years’ service
Benefit payments monthly for life monthly for life monthly for life
Retirement age 50 50 50
Monthly benefits, as a % of eligible
compensation 3.00%2.4% to 3.0% 2.0% to 2.7%
Required employee contribution
rates 9.0%9.0% 12.25%
Required employer contribution
rates 35.570%35.570% 24.095%
*Closed to new entrants
Employees Covered
At June 30, 2021, the following employees were covered by the benefit terms of the plans:
Miscellaneous Plan
Inactive employees or beneficiaries currently receiving benefits857
Inactive employees entitled to but not yet receiving benefits 701
Active employees 592
Total 2,150
Safety Plan
Inactive employees or beneficiaries currently receiving benefits375
Inactive employees entitled to but not yet receiving benefits 119
Active employees 356
Total 850
Contribution Description
Section 20814(c) of the California Public Employees’ Retirement Law (PERL) requires that the employer
contribution rates for all public employers are determined on an annual basis by the actuary and shall be effective
on the July 1 following notice of a change in the rate. The total plan contributions are determined through
CalPERS’ annual actuarial valuation process. The actuarially determined rate is the estimated amount necessary
to finance the costs of benefits earned by employees during the year, with an additional amount to finance any
unfunded accrued liability. The employer is required to contribute the difference between the actuarially
determined rate and the contribution rate of employees. Employer contribution rates may change if plan contracts
are amended. Payments made by the employer to satisfy contribution requirements that are identified by the
pension plan terms as plan member contribution requirements are classified as plan member contributions.
$18,211,675 and $17,861,917 of contributions for the Miscellaneous and Safety Plan respectively, were
recognized as a reduction to the net pension liability for fiscal year ending June 30, 2021.
962022/02/15 City Council Post Agenda Page 137 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Actuarial Methods and Assumptions Used to Determine Total Pension Liability
The June 30, 2019, valuation was rolled forward to determine the June 30, 2020, total pension liability, based
on the following actuarial methods and assumptions:
Actuarial Cost Method Entry Age Normal in accordance with the requirements of GASB 68
Actuarial Assumptions
Discount Rate 7.15%
Inflation 2.50%
Salary Increases Varies by Entry Age and Service
Mortality Rate Table 1 Derived using CalPERS' membership data for all funds
Post Retirement Benefit Increase The lesser of contract COLA or 2.50% until Purchasing Power Protection
Allowance floor on purchasing power applies, 2.50% thereafter
1The mortality table was developed based on CalPERS-specific data.The probabilities of mortality are based on
the 2017CalPERSExperience Study forthe period from1997 to 2015. Pre-retirement and post-retirement mortality
rates include 15years ofprojected mortality improvement using 90% of Scale MP-2016 published by the Society
of Actuaries. For more details on this table, please refer to the CalPERS Experience Study and Review of
Actuarial Assumptions report from December 2017 that can be found on the CalPERS website.
Long-term Expected Rate of Return
The long-term expected rate of return on pension plan investments was determined using a building-block method
in which expected future real rates of return (expected returns, net of pension plan investment expense and
inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term
market return expectations as well as the expected pension fund cash flows. Using historical returns of all of the
funds’ asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years)
and the long-term (11+ years) using a building-block approach. Using the expected nominal returns for both
short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return
was set by calculating the rounded single equivalent expected return that arrived at the same present value of
benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of
return was then set equal to the single equivalent rate calculated above and adjusted to account for assumed
administrative expenses. The expected real rates of return by asset class are as followed:
Assumed
Asset Real Return Real Return
Asset Class 1 Allocation Years 1-10
2 Years 11+ 3
Global equity 50.0% 4.80% 5.98%
Fixed income 28.0% 1.00% 2.62%
Inflation assets 0.0% 0.77% 1.81%
Private equity 8.0% 6.30% 7.23%
Real assets 13.0% 3.75% 4.93%
Liquidity 1.0% 0.00% -0.92%
1 In CalPERS' ACFR,Fixed Income is included in GlobalDebt
Securities; Liquidity is included in Short-term Investments;
Inflation Assets are included in Global Equity Securities and
Global Debt Securities.
2 An expected inflation rate of 2.00% is used for this period.
3 An expected inflation rate of 2.92% is used for this period.
972022/02/15 City Council Post Agenda Page 138 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Discount Rate
The discount rate used to measure the total pension liability was 7.15%. The projection of cash flows used to
determine the discount rate assumed that contributions from plan members will be made at the current member
contribution rates and that contributions from employers will be made at statutorily required rates, actuarially
determined. Based on those assumptions, the Plan’s fiduciary net position was projected to be available to make
all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return
on plan investments was applied to all periods of projected benefit payments to determine the total pension
liability.
Subsequent Events
On November 15, 2021, the CalPERS Board of Administration selected a new asset allocation mix that will guide
the fund’s investment portfolio for the next for years, while at the same time retaining the current target rate of
return. The Board also approved adding 5 percent leverage to increase investment diversification. The new asset
allocation takes effect July 1, 2022 and is expected to decrease employer contribution rates from less than
1 percent to a decrease of more than 2 percent depending on the plan type. Employees in the PEPRA plans will
likely see increases in their contribution rates. Contribution changes will take effect in fiscal year 2023-24.
Amortization of Deferred Outflows and Deferred Inflows of Resources
Under GASB 68, gains and losses related to changes in total pension liability and fiduciary net position are
recognized in pension expense systematically over time. The first amortized amounts are recognized in pension
expense for the year the gain or loss occurs. The remaining amounts are categorized as deferred outflows and
deferred inflows of resources related to pensions and are to be recognized in future pension expense. The
amortization period differs depending on the source of the gain or loss:
Net Difference between projected 5-year straight-line amortization
and actual earnings on pension
plan investments
All other amounts Straight-line amortization over the expected average remaining service
lifetime (EARSL) of all members that are provided with benefits
(active, inactive, and retired) at the beginning of the measurement
period. (2.7 years for Miscellaneous and 4.9 years for Safety)
982022/02/15 City Council Post Agenda Page 139 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Changes in the Net Pension Liability
The following table shows the changes in net pension liability recognized over the measurement period.
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
(a)(b) (c) = (a) - (b)
Miscellaneous Plan:
Balance at: 06/30/2019 571,131,636$ 393,288,573$ 177,843,063$
(Valuation Date)
Changes Recognized for the
Measurement Period:
Service Cost 8,953,165 - 8,953,165
Interest on Total Pension Liability 40,325,600 - 40,325,600
Differences Between Expected and
Actual Experience 2,562,816 - 2,562,816
Contributions - Employer - 18,211,675 (18,211,675)
Contributions - Employees - 3,800,444 (3,800,444)
Net Investment Income - 19,625,933 (19,625,933)
Benefit Payments, Including Refunds of
Employee Contributions (28,353,268) (28,353,268) -
Administrative Expense - (554,440) 554,440
Net Changes During 2019-20 23,488,313 12,730,344 10,757,969
Balance at: 06/30/2020 594,619,949 406,018,917 188,601,032
(Measurement Date
Safety Plan:
Balance at: 06/30/2019 546,952,268 389,849,610 157,102,658
(Valuation Date)
Changes Recognized for the
Measurement Period:
Service Cost 12,575,630 - 12,575,630
Interest on Total Pension Liability 38,422,153 - 38,422,153
Differences Between Expected and
Actual Experience (3,779,764) - (3,779,764)
Contributions - Employer - 17,861,917 (17,861,917)
Contributions - Employees - 4,257,612 (4,257,612)
Net Investment Income - 19,386,578 (19,386,578)
Benefit Payments, Including Refunds of
Employee Contributions (24,175,102) (24,175,102) -
Administrative Expense - (549,592) 549,592
Net Changes During 2019-20 23,042,917 16,781,413 6,261,504
Balance at: 06/30/2020 569,995,185 406,631,023 163,364,162
(Measurement Date
Total - All Plans 1,164,615,134$ 812,649,940$ 351,965,194$
.
992022/02/15 City Council Post Agenda Page 140 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
Sensitivity of the Net Pension Liability to Changes in the Discount Rates
The following presents the net pension liability of the Plans as of the measurement date, calculated using the
discount rate of 7.15 percent, as well as what the net pension liability would be if it were calculated using a
discount rate that is 1 percentage-point lower (6.15 percent) or 1 percentage-point higher (8.15 percent) than the
current rate:
Discount Rate - 1%
(6.15%)
Current Discount Rate
(7.15%)
Discount Rate +1%
(8.15%)
Miscellaneous Plan 265,211,579$ 188,601,032$ 125,085,885$
Safety Plan 244,123,634 163,364,162 97,347,167
TOTAL 509,335,213$ 351,965,194$ 222,433,052$
Pension Plan Fiduciary Net Position
Detailed information about the plans’ fiduciary net position is available in the separately issued CalPERS financial
reports. See CalPERS website for additional information.
Pension Expense and Deferred Outflows and Deferred Inflows of Resources Related to Pensions
For the year ended June 30, 2021, the City incurred a pension expense of $18,941,794 and $28,141,162 for the
Miscellaneous and Safety Plans, respectively, for a total pension expense of $47,082,956. At June 30, 2021, the
City of Chula Vista has deferred outflows and deferred inflows of resources related to pensions as follows:
Deferred Outflows Deferred Inflows
of Resources of Resources
Miscellaneous Plan
Contributions Subsequent to Measurement Date 196,350,263$ -$
Differences Between Expected and Actual Experience 1,613,625 95,378
Net Difference Between Projected and Actual Earnings on
Pension Plan Investments 2,917,876 -
Subtotal - Miscellaneous Plan 200,881,764 95,378
Safety Plan
Contributions Subsequent to Measurement Date 191,117,507 -
Changes of Assumptions 5,398,780 792,200
Differences Between Expected and Actual Experience 2,881,601 3,346,121
Net Difference Between Projected and Actual Earnings on
Pension Plan Investments 3,397,682 -
Subtotal - Safety Plan 202,795,570 4,138,321
Total - All Plans 403,677,334$ 4,233,699$
1002022/02/15 City Council Post Agenda Page 141 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 12 – Pension Plans (Continued)
The $196,350,263 and $191,117,507 for the Miscellaneous and Safety Plan, respectively, reported as deferred
outflows of resources related to contributions subsequent to the measurement date will be recognized as a
reduction of the net pension liability in the year ended June 30, 2021. Other amounts reported as deferred outflows
or deferred inflows of resources related to pensions will be recognized as pension expense as follows:
Fiscal Years
Ended June 30: Miscellaneous Safety Total
2022 (912,911)$ 3,396,409$ 2,483,498$
2023 1,680,483 954,623 2,635,106
2024 2,030,165 2,205,137 4,235,302
2025 1,638,386 983,573 2,621,959
Deferred Outflows/(Inflows) of Resources
B. Defined Contribution Pension Plan
The City provides pension plan benefits for all of its part-time hourly employees through a defined contribution
plan (Public Agency Retirement Plan). In a defined contribution plan, benefits depend solely on amounts
contributed to the plan plus investment earnings. The plan is administered by Public Agency Retirement Services
(PARS). All part-time employees are eligible to participate from the date of employment. Federal legislation
requires contributions of at least 7.5% to a retirement plan, and City Council resolved to match the employees’
contributions of 3.75%. The City’s contributions for each employee (and interest earned by the accounts) are fully
vested immediately. The authority to establish or amend the plan’s provisions resides with City Council.
For the year ended June 30, 2021, the City’s total hourly payroll (for eligible PARS members) and covered payroll
was $1,499,366. The City made employer contributions of $56,226 (3.75% of current covered payroll), and
employees contributed $56,226 (3.75% of current covered payroll).
C. Deferred Compensation 457B Plan
The City offers to its employees an optional deferred compensation plan created in accordance with Section 457
of the Internal Revenue Code. This plan is available to substantially all employees and allows participants to defer
a portion of their current income until future years, up to a maximum of $19,500 (in whole dollars) per calendar
year, so as to shelter such funds and earnings from state and federal taxation until withdrawal. The deferred
compensation is not available to participants until termination, retirement, death, or unforeseeable emergency.
This plan is administered through a third‐party administrator. The City does not perform the investing function
and has no fiduciary accountability for the plan. Thus, plan assets and any related liability to plan participants
have been excluded from the City’s financial statements. At June 30, 2021, the balance in the plan was
$126,836,716.
Note 13 – Post Retirement Health Benefits
A. Defined Benefit Other-Post Employment Benefits Plan
Plan Description
The City administers a single-employer defined-benefit post-employment healthcare plan (the Plan). Dependents are
eligible to enroll, and benefits continue to surviving spouses.
1012022/02/15 City Council Post Agenda Page 142 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 13 – Post Retirement Health Benefits (Continued)
Benefits Provided
Pre-Medicare Miscellaneous employees hired before January 1, 2011, and Safety employees hired before
April 22, 2011, pay 100% of the pre-Medicare active/retiree blended rate. All other pre-Medicare employees pay
100% of the unblended (pure retiree) pre-Medicare premium. Medicare retirees pay 100% of the unblended
(pure retiree) premium.
Employees Covered by Benefit Terms
At June 30, 2019 (the census date), the benefit terms covered the following employees:
Active 493
Inactive employees or beneficiaries currently receiving benefits 228
Inactive employees entitled to, but not yet receiving benefits -
721
The information above does not reflect eligible retirees that are in the process of enrolling in the healthcare plan.
Contributions
The City pays benefits as they come due.
Contribution Rate: Benefits due
Reporting period contributions: $1,148,517 (includes implicit subsidy credit)
Total OPEB Liability
The City's total OPEB liability was valued as of June 30, 2019, and was used to calculate the total OPEB liability
measured as of June 30, 2021.
Actuarial Assumptions
The total OPEB liability in the June 30, 2021, actuarial valuation was determined using the following actuarial
assumptions, applied to all periods included in the measurement, unless otherwise specified:
Measurement Date 6/30/2021
Discount Rate 1.92%
Inflation 5.50%
Health Cost Trend Rates
Pre-Medicare 6.00% *
Medicare 4.00% *
Salary Increases 2.75% **
Mortality Rates Based on CalPERS tables.
* Trending down to 4.04% over 54 years. Applies to
calendar years.
** Additional merit-based increases based on CalPERS
merit salary increase tables.
1022022/02/15 City Council Post Agenda Page 143 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 13 – Post Retirement Health Benefits (Continued)
Projections of the sharing of benefit-related costs are based on an established pattern of practice.
Experience studies come from the CalPERS Pension Assumption Model, revised May 14, 2018.
Inactive employees (retirees) pay 100% of the cost of benefits.
There were no ad hoc post-employment benefit changes (including ad hoc COLAs) to the plan.
Discount Rate
The discount rate used to measure the total OPEB liability is 1.92%. The City's OPEB Plan is an unfunded plan,
therefore the discount rate was set to the rate of tax-exempt, high-quality 20-year municipal bonds, as of the valuation
date.
Trust Assets
There are no assets accumulated in a trust that meets the criteria in paragraph 4 of GASB 75 to pay related benefits.
Changes in the Total OPEB Liability
The changes in the Total OPEB Liability for the Plan are as follows:
Increase (Decrease)
Total OPEB Liability
Balance at June 30, 2020 25,079,014$
Changes recognized over the measurement period:
Service Cost 1,468,936
Interest 636,356
Differences between actual and expected experience -
Changes of assumptions 751,555
Implicit rate subsidy fulfilled (1,148,517)
Net Changes 1,708,330
Balance at June 30, 2021 26,787,344$
Sensitivity of the Total OPEB Liability to Changes in the Discount Rate and Healthcare Cost Trend Rate
Sensitivity of the total OPEB liability to changes in the discount rate. The total OPEB liability of the City, as well as
what the City's total OPEB liability would be if it were calculated using a discount rate that is one percentage point
lower (0.92%) or one percentage point higher (2.92%) follows:
1% Decrease Discount Rate 1% Increase
0.92% 1.92% 2.92%
Total OPEB Liability 28,524,330$ 26,787,344$ 25,119,441$
Increase (Decrease) 1,736,986 (1,667,903)
% Change 6.5%-6.2%
1032022/02/15 City Council Post Agenda Page 144 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 13 – Post Retirement Health Benefits (Continued)
Sensitivity of the total OPEB liability to changes in the healthcare cost trend rates. The healthcare trend for this
valuation started at 6.50% and decreased to 4.04% over years. The total OPEB liability of the City, as well as what
the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are one percentage
point lower (5.50%) or one percentage point higher (7.50%) than current healthcare cost trend rates follows:
1% Decrease Discount Rate 1% Increase
5.50% 6.50% 7.50%
Total OPEB Liability 23,779,481$ 26,787,344$ 30,248,334$
Increase (Decrease) (3,007,863) 3,460,990
% Change -11.2%12.9%
OPEB Expense and Deferred Outflows and Inflows of Resources Related to OPEB
For the report year ended June 30, 2021, the City recognized an OPEB expense of $3,639,714. The City reported
deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Changes of Assumptions 2,734,569$ -$
Differences Between Expected and Actual Experience 4,057,002 -
Total 6,791,571$ -$
Amounts reported as deferred outflows or deferred inflows of resources related to OPEB will be recognized as OPEB
expense as follows:
Fiscal Year
ended June 30:
Deferred
Outflows/(Inflows) of
Resources
2022 1,534,422$
2023 1,534,422
2024 1,531,700
2025 1,499,935
2026 644,123
Thereafter 46,969
The effects on the total OPEB liability of (1) changes of economic and demographic assumptions or of other inputs
and (2) differences between expected and actual experience are required to be included in OPEB expense in a
systematic and rational manner over a closed period equal to the average of the expected remaining service lives of
all employees that are provided with benefits through the OPEB plan (active employees and inactive employees),
beginning in the current period. The expected average remaining service lives (EARSL) for the current period is
6.4 years.
B. Defined Contribution Other Post-Employment Benefits Plan
The City offers eligible retiring employees a Post-Employment Health Plan (PEHP). This plan is administered through
a third-party administrator. PEHP is a tax-exempt Voluntary Employee’s Beneficiary Association (“VEBA”) Trust,
which provides employee benefits pursuant to IRC Code Section 501(c)(9). PEHP creates a defined contribution health
reimbursement program that allows for money to be set aside to pay for future medical expenses. PEHP is funded with
1042022/02/15 City Council Post Agenda Page 145 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 13 – Post Retirement Health Benefits (Continued)
mandatory eligible employee contributions. Depending on the bargaining unit and its respective plan agreements,
these mandatory contributions can be unused vacation and/or compensatory time off due to the employee at the time
of retirement. At June 30, 2021, the balance of the assets held by the trustee for this plan was $1,340,916.
Note 14 – Commitments and Contingencies
Litigation
The City is presently involved in certain matters of litigation that have risen in the normal course of conducting City
business. City management believes, based upon consultation with the City Attorney, that these cases, in the aggregate,
are not expected to result in a material adverse financial impact on the City. Additionally, City management believes
that the City’s insurance programs are sufficient to cover any potential losses should an unfavorable outcome
materialize.
Grants
The City participates in a number of federally assisted grant programs, including those from the U.S. Department of
Housing and Urban Development, U.S. Department of Justice, U.S. Department of Treasury, U.S. Department of
Transportation, and the U.S. Department of Education. Receipts from these grant programs are subject to audit to
determine if the monies were expended in accordance with appropriate statues, grant terms and regulations. The City
believes no significant liabilities will result on this audit.
Construction Commitments
Expenditures Remaining
Project Description PO Amount to Date Balance
Fire Stations Repair/Replace 16,954,600$ 16,663,538$ 291,062$
Str Pavement Rehab Ph 2-Measure P 13,090,431 11,547,651 1,542,780
RMRA Major Pavement Rehab Ph/ Orange Park Parking Lot Improvement 3,743,808 3,417,819 325,989
Bike Lane Improv Broadway Ph I Bike Lanes on Broadway 3,568,000 3,018,636 549,364
Third Avenue Streetscape Imp Phase III 3,327,680 3,307,732 19,948
Traffic Sig Sys-Fiber Network 3,200,000 192,613 3,007,387
Major Pavement Rehab FY17/18 Bonita Rd & Allen School Lane 3,010,780 2,622,890 387,890
Major Pavement Rehab FY18/19 2,421,003 2,196,456 224,547
Parkside Dr Lift Statn Upgrds 1,432,270 1,431,699 571
Traffic Sig Mod at 5 Intersect 1,340,051 1,286,795 53,256
RMRA Major Pavement Rehab FY17/18 1,312,137 1,231,155 80,982
Pavement Minor Rehab FY19/20 1,165,000 1,161,936 3,064
Ped Countdown Inst&Signal Mod 1,112,474 1,110,142 2,332
Encumbrances
At June 30, 2021, there were encumbrances of $23,415,093 in the General Fund, $4,105,575 in the Sundry Grants
Fund, $92 in the Housing Successor Agency, $814,791 in the Development Impact Fee Fund, $3,049,068 in the Sewer
Fund, $829,774 in the Development Services Fund, and $23,006,624 in the non-major funds.
City Loan to Successor Agency
The General Fund has loaned a cumulative amount of $9,159,926 including interest to the Successor Agency for
unreimbursed services rendered by City staff. It is anticipated that the Agency will repay this loan from
Redevelopment Property Tax Trust Fund distributions. Currently, Redevelopment Property Tax Trust Fund
distributions are used to pay for related debt service expenditures and possible future debt issuance. As a result, the
Successor Agency is uncertain if the amount will be repaid to the City’s General Fund. Accordingly, this contingent
payable has not been reported in the accompanying basic financial statements. The Agency will record the contingent
payable when payment is assured.
1052022/02/15 City Council Post Agenda Page 146 of 406
CITY OF CHULA VISTA
NOTES TO BASIC FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED JUNE 30, 2021
Note 14 – Commitments and Contingencies (Continued)
Successor Agency – Long Range Property Management Plan
The City, acting as the Successor Agency to the Chula Vista Redevelopment Agency, prepared a Long-Range Property
Management Plan (LRPMP) in compliance with AB 1484. The Successor Agency Oversight Board reviewed and
approved the LRPMP on May 12, 2014 and submitted it to the California Department of Finance for review on
May 27, 2014. The Department of Finance approved the LRPMP in their July 15, 2014, determination letter.
1062022/02/15 City Council Post Agenda Page 147 of 406
REQUIRED SUPPLEMENTARY
INFORMATION
1072022/02/15 City Council Post Agenda Page 148 of 406
1082022/02/15 City Council Post Agenda Page 149 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 112,524,177$ 112,524,177$ 112,524,177$ -$
Resources (Inflows):
Taxes 165,147,626 175,361,320 178,559,883 3,198,563
Licenses and permits 1,680,159 1,680,159 1,985,050 304,891
Intergovernmental 3,495,932 9,645,073 8,675,075 (969,998)
Charges for services 8,113,343 6,524,691 6,724,422 199,731
Use of money and property 2,969,116 2,174,943 2,183,702 8,759
Fines and forfeitures 1,246,253 1,146,253 857,780 (288,473)
Contributions 2,768,003 2,296,581 2,299,163 2,582
Developer participation 1,817,377 1,743,683 1,559,107 (184,576)
Miscellaneous 11,361,186 13,517,051 13,564,032 46,981
Transfers in 11,283,257 11,334,774 11,942,223 607,449
Amounts Available for Appropriations 322,406,429 337,948,705 340,874,614 2,925,909
Charges to Appropriations (Outflow):
Current:
General government:
City council 1,621,826 1,594,995 1,382,554 212,441
City clerk 1,023,234 989,920 1,012,949 (23,029)
City attorney 3,329,460 3,124,216 3,034,627 89,589
Administration 2,565,311 2,371,404 2,356,049 15,355
Information technology 3,813,214 3,506,594 3,567,345 (60,751)
Human resources 2,775,348 2,915,983 2,908,977 7,006
Finance 5,453,185 5,523,218 5,464,445 58,773
Non-departmental 4,030,955 8,141,738 8,610,208 (468,470)
Board and commissions 133,911 124,568 20,619 103,949
Public safety:
Police 68,149,035 68,257,843 66,501,994 1,755,849
Fire 41,765,559 46,204,449 44,794,765 1,409,684
Animal care facility 2,834,731 2,803,714 2,706,979 96,735
Community development:
Economic development 1,929,793 3,216,117 3,232,484 (16,367)
Development services 2,790,135 3,898,430 3,682,013 216,417
Parks and recreation 11,069,929 10,561,268 10,279,207 282,061
Public works:
Public works 12,073,128 12,369,717 11,964,723 404,994
Engineering 9,696,449 9,492,785 9,111,568 381,217
Library 4,013,586 3,424,810 2,811,144 613,666
Capital outlay 10,458,065 51,205,519 24,876,665 26,328,854
Debt service:
Principal retirement 6,651,275 763,775 763,233 542
Interest and fiscal charges 2,382,463 136,724 134,388 2,336
Transfers out 5,158,066 13,274,929 13,596,396 (321,467)
Total Charges to Appropriations 203,718,658 253,902,716 222,813,332 31,089,384
Budgetary Fund Balance, June 30 118,687,771$ 84,045,989$ 118,061,282 34,015,293$
Reconciliation of Budgetary Comparison Schedule to Statement of
Revenues, Expenditures, and Changes in Fund Balance
Fund 804 - Flexible Spending Account (FSA) Fund Balance, July 1 815,370
Unbudgeted Revenues
Fund 804 - FSA Contributions 938,809
Unbudgeted Expenditures
Fund 804 - FSA Disbursements (711,209)
Fund Balance of General Fund, June 30 119,104,252$
The notes to required supplementary information are an integral part of this schedule.
1092022/02/15 City Council Post Agenda Page 150 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE
SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 8,545,963$ 8,545,963$ 8,545,963$ -$
Resources (Inflows):
Intergovernmental 14,479,872 24,618,641 13,557,162 (11,061,479)
Charges for services 1,557,095 1,548,312 1,757,240 208,928
Use of money and property 113,000 166,470 869,587 703,117
Contributions (64,832) 18,996,845 5,380,489 (13,616,356)
Miscellaneous 202,059 392,667 1,235,665 842,998
Transfers in 115,305 133,305 104,436 (28,869)
Amounts Available for Appropriations 24,948,462 54,402,203 31,450,542 (22,951,661)
Charges to Appropriations (Outflow):
Current:
General government:
Finance - 1,459,251 553,986 905,265
Public safety:
Police 10,180,353 12,077,797 8,766,242 3,311,555
Fire 463,983 776,552 411,238 365,314
Animal care facility - 45,667 38,129 7,538
Community development:
Economic development 4,413,057 4,907,920 2,335,288 2,572,632
Development services 3,631,682 32,754,195 6,870,641 25,883,554
Library - 95,966 20,880 75,086
Capital outlay 2,109,800 8,173,672 1,465,354 6,708,318
Transfers out 1,619,801 1,704,801 2,242,078 (537,277)
Total Charges to Appropriations 22,418,676 61,995,821 22,703,836 39,291,985
Budgetary Fund Balance, June 30 2,529,786$ (7,593,618)$ 8,746,706$ 16,340,324$
The notes to required supplementary information are an integral part of this schedule.
1102022/02/15 City Council Post Agenda Page 151 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE
HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Budgetary Fund Balance, July 1 12,360,207$ 12,360,207$ 12,360,207$ -$
Resources (Inflows):
Use of money and property 215,000 215,000 942,135 727,135
Miscellaneous 255,000 255,000 1,334,234 1,079,234
Amounts Available for Appropriations 12,830,207 12,830,207 14,637,620 1,807,413
Charges to Appropriations (Outflow):
Current:
Community development:
Development services 2,072,400 2,072,400 1,517,437 554,963
Total Charges to Appropriations 2,072,400 2,072,400 1,517,437 554,963
Budgetary Fund Balance, June 30 10,757,807$ 10,757,807$ 13,120,183$ 2,362,376$
The notes to required supplementary information are an integral part of this schedule.
1112022/02/15 City Council Post Agenda Page 152 of 406
CITY OF CHULA VISTA
MISCELLANEOUS PLAN
SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
2015 2016
Measurement Date 6/30/2014 6/30/2015
TOTAL PENSION LIABILITY
Service Cost 8,696,183$ 8,570,421$
Interest 32,359,841 34,103,210
Difference Between expected and Actual Experience -925,960
Changes in Assumptions -(8,500,698)
Benefit Payments, Including Refunds of employee Contributions (18,639,387)(19,539,333)
Net Change in Total Pension Liability 22,416,637 15,559,560
Total Pension Liability - Beginning 436,436,153 458,852,790
Total Pension Liability - Ending (a)458,852,790 474,412,350
PLAN FIDUCIARY NET POSITION
Contribution - Employer 9,134,182 13,499,144
Contribution - Employee 4,555,300 3,679,749
Plan to Plan Resource Movement -5,268
Net Investment Income 48,303,496 7,195,063
Benefit Payments, Including Refunds of Employee Contributions (18,639,387)(19,539,333)
Administrative Expense -(368,694)
Other Miscellaneous Income/(Expense)--
Net Change in Fiduciary Net Position 43,353,591 4,471,197
Plan Fiduciary Net Position - Beginning 279,540,671 322,894,262
Plan Fiduciary Net Position - Ending (b)322,894,262 327,365,459
Plan Net Pension Liability/(Assets) - Ending (a) - (b)135,958,528$ 147,046,891$
70.37%69.00%
Covered Payroll 42,760,249$ 44,135,521$
317.96%333.17%
Notes to Schedule of Changes in Net Pension Liability and Related Ratios:
Plan Fiduciary Net Position as a Percentage of the Total Pension Liability
Plan Net Pension Liability/(Asset) as a Percentage of Covered Payroll
Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred
after the June 30, 2019 valuation date. This applies for voluntary benefit changes as well as any offers of Two Years Additional
Service Credit (a.k.a. Golden Handshakes).
Changes of Assumptions: None in 2020 or 2021. In 2019, demographic assumptions and inflation rate were changed in
accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in
the discount rate. In 2018, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2017, there were no changes. In
2016, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65
percent (without a reduction for pension plan administrative expense.) In 2015, amounts reported were based on the 7.5 percent
discount rate.
1 Fiscal Year 2015 was the first year of implementation; therefore, only seven years are shown.
1122022/02/15 City Council Post Agenda Page 153 of 406
2017 2018 2019 2020 2021
6/30/2016 6/30/2017 6/30/2018 6/30/2019 6/30/2020
8,451,918$ 9,370,865$ 9,048,165$ 8,696,267$ 8,953,165$
35,618,575 36,639,997 37,305,907 38,721,727 40,325,600
(2,524,995) (6,331,454) (8,223,685) (413,302)2,562,816
- 30,693,812 (4,314,060)--
(21,022,078) (23,072,106) (24,924,595) (27,001,672)(28,353,268)
20,523,420 47,301,114 8,891,732 20,003,020 23,488,313
474,412,350 494,935,770 542,236,884 551,128,616 571,131,636
494,935,770 542,236,884 551,128,616 571,131,636 594,619,949
12,461,946 13,663,149 14,479,069 16,244,599 18,211,675
3,764,641 3,536,418 3,603,297 3,592,996 3,800,444
--(874)--
1,747,676 36,763,992 30,032,849 24,600,973 19,625,933
(21,022,078) (23,072,106) (24,924,595) (27,001,672)(28,353,268)
(199,512) (478,539) (552,457) (268,407)(554,440)
-- (1,049,125)874 -
(3,247,327) 30,412,914 21,588,164 17,169,363 12,730,344
327,365,459 324,118,132 354,531,046 376,119,210 393,288,573
324,118,132 354,531,046 376,119,210 393,288,573 406,018,917
170,817,638$ 187,705,838$ 175,009,406$ 177,843,063$ 188,601,032$
65.49%65.38%68.25%68.86%68.28%
45,990,463$ 44,435,640$ 44,578,340$ 45,798,549$ 47,627,626
371.42%422.42%392.59%388.32%395.99%
1132022/02/15 City Council Post Agenda Page 154 of 406
CITY OF CHULA VISTA
SAFETY PLAN
SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS (1)
2015 2016
Measurement Date 6/30/2014 6/30/2015
TOTAL PENSION LIABILITY
Service Cost 10,220,233$ 9,646,806$
Interest 28,334,465 29,979,452
Difference Between expected and Actual Experience -460,215
Changes in Assumptions -(7,813,969)
Benefit Payments, Including Refunds of employee Contributions (15,869,862)(17,767,853)
Net Change in Total Pension Liability 22,684,836 14,504,651
Total Pension Liability - Beginning 380,617,699 403,302,535
Total Pension Liability - Ending (a)403,302,535 417,807,186
PLAN FIDUCIARY NET POSITION
Contribution - Employer 11,684,174 7,555,357
Contribution - Employee 3,157,921 3,230,989
Plan to Plan Resource Movement 47,649,285 6,999,744
Net Investment Income (15,869,862)(17,767,853)
Benefit Payments, Including Refunds of Employee Contributions -(359,830)
Administrative Expense --
Other Miscellaneous Income/(Expense)--
Net Change in Fiduciary Net Position 46,621,518 (341,593)
Plan Fiduciary Net Position - Beginning 273,515,399 320,136,917
Plan Fiduciary Net Position - Ending (b)320,136,917 319,795,324
Plan Net Pension Liability/(Assets) - Ending (a) - (b)83,165,618$ 98,011,862$
79.38%76.54%
Covered Payroll 34,243,101$ 34,117,846$
242.87%287.27%
Notes to Schedule of Changes in Net Pension Liability and Related Ratios:
1 Fiscal Year 2015 was the first year of implementation; therefore, only seven years are shown.
Plan Fiduciary Net Position as a Percentage of the Total Pension Liability
Plan Net Pension Liability/(Asset) as a Percentage of Covered Payroll
Benefit Changes: The figures above do not include any liability impact that may have resulted from plan changes which occurred
after the June 30, 2019 valuation date. This applies for voluntary benefit changes as well as any offers of Two Years Additional
Service Credit (a.k.a. Golden Handshakes).
Changes of Assumptions: None in 2020 or 2021. In 2019, demographic assumptions and inflation rate were changed in
accordance to the CalPERS Experience Study and Review of Actuarial Assumptions December 2017. There were no changes in
the discount rate. In 2018, the discount rate was reduced from 7.65 percent to 7.15 percent. In 2017, there were no changes. In
2016, amounts reported reflect an adjustment of the discount rate from 7.5 percent (net of administrative expense) to 7.65
percent (without a reduction for pension plan administrative expense.) In 2015, amounts reported were based on the 7.5 percent
discount rate.
1142022/02/15 City Council Post Agenda Page 155 of 406
2017 2018 2019 2020 2021
6/30/2016 6/30/2017 6/30/2018 6/30/2019 6/30/2020
9,971,492$ 11,594,959$ 12,044,725$ 12,267,031$ 12,575,630$
31,658,073 33,213,616 34,751,830 36,853,969 38,422,153
768,421 (1,210,352) (307,813) 4,868,911 (3,779,764)
- 29,393,364 (2,112,530)--
(19,460,670) (20,397,814) (21,801,437) (22,950,693)(24,175,102)
22,937,316 52,593,773 22,574,775 31,039,218 23,042,917
417,807,186 440,744,502 493,338,275 515,913,050 546,952,268
440,744,502 493,338,275 515,913,050 546,952,268 569,995,185
10,971,712 11,670,017 13,529,290 15,445,861 17,861,917
3,420,273 3,620,014 3,804,814 3,966,723 4,257,612
1,664,170 35,554,749 29,258,121 24,248,349 19,386,578
(19,460,670) (20,397,814) (21,801,437) (22,950,693)(24,175,102)
(194,899) (466,842) (539,438) (263,613)(549,592)
--(858)--
-- (1,024,401)858 -
(3,599,414) 29,980,124 23,226,091 20,447,485 16,781,413
319,795,324 316,195,910 346,176,034 369,402,125 389,849,610
316,195,910 346,176,034 369,402,125 389,849,610 406,631,023
124,548,592$ 147,162,241$ 146,510,925$ 157,102,658$ 163,364,162$
71.74%70.17%71.60%71.28%71.34%
37,174,663$ 37,817,316$ 39,384,099$ 40,374,060$ 37,732,745
335.04%389.14%372.01%389.12%432.95%
1152022/02/15 City Council Post Agenda Page 156 of 406
CITY OF CHULA VISTA
SCHEDULES OF PLAN CONTRIBUTIONS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
Fiscal Year Actuarially Actual Contribution Contribution
Ending Determined Employer Deficiency Covered as a % of
June 30,Contribution Contribution (Excess)Payroll Covered Payroll
2015 9,637,382$ 9,637,382$ -$ 44,135,521$ 21.84%
2016 10,214,678 10,214,678 - 45,990,463 22.21%
2017 10,864,203 10,864,203 - 44,435,640 24.45%
2018 10,942,584 10,942,584 - 44,578,340 24.55%
2019 12,333,078 12,333,078 - 45,798,549 26.93%
2020 10,890,567 10,890,567 - 47,627,626 22.87%
2021 10,904,285 196,350,263 (185,445,978) 48,617,605 403.87%
Fiscal Year Actuarially Actual Contribution Contribution
Ending Determined Employer Deficiency Covered as a % of
June 30,Contribution Contribution (Excess)Payroll Covered Payroll
2015 12,553,815$ 12,553,815$ -$ 34,117,846$ 36.80%
2016 13,859,572 13,859,572 - 37,174,663 37.28%
2017 14,965,975 14,965,975 - 37,817,316 39.57%
2018 17,324,929 17,324,929 - 39,384,099 43.99%
2019 19,585,859 19,585,859 - 40,374,060 48.51%
2020 24,641,503 24,641,503 - 37,732,745 65.31%
2021 28,332,777 191,117,507 (162,784,730) 39,655,225 481.95%
CalPERS Miscellaneous Employees Agent, Multiple-Employer Pension Plan:
CalPERS Safety Employees Agent, Multiple-Employer Pension Plan:
1 Historical information is required only for measurement for which GASB 68 and GASB 75 is applicable. Fiscal year 2015 was the first year of implementation for GASB 68,
therefore only seven years are shown.
The notes to required supplementary information are an integral part of this schedule.
1162022/02/15 City Council Post Agenda Page 157 of 406
CITY OF CHULA VISTA
SCHEDULE OF CHANGES IN THE TOTAL OPEB LIABILITY AND RELATED RATIOS
AS OF JUNE 30, FOR THE LAST TEN FISCAL YEARS 1
2018 2019 2020 2021
TOTAL OPEB LIABILITY
Service cost 825,786$ 819,100$921,271$1,468,936$
Interest on the total OPEB liability 495,822 549,699 516,371 636,356
Difference between expected and actual experience 4,128 - 5,786,481 -
Change of assumptions 183,361 504,190 2,640,687 751,555
Implicit rate subsidy fulfilled (536,155) (634,315) (724,009)(1,148,517)
Net change in total OPEB liability 972,942 1,238,674 9,140,801 1,708,330
Total OPEB Liability - Beginning 13,726,597 14,699,539 15,938,213 25,079,014
Total OPEB Liability - Ending 14,699,539$15,938,213$25,079,014$26,787,344$
Plan fiduciary net position as a percentage of the total OPEB liability 2 0.00%0.00%0.00%0.00%
Covered-employee payroll 53,738,469$ 55,216,277$56,734,725$58,294,930$
Total OPEB liability as a percentage of covered-employee payroll 27.35%28.87%44.20%45.95%
Notes to Schedule of Changes in the Total OPEB Liability and Related Ratios:
2 The plan is not funded through a qualifying trust; therefore, there is no fiduciary net position to offset the total OPEB liability.
1 Historical information is required only for the measurement periods for which GASB 75 is applicable. Fiscal Year 2018 was the first year of implementation. Future
years' information will be displayed up to 10 years as information becomes available.
1172022/02/15 City Council Post Agenda Page 158 of 406
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1182022/02/15 City Council Post Agenda Page 159 of 406
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1192022/02/15 City Council Post Agenda Page 160 of 406
1202022/02/15 City Council Post Agenda Page 161 of 406
SUPPLEMENTARY INFORMATION
1212022/02/15 City Council Post Agenda Page 162 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments 12,313,358$ 1,529,071$ 8,351$ 1,814,995$ 164,567$
Receivables:
Accounts - 16,157 44,922 97,644 -
Taxes 919,568 - - --
Accrued interest -----
Deferred loans (net of allowance for uncollectibles)-----
Due from other governments -----
Prepaid costs -----
Restricted assets:
Cash and investments with fiscal agents -----
Total Assets 13,232,926$ 1,545,228$ 53,273$ 1,912,639$ 164,567$
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable 117,624$ 149,183$ 389$ 28,318$ -$
Retentions payable 53,766 ----
Accrued liabilities 7,068 ----
Deposits payable -----
Due to other funds -----
Unearned revenues -----
Total Liabilities 178,458 149,183 389 28,318 -
Deferred Inflows of Resources:
Unavailable revenues ---9,465 -
Total Deferred Inflows of Resources ---9,465 -
Fund Balances:
Nonspendable:
Prepaid costs -----
Restricted:
Community development projects 13,054,468 ----
Public safety - 1,396,045 52,884 --
Parks and recreation -----
Capital projects - - - 1,874,856 164,567
Debt service -----
Unassigned -----
Total Fund Balances 13,054,468 1,396,045 52,884 1,874,856 164,567
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances 13,232,926$ 1,545,228$ 53,273$ 1,912,639$ 164,567$
Special Revenue Funds
Transportation
Grants Parking Meter Traffic Safety Storm Drain Town Center I
1222022/02/15 City Council Post Agenda Page 163 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
42,108,860$ 117,660$ 6,086,712$ 318,299$ 271,579$
- - 56,979 -12
55,375 ----
--10,207 --
-448,901 3,797,829 --
-25,536 -751,157 -
14,051 ----
-----
42,178,286$ 592,097$ 9,951,727$ 1,069,456$ 271,591$
1,864,530$ 558$ 1,437$ 2,028,896$ 2,807$
---479,199 -
--21,721 --
-----
-----
----21,164
1,864,530 558 23,158 2,508,095 23,971
-448,900 3,820,029 154,211 12
-448,900 3,820,029 154,211 12
14,051 ----
-142,639 6,108,540 --
-----
----247,608
40,299,705 ----
-----
--- (1,592,850)-
40,313,756 142,639 6,108,540 (1,592,850)247,608
42,178,286$ 592,097$ 9,951,727$ 1,069,456$ 271,591$
Special Revenue Funds
Mobile Park Fee
Open Space
Districts
Housing
Programs
Housing
Authority
Transportation
Sales Tax
1232022/02/15 City Council Post Agenda Page 164 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Capital Projects
Fund
1,417,113$ 104,336$ 390,484$ 1,594,676$ 40,397,394$
-----
122,615 ----
-----
----2,782,904
4,900 ----
-----
-----
1,544,628$ 104,336$ 390,484$ 1,594,676$ 43,180,298$
23,664$ -$ -$ 26,616$ -$
-----
-----
--- 1,568,060 -
-----
-----
23,664 -- 1,594,676 -
4,900 ---2,988,262
4,900 ---2,988,262
-----
1,516,064 -390,484 --
-----
----40,192,036
-104,336 ---
-----
-----
1,516,064 104,336 390,484 -40,192,036
1,544,628$ 104,336$ 390,484$ 1,594,676$ 43,180,298$
Special Revenue Funds
Special Revenue
Endowments
Utility Tax
Settlement
Public Education
and Govt Fee
V2 Pub Benefit
Contribution
Park Acquisition
Development
1242022/02/15 City Council Post Agenda Page 165 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
(CONTINUED)
-$ 978$ -$ 54$ 1,130,709$
-----
-----
-----
-----
-----
-----
-----
-$ 978$ -$ 54$ 1,130,709$
-$ -$ -$ -$ -$
-----
-----
-----
583,604 -4,460 --
-----
583,604 -4,460 --
-----
-----
-----
-----
-978 ---
-----
---541,130,709
-----
(583,604)-(4,460)--
(583,604)978 (4,460)54 1,130,709
-$ 978$ -$ 54$ 1,130,709$
Capital Projects Funds
Highway Safety Bicycle Facility
Industrial
Development
Authority
Assessment
District
Improvement
Residential
Construction Tax
1252022/02/15 City Council Post Agenda Page 166 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
104$ -$ 1,049,057$ 40,127$ 103,946$
-----
-----
--6,607 --
-----
- 2,184,967 ---
-----
-- 3,797,442 --
104$ 2,184,967$ 4,853,106$ 40,127$ 103,946$
-$ 419,696$ 157,095$ -$ -$
-50,878 9,719 --
-----
-----
- 2,092,510 ---
-----
- 2,563,084 166,814 --
-24,749 ---
-24,749 ---
-----
-----
104 ----
-----
-- 4,686,292 --
---40,127 103,946
- (402,866)---
104 (402,866) 4,686,292 40,127 103,946
104$ 2,184,967$ 4,853,106$ 40,127$ 103,946$
Lease Payable
Debt Service Funds
Notes Payable
Transportation
Partnership Fund
Other
Transportation
Program Fund
Capital Projects Funds
Capital Projects
Fund
1262022/02/15 City Council Post Agenda Page 167 of 406
CITY OF CHULA VISTA
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
ASSETS
Cash and investments
Receivables:
Accounts
Taxes
Accrued interest
Deferred loans (net of allowance for uncollectibles)
Due from other governments
Prepaid costs
Restricted assets:
Cash and investments with fiscal agents
Total Assets
LIABILITIES, DEFERRED INFLOWS
OF RESOURCES, AND FUND BALANCE:
Liabilities:
Accounts payable
Retentions payable
Accrued liabilities
Deposits payable
Due to other funds
Unearned revenues
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenues
Total Deferred Inflows of Resources
Fund Balances:
Nonspendable:
Prepaid costs
Restricted:
Community development projects
Public safety
Parks and recreation
Capital projects
Debt service
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of
Resources, and Fund Balances
Total
Governmental
Funds
110,962,430$
215,714
1,097,558
16,814
7,029,634
2,966,560
14,051
3,797,442
126,100,203$
4,820,813$
593,562
28,789
1,568,060
2,680,574
21,164
9,712,962
7,450,528
7,450,528
14,051
21,212,195
1,450,011
40,439,644
48,260,519
144,073
(2,583,780)
108,936,713
126,100,203$
1272022/02/15 City Council Post Agenda Page 168 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes -$ -$ -$ -$ -$
Licenses and permits -20,873 ---
Intergovernmental 11,016,325 ----
Charges for services ---593,941 8,050
Use of money and property 373,156 219,517 (3,733)15,417 956
Fines and forfeitures -142,067 345,745 900 -
Developer participation -----
Miscellaneous -----
Total Revenues 11,389,481 382,457 342,012 610,258 9,006
EXPENDITURES
Current:
General government -516,159 ---
Public safety - - 38,626 --
Community development -----
Public works 389,836 --172,940 -
Capital outlay 6,493,431 462 ---
Debt service:
Principal retirement -----
Interest and fiscal charges -----
Total Expenditures 6,883,267 516,621 38,626 172,940 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures 4,506,214 (134,164) 303,386 437,318 9,006
OTHER FINANCING SOURCES (USES)
Transfers in -----
Transfers out (4,337,736)- (399,140)--
Total Other Financing Sources (Uses)(4,337,736)- (399,140)--
Net Change in Fund Balances 168,478 (134,164)(95,754) 437,318 9,006
FUND BALANCE - BEGINNING 12,885,990 1,530,209 148,638 1,437,538 155,561
FUND BALANCE - ENDING 13,054,468$ 1,396,045$ 52,884$ 1,874,856$ 164,567$
Town Center I
Transportation
Grants Parking Meter Traffic Safety Storm Drain
Special Revenue Funds
1282022/02/15 City Council Post Agenda Page 169 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Community development
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances
FUND BALANCE - BEGINNING
FUND BALANCE - ENDING
(CONTINUED)
-$ -$ -$ 6,883,741$ -$
-----
-27,988 36,387 613,178 -
18,384,791 - 2,981,368 --
207,960 -161,210 (3,642)-
-----
-----
6,040 15,000 1,467,530 -28,356
18,598,791 42,988 4,646,495 7,493,277 28,356
-----
-----
-25,535 961,241 -32,259
14,313,895 ----
16,838 -- 9,915,127 -
-----
-----
14,330,733 25,535 961,241 9,915,127 32,259
4,268,058 17,453 3,685,254 (2,421,850)(3,903)
269,053 ----
-- (272,697)(960)-
269,053 - (272,697)(960)-
4,537,111 17,453 3,412,557 (2,422,810)(3,903)
35,776,645 125,186 2,695,983 829,960 251,511
40,313,756$ 142,639$ 6,108,540$ (1,592,850)$ 247,608$
Special Revenue Funds
Open Space
Districts
Housing
Programs
Housing
Authority
Transportation
Sales Tax Mobile Park Fee
1292022/02/15 City Council Post Agenda Page 170 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Community development
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances
FUND BALANCE - BEGINNING
FUND BALANCE - ENDING
Capital Projects
Fund
-$ -$ -$ -$ -$
-----
80,027 ----
-----
-513 1,913 (124,979)14,586
-----
----1,785,400
512,593 --2,057 -
592,620 513 1,913 (122,922)1,799,986
518,339 -336 --
-----
----139,718
-----
4,424 ----
-----
-----
522,763 -336 -139,718
69,857 513 1,577 (122,922)1,660,268
-----
-----
-----
69,857 513 1,577 (122,922)1,660,268
1,446,207 103,823 388,907 122,922 38,531,768
1,516,064$ 104,336$ 390,484$ -$ 40,192,036$
Special Revenue Funds
Park Acquisition
Development
V2 Pub Benefit
Contribution
Public Education
and Govt Fee
Utility Tax
Settlement
Special Revenue
Endowments
1302022/02/15 City Council Post Agenda Page 171 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Community development
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances
FUND BALANCE - BEGINNING
FUND BALANCE - ENDING
(CONTINUED)
540,025$ -$ -$ -$ -$
-----
-----
-----
(8,916)18 --5,672
-----
-----
----2,738
531,109 18 --8,410
----18,485
-----
-----
-----
-----
-----
-----
----18,485
531,109 18 --(10,075)
-----
(669,367)----
(669,367)----
(138,258)18 --(10,075)
(445,346)960 (4,460)54 1,140,784
(583,604)$ 978$ (4,460)$ 54$ 1,130,709$
Capital Projects Funds
Assessment
District
Improvement
Residential
Construction Tax Highway Safety Bicycle Facility
Industrial
Development
Authority
1312022/02/15 City Council Post Agenda Page 172 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Community development
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances
FUND BALANCE - BEGINNING
FUND BALANCE - ENDING
-$ -$ -$ -$ -$
-----
- 3,267,978 ---
-----
--(3,492)-563
-----
-----
--341,569 -23,994
- 3,267,978 338,077 -24,557
-----
-----
-----
--943 --
- 3,243,327 1,271,583 --
---905,925 262,230
---217,187 46,038
- 3,243,327 1,272,526 1,123,112 308,268
-24,651 (934,449) (1,123,112)(283,711)
-960 - 1,123,721 283,986
-----
-960 - 1,123,721 283,986
-25,611 (934,449)609 275
104 (428,477) 5,620,741 39,518 103,671
104$ (402,866)$ 4,686,292$ 40,127$ 103,946$
Lease Payable Notes Payable
Other
Transportation
Program Fund
Capital Projects
Fund
Debt Service FundsCapital Projects Funds
Transportation
Partnership Fund
1322022/02/15 City Council Post Agenda Page 173 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR FISCAL YEAR ENDED JUNE 30, 2021
REVENUES
Taxes
Licenses and permits
Intergovernmental
Charges for services
Use of money and property
Fines and forfeitures
Developer participation
Miscellaneous
Total Revenues
EXPENDITURES
Current:
General government
Public safety
Community development
Public works
Capital outlay
Debt service:
Principal retirement
Interest and fiscal charges
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
OTHER FINANCING SOURCES (USES)
Transfers in
Transfers out
Total Other Financing Sources (Uses)
Net Change in Fund Balances
FUND BALANCE - BEGINNING
FUND BALANCE - ENDING
Total
Governmental
Funds
7,423,766$
20,873
15,041,883
21,968,150
856,719
488,712
1,785,400
2,399,877
49,985,380
1,053,319
38,626
1,158,753
14,877,614
20,945,192
1,168,155
263,225
39,504,884
10,480,496
1,677,720
(5,679,900)
(4,002,180)
6,478,316
102,458,397
108,936,713$
1332022/02/15 City Council Post Agenda Page 174 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY
GENERAL FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:
City council 1,366,233$ 15,773$ 548$ -$
City clerk 889,919 121,482 388 1,160
City attorney 2,780,262 253,272 1,093 -
Administration 2,124,499 230,981 569 -
Information technology 2,429,685 1,133,331 4,329 -
Human resources 2,480,429 426,567 1,981 -
Finance 3,388,083 1,317,670 1,525 757,167
Non-departmental 1,258,316 4,055,540 224,732 3,071,620
Board and commissions -20,619 --
Police 62,071,784 2,475,843 602,320 513,024
Fire 40,184,943 2,826,319 282,049 442,758
Animal care facilities 2,337,821 288,303 41,701 3,295
Economic development 1,711,037 79,824 490 1,441,133
Development services 2,352,760 147,109 1,556 1,168,853
Parks and recreation 6,377,832 846,457 2,765,029 27,783
Public works 8,496,572 2,262,182 675,378 58,240
Engineering 7,754,240 267,296 897,031 50,640
Library 2,390,767 268,726 149,301 361
Capital outlay ----
Debt service:
Principal retirement ---6,648,233
Interest and fiscal charges ---2,377,888
Transfers out ----
Total Expenditures 150,395,182$ 17,037,294$ 5,650,020$ 16,562,155$
1342022/02/15 City Council Post Agenda Page 175 of 406
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ -$ 1,382,554$ 1,594,995$ 212,441$
- - - 1,012,949 989,920 (23,029)
--- 3,034,627 3,124,216 89,589
--- 2,356,049 2,371,404 15,355
--- 3,567,345 3,506,594 (60,751)
--- 2,908,977 2,915,983 7,006
--- 5,464,445 5,523,218 58,773
--- 8,610,208 8,141,738 (468,470)
---20,619 124,568 103,949
- 839,023 - 66,501,994 68,257,843 1,755,849
- 1,058,696 - 44,794,765 46,204,449 1,409,684
-35,859 - 2,706,979 2,803,714 96,735
--- 3,232,484 3,216,117 (16,367)
-11,735 - 3,682,013 3,898,430 216,417
- 262,106 - 10,279,207 10,561,268 282,061
- 472,351 - 11,964,723 12,369,717 404,994
- 142,361 - 9,111,568 9,492,785 381,217
-1,989 - 2,811,144 3,424,810 613,666
24,876,665 -- 24,876,665 51,205,519 26,328,854
---763,233 763,775 542
---134,388 136,724 2,336
-- 5,467,896 13,596,396 13,274,929 (321,467)
24,876,665$ 2,824,120$ 5,467,896$ 222,813,332$ 253,902,716$ 31,089,384$
1352022/02/15 City Council Post Agenda Page 176 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY
SUNDRY GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:
Finance -$ -$ -$ 553,986$
Police 6,658,170 1,780,622 -326,695
Fire 279,574 103,666 -28,752
Animal care facilities -38,129 --
Economic development 550,424 1,147,491 17,339 609,447
Development services -15,086 912 6,854,641
Library 197 20,683 --
Capital outlay ----
Transfers out ----
Total Expenditures 7,488,365$ 3,105,677$ 18,251$ 8,373,521$
1362022/02/15 City Council Post Agenda Page 177 of 406
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ -$ 553,986$ 1,459,251$ 905,265$
- - 1,415,844 8,766,242 12,077,797 3,311,555
---411,238 776,552 365,314
--192,858 38,129 45,667 7,538
-10,588 633,650 2,335,288 4,907,920 2,572,632
--- 6,870,641 32,754,195 25,883,554
---20,880 95,966 75,086
1,465,353 -- 1,465,354 8,173,672 6,708,318
--- 2,242,078 1,704,801 (537,277)
1,465,353$ 10,588$ 2,242,352$ 22,703,836$ 61,995,821$ 39,291,985$
1372022/02/15 City Council Post Agenda Page 178 of 406
CITY OF CHULA VISTA
BUDGETARY COMPARISON SCHEDULE BY EXPENDITURE CATEGORY
HOUSING SUCCESSOR AGENCY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Personnel Supplies and Other
Services Services Utilities Expenses
Current:
Development services -$ 148,586$ -$ 1,367,807$
Total Expenditures -$ 148,586$ -$ 1,367,807$
1382022/02/15 City Council Post Agenda Page 179 of 406
Variance with
Final Budget
Operating Internal Transfers Actual Final Positive
Capital Service Out Amounts Budget (Negative)
-$ -$ -$ 1,517,437$ 2,072,400$ 554,963$
-$ -$ -$ 1,517,437$ 2,072,400$ 554,963$
1392022/02/15 City Council Post Agenda Page 180 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
TRANSPORTATION GRANTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental 11,940,805$ 11,942,929$ 11,016,325$ (926,604)$
Use of money and property --373,156 373,156
Total Revenues 11,940,805 11,942,929 11,389,481 (553,448)
Expenditures:
Current:
Public works 234,568 418,407 389,836 28,571
Capital outlay 8,092,505 17,111,996 6,493,431 10,618,565
Total Expenditures 8,327,073 17,530,403 6,883,267 10,647,136
Excess (Deficiency) of Revenues
Over (Under) Expenditures 3,613,732 (5,587,474) 4,506,214 10,093,688
Other Financing Sources (Uses):
Transfers out (4,343,236) (4,343,236) (4,337,736)5,500
Total Other Financing Sources (Uses)(4,343,236) (4,343,236) (4,337,736)5,500
Net Change in Fund Balances (729,504)$ (9,930,710)$ 168,478 10,099,188$
Fund Balances - Beginning 12,885,990
Fund Balances - Ending 13,054,468$
1402022/02/15 City Council Post Agenda Page 181 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
PARKING METER
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Licenses and permits 25,000$ 25,000$ 20,873$ (4,127)$
Use of money and property 365,000 365,000 219,517 (145,483)
Fines and forfeitures 200,000 200,000 142,067 (57,933)
Total Revenues 590,000 590,000 382,457 (207,543)
Expenditures:
Current:
General government 572,270 652,216 516,159 136,057
Capital outlay -99,816 462 99,354
Total Expenditures 572,270 752,032 516,621 235,411
Net Change in Fund Balances 17,730$ (162,032)$ (134,164)27,868$
Fund Balances - Beginning 1,530,209
Fund Balances - Ending 1,396,045$
1412022/02/15 City Council Post Agenda Page 182 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
TRAFFIC SAFETY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property -$ -$ (3,733)$ (3,733)$
Fines and forfeitures 437,640 437,640 345,745 (91,895)
Total Revenues 437,640 437,640 342,012 (95,628)
Expenditures:
Current:
Public safety 138,500 174,910 38,626 136,284
Total Expenditures 138,500 174,910 38,626 136,284
Excess (Deficiency) of Revenues
Over (Under) Expenditures 299,140 262,730 303,386 40,656
Other Financing Sources (Uses):
Transfers out (399,140) (399,140) (399,140)-
Total Other Financing Sources (Uses)(399,140) (399,140) (399,140)-
Net Change in Fund Balances (100,000)$ (136,410)$ (95,754)40,656$
Fund Balances - Beginning 148,638
Fund Balances - Ending 52,884$
1422022/02/15 City Council Post Agenda Page 183 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
STORM DRAIN
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Licenses and permits 23,750$ 23,750$ -$ (23,750)$
Charges for services 555,500 555,500 593,941 38,441
Use of money and property --15,417 15,417
Fines and forfeitures 5,000 5,000 900 (4,100)
Total Revenues 584,250 584,250 610,258 26,008
Expenditures:
Current:
Public works 348,940 498,014 172,940 325,074
Total Expenditures 348,940 498,014 172,940 325,074
Net Change in Fund Balances 235,310$ 86,236$ 437,318 351,082$
Fund Balances - Beginning 1,437,538
Fund Balances - Ending 1,874,856$
1432022/02/15 City Council Post Agenda Page 184 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
TOWN CENTER I
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Charges for services -$ -$ 8,050$ 8,050$
Use of money and property --956 956
Total Revenues - - 9,006 9,006
Expenditures:
Capital outlay -10,120 -10,120
Total Expenditures - 10,120 -10,120
Net Change in Fund Balances -$ (10,120)$ 9,006 19,126$
Fund Balances - Beginning 155,561
Fund Balances - Ending 164,567$
1442022/02/15 City Council Post Agenda Page 185 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
OPEN SPACE DISTRICTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Charges for services 17,350,438$ 17,350,438$ 18,384,791$ 1,034,353$
Use of money and property --207,960 207,960
Other revenues -4,684 6,040 1,356
Total Revenues 17,350,438 17,355,122 18,598,791 1,243,669
Expenditures:
Current:
Public works 17,784,087 18,534,962 14,313,895 4,221,067
Capital outlay 141,001 144,901 16,838 128,063
Total Expenditures 17,925,088 18,679,863 14,330,733 4,349,130
Excess (Deficiency) of Revenues
Over (Under) Expenditures (574,650) (1,324,741) 4,268,058 5,592,799
Other Financing Sources (Uses):
Transfers in 237,773 237,773 269,053 31,280
Transfers out ----
Total Other Financing Sources (Uses)237,773 237,773 269,053 31,280
Net Change in Fund Balances (336,877)$ (1,086,968)$ 4,537,111 5,624,079$
Fund Balances - Beginning 35,776,645
Fund Balances - Ending 40,313,756$
1452022/02/15 City Council Post Agenda Page 186 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
HOUSING PROGRAMS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental 140,194$ 140,194$ 27,988$ (112,206)$
Other revenues --15,000 15,000
Total Revenues 140,194 140,194 42,988 (97,206)
Expenditures:
Current:
City administration 140,194 846,692 25,535 821,157
Total Expenditures 140,194 846,692 25,535 821,157
Net Change in Fund Balances -$ (706,498)$ 17,453 723,951$
Fund Balances - Beginning 125,186
Fund Balances - Ending 142,639$
1462022/02/15 City Council Post Agenda Page 187 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
HOUSING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental -$ 28,817$ 36,387$ 7,570$
Charges for services -- 2,981,368 2,981,368
Use of money and property --161,210 161,210
Other revenues 807,407 807,407 1,467,530 660,123
Total Revenues 807,407 836,224 4,646,495 3,810,271
Expenditures:
Current:
City administration 1,236,321 1,327,007 961,241 365,766
Total Expenditures 1,236,321 1,327,007 961,241 365,766
Excess (Deficiency) of Revenues
Over (Under) Expenditures (428,914) (490,783) 3,685,254 4,176,037
Other Financing Sources (Uses):
Transfers out (254,697) (272,697) (272,697)-
Total Other Financing Sources (Uses)(254,697) (272,697) (272,697)-
Net Change in Fund Balances (683,611)$ (763,480)$ 3,412,557 4,176,037$
Fund Balances - Beginning 2,695,983
Fund Balances - Ending 6,108,540$
1472022/02/15 City Council Post Agenda Page 188 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
TRANSPORTATION SALES TAX
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Taxes 6,379,500$ 6,379,500$ 6,883,741$ 504,241$
Intergovernmental --613,178 613,178
Use of money and property --(3,642)(3,642)
Total Revenues 6,379,500 6,379,500 7,493,277 1,113,777
Expenditures:
Capital outlay 6,224,329 17,823,451 9,915,127 7,908,324
Total Expenditures 6,224,329 17,823,451 9,915,127 7,908,324
Excess (Deficiency) of Revenues
Over (Under) Expenditures 155,171 (11,443,951) (2,421,850)9,022,101
Other Financing Sources (Uses):
Transfers out -(960)(960)-
Total Other Financing Sources (Uses)-(960)(960)-
Net Change in Fund Balances 155,171$ (11,444,911)$ (2,422,810)9,022,101$
Fund Balances - Beginning 829,960
Fund Balances - Ending (1,592,850)$
1482022/02/15 City Council Post Agenda Page 189 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
MOBILE PARK FEE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Other revenues 65,000$ 65,000$ 28,356$ (36,644)$
Total Revenues 65,000 65,000 28,356 (36,644)
Expenditures:
Current:
Community development 65,000 66,763 32,259 34,504
Total Expenditures 65,000 66,763 32,259 34,504
Net Change in Fund Balances -$ (1,763)$ (3,903)(2,140)$
Fund Balances - Beginning 251,511
Fund Balances - Ending 247,608$
1492022/02/15 City Council Post Agenda Page 190 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
PUBLIC EDUCATION AND GOVT FEE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental -$ 140$ 80,027$ 79,887$
Other revenues 600,000 600,000 512,593 (87,407)
Total Revenues 600,000 600,140 592,620 (7,520)
Expenditures:
Current:
General government 300,000 635,287 518,339 116,948
Capital outlay 300,000 300,000 4,424 295,576
Total Expenditures 600,000 935,287 522,763 412,524
Net Change in Fund Balances -$ (335,147)$ 69,857 405,004$
Fund Balances - Beginning 1,446,207
Fund Balances - Ending 1,516,064$
1502022/02/15 City Council Post Agenda Page 191 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE ENDOWMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property -$ -$ (124,979)$ (124,979)$
Other revenues --2,057 2,057
Total Revenues - - (122,922)(122,922)
Expenditures:
Current:
City administration - 100,000 -100,000
Capital outlay 70,000 ---
Total Expenditures 70,000 100,000 -100,000
Net Change in Fund Balances (70,000)$ (100,000)$ (122,922)(22,922)$
Fund Balances - Beginning 122,922
Fund Balances - Ending -$
1512022/02/15 City Council Post Agenda Page 192 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
PARK ACQUISITION DEVELOPMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property 226,669$ 226,669$ 14,586$ (212,083)$
Developer participation 1,500,000 1,500,000 1,785,400 285,400
Total Revenues 1,726,669 1,726,669 1,799,986 73,317
Expenditures:
Current:
City administration 110,000 667,160 139,718 527,442
Capital outlay -543,019 -543,019
Debt service:
Interest and fiscal charges 226,669 226,669 -226,669
Total Expenditures 336,669 1,436,848 139,718 1,297,130
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,390,000 289,821 1,660,268 1,370,447
Other Financing Sources (Uses):
Transfers in 50,000 50,000 -(50,000)
Transfers out (50,000)(50,000)-50,000
Total Other Financing Sources (Uses)----
Net Change in Fund Balances 1,390,000$ 289,821$ 1,660,268 1,370,447$
Fund Balances - Beginning 38,531,768
Fund Balances - Ending 40,192,036$
1522022/02/15 City Council Post Agenda Page 193 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
RESIDENTIAL CONSTRUCTION TAX
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Taxes 325,505$ 325,505$ 540,025$ 214,520$
Use of money and property --(8,916)(8,916)
Total Revenues 325,505 325,505 531,109 205,604
Excess (Deficiency) of Revenues
Over (Under) Expenditures 325,505 325,505 531,109 205,604
Other Financing Sources (Uses):
Transfers out (669,353) (669,367) (669,367)-
Total Other Financing Sources (Uses)(669,353) (669,367) (669,367)-
Net Change in Fund Balances (343,848)$ (343,862)$ (138,258) 205,604$
Fund Balances - Beginning (445,346)
Fund Balances - Ending (583,604)$
1532022/02/15 City Council Post Agenda Page 194 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
ASSESSMENT DISTRICT IMPROVEMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property -$ -$ 5,672$ 5,672$
Other revenues --2,738 2,738
Total Revenues --8,410 8,410
Expenditures:
Current:
General government -18,485 18,485 -
Total Expenditures -18,485 18,485 -
Net Change in Fund Balances -$ (18,485)$ (10,075)8,410$
Fund Balances - Beginning 1,140,784
Fund Balances - Ending 1,130,709$
1542022/02/15 City Council Post Agenda Page 195 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
DEVELOPMENT IMPACT FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Charges for services 390,000$ 390,000$ 542,234$ 152,234$
Use of money and property 186,085 186,085 (37,257)(223,342)
Developer participation 15,156,600 15,156,600 12,610,844 (2,545,756)
Total Revenues 15,732,685 15,732,685 13,115,821 (2,616,864)
Expenditures:
Current:
City administration 997,000 1,010,720 656,741 353,979
Capital outlay 626,000 11,033,007 2,221,676 8,811,331
Debt service:
Principal retirement 61,000 61,000 63,160 (2,160)
Interest and fiscal charges 249,641 249,641 -249,641
Total Expenditures 1,933,641 12,354,368 2,941,577 9,412,791
Excess (Deficiency) of Revenues
Over (Under) Expenditures 13,799,044 3,378,317 10,174,244 6,795,927
Other Financing Sources (Uses):
Transfers in 1,035,000 1,035,000 -(1,035,000)
Transfers out (6,249,888) (6,249,888) (5,214,073)1,035,815
Total Other Financing Sources (Uses)(5,214,888) (5,214,888) (5,214,073)815
Net Change in Fund Balances 8,584,156$ (1,836,571)$ 4,960,171 6,796,742$
Fund Balances - Beginning 57,437,091
Fund Balances - Ending 62,397,262$
1552022/02/15 City Council Post Agenda Page 196 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
OTHER TRANSPORTATION PROGRAM FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental -$ -$ 3,267,978$ 3,267,978$
Total Revenues - - 3,267,978 3,267,978
Expenditures:
Capital outlay - 8,192,077 3,243,327 4,948,750
Total Expenditures - 8,192,077 3,243,327 4,948,750
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (8,192,077) 24,651 8,216,728
Other Financing Sources (Uses):
Transfers in -960 960 -
Total Other Financing Sources (Uses)-960 960 -
Net Change in Fund Balances -$ (8,191,117)$ 25,611 8,216,728$
Fund Balances - Beginning (428,477)
Fund Balances - Ending (402,866)$
1562022/02/15 City Council Post Agenda Page 197 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
CAPITAL PROJECTS FUND
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Intergovernmental -$ 450,000$ -$ (450,000)$
Use of money and property --(3,492)(3,492)
Other revenues -631,569 341,569 (290,000)
Total Revenues - 1,081,569 338,077 (743,492)
Expenditures:
Current:
Public works -230,752 943 229,809
Capital outlay 202,052 9,788,226 1,271,583 8,516,643
Total Expenditures 202,052 10,018,978 1,272,526 8,746,452
Excess (Deficiency) of Revenues
Over (Under) Expenditures (202,052) (8,937,409) (934,449)8,002,960
Other Financing Sources (Uses):
Transfers in -233,628 -(233,628)
Total Other Financing Sources (Uses)-233,628 -(233,628)
Net Change in Fund Balances (202,052)$ (8,703,781)$ (934,449) 7,769,332$
Fund Balances - Beginning 5,620,741
Fund Balances - Ending 4,686,292$
1572022/02/15 City Council Post Agenda Page 198 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
NOTES PAYABLE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Other revenues 258,000$ 258,000$ -$ (258,000)$
Total Revenues 258,000 258,000 - (258,000)
Expenditures:
Debt service:
Principal retirement 905,756 912,756 905,925 6,831
Interest and fiscal charges 218,069 218,069 217,187 882
Total Expenditures 1,123,825 1,130,825 1,123,112 7,713
Excess (Deficiency) of Revenues
Over (Under) Expenditures (865,825) (872,825) (1,123,112) (250,287)
Other Financing Sources (Uses):
Transfers in 1,123,824 1,130,824 1,123,721 (7,103)
Total Other Financing Sources (Uses)1,123,824 1,130,824 1,123,721 (7,103)
Net Change in Fund Balances 257,999$ 257,999$ 609 (257,390)$
Fund Balances - Beginning 39,518
Fund Balances - Ending 40,127$
1582022/02/15 City Council Post Agenda Page 199 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
LEASE PAYABLE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property -$ -$ 563$ 563$
Other revenues 23,930 23,930 23,994 64
Total Revenues 23,930 23,930 24,557 627
Expenditures:
Debt service:
Principal retirement 459,032 459,032 262,230 196,802
Interest and fiscal charges 93,639 93,639 46,038 47,601
Total Expenditures 552,671 552,671 308,268 244,403
Excess (Deficiency) of Revenues
Over (Under) Expenditures (528,741) (528,741) (283,711) 245,030
Other Financing Sources (Uses):
Transfers in 284,341 284,341 283,986 (355)
Total Other Financing Sources (Uses)284,341 284,341 283,986 (355)
Net Change in Fund Balances (244,400)$ (244,400)$ 275 244,675$
Fund Balances - Beginning 103,671
Fund Balances - Ending 103,946$
1592022/02/15 City Council Post Agenda Page 200 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
CITY DEBT SERVICE
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Expenditures:
Current:
General government -$ 348,230,708$ 51,090,168$ 297,140,540$
Debt service:
Interest and fiscal charges - 1,787,082 1,100,352 686,730
Total Expenditures - 350,017,790 307,995,151 42,022,639
Excess (Deficiency) of Revenues
Over (Under) Expenditures - (350,017,790) (307,995,151)42,022,639
Other Financing Sources (Uses):
Proceeds from issuance of debt - 350,025,000 308,476,104 (41,548,896)
Total Other Financing Sources (Uses)- 350,025,000 308,476,104 (41,548,896)
Net Change in Fund Balances -$ 7,210$ 480,953 473,743$
Fund Balances - Beginning (41)
Fund Balances - Ending 480,912$
1602022/02/15 City Council Post Agenda Page 201 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
PUBLIC FINANCING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Use of money and property -$ -$ 21,169$ 21,169$
Total Revenues --21,169 21,169
Expenditures:
Current:
General government 18,804 30,808 20,301 10,507
Debt service:
Principal retirement 3,860,002 3,860,000 3,860,000 -
Interest and fiscal charges 2,957,896 2,957,894 2,957,894 -
Total Expenditures 6,836,702 6,848,702 6,838,195 10,507
Excess (Deficiency) of Revenues
Over (Under) Expenditures (6,836,702) (6,848,702) (6,817,026)31,676
Other Financing Sources (Uses):
Transfers in 6,836,702 6,836,702 6,832,996 (3,706)
Total Other Financing Sources (Uses)6,836,702 6,836,702 6,832,996 (3,706)
Net Change in Fund Balances -$ (12,000)$ 15,970 27,970$
Fund Balances - Beginning 5,321,988
Fund Balances - Ending 5,337,958$
1612022/02/15 City Council Post Agenda Page 202 of 406
CITY OF CHULA VISTA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
MUNICIPAL FINANCING AUTHORITY
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Variance with
Final Budget
Budget Amounts Actual Positive
Original Final Amounts (Negative)
Revenues:
Other revenues 315,485$ 315,485$ 318,146$ 2,661$
Total Revenues 315,485 315,485 318,146 2,661
Expenditures:
Current:
General government 11,901 79,376 74,776 4,600
Debt service:
Principal retirement 1,515,000 1,515,000 7,400,000 (5,885,000)
Interest and fiscal charges 1,261,957 1,261,957 3,505,457 (2,243,500)
Total Expenditures 2,788,858 2,856,333 10,980,233 (8,123,900)
Excess (Deficiency) of Revenues
Over (Under) Expenditures (2,473,373) (2,540,848) (10,662,087) (8,121,239)
Other Financing Sources (Uses):
Transfers in 2,473,373 2,532,185 10,662,387 8,130,202
Total Other Financing Sources (Uses)2,473,373 2,532,185 10,662,387 8,130,202
Net Change in Fund Balances -$ (8,663)$ 300 8,963$
Fund Balances - Beginning (300)
Fund Balances - Ending -$
1622022/02/15 City Council Post Agenda Page 203 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF NET POSITION
NON-MAJOR PROPRIETARY FUNDS
JUNE 30, 2021
Totals
ASSETS
Current Assets:
Cash and investments 91,219$ 93,618$ 27,881$ 653,437$ 10,939$ 877,094$
Cash with fiscal agent - - - 14,816 -14,816
Accounts receivable ---6,257,072 -6,257,072
Total Current Assets 91,219 93,618 27,881 6,925,325 10,939 7,148,982
Noncurrent Assets:
Capital assets:
Machinery and equipment -42,304 -4,386,250 -4,428,554
Less accumulated depreciation -(20,497)-(458,697)-(479,194)
Total Noncurrent Assets -21,807 -3,927,553 -3,949,360
Total Assets 91,219 115,425 27,881 10,852,878 10,939 11,098,342
LIABILITIES
Current Liabilities:
Accounts payable ---80,544 10,939 91,483
Accrued liabilities ---189,975 -189,975
Bonds, notes, and capital leases ---862,811 -862,811
Total Current Liabilities ---1,174,568 10,939 1,185,507
Noncurrent:
Advances from other funds ---3,229,393 -3,229,393
Bonds, notes, and capital leases ---3,630,289 -3,630,289
Total Noncurrent Liabilities ---6,859,682 -6,859,682
Total Liabilities ---8,034,250 10,939 8,045,189
NET POSITION
Net investment in capital assets -21,807 ---21,807
Restricted for capital projects ---565,547 -565,547
Unrestricted 91,219 93,618 27,881 2,253,081 -2,465,799
Total Net Position 91,219$ 115,425$ 27,881$ 2,818,628$ -$ 3,053,153$
Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista Muni
Golf Course Transport Enterprise
1632022/02/15 City Council Post Agenda Page 204 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
NON-MAJOR PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
OPERATING REVENUES
Other -$ -$ 10,226$ 6,649,890$ -$ 6,660,116$
Total Operating Revenues --10,226 6,649,890 -6,660,116
OPERATING EXPENSES
Administration and general --- 3,114,667 101,112 3,215,779
Depreciation expense -8,461 -458,697 -467,158
Total Operating Expenses -8,461 - 3,573,364 101,112 3,682,937
Operating Income (Loss)-(8,461)10,226 3,076,526 (101,112)2,977,179
NONOPERATING REVENUES (EXPENSES)
Intergovernmental ---6,478 -6,478
Interest revenue 449 (788)-(16,545)-(16,884)
Interest expense ---(61,313)-(61,313)
Total Nonoperating Revenues (Expenses)449 (788)-(71,380)-(71,719)
Income (Loss) Before Transfers 449 (9,249)10,226 3,005,146 (101,112)2,905,460
Transfers in ----101,112 101,112
Transfers out ---(186,518)-(186,518)
Changes in Net Position 449 (9,249)10,226 2,818,628 -2,820,054
NET POSITION - BEGINNING 90,770 124,674 17,655 --233,099
NET POSITION - ENDING 91,219$ 115,425$ 27,881$ 2,818,628$ -$ 3,053,153$
Living Coast
Discovery Center
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista Muni
Golf Course
Transport
Enterprise
1642022/02/15 City Council Post Agenda Page 205 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF CASH FLOWS
NON-MAJOR PROPRIETARY FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:
Cash received from customers and users -$-$ 10,226$ 392,818$-$403,044$
Cash paid to suppliers for goods and services --- (1,578,833)(98,219)(1,677,052)
Cash paid to employees for services --- (1,265,315)-(1,265,315)
Net Cash Provided by (Used for)
Operating Activities - - 10,226 (2,451,330) (98,219)(2,539,323)
Cash Flows from Non-Capital
Financing Activities:
Cash received from interfund borrowings --3,229,393 -3,229,393
Grant subsidies ---6,478 -6,478
Cash transfers in ----101,112 101,112
Cash transfers out ---(186,518)-(186,518)
Net Cash Provided by (Used for)
Non-Capital Financing Activities --- 3,049,353 101,112 3,150,465
Cash Flows from Capital
and Related Financing Activities:
Proceeds from capital debt --- 4,493,100 -4,493,100
Acquisition and construction of capital assets --- (4,386,250)-(4,386,250)
Interest paid on capital debt --(20,075)-(20,075)
Net Cash Provided by (Used for)
Capital and Related Financing Activities - - - 86,775 -86,775
Cash Flows from Investing Activities:
Investment earnings 449 (788)-(16,545)-(16,884)
Net Cash Provided by (Used for)
Investing Activities 449 (788) - (16,545) -(16,884)
Net Increase (Decrease)
in Cash and Cash Equivalents 449 (788)10,226 668,253 2,893 681,033
Cash and Cash Equivalents - July 1 90,770 94,406 17,655 -8,046 210,877
Cash and Cash Equivalents - June 30 91,219$ 93,618$ 27,881$ 668,253$ 10,939$891,910$
Reconciliation of Operating Income (Loss) to Net
Cash Provided by (Used for) Operating Activities:
Operating income (loss)-$ (8,461)$ 10,226$ 3,076,526$ (101,112)$2,977,179$
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:
Depreciation -8,461 -458,697 -467,158
(Increase) decrease in accounts receivable --- (6,257,072)-(6,257,072)
Increase (decrease) in accounts payable ---80,544 2,893 83,437
Increase (decrease) in accrued liabilities ---189,975 -189,975
Total Adjustments -8,461 - (5,527,856)2,893 (5,516,502)
Net Cash Provided by (Used for)
Operating Activities -$-$ 10,226$ (2,451,330)$ (98,219)$ (2,539,323)$
Non-Cash Investing, Capital,
and Financing Activities:
Unrealized gain/(loss) on investments (1,239)$ (4,193)$-$ (16,548)$-$ (21,980)$
Business-Type Activities - Enterprise Funds
Bayfront Trolley
Station Transit Fund
Chula Vista
Muni Golf Course
Living Coast
Discovery Center
Transport
Enterprise
1652022/02/15 City Council Post Agenda Page 206 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF NET POSITION
INTERNAL SERVICE FUNDS
JUNE 30, 2021
Totals
Assets:
Current Assets:
Cash and investments 2,697,595$ 2,650$ 7,684,894$ 10,385,139$
Cash with fiscal agent 58 --58
Accounts receivable 36,395 --36,395
Prepaid costs 4,302 --4,302
Total Current Assets 2,738,350 2,650 7,684,894 10,425,894
Noncurrent Assets:
Capital assets:
Machinery and equipment 6,464,254 --6,464,254
Less accumulated depreciation (6,145,055)--(6,145,055)
Total Noncurrent Assets 319,199 --319,199
Total Assets 3,057,549 2,650 7,684,894 10,745,093
Deferred Outflows of Resources:
Pension deferrals 2,975,757 --2,975,757
OPEB deferrals 46,768 --46,768
Total Deferred Outflows of Resources 3,022,525 --3,022,525
Liabilities:
Current Liabilities:
Accounts payable 292,201 -85,127 377,328
Accrued liabilities 41,745 --41,745
Accrued compensated absences 41,600 --41,600
Bonds, notes, and capital leases 51,962 --51,962
Total Current Liabilities 446,939 -85,127 532,066
Noncurrent Liabilities:
Accrued compensated absences 10,526 --10,526
Net pension liability 2,814,223 --2,814,223
Total other post-employment benefits liability 184,462 --184,462
Bonds, notes, and capital leases 2,744,062 --2,744,062
Total Noncurrent Liabilities 5,753,273 --5,753,273
Total Liabilities 6,200,212 -85,127 6,285,339
Deferred Inflows of Resources:
Pension deferrals 1,423 --1,423
Total Deferred Inflows of Resources 1,423 --1,423
Net Position:
Invested in capital assets 319,199 --319,199
Unrestricted (440,760)2,650 7,599,767 7,161,657
Total Net Position (121,561)$ 2,650$ 7,599,767$ 7,480,856$
Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
1662022/02/15 City Council Post Agenda Page 207 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Operating Revenues:
Interdepartmental charges 3,153,792$ -$ 4,817,981$ 7,971,773$
Other 86,391 -121,602 207,993
Total Operating Revenues 3,240,183 - 4,939,583 8,179,766
Operating Expenses:
Administration and general 3,279,145 - 3,737,547 7,016,692
Depreciation expense 152,999 --152,999
Total Operating Expenses 3,432,144 - 3,737,547 7,169,691
Operating Income (Loss)(191,961)- 1,202,036 1,010,075
Nonoperating Revenues (Expenses):
Intergovernmental 2,045 --2,045
Interest expense (29,405)--(29,405)
Gain (loss) on disposal of capital assets 105,741 --105,741
Total Nonoperating Revenues (Expenses)78,381 --78,381
Income (Loss) Before Transfers (113,580)- 1,202,036 1,088,456
Transfers in 218,942 --218,942
Transfers out (41,524)--(41,524)
Changes in Net Position 63,838 - 1,202,036 1,265,874
Net Position - Beginning (185,399)2,650 6,397,731 6,214,982
Net Position - Ending (121,561)$ 2,650$ 7,599,767$ 7,480,856$
Fleet
Management
Technology
Replacement
Workers
Compensation
Governmental Activities - Internal Service Funds
1672022/02/15 City Council Post Agenda Page 208 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
Totals
Cash Flows from Operating Activities:
Cash received from interfund service provided 3,262,988$ -$ 4,939,583$ 8,202,571$
Cash paid to suppliers for goods and services (2,429,179)- (3,799,689)(6,228,868)
Cash paid to employees for services (3,362,317)--(3,362,317)
Net Cash Provided by (Used for)
Operating Activities (2,528,508)- 1,139,894 (1,388,614)
Cash Flows from Non-Capital
Financing Activities:
Proceeds from issuance of pension bonds 2,796,024 --2,796,024
Cash transfers in 218,942 --218,942
Grant subsidies 2,045 --2,045
Cash transfers out (41,524)--(41,524)
Interest paid on pension bonds (9,974)--(9,974)
Net Cash Provided by (Used for)
Non-Capital Financing Activities 2,965,513 --2,965,513
Cash Flows from Capital
and Related Financing Activities:
Proceeds from sales of capital assets 105,741 --105,741
Acquisition and construction of capital assets (72,357)--(72,357)
Net Cash Provided by (Used for)
Capital and Related Financing Activities 33,384 --33,384
Net Increase (Decrease)
in Cash and Cash Equivalents 470,389 - 1,139,894 1,610,283
Cash and Cash Equivalents - July 1 2,227,264 2,650 6,545,000 8,774,914
Cash and Cash Equivalents - June 30 2,697,653$ 2,650$ 7,684,894$ 10,385,197$
Reconciliation of Cash and Cash Equivalents to the
Amounts Reported on the Statement of Net Position
Cash and investments 2,697,595$ 2,650$ 7,684,894$ 10,385,139$
Cash with fiscal agent 58 --58
Total Cash and Cash Equivalents reported
on the Statement of Net Position 2,697,653$ 2,650$ 7,684,894$ 10,385,197$
Adjustments to Reconcile Operating Income (Loss)
to Net Cash Provided by (Used for) Operating Activities:
Depreciation 152,999 --152,999
(Increase) decrease in accounts receivable 22,805 --22,805
(Increase) decrease in prepaid costs (4,302)(4,302)
(Increase) decrease in deferred outflows from pensions ----
(Increase) decrease in deferred outflows from OPEB ----
Increase (decrease) in due to other funds ----
Increase (decrease) in accounts payable 50,091 -(62,142)(12,051)
Increase (decrease) in accrued liabilities 12,259 --12,259
Increase (decrease) in compensated absences 512 --512
Increase (decrease) in net pension liability (2,575,730)--(2,575,730)
Increase (decrease) in total OPEB liability 4,819 --4,819
Total Adjustments (2,336,547)-(62,142)(2,398,689)
Net Cash Provided by (Used for)
Operating Activities (2,528,508)$ -$ 1,139,894$ (1,388,614)$
Governmental Activities - Internal Service Funds
Fleet
Management
Technology
Replacement
Workers
Compensation
1682022/02/15 City Council Post Agenda Page 209 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF FIDUCIARY NET POSITION
CUSTODIAL FUNDS
JUNE 30, 2021
ASSETS
Cash and cash equivalents 8,450,730$ 166,414$ 3,758,498$ 12,375,642$
Cash and cash equivalents held with fiscal agents 34,275,770 --34,275,770
Taxes receivable -72,886 -72,886
Total Assets 42,726,500 239,300 3,758,498 46,724,298
LIABILITIES
Accounts payable 2,463 24,284 -26,747
Accrued interest 2,123,391 --2,123,391
Long-term liabilities:
Bonds payable - due in one year 6,400,000 --6,400,000
Bonds payable - due in more than one year 138,857,436 --138,857,436
Total Liabilities 147,383,290 24,284 -147,407,574
NET POSITION
Restricted:
Individuals, organizations, and other governments (104,656,790)215,016 3,758,498 (100,683,276)
Total Net Position (104,656,790)$ 215,016$ 3,758,498$ (100,683,276)$
Bayfront Special
Tax District
CV Bayfront
Finance
Authority Total
Special
Assessment
District
1692022/02/15 City Council Post Agenda Page 210 of 406
CITY OF CHULA VISTA
COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
CUSTODIAL FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2021
ADDITIONS
Investment Earnings:
Net increase (decrease) in fair value of investments -$ 1,924$ -$ 1,924$
Interest, dividends, and other 234,062 1,699 -235,761
Net Investment Earnings 234,062 3,623 -237,685
Special assessments 12,681,018 251,795 -12,932,813
Miscellaneous -- 1,775,267 1,775,267
Total Additions 12,915,080 255,418 1,775,267 14,945,765
DEDUCTIONS
Administrative expenses 399,457 13,494 -412,951
Contractual services 12,486,476 26,908 34,706 12,548,090
Interest expense 8,450,367 --8,450,367
Total Deductions 21,336,300 40,402 34,706 21,411,408
Net Increase (Decrease) in Fiduciary Net Position (8,421,220)215,016 1,740,561 (6,465,643)
NET POSITION - BEGINNING ----
Restatements (96,235,570)- 2,017,937 (94,217,633)
Net Position - Beginning, as restated (96,235,570)- 2,017,937 (94,217,633)
NET POSITION - ENDING (104,656,790)$ 215,016$ 3,758,498$ (100,683,276)$
Special
Assessment
District
Bayfront Special
Tax District
CV Bayfront
Finance
Authority Total
1702022/02/15 City Council Post Agenda Page 211 of 406
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1712022/02/15 City Council Post Agenda Page 212 of 406
1722022/02/15 City Council Post Agenda Page 213 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Governmental activities:
Net investment in capital assets 655,182,727$626,476,481$ 649,314,016$ 643,174,160$ 672,940,012$ 1,031,902,782$ 963,595,553$ 997,561,287$ 1,048,711,594$ 1,092,307,720$
Restricted 22,929,585 21,888,309 107,106,257 129,460,665 125,439,323 128,114,370 143,958,910 167,223,184 181,367,432 196,782,954
Unrestricted 89,620,724 111,886,462 22,522,443 (245,432,296)(222,570,459)(222,843,737)(139,744,867)(139,394,302)(135,426,227)(123,311,317)
Total governmental activities net position 767,733,036$760,251,252$ 778,942,716$ 527,202,529$ 575,808,876$ 937,173,415$ 967,809,596$ 1,025,390,169$ 1,094,652,799$ 1,165,779,357$
Business-type activities:
Net investment in capital assets 140,248,319$ 134,661,254$ 136,513,268$ 134,368,634$ 135,989,851$ 331,199,513$ 327,687,650$ 322,072,495$ 317,722,714$ 317,133,368$
Restricted - - - 5,141,430 2,803,451 2,593,403 - - - 565,547
Unrestricted 86,521,327 93,401,745 97,393,640 71,945,411 67,970,476 72,366,978 78,539,054 90,839,632 102,067,475 107,279,738
Total business-type activities net position 226,769,646$228,062,999$ 233,906,908$ 211,455,475$ 206,763,778$ 406,159,894$ 406,226,704$ 412,912,127$ 419,790,189$ 424,978,653$
Primary government:
Net investment in capital assets 795,431,046$ 761,137,735$ 785,827,284$ 777,542,794$ 808,929,863$ 1,363,102,295$ 1,291,283,203$ 1,319,633,782$ 1,366,434,308$ 1,409,441,088$
Restricted 22,929,585 21,888,309 107,106,257 134,602,095 128,242,774 130,707,773 143,958,910 167,223,184 181,367,432 197,348,501
Unrestricted 176,142,051 205,288,207 119,916,083 (173,486,885)(154,599,983)(150,476,759)(61,205,813)(48,554,670)(33,358,752)(16,031,579)
Total primary government net position 994,502,682$988,314,251$ 1,012,849,624$738,658,004$ 782,572,654$ 1,343,333,309$ 1,374,036,300$ 1,438,302,296$ 1,514,442,988$ 1,590,758,010$
CITY OF CHULA VISTA
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
1732022/02/15 City Council Post Agenda Page 214 of 406
201 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Expenses:
Governmental activities:
General government 22,508,977$ 33,652,891$ 25,386,867$ 36,693,953$ 25,564,824$ 35,375,230$ 29,311,449$ 27,922,521$ 33,033,582$ 18,121,564$
Public safety 75,931,086 77,821,520 74,896,803 81,002,999 87,749,418 94,716,683 106,802,130 111,269,341 125,991,666 131,262,122
Community Development ---- 1,974,046 1,552,750 18,617,269 11,153,109 11,768,626 8,555,836
Community Services --- 12,837 5,632 14,990 ----
Public works 76,458,061 69,297,402 63,312,155 62,454,130 67,910,401 68,885,918 72,192,449 57,563,725 69,016,706 68,218,192
Parks and recreation 7,310,312 5,865,192 6,118,351 6,441,907 6,834,240 6,875,635 9,553,392 14,633,191 16,592,077 40,789,923
Library 4,185,624 4,224,568 4,092,263 3,906,984 3,997,677 5,018,878 1,542,733 1,007,869 1,107,068 4,505,740
Transit 63,021 14,560 --------
Interest on long-term debt 8,904,275 6,698,509 7,287,461 6,776,635 6,073,434 4,673,047 7,718,906 6,740,877 6,027,344 8,857,969
Total governmental activities expenses 195,361,356 197,574,642 181,093,900 197,289,445 200,109,672 217,113,131 245,738,328 230,290,633 263,537,069 280,311,346
Business-type activities:
Transit 7,050,673 6,997,488 6,875,214 4,807,985 86,512 39,594 13,008 160,797 13,923 8,461
Bayfront Trolley Station 91,942 92,843 61,823 59,863 --27 ---
Tranport Enterprise ---------3,634,677
Sewer funds 30,524,851 30,773,712 26,046,175 31,615,457 25,234,891 32,179,875 34,857,066 36,815,795 38,523,661 39,808,699
Sewer DIFs 129,351 122,927 129,279 120,197 1,146,838 8,305 34,547 495,865 510,789 438,680
Development Services Fund 4,730,599 5,717,312 6,113,133 5,996,109 5,741,600 6,655,654 10,683,709 10,755,535 9,644,465 10,165,866
Chula Vista Mini Golf Course - - 27,092 - - --
CV Elite Athlete Training Ctr - - 449,028 676,260 595,579 691,256 585,009
Living Coast Discovery Center -----95,405 101,112
Total business-type activities expenses 42,527,416 43,704,282 39,225,624 42,599,611 32,209,841 39,359,548 46,264,617 48,823,571 49,479,499 54,742,504
Total primary government expenses 237,888,772 241,278,924 220,319,524 239,889,056 232,319,513 256,472,679 292,002,945 279,114,204 313,016,568 335,053,850
Program revenues:
Governmental activities:
Charges for services:
General government 5,955,849 5,795,838 8,767,069 7,623,676 6,468,756 12,317,921 8,562,792 5,004,895 1,194,045 3,685,466
Public safety 8,658,579 8,893,631 10,198,058 12,100,712 11,764,603 11,997,221 178,674 5,865,227 8,154,003 6,912,095
Community Development --- 297,866 730,197 771,603 17,920,527 4,701,195 46,290,223 10,780,843
Public works 32,767,261 35,758,786 30,495,980 31,703,848 24,218,733 32,598,199 23,487,119 23,562,841 24,140,150 20,949,678
Parks and recreation 3,051,842 7,631,696 5,292,433 4,511,278 10,683,649 8,221,019 1,490,236 2,134,964 2,066,000 1,576,819
Library 840,258 1,666,765 1,078,592 1,302,869 1,943,416 1,575,837 872,352 877,744 653,790 701,945
Operating contributions and grants 21,780,868 30,935,863 29,456,557 25,102,165 22,416,276 22,751,556 21,246,015 20,686,617 16,656,454 25,787,760
Capital contributions and grants 4,283,855 2,936,133 1,921,554 12,954,191 7,143,130 5,619,731 33,859,885 27,052,711 25,449,043 59,987,995
Total governmental activities
program revenues 77,338,512 93,618,712 87,210,243 95,596,605 85,368,760 95,853,087 107,617,600 89,886,194 124,603,708 130,382,601
Business-type activities:
Charges for services:
Transit Fund 2,671,538 2,841,619 2,672,231 1,503,262 - - - - --
Sewer Fund 32,571,135 35,011,268 33,190,660 36,054,603 35,775,374 36,289,930 37,870,947 44,213,351 44,740,438 42,091,953
Sewer DIFs 174,667 645,015 268,092 166,333 239,143 111,907 1,201,669 1,265,579 834,494 594,707
Development Services Fund 4,174,657 6,654,261 6,338,495 6,118,566 6,546,936 7,291,037 10,596,287 9,317,298 9,269,133 10,617,448
Operating grants and contributions 3,524,426 3,095,626 3,800,358 5,474,658 306,884 - 104,899 163,380 33,893 185,587
Capital grants and contributions ---------2,672,900
Total business-type activities
program revenues 43,116,423 48,247,789 46,269,836 49,317,422 42,868,337 43,692,874 49,773,802 54,959,608 54,877,958 56,162,595
Total primary government
program revenues 120,454,935 141,866,501 133,480,079 144,914,027 128,237,097 139,545,961 157,391,402 144,845,802 179,481,666 186,545,196
Net revenues (expenses):
Governmental activities (118,022,844) (103,955,930) (93,883,657) (101,692,840) (114,740,912) (121,260,044) (138,120,728) (140,404,439) (138,933,361)(149,928,745)
Business-type activities 589,007 4,543,507 7,044,212 6,717,811 10,658,496 4,333,326 3,509,185 6,136,037 5,398,459 1,420,091
Total net revenues (expenses)(117,433,837)(99,412,423)(86,839,445)(94,975,029)(104,082,416)(116,926,718)(134,611,543)(134,268,402)(133,534,902)(148,508,654)
General revenues and other changes in net assets:
Governmental activities:
Taxes:
Property taxes 49,721,604 45,146,022 45,266,172 47,485,292 50,136,856 53,248,196 56,512,850 59,841,972 62,905,983 66,864,796
Sales tax 27,275,753 28,627,785 29,171,174 41,883,924 33,317,380 36,469,033 57,541,043 73,187,780 78,964,672 92,895,930
Other taxes 16,431,529 18,966,240 32,145,209 23,225,498 24,463,262 24,101,777 32,496,156 35,204,174 35,247,893 37,237,124
Investment income 3,615,266 866,861 1,944,988 4,216,186 6,233,144 2,954,403 5,652,663 12,243,685 14,062,136 4,836,055
Other general revenues 1,530,568 2,356,802 686,054 12,921,129 1,034,027 8,970 ----
Miscellaneous --- 27,882 336,661 1,677,271 12,675,502 13,963,434 13,897,888 13,635,554
Gain on Sale of Capital Asset - - - - 102,283 -105,741
Transfers 4,195,190 3,861,417 3,551,004 3,848,746 2,799,555 4,180,778 4,170,702 4,339,276 4,352,954 4,664,733
Total general revenues and transfers 102,769,910 99,825,127 112,764,601 133,608,657 118,320,885 122,640,428 169,048,916 198,882,604 209,431,526 220,239,933
Extraordinary gain 28,677,153 ---------
Total governmental activities 131,447,063 99,825,127 112,764,601 133,608,657 118,320,885 122,640,428 169,048,916 198,882,604 209,431,526 220,239,933
Business-type activities:
Investment income 1,273,689 261,354 1,505,052 657,343 1,357,938 322,527 1,155,739 4,575,679 5,450,627 1,175,687
Miscellaneous 2,337,347 349,909 845,650 2,789,595 524,616 198,847,750 414,696 252,213 380,617 7,245,994
Gain on Sale of Capital Asset - - 115,703 - 60,770 1,313 11,425
Transfers (4,195,190)(3,861,417)(3,551,004)(3,848,746)(2,799,555)(4,180,778)(4,170,702)(4,339,276)(4,352,954)(4,664,733)
Total business-type activities (584,154)(3,250,154)(1,200,302)(401,808)(917,001)195,105,202 (2,600,267)549,386 1,479,603 3,768,373
Total primary government 130,862,909 96,574,973 111,564,299 133,206,849 117,403,884 317,745,630 166,448,649 199,431,990 210,911,129 224,008,306
Changes in net position
Governmental activities 13,424,219 (4,130,803) 18,880,944 31,915,817 3,579,973 1,380,384 30,928,188 58,478,165 70,498,165 70,311,188
Business-type activities 4,853 1,293,353 5,843,910 6,316,003 9,741,495 199,438,528 908,918 6,685,423 6,878,062 5,188,464
Total primary government 13,429,072$ (2,837,450)$ 24,724,854$ 38,231,820$ 13,321,468$ 200,818,912$ 31,837,106$ 65,163,588$ 77,376,227$ 75,499,652$
CITY OF CHULA VISTA
Changes in Net Position
Last Ten Fiscal Years
1742022/02/15 City Council Post Agenda Page 215 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
General fund:
Nonspendable 8,799,026$ 7,481,079$ 7,424,812$ 7,419,002$ 1,527,055$ 7,363,413$ 7,676,350$ 7,578,086$ 9,290,599$ 12,559,029$
Restricted - 750,951 - - - - - - -1,042,970
Committed 4,375,207 2,298,088 6,215,601 7,602,021 6,417,095 5,938,600 64,147,929 46,370,754 11,082,859 11,904,304
Assigned 2,895,545 6,648,922 4,807,244 4,688,124 4,315,568 8,526,339 11,866,874 41,546,738 66,514,060 65,282,025
Unassigned 11,969,280 10,790,135 14,511,252 16,412,879 25,132,939 20,020,613 24,512,363 23,378,859 25,636,659 28,315,924
Total general fund 28,039,058 27,969,175 32,958,909 36,122,026 37,392,657 41,848,965 108,203,516 118,874,437 112,524,177 119,104,252
All other governmental funds:
Nonspendable 30,763,746 29,774,472$ 23,537,524$ -$ 5,834,630$ 5,460$ 3,459$ 4,277$ 189,587$ 519,258$
Restricted 83,439,558 91,152,341 107,106,257 129,464,688 125,439,323 128,114,370 143,915,260 167,241,347 181,367,432 195,739,984
Committed 12,842,477 10,617,691 10,677,564 9,584,176 9,068,623 6,583,603 6,303,075 5,219,729 5,321,988 5,344,272
Assigned ---- 1,459,891 - 10,891 64,202 122,922 -
Unassigned (37,420,734)(37,277,498)(40,451,233)(37,216,118)(26,983,855)(19,394,021)(4,433)(2,147,643)(878,624)(2,583,780)
Total all other governmental funds 89,625,047$ 94,267,006$ 100,870,112$ 101,832,746$ 114,818,612$ 115,309,412$ 150,228,252$ 170,381,912$ 186,123,305$ 199,019,734$
Committed fund balance totaled $46.3 million for specific purposes pursuant to contstraints imposed by formal action of the City Council and remains binding unless removed in the same manner in fiscal year 2019.
Sewer funds were converted to an enterprise fund in fiscal year 2008.
Fiscal Year
CITY OF CHULA VISTA
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
1752022/02/15 City Council Post Agenda Page 216 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Revenues:
Taxes 96,868,086$ 82,450,711$ 106,825,885$ 112,594,714$ 110,452,962$ 121,462,604$ 139,296,422$ 157,824,296$ 166,215,250$ 185,983,649$
Licenses and permits 1,253,806 1,436,828 1,355,342 1,322,254 1,328,020 1,290,968 1,601,980 2,367,165 1,834,236 2,005,923
Fines and forfeitures 2,065,246 1,639,781 1,685,268 2,280,880 1,942,656 1,805,508 2,035,823 2,218,235 1,670,628 1,346,492
Investment income 5,077,920 2,929,237 4,698,387 5,044,602 7,006,545 3,766,457 5,682,112 12,212,190 14,062,136 4,836,055
Developer fees 13,966,814 21,742,856 9,515,921 7,484,592 11,657,266 8,810,178 23,506,237 18,068,217 10,653,015 15,955,351
Intergovernmental 21,861,011 40,953,981 28,647,410 26,409,294 23,868,074 23,427,460 25,522,199 26,409,517 27,836,371 37,274,120
Charges for services 20,907,330 23,440,813 20,748,232 20,112,124 22,647,645 26,662,094 23,630,103 24,925,513 27,616,079 30,993,090
Contributions 11,176,064 15,244,658 11,984,032 7,679,652
Other 13,382,050 14,521,818 14,896,960 15,932,194 15,839,288 23,529,357 21,132,605 17,419,459 16,225,790 19,790,763
Total revenues 175,382,263 189,116,025 188,373,405 191,180,654 194,742,456 210,754,626 253,583,545 276,689,250 278,097,537 305,865,095
Expenditures
Current:
General government 23,833,011 25,544,079 29,341,881 26,413,901 29,087,838 33,218,003 23,723,205 23,452,836 28,002,094 81,861,532
Public safety 71,917,414 73,177,912 76,457,979 80,235,099 83,637,644 87,731,136 95,424,528 101,580,642 114,661,942 286,042,703
Public works 47,911,105 48,416,477 40,894,934 41,459,698 49,775,141 45,135,590 37,856,917 29,974,482 33,284,800 87,018,056
Community Development 1,974,046 2,030,654 17,601,341 10,860,838 10,951,941 19,453,357
Parks and recreation 4,215,643 3,471,548 3,590,441 3,746,349 4,059,567 4,246,605 4,276,366 11,208,237 10,661,708 44,357,263
Library 3,672,661 3,241,660 3,810,004 3,625,949 3,969,307 4,721,120 3,943,063 3,948,154 3,580,413 10,709,718
Capital outlay 16,182,888 21,144,133 15,347,338 22,216,530 12,976,408 19,172,666 40,843,898 49,253,675 51,371,872 49,508,887
Debt service:-----
Principal retirement 8,423,156 5,113,992 54,040,855 5,340,205 34,980,737 6,110,055 11,898,280 11,760,783 12,810,263 13,254,548
Interest and fiscal charges 9,229,775 6,818,788 7,850,448 6,678,144 6,437,941 5,194,264 8,382,476 8,023,403 7,348,481 7,961,316
Bond issuance cost ----------
Payment to refunded bond escrow agent ----422,751 2,673,892 ----
Total expenditures 185,385,653 186,928,589 231,333,880 189,715,875 227,321,380 210,233,985 243,950,074 250,063,050 272,673,514 600,167,380
Excess (deficiency) of
revenues over (under)
expenditures (10,003,390)2,187,436 (42,960,475)1,464,779 (32,578,924)520,641 9,633,471 26,626,200 5,424,023 (294,302,285)
Other financing sources (uses):
Transfers in 56,989,583 33,900,786 20,113,296 30,478,465 21,708,446 27,905,430 49,858,764 20,965,197 22,619,355 31,219,762
Transfers out (53,551,865) (32,638,610) (16,551,879) (27,503,760) (18,897,272) (25,949,256) (47,177,986) (16,625,921) (18,443,510)(26,732,447)
Proceeds from long-term debt 42,286 3,963,104 2,174,204 2,121,500 578,224 377,487 - - --
Proceeds from bond sale - - - 45,920,000 - 34,330,000 34,485,000 - -308,476,104
Payment to escrow agent trust ----- (7,135,000) (36,860,637)---
Bond premium/(bond discount)--- 3,537,111 - 2,262,493 2,836,273 --
Capital Leases ------ 1,285,053 759,697 1,023,800 -
Proceeds from sale of capital assets 9,630,000 ---------
Total other financing
sources (uses)13,110,004 5,225,280 5,735,621 54,553,316 3,389,398 31,791,154 4,426,467 5,098,973 5,199,645 312,963,419
Extraordinary item:
Loss on dissolution of the Chula
Vista Redevelopment Agency -(3,191,040)--------
Total extraordinary item -(3,191,040)--------
Net change in fund balances 3,106,614$ 4,221,676$ (37,224,854)$ 56,018,095$ (29,189,526)$ 32,311,795$ 14,059,938$ 31,725,173$ 10,623,668$ 18,661,134$
Debt service as a percentage of
noncapital expenditures 10.1% 6.9% 30.3% 6.9% 20.3% 6.0% 10.0% 10.0% 9.3% 3.8%
CITY OF CHULA VISTA
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
Sewer funds were converted to an enterprise fund in fiscal year 2008.
1762022/02/15 City Council Post Agenda Page 217 of 406
Fiscal YearTaxableTaxableTotalEndedLess:Assessed Less:Assessed Direct TaxJune 30SecuredUnsecuredExemptionsValue 2SecuredUnsecuredExemptions 3ValueRate2012 21,280,088,193 613,792,400 (739,917,158) 21,153,963,435 1,054,772,168 157,330,744- 1,212,102,9120.1438%2013 21,173,362,084 565,751,305 (796,316,481) 20,942,796,908 1,045,060,350 97,973,502- 1,143,033,8520.1438%2014 21,922,151,025 555,819,631 (831,701,747) 21,646,268,909 1,150,985,609 104,386,694- 1,255,372,3030.1438%2015 23,413,030,465 542,342,957 (864,933,069) 23,090,440,353 1,142,294,084 101,995,779- 1,244,289,8630.1438%2016 24,754,131,895 549,312,047 (847,445,301) 24,455,998,641 1,209,286,482 117,991,956- 1,327,278,4380.1438%201726,210,551,258 543,505,450 (977,982,199) 25,776,074,509 1,246,659,237 107,794,167- 1,354,453,4040.1438%2018 27,801,823,181 559,678,820 (1,009,910,410) 27,351,591,591 1,396,009,911 112,713,638- 1,508,723,5490.1438%2019 29,390,231,110 592,221,286 (1,118,567,598) 28,863,884,798 1,554,756,256 125,692,898- 1,680,449,1540.1438%2020 31,185,048,225 602,642,833 (1,191,602,603) 30,596,088,455 1,657,266,937 119,906,018- 1,777,172,9550.1437%2021 33,136,962,193 641,452,322 (1,374,268,953) 32,404,145,562 1,758,437,255 131,005,792- 1,889,443,0470.1145%1Redevelopment Agency dissolved as of January 31, 2012. Successor Agency formed February 1, 2012.2Includes redevelopment incremental valuation.3 Redevelopment Agency/Successor Agency exemptions are included in City exemption data as they are not reported separately.Source: County of San Diego Property Tax ServicesValuation Report, Tax Rate by Tax Rate Area, ACAP 345BCITY OF CHULA VISTAAssessed Value and Estimated Actual Value of Taxable PropertyLast Ten Fiscal YearsCityRedevelopment Agency/Successor Agency 1NOTE:In1978 the voters of the State of California passed Proposition 13 which limited property taxes to a total maximum rate of 1% based upon the assessed valueofthepropertybeingtaxed. 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 isonlyre-assessed at the time that it is soldto a new owner. At that point, the new assessed value is reassessed at the purchase price of the property sold. Theassessedvaluationdata shown above represents the only data currently available with respect to the actual market value of taxable property and is subject to the limitationsdescribedabove.1772022/02/15 City Council Post Agenda Page 218 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
City Direct Rates:
City basic rate 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1438 0.1437 0.1438
Overlapping Rates:
Chula Vista Elementary School 0.0259 0.0253 0.0463 0.0475 0.043 0.0432 0.0359 0.0392 0.0374 0.06455
District Bonds
Sweetwater Union High School 0.0608 0.0586 0.0582 0.0541 0.0517 0.0516 0.0516 0.0528 0.0516 0.0488
District Bonds
Southwestern Community 0.0331 0.0375 0.0368 0.0358 0.0396 0.0386 0.0498 0.0467 0.0448 0.02792
College Bonds
MWD D/S Remainder of 0.0037 0.0035 0.0035 0.0035 0.0035 0.0035 0.0035 0.00350 0.00350 0.00350
SDCWA 15019999
County of San Diego**1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.00000 1.00000 1.00000
Total Overlapping Rates 1.1235 1.1249 1.1448 1.1409 1.1378 1.1369 1.1408 1.14221 1.13734 1.14477
Breakdown of the County of San Diego 1.00 Rate:**
County General
Gen Elem Chula Vista
High Sweetwater Union
Southwestern Community College
County School Service
County School Service - Capital Outlay
Childrens Institutions Tuition
Regional Occupational Centers
Chula Vista Project (19/84601)
Chula Vista Project (19/84602)
Educational Revenue Augmentation Fund
Chula Vista City
South Bay Irrigation
CWA South Bay Irrigation
San Diego Unified Port
Total
Source: County of San Diego Property Tax Services and ACAP 345B
0.00000000
0.00376946
0.00000000
1.00000000
0.00483027
0.00019695
0.00039390
0.14676995
0.14375071
0.15920355
CITY OF CHULA VISTA
Direct and Overlapping Property Tax Rates
(Rate per $100 of assessed value)
Last Ten Fiscal Years
0.00161434
0.29103670
0.18823068
0.05072194
0.00757296
0.00190859
NOTE:
In 1978, California voters passed Proposition 13 which sets the property tax rate at a 1.00% fixed amount. This 1.00% is shared by all taxing
agencies for which the subject property resides within. In addition to the 1.00% fixed amount, property owners are charged taxes as a percentage of
assessed property values for the payment of school bonds and other debt service. Overlapping rates may vary by tax rate area. The data listed in this
1782022/02/15 City Council Post Agenda Page 219 of 406
Percent of Percent of
Total City Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Rank Value Value Rank Value
Rohr Inc.237,627,779$ 1 0.73% 181,306,637$ 3 0.86%
GGP Otay Ranch LP 210,616,574 2 0.65%176,655,960 4 0.84%
John Hancock Life Insurance Co 155,854,147 3 0.48%0.00%
Sharp Chula Vista Medical Center 125,129,976 4 0.39%0.00%
Regulo Place Apartments Invest 120,614,521 5 0.37%100,505,618 6 0.48%
Shea Homes Ltd Partnership 111,658,431 6 0.34%70,332,644 8 0.33%
Brisa Acquisitions LLC 101,325,569 7 0.31%0.00%
NM Pulse LLC 100,936,246 8 0.31%0.00%
Vista Pacific Villas LP 100,719,345 9 0.31%0.00%
Equity Residential 92,882,242 10 0.29%119,057,451 5 0.56%
JPB Development -- 253,593,675 1 1.20%
San Diego Expressway Ltd -- 189,100,000 2 0.89%
Chula Vista Center LLC -- 72,673,458 7 0.34%
Camden USA Inc -- 62,974,684 9 0.30%
Corky Mcmillin Homes -- 56,546,264 10 0.27%
1,357,364,830$ 4.19% 1,282,746,391$ 6.07%
The amounts shown above include assessed value data for both the City and the Redevelopment Successor Agency.
Source: MuniServices, LLC
County of San Diego Property Tax Services PT Base Tab Taxable Assessed Value for FYE
CITY OF CHULA VISTA
Principal Property Tax Payers
Current Year and Nine Years Ago
2021 2012
1792022/02/15 City Council Post Agenda Page 220 of 406
Fiscal Taxes Levied Collections in
Year Ended for the Percent Subsequent Percent
June 30 Fiscal Year 1 Amount of Levy Years 2 Amount of Levy
2012 25,373,780$ 24,669,632$ 97.22% (35,474)$ 24,634,158$97.09%
2013 25,352,454 24,982,072 98.54% 117,973 25,100,045 99.00%
2014 26,063,753 25,758,225 98.83% 39,776 25,798,000 98.98%
2015 27,726,666 27,398,740 98.82% 36,404 27,435,143 98.95%
2016 29,083,269 28,800,156 99.03% 68,973 28,869,128 99.26%
2017 30,632,668 30,388,650 99.20% 49,984 30,438,634 99.37%
2018 32,518,946 32,206,343 99.04% 58,329 32,264,672 99.22%
2019 34,198,598 33,877,270 99.06%6,562 33,883,832 99.08%
2020 36,202,585 35,677,358 98.55% 80,701 35,758,059 98.77%
2021 38,360,550 37,854,693 98.68% 211,814 38,066,507 99.23%
1 Levy amounts do not include supplemental taxes.
2 Collection amounts represent delinquencies collected for all prior years during the current tax year.
Total delinquent collections are reduced by any refunds processed from prior year tax collections.
Source: County of San Diego Property Tax Services ACAP234A 1%
Collected within the
Fiscal Year of Levy Total Collections to Date
CITY OF CHULA VISTA
Property Tax Levies and Collections
Last Ten Fiscal Years
1802022/02/15 City Council Post Agenda Page 221 of 406
Fiscal Year Pension Tax Total Pension Total Total Percentage Debt
Ended Obligation Allocation Certificates of Governmental Obligation Bus.-Type Primary of Personal Per
June 30 Bonds Bonds Loans Participation Leases Activities Bonds Leases Activities Government Income 1 Capita 1
2012 - 43,005,000 19,673,344 132,290,000 - 194,968,344 --- 194,968,344 1.73%777
2013 --2 14,182,697 128,375,000 - 142,557,697 --- 142,557,697 1.24% 556
2014 --2 18,366,623 121,650,000 - 140,016,623 --- 140,016,623 1.15% 538
2015 --2 17,849,316 117,590,000 - 135,439,316 --- 135,439,316 1.04% 516
2016 --2 18,673,487 111,195,000 - 129,868,487 --- 129,868,487 1.02% 492
2017 --2 21,445,777 106,025,000 - 127,470,777 --- 127,470,777 0.93% 478
2018 --2 123,053,035 78,260,000 - 201,313,035 --- 201,313,035 1.49% 750
2019 --2 114,055,336 74,770,000 - 188,825,336 --- 188,825,336 1.42% 696
2020 --2 99,253,322 71,110,000 5,188,939 175,552,261 - 10,858 10,858 175,563,119 1.34% 642
2021 311,272,126 -2 89,342,072 67,250,000 6,497,094 474,361,292 38,752,874 4,500,499 43,253,373 517,614,665 N/A 1,886
1 These ratios are calculated using personal income and population for the prior calendar year.
2 Tax Allocation Bonds transferred to Successor Agency and shown as fiduciary fund.
Notes: Details regarding the City's outstanding debt can be found in the notes to the
financial statements.
CITY OF CHULA VISTA
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
Governmental Activities Business-Type Activities
1812022/02/15 City Council Post Agenda Page 222 of 406
Fiscal Year Pension Tax Percent of
Ended Obligation Allocation Assessed Per
June 30 Bonds Bonds Total Value 1 Capita
2012 - 43,005 43,005 0.20%171
2013 - 41,985 41,985 0.20%164
2014 - 40,920 40,920 0.19%157
2015 - 39,230 39,230 0.17%149
2016 - 37,465 37,465 0.15%142
2017 - 29,315 29,315 0.11%110
2018 - 27,930 27,930 0.10%104
2019 - 26,265 26,265 0.09%97
2020 - 28,290 28,290 0.09%103
2021 350,025 26,286 376,311 1.16%1,371
General bonded debt is debt payable with governmental fund resources and general
obligation bonds recorded in enterprise funds.
1 Assessed value has been used because the actual value of taxable property is not
readily available in the State of California.
CITY OF CHULA VISTA
Ratio of General Bonded Debt Outstanding
Last Ten Fiscal Years
(In Thousands, except Per Capita)
Outstanding General Bonded Debt
1822022/02/15 City Council Post Agenda Page 223 of 406
2020-21 Assessed Valuation: 32,404,145,562
Total Debt City's Share of
OVERLAPPING TAX AND ASSESSMENT DEBT:6/30/21 % Applicable (1)Debt 06/30/21
Metropolitan Water District 26,830,000$ 0.991% 265,885$
Otay Municipal Water District, I.D. No. 27 1,425,000 99.996 1,424,943
Southwestern Community College District 535,971,833 51.186 274,342,542
Sweetwater Union High School District 385,973,846 60.831 234,791,750
Chula Vista City School District 140,633,285 87.779 123,446,491
Chula Vista City School District Schools Facilities Improvement Dist 1 78,740,000 79.971 62,969,165
National School District 28,215,000 3.191 900,341
City of Chula Vista Community Facilities Districts 132,990,000 100.132,990,000
16,475,708 100.16,475,708
97,512 100.97,512
5,247,365 100.5,247,365
2,785,187 100.2,785,187
1,389,546 68.799 955,994
6,106,689 100.6,106,689
3,900,480 21.811 850,734
4,065,032 100.4,065,032
1,834,445 100.1,834,445
2,346,383 100.2,346,383
4,351,473 100.4,351,473
2,547,501 100.2,547,501
2,718,147 100.2,718,147
4,193,016 100.4,193,016
97,512 100.97,512
City of Chula Vista 1915 Act Bonds 3,165,000 100.3,165,000
California Statewide Communities Development Authority 1915 Act Bonds 445,566 100.445,566
TOTAL OVERLAPPING TAX AND ASSESSMENT DEBT 889,414,381$
DIRECT AND OVERLAPPING GENERAL FUND DEBT:
San Diego County General Fund Obligations 211,585,000$ 5.533% 11,706,998$
San Diego County Pension Obligation Bonds 400,125,000 5.533 22,138,916
San Diego County Superintendent of Schools Obligations 8,585,000 5.533 475,008
Southwestern Community College District Certificates of Participation 490,000 51.186 250,811
Sweetwater Union High School District General Fund Obligations 36,105,000 60.831 21,963,033
Chula Vista City School District Certificates of Participation 143,795,000 87.779 126,221,813
City of Chula Vista General Fund Obligations 162,302,140 100 162,302,140 (2)
City of Chula Vista Pension Obligation Bonds 350,025,000 100 350,025,000
TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT 695,083,719$
OVERLAPPING TAX INCREMENT DEBT (Successor Agency):26,285,849$ 99.643% 26,192,009$
TOTAL DIRECT DEBT 517,614,665$
TOTAL OVERLAPPING DEBT 1,098,362,969$
COMBINED TOTAL DEBT 1,615,977,634$ (3)
(1) The percentage of the overlapping debt applicable to the city is estimated using taxable assessed property value.
Applicable percentages were estimated by determining the portion of the overlapping district's assessed value that is
within the boundaries of the city divided by the district's total taxable assessed value.
(2) Includes Certificates of Participation, Lease Revenue Bonds, Loans, Notes and Capital Leases.
(3) Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. Qualified Zone
Academy Bonds are included based on principal due at maturity.
Ratios to 2020-21 Assessed Valuation:
Total Overlapping Tax and Assessment Debt…………………………2.74%
Total Direct Debt ($517,614,665)……………...…….…….….…….1.58%
Combined Total Debt…………....……...…………………………….4.96%
Ratios to Redevelopment Successor Agency Incremental Valuation ($1,889,443,047):
Total Overlapping Tax Increment Debt……………………………….1.20%
Sweetwater Union High School District Community Facilities District No. 3
CITY OF CHULA VISTA
Direct and Overlapping Debt
June 30, 2021
Sweetwater Union High School District Community Facilities District No. 1
Sweetwater Union High School District Community Facilities District No. 2
Sweetwater Union High School District Community Facilities District No. 18
Sweetwater Union High School District Community Facilities District No. 4
Sweetwater Union High School District Community Facilities District No. 5
Sweetwater Union High School District Community Facilities District No. 6
Sweetwater Union High School District Community Facilities District No. 10
Sweetwater Union High School District Community Facilities District No. 11
Sweetwater Union High School District Community Facilities District No. 12
Sweetwater Union High School District Community Facilities District No. 13
Sweetwater Union High School District Community Facilities District No. 14
Sweetwater Union High School District Community Facilities District No. 15
Sweetwater Union High School District Community Facilities District No. 16
Sweetwater Union High School District Community Facilities District No. 17
1832022/02/15 City Council Post Agenda Page 224 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Assessed valuation 21,153,963,435$ 20,942,796,908$ 21,646,268,909$ 23,090,440,353$ 24,455,998,641$ 25,776,074,509$ 27,351,591,591$ 28,863,884,798$ 30,596,088,455$ 32,404,145,562$
Conversion percentage 25%25%25%25%25%25%25%25%25%25%
Adjusted assessed valuation 5,288,490,859 5,235,699,227 5,411,567,227 5,772,610,088 6,113,999,660 6,444,018,627 6,837,897,898 7,215,971,200 7,649,022,114 8,101,036,391
Debt limit percentage 15%15%15%15%15%15%15%15%15%15%
Debt limit 793,273,629 785,354,884 811,735,084 865,891,513 917,099,949 966,602,794 1,025,684,685 1,082,395,680 1,147,353,317 1,215,155,459
Total net debt applicable to limit:
Pension obligation bonds ---------350,025,000
Legal debt margin 793,273,629$ 785,354,884$ 811,735,084$ 865,891,513$ 917,099,949$ 966,602,794$ 1,025,684,685$ 1,082,395,680$ 1,147,353,317$ 865,130,459$
Total debt applicable to the limit
as a percentage of debt limit 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%0.0% 28.8%
Source: City Finance Department
County of San Diego Property Tax Services
CITY OF CHULA VISTA
Legal Debt Margin Information
Last Ten Fiscal Years
Fiscal Year 2020
The Government Code of the State of California provides for a legal debt limit of 15% of gross assessed valuation. However, this provision was enacted when assessed valuation was based upon 25% of market value. Effective with the 1981-82
fiscal year, each parcel is now assessed at 100% of market value (as of the most recent change in ownership for that parcel). The computations shown above reflect a conversion of assessed valuation data for each fiscal year from the current full
valuation perspective to the 25%level that was in effect at thetime that thelegal debt margin was enacted by the Stateof California for local governments located withinthestate.
1842022/02/15 City Council Post Agenda Page 225 of 406
Fiscal Year
Ended Tax
June 30 Increment Principal Interest Coverage
2012 10,931,615 980,000 1,992,565 3.68
2013 3,949,717 1,020,000 1,948,865 1.33
2014 6,144,015 1,065,000 1,901,703 2.07
2015 5,648,052 1,690,000 1,840,378 1.60
2016 5,042,979 1,765,000 1,765,765 1.43
2017 3,589,342 0 849,680 4.22
2018 4,092,288 1,385,000 1,171,750 1.60
2019 2,774,802 1,665,000 1,132,925 0.99
2020 3,254,673 1,725,000 1,082,075 1.16
2021 2,442,862 1,770,000 1,020,800 0.88
Note: Details regarding the city's outstanding debt can be found in the notes to
the financial statements.
Debt Service
CITY OF CHULA VISTA
Pledged-Revenue Coverage
Last Ten Fiscal Years
Tax Allocation Bonds
1852022/02/15 City Council Post Agenda Page 226 of 406
Pct. of S.D. Pct. ChangeAvg.% Bachelor'sPer CapitaTotalCounty from Previous Median Household % High School Degree or Pct. Below Unemployment Personal IncomePersonal YearPopulation 1Population 1Year 1Age 2Size 1Graduate 3Higher 3Poverty 3Rate 4(In Thousands) 5Income 52012251,0297.9%1.7%33.13.2681.3%27.9%11.9%11.4% 11,262,284 44,8802013256,4178.0%2.1%32.93.2779.0%25.6%15.6%9.8%11,495,050 44,9102014260,1778.0%1.5%32.73.2980.4%27.8%12.8%8.1%12,197,555 46,9812015262,4848.0%0.9%32.73.3082.3%29.8%10.6%6.5%12,974,993 49,5362016264,0468.0%0.6%32.63.3080.1%27.4%10.5%5.2%12,713,366 48,2892017266,4278.1%0.9%32.73.3080.9%28.1%11.5%4.4%13,739,946 51,7182018268,5888.1%0.8%32.73.2985.5%27.4%8.4%3.7%13,534,227 50,4242019271,3628.1%1.0%32.83.2783.2%29.2%12.5%3.5%13,331,588 49,1642020273,3848.2%0.7%32.93.25n/an/an/a10.4% 13,131,983 47,9352021⁶274,449 8.3% 0.4% 33.0 3.23 n/a n/a n/a n/a n/a n/a 6. SANDAG Estimates for FY2021 not available until April 2022. Notes: Year-to-year variation for Educational Attainment and Poverty are the result of both actual change and sampling error. Per Capita Personal Income (PCPI) is the share of the jurisdiction's Per Capita Income to the region's basedon the ACS 1-Year Estimates, Table B19301, multiplied by the region's PCPIfrom BEA. Personal Income is the product of PCPI and Total Population. Dollar values are inflation-adjusted to 2019 dollars. Median Age for 2020 andPersonal Income and PCPI for 2019 were estimated using the prior year's growth rate.BEA Personal Income definition: "Personal income is the income received by, or on behalf of, all persons from all sources: from participation as laborers in production, from owning a home or business, from the ownership of financialassets, and from government and business in the form of transfers. It includes income from domestic sources as well as the rest of world. It does not include realized or unrealized capital gains or losses."Educational AttainmentCITY OF CHULA VISTADemographic and Economic StatisticsLast Ten Calendar YearsSource: Data compiled by SANDAG Service Bureau. 1 California Department of Finance, "January Population and Housing Estimates"; 2 SANDAG Estimates, Vintage 2019 (2010-2019), SANDAG Estimates, Vintage 2009(2004-2009); 3 American Community Survey (ACS) 1-Year Estimates, TablesB15003 (Educational Attainment) and B17001 (Poverty); 4 California Employment Development Department (EDD), Local Area Unemployment Statistics(LAUS), Annual Average; 5 U.S. Bureau of Economic Analysis (BEA), Regional Economic Accounts "Local Area Personal Income Accounts," Table CA5N; ACS 1-Year Estimates, Table B19301; Bureau of Labor Statistics (BLS),retrieved from FRED, Chained Consumer Price Index (CPI), "Series CUUSA424SA0." *Data for median age personal income and per capita personal incomeare not available for 2020 and 2021, therefore these measures areestimated by applying the change observed between the previous two years and multiplying that by the data for the latest year available. 1862022/02/15 City Council Post Agenda Page 227 of 406
Percent of Percent of
Number of Total Number of Total
Employer Employees Employment Employees Employment
Sweetwater Union High School District 3,703 1 6.04% 3,911 1 7.52%
Chula Vista Elementary School District 3,549 2 5.79% 2,727 2 5.24%
Sharp Chula Vista Medical Center 2,580 3 4.21% 1,735 4 3.34%
Southwestern Community College 1,450 4 2.36% 1,716 5 3.30%
Rohr Inc./Goodrich Aerospace 1,345 5 2.19% 2,167 3 4.17%
Wal-Mart 1,180 6 1.92% 1,239 6 2.38%
City of Chula Vista 1,149 7 1.87% 1,106 8 2.13%
Scripps Mercy Hospital Chula Vista 1,073 8 1.75% 1,109 7 2.13%
Costco 815 9 1.33%538 9 1.03%
Aquatica 610 10 0.99%-0.00%
24 Hour Fitness -0.00%475 10 0.91%
"Total Employment" as used above represents the total employment of all employers located
within City limits. Per EDD's Q4 average, this amounts to 61,318 employees.
Source: State Employment Development Department
City Finance Department
Sweetwater Union High School District
Chula Vista Elementary School District
Southwestern Community College
EDD
CITY OF CHULA VISTA
Principal Employers
Current Year and Nine Years Ago
2021 2012
1872022/02/15 City Council Post Agenda Page 228 of 406
Function 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
General Government 269 282 312 288 205 210 198 160 160 172
Public Safety 432 432 425 469 470 474 492 527 554 620
Public Works/Engr 159 164 161 161 241 228 228 184 180 189
Parks and Recreation 115 115 130 161 176 153 158 229 69 137
Library 76 82 77 88 70 77 73 74 24 39
Development Services 55 49 49 49 57 55 58 73 71 69
Total 1,106 1,124 1,154 1,216 1,219 1,197 1,207 1,247 1,058 1,226
Source: City Finance Department
CITY OF CHULA VISTA
Full-time and Part-time City Employees
by Function
Last Ten Fiscal Years
1882022/02/15 City Council Post Agenda Page 229 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:
Citizen-initiated calls for service 64,885 66,319 65,645 64,486 67,512 65,672 65,643 64,066 66,470 65,537
Fire:
Number of emergency calls 12,863 12,950 14,787 18,328 19,612 19,612 21,397 21,803 22,843 24,794
Inspections 2,205 2,390 2,262 4,209 4,207 4,207 3,907 3,862 4,029 6,071
Public works:
Street resurfacing/maintenance 1 55,398 121,428 38,087 61,640 39,338 61,640 16,178 14,734 61,640 32,923
(square feet)
Parks and recreation:³
Number of recreation classes 1,914 2,572 2,456 2,388 3,859 3,124 2,658 3,552 2,008 575
Number of facility rentals 2,028 1,915 1,781 1,921 1,573 1,482 688 771 1,100 121
Library:
Circulation 982,688 992,005 954,071 839,616 706,594 706,594 637,119 539,762 500,195 115,005
Attendance²722,310 832,975 822,895 803,535 857,475 857,475 958,117 1,635,849 961,848 162,300
Sewer:
New connections 646 968 553 210 2211 211 502 1456 1628 425
Average daily sewage treatment 15.9 15.7 15.5 15.5 15.4 20.9 20.9 20.9 20.9 16.142
(millions of gallons)
1 Excludes filling of potholes and crack sealing.
2 Library closed from March 2020 to May 2021.
3 Parks and Recreation closed majority of FYE21, offered limited number of classes and rentals in between.
Note: Data is not available for the fiscal years marked as n/a.
Source: City of Chula Vista
CITY OF CHULA VISTA
Operating Indicators
by Function
Last Ten Fiscal Years
Fiscal Year
1892022/02/15 City Council Post Agenda Page 230 of 406
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Police:
Stations 0111111111
Fire:
Fire stations 999999991010
Public works:
Streets (miles)429.5 429.5 433.9 433.9 433.9 433.9 434.2 434.2 445.2 445.2
Streetlights 9,066 9,069 9,069 9,069 9,144 9,282 9,539 9,787 9,818³9,828
Traffic signals 269 273 273 273 275 275 282 288 294³301
Parks and recreation:
Parks (acreage) 1 530.7 530.7 527.7 557.2 557.2 708 660 660 704.02 716.93
Recreation facilities 11 11 11 11 11 11 11 11 11 11
Library:
Libraries 3333333333
Sewer:
Sewer pipes (miles)505.0 505.0 511.3 514.315²514.6 514.6 514.6 514.6 516.8 517.03
Storm drains (miles)249.0 249.0 255.2 263.209 ²266.2 269.6 272.4 273.8 280.6 282.46
Maximum daily treatment capacity 20.9 20.9 20.9 20.9 20.9 20.9 20.9 20.9 20.9 20.9
(millions of gallons)
1 Includes community, neighborhood, special purpose, mini, urban, and privately maintained public parks within City Boundaries.
2 Updated Sewer: Sewer Pipes and Storm Drains (miles) per GASB 34 FY 2018
3 Updated Public Works: Streetlights and Traffical Signals per GASB 34 FY 2020
Source: City of Chula Vista
CITY OF CHULA VISTA
Capital Asset Statistics
by Function
Last Ten Fiscal Years
Fiscal Year
1902022/02/15 City Council Post Agenda Page 231 of 406
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2022/02/15 City Council Post Agenda Page 232 of 406
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1922022/02/15 City Council Post Agenda Page 233 of 406
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA ACCEPTING THE AUDITED ANNUAL
COMPREHENSIVE FINANCIAL REPORT (ACFR) FOR
FISCAL YEAR ENDING JUNE 30, 2021
WHEREAS, City Charter Section 1017 requires that an annual audit be performed of the
City's financial records by an independent accounting firm; and
WHEREAS, the independent audit firm of Lance Soll & Lunghard, LLP, has audited the
basic financial statements of the City of Chula Vista as found in the Audited Annual
Comprehensive Financial Report (ACFR) for fiscal year ending June 30, 2021; and
WHEREAS, Lance Soll & Lunghard, LLP, has issued their opinion that the statements
present fairly, in all material respects, the respective financial position of the governmental
activities, the business-type activities, each major fund, and the aggregate remaining fund
information of the City as of June 30, 2021 and the respective changes in financial position, and
where applicable, cash flows thereof for the year then ended in accordance with accounting
principles generally accepted in the United States of America.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista,
that it accepts the ACFR, a copy of which is on file with the City Clerk’s Office.
Presented by Approved as to form by
Sarah Schoen Glen R. Googins
Finance Director/Treasurer City Attorney
2022/02/15 City Council Post Agenda Page 234 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Contract Extension: Approve Contract Extension with Axon Enterprise, Inc. for Body Worn Camera
Program
Report Number: 22-0067
Location: No specific geographic location
Department: Police
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution accepting an agreement extension with Axon Enterprise, Inc. for the Body Worn Camera
Program, and authorizing the City Manager to execute the same.
SUMMARY
On May 21, 2021, the City issued Request for Proposal (RFP) # P19-20/21 to seek proposals from vendors
who can provide body worn cameras, data storage and related product support services to the Police
Department. The RFP process included a thorough evaluation of the proposals and follow-up, along with
product testing. Since the RFP process is taking longer than anticipated, the Police and Finance Departments
are requesting a contract extension with Axon Enterprise, Inc., who is the current body worn camera
provider.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment;
therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.
Thus, no environmental review is required.
2022/02/15 City Council Post Agenda Page 235 of 406
P a g e | 2
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Pursuant to Section 2.56 of the Chula Vista Municipal Code outlining the City’s purchasing system, a Request
for Proposal (RFP) # P19-20/21 was issued on May 21, 2021 for body worn cameras, data storage and
related product support services to the Police Department. Specifically, the City was seeking proposals for
275 body-worn and 95 in-car camera systems. The RFP process included a thorough review of the proposals,
along with product testing of body worn cameras and in-car camera systems.
The 5-year agreement with the current body worn camera vendor, Axon Enterprise, Inc., expired on January
15, 2022. Since the RFP process is taking longer than anticipated, the Police and Finance Departments are
requesting a contract extension with Axon Enterprise, Inc., which can be paid on a monthly basis until the
RFP process is complete. The cost to continue the existing Body Worn Camera program is $14,998.90 per
month.
The Police and Finance Departments anticipate to complete the Body Worn Camera and In-Car Camera
System RFP process in the next few months. Upon completion, staff will bring it forward for Council approval
of the new contract.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not
applicable to this decision for purposes of determining a disqualifying real property-related financial conflict
of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Approval of this resolution will extend the existing body worn camera agreement with Axon Enterprise, Inc.
on a monthly basis. These costs are already included in the Police Department’s Asset Forfeiture budget,
resulting in no net fiscal impact to the General Fund in the current fiscal year.
ONGOING FISCAL IMPACT
The Police Department will coordinate with the City Manager and the Finance Department to allocate the
necessary funds to cover body-worn and in-car camera systems in subsequent fiscal years. Appropriations
for the ongoing costs related to this program will be considered by City Council as part of the development
of the relevant fiscal year budget process.
ATTACHMENTS
2022/02/15 City Council Post Agenda Page 236 of 406
P a g e | 3
Attachment 1: Axon quote # Q-356358-44575.184CM to extend existing Body Worn Camera contract
Staff Contact: Jonathan Alegre, Police Department
2022/02/15 City Council Post Agenda Page 237 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 1
Program Length 5.5333 Months
TOTAL COST $82,494.00
ESTIMATED TOTAL W/ TAX $82,494.00
Average Savings Per Year $38,024.82
TOTAL SAVINGS $17,533.56
Axon Enterprise, Inc.
17800 N 85th St.
Scottsdale, Arizona 85255
United States
VAT: 86-0741227
Domestic: (800) 978-2737
International: +1.800.978.2737
Q-356358-44575.184CM
Account Number: 106513
Payment Terms: N30
Delivery Method: Fedex - Ground
Quote Summary Discount Summary
Payment Summary
Date Subtotal Tax Total
Jan 2022 $7,499.50 $0.00 $7,499.50
Feb 2022 $14,998.90 $0.00 $14,998.90
Mar 2022 $14,998.90 $0.00 $14,998.90
Apr 2022 $14,998.90 $0.00 $14,998.90
May 2022 $14,998.90 $0.00 $14,998.90
Jun 2022 $14,998.90 $0.00 $14,998.90
Total $82,494.00 $0.00 $82,494.00
SALES REPRESENTATIVE PRIMARY CONTACT
Chris Morton Miriam Foxx
Phone: +1 2063106165 Phone: (619)476-2452
Email: cmorton@axon.com Email: mfoxx@chulavistapd.org
Fax: Fax:
SHIP TO BILL TO
315 Fourth Ave Chula Vista Police Dept. - CA
315 Fourth Ave 315 Fourth Ave
Chula Vista, CA 91910-3801 Chula Vista, CA 91910-3801
USA USA
Email:
Quote Expiration:
Estimated Contract Start Date: 01/15/2022
Issued: 01/13/2022
2022/02/15 City Council Post Agenda Page 238 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 2
Quote Unbundled Price: $100,027.56
Quote List Price: $100,027.56
Quote Subtotal: $82,494.00
Pricing
All deliverables are detailed in Delivery Schedules section lower in proposal
Item Description Qty Term Unbundled List Price Net Price Subtotal Tax Total
A la Carte Software
73686 EVIDENCE.COM UNLIMITED AXON DEVICE
STORAGE- 204 6 $24.00 $24.00 $29,376.00 $0.00 $29,376.00
73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly
SKU 73746) 227 6 $39.00 $39.00 $53,118.00 $0.00 $53,118.00
A la Carte Warranties
80496 EXT WARRANTY, BODY 3 CAMERA 204 6 $11.67 $0.00 $0.00 $0.00 $0.00
80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 6 $20.83 $0.00 $0.00 $0.00 $0.00
Total $82,494.00 $0.00 $82,494.00
2022/02/15 City Council Post Agenda Page 239 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 3
Delivery Schedule
Software
Bundle Item Description QTY Estimated Start Date Estimated End Date
A la Carte 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 01/15/2022 06/30/2022
A la Carte 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU
73746) 227 01/15/2022 06/30/2022
Warranties
Bundle Item Description QTY Estimated Start Date Estimated End Date
A la Carte 80496 EXT WARRANTY, BODY 3 CAMERA 204 01/15/2022 06/30/2022
A la Carte 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 01/15/2022 06/30/2022
2022/02/15 City Council Post Agenda Page 240 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 4
Payment Details
Jan 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $2,670.56 $0.00 $2,670.56
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $4,828.94 $0.00 $4,828.94
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $7,499.50 $0.00 $7,499.50
Feb 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $5,341.09 $0.00 $5,341.09
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $9,657.81 $0.00 $9,657.81
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $14,998.90 $0.00 $14,998.90
Mar 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $5,341.09 $0.00 $5,341.09
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $9,657.81 $0.00 $9,657.81
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $14,998.90 $0.00 $14,998.90
Apr 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $5,341.09 $0.00 $5,341.09
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $9,657.81 $0.00 $9,657.81
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $14,998.90 $0.00 $14,998.90
May 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $5,341.09 $0.00 $5,341.09
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $9,657.81 $0.00 $9,657.81
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $14,998.90 $0.00 $14,998.90
2022/02/15 City Council Post Agenda Page 241 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 5
Jun 2022
Invoice Plan Item Description Qty Subtotal Tax Total
1 Year Default 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE- 204 $5,341.09 $0.00 $5,341.09
1 Year Default 73746 PROFESSIONAL EVIDENCE.COM LICENSE (Formerly SKU 73746) 227 $9,657.81 $0.00 $9,657.81
1 Year Default 80496 EXT WARRANTY, BODY 3 CAMERA 204 $0.00 $0.00 $0.00
1 Year Default 80498 EXT WARRANTY, BODY 3 EIGHT BAY DOCK 26 $0.00 $0.00 $0.00
Total $14,998.90 $0.00 $14,998.90
2022/02/15 City Council Post Agenda Page 242 of 406
Non-Binding Budgetary Estimate
Q-356358-44575.184CM Page 6
This Rough Order of Magnitude estimate is being provided for budgetary and planning purposes only. It is non-binding and is not considered a contractable offer for sale of Axon
goods or services.
Tax is estimated based on rates applicable at date of quote and subject to change at time of invoicing. If a tax exemption certificate should be applied, please submit
prior to invoicing.
Exceptions to Standard Terms and Conditions
Agency has existing contract 9387 (originated via Q-83018) and is renewing that contract upon the new license start date (1/15/2022) of this quote.
Signature: ________________________________ Date: ______________________________
Name (Print): Maria V. Kachadoorian Title: City Manager
Approved as to form:
Signature: ________________________________ Date: ______________________________
Name (Print): Glen R. Googins Title: City Attorney
2022/02/15 City Council Post Agenda Page 243 of 406
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA ACCEPTING AN AGREEMENT EXTENSION
WITH AXON ENTERPRISE, INC. FOR THE BODY WORN
CAMERA PROGRAM AND AUTHORIZING THE CITY
MANAGER TO EXECUTE THE SAME
WHEREAS, on May 21, 2021, the City issued Request for Proposal (RFP) # P19-20/21
to seek proposals from vendors who can provide body worn cameras, data storage and related
product support services to the Police Department; and
WHEREAS, the RFP schedule included a thorough review of the proposals, along with
product testing of body worn cameras and in-car camera systems; and
WHEREAS, the 5-year agreement with the current body worn camera vendor, Axon
Enterprise, Inc., expired on January 15, 2022; and
WHEREAS, since the RFP process is taking longer than anticipated, the Police and
Finance Departments are requesting a contract extension with Axon Enterprise, Inc., which can
be paid on a monthly basis until the RFP process is complete.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula
Vista, that it accepts the agreement extension with Axon Enterprise, Inc. for the Body Worn
Camera Program, in the form presented, with such minor modifications as may be required or
approved by the City Attorney, a copy of which shall be kept on file in the Office of the City
Clerk, and authorizes and directs the City Manager to execute same.
Presented by
Roxana Kennedy
Chief of Police
Approved as to form by
Glen R. Googins
City Attorney
2022/02/15 City Council Post Agenda Page 244 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Contract Award: Approve Contract with AEP-California LLC to Provide Vehicle Outfitting Services for the
Police Department
Report Number: 22-0068
Location: No specific geographic location
Department: Police
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution awarding an agreement with American Emergency Products doing business as AEP-
California LLC to provide vehicle outfitting services for the Police Department, authorizing the City Manager
to execute the same, and authorizing the Director of Finance/Treasurer to approve up to four additional one-
year extensions.
SUMMARY
On December 21, 2021, the City issued Request for Bid (RFB) # B09-22/23 to seek bids from vendors who
can provide vehicle outfitting services to the Police Department. The City received one bid by the January
20, 2022 submittal deadline from American Emergency Products, doing business as AEP-California LLC.
AEP-California LLC was selected because they are the only qualified vendor to meet the Police Department’s
vehicle outfitting requirements.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines because it will not result in a physical change in the environment;
2022/02/15 City Council Post Agenda Page 245 of 406
P a g e | 2
therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines, the activity is not subject to CEQA.
Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Pursuant to Section 2.56 of the Chula Vista Municipal Code outlining the City’s purchasing system, a Request
for Bid (RFB) # B09-22/23 was issued on December 21, 2021 to provide vehicle outfitting services for police
vehicles. The RFB outlined the vehicle outfitting service requirements and general conditions for the award
of contract. The RFB was advertised electronically on Planet Bids.
Vehicle outfitting services are required for Ford Utility Interceptors to make them fully marked black-and-
white patrol units and fully-equipped with lighting/siren systems, equipment console, computer mount and
radio communications. For this particular solicitation, the bid reached 176 vendors and 10 prospective
bidders downloaded the RFB. Only one response was deemed responsible and responsive, which was
submitted by AEP-California LLC.
The selection process of this RFB involved a thorough review to determine if the bid conforms to the
solicitation and if the bid is considered to be in the best interest of the City, with price, experience and service
delivery being considered. Based on this evaluation, the Police Department recommends awarding the
contract to AEP-California LLC to provide vehicle outfitting services to Police Department vehicles.
Since 2010, AEP-California LLC has been providing vehicle outfitting services to the Police Department for
their patrol vehicles. This vendor was selected because they are the only qualified vendor to meet the Police
Department’s vehicle outfitting requirements. On January 26, 2022, a notice of intent to award to AEP-
California LLC was posted on PlanetBids.
The agreement with AEP-California LLC covers an initial one-year period of February 15, 2022 through
February 14, 2023. This agreement may be extended by mutual consent for four (4) additional one (1) year
periods. Prices for vehicle outfitting services shall remain firm for the initial period of coverage (February
15, 2022 to February 14, 2023). Price increases for vehicle outfitting to be agreed upon during each annual
renewal, which is based upon current San Diego CPI and capped at a maximum of 5%. The maximum
expenditure for this agreement with AEP California LLC is $3,000,000.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the 500-foot rule found in California Code of Regulations Title 2, section 18702.2(a)(11), is not
applicable to this decision for purposes of determining a disqualifying real property-related financial conflict
of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
2022/02/15 City Council Post Agenda Page 246 of 406
P a g e | 3
Approval of this resolution allows the Police Department to receive vehicle outfitting services from AEP -
California LLC. These vehicle outfitting costs are already included in the City’s Infrastructure, Facilities and
Equipment expenditure plan (Measure P funding), resulting in no net fiscal impact to the General Fund.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact approving the contract for vehicle outfitting services.
ATTACHMENTS
Attachment 1: RFB # B09-22/23 to outfit Ford Utility Interceptor Vehicles for the Police Department
Attachment 2: Agreement with American Emergency Products to provide vehicle outfitting services for the
Police Department
Staff Contact: Jonathan Alegre, Police Department
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NOTICE TO BIDDERS
NOTICE IS HEREBY GIVEN, THAT SEALED PROPOSALS ON A FORM OBTAINED
FROM THE PURCHASING DIVISION VIA PLANETBIDS WILL BE RECEIVED UNTIL
11:00 A.M. ON FRIDAY THE 20th DAY OF JANUARY 2022.
OUTFITTING OF K8A 2017 FORD UTILITY INTERCEPTOR AWD
ALL RESPONSES MUST BE SENT ELECTRONICALLY VIA PLANETBIDS. NO
RESPONSES WILL BE ACCEPTED AFTER THE DATE AND TIME STATED IN THE IS
SOLIOCITATION.
All bidders must be registered with current contact information on PlanetBids. Bidders
must log in and download complete bid specifications from PlanetBids. Notification of
addendums will be sent via PlanetBids by:
Victor De La Cruz
Procurement Services Analyst
City of Chula Vista
vdelacruz@chulavistaca.gov
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BID REQUIREMENTS AND CONDITIONS
The bidder is required to examine all Bid Specifications, General Provisions for the work
required. It is further assumed that the bidder has investigated and is satisfied as to the
conditions to be encountered and quantities of work to be performed. It is mutually agreed
that submission of a bid shall be considered evidence that the bidder has made such an
examination. Include signed copies of page four and five, General Conditions with your bid
submission.
QUESTIONS
All questions are to be submitted through PlanetBids Tuesday, January 10, 2022 at 3:00 P.M.
Responses to questions will be posted through PlanetBids no later than 3:00 P.M. Thursday,
January 12, 2022. An email will be sent by PlanetBids when the responses are released.
SCHEDULE
Activity Date
RFP Posted to PlanetBids December 21, 2021
Question Submittal through PlanetBids January 10, 2022 no later than 3:00 P.M.
Response to Questions Released January 12, 2022 no later than 3:00 P.M.
RFP Response and Proposal Due January 20, 2022 no later than 11:00 A.M.
Selection of Consultant January/February 2022
Contract Inception February 2022
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SPECIFICATIONS
FOR
OUTFITTING OF K8A 2022 FORD UTILITY INTERCEPTOR AWD BASE
Please upload the attached Attachment “A” Pricing Sheet through PlanetBids with any additional
information you may want to include related to the vehicle. A vehicle diagram is required to identify
where your firm will install all items identified in Attachment A.
You may attach as many sheets of additional information as required, however do not make changes
to attachments other than the requested information.
If you experience technical difficulties uploading your response to the platform you must first
contact PlanetBids (818) 992-1771. If they are unable to resolve your issue you must contact Victor
De La Cruz by email before the closing date and time identified in this solicitation.
Outfitting and pricing information requested on the following items:
Attachment A
OUTFITTING OF K8A 2022 FORD UTILITY INTERCEPTOR AWD BASE (Attachment “A”)
Responses will be reviewed and evaluated based on the following (listed in alphabetical order not in
order of importance).
1. Lead-time (The date your firm receives the vehicle to the date it is delivered to the City)
2. Price
3. Reference Checks
4. Site Visit
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GENERAL CONDITIONS
Evaluation
The Purchasing Agent and the Director of Public Works Operations or designee will evaluate responses. The City
reserves the right to reject any or all responses and to waive any irregularity or informality in any response to the extent
permitted by law. All respondents are responsible for reading the attached specifications, terms and conditions,
Performance Standards, General Conditions, and General Provisions, which are considered part of your bid and any
contract awarded.
Award
It is the City’s intent to award this contract to a single contractor based on the primary services (as outlined on
PlanetBids). However; the city retains the ability to utilize alternate contractor/s in the event the awarded
contractor is unable to provide services in the time outlined by the city. The award will be made to the lowest,
responsive and responsible bidder who, in the City's sole judgement, has the necessary experience, skill,
business standing, equipment, staffing, and financial stability to properly maintain the City's bid. The extent to
which the respondent proposes to subcontract work will also be a consideration in award.
This RFB does not commit the City to award a contract, to pay any costs incurred in the preparation of the
proposal to this request, or to procure or contract for services or supplies. The City reserves the right to accept
or reject any or all proposals received as a result of this request, to negotiate with any qualified source, or to
cancel in part or entirely this RFB, if it is in the best interest of the City to do so. The City further reserves the
right to waive any technicalities or minor irregularities in bids received. The City may require the selected
respondent to participate in negotiations and to submit such price, technical or other revisions of their
proposals as may result from negotiations. The City shall be the sole judge in determining award of contract.
Local Business Consideration
According to the Chula Vista Municipal Code, Chapter 2.56.090, letter G, In accordance with Section 1011 of
the Charter, in the event two or more bids are received which are for the same total amount or unit price and
in all other respects are equal, the contract shall be awarded to a local respondent. In the event, however,
that such tie bids are all from vendors either wholly inside or all outside of the city, then the contract shall
be awarded by drawing lots in public. In evaluating bids for award, the City of Chula Vista considers the 1% sales
tax allocated back to the City from vendors located in Chula Vista.
Firm Prices
Prices shall remain firm for vehicles specifically listed for a minimum of ninety (90) days from the bid opening date.
PUBLIC DISCLOSURE
All proposals submitted in response to this RFQ become the property of the City and public records, and as such
may be subject to public review. Under the California Public Records Act (California Government Code Section
6250 et seq.) records in the custody of a public entity generally have to be disclosed unless the information being
sought falls into one or more of the exemptions to disclosure set out in Government Code Sections 6254 through
6255.
A cover letter should be provided with the Request for Bid containing a paragraph that states whether or not
Vendor believes that its proposal does or does not contain information that falls into one of the exemptions of
Government Code Sections 6254 through 6255 and whether or not Vendor considers such information to be
confidential.
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In the absence of a declaration, the City may be obligated to disclose the proposal to any party that requests it.
Regardless of assertions of confidentiality, proposal contents may still be disclosed if City, or a court with
jurisdiction, determines that such proposal is a public record requiring disclosure.
Payment Terms
Terms: ________%_________Days
Prompt payment discounts offered for less than fifteen (15) days will not be considered in evaluating bids for
award. However, discounts offered of less than fifteen (15) days will be taken if payment is made by the City
within the discount period. In the absence of terms, payment shall be Net Thirty (30) Days.
Payment Method
The City is changing our method of making payments. The preferred method is the use of a Credit Card. Is your
company authorized to accept payment made with the cards below?
American Express - Yes ____ No ____
MasterCard/VISA - Yes ____ No ____
Are there fees associated with accepting credit cards - _________________________________________________
Public Agency Participation
Other public agencies (e.g. city, county, public corporation, political subdivision, school district, or water authority)
may want to participate in any award as a result of this bid. The City of Chula Vista shall incur no financial
responsibility in connection with any purchase by another public agency. The public agency shall accept sole
responsibility for placing orders and making payments to the successful respondent. This option will not be
considered in bid evaluation. Please indicate whether this will be granted.
Yes ________ No ________
Business License
A Business License is required as outlined in the Chula Vista Municipal Code Section 5.02.020, which states: It is
unlawful for any person, or for any person as agent, clerk or employee, either for himself or for any other person,
within the corporate limits of the City, to transact, engage in, or carry on any business, show, exhibition or game
hereinafter specified without first having procured a license.
____________________
Signature
____________________
Date
This page must be completed and returned with response.
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BID GENERAL PROVISIONS
Please Read Carefully
These Provisions Are a Part of Your Bid and any Contract Awarded
The bidder agrees that:
A. Bidder has carefully examined the specifications, and all provisions relating to the item(s) to be furnished
or the work to be done; understands the meaning, intent, and requirements; and
B. Bidder will enter into a written contract and furnish the item(s) or complete the work in the time
specified, and in strict conformity with the City of Chula Vista specifications for the prices quoted.
Note: Bidder is defined as any individual, partnership, or corporation submitting a bid, proposal, or quotation in
response to a request for bid, request for proposal, or request for quotation. A bidder may also be
referred to as consultant, contractor, supplier, or vendor.
1. Prices
All prices and notations must be in ink or typewritten. Mistakes may be crossed out and corrections typed or
written with ink adjacent to the error; the person signing the bid must initial corrections in ink.
Bids shall indicate the unit price extended to indicate the total price for each item bid. Any difference
between the unit price correctly extended and the total price shown for all items bid shall be resolved in favor
of the unit prices, except when the bidder clearly indicates that the total price for all items bid is based on
consideration of being awarded the entire lot and that an adjustment of the total price is being made in
consideration of receiving the entire bid.
2. Bidder’s Security
A bid deposit in an amount equal to at least 10% of the bid may be required as a bid security by the City. The
bid security may only be in cash, a cashier’s check, a certified check made payable to the City of Chula Vista, or
a bidder’s bond. If the bid security is a bond, it shall be executed by a surety insurer authorized to issue surety
bonds in the State of California. The bid security must be executed by the bidder and enclosed with the bid
proposal in the sealed bid envelope.
3. Items Offered
If the item offered has a trade name, brand and/or catalog number, such shall be stated in the bid. If the
bidder proposes to furnish an item of a manufacturer or vendor other than that mentioned on the face hereof,
bidder must specify maker, brand, quality, catalog number, or other trade designation. Unless such is noted
on the bid form, it will be deemed that the item offered is that designated even though the bid may state or
equal.
4. Brand Names
Whenever reference to a specific brand name is made, it is intended to describe a component that has been
determined to best meet operational, performance, or reliability standards of the City, thereby incorporating
these standards by reference within the specifications. An equivalent (or equal) may be offered by the bidder,
subject to evaluation and acceptance by the City. It is the bidder’s responsibility to provide, at bidder’s
expense, samples, test data, or other documentation the City may require to fully evaluate and determine
acceptability of an offered substitute. The City reserves the sole right to reject a substituted component that
will not meet or exceed City standards.
5. Samples
Samples may be required for bid evaluation and testing purposes. Bidders shall agree to provide samples
within forty-eight (48) hours upon request and at no additional cost to the City
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6. Verify Quotations
Prices shall be verified prior to bid submittal, as withdrawal or correction may not be permitted after the bid
has been opened.
7. Firm Prices
Prices on bid shall be firm prices not subject to escalation. In the event the specifications provide for
escalation, the maximum limit shall be shown, or the bid shall not be considered. In the event of a decline in
market price below a price bid, the City of Chula Vista shall receive the benefit of such decline.
8. Modification or Withdrawal of Bids
Bids may be modified or withdrawn by written or facsimile notice received prior to the exact hour and date
specified for receipt of bid. A bid may also be withdrawn in person by a bidder, or authorized representative,
prior to the exact hour and date set for receipt of bids. Telephone withdrawals are not permitted.
9. Late Bids, Modifications, or Withdrawals
(a) Bids, modifications of bids, or bid withdrawals received after the exact time and date specified for receipt
will not be considered unless receipt is before the contract is awarded and the City determines that late
receipt was due solely to City error.
(b) Modification of a successful bid that makes the terms of the bid more favorable to the City will be
considered at any time.
10. Mistake in Bid
(a) If the bidder discovers a mistake in bid prior to the hour and date specified for receipt of bid, bidder may
correct the mistake by modifying or withdrawing the bid in accordance with Items 8 and 9 above.
(b) If within seventy-two hours of the bid closing and prior to the issuance of a purchase order or a contract,
the apparent low and best bidder discovers a mistake in bid of a serious and significant nature which is
unfavorable to bidder, bidder may request consideration be given to modifying the bid if it remains the
lowest bid or to withdrawal of the bid if the result of the correction of the mistake makes another bidder
lowest and best bidder. The mistake must be evident and provable. The right is reserved by the City to
reject any and all requests for correction of mistakes in bids received after the hour and date of the bid
closing. The decision of the Purchasing Agent is final as regards acceptance or rejection of requests for
correction of bids.
(c) A mistake in bid cannot be considered once a purchase order or contract is issued.
11. Signature
All bids shall be signed and the title and firm name indicated. A bid by a corporation shall be signed by an
authorized officer, employee or agent with his or her title.
12. No Bids
If no bid is to be submitted, the bid should be marked No Bid and returned to maintain the bidder’s name in
the vendor file for future solicitations. A letter or postcard may be submitted. If a bidder fails to respond to a
reasonable number of bids without returning a No Bid, the Purchasing Agent reserves the right to delete the
bidder from the vendor file for future solicitations.
13. Alternative Proposals
To be responsive to the bid, bidder must submit a proposal that meets all specific bid requirements. Once
bidder has proposed a product which is responsive to the specification, bidder may include with the bid any
additional proposals or alternative products that bidder believes can meet or exceed the City’s requirements
and that may offer additional advantages, benefits, or cost savings. The City reserves the right to evaluate,
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and accept or reject, such alternatives as though they were part of the original specifications without
advertising for further bids, when in the best interests of the City. Any awards so made will be based on
operational and cost analysis considerations that would result in the optimum economic advantage to the
City.
(a) Environmentally Preferable Purchasing (EPP)
The City of Chula Vista defines Environmentally Preferable Purchasing (EPP) as the procurement or
acquisition of goods and services that have a lesser or reduced effect on human health and the
environment when compared with competing goods or service that serve the same purpose. With few
exceptions, environmentally preferable products shall only be purchased when determined to be cost-
effective while considering a true cost during its lifecycle from use, management and disposal. EPP
requires attention to numerous environmental considerations, including energy efficiency,
postconsumer recycled content, water efficiency, low/zero hazardous substances and responsible
manufacturing, to name just a few. Testing and evaluation of environmentally preferable products is
one allowable exception and may be requested at any time during the solicitation process.
For more information, please consult the CalRecycle website at: https://www.calrecycle.ca.gov/epp.
14. Confidential Information
Any information deemed confidential or proprietary should be clearly identified by the bidder as such. It may
then be protected and treated with confidentiality only to the extent permitted by state law. Otherwise the
information shall be considered a public record. Information or data submitted with a bid will not be
returned.
15. Quality
Unless otherwise required in the specifications, all goods furnished shall be new and unused.
16. Litigation Warranty
The bidder, by bidding, warrants that bidder is not currently involved in litigation or arbitration concerning the
materials or bidder’s performance concerning the same or similar material or service to be supplied pursuant
to this contract of specification, and that no judgments or awards have been made against bidder on the basis
of bidder’s performance in supplying or installing the same or similar material or service, unless such fact is
disclosed to the City in the bid. Disclosure may not disqualify the bidder. The City reserves the right to
evaluate bids on the basis of the facts surrounding such litigation or arbitration and to require bidder to
furnish the City with a surety bond executed by a surety company authorized to do business in the State of
California and approved by The City of Chula Vista in a sum equal to one hundred percent (100%) of the
contract price conditional on the faithful performance by bidder of the contract in the event the bid is
awarded to bidder, notwithstanding the litigation or arbitration.
17. Royalties, Licenses and Patents
Unless otherwise specified, the bidder shall pay all royalties, license and patent fees. The bidder warrants that
the materials to be supplied do not infringe any patent, trademark or copyright and further agrees to defend
any and all suits, actions and claims for infringement that are brought against the City, and to defend,
indemnify and hold harmless the City from all loss or damages, whether general, exemplary or punitive, as a
result of any actual or claimed infringement asserted against the City, the bidder or those furnishing material
to bidder pursuant to this contract.
18. Performance Standards
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Performance of work and acceptability of equipment or materials supplied pursuant to any contract or award
shall be to the satisfaction of the City.
19. Warranties
(a) All material, labor or equipment provided under the contract shall be warranted by bidder and/or
manufacturer for at least twelve (12) months after acceptance by City. Greater warranty protection will
be accepted. Lesser warranty protection must be indicated by bidder on the bid proposal as an exception
(b) Bidder shall be considered primarily responsible to the City for all warranty service, parts and labor
applicable to the goods or equipment provided by bidder under this bid or award, irrespective of whether
bidder is an agent, broker, fabricator or manufacturer’s dealer. Bidder shall be responsible for ensuring
that warranty work is performed at a local agency or facility convenient to City and that services, parts
and labor are available and provided to meet City’s schedules and deadlines. City may require bidder to
post a performance bond after contract award to guarantee performance of these obligations. Bidder
may establish a service contract with a local agency satisfactory to City to meet this obligation if bidder
does not ordinarily provide warranty service.
20. Addenda
The effect of all addenda to the bid documents shall be considered in the bid, and said addenda shall be made
part of the bid documents and shall be returned with them. Before submitting a bid, each bidder shall
ascertain whether or not any addenda have been issued, and failure to cover in this bid any such addenda
issued may render the bid invalid and result in its rejection.
21. Specifications to Prevail
The detailed requirements of the specifications shall supersede any conflicting reference in these General
Provisions that are in conflict therewith.
22. Taxes
The City will furnish Exemption Certificates for Federal Excise Tax. The City is liable for State, City and County
Sales Taxes. Do not include this tax in the amount bid. However, tax is to be added by the successful bidder
to the net amount invoiced. All or any portion of the City Sales Tax returned to the City will be considered in
the evaluation of bids.
23. Conflict of Interest
No City employee or elected or appointed member of City government, or member of the employee’s
immediate family, may participate directly or indirectly in the procurement process pertaining to this bid if
they:
(a) Have a financial interest or other personal interest that is incompatible with the proper discharge of their
official duties in the public interest or would tend to impair their independence, judgment or action in the
performance of their official duties.
(b) Are negotiating for or have an arrangement concerning prospective employment with bidder. The bidder
warrants to the best of his knowledge that the submission of the bid will not create such conflict of
interest. In the event such a conflict occurs, the bidder is to report it immediately to the Purchasing Agent.
For breach or violation of this warranty, the City shall have the right to annul this contract without liability
at its discretion, and bidder may be subject to damages and/or debarment or suspension.
24. Gratuities
The City may rescind the right of the bidder to proceed under this agreement if it is found that gratuities in the
form of entertainment, gifts, or otherwise are offered or given by the bidder, or any agent or representative of
the bidder, to any officer or employee of the City with the intent of influencing award of this agreement or
securing favorable treatment with respect to performance of this agreement.
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25. Faithful Performance Bond
Successful bidder may be required to furnish the City with a surety bond conditioned upon the faithful
performance of the contract. This may take the form of a bond executed by a surety company authorized to
do business in the State of California and approved by the City of Chula Vista, an endorsed Certificate of
Deposit, or a money order or a certified check drawn on a solvent bank. The bond shall be in a sum equal to
one hundred percent (100%) of the amount of the contract price. Such bond or deposit shall be forfeited to
the City in the event that bidder receiving the contract shall fail or refuse to fulfill the requirements and all
terms and conditions of the contract.
26. Insurance
Bidder shall provide proof of liability and property damage insurance prior to performance of duties.
Coverage shall be from a company authorized to transact business in the State of California and shall be in an
amount not less than $1,000,000 combined single limit (CSL), unless otherwise specified. The City of Chula
Vista shall be named as an additional insured and thirty (30) days notice of cancellation shall be indicated.
Worker’s Compensation coverage for each employee engaged in work on City premises is required. Bidder is
solely responsible for all insurance premium payments.
27. Indemnification
Bidder shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers,
employees, and agents, from and against all claims for damages, liability, and expenses (including attorney’s
fees) arising out of this agreement and/or bidder’s performance hereunder, except as to such damages,
liability, and expenses due to the sole negligence or willful acts of the City, its officers, employees or agents.
28. Award of Contract
(a) Bids will be analyzed and award will be made to the lowest, responsive and responsible bidder whose bid
conforms to the solicitation and whose bid is considered to be most advantageous to the City, price and
other factors considered. Factors to be considered may include, but are not limited to: bidder’s past
performance, total unit cost, economic cost analysis, life cycle costs, warranty and quality, maintenance
cost, durability, the operational requirements of the City and any other factors which will result in the
optimum economic benefit to the City.
(b) The City reserves the right to reject any item or items, to waive informalities, technical defects and minor
irregularities in bids received; and to select the bid(s) deemed most advantageous to the City. The City
will, however, consider bids submitted on an “all or nothing” basis if the bid is clearly designated as such.
(c) The City reserves the right to award one or more contracts on the bids submitted, either by award of all
items to one bidder or by award of separate items or groups of items to various bidders as the interests of
the City may require, unless the bidder clearly specifies otherwise in his bid.
(d) For the purpose of evaluating bids for multiple awards, the sum of $100.00 is considered to be the
administrative cost to the City for issuing and administering each contract awarded under this solicitation,
and individual awards will be made for the items and combinations of items which result in the lowest
aggregate price to the City, including such administrative cost.
(e) Upon acceptance by the City of Chula Vista, the solicitation, bid, proposal, or price quotation and a
purchase order issued to the successful bidder shall be deemed to result in a binding contract
incorporating those terms and these General Provisions without further action required by either party.
Items are to be furnished as described in the bid and in strict conformity with all instructions, conditions,
specifications, and provisions in the complete contract, as defined by this clause 28 or any related
integrated agreement.
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29. Bid Results
To obtain bid results, either (1) attend bid opening or (2) referencing bid number a bid tabulation will be
emailed to you upon verification of extensions or (3) visit the Purchasing Department no sooner than three (3)
working days after bid opening to review bid tabulation. Due to time constraints, bid results cannot be given
out over the phone.
30. Protests
Protests by unsuccessful bidders to the selection for award shall be submitted in writing to the Purchasing
Agent no later than ten (10) calendar days after award recommendation. The unsuccessful bidder shall have
the right to appear at the City Council to protest any award to be confirmed by Council. Failure to submit a
timely written protest to the Purchasing Agent shall bar consideration of such protest.
31. Documentation
Due to the time constraints that affect contract performance, all required documents, certificates of insurance
and bonds shall be provided to the City within ten (10) calendar days following award or date of request by
City, whichever is later. Any failure to comply may result in bid being declared non-responsive and rejected,
and at City’s option the bid bond may be attached for damages suffered.
32. Discounts
(a) Prompt payment discounts offered for payment within less than fifteen (15) calendar days will not be
considered in evaluating bids for award. However, offered discounts of less than 15 days will be taken if
payment is made within the discount period, even though not considered in the evaluation of bids.
(b) In connection with any discount offered, time will be computed from date of delivery and acceptance, or
invoice receipt, whichever is later. Payment is deemed to be made for the purpose of earning the
discount on the date of mailing of the City check.
(c) Any discount offered other than for prompt payment should be included in the net price quoted and not
included in separate terms. In the event this is not done, the City reserves the right to accept the discount
offered and adjust prices accordingly on the Purchase Order.
33. Seller’s Invoice
Invoices shall be prepared and submitted in duplicate to address shown on the Purchase Order. Separate
invoices are required for each Purchase Order. Invoices shall contain the following information: Purchase
Order number, item number, description of supplies or services, sizes, unit of measure, quantity, unit price
and extended totals.
34. Inspection and Acceptance
Inspection and acceptance will be at destination unless specified otherwise, and will be made by the City
department shown in the shipping address or other duly authorized representative of the City. Until delivery
and acceptance, and after any rejection, risk of loss will be on the bidder unless loss results from negligence of
the City.
35. Lost and Damaged Shipments
Risk of loss or damage to items prior to the time of their receipt and acceptance by the City is upon the bidder.
The City has no obligation to accept damaged shipments and reserves the right to return at the bidder’s
expense damaged merchandise even though the damage was not apparent or discovered until after receipt of
the items.
36. Late Shipments
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Bidder is responsible to notify the City department receiving the items and the Purchasing Agent of any late or
delayed shipments. The City reserves the right to cancel all or any part of an order if the shipment is not made
as promised.
37. Document Ownership
(a) All technical documents and records originated or prepared pursuant to this contract, including papers,
reports, charts, and computer programs, shall be delivered to and become the exclusive property of the
City and may be copyrighted by the City. Bidder assigns all copyrights to City by undertaking this
agreement.
(b) All inventions, discoveries, enhancements, changes, or improvements of computer programs developed
pursuant to this contract shall be the property of the City, and all patents or copyrights shall be assigned
to City, unless otherwise agreed. Bidder agrees that City may make modifications to computer software
furnished by bidder without infringing bidder’s copyright or any license granted to City.
38. Advertisements, Product Endorsements
City employees and agencies or organizations funded by the City of Chula Vista are prohibited from making
endorsements, either implied or direct, of commercial products or services without written approval of the
City Manager. No bidder may represent that the City of Chula Vista has endorsed their product or service
without the Purchasing Agent’s prior written approval.
39. City Provisions to Prevail
Except as indicated in the specifications, the City’s standard General Provisions shall govern any contract
award. Any standard terms and conditions of bidder submitted by bidder shall not be acceptable to City unless
expressly agreed to by the City. The City reserves the right to reject bidder’s bid as non-responsive, to
consider the bid without bidder’s standard terms and conditions, or to require bidder to delete reference to
such as a condition of evaluation or award of the bid. If, after award of contract, bidder (contract vendor)
shall provide materials or services accompanied by new or additional standard terms or conditions, they too
shall be considered void and City may require deletion as a further condition of performance by vendor. To
the extent not otherwise provided for by the contract documents, the California Commercial Code shall apply.
40. Invalid Provisions
In the event that any one or more of the provisions of this agreement shall be found to be invalid, illegal or
unenforceable, the remaining provisions shall remain in effect and be enforceable.
41. Amendments and Modifications
The Purchasing Agent may at any time, by written order, and without notice to the sureties, make a
modification to the contract or an amendment to the Purchase Order, within the general scope of this
contract, in (1) quantity of materials or service, whether more or less; (2) drawings, designs, or specifications,
where the supplies to be furnished are to be specially manufactured for the City; (3) method of shipment or
packing; and (4) place of delivery. If any such change causes an increase or decrease in the cost or the time
required for the performance of this contract, an equitable adjustment shall be made by written modification
of the contract or amendment to the Purchase Order. Any claim by the bidder for adjustment under this
clause must be asserted within 30 calendar days from the notification date.
42. Assignment
Vendor shall not assign or delegate duties or responsibilities under this agreement, in whole or in part,
without prior written approval of the City.
43. Disputes
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Except as otherwise provided in these provisions, any dispute concerning a question of fact arising under this
contract which is not disposed of by agreement shall be decided by the Purchasing Agent, who shall reduce
this decision to writing and mail a copy to the bidder. The decision of the Purchasing Agent shall be final and
conclusive, unless bidder requests mediation within ten (10) calendar days. Pending final decision of a
dispute,
the bidder shall proceed diligently with the performance of the contract and in accordance with the
Purchasing Agent’s decision.
44. Mediation
Should an unresolved dispute arise out of this agreement, any party may request that it be submitted to
mediation. The parties shall meet in mediation within thirty (30) days of a request. The mediator shall be
agreed to by the mediating parties; in the absence of an agreement, the parties shall each submit one name
from mediators listed by either the American Arbitration Association, the California State Board of Mediation
and Conciliation, or other agreed-upon service. The mediator shall be selected by a Blindfold@ process.
The cost of mediation shall be borne equally by both parties. Neither party shall be deemed the prevailing
party. No party shall be permitted to file a legal action without first meeting in mediation and making a good
faith attempt to reach a mediated settlement. The mediation process, once commenced by a meeting with
the mediator, shall last until agreement is reached by the parties but not more than sixty (60) days, unless the
maximum time is extended by both parties.
45. Lawful Performance
Vendor shall abide by all Federal, State and Local Laws, Ordinances, Regulations, and Statutes as may be
related to the performance of duties under this agreement. In addition, all applicable permits and licenses
required shall be obtained by the vendor, at vendor’s sole expense.
46. Business License
Chula Vista Municipal Code Section 5.02.020 requires all vendors doing business with the City to obtain a
Business License. Section 5.02.20 states: It is unlawful for any person, or for any person as agent, clerk or
employee, either for himself or for any other person, within the corporate limits of the City, to transact, engage
in, or carry on any business, show, exhibition or game hereinafter specified without first having procured a
license.
47. Annual Appropriation of Funds
Multi-year term supply and service contracts and leases are subject to annual appropriation of funds by the
City Council. Payments made under term contracts and leases are considered items of current expense.
Purchase Orders are funded when issued; therefore, they are current expense items and are not subject to
any subsequent appropriation of funds.
In the event sufficient funds are not appropriated for the payment of lease payments or anticipated term
contract payments required to be paid in the next occurring lease or contract term, and if no funds are legally
available from other sources, the lease or contract may be terminated at the end of the original term or
renewal term and the City shall not be obligated to make further payments beyond the then current original
or renewal term. The City will provide notice of its inability to continue the lease or contract at such time as
the Purchasing Agent is aware of the non-appropriation of funds. However, failure to notify does not renew
the term of the lease or contract. The City has no monetary obligation in event of termination or reduction of
a term contract since such contracts represent estimated quantities and is not funded as a contract except to
the extent of the Purchase Orders issued.
48. Extension
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When in the City’s best interest, this agreement may be extended on a daily, month-to-month, or annual basis
by mutual agreement of both parties. Services and/or materials received under an extension shall be in
accordance with pricing, terms, and conditions, as described herein.
49. Debarment
The Purchasing Agent may recommend to the City Council that the person or business be debarred from
consideration for award of contracts. The period of debarment will be contingent upon the severity of cause.
Causes for debarment include:
(a) Conviction under state or federal statutes of embezzlement, theft, forgery, bribery, falsification or
destruction of records, receiving stolen property, or other offense indicating a lack of business integrity or
business honesty
(b) Violation of contract provisions which is regarded by the Purchasing Agent to be so serious as to justify
debarment action, including:
(1) Deliberate failure without good cause to perform in accordance with the specifications or within
the time limit provided in the contract; or
(2) A recent record of failure to perform or of unsatisfactory performance in accordance with the
terms of one or more contracts;
(3) Two or more claims of computational error in bid submission within a two year period.
(c) Debarment by another governmental entity.
(d) Any other cause the Purchasing Agent deems to be so serious and compelling as to affect responsibility as
a City bidder. A bidder may be permanently debarred for the following causes:
(1) Collusion in bidding.
(2) Conviction for commission of a criminal offense as an incident to obtaining or attempting to obtain
a contract or subcontract with the City of Chula Vista or in the performance of such contract or
subcontract.
(3) Conviction under State or Federal antitrust statutes arising out of the submission of bids or
proposals.
50. Termination
The City may terminate this agreement and be relieved of any consideration to the vendor should vendor fail
to perform in the manner required. Furthermore, the City may terminate this agreement for any reason
without penalty upon giving thirty (30) days written notice to the vendor. In the event of termination, the full
extent of City liability shall be limited to an equitable adjustment and payment for materials and/or services
authorized by and received to the satisfaction of the City prior to termination.
51. Venue
This agreement shall be governed by and interpreted according to the laws of the State of California, and
venue for any proceeding shall be in the County of San Diego.
(REV October 2018)
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THE CITY’S STANDARD 2-PARTY AGREEMENT FOR CONTRACTOR/SERVICE PROVIDER SERVICES
IS ATTACHED FOR REVIEW. THE CITY WILL CONSIDER ANY NOTED EXCEPTIONS WHILE MAKING
THEIR SELECTION.
CITY OF CHULA VISTA
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
WITH CONTRACTOR/SERVICE PROVIDER NAME
TO PROVIDE [SERVICES TO BE PROVIDED]
This Agreement is entered into effective as of Enter Date (“Effective Date”) by and between the
City of Chula Vista, a chartered municipal corporation (“City”) and Contractor/Service
Provider Name, Entity Type (e.g. A California Corporation) (“Contractor/Service Provider”)
(collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, Enter Recitals To Describe Basis For Service – See example below; and
WHEREAS, Enter Recitals To Describe Contractor/Service Provider Selection Process –
See example below; and
Enter Additional Recitals As Needed Or Delete This Line
WHEREAS, Contractor/Service Provider warrants and represents that it is experienced
and staffed in a manner such that it can deliver the services required of Contractor/Service
Provider to City in accordance with the time frames and the terms and conditions of this
Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
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OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained
herein, and other good and valuable consideration, the receipt and sufficiency of which the
Parties hereby acknowledge, City and Contractor/Service Provider hereby agree as follows:
1. SERVICES
1.1 Required Services. Contractor/Service Provider agrees to perform the services, and
deliver to City the “Deliverables” (if any) described in the attached Exhibit A, incorporated
into the Agreement by this reference, within the time frames set forth therein, time being of
the essence for this Agreement. The services and/or Deliverables described in Exhibit A shall
be referred to herein as the “Required Services.”
1.2 Reductions in Scope of Work. City may independently, or upon request from
Contractor/Service Provider, from time to time, reduce the Required Services to be
performed by the Contractor/Service Provider under this Agreement. Upon doing so, City
and Contractor/Service Provider agree to meet and confer in good faith for the purpose of
negotiating a corresponding reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies,
procedures and ordinances governing procurement and purchasing authority, City may
request Contractor/Service Provider provide additional services related to the Required
Services (“Additional Services”). If so, City and Contractor/Service Provider agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the
Additional Services. Unless otherwise agreed, compensation for the Additional Services
shall be charged and paid consistent with the rates and terms already provided therein. Once
added to Exhibit A, “Additional Services” shall also become “Required Services” for
purposes of this Agreement.
1.4 Standard of Care. Contractor/Service Provider expressly warrants and agrees that any
and all Required Services hereunder shall be performed in accordance with the highest
standard of care exercised by members of the profession currently practicing under similar
conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood
to be conceptual approval only and does not relieve the Contractor/Service Provider of
responsibility for complying with all laws, codes, industry standards, and liability for
damages caused by negligent acts, errors, omissions, noncompliance with industry standards,
or the willful misconduct of the Contractor/Service Provider or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for
Contractor/Service Provider to provide additional security for performance of its duties under
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this Agreement, Contractor/Service Provider shall provide such additional security prior to
commencement of its Required Services in the form and on the terms prescribed on Exhibit
A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services,
Contractor/Service Provider shall comply with any and all applicable federal, state and local
laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Contractor/Service Provider
shall obtain a business license from City.
1.9 Subcontractors. Prior to commencement of any work, Contractor/Service Provider
shall submit for City’s information and approval a list of any and all subcontractors to be
used by Contractor/Service Provider in the performance of the Required Services.
Contractor/Service Provider agrees to take appropriate measures necessary to ensure that all
subcontractors and personnel utilized by the Contractor/Service Provider to complete its
obligations under this Agreement comply with all applicable laws, regulations, ordinances,
and policies, whether federal, state, or local. In addition, if any subcontractor is expected to
fulfill any responsibilities of the Contractor/Service Provider under this Agreement,
Contractor/Service Provider shall ensure that each and every subcontractor carries out the
Contractor/Service Provider’s responsibilities as set forth in this Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date
or Contractor/Service Provider’s commencement of the Required Services hereunder, and
shall terminate when the Parties have complied with all their obligations hereunder;
provided, however, provisions which expressly survive termination shall remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to
compensate Contractor/Service Provider in the amount(s) and on the terms set forth in
Exhibit A, Section 4. Standard terms for billing and payment are set forth in this Section 2.
2.2 Detailed Invoicing. Contractor/Service Provider agrees to provide City with a detailed
invoice for services performed each month, within thirty (30) days of the end of the month in
which the services were performed, unless otherwise specified in Exhibit A. Invoicing shall
begin on the first of the month following the Effective Date of the Agreement. All charges
must be presented in a line item format with each task separately explained in reasonable
detail. Each invoice shall include the current monthly amount being billed, the amount
invoiced to date, and the remaining amount available under any approved budget.
Contractor/Service Provider must obtain prior written authorization from City for any fees or
expenses that exceed the estimated budget.
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2.3 Payment to Contractor/Service Provider. Upon receipt of a properly prepared invoice
and confirmation that the Required Services detailed in the invoice have been satisfactorily
performed, City shall pay Contractor/Service Provider for the invoice amount within thirty
(30) days. Payment shall be made in accordance with the terms and conditions set forth in
Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Retention Policy. City shall retain ten percent (10%) of the amount due for Required
Services detailed on each invoice (the “holdback amount”). Upon City review and
determination of Project Completion, the holdback amount will be issued to
Contractor/Service Provider.
2.5 Reimbursement of Costs. City may reimburse Contractor/Service Provider’s out-of-
pocket costs incurred by Contractor/Service Provider in the performance of the Required
Services if negotiated in advance and included in Exhibit A. Unless specifically provided in
Exhibit A, Contractor/Service Provider shall be responsible for any and all out-of-pocket
costs incurred by Contractor/Service Provider in the performance of the Required Services.
2.6 Exclusions. City shall not be responsible for payment to Contractor/Service Provider
for any fees or costs in excess of any agreed upon budget, rate or other maximum amount(s)
provided for in Exhibit A. City shall also not be responsible for any cost: (a) incurred prior
to the Effective Date; or (b) arising out of or related to the errors, omissions, negligence or
acts of willful misconduct of Contractor/Service Provider, its agents, employees, or
subcontractors.
2.7 Payment Not Final Approval. Contractor/Service Provider understands and agrees
that payment to the Contractor/Service Provider or reimbursement for any Contractor/Service
Provider costs related to the performance of Required Services does not constitute a City
final decision regarding whether such payment or cost reimbursement is allowable and
eligible for payment under this Agreement, nor does it constitute a waiver of any violation by
Contractor/Service Provider of the terms of this Agreement. If City determines that
Contractor/Service Provider is not entitled to receive any amount of compensation already
paid, City will notify Contractor/Service Provider in writing and Contractor/Service Provider
shall promptly return such amount.
3. INSURANCE
3.1 Required Insurance. Contractor/Service Provider must procure and maintain, during
the period of performance of Required Services under this Agreement, and for twelve months
after completion of Required Services, the policies of insurance described on the attached
Exhibit B, incorporated into the Agreement by this reference (the “Required Insurance”).
The Required Insurance shall also comply with all other terms of this Section.
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3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions
relating to the Required Insurance must be disclosed to and approved by City in advance of
the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers
admitted to transact business in the State of California with a current A.M. Best’s rating of A
V or better, or, if insurance is placed with a surplus lines insurer, insurer must be listed on the
State of California List of Eligible Surplus Lines Insurers (LESLI) with a current A.M. Best’s
rating of no less than A X. For Workers’ Compensation Insurance, insurance issued by the
State Compensation Fund is also acceptable.
3.4 Subcontractors. Contractor/Service Provider must include all sub-Contractor/Service
Providers/sub-contractors as insureds under its policies and/or furnish separate certificates
and endorsements demonstrating separate coverage for those not under its policies. Any
separate coverage for sub-Contractor/Service Providers must also comply with the terms of
this Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers
must be named as additional insureds with respect to any policy of general liability,
automobile, or pollution insurance specified as required in Exhibit B or as may otherwise be
specified by City’s Risk Manager.. The general liability additional insured coverage must be
provided in the form of an endorsement to the Contractor/Service Provider’s insurance using
ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude
Products/Completed Operations coverage.
3.6 General Liability Coverage to be “Primary.” Contractor/Service Provider’s general
liability coverage must be primary insurance as it pertains to the City, its officers, officials,
employees, agents, and volunteers. Any insurance or self-insurance maintained by the City,
its officers, officials, employees, or volunteers is wholly separate from the insurance
provided by Contractor/Service Provider and in no way relieves Contractor/Service Provider
from its responsibility to provide insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party
during the required insured period under this Agreement, except after thirty days’ prior
written notice to the City by certified mail, return receipt requested. Prior to the effective
date of any such cancellation Contractor/Service Provider must procure and put into effect
equivalent coverage(s).
3.8 Waiver of Subrogation. Contractor/Service Provider’s insurer(s) will provide a
Waiver of Subrogation in favor of the City for each Required Insurance policy under this
Agreement. In addition, Contractor/Service Provider waives any right it may have or may
obtain to subrogation for a claim against City.
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3.9 Verification of Coverage. Prior to commencement of any work, Contractor/Service
Provider shall furnish City with original certificates of insurance and any amendatory
endorsements necessary to demonstrate to City that Contractor/Service Provider has obtained
the Required Insurance in compliance with the terms of this Agreement. The words “will
endeavor” and “but failure to mail such notice shall impose no obligation or liability of any
kind upon the company, its agents, or representatives” or any similar language must be
deleted from all certificates. The required certificates and endorsements should otherwise be
on industry standard forms. The City reserves the right to require, at any time, complete,
certified copies of all required insurance policies, including endorsements evidencing the
coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos
Pollution Liability and/or Errors & Omissions coverage are required and are provided on a
claims-made form, the following requirements also apply:
a. The “Retro Date” must be shown, and must be before the date of this Agreement
or the beginning of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at
least five (5) years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-
made policy form with a “Retro Date” prior to the effective date of this Agreement, the
Contractor/Service Provider must purchase “extended reporting” coverage for a minimum of
five (5) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for
review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall
not be construed to limit the Contractor/Service Provider’s obligations under this Agreement,
including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by
Contractor/Service Provider maintains higher limits than the minimums appearing in Exhibit
B, City requires and shall be entitled to coverage for higher limits maintained.
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4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Contractor/Service Provider shall
protect, defend, indemnify and hold harmless City, its elected and appointed officers, agents,
employees and volunteers (collectively, “Indemnified Parties”), from and against any and all
claims, demands, causes of action, costs, expenses, (including reasonable attorneys’ fees and
court costs), liability, loss, damage or injury, in law or equity, to property or persons,
including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Contractor/Service Provider, its officials,
officers, employees, agents, and contractors, arising out of or in connection with the
performance of the Required Services, the results of such performance, or this Agreement.
This indemnity provision does not include any claims, damages, liability, costs and expenses
arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the
active or passive negligent acts or omissions of the Indemnified Parties which may be in
combination with the active or passive negligent acts or omissions of the Contractor/Service
Provider, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services.
Notwithstanding the forgoing, if the services provided under this Agreement are design
professional services, as defined by California Civil Code section 2782.8, as may be
amended from time to time, the defense and indemnity obligation under Section 1, above,
shall be limited to the extent required by California Civil Code section 2782.8.
4.3 Costs of Defense and Award. Included in Contractor/Service Provider’s obligations
under this Section 4 is Contractor/Service Provider’s obligation to defend, at
Contractor/Service Provider’s own cost, expense and risk, any and all suits, actions or other
legal proceedings that may be brought or instituted against one or more of the Indemnified
Parties. Subject to the limitations in this Section 4, Contractor/Service Provider shall pay and
satisfy any judgment, award or decree that may be rendered against one or more of the
Indemnified Parties for any and all related legal expenses and costs incurred by any of them.
4.4. Contractor/Service Provider’s Obligations Not Limited or Modified.
Contractor/Service Provider’s obligations under this Section 4 shall not be limited to
insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Contractor/Service Provider. Furthermore, Contractor/Service Provider’s
obligations under this Section 4 shall in no way limit, modify or excuse any of
Contractor/Service Provider’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Contractor/Service Provider agrees to pay any and all costs City
incurs in enforcing Contractor/Service Provider’s obligations under this Section 4.
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4.6 Survival. Contractor/Service Provider’s obligations under this Section 4 shall survive
the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONTRACTOR/SERVICE PROVIDER.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of
Interest Code require certain government officials and Contractor/Service Providers
performing work for government agencies to publicly disclose certain of their personal assets
and income using a Statement of Economic Interests form (Form 700). In order to assure
compliance with these requirements, Contractor/Service Provider shall comply with the
disclosure requirements identified in the attached Exhibit C, incorporated into the Agreement
by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Contractor/Service Provider
is required to file a Form 700, Contractor/Service Provider warrants and represents that it has
disclosed to City any economic interests held by Contractor/Service Provider, or its
employees or subcontractors who will be performing the Required Services, in any real
property or project which is the subject of this Agreement. Contractor/Service Provider
warrants and represents that it has not employed or retained any company or person, other
than a bona fide employee or approved subcontractor working solely for Contractor/Service
Provider, to solicit or secure this Agreement. Further, Contractor/Service Provider warrants
and represents that it has not paid or agreed to pay any company or person, other than a bona
fide employee or approved subcontractor working solely for Contractor/Service Provider,
any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon
or resulting from the award or making of this Agreement. Contractor/Service Provider further
warrants and represents that no officer or employee of City, has any interest, whether
contractual, non-contractual, financial or otherwise, in this transaction, the proceeds hereof,
or in the business of Contractor/Service Provider or Contractor/Service Provider’s
subcontractors. Contractor/Service Provider further agrees to notify City in the event any
such interest is discovered whether or not such interest is prohibited by law or this
Agreement. For breach or violation of any of these warranties, City shall have the right to
rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Contractor/Service Provider
shall fail to perform the Required Services under this Agreement, in a proper or timely
manner, or if Contractor/Service Provider shall violate any of the other covenants,
agreements or conditions of this Agreement (each a “Default”), in addition to any and all
other rights and remedies City may have under this Agreement, at law or in equity, City shall
have the right to terminate this Agreement by giving five (5) days written notice to
Contractor/Service Provider. Such notice shall identify the Default and the Agreement
termination date. If Contractor/Service Provider notifies City of its intent to cure such
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Default prior to City’s specified termination date, and City agrees that the specified Default
is capable of being cured, City may grant Contractor/Service Provider up to ten (10)
additional days after the designated termination date to effectuate such cure. In the event of a
termination under this Section 6.1, Contractor/Service Provider shall immediately provide
City any and all ”Work Product” (defined in Section 7 below) prepared by
Contractor/Service Provider as part of the Required Services. Such Work Product shall be
City’s sole and exclusive property as provided in Section 7 hereof. Contractor/Service
Provider may be entitled to compensation for work satisfactorily performed prior to
Contractor/Service Provider’s receipt of the Default notice; provided, however, in no event
shall such compensation exceed the amount that would have been payable under this
Agreement for such work, and any such compensation shall be reduced by any costs incurred
or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate
this Agreement, or any portion of the Required Services, at any time and for any reason, with
or without cause, by giving specific written notice to Contractor/Service Provider of such
termination or suspension at least fifteen (15) days prior to the effective date thereof. Upon
receipt of such notice, Contractor/Service Provider shall immediately cease all work under
the Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City.
Such Work Product shall be City's sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider shall be entitled to receive just and equitable
compensation for this Work Product in an amount equal to the amount due and payable under
this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in
advance that would maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the
terms of this Section, Contractor/Service Provider hereby expressly waives any and all
claims for damages or compensation as a result of such termination except as expressly
provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be
brought arising out of this Agreement against City unless a claim has first been presented in
writing and filed with City and acted upon by City in accordance with the procedures set
forth in Chapter 1.34 of the Chula Vista Municipal Code, as same may be amended, the
provisions of which, including such policies and procedures used by City in the
implementation of same, are incorporated herein by this reference. Upon request by City,
Contractor/Service Provider shall meet and confer in good faith with City for the purpose of
resolving any dispute over the terms of this Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in
accordance with the laws of the State of California. Any action arising under or relating to
this Agreement shall be brought only in San Diego County, State of California.
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6.6 Service of Process. Contractor/Service Provider agrees that it is subject to personal
jurisdiction in California. If Contractor/Service Provider is a foreign corporation, limited
liability company, or partnership that is not registered with the California Secretary of State,
Contractor/Service Provider irrevocably consents to service of process on Contractor/Service
Provider by first class mail directed to the individual and address listed under “For Legal
Notice,” in section 1.B. of Exhibit A to this Agreement, and that such service shall be
effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems
and any other materials or properties produced in whole or in part under this Agreement in
connection with the performance of the Required Services (collectively “Work Product”)
shall be the sole and exclusive property of City. No such Work Product shall be subject to
private use, copyrights or patent rights by Contractor/Service Provider in the United States or
in any other country without the express, prior written consent of City. City shall have
unrestricted authority to publish, disclose, distribute, and otherwise use, copyright or patent,
in whole or in part, any such Work Product, without requiring any permission of
Contractor/Service Provider, except as may be limited by the provisions of the Public
Records Act or expressly prohibited by other applicable laws. With respect to computer files
containing data generated as Work Product, Contractor/Service Provider shall make available
to City, upon reasonable written request by City, the necessary functional computer software
and hardware for purposes of accessing, compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both
Parties.
8.2 Assignment. City would not have entered into this Agreement but for
Contractor/Service Provider’s unique qualifications and traits. Contractor/Service Provider
shall not assign any of its rights or responsibilities under this Agreement, nor any part hereof,
without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Contractor/Service Provider
warrants and represents that they have the authority to execute same on behalf of
Contractor/Service Provider and to bind Contractor/Service Provider to its obligations
hereunder without any further action or direction from Contractor/Service Provider or any
board, principle or officer thereof.
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8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall
be deemed an original, but all of which shall constitute one Agreement after each Party has
signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and
other agreements expressly referred to herein, constitutes the entire Agreement between the
Parties with respect to the subject matter contained herein. All exhibits referenced herein
shall be attached hereto and are incorporated herein by reference. All prior or
contemporaneous agreements, understandings, representations, warranties and statements,
oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years
following completion of the Required Services, Contractor/Service Provider agrees to
maintain, intact and readily accessible, all data, documents, reports, records, contracts, and
supporting materials relating to the performance of the Agreement, including accounting for
costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-Contractor/Service Providers.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute
and deliver such additional documents and instruments as may be reasonably required in
order to carry out the provisions of this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Contractor/Service Provider is and shall at all times remain
as to City a wholly independent contractor. Neither City nor any of its officers, employees,
agents or volunteers shall have control over the conduct of Contractor/Service Provider or
any of Contractor/Service Provider’s officers, employees, or agents (“Contractor/Service
Provider Related Individuals”), except as set forth in this Agreement. No Contractor/Service
Provider Related Individuals shall be deemed employees of City, and none of them shall be
entitled to any benefits to which City employees are entitled, including but not limited to,
overtime, retirement benefits, worker's compensation benefits, injury leave or other leave
benefits. Furthermore, City will not withhold state or federal income tax, social security tax
or any other payroll tax with respect to any Contractor/Service Provider Related Individuals;
instead, Contractor/Service Provider shall be solely responsible for the payment of same and
shall hold the City harmless with respect to same. Contractor/Service Provider shall not at
any time or in any manner represent that it or any of its Contractor/Service Provider Related
Individuals are employees or agents of City. Contractor/Service Provider shall not incur or
have the power to incur any debt, obligation or liability whatsoever against City, or bind City
in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given
pursuant to this Agreement must be in writing. All notices, demands and requests to be sent
to any Party shall be deemed to have been properly given or served if personally served or
deposited in the United States mail, addressed to such Party, postage prepaid, registered or
2022/02/15 City Council Post Agenda Page 272 of 406
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certified, with return receipt requested, at the addresses identified in this Agreement at the
places of business for each of the designated Parties as indicated in Exhibit A, or otherwise
provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital
or encrypted, of the Parties included in this Agreement are intended to authenticate this
writing and to have the same force and effect as manual signatures. Electronic Signature
means any electronic sound, symbol, or process attached to or logically associated with a
record and executed and adopted by a Party with the intent to sign such record, including
facsimile or email electronic signatures, pursuant to the California Uniform Electronic
Transactions Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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SIGNATURE PAGE
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and
Contractor/Service Provider agree that they have read and understood all terms and conditions of
the Agreement, that they fully agree and consent to bound by same, and that they are freely
entering into this Agreement as of the Effective Date.
CONTRACTOR/SERVICE PROVIDER
NAME
CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
Enter name of signatory Choose a signatory.
Enter title of signatory Choose the signatory’s title.
ATTEST1
BY:
________________________________
Kerry K. Bigelow, MMC
City Clerk
APPROVED AS TO FORM
BY:
________________________________
Glen R. Googins
City Attorney
1 Attestation signature only required if the Mayor signs the Agreement. If Mayor is not signing agreement, delete
entire attestation signature block.
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EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
INSTRUCTIONS: ENTER INFORMATION AS REQUESTED. FOR SECTIONS THAT
PROVIDE OPTIONS, SELECT THE CORRECT OPTION. IF YOU WISH TO ATTACH
ADDITIONAL INFORMATION RELATED TO EXHIBIT A, PLEASE ATTACH AND
LABEL AS EXHIBIT A, ATTACHMENT (1,2, ETC.) DELETE OPTIONS NOT
SELECTED AND ALL INSTRUCTIONS..
1. Contact People for Contract Administration and Legal Notice
A. City Contract Administration:
Enter City Staff Person Name
Enter Mailing Address
Enter Phone Number
Enter Email Address
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Contractor/Service Provider Contract Administration:
CONTRACTOR/SERVICE PROVIDER NAME
Enter Mailing Address
Enter Phone Number
Enter Email Address
For Legal Notice Copy to:
Enter Contractor/Service Provider Staff Person Name
Enter Mailing Address
Enter Phone Number
Enter Email Address
2. Required Services
A. General Description:
Enter Summary Of Work To Be Performed (e.g. Contractor/Service Provider XYZ Will
Provide Customer Service Trainings To City Staff)
B. Detailed Description:
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Enter Detailed Information About Each Task To Be Performed, Including Task Description,
Associated Deliverables, And Completion Date. May Be Written As Narrative Or Table, As
Illustrated Below. Delete Table If Not Used.
Task Description Deliverables Completion Date
1 Example: Conduct trainings for
City staff
Provide copy of training
materials, sign-in sheet
and list of agreed-upon
next steps
2 Enter Additional Lines For
Tasks As Needed; Delete Excess
Lines
3
4
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall
begin Enter Date and end on Enter Date for completion of all Required Services.
4. Compensation: SELECT ONE OF THE FOLLOWING OPTIONS THEN DELETE
ANY OPTION THAT IS NOT APPLICABLE, AS WELL AS THESE INSTRUCTIONS
A. Form of Compensation
☐ Single Fixed Fee. For performance of all of the Required Services by Contractor/Service
Provider as herein required, City shall pay a single fixed fee of $Enter Contract Amount, upon
completion of all Required Services to City’s satisfaction.
OR
☐ Fixed Fee Paid in Increments. For the completion of each Deliverable of the Required
Services, as identified in section 2.B., above, City shall pay the fixed fee associated with each
Deliverable, in the amounts set forth below:
Task No. Deliverable Amount
OR
☐ Time and Materials. For performance of the Required Services by Contractor/Service
Provider as identified in Section 2.B., above, City shall pay Contractor/Service Provider for the
productive hours of time spent by Contractor/Service Provider in the performance of the
Required Services, at the rates or amounts as indicated below:
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Enter Applicable Hourly Rates
B. Reimbursement of Costs
☐ None, the compensation includes all costs
OR
☐ Invoiced or agreed-upon amounts as follows:
Enter or Attach and Reference Any Agreed-Upon Cost Reimbursements
Notwithstanding the foregoing, the maximum amount to be paid to the Contractor/Service
Provider for services performed through Enter End of Contract Date shall not exceed Enter
Amount.
5. Special Provisions: CHECK ANY THAT APPLY OR SELECT “NONE,” AND
DELETE ALL INSTRUCTIONS.
☐ Permitted Sub-Contractor/Service Providers: List Permitted Sub-Contractor/Service Providers
or Indicate “None”
☐ Security for Performance: See City Attorney or Indicate “None” if Not Applicable
☐ Notwithstanding the completion date set forth in Section 3 above, City has option to extend
this Agreement for Insert Number of Terms additional terms, defined as a one-year increment or
Enter a Specific Date. if applicable. The City Manager or Director of Finance/Treasurer shall be
authorized to exercise the extensions on behalf of the City. If the City exercises an option to
extend, each extension shall be on the same terms and conditions contained herein, provided that
the amounts specified in Section 4 above may be increased by up to Insert Percentage of Increase
or Actual Dollar Amount for each extension. The City shall give written notice to
Contractor/Service Provider of the City’s election to exercise the extension via the Notice of
Exercise of Option to Extend document. Such notice shall be provided at least 30 days prior to
the expiration of the term.
☐ Other: Describe Special Provisions (Delete Line If Not Applicable)
☐ None
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EXHIBIT B
INSURANCE REQUIREMENTS
Contractor/Service Provider shall adhere to all terms and conditions of Section 3 of the
Agreement and agrees to provide the following types and minimum amounts of insurance, as
indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☐ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☐ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☐ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
Other Negotiated Insurance Terms: ENTER ANY ADDITIONAL TERMS OR “NONE”
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EXHIBIT C
CONTRACTOR/SERVICE PROVIDER CONFLICT OF INTEREST DESIGNATION
The Political Reform Act and the Chula Vista Conflict of Interest Code (“Code”) require
designated state and local government officials, including some Contractor/Service Providers, to
make certain public disclosures using a Statement of Economic Interests form (Form 700). Once
filed, a Form 700 is a public document, accessible to any member of the public. In addition,
Contractor/Service Providers designated to file the Form 700 are also required to comply with
certain ethics training requirements.
☐ A. Contractor/Service Provider IS a corporation or limited liability company and is therefore
EXCLUDED from disclosure.
☐ B. Contractor/Service Provider is NOT a corporation or limited liability company and
disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE
SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-
interest-code.)
Name Email Address Applicable Designation
Enter Name of Each
Individual Who Will Be
Providing Service Under
the Contract – If individuals
have different disclosure
requirements, duplicate this
row and complete
separately for each
individual
Enter email
address(es)
☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or
more of the categories under which the
Contractor shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐
6. ☐ 7.
Justification:
☐ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition of “Contractor/Service Provider,”
pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online filing system, NetFile, within 30 days
of the approval of the Agreement. Additional Form 700 filings will be required annually on April 1 during the term of the Agreement, and within 30 days of the
termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the Agreement as full disclosure, limited
disclosure, or excluded from disclosure, based on an analysis of the services the Contractor/Service Provider will provide. Notwithstanding this designation or
anything in the Agreement, the Contractor/Service Provider is ultimately responsible for complying with FPPC regulations and filing requirements. If you have
any questions regarding filing requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or (866) 275-
3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written determination of the Contractor’s requirement to comply with
the disclosure requirements set forth in the Code.
Completed by: Enter City Staff Person’s Name
2022/02/15 City Council Post Agenda Page 279 of 406
1 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
CITY OF CHULA VISTA
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
WITH AMERICAN EMERGENCY PRODUCTS
TO PROVIDE VEHICLE OUTFITTING SERVICES FOR THE POLICE DEPARTMENT
This Agreement is entered into effective as of February 15, 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and American Emergency Products, A California
Corporation doing business as AEP-California LLC (“Contractor/Service Provider”) (collectively, the “Parties”
and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, on December 21, 2021, the City issued Request for Bid (RFB) #B09-22/23 to seek bids from
vendors who can provide vehicle outfitting services for the Police Department; and
WHEREAS, City staff conducted a thorough review to determine whether the bid conformed to the
solicitation and was considered to be in the best interest of the City, regarding price, experience and service
delivery; and
WHEREAS, Contractor/Service Provider was selected because it is the only qualified vendor to meet the
Police Department’s vehicle outfitting requirements; and
WHEREAS, Contractor/Service Provider warrants and represents that it is experienced and staffed in a
manner such that it can deliver the services required of Contractor/Service Provider to City in accordance with
the time frames and the terms and conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
2022/02/15 City Council Post Agenda Page 280 of 406
2 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Contractor/Service Provider hereby agree as follows:
1. SERVICES
1.1 Required Services. Contractor/Service Provider agrees to perform the services, and deliver to City the
“Deliverables” (if any) described in the attached Exhibit A, incorporated into the Agreement by this reference,
within the time frames set forth therein, time being of the essence for this Agreement. The services and/or
Deliverables described in Exhibit A shall be referred to herein as the “Required Services.”
1.2 Reductions in Scope of Work. City may independently, or upon request from Contractor/Service
Provider, from time to time, reduce the Required Services to be performed by the Contractor/Service Provider
under this Agreement. Upon doing so, City and Contractor/Service Provider agree to meet and confer in good
faith for the purpose of negotiating a corresponding reduction in the compensation associated with the
reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Contractor/Service Provider
provide additional services related to the Required Services (“Additional Services”). If so, City and
Contractor/Service Provider agree to meet and confer in good faith for the purpose of negotiating an
amendment to Exhibit A, to add the Additional Services. Unless otherwise agreed, compensation for the
Additional Services shall be charged and paid consistent with the rates and terms already provided therein.
Once added to Exhibit A, “Additional Services” shall also become “Required Services” for purpos es of this
Agreement.
1.4 Standard of Care. Contractor/Service Provider expressly warrants and agrees that any and all Required
Services hereunder shall be performed in accordance with the highest standard of care exercised by members
of the profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Contractor/Service Provider of responsibility for complying with all
laws, codes, industry standards, and liability for damages caused by negligent acts, errors, omissions,
noncompliance with industry standards, or the willful misconduct of the Contractor/Service Provider or its
subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for
Contractor/Service Provider to provide additional security for performance of its duties under this Agreement,
Contractor/Service Provider shall provide such additional security prior to commencement of its Required
Services in the form and on the terms prescribed on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Contractor/Service Provider
shall comply with any and all applicable federal, state and local laws, including the Chula Vista Municipal
Code.
1.8 Business License. Prior to commencement of work, Contractor/Service Provider shall obtain a
business license from City.
2022/02/15 City Council Post Agenda Page 281 of 406
3 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
1.9 Subcontractors. Prior to commencement of any work, Contractor/Service Provider shall submit for
City’s information and approval a list of any and all subcontractors to be used by Contractor/Service Provider
in the performance of the Required Services. Contractor/Service Provider agrees to take appropriate measures
necessary to ensure that all subcontractors and personnel utilized by the Contractor/Service Provider to
complete its obligations under this Agreement comply with all applicable laws, regulations, ordinances, and
policies, whether federal, state, or local. In addition, if any subcontractor is expected to fulfill any
responsibilities of the Contractor/Service Provider under this Agreement, Contractor/Service Provider shall
ensure that each and every subcontractor carries out the Contractor/Service Provider’s responsibilities as set
forth in this Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or
Contractor/Service Provider’s commencement of the Required Services hereunder, and shall terminate when
the Parties have complied with all their obligations hereunder; provided, however, provisions which expressly
survive termination shall remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate
Contractor/Service Provider in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard
terms for billing and payment are set forth in this Section 2.
2.2 Detailed Invoicing. Contractor/Service Provider agrees to provide City with a detailed invoice for
services performed each month, within thirty (30) days of the end of the month in which the services were
performed, unless otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following
the Effective Date of the Agreement. All char ges must be presented in a line item format with each task
separately explained in reasonable detail. Each invoice shall include the current monthly amount being billed,
the amount invoiced to date, and the remaining amount available under any approved bu dget.
Contractor/Service Provider must obtain prior written authorization from City for any fees or expenses that
exceed the estimated budget.
2.3 Payment to Contractor/Service Provider. Upon receipt of a properly prepared invoice and
confirmation that the Required Services detailed in the invoice have been satisfactorily performed, City shall
pay Contractor/Service Provider for the invoice amount within thirty (30) days. Payment shall be made in
accordance with the terms and conditions set forth in Exhibit A and section 2.4, below. At City’s discretion,
invoices not timely submitted may be subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Retention Policy. City shall retain ten percent (10%) of the amount due for Required Services detailed
on each invoice (the “holdback amount”). Upon City review and determination of Project Completion, the
holdback amount will be issued to Contractor/Service Provider.
2.5 Reimbursement of Costs. City may reimburse Contractor/Service Provider’s out-of-pocket costs
incurred by Contractor/Service Provider in the performance of the Required Services if negotiated in advance
and included in Exhibit A. Unless specifically provided in Exhibit A, Contractor/Service Provider shall be
responsible for any and all out-of-pocket costs incurred by Contractor/Service Provider in the performance of
the Required Services.
2.6 Exclusions. City shall not be responsible for payment to Contractor/Service Provider for any fees or
costs in excess of any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City
2022/02/15 City Council Post Agenda Page 282 of 406
4 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
shall also not be responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or
related to the errors, omissions, negligence or acts of willful misconduct of Contractor/Service Provider, its
agents, employees, or subcontractors.
2.7 Payment Not Final Approval. Contractor/Service Provider understands and agrees that payment to
the Contractor/Service Provider or reimbursement for any Contractor/Service Provider costs related to the
performance of Required Services does not constitute a City final decision regarding whether such payment
or cost reimbursement is allowable and eligible for payment under this Agreement, nor does it constitute a
waiver of any violation by Contractor/Service Provider of the terms of this Agreement. If City determines
that Contractor/Service Provider is not entitled to receive any amount of compensation already paid, City will
notify Contractor/Service Provider in writing and Contractor/Service Provider shall promptly return such
amount.
3. INSURANCE
3.1 Required Insurance. Contractor/Service Provider must procure and maintain, during the period of
performance of Required Services under this Agreement, and for twelve months after completion of Required
Services, the policies of insurance described on the attached Exhibit B, incorporated into the Agreem ent by
this reference (the “Required Insurance”). The Required Insurance shall also comply with all other terms of
this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers’ Compen sation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Contractor/Service Provider must include all sub-Contractor/Service Providers/sub-
contractors as insureds under its policies and/or furnish separate certificates and endorsements demonstrating
separate coverage for those not under its policies. Any separate coverage for sub-Contractor/Service Providers
must also comply with the terms of this Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager.. The general liability
additional insured coverage must be provided in the form of an endorsement to the Contractor/Service
Provider’s insurance using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude
Products/Completed Operations coverage.
3.6 General Liability Coverage to be “Primary.” Contractor/Service Provider’s general liability coverage
must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers.
Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers is
wholly separate from the insurance provided by Contractor/Service Provider and in no way relieves
Contractor/Service Provider from its responsibility to provide insurance.
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5 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Contractor/Service Provider must
procure and put into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Contractor/Service Provider’s insurer(s) will provide a Waiver of Subrogation
in favor of the City for each Required Insurance policy under this Agreement. In addition, Contractor/Service
Provider waives any right it may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Contractor/Service Provider shall
furnish City with original certificates of insurance and any amendatory endorsements necessary to
demonstrate to City that Contractor/Service Provider has obtained the Required Insurance in compliance with
the terms of this Agreement. The words “will endeavor” and “but failure to mail such notice shall impose no
obligation or liability of any kind upon the company, its agents, or representatives” or any similar language
must be deleted from all certificates. The required certificates and endorsements should otherwise be on
industry standard forms. The City reserves the right to require, at any time, complete, certified copies of all
required insurance policies, including endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims -made form, the following
requirements also apply:
a. The “Retro Date” must be shown, and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least five (5)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Contractor/Service Provider must
purchase “extended reporting” coverage for a minimum of five (5) years after completion of the work required
by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Contractor/Service Provider’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Contractor/Service Provider
maintains higher limits than the minimums appearing in Exhibit B, City requires and shall be entitled to
coverage for higher limits maintained.
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6 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Contractor/Service Provider shall protect, defend,
indemnify and hold harmless City, its elected and appointed officers, agents, employees and volunteers
(collectively, “Indemnified Parties”), from and against any and all claims, demands, causes of action, costs,
expenses, (including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or
equity, to property or persons, including wrongful death, in any manner arising out of or incident to any
alleged acts, omissions, negligence, or willful misconduct of Contractor/Service Provider, its officials,
officers, employees, agents, and contractors, arising out of or in connection with the performance of the
Required Services, the results of such performance, or this Agreement. This indemnity provision does not
include any claims, damages, liability, costs and expenses arising from the sole negligence or willful
misconduct of the Indemnified Parties. Also covered is liability arising from, connected with, caused by or
claimed to be caused by the active or passive negligent acts or omissions of the Indemnified Parties which
may be in combination with the active or passive negligent acts or omissions of the Contractor/Service
Provider, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Contractor/Service Provider’s obligations under this Section
4 is Contractor/Service Provider’s obligation to defend, at Contractor/Service Provider’s own cost, expense
and risk, any and all suits, actions or other legal proceedings that may be brought or instituted against one or
more of the Indemnified Parties. Subject to the limitations in this Section 4, Contractor/Service Provider shall
pay and satisfy any judgment, award or decree that may be rendered against one or more of the Indemnified
Parties for any and all related legal expenses and costs incurred by any of them.
4.4. Contractor/Service Provider’s Obligations Not Limited or Modified. Contractor/Service Provider’s
obligations under this Section 4 shall not be limited to insurance proceeds, if any, received by the Indemnified
Parties, or by any prior or subsequent declaration by the Contractor/Service Provider. Furthermore,
Contractor/Service Provider’s obligations under this Section 4 shall in no way limit, modify or excuse any of
Contractor/Service Provider’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Contractor/Service Provider agrees to pay any and all costs City incurs in
enforcing Contractor/Service Provider’s obligations under this Section 4.
4.6 Survival. Contractor/Service Provider’s obligations under this Section 4 shall survive the termination
of this Agreement.
5. FINANCIAL INTERESTS OF CONTRACTOR/SERVICE PROVIDER.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and Contractor/Service Providers performing work for government
agencies to publicly disclose certain of their personal assets and income using a Statement of Economic
Interests form (Form 700). In order to assure compliance with these requirements, Contractor/Service
Provider shall comply with the disclosure requirements identified in the attached Exhibit C, incorporated into
the Agreement by this reference.
2022/02/15 City Council Post Agenda Page 285 of 406
7 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
5.2 Disclosures; Prohibited Interests. Independent of whether Contractor/Service Provider is required to
file a Form 700, Contractor/Service Provider warrants and represents that it has disclosed to City any
economic interests held by Contractor/Service Provider, or its employees or subcontractors who will be
performing the Required Services, in any real property or project which is the subject of this Agreement.
Contractor/Service Provider warrants and represents that it has not employed or retained any company or
person, other than a bona fide employee or approved subcontractor working solely for Contractor/Service
Provider, to solicit or secure this Agreement. Further, Contractor/Service Provider warrants and represents
that it has not paid or agreed to pay any company or person, other than a bona fide employee or approved
subcontractor working solely for Contractor/Service Provider, any fee, commission, percentage, brokerage
fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement.
Contractor/Service Provider further warrants and represents that no officer or employee of City, has any
interest, whether contractual, non-contractual, financial or otherwise, in this transaction, the proceeds hereof,
or in the business of Contractor/Service Provider or Contractor/Service Provider’s subcontractors.
Contractor/Service Provider further agrees to notify City in the event any such interest is discovered whether
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Contractor/Service Provider shall fail to perform
the Required Services under this Agreement, in a proper or timely manner, or if Contractor/Service Provider
shall violate any of the other covenants, agreements or conditions of this Agreement (each a “Default”), in
addition to any and all other rights and remedies City may have under this Agreement, at law or in equity,
City shall have the right to terminate this Agreement by giving five (5) days written notice to
Contractor/Service Provider. Such notice shall identify the Default and the Agreement termination date. If
Contractor/Service Provider notifies City of its intent to cure such Default prior to City’s specified termination
date, and City agrees that the specified Default is capable of being cured, City may grant Contractor/Service
Provider up to ten (10) additional days after the designated termination date to effectuate such cure. In the
event of a termination under this Section 6.1, Contractor/Service Provider shall immediately provide City any
and all ”Work Product” (defined in Section 7 below) prepared by Contractor/Service Provider as part of the
Required Services. Such Work Product shall be City’s sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider may be entitled to compensation for work satisfactorily performed prior
to Contractor/Service Provider’s receipt of the Default notice; provided, however, in no event shall such
compensation exceed the amount that would have been payable under this Agreement for such work, and any
such compensation shall be reduced by any costs incurred or projected to be incurred by City as a result of
the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Contractor/Service Provider of such termination or suspension at least fifteen (15)
days prior to the effective date thereof. Upon receipt of such notice, Contractor/Service Provider shall
immediately cease all work under the Agreement and promptly deliver all “Work Product” (defined in Section
7 below) to City. Such Work Product shall be City's sole and exclusive property as provided in Section 7
hereof. Contractor/Service Provider shall be entitled to receive just and equitable compensation for this Work
Product in an amount equal to the amount due and payable under this Agreement for work satisfactorily
performed as of the date of the termination/suspension notice plus any additional remaining Required Services
requested or approved by City in advance that would maximize City’s value under the Agreement.
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8 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Contractor/Service Provider hereby expressly waives any and all claims for damages or
compensation as a result of such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City,
Contractor/Service Provider shall meet and confer in good faith with City for the purpose of resolving any
dispute over the terms of this Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Contractor/Service Provider agrees that it is subject to personal jurisdiction in
California. If Contractor/Service Provider is a foreign corporation, limited liability company, or partnership
that is not registered with the California Secretary of State, Contractor/Service Provider irrevocably consents
to service of process on Contractor/Service Provider by first class mail directed to the individual and address
listed under “For Legal Notice,” in section 1.B. of Exhibit A to this Agreement, and that such service shall be
effective five days after mailing.
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services (collectively “Work Product”) shall be the sole and exclusive property of City. No
such Work Product shall be subject to private use, copyrights or patent rights by Contractor/Service Provider
in the United States or in any other country without the express, prior written consent of City. City shall have
unrestricted authority to publish, disclose, distribute, and otherwise use, copyright or patent, in whole or in
part, any such Work Product, without requiring any permission of Contractor/Service Provider, except as may
be limited by the provisions of the Public Records Act or expressly prohibited by other applicable laws. With
respect to computer files containing data generated as Work Product, Contractor/Service Provider shall make
available to City, upon reasonable written request by City, the necessary functional computer software and
hardware for purposes of accessing, compiling, transferring and printing computer files.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Contractor/Service Provider’s
unique qualifications and traits. Contractor/Service Provider shall not assign any of its rights or
responsibilities under this Agreement, nor any part hereof, without City’s prior written consent, which City
may grant, condition or deny in its sole discretion.
8.3 Authority. The person(s) executing this Agreement for Contractor/Service Provider warrants and
represents that they have the authority to execute same on behalf of Contractor/Service Provider and to bind
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9 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
Contractor/Service Provider to its obligations hereunder without any further action or direction from
Contractor/Service Provider or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Contractor/Service Provider agrees to maintain, intact and readily accessible, all
data, documents, reports, records, contracts, and supporting materials relating to the performance of the
Agreement, including accounting for costs and expenses charged to City, including such records in the
possession of sub-contractors/sub-Contractor/Service Providers.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Contractor/Service Provider is and shall at all times remain as to City a
wholly independent contractor. Neither City nor any of its officers, employees, agents or volunteers shall
have control over the conduct of Contractor/Service Provider or any of Contractor/Service Provider’s officers,
employees, or agents (“Contractor/Service Provider Related Individuals”), except as set forth in this
Agreement. No Contractor/Service Provider Related Individuals shall be deemed employees of City, and
none of them shall be entitled to any benefits to which City employees are entitled, including but not limited
to, overtime, retirement benefits, worker's compensation benefits, injury leave or other leave benefits.
Furthermore, City will not withhold state or federal income tax, social security tax or any other payroll tax
with respect to any Contractor/Service Provider Related Individuals; instead, Contractor/Service Provider
shall be solely responsible for the payment of same and shall hold the City harmless with respect to same.
Contractor/Service Provider shall not at any time or in any manner represent that it or any of its
Contractor/Service Provider Related Individuals are employees or agents of City. Contractor/Service Provider
shall not incur or have the power to incur any debt, obligation or liability whatsoever against City, or bind
City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
8.10 Electronic Signatures. Each Party agrees that the electronic signatures, whether digital or encrypted, of
the Parties included in this Agreement are intended to authenticate this writing and to have the same force and
effect as manual signatures. Electronic Signature means any electronic sound, symbol, or process attached
to or logically associated with a record and executed and adopted by a Party with the intent to sign such record,
2022/02/15 City Council Post Agenda Page 288 of 406
10 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
including facsimile or email electronic signatures, pursuant to the California Uniform Electronic Transactions
Act (Cal. Civ. Code §§ 1633.1 to 1633.17) as amended from time to time.
(End of page. Next page is signature page.)
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11 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
SIGNATURE PAGE
CONTRACTOR/SERVICE PROVIDER SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and
Contractor/Service Provider agree that they have read and understood all terms and conditions of the Agreement,
that they fully agree and consent to bound by same, and that they are freely entering into this Agreement as of the
Effective Date.
AMERICAN EMERGENCY PRODUCTS CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
PATRICK TRAMPUS MARIA V. KACHADOORIAN
SALES MANAGER CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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12 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contacts for Contract Administration and Legal Notice
A. City Contract Administration:
Jonathan Alegre, Police Administrative Services Administrator
Chula Vista Police Department
315 Fourth Avenue
Chula Vista, CA 91910
(619) 476-2570
jalegre@chulavistapd.org
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Contractor/Service Provider Contract Administration:
AMERICAN EMERGENCY PRODUCTS
10729 Wheatlands Ave., Suite C
Santee, CA 92071
(619) 596-1925
Patrick.trampus@aep-na.com
For Legal Notice Copy to:
Patrick Trampus, Sales Manager, same as above
2. Required Services
A. General Description:
Contractor/Service Provider Will Provide Vehicle Outfitting Services to the Police Department
B. Detailed Description:
Attachment A outlines the pricing specifications for the vehicle outfitting services.
Delivery Instructions
Vehicle shall be delivered complete and ready for operation. Contractor/Service Provider requests 8 weeks of
advance notice by the City for new vehicle installations. This advance notice is to allow Contractor/Service
Provider to schedule labor resources and procure all necessary components for installation. Most equipment
manufacturers require 4-6 weeks for product lead times. Advance notice by the City will avoid delays in the
vehicle production.
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13 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
Once installation has commenced, it will take approximately 5-7 working days to complete, based on the
complexity and labor requirement.
Contractor/Service Provider will meet or exceed the City’s requirement for three (3) vehicles per week when
proper advance notice has been provided.
FOB Point
Prices quoted shall be FOB Destination.
City of Chula Vista
Attention: Fleet Manager
Public Works/Fleet Operations
1800 Maxwell Rd.
Chula Vista, CA 91911
Firm Prices
Prices shall remain firm for outfitting of vehicles specified for the initial agreement period of February 15,
2022 to February 14, 2023. This agreement can be extended for additional four (4) one-year options. (See
Section 5 below.) Price increases to be agreed upon during annual renewal. Increase based upon current San
Diego CPI and capped at a maximum 5%.
Payment Terms
Terms: Net 30 days
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin February
15, 2022 and end on February 14, 2023 for completion of all Required Services.
4. Compensation:
A. Form of Compensation
☒ Time and Materials. For performance of the Required Services by Contractor/Service Provider as identified
in Section 2.B., above, City shall pay Contractor/Service Provider for the productive hours of time spent by
Contractor/Service Provider in the performance of the Required Services, at the rates or amounts as indicated in
Attachment A.
B. Reimbursement of Costs
☒ None, the compensation includes all costs.
Notwithstanding the foregoing, the maximum amount to be paid to the Contractor/Service Provider for services
performed through February 14, 2027 shall not exceed $3,000,000.
5. Special Provisions:
☒ Permitted Sub-Contractor/Service Providers: None.
☒ Security for Performance: None.
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14 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
☒ Notwithstanding the completion date set forth in Section 3 above, City has option to extend this Agreement
for four (4) additional terms, defined as a one-year increment or February 15 to February 14. The City Manager
or Director of Finance/Treasurer shall be authorized to exercise the extensions on behalf of the City. If the City
exercises an option to extend, each extension shall be on the same terms and conditions contained herein, provided
that the amounts specified in Section 4 above may be increased by up to current San Diego CPI and capped at a
maximum 5% for each extension. The City shall give written notice to Contractor/Service Provider of the City’s
election to exercise the extension via the Notice of Exercise of Option to Extend document. Such notice shall be
provided at least 30 days prior to the expiration of the term.
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15 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
EXHIBIT B
INSURANCE REQUIREMENTS
Contractor/Service Provider shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to
provide the following types and minimum amounts of insurance, as indicated by checking the applicable boxes
(x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
Other Negotiated Insurance Terms: None.
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16 City of Chula Vista Agreement No.: 2022-006
Service Provider Name: American Emergency Products Rev. 2/4/21
EXHIBIT C
CONTRACTOR/SERVICE PROVIDER CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some Contractor/Service Providers, to make certain public disclosures using
a Statement of Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to
any member of the public. In addition, Contractor/Service Providers designated to file the Form 700 are also
required to comply with certain ethics training requirements.3
☒ A. Contractor/Service Provider IS a corporation or limited liability company and is therefore EXCLUDED4
from disclosure.
☐ B. Contractor/Service Provider is NOT a corporation or limited liability company and disclosure designation
is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the Contractor shall
file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☒ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Contractor/Service Provider,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Contractor/Service Provider will provide. Notwithstanding this designation or anything in the Agreement, the
Contractor/Service Provider is ultimately responsible for complying with FPPC regulations and filing requirements. If
you have any questions regarding filing requirements, please do not hesitate to contact the City Clerk at (619)691-5041,
or the FPPC at 1-866-ASK-FPPC, or (866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the Contractor’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Jonathan Alegre
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not include
corporation or limited liability company).
2022/02/15 City Council Post Agenda Page 295 of 406
Attachment "A" Pricing Sheet
Police Vehicle Outfitting - Ford Explorer (Interceptor)
#Manufacturer Part #Outfitter Part #Description Patrol QTY K9 QTY Sgt QTY Unit Price Patrol Ext.K9 Ext.Sgt. Ext.
Emergency Lighting and Siren System
1 ENGCC01243 bluePRINT Central Controller 3.0 1 1 1 390.00$ 390.00$ 390.00$ 390.00$
2 ENGSA07152 bluePRINT 480 Series Siren Module, 200 Watt 1 1 1 415.00$ 415.00$ 415.00$ 415.00$
3 ENGCP18001 bluePRINT Siren Control Panel w/Push Button 1 1 1 173.00$ 173.00$ 173.00$ 173.00$
4 ENGND04101 bluePRINT Remote Node, 10-Outputs, 4-Inputs 1 1 1 217.00$ 217.00$ 217.00$ 217.00$
5 ENGLMK008 bluePRINT Mini Link OBD2 Module, Multi Ford PI Utility.1 1 1 298.00$ 298.00$ 298.00$ 298.00$
6 ENGSYMD01 bluePRINT SYNC Module w/Antenna 1 1 1 242.00$ 242.00$ 242.00$ 242.00$
7 B07PPLK8L4 RJ45 Splitter, 1-Male to 3-Female, Use for BP SYNC/LINK/CP 1 1 1 20.00$ 20.00$ 20.00$ 20.00$
8 2122 Cat5 Cable, 3',Blue, Ext BOB to Splitter/Central 1 1 1 5.00$ 5.00$ 5.00$ 5.00$
9 3711 Cat5 Cable, 3', Pink, 480 Siren Amp to Central 1 1 1 5.00$ 5.00$ 5.00$ 5.00$
10 S249-3200 Under Hood Remote Node Mounting Bracket, Ford Utility 1 1 1 28.60$ 28.60$ 28.60$ 28.60$
11 EMPLB00214-035 SoundOff mPower 55" Exterior Light Bar for 2020+ Ford Util.1 1 1 2,350.00$ 2,350.00$ 2,350.00$ 2,350.00$
-Dual Color Corners (R/W Driver, B/W Pass)
-California Steady Red
-Front Facing Dual Color Modules (R/W driver, B/W Pass)
-Rear Facing Dual Color Modules
-LED Alley/Scene Lighting
-Rear "Brake with Warn" Function
-Hook Mount Kit for 2020+ Ford Utility
12 ETSS100J5 100L Series Pro. Speaker w/ Universal Bail Bracket-100 WATT 2 2 2 182.00$ 364.00$ 364.00$ 364.00$
13 ELUC3H010D Univ. Undercover LED Insert, Red/White (Driv. Headlight)1 1 1 80.00$ 80.00$ 80.00$ 80.00$
14 ELUC3H010E Univ. Undercover LED Insert, Red/White (Pass. Headlight)1 1 1 80.00$ 80.00$ 80.00$ 80.00$
15 PLUCTCL1 Twist-In UC LED Collar Kit 4 4 4 3.00$ 12.00$ 12.00$ 12.00$
16 ELUC3H010B Univ. Undercover LED Warning Light Insert, Blue (Tail Lights)2 2 2 80.00$ 160.00$ 160.00$ 160.00$
17 ENT3B3D Intersector LED Under Mirror Warning Light, Red/White 2 2 2 180.00$ 360.00$ 360.00$ 360.00$
18 ENT3B3E Intersector LED Under Mirror Warning Light, Blue/White 2 2 2 180.00$ 360.00$ 360.00$ 360.00$
19 ENFRMS3(D)nForce LED, D12, Red/White, Replacement Module 1 1 1 95.00$ 95.00$ 95.00$ 95.00$
20 ENFRMS3(E)nForce LED, D12, Blue/White, Replacement Module 1 1 1 95.00$ 95.00$ 95.00$ 95.00$
21 PMP2BKUMB4 Under Mirror Bracket, mPower/Intersector, 20+ Utility 2 2 2 40.00$ 80.00$ 80.00$ 80.00$
22 EMPS2STS4D mPower Fascia LED, Stud Mount, 12 LED R/W (Rear 1/4 Driv)1 1 1 119.00$ 119.00$ 119.00$ 119.00$
23 EMPS2STS4E mPower Fascia LED, Stud Mount, 12 LED B/W (Rear 1/4 Pass)1 1 1 119.00$ 119.00$ 119.00$ 119.00$
24 PMP2WSSSB 4" mPower 25-90* Glass Mount/Shroud (Rear 1/4 Glass)2 2 2 9.25$ 18.50$ 18.50$ 18.50$
25 EMPS2QMS4J mPower Fascia LED, Quick Mount, 12 LED R/B (License Plate)2 2 2 119.00$ 238.00$ 238.00$ 238.00$
26 EMPS2STS5RBW mPower Fascia LED, Stud Mount, 18 LED,2 2 2 132.00$ 264.00$ 264.00$ 264.00$
27 PMP2RS101 Under Spoiler Bracket Set, 1-Module, 2020+ Utility 1 1 1 40.00$ 40.00$ 40.00$ 40.00$
28 EMPS1SLS1R mPower 3" Stud Mount, 4 LED Red (Lift Gate Open-Driver)1 1 1 72.00$ 72.00$ 72.00$ 72.00$
29 EMPS1SLS1B mPower 3" Stud Mount, 4 LED Blue (Lift Gate Open-Pass)1 1 1 72.00$ 72.00$ 72.00$ 72.00$
Vehicle Protection
1 BC0523ITU20 PB450-LR Push Bumper, SoundOff nForce/Intersector 1 1 1 465.00$ 465.00$ 465.00$ 465.00$
2022/02/15 City Council Post Agenda Page 296 of 406
Attachment "A" Pricing Sheet
Police Vehicle Outfitting - Ford Explorer (Interceptor)
Electrical System
1 PP-PF2-BP-001-A Patrol Power Plug-n-Play Harness - Primary 1 1 1 1,599.00$ 1,599.00$ 1,599.00$ 1,599.00$
2 PP-UF2-BP-001-A Patrol Power Plug-n-Play Harness - Under Hood 1 1 1 299.00$ 299.00$ 299.00$ 299.00$
3 PP-BU1-SO-001-A Patrol Power Plug-n-Play Harness - Bumper 1 1 1 118.00$ 118.00$ 118.00$ 118.00$
4 PIU20-EQUIP-001 Electronics Mounting Plate SOS, DRV 1/4 Panel, '20+ Utility 1 1 1 140.00$ 140.00$ 140.00$ 140.00$
5 PIU20-RADIO-KIT Radio T/R Mounting Bracket, OEM Cubby Pocket, '20+ Utility 1 1 1 52.00$ 52.00$ 52.00$ 52.00$
6 ECVDMLTST4G Universal LED Interior Dome Light (UCG/Rear Passenger Int)2 2 2 26.00$ 52.00$ 52.00$ 52.00$
7 ECVDMLTAL00 LED Dome Light, Red/White, Universal (Lift Gate & Interior)2 2 1 62.00$ 124.00$ 124.00$ 62.00$
8 491-SC36MP Compact Foot Switch w/Mounting Plate 1 1 1 45.00$ 45.00$ 45.00$ 45.00$
9 AEP-SW-IDLE Switch, Idle Security, Off-On 1 1 1 15.00$ 15.00$ 15.00$ 15.00$
10 AEP-SW-DOME1 Switch, Rear Dome Light, Off-On 1 1 15.00$ 15.00$ 15.00$ -$
11 AEP-SW-GATE Switch, Chula Vista Gate Opener, (On)-Off-(On)1 1 1 15.00$ 15.00$ 15.00$ 15.00$
12 13-100 Toggle Switch, Off-On, SPST..1 1 1 8.00$ 8.00$ 8.00$ 8.00$
13 AEP-LABEL-CARGO-DC Switch Label Plaque, "Cargo Dome, Door-Off"1 1 1 6.00$ 6.00$ 6.00$ 6.00$
14 GRA-FLB1 Flashlight Mounting Bracket 1 1 1 48.00$ 48.00$ 48.00$ 48.00$
15 76112 Streamlight Polystinger LED Flashlight w/ charger 1 1 1 145.00$ 145.00$ 145.00$ 145.00$
16 Varies Various Additional Installation Materials/Shop Supplies 1 1 1 175.00$ 125.00$ 125.00$ 175.00$
Center Equipment Console
1 7170-0735-01 20+ Ford Utility Console 10"/4.5", w/Cup Holder/Arm Rest 1 1 1 565.00$ 565.00$ 565.00$ 565.00$
2 11010 DC Power Port 1 1 1 2.40$ 2.40$ 2.40$ 2.40$
3 11011 DC Power Port Cap 1 1 1 0.50$ 0.50$ 0.50$ 0.50$
4 7160-0321 Console Faceplate, Motorola XTL/APX Remote Radio, 3"1 1 1 -$ -$ -$ -$
5 14619 Console Faceplate, SoundOff nErgy 400 Remote Siren, 3.5"1 1 1 -$ -$ -$ -$
6 15083 2" Console Switchplate, 6 Contura Switch Cutouts 1 1 1 -$ -$ -$ -$
7 18492 Blank Console Filler Plate, 1.5"1 1 1 -$ -$ -$ -$
8 B005IR3ALG Keystone/Heddolf P220-2KA 2-Ch Transmitter (Chula Vista)1 1 1 40.00$ 40.00$ 40.00$ 40.00$
9 COVP-PIU-KIT Patrol Power Black-Out Module w/ Ford PIU Harness 1 1 1 399.00$ 399.00$ 399.00$ 399.00$
10 MMBP-25 Magnetic Microphone Mount 2 2 2 35.00$ 70.00$ 70.00$ 70.00$
11 11019 Dual USB 2.4A Charger for Contura SW Cut-Out 1 1 1 24.00$ 24.00$ 24.00$ 24.00$
2022/02/15 City Council Post Agenda Page 297 of 406
Attachment "A" Pricing Sheet
Police Vehicle Outfitting - Ford Explorer (Interceptor)
Computer Mount
1 AS7.D900.103-PS DELL Rugged Advanced TPT Dock w/Lind Power 1 1 1 1,250.00$ 1,150.00$ 1,250.00$ 1,250.00$
2 7160-1216-09 Mongoose XLE 9" Motion Attachment 1 1 1 368.00$ 368.00$ 368.00$ 368.00$
3 AS7.D900.001 Side Screen Support 1 1 1 65.00$ 57.00$ 65.00$ 65.00$
Radio Communication
1 GP-IN2237 GPSB Sharkee Ant. Kit, Cell w/TNC, GPS w/TNC, Wifi w/TNC 1 1 1 229.00$ 229.00$ 229.00$ 229.00$
2 AFGB-832 Antenna Whip (Sharkee), 760-876 MHz 1 1 1 26.00$ 26.00$ 26.00$ 26.00$
3 C23F-5M Radio Antenna Extension Cable, 16', Mini UHF (MPL)1 1 1 15.00$ 15.00$ 15.00$ 15.00$
Prison Transport
1 PK1186ITU20-TM 10XL C2 Partition, Recessed, Poly Sliding Window, TM '20 1 808.00$ 808.00$ -$ -$
2 QK0566ITU20 Transport Seat w/ Center Pull Belts, Poly Rear Partition '20 1 1,186.00$ 1,186.00$ -$ -$
3 DK0100ITU20 Door Panel Kit, TPO Cover, 2020 Ford Utility 1 236.00$ 236.00$ -$ -$
4 WK0514ITU20H Window Barriers, Steel Horizontal Bars, 2020 Ford Utility 1 236.00$ 236.00$ -$ -$
5 ECVDMLTST4G Universal LED Interior Dome Light, (24) Bright White LED's 2 26.00$ 26.00$ -$ -$
K9 Transport
1 K9-F28-1-B 2020 Ford Utility K9 Transport System, Black 1 2,706.00$ -$ 2,706.00$ -$
2 WGI007335 Havis K9 Kennel Window Guard Fan Adapter 1 43.00$ -$ 43.00$ -$
3 F3 K9 Deployment and Heat Alert System w/Pager 1 1,299.99$ -$ 1,299.99$ -$
4 SUM-G4901S 10" Electric Cooling Fan, Push/Pull, 666 CFM 1 85.00$ -$ 85.00$ -$
5 K9A13145 K9 No Spill Water Bowl 1 36.00$ -$ 36.00$ -$
6 9416K2-60 Gas Spring for K9 Door on '20+ Ford Utility. 22.36" 60lb 1 32.00$ -$ 32.00$ -$
7 9416K74 10 mm Steel Ball Socket for M6 Thread Gas Spring with Thread 2 5.00$ -$ 10.00$ -$
2022/02/15 City Council Post Agenda Page 298 of 406
Attachment "A" Pricing Sheet
Police Vehicle Outfitting - Ford Explorer (Interceptor)
8 0717148 Spring for K9 Door Solenoid of Ford SUV 1 12.00$ -$ 12.00$ -$
9 AEP-UV-K9-BKT Door Latch Cable Bracket for K9 Release 1 12.00$ -$ 12.00$ -$
10 K9-A-110-B Headliner Protection Inserts, Black 1 185.00$ -$ 185.00$ -$
11 Window Tint Window Tint. Equivalent to 35% Front, 5% Rear 1 325.00$ -$ 325.00$ -$
Rear Command Console
1 ENGND04101 bluePRINT Remote Node, 10-Outputs, 4-Inputs 1 217.00$ -$ -$ 217.00$
2 ENGHNK02 bluePRINT Remote Node Harness Kit, 16-Pin 1 41.00$ -$ -$ 41.00$
3 C-TTP-INUT-1201 Ford Interceptor Utility Premium Fold-Up Cargo Plate 1 690.00$ -$ -$ 690.00$
4 C-TTP-INUT-4 Equipment Tray for Cargo Plate 1 245.00$ -$ -$ 245.00$
5 AD-1001 Custom Command Console, Ford Utility (See Drawing)1 4,400.00$ -$ -$ 4,400.00$
6 13010160 Polycarbonate sheet clear 1/8" 48"X96"1 120.00$ -$ -$ 120.00$
7 FP-MXTL2500 Console Faceplate for XTL / APX Radio, 3"1 34.00$ -$ -$ 34.00$
8 FP-BLNK1 Console Blank Faceplate, 1"1 12.00$ -$ -$ 12.00$
9 GM-65/8 Radio Speakers 2 14.50$ -$ -$ 29.00$
10 MMBP-25 Magnetic Microphone Mount 1 35.00$ -$ -$ 35.00$
11 SAM-450-12 DC-AC Modified Sine Inverter, 450-Watt 1 55.00$ -$ -$ 55.00$
12 5298 Extension Cord Set, 16awg, 3'1 3.75$ -$ -$ 3.75$
13 AEP-UN1011F0.01
AC / DC Power Outlet Console Face Plate, Accommodates (1) Decora
Duplex AX Outlet and (2) DC Power 1 45.00$ -$ -$ 45.00$
14 PT26252BK Decora Duplex AX Outlet, 120V AC / 15 Amps, Black 1 20.00$ -$ -$ 20.00$
15 PTRA6-STR 6" PT Connector for PT26252BK 1 4.50$ -$ -$ 4.50$
16 HKN6169B 17' Blue Remote Cable (PM1500, APX6500/XTL 5000 1 80.00$ -$ -$ 80.00$
17 11014 USB Power Charger,12VDC Outlet Power Plate 1 20.00$ -$ -$ 20.00$
18 MLS-D36216 Double row LED Strip Light, White 36"1 58.00$ -$ -$ 58.00$
Weapon Mount
1 GRPXXX1B1X238 Dual Gun Rack, Univ. Partition Mount, 870 / AR15 with BLM 1 550.00$ 550.00$ -$ -$
2 GRKXXX6B1X238 Dual Gun Rack, K9 Kennel Mount, 870 w/SC1, AR w/SC6 1 675.00$ -$ 675.00$ -$
3 GRFF016B1X232 Dual Free Standing Gun Rack, 870 w/SC1#2, AR with SC6 1 950.00$ -$ -$ 950.00$
4 AR/TDP-GUARD AR-15 Takedown Pin Guard 1 1 1 175.00$ 175.00$ 175.00$ 175.00$
Cargo / Vehicle Protection
1 7126-7614E Weapon Locker. E-Push Button, 3 point lock (Alt Patrol Con.)1 1,618.00$ 1,618.00$ -$ -$
2 7126-PIC20 Elevated Stand-Boss 7611 Locker. (Alt Patrol Configuration)1 240.00$ 240.00$ -$ -$
3 PIU20-CARGO-KIT Cargo Guard w/hinged EZ Access. '20 Utility w/Setina 12VS 1 938.00$ 938.00$ -$ -$
4 TK0841TU20 Setina 2 Drawer, Sliding, Top Combo, Elevated 2020PIU 1 1,600.00$ -$ 1,600.00$ -$
5 PIU20-BXK9ADPT Brackets for Setina Strong Box w/Havis Kennel 20+PIU 1 150.00$ -$ 150.00$ -$
6 25614 Fire Extinquisher, 5lb ABC Dry Clem 1 1 1 58.00$ 58.00$ 58.00$ 58.00$
7 862 Heavy Duty Fire Extinguisher Mounting Bracket, Rubber Straps 1 1 1 55.00$ 55.00$ 55.00$ 55.00$
Ballastic Door Panels
2022/02/15 City Council Post Agenda Page 299 of 406
Attachment "A" Pricing Sheet
Police Vehicle Outfitting - Ford Explorer (Interceptor)
1 AngArm-339/340 Corrected
Level III Ballistic Door Panels - Driver and passenger front-doors only.
Protection :
•9mm Luger 124gr FMJ @ 1400 +/ 50 fps .
•44 MAG 240gr Lead SWC GC @ 1400 +/ 50 fps 2 2 2 799.00$ 1,598.00$ 1,598.00$ 1,598.00$
2 AngArm 358/359 Corrected
Level III+ Ballistic Door-Panels - Driver and passenger front-doors only.
Protection:
• 7.62 M80 147gr FMJ @ 2750 +/- 50 fps
• 7.62 PS Ball 123gr@ 2380 +/- 30 fps
• 5.56 M855 62gr @ 3050 +/- 30 fps
• 5.56 M193 56gr @ 3200 +/- 30 fps 2 2 2 1,299.00$ 2,598.00$ 2,598.00$ 2,598.00$
Custom Graphics
1 Chula Vista Basic Chula Vista PD Basic Package w/ Installation 1 1 1 425.00$ 425.00$ 425.00$ 425.00$
2 Chula Vista Addition - K9 Chula Vista PD Graphic Add (K9)1 50.00$ -$ 50.00$ -$
3 Chula Vista Addition - Supervisor Chula Vista PD Graphic Add (Supervisor)1 50.00$ -$ -$ 50.00$
Labor / Freight
1 Installation Labor Per Hour 95.00$ 95.00$ 95.00$ 4,370.00$ 4,750.00$ 4,940.00$
2 Number of Hours Per Vehicle 46 50 52
3 Shipping Per Vehicle 1 1 1 200.00$ 325.00$ 325.00$
Total Per Vehicle:28,306.00$ 30,301.99$ 30,353.25$
1
2 Yes
a.
3 Yes
a.
b.
4
Additional Requirements
Will you be willing to deliver outfitted vehicle to City?
Transportation Cost: 5- Vehicle Load $350.00/Single Vehicle $150/X2-X4 Vehicles $90per vehicle
Will your firm accept delivery directly from the manufacturer?
Please provide 5 reference agencies and contacts for whom you are currently working with for public safety
outfitting
Lead-time per vehicle (6-8 Weeks parts procurment, average 5 days per vehicle production)
The City requires an asset tag to be affixed upon delivery, location of tag will be identified at a later date
If so please provide a price to deliver one vehicle to the City Garage (1800 Maxwell Rd, Chula Vista 91911)?
The City requires the a asset tag and VIN number be identified and communicated to a City official after tag is
affixed (All asset tags will be provided by City)
2022/02/15 City Council Post Agenda Page 300 of 406
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA AWARDING AN AGREEMENT WITH
AMERICAN EMERGENCY PRODUCTS DOING BUSINESS
AS AEP-CALIFORNIA LLC TO PROVIDE VEHICLE
OUTFITTING SERVICES FOR THE POLICE DEPARTMENT,
AUTHORIZING THE CITY MANAGER TO EXECUTE THE
SAME, AND AUTHORIZING THE DIRECTOR OF
FINANCE/TREASURER TO APPROVE UP TO FOUR
ADDITIONAL ONE-YEAR EXTENSIONS
WHEREAS, on December 21, 2021, the City issued Request for Bid (RFB) # B09-22/23
to seek bids from vendors who can provide vehicle outfitting services to the Police Department;
and
WHEREAS, 176 vendors were notified of the RFB and 10 prospective bidders
downloaded the RFB; and
WHEREAS, the City received one bid by the January 20, 2022 submittal deadline from
American Emergency Products, doing business as AEP-California LLC; and
WHEREAS, City staff conducted a thorough review to determine if the quote conforms
to the solicitation and if the quote is considered to be in the best interest of the City, with price,
experience and service delivery being considered; and
WHEREAS, AEP-California LLC was selected because they are the only qualified
vendor to meet the Police Department’s vehicle outfitting requirements; and
WHEREAS, on January 26, 2022, a notice of intent to award to AEP-California LLC was
posted on PlanetBids; and
WHEREAS, in coordination with the Finance Department, the Police Department is
recommending to enter into an agreement with AEP-California LLC to provide vehicle outfitting
services for an initial term of February 15, 2022 to February 14, 2023, and up to four, additional
one-year terms.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of C hula
Vista, that it approves the agreement to provide vehicle outfitting services between the City and
American Emergency Products, doing business as AEP-California LLC, in the form presented,
with such minor modifications as may be required or approved by the City Attorney, a copy of
which shall be kept on file in the Office of the City Clerk, and authorizes and directs the City
Manager to execute same.
2022/02/15 City Council Post Agenda Page 301 of 406
Resolution No.
Page 2
BE IT FURTHER RESOLVED by the City Council of the City of Chula Vista, that it
authorizes the Director of Finance/Treasurer to approve up to four additional one-year
extensions.
Presented by
Roxana Kennedy
Chief of Police
Approved as to form by
Glen R. Googins
City Attorney
2022/02/15 City Council Post Agenda Page 302 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Annual Report: Federal Block Grant Programs Funding Priorities for Fiscal Year 2022/23
Report Number: 22-0066
Location: No specific geographic location
Department: Development Services Department
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines and Title 24 of the Federal Code of Regulations; therefore,
pursuant to State Guidelines Section 15060(c)(3) and Federal Guidelines Part 58.34(a)(2)&(3) no
environmental review is required. Notwithstanding the foregoing, the activity qualifies for an Exemption
pursuant to Section 15061(b)(3) of the California Environmental Quality Act State Guidelines and Part 58.34
(a)(2)&(3) of the National Environmental Policy Act.
Recommended Action
Conduct the public hearing and accept the report.
SUMMARY
As a Department of Housing and Urban Development (“HUD”) Entitlement Community, the City of Chula Vista
receives Community Development Block Grant (“CDBG”), HOME Investment Partnerships Act (“HOME”)
Program, and Emergency Solutions Grant (“ESG”) Program funds. These funds are aimed to fund diverse
programs and services to enhance the quality of life for Chula Vista’s most vulnerable populations. The City
prepares an Annual Action Plan (“Action Plan”) for use of the funds describing the housing and community
development needs of the City’s low/moderate-income residents and outlines the strategies to address those
needs.
This Public Hearing will provide the community with an overview and an opportunity to provide input on
the Goals and Funding Priorities established through the 2020-2025 Five-Year Consolidated Plan (“Con
Plan”).
2022/02/15 City Council Post Agenda Page 303 of 406
P a g e | 2
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and National Environmental Policy Act (NEPA). The activity is not a
“Project” as defined under Section 15378 of the State CEQA Guidelines because the proposal consists of a
reporting action, is not for a site-specific project(s) and will not result in a direct or indirect physical change
in the environmental. Therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity
is not subject to CEQA. Under NEPA, the activity is exempt pursuant to Title 24, Part 58.34(a)(2)&(3) of the
Code of Federal Regulations and pursuant to the U.S. Department of Housing & Urban Development
Environmental Guidelines. Thus, no further environmental review is necessary at this time. Although
environmental review is not necessary at this time, once a project(s) has been defined, environmental review
will be required and a CEQA/NEPA determination completed prior to initiation of any related project activity.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
As an entitlement community with HUD, the City of Chula Vista is annually allocated funds under three
Federal Block Grant Programs (CDBG, HOME, and ESG) via a formula-based system determined by statistical
and demographic data. The funds aim to address HUD’s performance measurement framework and were
each enacted with a distinct community-need as further described below.
CDBG: The primary objective of the CDBG program is the development of viable urban communities
through decent housing, a suitable living environment and through expanding economic opportunities
for low/moderate-income persons. Activities funded under this program must address one of three
National Objectives:
1. Benefit to low/ moderate-income persons through social services, housing or infrastructure projects.
2. Aid in the prevention or elimination of slums and blight through residential or commercial
rehabilitation; or
3. To meet an urgent need such as a natural disaster or pandemic.
Historically, the City has utilized this flexible funding source to fund social services programs as well as
improve public facilities and construct new streets and sidewalks.
HOME: The purpose of the program is to create and retain affordable housing. The type of assistance
allowable under this program includes owner-occupied housing rehabilitation, new construction, and
acquisition and rehabilitation, for both single-family and multifamily projects, as well as predevelopment
loans to developers.
In the past, the City has leveraged HOME by providing gap financing to developers investing in our
community by creating new affordable housing units such as Lofts on Landis, Duetta and Volta.
ESG: The program was created specifically to address homelessness as it provides grant funding to
engage and rapidly re-house homeless individuals and families as well as help operate and provide
2022/02/15 City Council Post Agenda Page 304 of 406
P a g e | 3
essential services in emergency shelters. Funds may also be used to prevent individuals and families from
becoming homeless through rapid re-housing programs.
Currently the City is utilizing ESG funds for operational costs for shelters designated for victims of
domestic violence and outreach services. Furthermore, funding has been earmarked for the current
development of the new homeless bridge shelter.
As a recipient of these funds, the City is required to prepare a Con Plan describing the housing and community
development needs of the City’s low/moderate-income residents and outlining strategies to address those
needs over a five-year period. The Con Plan provides the necessary policy guidance for implementation of
programs and services to be funded, as further detailed in the Action Plan submitted to HUD as the formal
funding application for the respective program year. As a reference, the City is currently in the second year
of its 2020-2025 Con Plan.
Citizen Participation through Planning Process
Engaging residents and community members in defining and understanding the current housing and
community development needs while prioritizing resources to address these needs is a key component of
the development of the Con Plan. The City is required by HUD to gather input from its residents, including
minorities, non-English-speaking persons, Low/Moderate-Income residents, persons with disabilities,
advocates for seniors, disabled, illiterate and homeless, whom the grant programs are designed to serve.
Public input received is used to establish the strategies and funding priorities previously described.
This Public Hearing is an avenue for the community to engage in the prioritization of the grant funds and the
development of the upcoming 2022/23 Action Plan.
Funding Priorities for the 2020-2025 Consolidated Plan
As previously described, the Con Plan is the strategic plan for allocating and leveraging the entitlement grants
described above. It utilizes qualitative and quantitative data gathered through citizen participation, market
analysis, and an assessment to identify the highest priority needs in which to direct entitlement dollars. Table
1, on the following page, highlights the goals that were approved and incorporated in the 2020-25 Con Plan
as high-priority needs.
Funding Availability and Request for Applications (Program Year 2022/23)
A Notice of Funding Availability (“NOFA”) for request of the grant funds was released on January 28, 2022
for eligible agencies and City Departments. The application period will run from January 28, 2022 through
February 28, 2022. While the City has not received formal communication from HUD on the anticipated grant
funds for the 2022/23 program year, staff will be assuming the same amount as in prior years. As a reference,
the City has received a slight increase for each of the grants in the past four years.
Next Steps
Once the applications have been received and reviewed for eligibility and funding consideration, staff will
return to present the funding applicant proposals and provide funding recommendations for the 2022/23
program year.
2022/02/15 City Council Post Agenda Page 305 of 406
P a g e | 4
Table 1
2020-2025 Con Plan Goals
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact
that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There is no fiscal impact to the General Fund as a result of this action as all costs associated with the planning
and administration of the CDBG, HOME and ESG programs are covered by the respective grants.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the City's General Fund.
2022/02/15 City Council Post Agenda Page 306 of 406
P a g e | 5
ATTACHMENTS
None.
Staff Contact: Tiffany Allen, Development Services Director
Angélica Davis, Development Services Senior Management Analyst
2022/02/15 City Council Post Agenda Page 307 of 406
FEDERAL GRANTS
CITY COUNCIL PUBLIC HEARING
February 15, 2022
ITEM 6.1 –DEPT. OF HOUSING AND URBAN DEVELOPMENT BLOCK GRANT PROGRAMS
Presented by: Angélica Davis & José Dorado,
Housing Senior Management Analysts
2022/02/15 City Council Post Agenda Page 308 of 406
PUBLIC HEARING
U.S. Department of Housing and
Urban Development Block Grants
Community Development Block Grant (CDBG)
HOME Investment Partnership (HOME)
Emergency Solutions Grant (ESG)
2022/02/15 City Council Post Agenda Page 309 of 406
FUNDING RESOURCES:
GRANT AMOUNT
CDBG $2.4M
HOME $900,000
HOME ARPA $3,100,000
ESG $200K
TOTAL $6.6M
2022/02/15 City Council Post Agenda Page 310 of 406
FUNDING TIMELINE:
Current –March 7 Funding Application and Review Period
March HOME Request for Proposal Release
April 12 City Council Public Hearing
Funding Recommendations for CDBG and ESG
April 8 -May 9 30-Day Public Review Period
May 10 City Council -Action Plan Approval
and Submittal to HUD2022/02/15 City Council Post Agenda Page 311 of 406
FUNDING PRIORITIES:FUNDING PRIORITIES: 2020-2025 ConPlan
2022/02/15 City Council Post Agenda Page 312 of 406
HOME AMERICAN RECOVERY PLAN ACT (ARPA)
•Approximately $4M
•New Eligible Activities:
o Purchase and Development of Non-Congregate Shelter.
o Supportive Services, Homeless Prevention Services, and
Housing Counseling.
•Public Outreach
•Request for Proposals
2022/02/15 City Council Post Agenda Page 313 of 406
HOME ARPA: Public Outreach
•Public Hearing
•Survey
•Plan Review Period
2022/02/15 City Council Post Agenda Page 314 of 406
WHAT TO EXPECT IN 2022-23:
CDBG •Bridge Shelter CIP Complete
•Fund Public Services at the maximum allowable cap
•Complete Alpine Avenue Sidewalk Project
•Complete Anita Sidewalk Project
HOME •Reinstate the First Time Homebuyer Program
•Select developer for a new affordable housing project
•Continue to fund the Tenant-Based Rental Assistance
Program
ESG •New Bridge Shelter Operations
•Continue Outreach
•Continue Supportive Services2022/02/15 City Council Post Agenda Page 315 of 406
QUESTIONS and COMMENTS
ITEM 6.1 –FEDERAL GRANTS PUBLIC HEARING
2022/02/15 City Council Post Agenda Page 316 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Agreement and Appropriation: Approve an Agreement Between the City and CBRE Group, Inc. For Real
Estate Advisement, Marketing and Brokerage Services and Appropriating Funds for that Purpose
Report Number: 22-0051
Location: University-Innovation District
Department: Economic Development
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution waiving the consultant selection process, approving a two-party agreement
(“Agreement”) between the City and CBRE Group, Inc. for real estate advisement, marketing and brokerage
services for the University-Innovation District, appropriating funds for the advisement and marketing
services portions of the agreement in the amount of $653,500 and authorizing the City Manager to execute
Agreement, and the brokerage services implementing exclusive listing agreement, all in final forms approved
by the City Attorney. (4/5 Vote Required)
SUMMARY
Consultant will provide professional real estate advisory and consulting services to negotiate terms and
conditions with HomeFed for development of the University-Innovation District (“UID”). Consultant will
also provide landlord representation and marketing materials and services for institution and industry.
ENVIRONMENTAL REVIEW
The proposed activity has been reviewed for compliance with the California Environmental Quality Act
(CEQA) and it has been determined that the activity is not a “Project” as defined under Section 15378 of the
state CEQA Guidelines; therefore, pursuant to Section 15060(c)3) of the State CEQA Guidelines, the activity
is not subject to CEQA.
2022/02/15 City Council Post Agenda Page 317 of 406
P a g e | 2
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Since the adoption of the Otay Ranch General Development Plan in 1993, the City of Chula Vista has
maintained a vision of locating a university within eastern Chula Vista. This vision is also reflected in the Otay
Ranch General Development Plan and Sectional Planning Area Plan for a new University-Innovation District
(UID). Under the adopted planning documents that govern the development of the site, the UID planning
provides the ability to accommodate up to 20,000 students with an innovation district capable of building
approximately 10 million square feet of mixed-use development, 4.4 million square feet of academic space,
2 million square feet of commercial space for business innovation uses and 3.6 million square feet available
for development of market rate and student/faculty housing. The City’s goals for the UID are as follows:
Develop a university campus offering four-year degrees consistent with the City’s binational and
multi-institutional university vision;
Establish a business environment within the Innovation District that embraces the technology
and/or higher education sectors to serve as a talent pipeline for the University(ies);
Create an on-going income stream and/or one-time capital event;
Support increases in tax revenue;
Support equitable access to higher education;
Foster additional economic development and education opportunities for the community at
large; and
Develop a financial model that allows development to occur with as little out-of-pocket cost to
the City as possible.
The City has assembled, and currently owns, a total of 383 acres of land intended for the UID. In November
2018, the planning effort culminated in the adoption of the UID Sectional Planning Area (SPA) Plan,
Environmental Impact Report and related technical documents. The UID SPA Plan defines: the vision, land
use character and mix, design criteria, pedestrian, bike and vehicular circulation systems, and the
infrastructure requirements for an approximately 10 million square-foot University-Innovation District that
will ultimately serve 20,000 students with supporting uses including office, retail, residential and research
space.
Additionally, the City of Chula Vista acquired one of three United States Olympic Training Centers, now
named the Chula Vista Elite Athlete Training Center. The Chula Vista Elite Athlete Training Center occupies
155 acres in eastern Chula Vista, approximately 2 miles from the University site. This unique and valuable
City asset is potentially available to the institution(s) that develop a presence on the UID site for athletic,
innovation and research uses, on terms to be negotiated with the then facility operator and/or the City.
HomeFed Corporation (HomeFed), the master developer for neighboring Villages 8 West and East, 9 and 10,
is positioned to serve as the Master Developer of the UID including 4,000 market rate student housing units.
HomeFed’s land holdings across Villages 8 west, 8 east, 9 and 10 includes approximately 1,562 gross acres
(636 gross acres for adjacent Villages 9 and 10) and 11,245 housing units (5,635 units in adjacent villages 9
and 10). HomeFed’s land holdings, combined with the 383-acre University site and 155-acre Chula Vista Elite
Athlete Training Facility offer approximately 1,200-acres of opportunity for a higher education institution(s)
2022/02/15 City Council Post Agenda Page 318 of 406
P a g e | 3
to create a 21st century world-class campus community in eastern Chula Vista that is well-supported by
surrounding industry and housing.
On February 25, 2020, with the approval of the SPA plan form-based code amendment initiation for the
University-Innovation Overlay Zone (UI Overlay Zone) and University Villages 9 and 10, the City Council
directed staff to develop a partnership agreement with HomeFed to facilitate the development of the UID
with the Overlay Zone.
In first quarter 2020, staff began the planning process for the creation of the UI Overlay Zone to increase
opportunity to attract educational users to the City of Chula Vista. The UI Overlay Zone would be applicable
to the SPA Plan areas of Otay Ranch Village 9, Village 10, and the University Innovation District -- an area of
approximately 560 developable acres across 1019.4 gross acres. It would expand the area available for
establishment of academic and innovation users, currently limited to the UI District SPA Plan area. This new
regulatory tool would enable flexible redistribution of currently approved land uses based on existing
entitled development capacities, while meeting all open space and off-site preservation commitments and
mitigations. The increased area available for establishment of educational and innovation uses would
incentivize establishment of educational user(s) in the area by allowing development based on user-
identified preferred location and space needs anywhere within the three SPA Plan areas. The UI Overlay Zone
would promote rapid response to potential users through a partnership between the City and HomeFed
Corporation and it would include a built-in review process to enable streamlined approvals to get university
uses established efficiently. Development would be consistent with the adopted vision, land use character
and mix, transects, and open space and mitigation requirements of the underlying three SPA plans. Through
a recently approved Three-Party Agreement, staff is continuing efforts on the UI Overlay Zone.
On June 8, 2020, The University Subcommittee authorized staff to draft a Master Development Agreement
with HomeFed for City Council consideration. After having taken a brief “COVID-pause” due to the education
and industry constraints imposed by the pandemic and the competing demands on staff time for COVID-
response and economic recovery, staff has created several iterations of draft term sheets for discussion
purposes between the City and HomeFed as the proposed deal structure(s) have evolved. HomeFed
continues to be a cooperative partner who is eager to advance a shared vision of success. However, to
continue to make tangible and expeditious progress towards reaching an amicable term sheet and
subsequent resulting agreements, the assistance of a professional real estate firm would assist in
negotiations and provide trusted advisement and marketing services.
The City now seeks the professional real estate expertise and advisement services of CBRE Group, Inc.
(CBRE), a uniquely qualified firm, to assist in the negotiations between City and HomeFed. Specifically, CBRE
will aid in the drafting of a term sheet and will evaluate, advise and advocate for the City’s best interests to
be represented within the term sheet and Exclusive Negotiating Agreement (ENA). Once a term sheet is
completed to both parties’ satisfaction, City will draft a Master Development Agreement (MDA) by and
between the City and HomeFed. Additionally, desired consultant services also include brokerage and
marketing services to ensure the UID is marketed to reputable institutions and companies. Details of these
phases are outlined within the attached proposed agreement. This effort will run concurrently with the
Overlay Zone in anticipation of completion in fourth quarter 2022. An overview of each phase of the proposed
agreement and associated costs is outlined below.
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Phase I – ENA and Term Sheet Negotiation and Completion
Commencement: February 2022
CBRE will assist the City in negotiating a Term Sheet and potentially an Exclusive Negotiating Agreement
(“ENA”), based on that term sheet, for a Master Development Agreement, with HomeFed as the Master
Developer of the UID. Terms and conditions of the Term Sheet shall include but are not limited to:
The creation of a Master Plan for the phased development of City into the UID
Land Development Work for each phase to be financed or caused to be financed by HomeFed
Accounting for the respective values of infrastructure installed by HomeFed on City-owned land
Provision for a master overlay zone that would allow for the transfer of additional development
rights to HomeFed (including residential, commercial and educational uses.)
Requirements for assuring City-preferred development
During the term of the ENA and beyond, due diligence/performance milestones
Cost allocation/sharing
Reimbursement of Land Development Work costs and the payment of a Developer Fee out of land
sale proceeds
City Council approval of key master plan elements, including UID projects
City reservation of legally required discretion and rights
Phase II – Master Development Agreement Negotiation and Completion
Anticipated Completion: November 2022
Pursuant to the terms of the ENA and the Term Sheet, CBRE will assist the City in negotiating with HomeFed
the terms of a final Master Development Agreement, and related documentation. CBRE assistance shall
include:
Recommend key business terms for the proposed agreements
Participation as needed in negotiation sessions with the City and HomeFed
Review and comment on iterations of key drafts and proposed final agreements
Throughout this process CBRE will cooperate and collaborate with City staff and all other consultants City
may engage in connection with the project.
Phase III – Marketing
Timeframe: Commencing concurrently with Phase I and II
CBRE will assist the City to market the University-Innovation District to recruit eligible university
institutions and industry partners to implement the UID. CBRE will also leverage their network of occupiers,
along with higher education, life sciences and tech relationships to ensure the Innovation District will be
marketed to both local firms looking to relocate or add additional space, and national/international firms
looking to enter the Chula Vista market or expand their current presence.
CBRE will help identify and engage all relevant industry markets with high quality employment and
university tie-in opportunities including, without limitation:
Aerospace
Cleantech
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Cybersecurity
Defense
Engineering
Life Sciences
Medical Device
Media and Entertainment
Software
Telecommunications
CBRE will take the following additional steps to marketing, recruitment and leasing success:
Broker outreach and events
Marketing materials catering to specific targeted users
Offer commute, talent/employment and demographic studies to potential relocating firms
Press/social media coverage
Engage brokers to fill possible smaller start-up/collaborative spaces
Utilize drone footage to highlight area advantages
Target tenants being priced out of other submarkets
Support the development of a marketing center
Develop “Why Chula Vista?” marketing materials for potential new-to-market large firms
Advertise with industry-specific websites
Signage at site to highlight superior visibility from access roads
Work with economic development groups, chambers of commerce, and county to promote the
Innovation District as an ideal headquarters location
Brokerage Services and Exclusive Listing Agreement
To complement the marketing effort, CBRE’s brokerage services will also be provided. The City and CBRE
will negotiate in good faith a mutually agreeable Exclusive Listing Agreement (“ELA”) subject to the review
and approval of the City Attorney. The ELA shall have an initial term of 24 months, subject to earlier
termination by the City with ninety (90) days written notice, and extensions beyond the initial term by
mutual agreement of the parties.
Marketing costs are absorbed into the brokerage fee per the below table. Seller/Landlord brokerage fees are
based on the following:
Brokerage Fee Rate Total Project Value Tranche
3.00%* $0 M - $10 M
2.50% $10 M - $20 M
2.00% $20 M - $30 M
1.50% $30 M - $50 M
1.25% $50 M - $100 M
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1.00% $100 M or greater
Agreement Budget
The below table shows the breakdown of costs across the three contract phases and includes a provision for
month-to-month additional support, if necessary.
Phase Cost
Phase I
Exclusive Negotiating Agreement (ENA) and Term
Sheet Negotiation
$195,000
Monthly retainer of $19,500/month for February –
November services (payment for services to begin
following a Notice to Proceed)
Phase II
Master Development Agreement (MDA) Negotiation
and Completion
$300,000
Success fee payable by the City upon full execution
of the MDA
Phase III
Marketing
$100,000
Three (3) Month-to-Month Agreement Extension(s)
Contingencies
$58,500
Should the parties not reach an agreement by the
end of November, CBRE and the City may mutually
agree to continue the effort on a month-to-month
basis for a period of three (3) months maximum
paying the monthly retainer rate of $19,500/month.
Total Funds to Appropriate from V3 Development
Agreement (no General Fund impact)
$653,500
About CBRE
CBRE is uniquely qualified to perform as the consultant for this work as they are the largest and most
successful commercial real estate services firm in the world. CBRE has significant and varied resources,
including a dedicated Public Institutions Education Solutions business group which has advised over 100
non-federal agencies and universities on complicated and high-profile projects. CBRE also possesses access
to significant technological industry advances due to recent investments. Additionally, the proposed
consultant provides access to development, university, public-private partnership specialists and local
market experts to execute a transaction in the best interests of the City. CBRE touts an extensive network of
occupiers, higher education, life sciences and tech relationships that the City will be equipped to leverage to
advance the UID. The CBRE team holds over 150+ years of combined experience, has over 20 public-private-
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partnership projects underway and completed, has represented over 100 public sector clients, transacted
over 100 million square feet and has recently generated $3 billion in revenue for government clients.
Based upon these unique qualifications, staff is recommending that the City Council waive the normally
applicable consultant selection process and hire CBRE on a “sole source” basis as permitted under Sections
2.56.070B(3) and 2.56.070B(4) of the Chula Vista Municipal Code.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Council members and has found no property holdings
within 1,000 feet of the boundaries of the property which is the subject of this action. Consequently, this item
does not present a disqualifying real property-related financial conflict of interest under California Code of
Regulations Title 2, section 18702.2(a)(7) or (8), for purposes of the Political Reform Act (Cal. Gov’t Code
§87100, et seq.).
CURRENT-YEAR FISCAL IMPACT
There will be no current-year fiscal impact to the City’s General Fund. The agreement expenses of $595,000
with a $58,500 contingency for additional months of negotiation, for a total of $653,500, will be appropriated
from funds contributed by HomeFed Village III Master, LLC per the Development Agreement approved by
City Council on July 13, 2021 by Ordinance No. 3505.
ONGOING FISCAL IMPACT
There is no ongoing fiscal impact to the City’s General Fund. Should an agreement not be reached between
the City and HomeFed by the end of November 2022, three optional month-to-month extensions payable by
the $19,500 monthly retainer fee will be subject to approval of both the City and CBRE. These costs will also
be appropriated from funds contributed by HomeFed Village III Master, LLC per the Development Agreement
approved by City Council on July 13, 2021 by Ordinance No. 3505.
ATTACHMENTS
Two-Party Agreement – CBRE Group, Inc.
Staff Contact: Miranda Evans, Special Projects Manager
2022/02/15 City Council Post Agenda Page 323 of 406
RESOLUTION NO. 2022-__________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA WAIVING THE CITY’S CONSULTANT
SELECTION PROCESS, APPROVING A TWO-PARTY
AGREEMENT BETWEEN THE CITY AND CBRE GROUP,
INC. FOR REAL ESTATE ADVISEMENT, MARKETING
AND BROKERAGE SERVICES AND APPROPRIATING
$653,000 IN FUNDS THEREFOR
WHEREAS, City desires to attract and locate a multi-institutional, bi-national university
in Eastern Chula Vista on 383.7 acres of City-owned land (“University-Innovation District”)
which is located adjacent to 432.9 gross acres of land that comprise Villages 9 and 10 under the
ownership of HomeFed Development Corporation (“HomeFed”)—the uniquely qualified
developer of which City is evaluating a development partnership with to facilitate the
development of the University-Innovation District on a combined-ownership area of
approximately 560 developable acres across 816.6 gross acres; and
WHEREAS, On June 8, 2020, The University Subcommittee authorized staff to draft a
Master Development Agreement with HomeFed for City Council consideration to continue to make
tangible and expeditious progress towards reaching an amicable term sheet and subsequent resulting
agreements, the assistance of a professional real estate firm would assist in negotiations and provide
trusted advisement and marketing services; and
WHEREAS, City requires the expertise of a professional services consultant to conduct
Real Estate Consulting and Negotiation Services to evaluate and provide specialized expertise,
advisement and negotiation services between City and HomeFed; and
WHEREAS, City requires the expertise of a professional services consultant to act as a
landlord representative for the City and provide marketing services to leverage CBRE’s extensive
network of occupiers, higher education, life sciences, and tech relationships, to ensure the
Innovation District will be marketed to both local firms looking to relocate or add additional space,
and national/international firms looking to enter the Chula Vista market or expand their current
presence; and
WHEREAS, Consultant is the largest and most successful commercial real estate services
firm in the world, with significant and varied resources, including a dedicated Public Institutions
Education Solutions business group which has advised over 100 non-federal agencies and
universities on complicated and high-profile projects, and consultant provides access to
development, university, public-private partnership specialists and local market experts to execute
a transaction in the best interests of the City; and
WHEREAS, based upon the above-described qualifications, performance capabilities and
experience, and the substantial work that Consultant has already performed for City under a
separate but related contract regarding the University-Innovation District project, City has
determined that Consultant is uniquely qualified to perform the Required Services and has waived
2022/02/15 City Council Post Agenda Page 324 of 406
Resolution No.
Page 2
the City’s competitive bidding requirements pursuant to Chula Vista Municipal Code Section
2.56.070(B)(3) (City’s interests are better served by an alternative procurement mechanism) and
2.56.070.B(4) (sole source exemption); and
WHEREAS, because of the critical importance of the project and significant anticipated
economic impact as a result of the University -Innovation District being realized, the City
agrees to pa y the consultant’s cost of up to $653,500 (six hundred fifty three thousand five
hundred dollars) for professional real estate services to assist in negotiating the terms for a
Master Development Agreement with HomeFed and a Marketing Plan for marketing the
University-Innovation District project to both institutions and industry).
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista,
hereb y:
1. Finds with respect to the proposed two-party agreement (“Agreement”) between the
City and CBRE Group, Inc. (“CBRE”) for real estate advisement, marketing and
brokerage services (“Agreement”), based on the facts set forth above, that City’s
interests are better served by an alternative procurement mechanism (per CVMC
2.56.070(B)(3) and that CBRE is uniquely qualified to perform the proposed services
(per CVMC 2.56.070.B(4)), and therefore waives the City’s consultant selection
process with respect to the Agreement; and
2. Approves the Agreement in the form presented, with such minor modifications as may
be required or approved by the City Attorney, a cop y of which shall be kept on file in
the Office of the Cit y Clerk; and
3. Appropriate $653,500 from the funds contributed by HomeFed Village III Master, LLC
per the Development Agreement approved by City Council on July 13, 2021 by
Ordinance No. 3505 for purposes of funding the real estate advisement and marketing
portion of that Agreement (4/5 Vote Required); and
4. Authorizes and directs the City Manager to execute both the Agreement and an
Exclusive Listing Agreement with CBRE therein contemplated in order to implement
the brokerage services portion of the Agreement, in a final form approved by the City
Attorney.
Presented by:
Eric C. Crockett
Deputy City Manager
Approved as to form by:
Glen R. Googins
City Attorney
2022/02/15 City Council Post Agenda Page 325 of 406
1 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
CITY OF CHULA VISTA
CONSULTANT SERVICES AGREEMENT
WITH CBRE GROUP, INC.
TO PROVIDE DEVELOPMENT ADVISORY AND BROKERAGE SERVICES FOR THE
UNIVERSITY-INNOVATION DISTRICT
This Agreement is entered into effective as of February 15 2022 (“Effective Date”) by and between the City of
Chula Vista, a chartered municipal corporation (“City”) and CBRE Group, Inc., A California Corporation)
(“Consultant”) (collectively, the “Parties” and, individually, a “Party”) with reference to the following facts:
RECITALS
WHEREAS, City desires to attract and locate a multi-institutional, bi-national university in Eastern Chula
Vista on 383.7 acres of City-owned land (“University and Innovation District”) which is located adjacent to 432.9
gross acres of land that comprise Villages 9 and 10 under the ownership of HomeFed Development Corporation—
the uniquely qualified developer of which City is evaluating a development partnership with to facilitate the
development of the University and Innovation District on a combined-ownership area of approximately 560
developable acres across 816.6 gross acres; and
WHEREAS, City requires the expertise of a professional services consultant to conduct Real Estate
Consulting and Negotiation Services to evaluate and provide specialized expertise, advisement and negotiation
services between City and HomeFed Development Corporation; and
WHEREAS, City requires the expertise of a professional services consultant to act as a landlord
representative for the City and provide marketing services to leverage CBRE’s extensive network of occupiers,
higher education, life sciences, and tech relationships, to ensure the Innovation District will be marketed to both
local firms looking to relocate or add additional space, and national/international firms looking to enter the Chula
Vista market or expand their current presence; and
WHEREAS, Consultant is the largest and most successful commercial real estate services firm in the
world, with significant and varied resources, including a dedicated Public Institutions Education Solutions
business group which has advised over 100 non-federal agencies and universities on complicated and high-profile
projects, and consultant provides access to development, university, public-private partnership specialists and
local market experts to execute a transaction in the best interests of the City; and
WHEREAS, based upon the above-described qualifications, performance capabilities and experience, and
the substantial work that Consultant has already performed for City under a separate but related contract regarding
the University and Innovation District project, City has determined that Consultant is uniquely qualified to
perform the Required Services (as defined herein) and has waived the City’s competitive bidding requirements
pursuant to Chula Vista Municipal Code Section 2.56.070(B)(3) (City’s interests are better served by an
alternative procurement mechanism) and 2.56.070.B(4) (sole source exemption); and
WHEREAS, Consultant warrants and represents that it is experienced and staffed in a manner such that it
can deliver the services required of Consultant to City in accordance with the time frames and the terms and
conditions of this Agreement.
[End of Recitals. Next Page Starts Obligatory Provisions.]
2022/02/15 City Council Post Agenda Page 326 of 406
2 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
OBLIGATORY PROVISIONS
NOW, THEREFORE, in consideration of the above recitals, the covenants contained herein, and other
good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, City and
Consultant hereby agree as follows:
1. SERVICES
1.1 Required Services. Consultant agrees to perform the services and deliver to City the “Deliverables” (if
any) described in the attached Exhibit A, incorporated into the Agreement by this reference, within the time
frames set forth therein, time being of the essence for this Agreement. The services and/or Deliverables
described in Exhibit A shall be referred to herein as the “Required Services.”
1.2 Reductions in Scope of Work. City may independently, or upon request from Consultant, from time
to time, reduce the Required Services to be performed by the Consultant under this Agreement. Upon doing
so, City and Consultant agree to meet and confer in good faith for the purpose of negotiating a corresponding
reduction in the compensation associated with the reduction.
1.3 Additional Services. Subject to compliance with the City’s Charter, codes, policies, procedures and
ordinances governing procurement and purchasing authority, City may request Consultant provide additional
services related to the Required Services (“Additional Services”). If so, City and Consultant agree to meet
and confer in good faith for the purpose of negotiating an amendment to Exhibit A, to add the Additi onal
Services. Unless otherwise agreed, compensation for the Additional Services shall be charged and paid
consistent with the rates and terms already provided therein. Once added to Exhibit A, “Additional Services”
shall also become “Required Services” for purposes of this Agreement.
1.4 Standard of Care. Consultant expressly warrants and agrees that any and all Required Services
hereunder shall be performed in accordance with the highest standard of care exercised by members of the
profession currently practicing under similar conditions and in similar locations.
1.5 No Waiver of Standard of Care. Where approval by City is required, it is understood to be conceptual
approval only and does not relieve the Consultant of responsibility for complying with all laws, codes, industry
standards, and liability for damages caused by negligent acts, errors, omissions, noncompliance with industry
standards, or the willful misconduct of the Consultant or its subcontractors.
1.6 Security for Performance. In the event that Exhibit A Section 4 indicates the need for Consultant to
provide additional security for performance of its duties under this Agreement, Consultant shall provide such
additional security prior to commencement of its Required Services in the form and on the terms prescribed
on Exhibit A, or as otherwise prescribed by the City Attorney.
1.7 Compliance with Laws. In its performance of the Required Services, Consultant shall comply with
any and all applicable federal, state and local laws, including the Chula Vista Municipal Code.
1.8 Business License. Prior to commencement of work, Consultant shall obtain a business license from
City.
1.9 Subcontractors. Prior to commencement of any work, Consultant shall submit for City’s information
and approval a list of any and all subcontractors to be used by Consultant in the performance of the Required
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3 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
Services. Consultant agrees to take appropriate measures necessary to ensure that all subcontractors and
personnel utilized by the Consultant to complete its obligations under this Agreement comply with all
applicable laws, regulations, ordinances, and policies, whether federal, state, or local. In addition, if any
subcontractor is expected to fulfill any responsibilities of the Consultant under this Agreement, Consultant
shall ensure that each and every subcontractor carries out the Consultant’s responsibilities as set forth in this
Agreement.
1.10 Term. This Agreement shall commence on the earlier to occur of the Effective Date or Consultant’s
commencement of the Required Services hereunder and shall terminate when the Parties have complied with
all their obligations hereunder; provided, however, provisions which expressly survive termination shall
remain in effect.
2. COMPENSATION
2.1 General. For satisfactory performance of the Required Services, City agrees to compensate Consultant
in the amount(s) and on the terms set forth in Exhibit A, Section 4. Standard terms for billing and payment
are set forth in this Section 2.
2.2 Detailed Invoicing. Consultant agrees to provide City with a detailed invoice for services performed
each month, within thirty (30) days of the end of the month in which the services were performed, unless
otherwise specified in Exhibit A. Invoicing shall begin on the first of the month following the Effective Date
of the Agreement. All charges must be presented in a line item format with each task separately explained in
reasonable detail. Each invoice shall include the current monthly amount being billed, the amount invoiced
to date, and the remaining amount available under any approved budget. Consultant must obtain prior written
authorization from City for any fees or expenses that exceed the estimated budget.
2.3 Payment to Consultant. Upon receipt of a properly prepared invoice and confirmation that the
Required Services detailed in the invoice have been satisfactorily performed, City shall pay Consultant for
the invoice amount within thirty (30) days. Payment shall be made in accordance with the terms and conditions
set forth in Exhibit A and section 2.4, below. At City’s discretion, invoices not timely submitted may be
subject to a penalty of up to five percent (5%) of the amount invoiced.
2.4 Retention Policy. City shall retain ten percent (10%) of the amount due for Required Services detailed
on each invoice (the “holdback amount”). Upon City review and determination of Project Completion, the
holdback amount will be issued to Consultant.
2.5 Reimbursement of Costs. City may reimburse Consultant’s out-of-pocket costs incurred by Consultant
in the performance of the Required Services if negotiated in advance and included in Exhibit A. Unless
specifically provided in Exhibit A, Consultant shall be responsible for any and all out-of-pocket costs incurred
by Consultant in the performance of the Required Services.
2.6 Exclusions. City shall not be responsible for payment to Consultant for any fees or costs in excess of
any agreed upon budget, rate or other maximum amount(s) provided for in Exhibit A. City shall also not be
responsible for any cost: (a) incurred prior to the Effective Date; or (b) arising out of or related to the errors,
omissions, negligence or acts of willful misconduct of Consultant, its agents, employees, or subcontractors.
2.7 Payment Not Final Approval. Consultant understands and agrees that payment to the Consultant or
reimbursement for any Consultant costs related to the performance of Required Services does not constitute
a City final decision regarding whether such payment or cost reimbursement is allowable and eligible for
2022/02/15 City Council Post Agenda Page 328 of 406
4 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
payment under this Agreement, nor does it constitute a waiver of any violation by Consultant of the terms of
this Agreement. If City determines that Consultant is not entitled to receive any amount of compensation
already paid, City will notify Consultant in writing and Consultant shall promptly return such amount.
3. INSURANCE
3.1 Required Insurance. Consultant must procure and maintain, during the period of performance of
Required Services under this Agreement, and for twelve months after completion of Required Services, the
policies of insurance described on the attached Exhibit B, incorporated into the Agreement by this reference
(the “Required Insurance”). The Required Insurance shall also comply with all other terms of this Section.
3.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions relating to the
Required Insurance must be disclosed to and approved by City in advance of the commencement of work.
3.3 Standards for Insurers. Required Insurance must be placed with licensed insurers admitted to transact
business in the State of California with a current A.M. Best’s rating of A V or better, or, if insurance is placed
with a surplus lines insurer, insurer must be listed on the State of California List of Eligible Surplus Lines
Insurers (LESLI) with a current A.M. Best’s rating of no less than A X. For Workers’ Compensation
Insurance, insurance issued by the State Compensation Fund is also acceptable.
3.4 Subcontractors. Consultant must include all sub-consultants/sub-contractors as insureds under its
policies and/or furnish separate certificates and endorsements demonstrating separate coverage for those not
under its policies. Any separate coverage for sub-consultants must also comply with the terms of this
Agreement.
3.5 Additional Insureds. City, its officers, officials, employees, agents, and volunteers must be named as
additional insureds with respect to any policy of general liability, automobile, or pollution insurance specified
as required in Exhibit B or as may otherwise be specified by City’s Risk Manager. The general liability
additional insured coverage must be provided in the form of an endorsement to the Consultant’s insurance
using ISO CG 2010 (11/85) or its equivalent; such endorsement must not exclude Products/Completed
Operations coverage.
3.6 General Liability Coverage to be “Primary.” Consultant’s general liability coverage must be primary
insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or
self-insurance maintained by the City, its officers, officials, employees, or volunteers is wholly separate from
the insurance provided by Consultant and in no way relieves Consultant from its responsibility to provide
insurance.
3.7 No Cancellation. No Required Insurance policy may be canceled by either Party during the required
insured period under this Agreement, except after thirty days’ prior written notice to the City by certified mail,
return receipt requested. Prior to the effective date of any such cancellation Consultant must procure and put
into effect equivalent coverage(s).
3.8 Waiver of Subrogation. Consultant’s insurer(s) will provide a Waiver of Subrogation in favor of the
City for each Required Insurance policy under this Agreement. In addition, Consultant waives any right it
may have or may obtain to subrogation for a claim against City.
3.9 Verification of Coverage. Prior to commencement of any work, Consultant shall furnish City with
original certificates of insurance and any amendatory endorsements necessary to demonstrate to City that
2022/02/15 City Council Post Agenda Page 329 of 406
5 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
Consultant has obtained the Required Insurance in compliance with the terms of this Agreement. The words
“will endeavor” and “but failure to mail such notice shall impose no obligation or liability of any kind upon
the company, its agents, or representatives” or any similar language must be deleted from all certificates. The
required certificates and endorsements should otherwise be on industry standard forms. The City reserves the
right to require, at any time, complete, certified copies of all required insurance policies, including
endorsements evidencing the coverage required by these specifications.
3.10 Claims Made Policy Requirements. If General Liability, Pollution and/or Asbestos Pollution Liability
and/or Errors & Omissions coverage are required and are provided on a claims-made form, the following
requirements also apply:
a. The “Retro Date” must be shown and must be before the date of this Agreement or the beginning
of the work required by this Agreement.
b. Insurance must be maintained, and evidence of insurance must be provided, for at least three (3)
years after completion of the work required by this Agreement.
c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form
with a “Retro Date” prior to the effective date of this Agreement, the Consultant must purchase “extended
reporting” coverage for a minimum of three (3) years after completion of the work required by this Agreement.
d. A copy of the claims reporting requirements must be submitted to the City for review.
3.11 Not a Limitation of Other Obligations. Insurance provisions under this section shall not be construed
to limit the Consultant’s obligations under this Agreement, including Indemnity.
3.12 Additional Coverage. To the extent that insurance coverage provided by Consultant maintains higher
limits than the minimums appearing in Exhibit B, City requires and shall be entitled to coverage for higher
limits maintained.
4. INDEMNIFICATION
4.1. General. To the maximum extent allowed by law, Consultant shall protect, defend, indemnify and hold
harmless City, its elected and appointed officers, agents, employees and volunteers (collectively,
“Indemnified Parties”), from and against any and all claims, demands, causes of action, costs, expenses,
(including reasonable attorneys’ fees and court costs), liability, loss, damage or injury, in law or equity, to
property or persons, including wrongful death, in any manner arising out of or incident to any alleged acts,
omissions, negligence, or willful misconduct of Consultant, its officials, officers, employees, agents, and
contractors, arising out of or in connection with the performance of the Required Services, the results of such
performance, or this Agreement. This indemnity provision does not include any claims, damages, liability,
costs and expenses arising from the sole negligence or willful misconduct of the Indemnified Parties. Also
covered is liability arising from, connected with, caused by or claimed to be caused by the active or passive
negligent acts or omissions of the Indemnified Parties which may be in combination with the active or passive
negligent acts or omissions of the Consultant, its employees, agents or officers, or any third party.
4.2. Modified Indemnity Where Agreement Involves Design Professional Services. Notwithstanding the
forgoing, if the services provided under this Agreement are design professional services, as defined by
California Civil Code section 2782.8, as may be amended from time to time, the defense and indemnity
2022/02/15 City Council Post Agenda Page 330 of 406
6 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
obligation under Section 1, above, shall be limited to the extent required by California Civil Code section
2782.8.
4.3 Costs of Defense and Award. Included in Consultant’s obligations under this Section 4 is Consultant’s
obligation to defend, at Consultant’s own cost, expense and risk, any and all suits, actions or other legal
proceedings that may be brought or instituted against one or more of the Indemnified Parties. Subject to the
limitations in this Section 4, Consultant shall pay and satisfy any judgment, award or decree that may be
rendered against one or more of the Indemnified Parties for any and all related legal expenses and costs
incurred by any of them.
4.4. Consultant’s Obligations Not Limited or Modified. Consultant’s obligations under this Section 4 shall
not be limited to insurance proceeds, if any, received by the Indemnified Parties, or by any prior or subsequent
declaration by the Consultant. Furthermore, Consultant’s obligations under this Section 4 shall in no way
limit, modify or excuse any of Consultant’s other obligations or duties under this Agreement.
4.5. Enforcement Costs. Consultant agrees to pay any and all costs City incurs in enforcing Consultant’s
obligations under this Section 4.
4.6 Survival. Consultant’s obligations under this Section 4 shall survive the termination of this Agreement.
5. FINANCIAL INTERESTS OF CONSULTANT.
5.1 Form 700 Filing. The California Political Reform Act and the Chula Vista Conflict of Interest Code
require certain government officials and consultants performing work for government agencies to publicly
disclose certain of their personal assets and income using a Statement of Economic Interests form (Form 700).
In order to assure compliance with these requirements, Consultant shall comply with the disclosure
requirements identified in the attached Exhibit C, incorporated into the Agreement by this reference.
5.2 Disclosures; Prohibited Interests. Independent of whether Consultant is required to file a Form 700,
Consultant warrants and represents that it has disclosed to City any economic interests held by Consultant, or
its employees or subcontractors who will be performing the Required Services, in any real property or project
which is the subject of this Agreement. Consultant warrants and represents that it has not employed or retained
any company or person, other than a bona fide employee or approved subcontractor working solely for
Consultant, to solicit or secure this Agreement. Further, Consultant warrants and represents that it has not paid
or agreed to pay any company or person, other than a bona fide employee or approved subcontractor working
solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent
upon or resulting from the award or making of this Agreement. Consultant further warrants and represents
that no officer or employee of City, has any interest, whether contractual, non-contractual, financial or
otherwise, in this transaction, the proceeds hereof, or in the business of Consultant or Consultant’s
subcontractors. Consultant further agrees to notify City in the event any such interest is discovered whether
or not such interest is prohibited by law or this Agreement. For breach or violation of any of these warranties,
City shall have the right to rescind this Agreement without liability.
6. REMEDIES
6.1 Termination for Cause. If for any reason whatsoever Consultant shall fail to perform the Required
Services under this Agreement, in a proper or timely manner, or if Consultant shall violate any of the other
covenants, agreements or conditions of this Agreement (each a “Default”), in addition to any and all other
rights and remedies City may have under this Agreement, at law or in equity, City shall have the right to
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Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
terminate this Agreement by giving five (5) days written notice to Consultant . Such notice shall identify the
Default and the Agreement termination date. If Consultant notifies City of its intent to cure such Default prior
to City’s specified termination date, and City agrees that the specified Default is capable of being cured, City
may grant Consultant up to ten (10) additional days after the designated termination date to effectuate such
cure. In the event of a termination under this Section 6.1, Consultant shall immediately provide City any and
all ”Work Product” (defined in Section 7 below) prepared by Consultant as part of the Required Services.
Such Work Product shall be City’s sole and exclusive property as provided in Section 7 hereof. Consultant
may be entitled to compensation for work satisfactorily performed prior to Consultant’s receipt of the Default
notice; provided, however, in no event shall such compensation exceed the amount that would have been
payable under this Agreement for such work, and any such compensation shall be reduced by any costs
incurred or projected to be incurred by City as a result of the Default.
6.2 Termination or Suspension for Convenience of City. City may suspend or terminate this Agreement,
or any portion of the Required Services, at any time and for any reason, with or without cause, by giving
specific written notice to Consultant of such termination or suspension at least fifteen (15) days prior to the
effective date thereof. Upon receipt of such notice, Consultant shall immediately cease all work under the
Agreement and promptly deliver all “Work Product” (defined in Section 7 below) to City. Such Work Product
shall be City's sole and exclusive property as provided in Section 7 hereof. Consultant shall be entitled to
receive just and equitable compensation for this Work Product in an amount equal to the amount due and
payable under this Agreement for work satisfactorily performed as of the date of the termination/suspension
notice plus any additional remaining Required Services requested or approved by City in advance that would
maximize City’s value under the Agreement.
6.3 Waiver of Claims. In the event City terminates the Agreement in accordance with the terms of this
Section, Consultant hereby expressly waives any and all claims for damages or compensation as a result of
such termination except as expressly provided in this Section 6.
6.4 Administrative Claims Requirements and Procedures. No suit or arbitration shall be brought arising
out of this Agreement against City unless a claim has first been presented in writing and filed with City and
acted upon by City in accordance with the procedures set forth in Chapter 1.34 of the Chula Vista Municipal
Code, as same may be amended, the provisions of which, including such policies and procedures used by City
in the implementation of same, are incorporated herein by this reference. Upon request by City, Consultant
shall meet and confer in good faith with City for the purpose of resolving any dispute over the terms of this
Agreement.
6.5 Governing Law/Venue. This Agreement shall be governed by and construed in accordance with the
laws of the State of California. Any action arising under or relating to this Agreement shall be brought only
in San Diego County, State of California.
6.6 Service of Process. Consultant agrees that it is subject to personal jurisdiction in California. If
Consultant is a foreign corporation, limited liability company, or partnership that is not registered with the
California Secretary of State, Consultant irrevocably consents to service of process on Consultant by first
class mail directed to the individual and address listed under “For Legal Notice,” in section 1.B. of Exhibit A
to this Agreement, and that such service shall be effective five days after mailing.
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8 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
7. OWNERSHIP AND USE OF WORK PRODUCT
All reports, studies, information, data, statistics, forms, designs, plans, procedures, systems and any other
materials or properties produced in whole or in part under this Agreement in connection with the performance
of the Required Services, with the exception of Consultant’s proprietary computer models (collectively “Work
Product”) shall be the sole and exclusive property of City. No such Work Product shall be subject to private
use, copyrights or patent rights by Consultant in the United States or in any other country without the express,
prior written consent of City. City shall have unrestricted authority to publish, disclose, dis tribute, and
otherwise use, copyright or patent, in whole or in part, any such Work Product, without requiring any
permission of Consultant, except as may be limited by the provisions of the Public Records Act or expressly
prohibited by other applicable laws.
8. GENERAL PROVISIONS
8.1 Amendment. This Agreement may be amended, but only in writing signed by both Parties.
8.2 Assignment. City would not have entered into this Agreement but for Consultant’s unique
qualifications and traits. Consultant shall not assign any of its rights or responsibilities under this Agreement,
nor any part hereof, without City’s prior written consent, which City may grant, condition or deny in its sole
discretion.
8.3 Authority. The person(s) executing this Agreement for Consultant warrants and represents that they
have the authority to execute same on behalf of Consultant and to bind Consultant to its obligations hereunder
without any further action or direction from Consultant or any board, principle or officer thereof.
8.4 Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an
original, but all of which shall constitute one Agreement after each Party has signed such a counterpart.
8.5 Entire Agreement. This Agreement together with all exhibits attached hereto and other agreements
expressly referred to herein, constitutes the entire Agreement between the Parties with respect to the subject
matter contained herein. All exhibits referenced herein shall be attached hereto and are incorporated herein
by reference. All prior or contemporaneous agreements, understandings, representations, warranties and
statements, oral or written, are superseded.
8.6 Record Retention. During the course of the Agreement and for three (3) years following completion
of the Required Services, Consultant agrees to maintain, intact and readily accessible, all data, documents,
reports, records, contracts, and supporting materials relating to the performance of the Agreement, including
accounting for costs and expenses charged to City, including such records in the possession of sub-
contractors/sub-consultants.
8.7 Further Assurances. The Parties agree to perform such further acts and to execute and deliver such
additional documents and instruments as may be reasonably required in order to carry out the provisions of
this Agreement and the intentions of the Parties.
8.8 Independent Contractor. Consultant is and shall at all times remain as to City a wholly independent
contractor. Neither City nor any of its officers, employees, agents or volunteers shall have control over the
conduct of Consultant or any of Consultant’s officers, employees, or agents (“Consultant Related
Individuals”), except as set forth in this Agreement. No Consultant Related Individuals shall be deemed
employees of City, and none of them shall be entitled to any benefits to which City employees are entitled,
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Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
including but not limited to, overtime, retirement benefits, worker's compensation benefits, injury leave or
other leave benefits. Furthermore, City will not withhold state or federal income tax, social security tax or
any other payroll tax with respect to any Consultant Related Individuals; instead, Consultant shall be solely
responsible for the payment of same and shall hold the City harmless with respect to sam e. Consultant shall
not at any time or in any manner represent that it or any of its Consultant Related Individuals are employees
or agents of City. Consultant shall not incur or have the power to incur any debt, obligation or liability
whatsoever against City, or bind City in any manner.
8.9 Notices. All notices, demands or requests provided for or permitted to be given pursuant to this
Agreement must be in writing. All notices, demands and requests to be sent to any Party shall be deemed to
have been properly given or served if personally served or deposited in the United States mail, addressed to
such Party, postage prepaid, registered or certified, with return receipt requested, at the addresses identified
in this Agreement at the places of business for each of the designated Parties as indicated in Exhibit A, or
otherwise provided in writing.
9. CONSULTANT DISCLAIMERS
9.1 In accepting this Agreement, the City represents, acknowledges and agrees that:
a. Consultant is not advising or recommending any action be taken by the City with respect to any
prospective, new, or existing municipal financial products or issuance of municipal securities
(including with respect to the structure, timing, terms and other similar matters concerning such
financial products or issues).
b. Consultant is not acting as a Municipal Advisor to the City and does not assume any fiduciary duty
hereunder, including, without limitation, a fiduciary duty to the City pursuant to Section 15B of the
Exchange Act with respect to the services provided hereunder and any information and material
contained in Consultant’s work product.
c. The City shall discuss any such information and material contained in Consultant’s work product with
any and all internal and/or external advisors and experts, including its own Municipal Advisors, that it
deems appropriate before acting on the information and material.
The City further represents, acknowledges and agrees that:
d. The City uses the services of one or more Municipal Advisors registered with the U.S. Securities and
Exchange Commission (“SEC”) to advise it in connection with municipal financial products and the
issuance of municipal securities.
e. The City is not looking to Consultant to provide, and the City shall not otherwise request or require
Consultant to provide, any advice or recommendations with respect to municipal financial products or
the issuance of municipal securities (including any advice or recommendations with respect to the
structure, timing, terms, and other similar matters concerning such financial products or issues).
f. The provisions of this Agreement and the services to be provided hereunder are not intended (and shall
not be construed) to constitute or include any municipal advisory services within the meaning of
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Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
Section 15B of the U.S. Securities Exchange Act of 1934, as amended (the “Exchange Act”), and the
rules and regulations adopted thereunder.
g. For the avoidance of doubt and without limiting the foregoing, in connection with any projections,
studies and analyses Consultant may provide the City with respect to financial, economic, or other
matters relating to a prospective, new, or existing issuance of municipal securities of the City, (A) any
such projections, studies, and analyses shall be based upon assumptions, opinions, or views (including,
without limitation, any assumptions related to revenue growth) established by the City, in conjunction
with such of its municipal, financial, legal and other advisers as it deems appropriate; and (B) under no
circumstances shall Consultant be asked to provide, nor shall it provide, any advice or
recommendations or subjective assumptions, opinions, or views with respect to revenue projections or
the actual or proposed structure, terms, timing, pricing, or other similar matters with respect to any
municipal financial products or municipal securities issuances, including any revisions or amendments
thereto.
h. Notwithstanding all of the foregoing, the City recognizes that interpretive guidance regarding
municipal advisory activities is currently quite limited and is likely to evolve and develop during the
term of the Agreement and, to that end, the City will work with Consultant throughout the term of the
Agreement to ensure that the Agreement and the services to be provided by Consultant hereunder is
interpreted by the parties and, if necessary, amended in a manner intended to ensure that the City is not
asking Consultant to provide, and Consultant is not in fact providing or required to provide, any
municipal advisory services.
(End of page. Next page is signature page.)
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11 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
SIGNATURE PAGE
CONSULTANT SERVICES AGREEMENT
IN WITNESS WHEREOF, by executing this Agreement where indicated below, City and Consultant
agree that they have read and understood all terms and conditions of the Agreement, that they fully agree and
consent to bound by same, and that they are freely entering into this Agreement as of the Effective Date.
CBRE GROUP, INC. CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
NATALIE DAHL MARIA V. KACHADOORIAN
MANAGING DIRECTOR CITY MANAGER
APPROVED AS TO FORM
BY: ________________________________
Glen R. Googins
City Attorney
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12 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
EXHIBIT A
SCOPE OF WORK AND PAYMENT TERMS
1. Contact People for Contract Administration, Legal Notice, and Payments
A. City Contract Administration:
Eric Crockett
276 Fourth Avenue
Chula Vista, CA 91910
(619) 476-5341
ecrockett@chulavistaca.gov
For Legal Notice Copy to:
City of Chula Vista
City Attorney
276 Fourth Avenue, Chula Vista, CA 91910
619-691-5037
CityAttorney@chulavistaca.gov
B. Consultant Contract Administration:
CBRE GROUP, INC.
Tom Turner
3821 Overpark Road
San Diego, CA 92130
C +1 619 840 0477
Tom.Turner2@cbre.com
For Legal Notice Copy to: Consultant Payment Address:
Sean Treglia Tom Turner
CBRE, Inc. CBRE, Inc.
Legal Services 3821 Overpark Road
400 S Hope St. San Diego, CA 92130
25th Floor
Los Angeles, CA 90071
2. Required Services
A. General Description of Services:
Consultant will provide professional real estate advisory and consulting services to negotiate terms and
conditions with HomeFed Corporation for development of the University and Innovation District (“UID”).
Consultant will also provide landlord representation and full marketing materials and services.
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13 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
B. Detailed Description of Services:
(1) Background Information:
Since the adoption of the Otay Ranch General Development Plan in 1993, the City of Chula Vista has
maintained a vision of locating a university within eastern Chula Vista. This vision is also reflected in the Otay
Ranch General Development Plan and Sectional Planning Area Plan for a new University-Innovation District
(UID). Under the adopted planning documents that govern the development of the site, the U ID planning
provides the ability to accommodate up to 20,000 students with an innovation district capable of building
approximately 2 million square feet of commercial space for private industry partners with 3.6 million square
feet available for development of market rate and student/faculty housing. The City’s goals for the UID are as
follows:
Develop a university campus offering four-year degrees consistent with the City’s binational and multi-
institutional university vision;
Establish a business environment within the Innovation District that embraces the technology and/or
higher education sectors to serve as a talent pipeline for the University(ies);
Create an on-going income stream and/or one-time capital event;
Support increases in tax revenue;
Support equitable access to higher education;
Foster additional economic development and education opportunities for the community at large; and
Develop a financial model that allows development to occur with as little out-of-pocket cost to the City
as possible.
The City has assembled, and currently owns, a total of 383 acres of land intended for the UID. In November
2018, the planning effort culminated in the adoption of the University Innovation District Sectional Planning
Area (SPA) Plan, Environmental Impact Report and related technical documents. The UID SPA Plan defines:
the vision, land use character and mix, design criteria, pedestrian, bike and vehicular circulation systems, and
the infrastructure requirements for an approximately 10 million square-foot University and Innovation District
that will ultimately serve 20,000 students with supporting uses including office, retail, residential and research
space.
Additionally, the City of Chula Vista acquired one of three United States Olympic Training Centers, now
named the Chula Vista Elite Athlete Training Center. The Chula Vista Elite Athlete Training Center occupies
155 acres in eastern Chula Vista, approximately 2 miles from the University site. This unique and valuable
City asset is potentially available to the institution(s) that develop a presence on the UID site for athletic,
innovation and research uses, on terms to be negotiated with the then facility operator and/or the City.
HomeFed Corporation, the master developer for neighboring Villages 8 West and East, 9 and 10, is positioned
to serve as the Master Developer of the University & innovation District including 2,000 market rate student
housing units (assume all university housing is rental). HomeFed’s land holdings across Villages 8 west, 8
east, 9 and 10 includes approximately 1,562 gross acres (636 gross acres for adjacent Villages 9 and 10) and
11,245 housing units (5,635 units in adjacent villages 9 and 10). HomeFed’s land holdings, combined with the
383-acre University site and 155-acre Chula Vista Elite Athlete Training Facility offer approximately 1,200-
acres of opportunity for a higher education institution(s) to create a 21st century world-class campus community
in eastern Chula Vista that is well-supported by surrounding industry and housing.
In first quarter 2020, staff began the planning process for the creation of a University Innovation Overlay Zone
(UI Overlay Zone) to increase opportunity to attract educational users to the City of Chula Vista. The UI
Overlay Zone would be applicable to the SPA Plan areas of Otay Ranch Village 9, Village 10, and the
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Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
University Innovation District -- an area of approximately 560 developable acres across 1019.4 gross acres. It
would expand the area available for establishment of academic and innovation users, currently limited to the
UI District SPA Plan area. This new regulatory tool would enable flexible redistribution of currently approved
land uses based on existing entitled development capacities, while meeting all open space and off-site
preservation commitments and mitigations. The increased area available for establishment of educational and
innovation uses would incentivize establishment of educational user(s) in the area by allowing development
based on user-identified preferred location and space needs anywhere within the three SPA Plan areas. The UI
Overlay Zone would promote rapid response to potential users through a partnership between the City and
HomeFed Corporation and it would include a built-in review process to enable streamlined approvals to get
university uses established efficiently. Development would be consistent with the adopted vision, land use
character and mix, transects, and open space and mitigation requirements of the underlying three SPA plans.
The City now seeks professional real estate expertise and advisement to assist in the negotiations between City
and HomeFed Development Corporation, to provide assistance in the drafting of a term sheet and to evaluate,
advise and advocate for the City’s best interests to be represented within the term sheet and Exclusive
Negotiating Agreement (ENA; Phase I). Once a term sheet is completed to both parties’ satisfaction, City
desires consultant’s services to then create a Master Development Agreement by and between the City and
HomeFed (MDA; Phase II). The MDA must assume the creation of the Overlay Zone and take into
consideration both parties’ land holdings. Desired consultant services also include brokerage and marketing
services to ensure the UID is marketed to reputable institutions and companies (Phase 3).
(2) Scope of Defined Services:
To achieve the aforementioned objectives, Consultant will perform the following services:
Phase I – ENA and Term Sheet Negotiation and Completion
Commencement: February 2022
CBRE will assist the City in negotiating a Term Sheet setting forth the key business terms of a Master
Development Agreement with HomeFed as the Master Developer of the UID. This Phase may also include
the negotiation of an Exclusive Negotiating Agreement between the parties based on the Term Sheet.. Terms
and conditions of the Term Sheet/ENA shall include but are not limited to:
The creation of a Master Plan for the phased development of City land into the UID
Land Development Work for each phase to be financed or caused to be financed by HomeFed
Accounting for the respective values of infrastructure installed by HomeFed on City owner land
Provision for a master overlay zone that would allow for the transfer of additional development rights to
HomeFed (including residential, commercial, and educational uses.)
Requirements for assuring City-preferred development
During the term of the ENA and beyond, due diligence/performance milestones
Cost allocation/sharing
Reimbursement of Land Development Work costs and the payment of a Developer Fee out of land sale
proceeds.
City reservation of legally required discretion and rights
Phase II – Master Development Agreement Negotiation and Completion
Anticipated Completion: November 2022
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15 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
Pursuant to the terms of the ENA and the Term Sheet, CBRE will assist the City in negotiating with HomeFed
terms of a final Master Development Agreement, and related documentation. CBRE assistance shall include:
Recommend key business terms for the proposed agreements
Participation as needed in negotiation sessions with the City and HomeFed
Review and comment on iterations of key drafts and proposed final agreements
Throughout this process CBRE will cooperate and collaborate with City internal staff and any and all other
consultants City may engage in connection with the project.
Phase III – Marketing
Timeframe: Commencing concurrently with Phase I and II
CBRE will assist the City to market the University and Innovation District to recruit eligible university institutions
and industry partners to implement the UID. CBRE will also leverage their network of occupiers, along with
higher education, life sciences and tech relationships to ensure the Innovation District will be marketed to both
local firms looking to relocate or add additional space, and national/international firms looking to enter the Chula
Vista market or expand their current presence.
CBRE will help identify and engage all relevant industry markets with high quality employment and university
tie-in opportunities including, without limitation:
• Aerospace
• Cleantech
• Cybersecurity
• Defense
• Engineering
• Life Sciences
• Medical Device
• Media and Entertainment
• Software
• Telecommunications
CBRE will take the following additional steps to marketing, recruitment and leasing success:
• Broker outreach and events
• Marketing materials catering to specific targeted users
• Offer commute, talent/employment and demographic studies to potential relocating firms
• Press/social media coverage
• Engage brokers to fill possible smaller start-up/collaborative spaces
• Utilize drone footage to highlight area advantages
• Target tenants being priced out of other submarkets
• Support the development of a marketing center
• Develop “Why Chula Vista?” marketing materials for potential new-to-market large firms
• Advertise with industry-specific websites
• Signage at site to highlight superior visibility from access roads
• Work with economic development groups, chambers of commerce, and county to promote the
Innovation District as an ideal headquarters location
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16 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
The parties will agree upon an appropriate marketing platform scope of work and budget, which may be
modified from time to time, with CBRE to provide ½ of the necessary funds and the City and/or HomeFed the
other ½.
C. Schedule:
Terms of Engagement
(1) February 2022 – November 2022: Ten (10) month engagement to reach agreement on an Exclusive
Negotiation Agreement, Term Sheet and Master Development Agreement between the City and
HomeFed, subject to mutual agreement of month-to-month extensions.
(2) Ongoing engagement to provide marketing and recruitment services for University and Innovation
District tenants with timing to be determined based on need and conversations with industry partners. This
can commence concurrently with Phase I and/or II.
(3) Attend meetings on an as-needed basis with City staff, legal counsel, city hired consultants, City’s
University Subcommittee and City Council.
3. Term: In accordance with Section 1.10 of this Agreement, the term of this Agreement shall begin February
15, 2022 and end after completion of all Required Services per the Schedule, described above, as may be
extended by mutual agreement of the parties. The initial day that commences the accrual of CBRE’s monthly
retainer fee shall commence upon City delivery to CBRE of a written notice to proceed.
4. Compensation:
A. Form of Compensation
☒ A fixed fee for Phases I and II as follows:
Phase Cost Schedule
Phases I and II – Term Sheet
Negotiation and Completion of
ENA, Term Sheet and MDA
Monthly retainer of $19,500,
payable in arrears
“Success Fee” of $300,000
payable within thirty (30) days
after City Council approval of
full execution of an MDA*
February 2022 –
November 2022 subject
to month-to-month
extensions, if mutually
agreed
Phase III-Marketing
Brokerage fees are on a sliding
scale per table outlined below
and are to be paid following
City Council approval of a
disposition agreement (lease).
TBD based on need and
conversations with
industry partners; can run
concurrently with Phase I
and II
No success fee will be due and payable hereunder unless and until the City Council approves and both the City and
HomeFed execute an MDA. City reserves the right to approve or disapprove any proposed MDA in its sole
discretion. City may elect to seek all or a portion of fees paid to HomeFed under the terms of this Agreement;
provided, however, HomeFed’s decision not to contribute to amounts due CBRE hereunder will not affect City’s
obligations to pay such fees.
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Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
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18 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
Brokerage Fees
The parties will negotiate in good faith a mutually agreeable Exclusive Listing Agreement (“ELA”) subject to
the review and approval of the City Attorney, consistent with the terms of this Agreement. The ELA shall have
an initial term of 24 months, subject to earlier termination by the City with ninety (90) days written notice, and
extensions beyond the initial term by mutual agreement of the parties.
Marketing costs are absorbed into the brokerage fee per the below table. Seller/Landlord brokerage fees are
based on the following:
Brokerage Fee Rate TOTAL PROJECT VALUE TRANCHE
3.00%* $0 M - $10 M
2.50% $10 M - $20 M
2.00% $20 M - $30 M
1.50% $30 M - $50 M
1.25% $50 M - $100 M
1.00% $100 M or greater
*Commissions are calculated on a cumulative basis. By way of example, the following illustration would be
applicable assuming a $50,000,000 Total Transaction Value.
(Note: the following is for example purposes only and should not be construed as a suggestion or indication of the
values that might be achieved).
a percentage of three half percent (3%) of the Total Transaction Value up to $10,000,000, PLUS
two and one-half percent (2.5%) of the portion of the Total Transaction Value greater than $10,000,000 up to
$20,000,000, PLUS
two percent (2.0%) of the portion of the Total Transaction Value greater than $20,000,000 up to
$30,000,000, PLUS
one and one-half percent (1.5%) of the portion of the Total Transaction Value up to $50,000,000 a)
$300,000 plus b) $250,000 plus c) $200,000 plus d) $300,000 Total = $1,050,000
The above rate structure applies where there is no co-broker representing the buyer/tenant. Where a co-broker is the
procuring cause (including another CBRE broker not in the City team), each rate in the structure sh all be increased
by one percent (1%), and the total fee shall be split evenly between CBRE and the co-broker.
In the event of ground lease, the transaction value will be the gross rent to be paid by the tenant, including
escalations over the entire term of the lease, discounted to a net present value using an interest rate of three and one -
half percent (3.5%). Commission will be paid to CBRE by the City within thirty (30) days of execution of the ground
lease by all parties.
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19 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
If a fee simple transfer of the property, CBRE will be paid on the higher of i) sale price to be paid by the buyer or ii)
the fair market appraised value of the property. Commission will be paid by the City from proceeds of the sale at
settlement.
To the extent a transaction is completed at less than market compensation, the buyer/tenant thereunder shall be
responsible for the payment of all brokerage fees. To the extent such buyer/tenant is unable to pay such fees, the City
shall be responsible therefor.
In the case of a lease, where there are no fund available for immediate payment of brokerage fees, such fees shall be
paid from the first payments made pursuant to the lease.
In the case of the leasing of a building, CBRE shall negotiate market rate fees with the developer of the building, to
be paid by said developer.
CBRE will be recognized and protected as to its commission hereunder for a period of twelve (12) months after the
termination of this contract with respect to any parties with whom CBRE has been involved in o ngoing
discussions/negotiation prior to termination.”
Notwithstanding the foregoing, the possible transaction with San Diego State University (“SDSU”) currently being
negotiated between City and SDSU (the “SDSU Transaction”) shall not be subject to the te rms of the ELA. CBRE
shall not be entitled to any brokerage fee for the SDSU Transaction unless separately negotiated pursuant to the
terms of a separate agreement subject to City’s approval in its sole discretion.
5. Special Provisions:
☐ Permitted Sub-Consultants: None
☐ Security for Performance: None
☒ Notwithstanding the completion date set forth in Section 3 above, City has option, in its sole discretion, to
extend this Agreement for such additional period of time as deemed necessary or desirable for Consultant to
complete the Desired Services. If City exercises such option, Consultant shall not be entitled to any additional
compensation unless otherwise agreed to by the parties and duly approved by the City.
[Standard CBRE Dual Agency Disclosure to be attached.]
2022/02/15 City Council Post Agenda Page 344 of 406
20 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant shall adhere to all terms and conditions of Section 3 of the Agreement and agrees to provide the
following types and minimum amounts of insurance, as indicated by checking the applicable boxes (x).
Type of Insurance Minimum Amount Form
☒ General Liability:
Including products and
completed operations,
personal and
advertising injury
$2,000,000 per occurrence for
bodily injury, personal injury
(including death), and property
damage. If Commercial General
Liability insurance with a general
aggregate limit is used, either the
general aggregate limit must apply
separately to this Agreement or the
general aggregate limit must be
twice the required occurrence limit
Additional Insured Endorsement
or Blanket AI Endorsement for
City*
Waiver of Recovery Endorsement
Insurance Services Office Form
CG 00 01
*Must be primary and must not
exclude Products/Completed
Operations
☒ Automobile Liability $1,000,000 per accident for bodily
injury, including death, and
property damage
Insurance Services Office Form
CA 00 01
Code 1-Any Auto
Code 8-Hired
Code 9-Non Owned
☒ Workers’
Compensation
Employer’s Liability
$1,000,000 each accident
$1,000,000 disease policy limit
$1,000,000 disease each employee
Waiver of Recovery Endorsement
☒ Professional Liability
(Errors & Omissions)
$1,000,000 each occurrence
$2,000,000 aggregate
Other Negotiated Insurance Terms: None
2022/02/15 City Council Post Agenda Page 345 of 406
21 City of Chula Vista Agreement No.: 2022-005
Consultant Name: CBRE Group, Inc. Rev. 2/9/2022
EXHIBIT C
CONSULTANT CONFLICT OF INTEREST DESIGNATION
The Political Reform Act1 and the Chula Vista Conflict of Interest Code2 (“Code”) require designated state and
local government officials, including some consultants, to make certain public disclosures using a S tatement of
Economic Interests form (Form 700). Once filed, a Form 700 is a public document, accessible to any member of
the public. In addition, consultants designated to file the Form 700 are also required to comply with certain ethics
training requirements.3
☒ A. Consultant IS a corporation or limited liability company and is therefore EXCLUDED4 from disclosure.
☐ B. Consultant NOT a corporation or limited liability company and disclosure designation is as follows:
APPLICABLE DESIGNATIONS FOR INDIVIDUAL(S) ASSIGNED TO PROVIDE SERVICES
(Category descriptions available at www.chulavistaca.gov/departments/city-clerk/conflict-of-interest-code.)
Name Email Address Applicable Designation
Enter Name of Each Individual
Who Will Be Providing Service
Under the Contract – If
individuals have different
disclosure requirements,
duplicate this row and
complete separately for each
individual
Enter email address(es) ☐ A. Full Disclosure
☐ B. Limited Disclosure (select one or more of
the categories under which the consultant shall file):
☐ 1. ☐ 2. ☐ 3. ☐ 4. ☐ 5. ☐ 6. ☐ 7.
Justification:
☒ C. Excluded from Disclosure
1. Required Filers
Each individual who will be performing services for the City pursuant to the Agreement and who meets the definition
of “Consultant,” pursuant to FPPC Regulation 18700.3, must file a Form 700.
2. Required Filing Deadlines
Each initial Form 700 required under this Agreement shall be filed with the Office of the City Clerk via the City's online
filing system, NetFile, within 30 days of the approval of the Agreement. Additional Form 700 filings will be required
annually on April 1 during the term of the Agreement, and within 30 days of the termination of the Agreement.
3. Filing Designation
The City Department Director will designate each individual who will be providing services to the City pursuant to the
Agreement as full disclosure, limited disclosure, or excluded from disclosure, based on an analysis of the services the
Consultant will provide. Notwithstanding this designation or anything in the Agreement, the Consultant is ultimately
responsible for complying with FPPC regulations and filing requirements. If you have any questions regarding filing
requirements, please do not hesitate to contact the City Clerk at (619)691-5041, or the FPPC at 1-866-ASK-FPPC, or
(866) 275-3772 *2.
Pursuant to the duly adopted City of Chula Vista Conflict of Interest Code, this document shall serve as the written
determination of the consultant’s requirement to comply with the disclosure requirements set forth in the Code.
Completed by: Miranda Evans, Special Projects Manager
1 Cal. Gov. Code §§81000 et seq.; FPPC Regs. 18700.3 and 18704.
2 Chula Vista Municipal Code §§2.02.010-2.02.040.
3 Cal. Gov. Code §§53234, et seq.
4 CA FPPC Adv. A-15-147 (Chadwick) (2015); Davis v. Fresno Unified School District (2015) 237 Cal.App.4th 261; FPPC Reg.
18700.3 (Consultant defined as an “individual” who participates in making a governmental decision; “individual” does not incl ude
corporation or limited liability company).
2022/02/15 City Council Post Agenda Page 346 of 406
Advancing the University
Proposed Agreement with CBRE Group for Real EstateAdvisement, Marketing and Brokerage Services
Economic Development Department | February 15, 2022 2022/02/15 City Council Post Agenda Page 347 of 406
Advancing the University
Plan for Progress
June 8, 2020 University Subcommittee authorized staff
to draft a Master Development Agreement ("MDA") with
HomeFed for City Council consideration
Progress continues to be made towards an MDA and
go-to-market strategy
Assistance of a professional real estate consulting firm
to assist in negotiations and provide trusted
advisement and marketing services
Real Estate Advisement, Marketing & Recruitment Services
Economic Development Department | February 15, 2022 2022/02/15 City Council Post Agenda Page 348 of 406
Phase III
Plan for Progress
Term Sheet
Negotiation &
Completion
Phase I
February
CBRE will assist City in
negotiations with HomeFed on a
Term Sheet and potentially an
ENA
MDA Negotiation &
Completion
Phase II
November
CBRE will assist with negotiating
a final MDA
Marketing &
Recruitment Services
With Phase I & II
Market to recruit eligible
institutions and industry partners
Economic Development Department | February 15, 2022 2022/02/15 City Council Post Agenda Page 349 of 406
Uniquely Qualified
Largest and most successful
commercial real estate services firm
in the world
Significant resources including their
PIES business group
Advised over 100 non-federal
agencies and universities on high-
profile, highly complex projects
150+ years of combined experience
Public Institutions & Education Real
Estate Solutions
Economic Development Department | February 15, 2022
Tom Turner
Vice President
Advisory & Transaction Services
Michael McShea
Executive Vice President
Public Institutions & Education Solutions
2022/02/15 City Council Post Agenda Page 350 of 406
Thank You!
Questions?
Economic Development Department | February 15, 2022
Action:
To Adopt a resolution waiving the consultant selection process, approving a two-party agreement
(“Agreement”) between the City and CBRE Group, Inc. for real estate advisement, marketing and brokerage
services for the University-Innovation District, appropriating funds for the advisement and marketing
services portions of the agreement in the amount of $653,500 and authorizing the City Manager to execute
Agreement, and the brokerage services implementing exclusive listing agreement, all in final forms approved
by the City Attorney.
2022/02/15 City Council Post Agenda Page 351 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Agreement and Appropriation: Approving a Legal Services Agreement with Stradling, Yocca, Carlson &
Rauth Regarding a Proposed University/Innovation District Master Development Agreement with
HomeFed Corporation, and Appropriating Funds for that Purpose
Report Number: 22-0080
Location: University/Innovation District
Department: City Attorney
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the
California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines
Section 15060(c)(3) no environmental review is required.
Recommended Action
Adopt the proposed resolution waiving the consultant selection process, approving a legal services
agreement between the City and Stradling, Yocca, Carlson and Rauth for assistance with negotiations and
documentation of a Master Development Agreement with HomeFed Corporation and related University-
Innovation District matters, and appropriating funds therefor. (4/5 Vote Required)
SUMMARY
Consistent with previous direction from the University Subcommittee, the City is poised to commence
focused negotiations with HomeFed Corporation on terms for a Master Development Agreement designed to
accelerate development of the City’s University/Innovation District project. To assist with these
negotiations, and the development and documentation of agreed upon terms, the City desires to engage the
assistance of both real estate and legal professionals. A companion item presents the proposed terms for
engagement of CBRE Group, Inc. to provide real estate expertise. This item presents the terms for
engagement of outside legal counsel, Stradling, Yocca, Carlson and Rauth, to provide legal expertise. The
legal services agreement is presented on the City Attorney’s office standard form, with a current proposed
budget of $150,000.
2022/02/15 City Council Post Agenda Page 352 of 406
P a g e | 2
ENVIRONMENTAL REVIEW
The Development Services Director has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under
Section 15378 of the State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA
Guidelines the activity is not subject to CEQA. Thus, no environmental review is required.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not Applicable.
DISCUSSION
The City desires to attract and locate a multi-institutional, bi-national university in Eastern Chula Vista on
383.7 acres of City-owned land (“University-Innovation District”) which is located adjacent to 432.9 gross
acres of land that comprise Villages 9 and 10 under the ownership of HomeFed Development Corporation
(“HomeFed”). HomeFed is the uniquely qualified developer with which City is evaluating a development
partnership with to facilitate the development of the University-Innovation District on the City owned land
and potentially on the combined-ownership area of approximately 560 developable acres (“Project”)
On June 8, 2020, The University Subcommittee authorized staff to draft a Master Development Agreement
(“MDA”) with HomeFed for City Council consideration to continue to make tangible and expeditious progress
towards reaching an amicable term sheet and subsequent resulting agreements for the development of the
Project. To continue to make progress towards this goal, the assistance of a professional real estate advice
and substantial legal support have become necessary. Due to limited resources, and the time and expertise
that it will take to negotiate, structure and draft an MDA for the Project, the City Attorney’s Office is
requesting additional legal resources in the form of outside legal counsel assistance.
Back in 2014, when the City and HomeFed were working together to negotiate the terms for a similar form
of agreement for the development of the Project, the City Attorney’s Office went through an extensive
Request for Qualifications/Proposals (“RFQP”) process for legal assistance, resulting in proposals from
eleven (11) attorneys/law firms from around the state. At that time, the City’s selection committee chose,
and the City hired, the law firm of Stradling, Rocca, Carlson & Rauth (“Stradling”) to perform the required
legal services. Although that transaction did not proceed, the Stradling firm provided exemplary services
and developed a substantial in-house knowledge of the Project.
The Stradling firm continues to have the high-quality expertise and experience necessary to advise the City
with respect to the Project, including substantial familiarity with the Project and the workings of City
government. Based upon the above-described qualifications, performance capabilities and experience, and
the substantial work that Stradling has already performed for City under a separate but related contract
regarding the Project, City staff has determined that Stradling is uniquely qualified to perform the required
services pursuant to Chula Vista Municipal Code Section 2.56.070(B)(3) (City’s interests are better served by
an alternative procurement mechanism) and 2.56.070.B(4) (sole source exemption).
2022/02/15 City Council Post Agenda Page 353 of 406
P a g e | 3
The Legal Services Agreement presented for your consideration was prepared on the City’s standard form.
The highest hourly rate for the lead attorney, Tom Clark, is set at $575. Other proposed rates range from
$145/hour for law clerks, to $375/hour for associates. These rates are reasonable and consistent with
market standards for attorneys with the required high level of experience and expertise.
Pursuant to Municipal Code section 2.56.110(F), City Council approval is required for the proposed Legal
Services Agreements because it is expected to exceed the $50,000 threshold. The contract provides for a not
to exceed amount of $150,000. If circumstances require, the City Attorney would come back to Council for
an additional authorization and appropriate above this amount.
DECISION-MAKER CONFLICT
Staff has reviewed the property holdings of the City Councilmembers and has found no property holdings
within 500 feet of the boundaries of the property which is subject to this action. Staff is not independently
aware, nor has staff been informed by any City Councilmember, of any other fact that may constitute a basis
for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
There is no current year fiscal impact to the General Fund related to these agreements. The costs for
compensating Stradling up to the current proposed $150,000 not to exceed amount currently exist in the
available General Fund balance allocated for this purpose.
ONGOING FISCAL IMPACT
If funds on deposit are exhausted prior to completion of the work associated with the subject Legal Services
Agreements, staff will return to the City Council for appropriation requests and/or alternative funding
sources.
ATTACHMENTS
Legal Services Agreement for the Transactional Work
2022/02/15 City Council Post Agenda Page 354 of 406
Page 1 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
LEGAL SERVICES AGREEMENT
CITY OF CHULA VISTA
AND
STRADLING, YOCCA, CARLSON & RAUTH, P.C.
This Legal Services Agreement (“Agreement”) is entered into February 15, 2022 (“Effective
Date”), by and between the City of Chula Vista (“City”) and Stradling, Yocca, Carlson & Rauth, P.C.
(“Attorney”).
RECITAL
The following Recitals are a substantive part of this Agreement:
A. City desires to attract and locate a multi-institutional, bi-national university in Eastern Chula
Vista on 383.7 acres of City-owned land (“University-Innovation District”) which is located adjacent to
432.9 gross acres of land that comprise Villages 9 and 10 under the ownership of HomeFed Development
Corporation (“HomeFed”) the uniquely qualified developer of which City is evaluating a development
partnership with to facilitate the development of the University-Innovation District on a combined-
ownership area of approximately 560 developable acres across 816.6 gross acres (“Project”); and
approximately 375 acres of land to the City for a University Campus and Innovation District (UCID).
B. On June 8, 2020, the University Subcommittee authorized staff to draft a Master
Development Agreement (“MDA”) with HomeFed for City Council consideration to continue to make
tangible and expeditious progress towards reaching an amicable term sheet and subsequent resulting
agreements for the development of the Project.
C. Due to limited resources and the time and expertise that it will take to negotiate, structure and
draft an MDA for the Project, the City Attorney’s Office requires additional legal resources.
D. In 2014, when the City and HomeFed were working together to negotiate the terms for a
similar form of agreement for the development of the Project, the City Attorney’s Office went through
an extensive Request for Qualifications/Proposals (“RFQP”) process for legal assistance, resulting in
proposals from eleven (11) attorneys/law firms from around the state.
E. At that time, the City’s selection committee chose, and the City hired, the law firm of
Stradling, Rocca, Carlson & Rauth to perform the required legal services The City Council approved
this Agreement between the City of Chula Vista and Stradling.
F. Although that transaction did not proceed, Attorney provided exemplary services
and developed a substantial in-house knowledge of the Project.
G. Attorney continues to have the high-quality expertise and experience necessary to
advise the City with respect to the Project, including substantial familiarity with the Project and the
workings of City government.
2022/02/15 City Council Post Agenda Page 355 of 406
Page 2 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
H. Attorney represents that they are highly qualified by virtue of experience, training, education
and expertise to accomplish the services necessary under this Agreement.
I. Based upon the above-described qualifications, performance capabilities and experience, and
the substantial work that Attorney has already performed for City under a separate but related contract
regarding the Project, City has determined that Attorney is uniquely qualified to perform the required
services pursuant to Chula Vista Municipal Code Section 2.56.070(B)(3) (City’s interests are better
served by an alternative procurement mechanism) and 2.56.070.B(4) (sole source exemption).
AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:
1. Term of Agreement. This Agreement shall cover services rendered from the first
communication between the City and Attorney until one-year after the Effective Date. Notwithstanding
the original term above, the City has the option to extend the term of this Agreement for up to five (5)
one-year increments. The City Attorney shall be authorized to exercise the options to extend. If City
exercises an option to extend, each extension shall be on the same terms and conditions herein unless
otherwise amended in a written amendment between the parties.
2. Services to be Provided. The services to be performed by Attorney shall consist of the
performance of any and all tasks and services reasonably required to advise, assist, and fully and
competently represent the City in all legal matters presented to Attorney, wherein Attorney is consulted
by, or appears on behalf of, the City. Attorney’s services shall include, but are not limited to, any and
all reasonably required legal support for the negotiation and documentation of a Master Development
Agreement with HomeFed to advance the development of the City’s University/Innovation District
project (collectively, the “Required Services”).
3. Compensation - Attorney shall be compensated for performance of the Required Services as
follows:
3.1 Amount. The City shall compensate Attorney for the Required Services satisfactorily
performed and approved at the following hourly rates:
$575/hour for Tom Clark, Vanessa Legbandt, and other Shareholders
$375/hour for Associates
$150/hour for Paralegals
$145/hour for Law Clerks
Travel time shall be billed at the same hourly rate. Except for reimbursable expenses as
defined below, such hourly compensation shall be the sole and total remuneration for services rendered
pursuant to this Agreement.
2022/02/15 City Council Post Agenda Page 356 of 406
Page 3 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
3.2 Billing. Attorney agrees to provide City with a detailed invoice for the Required Services
performed each month, within thirty (30) days of the end of the month in which the Required Services
were performed. Invoicing shall begin on the first of the month following the Effective Date of the
Agreement. All charges must be presented in a line item format and in a manner such that each task is
separately explained in reasonable detail, and with a specific time allocation recorded, for each task. The
invoice shall include the amount, billing rate, basis for calculation of all fees and costs, total fees and
costs incurred, total amount paid and balance remaining.
The City does not pay for the preparation of billings or for discussions concerning billing. The
City will not accept and will not be responsible for block or cumulative invoice entries. Attorney shall
not charge the City for more than one Attorney’s time when appearing at a meeting, in Court, or for
performing any task unless the City has expressly authorized in writing the use of two or more attorneys
for the appearance or task.
All billing for work performed under this Agreement shall be sent to the following:
Glen R. Googins, City Attorney
City of Chula Vista Attorney’s Office
276 Fourth Avenue
Chula Vista, CA 91910
With a copy to:
Eric Crockett
Deputy City Manager
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
3.3 Reimbursements for Expenses. Attorney shall keep accurate records of all costs, travel,
and expenses. These records shall be made available to the City upon reasonable request.
The City will reimburse actual, reasonable, and necessary out of pocket expenses incurred by
Attorney in performing any services under this Agreement as follows:
a) Photocopying charges at reasonable rates.
b) Parking Fees at the actual amount charged to Attorney.
c) Travel/Mileage at the current federal per mile rate. Any travel fees incurred
outside of San Diego County or Orange County must be authorized and approved
in advance of the City.
d) Statutory Fees, Witness fees, Reporters fees, Stenographic transcription, jury fees
and the cost of serving process actually incurred by Attorney.
e) Attorney may bill computerized legal research, word processing, overtime costs
for word processing staff, mailing and messenger services at reasonable rates.
f) Attorney may seek reimbursement for any actual, reasonable, and necessary
expenses incurred on items not identified above with the prior authorization and
approval by the City.
2022/02/15 City Council Post Agenda Page 357 of 406
Page 4 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
The City will not reimburse Attorney for any additional charges incurred due to “rush”
deliveries or “late” charges, unless such expenses are approved in writing and in advance by the City
after the need for such services is determined by the City to be reasonably beyond the control of Attorney.
To obtain reimbursement, Attorney shall submit a monthly summary of expenses, along with
all supporting receipts, within thirty (30) days of the expense being incurred.
3.5 Expert Consultations and Witnesses. Expert consultations and witnesses, and any
investigators, may be retained on terms acceptable to the City, authorized and approved in writing and
in advance, for which the City shall reimburse the Attorney or pay investigators, consultants, or experts
directly. In no event shall Attorney retain any service of any expert, investigator, or consultant without
first receiving express authorization and approval from the City.
4. Insurance.
4.1 Professional Errors and Omissions Insurance. Attorney shall obtain and maintain in full
force and effect at all times Professional Errors and Omissions Liability Insurance. Such insurance shall
provide coverage in an amount not less than five million dollars ($5,000,000.00) per occurrence and ten
million dollars ($10,000,000.00) aggregate. The City reserves the right to require insurance for a higher
coverage than the minimum limits noted above. All insurance carriers shall hold a Best rating of “A+”
or better. The insurance policy required under this paragraph shall be endorsed to state that coverage
shall not be suspended, voided, cancelled, reduced in coverage, or in limits, except after thirty (30) days
prior written notice, by certified mail return receipt requested, given to the City. If the Attorney
maintains higher limits than the minimums stated above, the City requires and shall be entitled to
coverage for the higher limits maintained by the Attorney.
Said insurance policy shall provide coverage to the City for any damages or losses suffered by
the City as a result of any error or omission, or neglect by Attorney which arise out of the services
rendered under this Agreement. Such insurance may not be subject to a self-insured retention or
deductible in an amount in excess of Twenty-Five thousand ($25,000.00) dollars without prior written
authorization and approval by the City.
Attorney shall, within ten (10) days after entering into this Agreement, and before commencing
or performing any services under the Agreement, deposit with the City Attorney, a Certificate of
Insurance certifying that all insurance required herein is, and will be, in full force and effect from the
time the Agreement is entered into until the later of the date of expiration or termination of this
Agreement. Should Attorney’s insurance policy terminate during the Agreement period, the Attorney
shall renew the Certificates of Insurance at least fifteen (15) days prior to expiration and submit to the
City at least ten (10) days prior to expiration. Any delay in submission of current Certificates of
Insurance may result in a delay of payment.
Attorney shall not commence any work under this Agreement until Attorney has obtained and
submitted all City approved insurance.
2022/02/15 City Council Post Agenda Page 358 of 406
Page 5 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
All insurance required shall be carried only by responsible insurance companies licensed to do
business in California. All policies shall contain language to the effect that: (1) the insurer waives any
right of subrogation against the City and the City’s elected officials, officers, employees, agents, and
representatives; and (2) insurance shall be primary non-contributing and any other insurance carried by
the City shall be excess over such insurance. Attorney shall furnish the City with copies of all applicable
policies promptly upon receipt.
Nothing in this section shall be construed to make Attorney other than an independent
contractor for all purposes.
Attorney agrees to notify the City in the event that the limits shall fall below the coverage stated
above or if the insurance policies noted here are allowed to lapse and substitute insurance is, or is not,
obtained.
5. Indemnification. Attorney agrees to protect, hold harmless, defend, and indemnify the City, its
employees, elective or appointive boards, officers, agents, agenda and affiliates, from any and all loss,
claims liabilities, expenses, or damages of any nature whatsoever, including Attorneys’ fees, arising out
of or in any way connected with the misconduct, negligent acts, errors or omissions in the performance
of the Required Services under Agreement by Attorney, Attorney’s agents, officers, employees, sub-
contractors, or independent contractors of Attorney, except where the loss or liability arises out of the
sole negligence or willful misconduct of the City.
6. City Agent. The City Attorney, for the purposes of this Agreement, is the agent for the City.
Whenever authorization or approval is required, Attorney understands that the City Attorney has the
authority to provide the authorization or approval.
7. Independent Contractor. Attorney, and anyone employed by Attorney, are not and shall not
be, deemed employees of the City. Attorney is solely responsible for the payment of employment taxes,
workers compensation taxes, and any other taxes for employees.
8. Conflict of Interest. Attorney represents that they presently have no material financial interest
other than that which may be held by the general public and shall not acquire any interest, direct or
indirect, in any contract or decision made on behalf of the City which may be affected by the services to
be performed by Attorney under this Agreement. Attorney further agrees that no person having any such
interest shall be employed by them. If Attorney or their employees acquire a direct or indirect personal
interest, such interest shall be immediately disclosed to the City and the interested individual shall abstain
from any contracts or decisions under this Agreement.
In addition to the proscriptions regarding conflicts of interest imposed on Attorney by the
Business and Professions Code and by California Rules of Professional Conduct, Attorney represents
that no Attorney shall represent clients before any board, commission, committee or agency of the City
or represent any client with interests adverse to the City. Furthermore, Attorney shall at all times avoid
conflicts of interest or the appearance of a conflict of interest in performance of this Agreement.
Attorney shall immediately notify the City Attorney of any circumstances, or change of circumstances,
that may provide for the potential for a conflict of interest, or actual conflict of interest.
2022/02/15 City Council Post Agenda Page 359 of 406
Page 6 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
9. Non-Liability of Officials/Employees of the City. No official or employee of the City shall be
personally liable for any default or liability under this Agreement.
10. Compliance with Law. Attorney shall comply with all applicable laws, ordinances, codes,
and regulations of all Federal, State, and local governments. In addition, Attorney agrees to abide by all
ethical and moral standards as represented by the Rules of Professional Conduct as applied to the
California State Bar.
11. Work Product. All documents, or other information developed or received, by Attorney shall
be the property of the City. Attorney shall provide the City with copies of items upon reasonable demand
or upon termination of this Agreement.
12. Notices. Attorney must immediately advise City of any significant developments in the
performance of the Required Services.
All notices shall be personally delivered or mailed, via first class mail, to the below listed address.
In addition, such addresses shall be used for delivery for service of process. Attorney agrees to notify
the City within ten (10) days of the date of any change of address and agree to keep an updated address
with the applicable Courts on any matters that Attorney is representing the City.
a. Address of Attorney is as follows:
Stradling, Yocca, Carlson & Rauth, P.C.
660 Newport Center Drive, Suite 1600
Newport Beach, CA 92660
Attn: Thomas Clark, Esq.
b. Address of City is as follows:
Glen R. Googins, City Attorney/General Counsel
Eric Crockett, Deputy City Manager
City of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
13. Default/Termination of Agreement. City and Attorney shall have the right to terminate this
Agreement without cause by giving fifteen (15) days written notice. However, Attorney shall not
substitute out as Attorney of Record on any matters it may be representing the City without first obtaining
written consent from the City, or first obtaining an appropriate Court Order, allowing Attorney to
withdraw as counsel of record.
14. Limitations Upon Assignment/Subcontracting. Attorney agrees that no portion of their
performance of Required Services rendered under this Agreement shall be assigned by Attorney or
subcontracted to any other party without prior written authorization and approval of the City.
2022/02/15 City Council Post Agenda Page 360 of 406
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Stradling, Yocca, Carlson & Rauth, P.C UCID
15. Non-Discrimination. Attorneys covenant there shall be no discrimination based upon race,
color, creed, religion, sex, marital status, age, handicap, national origin, or ancestry, in any activity
pursuant to this Agreement.
16. Time of Essence. Time is of the essence in the performance of this Agreement.
17. Authority to Execute. The persons executing this Agreement on behalf of the parties warrant
that they are duly authorized to execute this Agreement as herein stated.
18. City Audit. The City is required to complete an annual audit. The Auditors may contact and
require some input from Attorney concerning matters Attorney is engaged for the City. Attorney agrees
to cooperate, at no charge to the City, for such cooperation or input as may be required.
19. Entire Agreement. This Agreement represents the parties’ final and mutual understanding.
This Agreement supersedes any previous agreements, oral or written.
20. Modification. This Agreement shall not be modified or replaced except by another signed,
written Agreement, properly executed by the parties.
21. Waiver. The waiver of any breach or any provision of this Agreement does not waive any
other breach of that term, or any other term, in this Agreement.
22. Partial Invalidity. If any part of this Agreement is found for any reason to be unenforceable,
all other parts nonetheless shall remain in force.
23. Governing Law. This Agreement shall be interpreted and construed in accordance with the
laws of the State of California. Any action commenced regarding this Agreement shall be filed in the
Central Branch of the San Diego Superior Court.
24. Interpretation. This Agreement shall be interpreted as though prepared by both parties.
25. Survival. All obligations arising prior to the termination of this Agreement and all provisions
of this Agreement allocating responsibility or liability between the City and Attorney survive the
termination of this Agreement.
26. Financial Interests. Attorney is deemed to be a “Consultant” for the purposes of the Political
Reform Act conflict of interest and disclosure provisions and shall report economic interests to the City
Clerk on the required Statement of Economic Interests in such reporting categories as are specified in
Exhibit A, or if none are specified, then as determined by the City Attorney.
2022/02/15 City Council Post Agenda Page 361 of 406
Page 8 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
IN WITNESS WHEREOF, these parties have executed this Agreement on the day and year
shown hereinabove.
CITY OF CHULA VISTA
By: ________________________________________________________
Glen R. Googins, City Attorney
STRADLING, YOCCA, CARLSON & RAUTH, P.C.
By: ________________________________________________________
Thomas Clark
2022/02/15 City Council Post Agenda Page 362 of 406
Page 9 of 9
Stradling, Yocca, Carlson & Rauth, P.C UCID
STATEMENT OF ECONOMIC INTERESTS
CITY OF CHULA VISTA
AND
STRADLING, YOCCA, CARLSON & RAUTH P.C.
Attorney:
( ) Not Applicable. Not a Fair Political Practices Commission (“FPPC”) Filer.
( ) FPPC Filer.
If Attorneys in the performance of its services under this agreement: (1) conduct research and arrives at
conclusions with respect to its rendition of information, advice, recommendations or counsel
independent of the control and direction of the City or of any City official, other than normal contract
monitoring; and (2) possesses no authority with respect to any City decision beyond the rendition of
information, advice, recommendations or counsel, Attorneys should not be designated as an FPPC Filer.
If Attorneys are designated as FPPC filers, specify below which disclosure categories apply:
( ) 1. All investments, sources of income and business positions;
( ) 2. Interests in real property;
( ) 3. Investments, business positions, interests in real property, and sources of income
subject to the regulatory, permit or licensing authority of the department;
( ) 4. Investments and business positions in business entities and sources of income that
engage in land development, construction or the acquisition or sale of real property;
( ) 5. Investments and business positions in business entities and sources of income that,
within the past two years, have contracted with the City of Chula Vista to provide services,
supplies, materials, machinery or equipment;
( ) 6. Investments and business positions in business entities and sources of income that
within the past two years, have contracted with the designated employee’s department to
provide services, supplies, materials, machinery or equipment;
( ) 7. List interests in real property within 2 radial miles of Project Property, if any:
______________________________________________________________________________
________________________________________________________________
________________________________________________________________
2022/02/15 City Council Post Agenda Page 363 of 406
RESOLUTION NO. 2022-__________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA WAIVING THE CITY’S CONSULTANT
SELECTION PROCESS, APPROVING A LEGAL SERVICES
AGREEMENT BETWEEN THE CITY AND STRADLING,
YOCCA, CARLSON & RAUTH FOR ASSISTANCE WITH
NEGOTIATIONS OF A MASTER DEVELOPMENT
AGREEMENT WITH HOMEFED CORPORATION AND
RELATED UNIVERSITY/INNOVATION DISTRICT
PROJECT MATTERS, AND APPROPRIATING FUNDS
THEREFOR (4/5 VOTE REQUIRED)
WHEREAS, City desires to attract and locate a multi-institutional, bi-national university
in Eastern Chula Vista on 383.7 acres of City-owned land (“University-Innovation District”)
which is located adjacent to 432.9 gross acres of land that comprise Villages 9 and 10 under the
ownership of HomeFed Development Corporation (“HomeFed”) the uniquely qualified
developer of which City is evaluating a development partnership with to facilitate the
development of the University-Innovation District on a combined-ownership area of
approximately 560 developable acres across 816.6 gross acres (“Project”); and
WHEREAS, On June 8, 2020, the University Subcommittee authorized staff to draft a Master
Development Agreement (“MDA”) with HomeFed for City Council consideration to continue to
make tangible and expeditious progress towards reaching an amicable term sheet and subsequent
resulting agreements for the development of the Project; and
WHEREAS, due to limited resources and the time and expertise that it will take to
negotiate, structure and draft an MDA for the Project, the City Attorney’s Office requires
additional legal resources; and
WHEREAS, back in 2014, when the City and HomeFed were working together to negotiate
the terms for a similar form of agreement for the development of the Project, the City Attorney’s
Office went through an extensive Request for Qualifications/Proposals (“RFQP”) process for legal
assistance, resulting in proposals from eleven (11) attorneys/law firms from around the state; and
WHEREAS, at that time, the City’s selection committee chose, and the City hired, the law
firm of Stradling, Rocca, Carlson & Rauth (“Stradling”) to perform the required legal services;
and
WHEREAS, although that transaction did not proceed, the Stradling firm provided
exemplary services and developed a substantial in-house knowledge of the Project; and
WHEREAS, the Stradling firm continues to have the high-quality expertise and experience
necessary to advise the City with respect to the Project, including substantial familiarity with the
Project and the workings of City government; and
2022/02/15 City Council Post Agenda Page 364 of 406
Resolution No.
Page 2
WHEREAS, based upon the above-described qualifications, performance capabilities and
experience, and the substantial work that Consultant has already performed for City under a
separate but related contract regarding the Project, City has determined that Stradling is uniquely
qualified to perform the required services pursuant to Chula Vista Municipal Code Section
2.56.070(B)(3) (City’s interests are better served by an alternative procurement mechanism) and
2.56.070.B(4) (sole source exemption).
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista,
hereb y:
1. Finds with respect to the proposed Legal Services Agreement (“Agreement”) between the
City and Stradling, Yocca, Carlson and Rauth (“Stradling”), based on the facts set forth
above, that City’s interests are better served by an alternative procurement mechanism
(per CVMC 2.56.070(B)(3)) and that Stradling is uniquely qualified to perform the
proposed services (per CVMC 2.56.070.B(4)), and therefore waives the City’s
consultant selection process with respect to the Agreement; and
2. Approves the Agreement in the form presented, with such minor modifications as may
be required or approved by the City Attorney, a cop y of which shall be kept on file in
the Office of the Cit y Clerk; and
3. Appropriates $150,000 out of the ___________ fund for purposes of funding the
Agreement (4/5 Vote Required).
Presented by:
Glen R. Googins,
City Attorney
Approved as to form by:
Glen R. Googins
City Attorney
2022/02/15 City Council Post Agenda Page 365 of 406
v . 0 03 P a g e | 1
February 15, 2022
ITEM TITLE
Agreement: Approve a Second Amendment to the Core Agreement with the United States Olympic &
Paralympic Committee
Report Number: 22-0070
Location: 2800 Olympic Avenue
Department: City Manager
Environmental Notice: The activity is not a "Project" as defined under Section 15378 of the California
Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no
environmental review is required.
Recommended Action
Adopt a resolution approving a Second Amendment to the Core Agreement between the City and USOPC and
related agreements.
SUMMARY
In 2016, the City and the United States Olympic Committee (“USOC”) entered into a Core Agreement in
anticipation of a transfer of all of USOC’s right, title, and interest in that certain real property and facilities
located at 2800 Olympic Avenue (the “Chula Vista Elite Athlete Training Center”) to City on December 31,
2016. The Core Agreement established essential maintenance and operation standards that are necessary
and appropriate for successful training and support of elite athletes. In 2020, the City and newly branded
United States Olympic and Paralympic Committee (“USOPC”) began negotiating amendments to the Core
Agreement to address current and future operational changes at the Chula Vista Elite Athlete Training Center.
In March of 2020, the world changed for all of us as we found ourselves living in the uncertainty of a global
pandemic. The USOPC agreed to continue to pay the minimum annual commitment in both 2020 and 2021
while we all adjusted to how to safely operate a large training center during a global pandemic and creatively
deal with the loss in revenue. On March 1, 2021, the City received notice from USOPC that it desired to revert
to the previously recommended funding model to remove the minimum annual commitment of $3,000,000
starting in January of 2022. Thereafter, the City, in concert with operator Elite Athlete Services, LLC (“EAS”),
engaged in negotiations with USOPC on potential amendments to the agreement. On January 27, 2022, the
2022/02/15 City Council Post Agenda Page 366 of 406
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City and USOPC conceptually agreed upon the terms for the following potential amendments: change in party
name from USOC to USOPC; extension of the term through December 31, 2024, with a potential additional
extension through 2028; amendment to the definition of NGBs to include Paralympic governing bodies;
reductions to the minimum annual commitment, and associated reductions to USOPC’s guaranteed access
and preferential rates; amendments to athlete and NGB engagement requirements; updates to the operations
plan; and updates to the athlete safety standards. City staff also negotiated license agreement(s) with USOPC
to allow them to utilize certain facilities at the Chula Vista Elite Athlete Training Center for their on-site
operations. This proposed action would approve the second amendment to the Core Agreement and
authorize staff to finalize and execute license agreement(s) with the USOPC, at the rates identified below,
along with standard terms and conditions for City licenses, all in forms approved by the City Attorney.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with the California
Environmental Quality Act (CEQA) and has determined that the activity is not a “project” as defi ned under
Section 15378 of the State CEQA Guidelines because the activity consists of approval of a Second Amendment
to the Core Agreement between the City and USOPC, and does not involve a potentially significant physical
impact on the environment; therefore, pursuant to Section 15060 (c)(3) of the State CEQA Guidelines the
activity is not subject to CEQA. Thus, no environmental review is required.
Not Applicable
DISCUSSION
In March of 2016, the City and USOC entered into a Core Agreement in anticipation of a transfer of all of
USOC’s right, title, and interest in that certain real property and facilities located at 2800 Olympic Avenue
(the “Chula Vista Elite Athlete Training Center”) to City on December 31, 2016. The Core Agreement included,
among other items, commitments on maintenance and operation standards consistent with what is
necessary and appropriate for successful training and support of elite athletes at the Chula Vista Elite Athlete
Training Center.
Toward the end of the initial term of the Core Agreement, on December 31, 2020, the newly branded United
States Olympic and Paralympic Committee (“USOPC”) and City began negotiating potential amendments to
the agreement including the following: options to extend the term of the agreement through 2 024, and
potentially through 2028; implementation of background checks and SafeSport policies; expansion of athlete
and NGB engagement; modifications to the funding model in Chula Vista to align with the model used for the
rest of the USOPC’s training sites; and reductions to the annual minimum commitment, with corresponding
reductions in USOPC’s guaranteed access and preferential rates.
In March of 2020, the world changed for all of us as we found ourselves living in the uncertainty of a global
pandemic. The USOPC agreed to continue to pay the annual minimum commitment in 2020 and 2021 while
we all adjusted to how to safely operate a large training center during a global pandemic and creatively deal
with the loss in revenue. On March 1, 2021, the City received notice from the USOPC that it desired to revert
to the model previously recommended to remove the minimum annual commitment of $3,000,000 starting
in January of 2022. As this was a material change to the original agreement, the City, in concert with operator
Elite Athlete Services (“EAS”), began negotiations with the USOPC on potential amendments. On January 27,
2022, the City and USOPC conceptually agreed upon the terms for the following potential amendments to the
2022/02/15 City Council Post Agenda Page 367 of 406
P a g e | 3
Core Agreement: a change in the party entity name from USOC to USOPC; extension of the term through
December 31, 2024, with a possible additional extension through 2028; amendment of the definition of
National Governing Bodies (NGBs) to include paralympic governing bodies, which historically had been
referred to as High-Performance Management Organizations; a reduction to the minimum annual
commitment to $2,200,000 in 2022, $1,750,000 in 2023, and $1,500,000 in 2024; amendments to athlete and
NGB engagement requirements; updates to the operations plan to meet current operational requirements;
updates to the minimum usage commitment rates and associated reductions in guaranteed access and
preferential rates; and updates to current athlete safety standards. Concurrently with negotiations for the
second amendment to the Core Agreement, City staff negotiated license agreement(s) with USOPC for the
following Chula Vista Elite Athlete Training Center facilities: Sports Medicine Building (5,893 SF) billed as
Medical Grade space at $2.85/SF; the High Performance Building (776 SF) billed as grade B+ office space at
$1.00/SF; and the Track and Field, Strength & Conditioning sheds billed as unfinished industrial space at
$0.90/SF. The proposed license agreement(s) would require USOPC to cover all costs inside the buildings
(Utilities, janitorial) while the City would cover all costs outside the building (landscape, exterior
maintenance).
The City’s operator, EAS, is in agreement with the proposed changes to the Core Agreement in light of the
high demand for the Chula Vista Elite Athlete Training Center in 2022 and beyond, and also the changes in
the operation and business model implemented by EAS. EAS had already established a new business model
in anticipation of these changes which focuses on generating a breadth of revenue sources, rather than
relying so heavily on the USOPC. In 2022, for example, rather than relying on revenues solely from training,
EAS has brought on a Chief Revenue Officer overseeing a staff of 4 sales associates focusin g on a variety of
categories – training, corporate events, camps & clinics, fantasy camps, and sponsorships. Whereas training
has historically comprised 95% of the Chula Vista Elite Athlete Training Center’s revenue, and Team USA has
comprised 85% of training revenue, it is anticipated that in 2022 training will comprise 75% of the Chula
Vista Elite Athlete Training Center’s revenue (and Team USA only 50% of that), with a decrease each year as
corporate events and in particular sponsorships play a greater role.
The Chula Vista Elite Athlete Training Center is open to the public every day for anyone who wants to walk
to Olympic Parkway or stop in the team shop and look around the amazing campus. EAS is committed to
hosting events for the City and the community at large. Obviously, the 4th of July Fireworks show is the
highlight of the year, but Chula Vista Elite Athlete Training Center has hosted many other events over the
years. In 2021, the Chula Vista Elite Athlete Training Center was still limited in part due to Covid but
reopened the BMX Development Track open to local youth, hosted the San Ysidro High School Homecoming,
An Evening with Heroes (benefiting the Chula Vista Police Department Foundation), the Chicano Federation
Camp, and the 5K benefiting the Burn Institute.
In 2022, the Chula Vista Elite Athlete Training Center has more events on the docket, including San Ysidro
High School Homecoming, Foundation Fighting Blindness 5K Fun Run, US4 Warriors Dinner, Mar Vista High
School Prom, Montgomery High School Homecoming, American Heart Association Heart Walk, and will be
proud to welcome the Chula Vista Police Foundation again for the Evening with Heroes.
EAS has brought on a staff member dedicated to booking and fulfilling events like these. And rew DeMaria
can be reached at ademaria@trainatchulavista.com .
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P a g e | 4
Furthermore, it should be noted that above reductions to the annual commitments are only minimum
guarantees. There has been a renewed focus by the Chula Vista Elite Athlete Training Center’s management
to improve and grow relationships and City staff and EAS project that revenues from Team USA will far
exceed the minimums year after year, especially in the buildup to the Los Angeles 2028 games.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and
consequently, the real property holdings of the City Council members do not create a disqualifying real
property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any Council member, of any other fact that
may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
No anticipated current-year fiscal impact
ONGOING FISCAL IMPACT
No anticipated ongoing fiscal impact
ATTACHMENTS
Second Amendment to Core Agreement
Staff Contact: Deputy City Manager, Kelley Bacon
2022/02/15 City Council Post Agenda Page 369 of 406
SECOND AMENDMENT TO
Core Agreement between
United States Olympic Committee
and
City of Chula Vista
This SECOND AMENDMENT (“Second Amendment”) to the Core Agreement is entered into
effective as of January 1, 2022 (“Effective Date”) by and between the United Stated Olympic
Committee (“USOC”) and the City of Chula Vista, a chartered municipal corporation (“CV”), with
reference to the following facts:
RECITALS
WHEREAS, CV and USOC entered into a Core Agreement (the “Core Agreement”) dated
March 31, 2016; and
WHEREAS, CV and USOC entered into a First Amendment to the Core Agreement (the
“First Amendment”) dated July 25, 2018 to updated terms and conditions including without
limitation those related to USOC usage, program changes and cancellations, rates, and effective
periods; and
WHEREAS, CV and USOC desire to further amend the Core Agreement to modify terms
and conditions related to the term of the Core Agreement, the minimum annual payment, annual
NGB reviews, the performance menu, operations plan, and minimum usage commitment, all as
more specifically set forth below.
NOW, THEREFORE, in consideration of the above recitals and the mutual obligations of
the parties set forth herein, CV and USOC agree as follows:
1. The Preamble to the Core Agreement is hereby amended and restated in its entirety as
follows:
“THIS CORE AGREEMENT (the "Core Agreement") is made effective as of this 28th
day of March, 2016 (the "Effective Date") between the UNITED STATES OLYMPIC
AND PARALYMPIC COMMITTEE, a federally charted non-for-profit corporation,
formerly known as the UNITED STATES OLYMPIC COMMITTEE, a federally
chartered not-for-profit corporation (as used herein, “USOPC” or "USOC") and the
CITY OF CHULA VISTA, a chartered municipal corporation ("CV").”
2. Section 1 to the Core Agreement is hereby amended and restated in its entirety as
follows:
“1. Term of Agreement. The term of this Agreement shall commence as of the
Transfer Date and shall terminate on December 31, 2024 (the “Term") unless sooner
terminated as provided in Section 14 hereof (it being expressly understood, however,
that the provisions of Section 2(A) below shall be effective and apply prior to the
commencement of the Term during the period from and after the Effective Date);
2022/02/15 City Council Post Agenda Page 370 of 406
2
provided, however, that commencing no later than eighteen (18) months prior to the
expiration of the Term, USOPC and CV shall meet and confer to negotiate on whether
and on what terms the parties may extend the Tenn. The Term, as may be extended,
shall sometimes be referred to herein as the "Term", the “Initial Term”, or the "Term
of this Agreement". Upon the expiration or earlier termination of this Agreement, the
parties shall promptly execute, acknowledge and deliver such documentation as is
necessary to remove from the Official Records of San Diego County that certain
Memorandum of Core Agreement which was recorded on or about the Transfer Date.”
3. Section 4 to the Core Agreement is hereby amended and restated in its entirety as
follows:
“4. USOC Use of CVTC; Modifications or Sale.
“A. Minimum Usage Commitment. Throughout the Term of this Agreement (as
may be extended), on the terms and conditions provided for herein, CV shall make
available to USOPC, and USOPC shall use commercially reasonable efforts to make
use of (herein, the "Minimum Usage Commitment") (either by directly arranging for
such use or facilitating such arrangements by USOC's recognized National Governing
Bodies, including Paralympic governing bodies historically referred to as High-
Performance Management Organizations (collectively, "NGBs")) by "qualified" elite
athletes, coaches and trainers (which for purposes hereof, shall mean any athletes,
coaches and/or trainers that USOPC selects or identifies from time to time as "elite" in
USOPC’s discretion), the applicable amounts of “full access" described in Exhibit C
attached hereto, the operations plan attached hereto as Exhibit E (the "Operations
Plan"), and Exhibit F attached hereto to (i) the housing complex at the CVTC identified
as "Athlete Housing" on the site plan attached hereto as Exhibit A-2, (ii) the CVTC
"Core" facilities and services listed on Exhibit B attached hereto, and/or (iii) the
corresponding "specialized" facilities and services necessary to support related sports
disciplines listed on Exhibit B attached hereto. The following matters pertaining to
USOC's Minimum Usage Commitment are set forth, in and shall be governed by, in
Exhibit C attached hereto, the Operations Plan and Exhibit F attached hereto: (A) the
process for reservation of beds; (B) the negotiated amount and definition of “full
access" to beds, Facilities and services; (C) the definition of “qualified" elite
athletes/trainers; (D) terms for USOPC assignment of such resident/access rights; (E)
terms for USOPC acquisition of Facility usage above and beyond the Minimum Usage
Commitment; and (F) a process for the reallocation by CV of unused facilities and
services (which may include relief to USOPC against the Minimum Usage
Commitment). USOPC shall, during the term, track and calculate USOPC’s usage for
purposes of determining as and when the Minimum Usage Commitment for each year
during the Term has been exhausted and shall deliver to CV a quarterly written report
showing USOPC’s calculation of usage for the year in question and the amount of the
Minimum Usage Commitment remaining, if any, for the year in question.
B. [INTENTIONALLY OMITTED].”
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3
4. Section 5 to the Core Agreement is hereby amended and restated in its entirety as
follows:
“5. Consideration; Minimum Annual Payment. In consideration of the
granting by CV of the use of the CVTC by USOPC hereunder, USOPC shall pay to CV
a minimum annual payment (the "Minimum Annual Payment") for each year of the
Term as follows:
Agreement Year Minimum Annual Payment
Year 1 (Jan 1 – Dec 31 2017) $3,000,000
Year 2 (Jan 1 – Dec 31 2018) $3,000,000
Year 3 (Jan 1 – Dec 31 2019) $3,000,000
Year 4 (Jan 1 – Dec 31 2020) $3,000,000
Year 5 (Jan 1 – Dec 31 2021) $3,000,000
Year 6 (Jan 1 – Dec 31 2022) $2,200,000
Year 7 (Jan 1 – Dec 31 2023) $1,750,000
Year 8 (Jan 1 – Dec 31 2024) $1,500,000
.The Minimum Annual Payment shall be applied as a credit against the use by USOC
of the CVTC at the rates and on the terms set forth on Exhibit F attached hereto (it
being expressly acknowledged and agreed however that if the use by USOC of the
CVTC pursuant to the rates set forth on Exhibit F attached hereto results in an
exhaustion of the entire amount of the Minimum Annual Payment for the applicable
year in question, USOC shall be permitted to continue to use the CVTC at the rates and
on the terms set forth on Exhibit F attached hereto, and shall pay such rates to CV).
For Years 1 through 5, the Minimum Annual Payment shall be made from USOPC to
CV in four (4) equal payments as follows (with the Minimum Annual Payment being
prorated for any partial year): (1) On January 1 of each year of the Term - $750,000
(for the period January 1 to March 31); (2) On April 1 of each year of the Term
$750,000 (for the period April 1 to June 30); (3) On July 1 of each year of the Term -
$750,000 (for the period July 1 to September 30); and (4) On October 1 of each year
of the Term - $750,000 (for the period of October 1 to December 31).
For Years 6 through 8, the Minimum Annual Payment shall be made as follows:
USOPC shall make fifty percent (50%) of the Minimum Annual Payment directl y to
CV (the “USOPC Share”) and the remaining fifty percent (50%) of the Minimum
Annual Payment shall be made to City by NGBs (“NGB Share”) that have (i) entered
into an agreement with the USOPC to receive funding for use at CVTC and (ii) reserved
CVTC Facilities in accordance with the Agreement. In each such agreement between
USOPC and an NGB, USOPC shall require that the NGB use funding received
thereunder solely for use at CVTC and that any funding not so used by the NGB by the
end of the applicable calendar year will be returned to USOPC. Upon return of any
such funding to USOPC, USOPC will either (a) immediately remit such funding to CV
or (b) the Minimum Annual Payment amount will be increased in the subsequent
calendar year in an amount equal to the returned funding. If any portion of the USOPC
2022/02/15 City Council Post Agenda Page 372 of 406
4
Share or NGB Share, or both, are not paid at the expiration of the Term, or earlier
termination of the Agreement, USOPC shall pay the unpaid balance of the USOPC
Share or NGB Share, or both, to CV by no later than thirty (30) calendar days after
such expiration or termination of the Agreement.
In Year 6, USOPC shall pay the USOPC Share to CV by no later than March 1, 2022.
In Years 7 and 8, USOPC shall pay the USOPC Share to CV by no later than November
30 of the prior calendar year.
The user rates and types that the parties anticipate will make up the Minimum Annual
Payments are described in Exhibit F attached hereto. USOPC and City agree to meet
no less than twice (2x) per calendar year, once on or before March 1 and once on or
before July 1, to ensure compliance with this section of the Agreement.”
5. Section 11 to the Core Agreement is hereby amended to add subsection B as follows:
“B. In order to facilitate additional engagement with NGBs, the City (via Operator)
agrees to coordinate an initial orientation meeting with new NGB users of CVTC to
ensure understanding of processes and needs at CVTC. Further, the Parties agree to
conduct quarterly meetings with City, Operator, USOPC, and relevant NGBs, and
appropriate athlete liaisons, coaches, administrators on site at CVTC to discuss CVTC
operations. The Parties agree to appoint liaisons, as appropriate, from stakeholders to
allow for supplemental engagement more frequently than the quarterly meetings.”
6. Exhibit E to the Core Agreement is hereby amended and restated with the Amended
and Restated Exhibit E attached hereto and incorporated herein by this reference.
7. Exhibit F to the Core Agreement is hereby amended and restated with the Amended
and Restated Exhibit F attached hereto and incorporated herein by this reference.
8. Exhibit I to the Core Agreement is hereby amended and restated with the Amended and
Restated Exhibit I attached hereto and incorporated herein by this reference.
9. Except as expressly provided herein, all other terms and conditions of the Core
Agreement, as previously amended, shall remain in full force and effect.
10. Each party represents that it has full right, power, and authority to execute this Second
Amendment and to perform its obligations hereunder, without the need for any further
action under its governing instruments, and the parties executing this Second
Amendment on the behalf of such party are duly authorized agents with authority to do
so.
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5
SIGNATURE PAGE TO SECOND
AMENDMENT
TO
CORE AGREEMENT
USOPC CITY OF CHULA VISTA
BY:________________________________ BY: ________________________________
ENTER NAME OF SIGNATORY MARY CASILLAS SALAS
ENTER TITLE OF SIGNATORY MAYOR
ATTEST
BY: _________________________________
KERRY K. BIGELOW, MMC
CITY CLERK
APPROVED AS TO FORM
BY: _________________________________
GLEN R. GOOGINS
CITY ATTORNEY
2022/02/15 City Council Post Agenda Page 374 of 406
6
AMENDED AND RESTATED
EXHIBIT E
OPERATIONS PLAN
The following Operations Plan applies to the ____ bed reservations and any additional USOPC
usage of the Facilities and beds above the _____ bed reservations referenced in EXHIBIT F.
1. Definition of Full Access
a. A user that has full access is equivalent to an On-Complex User referenced in
Exhibit F.
b. The ____ beds identified in EXHIBIT F under Annual Guaranteed User Days
shall be considered full access users.
c. Any additional USOPC On-Complex User reservations that are included in the
Minimum Usage Commitment or are above the Minimum Usage Commitment
will receive full access.
2. Access to Weight Room
a. USOPC will include access to the Weight Room in the reservation requests.
b. Weight room access will be granted based on the User Types in the reservation
and the Rates set forth in EXHIBIT F.
3. Access to Track and Field Office
a. Priority access to Track and Field Office access will be determined by the
USOPC and provided to designated National Governing Bodies (NGB’s) and
their constituents.
b. The USOPC will provide to CV a list of the USOPC designated NGB’s on an
annual basis, and the USOPC will notify CV if the list changes at any time
throughout the year or the term of this Agreement.
c. Non-USOPC designated individuals may access the Track and Field Office,
provided that it is not reserved or fully occupied by the USOPC designated
NGB’s.
4. Access to High Altitude Dorm Rooms. If the high altitude dorm rooms are not reserved
by the USOPC, CV may reallocate these rooms to third party users. As stated under
Section 3B of this Agreement, CV will be responsible, at its sole cost and expense, for
any damage caused as a result of any such third party usage of the High Altitude Dorm
Rooms (and/or any of the altitude settings and controls).
5. Elite. The USOPC will determine which Individuals are elite athletes for its purposes. An
elite athlete is one that the USOPC is willing to fund through its Minimum Usage
Commitment or fund above the Minimum Usage Commitment. The elite athletes
identified by the USOPC will align with the USOPC High Performance
Planning/Resource Allocation Process.
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7
6. Reservation Process. As to all Facilities, CV will provide the USOPC with first priority
in reserving the Facilities hereunder for its Minimum Usage Commitment. With respect
to all usage above the Minimum Usage Commitment, USOPC and CV shall have
concurrent rights to booking.
a. The rates for all USOPC usage, whether included in the Minimum Usage
Commitment or above and beyond the Minimum Usage Commitment will be
consistent with the User Types and Rates set forth under Exhibit F.
b. Requests for all USOPC usage during the first and second quarter of 2022 shall be
submitted by USOPC to CV by September 1, 2021 and by January 1, 2022 for
usage during the third and fourth quarters of 2022. Following 2022, requests for
all USOPC usage shall be during the first and second quarter of each year shall be
submitted by USOPC to CV by June 1 of the immediately preceding year, and by
August 1 for usage during the third and fourth quarters of each year. USOPC will
designate which resources are allocated to which programs when requests are
submitted. The reservations will include the start and end dates of the program,
program name, total number of Individuals, Individual user types, number of
meals, venues, weight room needs, meetings rooms and other resources requested.
c. CV will confirm all USOPC reservations with the designated USOPC
representative within thirty (30) days after the date of the request therefore. By
confirming the reservation, the USOPC agrees to fund the reservation, and CV
guarantees that the program will have the necessary facilities reserved for the
specified number of users and on the specified dates.
d. CV is responsible for tracking the USOPC’s actual program usage against the
Minimum Usage Commitment. CV will provide to USOPC a monthly report of
actual usage based on the month and year-to-date programming.
e. Prior to confirming the reservation CV will notify USOPC of any reservation or
usage that will be above and beyond the Minimum Usage Commitment. CV will
invoice the USOPC for such programs that go above the Minimum Usage
Commitment following the conclusion of the program. Each invoice shall include
number of users, type of user, number of days for each user, facilities used,
number of meals, and any other relevant documentation to support the invoiced
amount. USOPC shall make payment within thirty (30) days after the date of such
invoice.
7. Program Changes and Cancellations. As to each Facilities reservation hereunder,
USOPC may chancel the reservation and/or change the number of individuals in the
reservation or the duration of the reservation at any time up to 30 days prior to the first
day of the subject reservation. If a reservation is cancelled at least 90 days prior to the
scheduled start date, the value of the reserved inventory will be fully credited back the
USOPC for use during the same year. If a reservation is cancelled between 30 and 90
days prior to the scheduled start date, one-half of the value of the reserved inventory will
be credited back to the USOPC for use during the same year. If a reservation is cancelled
2022/02/15 City Council Post Agenda Page 376 of 406
8
less than 30 days prior to the scheduled start date, the USOPC will receive no credit
therefor. Credits obtained by the USOPC pursuant to such cancellations, to the extent not
used during the same calendar year, shall no longer apply.
8. Reallocation by CV of Unused Facilities. Subject to the provisions of sections 6 of this
Operations Plan, after the USOPC’s usage and reservation needs have been fulfilled in
accordance with the above requirements, CV has the right to book unused Facilities to
third party users.
2022/02/15 City Council Post Agenda Page 377 of 406
9
AMENDED AND RESTATED
EXHIBIT F
MINIMUM USAGE COMMITMENT RATES AND NATURE OF INVENTORY
1. General. USOC's Minimum Annual Payment will include CVTC programming for the
NGB/USOPC Training and Competition Needs. Programming includes, but is not limited to,
resident and short-term programs, camps, events, facility-use programs, coaching programs,
dining hall access, and training specials. For NGB/USOPC-requested users and programs, CV
agrees that the Property and Facilities, including without limitation the sport and training venues,
will be made available and accessible at the rates mentioned below and at appropriate times,
including at least the availability normally accorded them by USOC at the time of execution of
this Agreement. Any sharing of NGB/USOPC reserved Facilities (e.g., soccer fields, athletic track,
throwing fields, etc.) with a non-USOPC program or user must be agreed upon by the
NGB/USOPC before being permitted by CV.
2. User Types and Rates. The rates and user types below will apply to all CVTC programming
requested by the USOPC or an NGB in connection herewith, and shall include the Annual
Guaranteed User Days, as defined and set forth in Section 3 below. For the purposes of this Exhibit
F, an "Individual" is an athlete, coach, or other program participant, and a "Day" is a twenty-four
hour unit of time that begins and ends at 12:00 am.
2021 2022 2023 2024
On-Complex User $105 $108 $112 $115
Off-Complex w Meals User $55 $58 $60 $62
Facility Use Only User $20 $22 $25 $28
Meals $13 $15 $16 $18
A. On-Complex User
a. This includes housing (bed, restroom and shared living space) in the CVTC dorms,
unlimited access and meals in the dining room, access to designated training facilities/venues, and
access to the Weight Room facilities. Dorm rooms can only be shared by athletes of the same
gender, excluding coaches. Coaches and athletes may not be placed in the same room.
B. Off-Complex with Meals User
a. This includes unlimited access and meals in the dining room, access to training
facilities/venues, and access to the Weight Room facilities.
C. Facility Use Only User
a. Includes access to a specified training facility or venue and access to Weight Room
facilities.
D. Meals
2022/02/15 City Council Post Agenda Page 378 of 406
10
a. This includes any meal not included in 2A or 2B above.
To the extent that actual costs to CV materially exceed the rates set forth herein, the parties agree
to meet and confer to address the possibility of an equitable adjustment of such rates. With respect
to all usage above the Minimum Usage Commitment, USOPC and CV shall have concurrent rights
to booking.
3. Annual Guaranteed User Days. USOPC will guarantee booking inventory from the CVEATC
in exchange for all or a portion of the Minimum Annual Payment (collectively, the "Annual
Guaranteed User Days"):
A. 40 beds for 365 Days, i.e., the equivalent of 14,600 On-Complex User Days.
B. The remainder of the Minimum Annual Payment may consist of a variation of the Individual
user Days and types at the rates described above, as notified to CV by the USOPC in its discretion;
provided, however, that CV shall have priority access to book the remaining On-Complex User
Days above 40, provided that to the extent CV does not exercise such priority, said On-Complex
User Days will be available to the USOPC at the per Day rate provided in section 2 above until
the Minimum Annual Payment has been fulfilled. After the Minimum Annual Payment has been
fulfilled by USOPC and/or NGBs through CVTC programming, the rates for said On-Complex
User Days will be available to USOPC at a preferred rate to be negotiated by the parties.
4. Sport Performance Services. Services provided by USOPC using the Sport Performance
Facilities, including but not limited to medical coverage, clinic access, and access to sports
psychologists, dietitians, and physiologists, will be for USOPC Training and Competition Needs
programs only. Access to these services and the Sport Performance Facilities will be only for
USOPC Training and Competition Needs programs. USOPC may grant exceptions to this
restriction via written notice, at its sole discretion pursuant to Section 3A of the Agreement.
2022/02/15 City Council Post Agenda Page 379 of 406
11
AMENDED AND RESTATED
EXHIBIT I
Minimum Standards for Athlete Safety
[TO BE INSERTED]
2022/02/15 City Council Post Agenda Page 380 of 406
RESOLUTION NO. __________
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING A SECOND AMENDMENT TO
THE CORE AGREEMENT BETWEEN THE CITY OF CHULA
VISTA AND THE UNITED STATES OLYMPIC &
PARALYMPIC COMMITTEE; AND AUTHORIZING THE CITY
MANAGER TO EXECUTE LICENSE AGREEMENT FOR THE
CHULA VISTA ELITE ATHLETE TRAINING CENTER
WHEREAS, in March of 2016, the City of Chula Vista (“City”) and the Unites States
Olympic Committee (“USOC”) entered into a Core Agreement in anticipation of the transfer of all
USOC’s right, title, and interest in that certain real property, and facilities thereon, located at 2800
Olympic Parkway (“Chula Vista Elite Athlete Training Center”) to the City on December 31, 2016;
and
WHEREAS, the Core Agreement establishes essential maintenance and operation
standards that are necessary and appropriate for successful training and support of elite athletes at
the Chula Vista Elite Athlete Training Center; and
WHEREAS, in 2020, the City and newly branded United States Olympic and Paralympic
Committee (“USOPC”) began negotiating amendments to the Core Agreement to address current
and future operational changes at the Chula Vista Elite Athlete Training Center; and
WHEREAS, City and USOPC have conceptually agreed upon the terms for a number of
potential amendments including but not limited to an extension of the term, reductions to the
minimum annual commitment, and associated reductions to USOPC’s guaranteed access and
preferential rates, updates to the operations plan, and updates to the athlete safety standards; and
WHEREAS, City and USOPC have also negotiated license agreement(s) to allow USOPC
to utilize certain facilities at the Chula Vista Elite Athlete Training Center for their on-site
operations in connection with the Core Agreement.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista
that it approves the Second Amendment to the Core Agreement between the United States Olympic
& Paralympic Committee and the City of Chula Vista, in the form presented, with modifications
as may be approved or required by the City Attorney, authorizes and directs the Mayor to execute
the same, and directs that an executed version of the agreement be kept on file in the Office of the
City Clerk.
BE IT FURTHER RESOLVED by the City Council of the City of Chula Vista that it
authorizes the City Manager to execute license agreements for facilities at the Chula Vista Elite
Athlete Training Center in furtherance of the Core Agreement, on terms outlined in the staff report
for this action, and in a form approved by the City Attorney, and directs that executed versions of
such license agreements be kept on file in the Office of the City Clerk.
2022/02/15 City Council Post Agenda Page 381 of 406
Presented by Approved as to form by
Kelley Bacon Glen R. Googins
Deputy City Manager City Attorney
2022/02/15 City Council Post Agenda Page 382 of 406
CVEATC | 01
Chula Vista City
Council
Presentation
February 2022
2022/02/15 City Council Post Agenda Page 383 of 406
CVEATC | 02
•General Update
•Vision 2028 Overview
2022/02/15 City Council Post Agenda Page 384 of 406
CVEATC | 03
Chula Vista Elite Training
Center
2800 Olympic Parkway
Chula Vista, CA 91915
United States
San Diego (SAN)
22 mi | appx. 30min
Training Ground
Directly on the Campus
Total Beds
298
Our Campus
2022/02/15 City Council Post Agenda Page 385 of 406
ALL-INCLUSIVETRAINING SITE
By offering everything your team needs –lodging, meals, facilities –on one campus, Chula Vista Elite Athlete Training Center allows you and your team to focus on training and developing talent
Why Choose Chula Vista?
WEATHER
San Diego, California
averages 275 days of
sunshine per year and
perfect temperatures and
daily highs throughout the
year of between 19 -25 C /
66 -77F, which makes it the
ideal year-round training
destination
FACILITIES
155 acres dedicated to athletic
excellence, Chula Vista Elite
Athlete Training Center’s
facilities are world class and
include the grass fields, meeting
spaces, strength & conditioning
center, sports therapy and
athlete dining hall with
executive chef prepared meals.
Chula Vista is a professional
training environment.
SPORTS THERAPY
Sports Therapy Center built
2 years ago to support all
athlete and team needs to
keep you at your best
performance.
2022/02/15 City Council Post Agenda Page 386 of 406
COMPETITION
Chula Vista Elite Athlete
Training Center can host
multiple teams, visiting
teams and competition
matches / scrimmages to
ensure your team stays
sharp.
Why Choose Chula Vista?
TRACK RECORD
Since 1995, Chula Vista Elite
Athlete Training Center has
played a role in the development
of some of the world’s top
athletes and teams. Over 300
Olympic & Paralympic athletes
that went to Tokyo 2020 trained
here, 203 for Team USA and
brought home 93 Olympic
medals.
ACCOMMODATION
S
With 6 buildings on
campus, there are several
on-campus housing options
from single and double
occupancy with central
living room to
accommodate groups
FLEXIBLE
PACKAGES
With pre-packaged training
options as well as a-la-carte
options, you can tell us what
is most important to your
team, and we can arrange it
for you.
2022/02/15 City Council Post Agenda Page 387 of 406
Dashboard / Revenue Segments
Segment 2022 Target ($ thousands)Strategy / Approach
1. Camps & Clinics $5,500 Year-Round Strategy
NGB’s, Int’l, Collegiate, Pro
2. Residency Program w/
Housing
-USA Archery, USA Para T&F
$1,000 Add Camps to programs
NGB Partnerships
3. Off-site, Residency
Program
-USA Rugby (M&W), USATF,
Loyal
$1,400 Add Camps to programs
NGB Partnerships
4. Facility Only $100 Strategic / Higher Profile Events
5. Sponsorship $500 Strategic Fit / Sources of Value
6. Events $500 New Materials & Networking
TOTAL $9,0002022/02/15 City Council Post Agenda Page 388 of 406
Sponsors Categories & Prospective Clients
Categories:
Categories:
•Athletic Apparel
•Beverage
•Energy
•Food
•Health, Wellness
& Recovery
•Healthcare
•Home / Furniture
•Retail
•Technology
Sponsors:
Presentations:
•Airweave
•American Specialty
Health
•Chipotle
•Chobani
•HCL Americas
•Lowe’s
•Mercury Marine
•Nectar
•Sempra Energy
•Under Armour
Discussions To Date:
●Training Center can be a “Brand Ambassador” to brands●Access to Elite Athletes is a key
point in most conversations●Social media extensions are important to all brands●Vision of Training Center is important●Looking at brand partners that
would promote EATC partnership
and bring additional value in addition to cash investment
2022/02/15 City Council Post Agenda Page 389 of 406
New Clients (January)
●Angel City FC
●India T&F
●Qatar T&F
●AG Rugby
●San Diego Legion
●LA Giltinis
●USC Rowing
●New Mexico United
●LA Galaxy
●V Group
New Clients
2022/02/15 City Council Post Agenda Page 390 of 406
CVEATC | 09
Vision 2028:
The Road to 50
Vision 2028:
The Road to 50
2022/02/15 City Council Post Agenda Page 391 of 406
Vision 2028
The most important thing in the Olympic Games is not winning but taking part; the essential thing in life is not conquering but fighting well.
-Pierre de Coubertin, former President of the International Olympic Committee, father of the Modern Olympics
2022/02/15 City Council Post Agenda Page 392 of 406
Vision 2028
With the World’s eyes focused on Los Angeles in 2028, CVEATC is uniquely qualified to play the most important role of any training center on Earth.
Vision 2028 is our Mission, the Metrics to define along the way, Mobilizing our resources, the Medals won and the Method to fulfill it.
2022/02/15 City Council Post Agenda Page 393 of 406
The Road to 2028
$9,000,000 revenue
$10,000,000 revenue
$12,000,000
revenue
95%
capacity
$15,000,000
revenue
50 Gold
Medals out
of CVEATC
-AND-
Team USA
wins 50
Gold
medals$11,000,000 revenue
$13,000,000 revenue
2022/02/15 City Council Post Agenda Page 394 of 406
Vision 2028 –The Mission
The world’s leading training and
performance center for the athlete of
tomorrow.
2022/02/15 City Council Post Agenda Page 395 of 406
Vision 2028 –The Gold Medals
Team USA wins 50 Gold Medals for the first time in American history
-AND -
50 Total Gold Medals (All countries) come out of CVEATC
2022/02/15 City Council Post Agenda Page 396 of 406
Vision 2028 –The Gold Medals
USA –1984* (83)/USSR 1980* (80)USSR –1988 (55)China –2008 (51)USSR –1972 (50)
USA most all time: 46 (2016, 2012)
* Boycotted
2022/02/15 City Council Post Agenda Page 397 of 406
2022
●$9 million in revenue
●$500,000 sponsorships / $500,000 events
●Locker room / Support Building
●Dorm Renovation Project
●Technology Project
2022/02/15 City Council Post Agenda Page 398 of 406
Projects –Dorm Renovation
Purpose
●To bring the Legacy Dorms (100-400) current, creating
demand and revenue opportunities.
Phases
1.Rename
2.Update
3.Upgrade
2022/02/15 City Council Post Agenda Page 399 of 406
Phases
Phase One: Rename
•Lean into Olympic heritage, rename the buildings based on colors of the
Olympic flag
•Leaves open opportunity for donation or sponsorship (ie Baldwin Black)
Phase Two: Update
•Paint doors corresponding color to name
•Paint interior walls a neutral color with one accent wall
•Millwork
•Olympic on walls NAME:
CURRENT
NAME: REVISED SUITES BEDS PROJECTED
START DATE
100 Green 11 44 May 2022
200 Blue 8 29 February 2022
300 Yellow 8 32 April 2022
400 Red 8 32 June 2022
Easton Easton Stripes 18 60 July 2022
Baldwin Baldwin Black 30 120 August 2022
TOTAL 83 2972022/02/15 City Council Post Agenda Page 400 of 406
2022/02/15 City Council Post Agenda Page 401 of 406
2022/02/15 City Council Post Agenda Page 402 of 406
Projects -Technology
Establish the CVEATC Sports Innovation Center to be the world’s leading sports
performance technology and innovation hub.Being the premier destination for elite
Olympians (athletes) around the globe to leverage the latest in sports technology to
drive excellence in performance and foster innovation.
Phases
1.CRM, cloud, network upgrades, marketing stack
2.Hotel systems, website upgrade, Enterprise Resource Planning, E-commerce
3.Field cameras, IoT systems, timing, 3D athlete tracking
4.Media center (social media, e-sports)
2022/02/15 City Council Post Agenda Page 403 of 406
2025
●Execute Agreement with USOPC through 2028
●Secure long-term Agreements with >5 NGB’s
●$12,000,000 revenue
2022/02/15 City Council Post Agenda Page 404 of 406
2027
●CVEATC at 95% capacity for entire year
●$15,000,000 revenue
2022/02/15 City Council Post Agenda Page 405 of 406
2028
Los Angeles Olympics: July 21 –August 6, 2028
Los Angeles Paralympics: August 22 –September 3, 2028
●50 Total Gold Medals won out of CVEATC
●Team USA wins 50 Gold Medals
●CVEATC leads all facilities in Medal count
2022/02/15 City Council Post Agenda Page 406 of 406