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HomeMy WebLinkAbout2024-04-25 MP COC Agenda Packet Date:Thursday, April 25, 2024 Time:6:00 p.m. Location:John Lippitt Public Works, Center Lunchroom 1800 Maxwell Rd., Chula Vista Measure P Citizens' Oversight Committee Regular Meeting     Public Comments: Public comments may be submitted to the Measure P Citizens' Oversight Committee in the following ways: •In-Person comments during the meeting. Join us for the Measure P Citizens' Oversight Committee meeting at the time and location specified on this agenda to make your comments. •Submit an eComment. Visit  www.chulavistaca.gov/boardmeetings, locate this meeting and click on the comment bubble icon. Click on the item you wish to comment on, and then click on "Leave Comment." The commenting period will close one hour before the meeting. All comments will be made available to the Commission and the public. •Mail or email comments. Submit comments via email to PCOC@chulavistaca.gov or by mail to Finance Department, 276 Fourth Ave, Chula Vista, CA 91910. Please send comments early; written comments received within one hour of the meeting may not be distributed until the following day.    Accessibility: Individuals with disabilities are invited to request modifications or accommodations in order to access and/or participate in a Measure P Citizens' Oversight Committee meeting by contacting us at PCOC@chulavistaca.gov (California Relay Service is available for the hearing impaired by dialing 711) at least forty-eight hours in advance of the meeting. 1.CALL TO ORDER 2.ROLL CALL Measure P Citizen's Oversight Committee Members: Enriquez, Freels, Ilyas, Martinez, Redo, and Chair Garcias 3.PUBLIC COMMENTS Persons may address the Committee on any subject matter within the Committee’s jurisdiction that is not listed as an item on the agenda. State law generally prohibits the Committee from discussing or taking action on any issue not included on the agenda, but, if appropriate, the Committee may schedule the topic for future discussion or refer the matter to staff. If you wish to speak on any item, please fill out a "Request to Speak" form and submit it to the Secretary prior to the meeting. 4.ACTION ITEMS The Item(s) listed in this section of the agenda will be considered individually by the Committee and are expected to elicit discussion and deliberation. If you wish to speak on any item, please fill out a "Request to Speak" form and submit it to the Secretary prior to the meeting. 4.1 Discussion Regarding The Fiscal Year 2022 Annual Activity Report and Authorize Staff to Finalize and Submit Presenter: Ed Prendell, Budget and Analysis Manager 4.2 Discussion Regarding the Fiscal Year 2023 Annual Activity Report and Authorize Staff to Finalize and Submit Presenter: Ed Prendell, Budget and Analysis Manager 4.3 Consideration of Amendments to the FY23-27 Measure P Spending Plan Presenter: Ed Prendell, Budget and Analysis Manager 4.4 Consideration of the Finance Department Report (Fiscal Year 2024/25 Budget) Presenter: Ed Prendell, Budget and Analysis Manager 5.PRESENTATIONS The following item(s) will be presentations given to the Committee. Action on these item(s) is typically limited to the Committee receiving the presentation and providing direction or feedback to staff, as appropriate. 5.1 Measure P Accounting and Administration Presenter: Ed Prendell, Budget and Analysis Manager 5.2 Fiscal Year 2023 Measure P Compliance Audit Presenter: Sarah Schoen, Director of Finance 5.3 Measure P Project Updates Presenter: Matthew Little, Director of Public Works & Angelica Aguilar, Assistant Director of Public Works 6.STAFF COMMENTS 7.COMMITTEE MEMBER'S COMMENTS City of Chula Vista Measure P COC April 25, 2024 Agenda Page 2 of 3 8.ADJOURNMENT to the regular meeting on July 25, 2024 , at 6:00 p.m. Materials provided to the Measure P Citizens' Oversight Committee related to any open-session item on this agenda are available for public review by contacting the Finance Department at PCOC@chulavistaca.gov. City of Chula Vista Measure P COC April 25, 2024 Agenda Page 3 of 3 Page 1 of 12  DRAFT Annual Report of the Measure P Citizens Oversight Committee   Fiscal Year 2021‐22  Measure P Background  In November 2016, Chula Vista voters approved Measure P: a temporary, ten‐year, half‐cent  sales tax to fund high priority infrastructure needs. Collection of the sales tax began April 1, 2017.  The sales tax is projected to raise $235 million, which will be used to upgrade police, fire,  paramedic and 9‐1‐1 equipment, vehicles and facilities; fund streets and sidewalks; replace storm  drains to prevent sinkholes; improve parks; repair recreation facilities; and repair or replace other  city infrastructure.  Citizens Oversight Committee   The ballot measure also established a Measure P Citizens Oversight Committee (COC). The  Measure P Citizens Oversight Committee (COC) is composed of 9 members. The purpose of the  COC is to review and report on all Measure P expenditure plans, financial reports, and audits. The  COC consists of five At‐Large members, with at least one from each Council district, and four  Designated Members selected from candidates nominated by the Nominating Authorities listed  below.   The board is composed of 9 members appointed to a four‐year term.  Member Appointment  Criteria Term Expiring  Greg Martinez (Vice Chair)  District 1 Rep. 6/30/25  Christopher Redo  District 2 Rep. 6/30/25  Saad Ilyas District 3 Rep. 6/30/25  Vacant District 4 Rep. 6/30/25  Mona Freels At‐Large Rep. 6/30/25  Silvia Saldivar Designated Rep.3 6/30/25  David Garcias (Chair) Designated Rep.4 6/30/25  Michael Lengyel Designated Rep.6 6/30/25  Nicole Enriquez Designated Rep.7 6/30/25  Nominating Authorities are as follows:  1 – Chula Vista Chamber of Commerce  2 – Chula Vista Sports Council  3 – Alliance of Californians for Community Empowerment, San Diego Branch  4 – San Diego and Imperial Counties Labor Union  5 – San Diego County Taxpayers Association  6 – Growth Management Oversight Commission  7 – Parks and Recreation Commission  8 – Sustainability Commission  Page 2 of 12    The specific duties of the COC are as follows:  1. Review and comment on each year's Finance Department Report (as defined in CVMC  section 3.33.160.A); Measure P Spending Plan (as defined in CVMC section 3.33.160.B);  and the Annual Independent Auditor’s Report (as defined in CVMC section 3.33.160.C).  2. Prepare an Annual Report regarding the Finance Department Report for presentation to  the City Council at a public meeting.  3. Work with City staff to identify and apply "best practices" for tracking and reporting on  Measure P revenues and expenditures relative to other City revenues and expenditures.  Summary of fiscal year 2022 Independent Auditors’ Report on Compliance Revenues and  Expenditures  Major expenditures in the following categories incurred in fiscal year 2022:  Category FY 2022 Expenditures Major Items  Fire Services                                3,595,454  Fire Vehicles, Fire Equipment, Facility Repairs        Police Services                                1,483,308  Police Vehicles, Communication System,  Facility Repairs        Infrastructure                              17,010,952   Streets, Other Public Infrastructure, Sports  Fields and Courts, Non‐Safety Vehicles, Public  Facilities, Traffic Signal Systems, Park  Infrastructure, Citywide Network  Replacement, Citywide Telecommunications        Staff Time                                    722,458  City Staff‐Time        Debt Service                                8,134,246  Bond Debt Service    Administrative Expenses                                      24,354  Audit, Bond Administration Fees, Banking  Fees, Cost of Issuance      Total Expenditures  $                        30,970,772                                  Page 3 of 12    Audited Statement of Revenues, Expenditures and Changes in Fund Balance  June 30, 2022      Revenues:    Local sales and use tax                        27,402,122   Use of money and property                          (746,616)  Miscellaneous                             3,153       Total Revenues  $                   26,658,659        Expenditures:    Contracted Services                                 14,318   Equipment and shared infrastructure costs                             429,947  Capital outlay                        21,112,939   Debt service:        Principal retirement                          1,129,627       Interest and fiscal charges                          145,696       Total Expenditures  $                   22,832,527        Excess (Deficiency) of Revenues          Over (under) Expenditures                       3,826,132     Other Financing Sources (Uses):   Transfers Out – Municipal Financing Authority Fund (8,138,246)  Total Other Financing Sources (Uses) $                  (8,138,246)     Net Change in Fund Balance                        (4,312,114)     Fund Balance at Beginning of Year                        33,375,272  Fund Balance as of June 30, 2022  $                   29,063,158                                              Page 4 of 12      Plan Expenditures by Replacement Category  ($22,812,172)    Major Projects (Fiscal Year 2021/2022) by Cost Category  Fire Stations Repairs/Replacements (GGV0230):   The Fire Department’s present and future functional needs, technical constraints and feasibility,  and budget were considered in developing the project’s design criteria. New Fire Stations 5 and  3 (previously 9) are located at 341 Orange Avenue and 100 Moss Avenue, respectively. In March  2019, Council approved a Design Build Agreement with EC Constructors, Inc. for design of Fire  Stations 5 and 3 (previously 9). In February of 2020, Council awarded the Construction Phase.    922,282  2,599,398  161,044  432,693 729,798  319,509  5,217  712  1,510,083  ‐ 2,250,166  8,026,991  293,830  616,523  1,841,639  1,467,307 ‐ 1,634,978  Fire Stations Repairs/Replacement (922,282)Fire Response Vehicles (2,599,398) Fire Safety Equipment (161,044)Police Response Vehicles (432,693) Public Safety Communication Systems (729,798)Police Facility Repairs (319,509) Police Equipment (5,217)Streets (712) Other Public Infrastructure (1,510,083)Sports Courts and Fields (0) Non‐Safety Vehicles (2,250,166)Recreation and Senior Centers (8,026,991) Civic Center and South Libraries (293,830)Other Public Facilities (616,523) Traffic Signal Systems (1,841,639)Park Infrastructure (1,467,307) Citywide Network Replacement (0)Citywide Telecommunications (1,634,978) Page 5 of 12  Construction for Fire Station 5 began March 2020 and was completed and began operating in  March 2021. Construction for Fire Station 3 (previously 9) began April of 2020 and was completed  and began operating in April of 2021. Old Fire Station 3 (previously 9) and 5 have been  demolished. The project landscape maintenance period was completed on May 11, 2022, and  the Notice of Completion was filed on June 14, 2022.  Street Pavement Phases I & II (STL0427 & STL0430):    Pavement rehabilitation projects on various residential streets based on recommendations from  City's Pavement Management System for streets with poor pavement condition index (PCI)  ratings. The PCI score was utilized to identify failed (PCI 0‐25) and failing (PCI 25‐34) street  segments that could be addressed using Measure P funding.    Project STL0427 was awarded in January of 2018, which was the first phase of the pavement  rehabilitation project and included street segments with PCI ratings between 0 to 15.  Construction was completed on the first phase in October of 2018.   The second phase, STL0430, includes street segments with PCI ratings up to 34. This phase was  awarded by Council in April of 2019 and completed in August of 2020. Approximately 121,451  feet (23 miles) of pavement was rehabilitated as part of this project.    Lauderbach Park (PRK0333):   This project will replace the natural grass on the sports field with synthetic turf and replace the  deteriorated basketball court. The replacement of the sports field includes a new walking path,  new sports lighting, and striping for both soccer and softball. A new picnic area will be  constructed replacing the old picnic areas.  The new basketball court will also include striping for  a pickleball court. This project will also rehabilitate the failed walkway access to the park for the  senior housing to the south.    $1 million of this Project is funded by the State of California Grant for California Youth Soccer and  Recreation Development Program and an additional $820,000 was funded by Measure P.    Construction began February of 2022 and is scheduled to be completed in March of 2023 with a  reopening date of June 2023, following a 3‐month sod establishment period.   Other Infrastructure ‐ CMP Rehabilitation Outside ROW Phases I & II (DRN0209, DRN0210,  DRN0211, DRN0216, & DRN0219):    Rehabilitation of failed Corrugated Metal Pipe (CMP) and other storm drain related repairs  outside the right of way.    Page 6 of 12    Project DRN0209 began construction in March 2018 and repaired 28 CMP locations (3,864 linear  feet of CMP) for a project cost of approximately $991,944. Construction was completed in  December of 2018.    Project DRN0210 cleaned, videotaped, and evaluated approximately 28,500 lineal feet of CMP.      Project DRN0211 repaired 134 CMP locations of approximately 18,908 linear feet of storm  drainpipe. A total of 14,955 linear feet of CMP was repaired in FY19/20. Total project cost of  $7,195,911.      Project DRN0216 is dedicated to addressing future emergency CMP failures. By having a funded  CIP project readily available, emergency failures can be addressed directly by this project;  eliminating the need to coordinate with other storm drain CIP projects for change orders to  complete construction based on funding availability. This project allowed for the emergency  repair of the sinkhole adjacent to the property at 604 Melrose Avenue, replacing 184 linear feet  of CMP. Construction was completed in December of 2020 for a total of $264,253.    Project DRN0219 completed the emergency City storm drain repair work at 855 Energy Way at a  cost of approximately $1 million. The design for Phase 3 to complete CMP repairs outside of the  right‐of‐way is anticipated to start in FY22/23.    Other Infrastructure ‐ Sidewalk Replacement Citywide (STL0428 & STL0443):    This project repaired and replaced damaged sidewalk at various locations throughout the city  based on recommendations from the Pedestrian Connectivity Plan. The first project (STL0428) to  replace sidewalks was awarded in June 2019. Construction was completed in December of 2019  and approximately 100 sidewalk locations were repaired.      The second project (STL0443) was awarded in August of 2019 and began repair of roughly 6,200  locations exhibiting moderate‐to‐small heave displacements. Construction started in March of  2020 and was completed in March of 2022.       Traffic Signal Modifications (TRF0408):  The CIP project’s scope of work includes traffic signal modifications and upgrades to 11 existing  signalized intersections within the city. These upgrades will improve visibility, provide for  protected left turn movements, provide for permissive flashing yellow left turn movements, and  replace failing and outdated traffic signals at various locations citywide. Construction began in  February of 2021 and is expected to be completed in April of 2023.          Page 7 of 12    Max Field/Loma Verde Accessibility Study (PRK0333):  Consultant has completed review of the sports complex area and determined where a new  pedestrian crossing point across the Palm Road drainage basin should be provided to re‐establish  pedestrian connectivity between the Loma Verde Recreation Center and Max Field Sports  Complex since the wooden stairway was removed. Consultant has also completed several parking  lot alternatives and an A.D.A. accessibility review of the sports complex site including a  geotechnical analysis of the failed retaining wall along the southerly edge of the site. The  Accessibility Study was completed in September of 2020.    Renovation of Fire Station 1 (GGV0252):   Existing City of Chula Vista Fire Station No. 1 requires renovations to meet the evolving duties of  the Fire Department, accommodate modern equipment, renovate, and repair aging aspects of  the building, and accommodate firefighter personnel needs. The existing ladder truck housed at  Fire Station No. 1 will be replaced in the next year with a larger apparatus that will not fit within  the existing apparatus bay making alterations to the existing apparatus bay necessary. The fire  station age and condition require replacement or rehabilitation of various areas as part of this  Project. The station dorm rooms and bathrooms require upgrades to meet modern firefighter  personnel needs.      In May of 2021, Council approved a Design Build Agreement with EC Constructors, Inc. for design  of the Fire Station 1 renovations. The design phase is anticipated to be completed in January of  2023 at which point a resolution to award the Construction Phase contract will be brought to  Council. Construction for Fire Station 1 renovations is expected to begin in Spring/Summer of  2023 and be completed in the Summer/Fall of 2024. The uncertainty of electrical equipment  availability and alternate options is impacting the schedule.      Loma Verde Recreation Center (GGV0247):  In April of 2020, the City approved a Design Build Agreement with EC Constructors, Inc. for design  of Segments 1 and 2 of the Loma Verde Recreation Center. In August 2021, Council awarded the  contract for the Construction Phase of Segments 1 and 2 which includes the demolition and re‐ construction of approximately 20,000 square feet of the Center and will feature a new multi‐ purpose gymnasium, dance rooms, crafts room, fitness room, game room, hard courts,  restrooms, changing rooms, staff offices, lifeguard staff room, and break room. Construction of  Segments 1 and 2 are anticipated to be completed in March of 2023, and these segments will  only be opened for limited use until completion of Segment 3.     The Segment 3 design started in June of 2021 and was completed and permitted in June 2022.  The Segment 3 portion of the project replaces the balance of the existing building to create space  for new pool mechanical equipment, wet and dry storage, new competition pool, new recreation  Page 8 of 12    pool, new splashpad, replacement playground, replacement solar water heater, new sports  lighting, new pool deck, and classroom space. Construction of Segment 3 began in August of 2022  and should be completed in the Summer of 2023.    Winding Walk Park/Veterans Park Lighting (PRK0326):  The project replaced failing pedestrian walkway and parking lot lighting at Winding Walk Park  and Veterans Park and Recreation Center. Project completed July 2021.    Norman Park Senior Center Lower HVAC Replacement (GGV0233):  Replacement of existing HVAC units at the Norman Park Senior Center. The repairs include but  not be limited to replacing the existing HVAC units with new TRANE units and duct work. Project  completed September 2021.    Police Facility Upgrades (GGV0232):  Various upgrades to the Police Facility – including drone rooftop upgrades, Salley Door  replacement, upgrade to Hormonn high speed gates, and installation of uninterruptible power  supply.     Electrical Switchgear Upgrades (GGV0234, PRK0326):  Installation of a new electrical switchgear package at two locations: Project GGV0234 at 1301  Oleander Facility (formerly the Boys and Girls Club) and Project PRK0326 at Eucalyptus Park  Tennis Courts and Baseball Field. Projects completed May 2022.     Projects in Progress  Rohr Park Restroom Replacement (PRK0328):  This project replaces an existing restroom building at Rohr Park with a new restroom building.  The restroom building has two community restrooms (male and female), a utility/mechanical  room, and storage. Project completed August 2022.    Public Works Boiler/Chiller (GGV0234):   The Public Works facility boiler/chiller replacement project includes replacing existing single air‐ cooled chiller, single boiler, four (4) hydronic chilled water pumps and two (2) hydronic heating  hot water pumps. Project completed August 2022.    Civic Center Roof/HVAC Repair (Pan) Building A (GGV0234):  Replacement of the Civic Center rooftop HVAC system components including roof cap. Project  completed January 2023.    Norman Park Senior Center HVAC (GGV0233):  Replacement of existing HVAC units at the Norman Park Senior Center. The repairs include (but  not be limited to) replacing the existing HVAC units with new TRANE units and duct work.  Page 9 of 12  Project completed January 2023.  Chula Vista Civic Center Library – Children’s Library and Restroom Upgrades (GGV0231):  Upgrades of four restrooms, including removal and replacement of existing finishes, fixtures, and  accessories in compliance with accessibility guidelines and City standards; new carpeting and  repainting of the Children’s Library and entry foyer, as well as the removal of no longer needed  bookshelves and furniture.  Project completed February 2023.  Civic Center Library ADA and Parking Improvements (GGV0231):  Installation of concrete pedestrian ramps in compliance with accessibility guidelines. Slurry seal  and restripe entire Civic Center Library parking lot. Install pipe gates at both Civic Center Library  parking lot entries.  Living Coast Deck and Rails (GGV0234):  This project provides for repairs and upgrades to the walkways and handrails at various locations  throughout the Living Coast Discovery Center. The work includes installation of surface applied  truncated domes, removing, and replacing capstone block, refreshing paint and stucco,  removing, and replacing header boards, removing and replacing guardrail and handrail, and  installation of composite wood decking.  Park Pathway Lighting Replacement ‐ Santa Venetia & Voyager (PRK0326):  Light Poles replacement and improvements at City Parks Project includes removal and disposal  of light poles, modifying existing electrical system for new light poles, install new light poles on  existing concrete pads and footing.   Fuel Management (GGV0235):  Fuel dispenser upgrades, fuel management systems replacements/upgrades and associated  equipment and software at the Public Works Corp Yard and Fire Stations #3, #4, #5, and #7.  Sports Courts & Fields Irrigation (PRK0327):   Project scope includes purchase, installation, and set up of the Parks and Recreation irrigation  platform to a smart centralized system.   Upcoming Projects  Police Facility HVAC (GGV0232):  Upgrades and replacements to the Police Faculty HVAC. The project includes but not limited to  the following equipment: 14 roof mounted air handling units and 10 separate return air fan units,  13 split system fan coil units, computer room indoor air handler and secondary outdoor  condensing unit with indoor fan, 41 building exhaust fans etc. This project is largely funded by  ARPA but will include Measure P funding as well.  Page 10 of 12    Public Works Air Handlers Design Phase I (GGV0234):  Replacing the existing unit along with five other roof mounted units that are still operational but  approaching their useful life; relocating the existing equipment to alternate locations.    1301 Oleander Ave Building Repairs (GGV0257):  Tenant improvements at the 1301 Oleander Avenue facility, which was previously used as a Boys  and Girls Club. Improve the below facilities to become operational including main entrance,  foyer, restrooms, gymnasium, and improvements to the east and west office wings.     Non‐Safety Vehicles:  Measure P has allowed for the replacement of vehicles that were beyond their recommended  replacement date. In fiscal year 2022 approximately $2,182,000 was spent on non‐ Public Safety  vehicles and equipment. This was a significant increase over the fiscal year 2021 purchases of  $440,000. The reason for the increase was two‐fold: vehicles ordered in the prior year were  received in fiscal year 2022 and significant efforts were made to replace vehicles which were  overdue for replacement. Purchases for fiscal year 2022 for non‐ Public Safety vehicles include  the following:  (1) International 7500 GapVax  (1) Peterbilt 520 Striper Truck  (1) PB Loader Asphalt Patcher Truck  (1) Roadline Stencil Truck  (11) Ford F250s  (6) Ford F150s  The following table summarizes the Measure P vehicle purchases for non‐Public Safety vehicles  by year.    Non‐Public Safety  Year Count Amount  2017 0  $                           ‐     2018 28  $              1,167,612   2019 14  $              1,955,991   2020 29  $              1,415,196   2021 5  $                 438,021   2022 24  $              2,182,186   Total 100  $              7,159,005       Page 11 of 12      It is important to note that several vehicles and pieces of equipment have been ordered through  Measure P funding. However due to continued production interruptions and supply shortages at  the manufacturers, delivery of the ordered vehicles/equipment has been delayed. At the end of  fiscal year 2022, there were purchase orders open in the amount of $1.8 million for  vehicles/equipment not assigned to Safety.  The following table reflects the Measure P funded vehicles for Public Safety:    Fire Police  Year Count Amount Count Amount  2017 2 $               207,619  3 $            168,703  2018 3 $            2,100,784  43 $         1,820,560  2019 11 $            2,853,280  27 $         1,047,894  2020 5 $               536,432  5 $             515,532  2021 0 $               239,328  23 $         1,468,123  2022 2 $                 61,092  10 $             432,693  Total 21 $         5,998,535  108 $       5,453,505  Conclusion  The Citizens Oversight Committee notes that this Annual Report refers only to the period from  July 1, 2021 to June 30, 2022. This report presents the fifth full year of collections and  expenditures for the Measure P funds. During this period the Committee took additional steps to  improve the format, content, and scope of reports on expenditures, work schedule, and public  information efforts required to provide citizens with transparency on the finances associated  with the implementation of Measure P.   In April 2017, City staff provided a status report to the Committee on the pending Measure P  bond issuance. The intent of the bond issuance was to advance the funds necessary to initiate  projects listed by the City as critical red assets (those in imminent stages of failure) in the City’s  Asset Management Plan.   On July 27, 2017, City staff reported to the Committee that the bond issuance had been  successful, generating $70,000,000 in net bond proceeds to be used for Measure P projects.  Accordingly, all budgets for the Measure P Spending Plan were prepared in compliance with the  ordinance, including the net bond proceeds.  The Citizens Oversight Committee has reviewed the Independent Auditor’s Report on  Compliance with Applicable Requirement prepared by the audit firm of Lance, Soll and Lunghard  (LSL), the Measure P Spending Plan, and various expenditure and revenue reports prepared by  the City staff. In its report dated June 30, 2022, the auditor’s opinion was that “the City complied,  in all material respects, with the types of compliance that could have a direct and material effect  on the requirements…” of the 2016 Measure P Sales Tax Fund.  Page 12 of 12    We would like to acknowledge City staff for their dedication and support to the COC. They have  been responsive as we work to ensure transparency in the reporting of Measure P Funds.                                          Attachment A – Copy of the FY22 Audited Report  Attachment B – Fiscal Year 2021‐22 Expenditure Report (For Informational Purposes Only)  &,7<2)&+8/$9,67$&$/,)251,$ 0($685(36$/(67$;)81' )257+(<($5(1'('-81( 5(325721&203/,$1&(:,7+7+( ,1)5$6758&785()$&,/,7,(6$1' (48,30(17(;3(1',785(3/$1 Attachment A  &,7<2)&+8/$9,67$&$/,)251,$ 0($685(36$/(67$;)81'  5(325721&203/,$1&(:,7+7+( ,1)$6758&785()$&,/,7,(6$1'(48,30(17(;3(1',785(3/$1  )257+(<($5(1'('-81(  &,7<2)&+8/$9,67$&$/,)251,$ 0($685(36$/(67$;)81'  5(325721&203/,$1&(:,7+7+( ,1)$6758&785()$&,/,7,(6$1'(48,30(17(;3(1',785(3/$1  )257+(<($5(1'('-81(  7$%/(2)&217(176  3DJH 1XPEHU  ,QGHSHQGHQW$XGLWRUV¶5HSRUWRQ&RPSOLDQFHZLWK$SSOLFDEOH5HTXLUHPHQWV DQGRQ,QWHUQDO&RQWURO2YHU&RPSOLDQFH  6FKHGXOHVRI0HDVXUH36DOHV7D[)XQG  %DODQFH6KHHW6FKHGXOH  6FKHGXOHRI5HYHQXHV([SHQGLWXUHVDQG&KDQJHVLQ)XQG%DODQFH   203 N. 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RYHUFRPSOLDQFH$FFRUGLQJO\QRVXFKRSLQLRQLVH[SUHVVHG  2  7RWKH+RQRUDEOH0D\RUDQG0HPEHUVRIWKH&LW\&RXQFLO &LW\RI&KXOD9LVWD&DOLIRUQLD   3XUSRVHRIWKLV5HSRUW  7KHSXUSRVHRIWKLVUHSRUWRQLQWHUQDOFRQWURORYHUFRPSOLDQFHLVVROHO\WRGHVFULEHWKHVFRSHRIRXUWHVWLQJ RILQWHUQDOFRQWURORYHUFRPSOLDQFHDQGWKHUHVXOWVRIWKDWWHVWLQJEDVHGRQWKHUHTXLUHPHQWVGHVFULEHGLQ WKH2UGLQDQFHDQGWKH6SHQGLQJ3ODQ$FFRUGLQJO\WKLVUHSRUWLVQRWVXLWDEOHIRUDQ\RWKHUSXUSRVH  %UHD&DOLIRUQLD )HEUXDU\ 3 Pooled cash and investments 29,364,423$ Accrued interest receivable 116,826 Due from other funds 4,862,287 Prepaid expenses 170,238 Total Assets 34,513,774$ LIABILITIES AND FUND BALANCE: Liabilities: Accounts payable 4,627,537$ Retention payable 823,079 Total Liabilities 5,450,616 Nonspendable - prepaid costs 170,238 Assigned for Measure P Sales Tax 28,892,920 Total Fund Balance 29,063,158 Total Liabilities and Fund Balance 34,513,774$ CITY OF CHULA VISTA Fund Balance: ASSETS: JUNE 30, 2022 BALANCE SHEET SCHEDULE 2016 MEASURE P SALES TAX FUND 4 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE JUNE 30, 2022 REVENUES: Local sales and use tax 27,402,122$ Use of money and property (746,616) Miscellaneous 3,153 Total Revenues 26,658,659 EXPENDITURES: Contracted services 14,318 Equipment and shared infrastructure costs 429,947 Capital outlay 21,112,939 Debt service: Principal retirement 1,129,627 Interest and fiscal charges 145,696 Total Expenditures 22,832,527 EXCESS (DEFICIENCY) OF REVENUES OVER (UNDER) EXPENDITURES 3,826,132 OTHER FINANCING SOURCES (USES): Transfers Out - Municipal Financing Authority Fund (8,138,246) Total Other Financing Sources (Uses)(8,138,246) Net Change in Fund Balance (4,312,114) FUND BALANCE - BEGINNING 33,375,272 FUND BALANCE - ENDING 29,063,158$ 2016 MEASURE P SALES TAX FUND CITY OF CHULA VISTA 5 Citywide Infrastructure, Facilities and Equipment Expenditure Plan 1/2 cent Sales Tax Revenues over 10 year period Summary Table Fiscal Year 2022 Total by Major Category 10‐Year Timeframe FY22 Expenditures Fire Stations Repairs/Replacement 26,210,449                835,012  Fire Response Vehicles (Apparatus)19,847,580                2,599,398               Fire Safety Equipment 5,197,913 161,044  Total Fire Services 51,255,942$              3,595,454$             Police Response Vehicles 12,951,470                432,693  Public Safety Communication Systems (CAD Dispatch and Regional Communication Systems)8,645,689 729,798  Police Facility Repairs 2,700,656 315,600  Police Equipment 644,318 5,217  Total Police Services 24,942,133$              1,483,308$             Streets (Arterials/Collectors/Residential)22,906,310                ‐  Other Public Infrastructure (Storm Drains,  Drainage Systems, Sidewalks, Trees etc.)19,868,553                1,331,588               Sports Fields and Courts 3,345,655 ‐  Non‐Safety Vehicles 13,191,170                2,250,166               Recreation and Senior Centers 27,737,071                7,867,698               Civic Center and South Libraries 4,781,227 289,542  Other Public Facilities (Living Coast Discovery Center, Public Works Center etc.)10,901,789                608,727  Traffic Signal Systems 7,000,000 1,697,920               Park Infrastructure (Playground Equipment, Gazebos, Restrooms, Benches, Parking etc. )12,367,201                1,330,332               Citywide Network Replacement 2,082,334 ‐  Citywide Telecommunications 4,357,602 1,634,978               Total Infrastructure 128,538,912$            17,010,951$           Total Proposed Allocations 204,736,987$            22,089,713$           City Staff Time ‐ 722,458  Total City Staff Time ‐$ 722,458$                Annual Debt Service Payments 78,234,834                8,134,246               Total Debt Service Expenses 78,234,834$              8,134,246$             Audit Fees 48,773 14,318  Bond Administration 65,356 4,000  Banking Fees ‐ 6,037  Cost of Issuance 563,210 ‐  Total Administrative Expenses 677,339$ 24,355$  Total Expenditures 283,649,160$           30,970,772$           Attachment B Page 1 of 9    DRAFT Annual Report of the Measure P Citizens Oversight Committee   Fiscal Year 2022‐23  Measure P Background  In November 2016, Chula Vista voters approved Measure P: a temporary, ten‐year, half‐cent  sales tax to fund high priority infrastructure needs. Collection of the sales tax began April 1, 2017.  The sales tax is projected to raise $247 million, which will be used to upgrade police, fire,  paramedic and 9‐1‐1 equipment, vehicles, and facilities; fund streets and sidewalks; replace  storm drains to prevent sinkholes; improve parks; repair recreation facilities; and repair or  replace other city infrastructure.  Citizens Oversight Committee   The ballot measure also established a Measure P Citizens Oversight Committee (COC). The  Measure P Citizens Oversight Committee (COC) is composed of 9 members. The purpose of the  COC is to review and report on all Measure P expenditure plans, financial reports, and audits. The  COC consists of five At‐Large members, with at least one from each Council district, and four  Designated Members selected from candidates nominated by the Nominating Authorities listed  below.   The board is composed of 9 members appointed to a four‐year term.  Member Appointment  Criteria Term Expiring  Greg Martinez (Vice Chair)  District 1 Rep. 6/30/25  Christopher Redo  District 2 Rep. 6/30/25  Saad Ilyas District 3 Rep. 6/30/25  Vacant District 4 Rep. 6/30/25  Mona Freels At‐Large Rep. 6/30/25  Silvia Saldivar Designated Rep.2 6/30/25  David Garcias (Chair) Designated Rep.3 6/30/25  Vacant Designated Rep.  6/30/25  Nicole Enriquez Designated Rep.5 6/30/25      Nominating Authorities are as follows:  1 – Chula Vista Chamber of Commerce  2 – Alliance of Californians for Community Empowerment, San Diego Branch  3 – San Diego and Imperial Counties Labor Union  4 – San Diego County Taxpayers Association  5 – Parks and Recreation Commission  6 – Sustainability Commission            Page 2 of 9    The specific duties of the COC are as follows:  1. Review and comment on each year's Finance Department Report (as defined in Chula  Vista Municipal Code [CVMC] section 3.33.160.A); Measure P Spending Plan (as defined  in CVMC section 3.33.160.B); and the Annual Independent Auditor’s Report (as defined in  CVMC section 3.33.160.C).  2. Prepare an Annual Report regarding the Finance Department Report for presentation to  the City Council at a public meeting.  3. Work with City staff to identify and apply "best practices" for tracking and reporting on  Measure P revenues and expenditures relative to other City revenues and expenditures.  Summary of fiscal year 2023 Independent Auditors’ Report on Compliance Revenues and  Expenditures  Major expenditures in the following categories incurred in fiscal year 2023:  Category FY 2023 Expenditures Major Items  Fire Services $                            1,041,616  Fire Vehicles, Fire Equipment, Facility Repairs        Police Services                                1,662,841  Police Vehicles, Communication System,  Facility Repairs        Infrastructure                              21,684,331   Streets, Other Public Infrastructure, Sports  Fields and Courts, Non‐Safety Vehicles, Public  Facilities, Traffic Signal Systems, Park  Infrastructure, Citywide Network  Replacement, Citywide Telecommunications        Staff Time                                    417,492  City Staff‐Time        Debt Service                               7,805,303  Bond Debt Service    Administrative Expenses                                      49,041  Audit, Bond Administration Fees, Banking  Fees, Cost of Issuance      Total Expenditures  $                        32,660,624                               Page 3 of 9      Audited Statement of Revenues, Expenditures and Changes in Fund Balance  June 30, 2023      Revenues:    Local sales and use tax                        28,286,339   Use of money and property                          548,992  Miscellaneous                             468       Total Revenues  $                   28,835,799        Expenditures:    Contracted Services                                 42,226   Equipment and shared infrastructure costs                             307,299  Capital outlay                        23,226,473   Debt service:        Principal retirement                          1,165,140       Interest and fiscal charges                          110,183       Total Expenditures  $                   24,851,321        Excess (Deficiency) of Revenues          Over (under) Expenditures                       3,984,478     Other Financing Sources (Uses):   Transfers Out – Municipal Financing Authority Fund (7,809,303)  Total Other Financing Sources (Uses) $                  (7,809,303)     Net Change in Fund Balance                        (3,824,825)     Fund Balance at Beginning of Year                        29,063,158  Fund Balance as of June 30, 2023  $                   25,238,333                                            Page 4 of 9        Plan Expenditures by Replacement Category  ($24,806,280)    Major Projects (Fiscal Year 2022/2023) by Cost Category  Lauderbach Park (PRK0329):   This project replaced the natural grass on the sports field with synthetic turf, and replaced the  deteriorated basketball court with a new court that includes striping for a pickleball court. The  replacement of the sports field included installation of a new walking path, new sports lighting,  and striping for both soccer and softball.   208,316 853,799  9,588 842,282 710,361  104,474  5,724  13,162  735,539  572,748  2,403,475  13,516,501  677,136  410,815  2,745,416  996,945 ‐‐ Fire Stations Repairs/Replacement (208,316)Fire Response Vehicles (853,799) Fire Safety Equipment (9,588)Police Response Vehicles (842,282) Public Safety Communication Systems (710,361)Police Facility Repairs (104,474) Police Equipment (5,724)Streets (13,162) Other Public Infrastructure (735,539)Sports Courts and Fields (572,748) Non‐Safety Vehicles (2,403,475)Recreation and Senior Centers (13,516,501) Civic Center and South Libraries (677,136)Other Public Facilities (410,815) Traffic Signal Systems (2,745,416)Park Infrastructure (996,945) Citywide Network Replacement (0)Citywide Telecommunications (0) Page 5 of 9    In addition, a new picnic area was constructed, replacing the old picnic areas. This project also  rehabilitated the failed walkway access to the park for the senior housing to the south.    Construction began February of 2022, and was completed in April of 2023. The park reopened in  July of 2023, following a 3‐month sod establishment period. $1 million of this project’s funding  came from a State of California Grant for California Youth Soccer and Recreation Development  Program, and an additional $820,000 was funded by Measure P.   Other Infrastructure ‐ CMP Rehabilitation Outside ROW (DRN0219):    Portions of the corrugated metal pipe (CMP) in the City's storm drain system have reached the  end of their service life. This project will complete CMP repairs that have high consequence of  failure outside the city's right of way. These efforts may extend the CMP life by 40‐60 years,  thereby preventing potential flooding and property damage. The project encompasses the  rehabilitation of 34 locations across the city. Design work for 23 of these locations was  successfully completed in 2023, marking significant progress. Presently, our design team is  actively engaged in finalizing plans for the remaining 11 locations, ensuring a thorough and  efficient approach to safeguarding our stormwater infrastructure.    Other Infrastructure ‐ Traffic Signal Modifications (TRF0408):  The CIP project’s scope of work included traffic signal modifications and upgrades to 11 existing  signalized intersections within the city. These upgrades improved visibility, provided for  protected left turn movements, provided for permissive flashing yellow left turn movements, and  replaced failing and outdated traffic signal equipment at various locations citywide. Construction  began in February of 2021 and was completed in July of 2023.        Loma Verde Recreation Center (GGV0247):  In April of 2020, the City approved a Design Build Agreement with EC Constructors, Inc. for design  of Segments 1 and 2 of the Loma Verde Recreation Center. Thereafter, in August 2021, the  Council awarded the contract for the Construction Phase of Segments 1 and 2. This phase  involved the demolition and reconstruction of approximately 20,000 square feet of the Center.  The renovated facility now features a new multi‐purpose gymnasium, dance rooms, crafts room,  fitness room, game room, hard courts, restrooms, changing rooms, staff offices, lifeguard staff  room, and break room. Construction of Segments 1 and 2 was completed in April 2023, and these  segments were opened for limited use until the completion of Segment 3.    Design of Segment 3 began in June of 2021 and was completed June 2022. This segment of the  project involved replacing the remaining portion of the existing building to accommodate new  pool mechanical equipment, wet and dry storage, a new competition pool, a new recreation pool,  a new splashpad, a replacement playground, a replacement solar water heater, new sports  Page 6 of 9    lighting, a new pool deck, and classroom space.  Construction of Segment 3 commenced in August  2022 and was completed in October 2023, allowing for the full use of the entire Loma Verde  Recreation Center.     Chula Vista Civic Center Library – Children’s Library and Restroom Upgrades (GGV0231):  Upgrades of four restrooms, including removal and replacement of existing finishes, fixtures, and  accessories in compliance with accessibility guidelines and City standards; new carpeting and  repainting of the Children’s Library and entry foyer, as well as the removal of no longer needed  bookshelves and furniture. Project completed February 2023.    Rohr Park Restroom Replacement (PRK0328):  This project replaces an existing restroom building at Rohr Park with a new restroom building.  The restroom building has two community restrooms (male and female), a utility/mechanical  room, and storage. Project completed August 2022.    Public Works Boiler/Chiller (GGV0234):   The Public Works facility boiler/chiller replacement project includes replacing existing single air‐ cooled chiller, single boiler, four (4) hydronic chilled water pumps and two (2) hydronic heating  hot water pumps. Project completed August 2022.    Projects in Progress  Renovation of Fire Station 1 (GGV0252):   Existing City of Chula Vista Fire Station No. 1 requires renovations to meet the evolving duties of  the Fire Department, accommodate modern equipment, renovate, and repair aging aspects of  the building, and accommodate firefighter personnel needs. The existing ladder truck housed at  Fire Station No. 1 will be replaced in the next year with a larger apparatus that will not fit within  the existing apparatus bay making alterations to the existing apparatus bay necessary. The fire  station age and condition require replacement or rehabilitation of various areas as part of this  Project. The station dorm rooms and bathrooms require upgrades to meet modern firefighter  personnel needs.      In May of 2021, Council approved a Design Build Agreement with EC Constructors, Inc. for design  of the Fire Station 1 renovations. The design phase was completed in late 2022, and trade  contractor bids were received in January 2023. A resolution to award the Construction Phase  contract was approved by Council in February of 2023. Due to worldwide supply constraints on  electrical components which impacted delivery dates for critical materials, the start of  construction was delayed until September 2023. Construction is currently underway, and  completion is scheduled for September 2024.     Page 7 of 9    Fuel Management (GGV0235):  Fuel dispenser upgrades, fuel management systems replacements/upgrades and associated  equipment and software at the Public Works Corp Yard and Fire Stations #3, #4, #5, and #7.    Sports Courts & Fields Irrigation (PRK0327):   Project scope includes purchase, installation, and set up of the Parks and Recreation irrigation  platform to a smart centralized system.     Upcoming Projects  Police Facility HVAC (GGV0232):  Upgrades and replacements to the Police Facility HVAC. The project includes but not limited to  the following equipment: 14 roof mounted air handling units and 10 separate return air fan units,  13 split system fan coil units, computer room indoor air handler and secondary outdoor  condensing unit with indoor fan, 41 building exhaust fans etc. This project is largely funded by  ARPA but includes Measure P funding as well.    Public Works Air Handlers (GGV0234):  This project will be addresses in multiple phases. Replacing the existing unit along with five other  roof mounted units that are still operational but approaching the end of their useful life; may  include relocating the existing equipment to alternate locations.    1301 Oleander Ave Building Repairs (GGV0257):  Tenant improvements at the 1301 Oleander Avenue facility, which was previously used as a Boys  and Girls Club. Improve the below facilities to become operational including main entrance,  foyer, restrooms, gymnasium, and improvements to the east and west office wings. Some  building repairs have been completed in order to allow for the opening of the Innovation Station   in partnership with the Chula Vista school district.     Non‐Safety Vehicles:  Measure P has allowed for the replacement of vehicles that were beyond their recommended  replacement date. In fiscal year 2023 approximately $2.4 million was spent on non‐Public Safety  vehicles and equipment. The City continues to make significant efforts to replace vehicles which  were overdue for replacement.      Purchases of non‐ Public Safety vehicles in fiscal year 2023 include the following:  (2) Groundmaster 5900 Mowers  (2) 2022 Freightliner M2 with 5‐7 Yard Dump Body  (15) Ford F150 XLs  (5) Ford Escapes  Page 8 of 9    (2) Asphalt Rollers     The following table summarizes the Measure P vehicle purchases for non‐Public Safety vehicles  by year.    Non‐Public Safety  Year Count Amount  2017 0  $                           ‐     2018 28  $              1,167,612   2019 14  $              1,955,991   2020 29  $              1,415,196   2021 5  $                 438,021   2022 24  $              2,182,186   2023 42  $              2,381,972  Total 142  $              9,540,978     It is important to note that several vehicles and pieces of equipment have been ordered through  Measure P funding. However, due to continued production interruptions and supply shortages  at the manufacturers, delivery of the ordered vehicles/equipment has been delayed. At the end  of fiscal year 2023, there were open purchase orders in the amount of $1.2 million for  vehicles/equipment not assigned to Safety.    The following table reflects the Measure P funded vehicles for Public Safety:    Fire Police  Year Count Amount Count Amount  2017 3 $               207,619  3 $            168,703  2018 6 $            2,100,784  43 $         1,820,560  2019 11 $            2,853,280  27 $         1,047,894  2020 6 $               536,432  5 $             515,532  2021 2 $               239,328  23 $         1,468,123  2022 2 $            1,746,519  10 $             432,693  2023 0 $                   ‐ 14 $             842,282  Total 30 $         7,683,962  108 $       6,295,787  Conclusion    The Citizens Oversight Committee notes that this Annual Report refers only to the period from  July 1, 2022 to June 30, 2023. This report presents the sixth full year of collections and  expenditures for the Measure P funds. During this period the Committee took additional steps to  improve the format, content, and scope of reports on expenditures, work schedule, and public  Page 9 of 9    information efforts required to provide citizens with transparency on the finances associated  with the implementation of Measure P.   In April 2017, City staff provided a status report to the Committee on the pending Measure P  bond issuance. The intent of the bond issuance was to advance the funds necessary to initiate  projects listed by the City as critical red assets (those in imminent stages of failure) in the City’s  Asset Management Plan.   On July 27, 2017, City staff reported to the Committee that the bond issuance had been  successful, generating $70,000,000 in net bond proceeds to be used for Measure P projects.  Accordingly, all budgets for the Measure P Spending Plan were prepared in compliance with the  ordinance, including the net bond proceeds.  The Citizens Oversight Committee has reviewed the Independent Auditor’s Report on  Compliance with Applicable Requirement prepared by the audit firm of Lance, Soll and Lunghard  (LSL), the Measure P Spending Plan, and various expenditure and revenue reports prepared by  the City staff for the year ending June 30, 2023. In its report dated December 28, 2023, the  auditor’s opinion was that “the City complied, in all material respects, with the types of  compliance that could have a direct and material effect on the requirements…” of the 2016  Measure P Sales Tax Fund.  We would like to acknowledge City staff for their dedication and support to the COC. They have  been responsive as we work to ensure transparency in the reporting of Measure P Funds.                    Attachment A – Copy of the FY23 Audited Report  Attachment B – Fiscal Year 2022‐23 Expenditure Report (For Informational Purposes Only)  CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND FOR THE YEAR ENDED JUNE 30, 2023 REPORT ON COMPLIANCE WITH THE INFRASTRUCTURE, FACILITIES AND EQUIPMENT EXPENDITURE PLAN CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND Report on Compliance with the Infastructure, Facilities and Equipment Expenditure Plan June 30, 2023 CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND Report on Compliance with the Infastructure, Facilities and Equipment Expenditure Plan June 30, 2023 Table of Contents Page Number Independent Auditors’ Report on Compliance with Applicable Requirements and on Internal Control Over Compliance ............................................................................................................ 1 Schedules of 2016 Measure P Sales Tax Fund: Balance Sheet Schedule ...................................................................................................................................... 4 Schedule of Revenues, Expenditures and Changes in Fund Balance ................................................................ 5 1611 E. Fourth Street, Suite 200 Santa Ana, CA 92701 (714) 569-1000 203 N. Brea Blvd, Suite 203 Brea, CA 92821 (714) 672-0022 21 Waterway Avenue, Suite 30089 The Woodlands, TX 77380 (936) 828-4587 2151 River Plaza Dr., Suite 150 Sacramento, CA 95833  (916) 503-9691 24422 Avenida de la Carlota, Suite 275 Laguna Hills, CA 92653 (949) 829-8299 www.lslcpas.com ,NDEPENDENT A8D,T2RS¶ REP2RT 2N C20PL,ANCE W,TH APPL,CABLE RE48,RE0ENT AND 2N ,NTERNAL C2NTR2L 29ER C20PL,ANCE To the HonoraEle 0ayor and 0emEers oI the City Council City oI Chula 9ista, CaliIornia 5HSRUW RQ &RPSOLDQFH    Opinion on the 2016 Measure P Sales Tax Fund   We have audited the comSliance oI the 2016 0easure P Sales Ta[ Fund oI the City oI Chula 9ista, CaliIornia (the ³City´) with the reTuirements descriEed in 2rdinance No. 3371 (³the 2rdinance´) and the ,nIrastructure, Facilities and ETuiSment E[Senditure Plan (³the SSending Plan´) Ior the year ending -une 30, 2023. ,n our oSinion, the City comSlied, in all material resSects, with the tySes oI comSliance that could have a direct and material eIIect on the reTuirements reIerred to aEove aSSlicaEle to the City Ior the year ended -une 30, 2023. Basis for Opinion We conducted our audit oI comSliance in accordance with auditing standards generally acceSted in the 8nited States oI America (*AAS) the standards aSSlicaEle to Iinancial audits contained in Government Auditing Standards, issued Ey the ComStroller *eneral oI the 8nited States and the reTuirements descriEed in the 2rdinance and the SSending Plan. 2ur resSonsiEilities under those standards are Iurther descriEed in the Auditor¶s ResSonsiEilities Ior the Audit oI ComSliance section oI our reSort. We are reTuired to Ee indeSendent oI the City, and to meet our other ethical resSonsiEilities, in accordance with relevant ethical reTuirements relating to our audit. We Eelieve the audit evidence we have oEtained is suIIicient and aSSroSriate to Srovide a Easis Ior our oSinion. 2ur audit does not Srovide a legal determination oI the City¶s comSliance with the comSliance reTuirements reIerred to aEove. Responsibilities of Management for Compliance 0anagement is resSonsiEle Ior comSliance with the reTuirements reIerred to aEove and Ior the design, imSlementation, and maintenance oI eIIective internal control over comSliance with the reTuirements oI laws, statutes, regulations, rules, and Srovisions oI contracts or grant agreements aSSlicaEle to the 2rdinance and the SSending Plan. Auditor’s Responsibilities for the Audit of Compliance   2ur oEMectives are to oEtain reasonaEle assurance aEout whether material noncomSliance with the comSliance reTuirements reIerred to aEove occurred, whether due to Iraud or error, and e[Sress an oSinion on the City¶s comSliance Eased on our audit. ReasonaEle assurance is a high level oI assurance Eut is not aEsolute assurance and thereIore is not a guarantee that an audit conducted in accordance with *AAS, Government Auditing Standards, the 2rdinance, and the SSending Plan will always detect material noncomSliance when it e[ists. To the Honorable Mayor and Members of the City Council City of Chula Vista, California The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the City’s compliance with the requirements of the Ordinance and the Spending Plan as a whole. In performing an audit in accordance with GAAS, Government Auditing Standards, and the Ordinance and the Spending Plan, we:  Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the City's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances.  Obtain an understanding of the City’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Ordinance and the Spending Plan, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control over compliance. Accordingly, no such opinion is expressed. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. Report on Internal Control Over Compliance A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a compliance requirement will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. Given these limitations, during our audit we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that have not been identified. Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed. 2 To the Honorable Mayor and Members of the City Council City of Chula Vista, California Purpose of this Report The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements described in the Ordinance and the Spending Plan. Accordingly, this report is not suitable for any other purpose. Brea, California December 28, 2023 3 Pooled cash and investments 22,480,700$ Accrued interest receivable 126,910 Due from other funds 4,918,533 Prepaid expenses 170,238 Total Assets 27,696,381$ LIABILITIES AND FUND BALANCE: Liabilities: Accounts payable 1,198,916$ Retention payable 1,259,132 Total Liabilities 2,458,048 Nonspendable - prepaid costs 170,238 Assigned for Measure P Sales Tax 25,068,095 Total Fund Balance 25,238,333 Total Liabilities and Fund Balance 27,696,381$ CITY OF CHULA VISTA Fund Balance: ASSETS: June 30, 2023 Balance Sheet Schedule 2016 MEASURE P SALES TAX FUND 4 Schedule of Revenues, Expenditures and Changes in Fund Balance For the Year Ended June 30, 2023 REVENUES: Local sales and use tax 28,286,339$ Use of money and property 548,992 Miscellaneous 468 Total Revenues 28,835,799 EXPENDITURES: Contracted services 42,226 Equipment and shared infrastructure costs 307,299 Capital outlay 23,226,473 Debt service: Principal retirement 1,165,140 Interest and fiscal charges 110,183 Total Expenditures 24,851,321 EXCESS (DEFICIENCY) OF REVENUES OVER (UNDER) EXPENDITURES 3,984,478 OTHER FINANCING SOURCES (USES): Transfers Out - Municipal Financing Authority Fund (7,809,303) Total Other Financing Sources (Uses)(7,809,303) Net Change in Fund Balance (3,824,825) FUND BALANCE - BEGINNING 29,063,158 FUND BALANCE - ENDING 25,238,333$ 2016 MEASURE P SALES TAX FUND CITY OF CHULA VISTA 5 Citywide Infrastructure, Facilities and Equipment Expenditure Plan 1/2 cent Sales Tax Revenues over 10 year period Summary Table Fiscal Year 2023 Total by Major Category 10‐Year Timeframe FY23 Expenditures Fire Stations Repairs/Replacement 30,012,833                178,228                   Fire Response Vehicles (Apparatus) 19,847,580                853,799                   Fire Safety Equipment 5,197,913                  9,588                       Total Fire Services 55,058,326$              1,041,616$             Police Response Vehicles 12,951,470                842,282                   Public Safety Communication Systems (CAD Dispatch and Regional Communication Systems) 8,645,689                  710,361                   Police Facility Repairs 2,700,656                  104,474                   Police Equipment 644,318                      5,724                       Total Police Services 24,942,133$              1,662,841$             Streets (Arterials/Collectors/Residential) 22,906,310                 ‐                           Other Public Infrastructure (Storm Drains,  Drainage Systems, Sidewalks, Trees etc.) 25,925,179                642,158                   Sports Fields and Courts 3,345,655                  572,748                   Non‐Safety Vehicles 13,191,170                2,403,475               Recreation and Senior Centers 27,737,071                13,496,377             Civic Center and South Libraries 4,781,227                  676,789                   Other Public Facilities (Living Coast Discovery Center, Public Works Center etc.) 11,701,789                404,748                   Traffic Signal Systems 7,250,000                  2,636,361               Park Infrastructure (Playground Equipment, Gazebos, Restrooms, Benches, Parking etc. ) 12,367,201                851,676                   Citywide Network Replacement 2,082,334                   ‐                           Citywide Telecommunications 4,357,602                   ‐                           Total Infrastructure 135,645,538$            21,684,331$           Total Proposed Allocations 215,645,997$            24,388,787$           City Staff Time ‐                              417,492                   Total City Staff Time ‐$                            417,492$                Annual Debt Service Payments 78,234,834                7,805,303               Total Debt Service Expenses 78,234,834$              7,805,303$             Audit Fees 48,773                        42,226                     Bond Administration 65,356                        4,000                       Banking Fees ‐                              2,815                       Cost of Issuance 563,210                       ‐                           Total Administrative Expenses 677,339$                   49,041$                   Total Expenditures 294,558,170$           32,660,624$           Infrastructure, Facilities and Equipment Expenditure Plan Funding Critical Priorities for a Stronger, Safer Chula Vista Infrastructure, Facilities and Equipment Expenditure Plan 2024   1  Amendment #13  April 2024  Introduction    The City of Chula Vista, like many cities throughout the country, is struggling to properly fund our  infrastructure needs. The City of Chula Vista (City) has been developing and implementing its Asset  Management Program to operate and maintain the City’s natural and built infrastructure.  Staff has  provided several updates to the City Council on the Asset Management Program. The presentations and  related publications can be found at www.chulavistaca.gov/infrastructure.      To address the City’s infrastructure needs and other City facilities and services, the City Council placed a  funding measure on the November 2016 ballot to address high priority infrastructure projects.  On  November 8, 2016, Chula Vista voters approved Measure P, authorizing a temporary ½ cent sales tax  increase on retail sales within the City for a period of ten (10) years. Staff prepared the Infrastructure,  Facilities and Equipment Expenditure Plan to identify the recommended allocation of the temporary ½  cent sales tax revenues which were originally estimated to generate $16 million per year. The updated  2024 revenue estimates are projected to generate $28+ million per year.  The recommended funding is  based on the criteria established through the Asset Management Program which identifies the major  citywide infrastructure systems considered in critical need of repair or replacement.  Analysis conducted  by consultants experienced in evaluating infrastructure system conditions, ranked infrastructure from  lowest to highest probability of failure, identified a timeline for repair and replacement, and estimated  associated cost.  The sales tax revenues generated over the 10‐year timeframe could address all  infrastructure assets designated with the highest probability of failure which, if not addressed, could  result in significant impact to public safety response or availability of highly used community  infrastructure.       Given the needs and limited availability of funds, the items proposed for funding under this plan  represent one‐time allocations of funds and not ongoing commitments. Funding of ongoing  commitments, such as salary and benefit increases, is not included in the Plan as they would result in  continuing financial obligations beyond the ten‐year temporary tax period.  Therefore, this Plan focuses  on the areas where one‐time funds could be used to address critical deferred maintenance or  replacement of city infrastructure improving safety and reducing risk to the City as well as strengthening  the City’s overall financial condition by avoiding costly emergency repairs or further deterioration of  existing failing infrastructure.    The following are the highest priority items for funding:    Pave, maintain and repair neighborhood streets and fix potholes    Upgrade or replace aging police, fire and 9‐1‐1 emergency response facilities, vehicles and  equipment    Replace storm drains to prevent sinkholes   Upgrade irrigation systems to conserve water and save energy    Make essential repairs to older libraries, senior center and recreation centers    Improve our Traffic Signal Systems  Infrastructure, Facilities and Equipment Expenditure Plan 2024   2  Amendment #13  April 2024   Repair our Sports Fields and Courts and Park Infrastructure  This Infrastructure, Facilities and Equipment Expenditure Plan also includes long‐term financing of  approximately $70.8 million in order to expedite the most critically needed repairs or replacements of  citywide infrastructure.  City Council approved the issuance bonds via Resolution 2017‐089 on June 6,  2017. This Plan also provides a component which identifies the potential annual allocations to projects  which could be included in the annual City Manager proposed Capital Improvement Budget for City  Council consideration and action.  Process for Creation of the Plan  Asset Management Program (AMP)   Since March 2014, the City has been working to enhance its asset management practices to promote  effective use of financial and physical resources and to develop a proactive approach to managing  infrastructure assets. As part of this effort, the City embarked on developing a comprehensive, citywide  Asset Management Program that includes the following asset management systems:    Wastewater Management System    Urban Forestry Management System    Building Management System    Drainage Management System    Parks Management System    Roadway Management System    Fleet Management System   AMP Goals  The goal of the City’s Asset Management Program is to shift from reactive to proactive planning and  management of our infrastructure assets. The effort has helped the City to:   Gain better understanding of the current state of the infrastructure and its future needs    Proactively identify the asset replacement and rehabilitation needs and plan the budget and  resources accordingly    Understand the probability and consequence of failure of each asset so that the City can  manage high risk assets before failure and minimize the City’s overall risk profile    Minimize the life‐cycle cost by incorporating latest technological advances in infrastructure to  develop efficient and effective preservation and restoration strategies    Develop a consistent and defendable methodology for prioritizing work and budget expenditure    Focus on high benefit‐to‐cost ratio to ensure the budget is spent in the right place, for the right  reason, at the right time, at the right cost    Be transparent by involving the City Council and the public in the development of the Asset  Management Program and the associated decisions   Infrastructure, Facilities and Equipment Expenditure Plan 2024   3  Amendment #13  April 2024  It is important for the City to gain a better understanding and quantify current and future asset needs,  asset risk profile, appropriate levels of service, cost to provide services, and financial requirements to  sustain the delivery of services. City staff has worked to communicate this improved understanding of  the infrastructure status with the public and decision makers. This analysis and information has enabled  City staff to develop management strategies that deliver the established levels of service while  managing individual assets to minimize life‐cycle cost with an acceptable level of risk.   With this information, the City can better answer the following questions:    Catch Up – What levels of work, resources, and budget are required to bring the asset back to  required conditional state to meet the safety, regulatory, and level of service requirements?    Keep Up – Once the asset is caught up, what levels of work, resources, and budget are required  to keep up the level of service?    Moving Forward – What levels of work, resources, and budget are required to sustain the level  of service?  Asset Management Program Advisory Committee   To help identify the needs of our community and to evaluate the state of our infrastructure, the City  formed the Asset Management Program Advisory Committee (AMPAC) in March 2014. The committee  continues to provide input into setting priorities for the Asset Management Program.  Members of the AMPAC are residents, business owners, community leaders, and stakeholders.  AMPAC  members visited various asset management systems and observed and discussed the issues associated  with each system.  AMPAC reviewed the City’s overall Asset Management Program methodology and  helped to guide and reach consensus on how to address infrastructure deficits.  A technical committee was formed within AMPAC to further engage the public in the understanding and  review of the asset management methodologies and logic used to define preservation and restoration  costs and schedules.   A comprehensive inventory of assets took place for each asset management system. Where accessible,  assets were visited and their conditions were assessed. Based on the condition, actions required to  restore the asset were identified, and the cost and timing were estimated. Through assessment of risk  (probability and consequence of failures), activities were prioritized and communicated regarding  urgency and the financial and resource requirements.  Public Outreach and Public Opinion Surveys  In July and August 2015, the City of Chula Vista engaged a research firm to conduct a public opinion  survey to identify resident priorities and secure input on potential local funding mechanisms (bond or  sales tax) to upgrade, repair and maintain critical infrastructure. In addition, a survey mailer was  distributed to 54,000 households and an online version posted on the City website from January through  Infrastructure, Facilities and Equipment Expenditure Plan 2024   4  Amendment #13  April 2024  May 2016 to secure broad public input on infrastructure priorities. More than 3,000 responses were  received.   Public Opinion on Prioritizing Infrastructure Projects    Infrastructure, Facilities and Expenditure Plan   With the information gathered through the Asset Management process and community input, staff  developed this Plan taking into account projected available funding, priorities and timing considerations.  The actual allocations will be dependent on updated engineering cost estimates, project specific criteria  and available funding at the time the individual projects are proposed.    The following table presents the Infrastructure, Facilities and Expenditure Plan by Major Category.  On  page 14 of this Plan is a 10‐year outlook by fiscal year which includes long‐term financing to expedite the  most critically needed repairs/replacement of citywide infrastructure.                  Infrastructure, Facilities and Equipment Expenditure Plan 2024   5  Amendment #13  April 2024  Infrastructure, Facilities and Equipment Expenditure Plan (By Major Category)    Plan Implementation   The ballot measure approved by the voters is anticipated to generate an estimated $249 million over a  10‐year period.  The projected revenues from the sales tax measure will address the items which are  considered high risk and in critical need of repair or replacement.  The estimated revenues will also  address approximately 11% of the assets identified as having medium probability of failure.    The measure provides that any proposed expenditures of new sales tax revenues in the initial year will  be presented in a form consistent with this Plan as budget amendments for City Council consideration.   For each subsequent year, the spending plan, after review by a Citizen Oversight Committee, will be  included in the City Manager’s proposed budget for Council consideration as part of the annual budget  process.   The measure requires that expenditure of new sales tax revenues be tracked in a variety of ways.  First  all new revenues will be accounted for in the General Fund as a separate line item.  Second, an  independent audit of measure revenues and expenditures will be performed and presented for public  review.  Finally, a Citizen’s Oversight Committee will review all proposed expenditure plans and all  audits.  Infrastructure, Facilities and Equipment Expenditure Plan 2024   6  Amendment #13  April 2024  Note:  This Plan is intended to guide City expenditures consistent with its terms.  It does not, however,  constitute a binding legal commitment on the City Council to approve any of the expenditures proposed  herein.  Provided that all proposed expenditures continue to be for City infrastructure, facilities and/or  equipment, this Plan may also be updated or amended from time to time by City staff, or by action of  the City Council, in order to address changed priorities, standards and/or funding availability.  There  shall be no third‐party beneficiaries to the terms of this Plan.  This Plan does not modify the terms of the  sales tax measure.  To the extent of any conflict between the terms of this Plan and the sales tax  measure, the terms of the sales tax measure shall govern.  Summary Description of Major Infrastructure Categories  To follow are descriptions of the major infrastructure categories within the Expenditure Plan. Included  within several of the categories described below is an emphasis on repairing and replacing existing  inefficient systems and equipment with newer, more efficient systems.  Funding for efficient systems  has been incorporated into the existing funding for police facility repairs, sports courts and fields, park  infrastructure, recreation and senior centers, libraries, and other public buildings.  Specific projects will  include: citywide lighting upgrades; citywide irrigation upgrades; citywide HVAC equipment  replacement; and other facility and park efficiency upgrades.  The projects will be consistent with the  priorities laid out in the original Measure P Expenditure Plan as well as the City's Smart Cities Plans.  The  projects will extend the life of the City's facilities and parks, allow for easier and more efficient  maintenance, and provide flexibility to allocate proper maintenance funds are in place to "keep up" with  ongoing maintenance on newly repaired facilities. Measure P funds will not be used to provide ongoing  maintenance.  Street Pavement:  One of the greatest challenges a City faces is maintaining, preserving and restoring its paved streets.   The City of Chula Vista utilizes the Streetsaver Pavement Management System to develop a multi‐year  pavement preservation program. The program has primarily been focused on sustaining more heavily  traveled major arterial and collector streets in good condition.  Through the Pavement Management  System, city streets are given a Pavement Condition Index (PCI).  The purpose of the pavement  management system is to enable the City to use its pavement dollars in the most cost‐effective manner  so that the overall pavement condition is as good as possible.  The pavement preservation approach  significantly prolongs the life of existing pavements for a fraction of what it would cost to rehabilitate  the street once it reached failure.  Unfortunately, local/residential streets have reached a failed state (0‐ 25 PCI) and the typical strategies used for preventative maintenance would be inadequate.  These  residential streets would require major rehabilitation.  The Measure P funding for Street Pavement  repair is intended repair these failed residential streets.  Additional information is available in the  Roadway Assessment Plan located at www.chulavistaca.gov/infrastructure.   Infrastructure, Facilities and Equipment Expenditure Plan 2024   7  Amendment #13  April 2024  Pavement Condition Index PCI = 21 PCI = 40 PCI = 68 PCI = 75 PCI = 95     Other Infrastructure (Storm Drains, Sidewalks, Trees, Drainage Systems)  Much of the City’s storm drain system is more than 50 years old.  There are approximately 13 miles of  corrugated metal pipes (CMP) located in the City of Chula Vista.  Some of the CMP have been  deteriorating due to their age and corrodible nature of the material.  According to the 2005 condition  assessment data, 1.8 miles of CMPs were recommended to be lined with CIPP liner and 0.4 miles of CMP  were recommended to be replaced immediately.  In order to accelerate the replacement of CMP and  address infrastructure needs in Western Chula Vista, the City issued $10.5 million in debt but despite the  City’s effort to reline and replace as much as possible of the problematic CMP based on the 2005 study,  not all pipe failures could be predicted.  In February 2015, a CMP located near one of the elementary  schools failed and created a sinkhole.  In order to prevent future failures and to drive lower life‐cycle  cost, the City utilized the asset management strategies to identify which CMPs have a greater risk of  failing.  As a result, the City repurposed $1.2 million from streets to fund CMP replacement or lining.   Additional information on the City’s Drainage system is located in the Drainage Asset Management Plan  located at www.chulavistaca.gov/infrastructure.  The City is committed to the goal of increasing the maintenance and number of trees within the city.   Healthy trees provide many benefits to communities, such as reducing storm water runoff, removing air  pollution, lowering summer temperatures, and reducing energy use in buildings.   Infrastructure, Facilities and Equipment Expenditure Plan 2024   8  Amendment #13  April 2024  Traffic Signal System:  Proposed funding could advance traffic signal replacements and upgrades that focus on improving two  major objectives: safety and performance. Each objective listed has a direct correlation to enhancing  safety at intersections or of City roadways while also improving efficiency and operability of the traffic  signal systems.  Tax measure funds could also be used as matching funds for federal, state and local  grants.  Improvements could include:   Replacement of aging or legacy traffic controllers and signal cabinet and equipment   Replacement of rusted, faded or missing traffic signal back‐plates or signal heads   Replacement of obsolete pedestal‐mounted traffic signals to overhead mounted traffic signals   Repair and/or replacement of broken inductive pavement loops and failing video cameras   Converting non‐actuated intersections to actuated   Installation of pedestrian countdown indications and ADA compliant push buttons citywide   Replacement of obsolete 8” traffic signal lamps to standard 12” traffic signal lamps   Installation of Bicycle Detection System Citywide   Replacement of legacy communications equipment and expansion of City Fiber Optics, Wireless,  and/or Twisted Pair Communications   Expansion of Adaptive Signal System   Installation of Traffic Monitoring Devices:  o Closed‐Circuit Television (CCTV) Cameras at intersection along Major Trolley, Freeway  interchanges, or major cross streets in the City of Chula Vista  o Expansion of Data Collection Systems to actively monitor Level‐of‐Service of City Streets  o Changeable Message Sign System along Main Street to mitigate special event traffic for  Sleep Train Amphitheater  o Installation of Traffic Calming Devices   Comprehensive Coordination Retiming Project Citywide  Fire Response Vehicles (Apparatus):   The Fire Department’s fire apparatus fleet is currently experiencing excessive years of service.  This has  led to increased downtime, decreased reliability, and obsolete safety features.  The Fire Department and  Public Works Department are challenged on a daily basis with maintaining an adequate fire apparatus  fleet (frontline and reserve) due to the above factors.  The current fleet downtime report shows, for  every five days a fire apparatus is in service, it then requires one full day out of service for maintenance  and repair.  Fire apparatus replacement standards call for 10 to 12 years for front line service with five  years in reserve capacity.  Over half (10 of 17 fire apparatus) of the fire apparatus fleet exceeds 12 years  of service, three of which are beyond 20 years of service.  Funds could be used to replace Fire Engines  and Fire Trucks that are overdue for replacement by excessive maintenance expenses or obsolete  equipment improving response times.    Infrastructure, Facilities and Equipment Expenditure Plan 2024   9  Amendment #13  April 2024  Fire Equipment:   Major fire equipment needs include radio communications equipment, mobile data computer (MDC)  communications equipment, and respiratory protection breathing apparatus.  The City of Chula Vista participates in the Regional Communication System (RCS), which provides public  safety and public service radio communications to the San Diego County area.  Federal Regulations,  require the upgrade of the RCS to become compliant.  This requires its users to upgrade their handheld,  vehicle mounted, and dispatch radios to match the system backbone upgrade.  The Fire Department also uses mobile data computers (MDCs) to communicate critical emergency  incident information between response units and dispatch.  These MDCs are ruggedized, military grade  laptops to withstand use during emergency response.  These MDCs are beyond their useful life,  exceeding 10 years old and also no longer meet new operating system requirements to properly  communicate with dispatch.  The Fire Department is required to provide and maintain proper respiratory protection breathing  apparatus equipment for firefighting activity.   The current fleet of breathing apparatus is between 13 to  15 years old and beyond the useful life.  This has led to increased downtime, decreased reliability and  obsolete safety features.  Breathing apparatus are utilized when fighting fires and critical to the  protection of firefighter personnel.  Police Equipment:  Major equipment needs for the Police Department include body worn cameras, video management  system and replacement of network servers.  Use of body worn cameras has helped the Police  Department gather more evidence leading to successful prosecution of cases, as well as protecting both  the officer and citizens from allegations of excessive force or misconduct.  The video management  system will enable the Police Department to view recordings from different cameras when conducting  investigations and responding to calls.  In order to keep up with technology, network servers will be  updated in 5‐year increments.    Fire Station Repairs/Replacements:   The Fire Department currently operates nine fire stations to provide a network of emergency response  service delivery.  Three of these fire stations are well beyond their service life.  Fire bay doors must be  enlarged to accommodate new fire apparatus and extensive termite treatment and repair is needed. In  addition, these fire stations are not compliant with seismic building codes.  Also, as emergency response  volume increases beyond the current network of response capacity, existing Fire Station 4 will require  expansion to accommodate a secondary response unit in order to meet the service delivery demand.   Funding is needed in order for the expansion to move forward and improve response times to the  community.     Infrastructure, Facilities and Equipment Expenditure Plan 2024   10  Amendment #13  April 2024  Police Vehicles:   There are 128 police vehicles in the Police Department. The vehicles in this fleet are technologically  complex and specially outfitted for law enforcement work. In addition to being very sophisticated pieces  of equipment they are subjected to very high levels of utilization. Approximately 41% of the fleet is  identified as needing replacement due to excessive repairs from high mileage and heavy use. The failure  of operating patrol vehicles would impact response times to the community.      Police Facility Repairs:   The Police facility is 12 years old and is in relatively good condition.  Although, the facility is in good  condition it is given the highest rating possible for Consequence of Failure. This is because the facility  operates 24 hours a day, 7 days a week.  The Asset Management Plan did identify a few items which  need immediate attention to avoid operational impacts with the most immediate being the replacement  of the heating and air conditioning system.  Failure of the system could cause disruption to critical  service delivery and the ability to dispatch police personnel.   Public Safety Computer Aided Dispatch System (CAD):    The Computer Aided Dispatch (CAD) system is a critical Information and Technology (IT) component,  which serves as the lynchpin of the 911 emergency service frame work for the police department.  CAD  is critical because it is used to dispatch police officers to citizens’ calls for service, and its efficiency and  performance directly impact response times and officer safety. In 2015, the police department  processed 97,632 calls for service in the CAD system.  The department’s CAD system is also the central  repository for all records and data related to calls for service. It is a key performance measurement tool  used by supervisors and managers to make important tactical and strategic decisions.  Finally, the CAD  system’s reliability and stability are critical because it must have continuous availability.  In short, CAD is  the virtual and technical heart of all police department operations, especially pertaining to emergency  service delivery.  Public Safety Regional Communications System (RCS):  The Regional Communications System (RCS) provides public safety and public service radio  communications service to San Diego County, Imperial County, 24 incorporated cities, and a multitude  of other local, state, federal and tribal government agencies in the San Diego County/Imperial County  Region. The RCS infrastructure is approaching the end of its life cycle and must be replaced. The County  of San Diego has been working with member RCS partner agencies to plan for the replacement of the  RCS system with a “Next Generation” public safety interoperable communications system which will  comply with Federal Communications System (FCC) and the national Association of Public Safety  Communications Officials standards. These regulations set in place standards for communication  systems which allow for interoperability between different cities, agencies, and various state and federal  agencies. This has been done to ensure that during emergency events, various public safety and  emergency response personnel can communicate with each other.  The City of Chula Vista currently has  Infrastructure, Facilities and Equipment Expenditure Plan 2024   11  Amendment #13  April 2024  737 radios operating on the RCS. Based upon the radio count for the City, the approximate cost to the  City for participating in the Next Gen RCS project would be $4.5 million, not including financing cost. This  does not include the mandatory radio and equipment upgrades that would be needed at the City.   Other City Vehicles:  The “Other City Vehicles” comprises the remaining vehicles in the City’s inventory and supports all other  City provided services with the exception of those supporting the wastewater section.  These vehicle  replacements have been deferred for many years resulting in excessive repair costs.  The “out of  service” rates for many of these vehicles are at record highs impacting staff’s ability to provide services  to the community.  Funding is needed to replace these vehicles (including lawnmowers, pick‐ups, dump  trucks, forklifts, etc.) and help the City move toward a more environmentally friendly and economically  efficient fleet composition reducing emissions, fuel and related operating costs.  In addition, this  category includes the Fleet Infrastructure project for replacement of fuel systems, installation of EV  charging stations, a heavy duty in‐ground lift and replacement of the City’s obsolete fleet information  management system.   Sports Courts and Fields:  There is a high demand for use of the City’s various sports fields.  Most sports fields are reserved for City  programs coordinated through the Youth Sports Council.  The Youth Sports Council, which represents 22  member organizations in the City of Chula Vista, was formed in 1989 to assist the City in coordinating  youth sports programs and allocate field use in the City.  Due to the combination of budgetary cuts and  water use restrictions, the City’s sports fields are overdue for renovation including re‐seeding, aeration,  fertilizing, and in some cases sod replacement.  The Public Works department prepares a Field  Management Report which identifies the condition of the various fields.  The current Field Management  report, located at www.chulavistaca.gov/infrastructure identified four fields that are closed due to poor  condition of the fields.  Another 20 were classified as fair condition but at risk of deteriorating further.   This significantly limits the number of fields available to the various organizations providing youth sports  activities in the City of Chula Vista which includes participation of over 10,000 kids.       With additional funding, the sports fields could be brought back to good standings and available for field  allocation.  In addition, funds could be allocated to upgrade the irrigations systems to a smart system  allowing for efficient and effective water allocation which would assist in keeping the fields healthy even  through the drought.    In addition to the sports fields, there are a total of 62 tennis courts and basketball courts.  Based on the  most recent Court Management Report, located at www.chulavistaca.gov/infrastructure a total of 31  courts are considered in fair condition due to worn surfaces, visible cracks or separation and lifting  which will require replacement.       Infrastructure, Facilities and Equipment Expenditure Plan 2024   12  Amendment #13  April 2024  Park Infrastructure:  The City owns and manages 56 parks that cover approximately 560 acres.  The largest park, Rohr Park,  covers nearly 60 acres.  The asset management study identified several assets under the Park  Infrastructure category which included items such as barbeque grills, benches, drinking fountains,  irrigation controls, lights, picnic tables, play structures, playground surfacing, signage, trash bins, etc.   This Infrastructure, Facilities and Equipment Expenditure Plan recommends funding assets identified in  the AMP which are beyond their service life and in need of repair or replacement.  Additional details are  available in the Parks Asset Management Plan located at www.chulavistaca.gov/infrastructure.   Recreation and Senior Centers:  In 2015, there were nearly 800,000 visits to our recreation facilities participating in sports, recreation,  senior programs and other activities.  With nine recreation centers, two aquatic facilities and 56 parks,  the Recreation Department offers a myriad of opportunities for everyone to enjoy. Due to the high  volume use of these facilities any interruption or reduction in their availability directly impacts the City’s  residents. Additional funds could be used to replace roofs, water and waste water plumbing, heating  and air conditioning elements that have all reached or exceeded your expected service life.    More specifically, at the Norman Park Senior Center the condition assessment indicates that there is a  need to repair the perimeter exterior eaves, paint the interior and exterior of the building, repair the  kitchen and the restroom.   At Loma Verde Recreation Center the pool pump system, decking, lighting  and shower areas are also in need of repair. The City’s newest recreation facilities, Salt Creek and  Montevalle, are now over 10 years old and are beginning to experience heating and air conditioning  failures and are in need of floor resurfacing throughout the gyms and classrooms.  Other facilities, such  as the Women’s Club, are also in critical need of repair or replacement.  Civic Center Library and South Chula Vista Library:  The Chula Vista Civic Center Library opened its doors in 1976 and is celebrating its 40th Anniversary.  The  Civic Center Library and South Chula Vista Library are highly valued and well used by the community.   Funding for the Library Department has been focused on increasing access to services and materials.   Over the years, through fundraising efforts by the Friends of the Chula Vista Library and Chula Vista  Public Library Foundation as well as State grants, the City has been able to do some cosmetic upgrades  to the interior of the buildings. At this point, there is a need to address some more significant  infrastructure repairs such as the roof, water and waste water plumbing, bathroom upgrades, heating  and air conditioning systems that have all reached or exceeded their expected useful life.   Other Public Buildings: (Animal Care Facility, Living Coast Discovery Center, Ken Lee Building)  In addition to the buildings discussed previously, there are other public buildings such as the Animal  Care Facility, Living Coast Discovery Center, and Ken Lee Building which are also in need of heating and  air conditioning replacements, roof and plumbing repairs, flooring replacements, restroom renovations  and upgrades to meet ADA standards.   Infrastructure, Facilities and Equipment Expenditure Plan 2024   13  Amendment #13  April 2024  Citywide Network Replacement  The overall computer network which provides all the connectivity between PC’s, servers, phones and  other network attached devices throughout the City is outdated with 20% of the equipment beyond  end‐of‐life status, and a majority of the rest of the equipment within a year of end‐of‐life status. Due to  advancements in technology the City is proposing a complete restructuring of the City’s computer  network in order to bring it up to industry standards in terms of: 1) Capability to handle high‐volumes of  data traffic; 2) Provide industry standard reliability and redundancy to ensure near 100% up‐time across  the network; and 3) To ensure high levels of security and resistance to modern day malware/hacking  attacks. Measure P funds will be used to upgrade the network, which will directly benefit the community  by allowing for Smart City functionality which will reduce traffic congestion on streets, reduce associated  carbon emissions, enable enhanced energy savings in City buildings, provide advanced citizen  engagement through data sharing and capabilities of virtual City Hall, and enable enhanced security at  City parks and other locations.   In addition to updating the City’s network, the Public Works Department deploys approximately 45  laptops in the field in order for crews to be able to receive work orders in the field, and then capture  data regarding issues they see in the field back into our asset management systems. The current fleet of  laptops is over 5 years old and only has 3G wireless modems which allow them to transmit data back to  the Public Works Department. 3G’s data footprint in Chula Vista is shrinking due to wireless carriers  focusing on 4G and 5G deployments. There are many areas in the eastern portion of Chula Vista, which  do not have 3G connectivity. This means crews must return back to the Public Works Department to  enter data. Types of data transmitted include photos and videos which require high‐speed connections.  Additionally, older laptops are limited in terms of processing speed and memory, which affects overall  productivity of the laptop in a data rich environment. Measure P funds will be used to replace these  laptops which will provide time savings and better work productivity allocating more time for the crews  to be out in the field serving the public.  Citywide Telecommunications  Measure P funds will be used to upgrade its telecommunications system which is nearly 20 years old.  Although functioning, the back‐end equipment required to keep the phone system working is no longer  manufactured. This requires the City to find replacement parts through used equipment if any  equipment fails. Due to the age of the phone system, it is becoming extremely difficult to find used  equipment to keep the system working. The phone system is also very limited in terms of how it can be  used in a modern business environment. New modern systems are run over a computer network (Voice  Over I.P. – VOIP) rather than by an analogue system. Analogue systems have significant limitations on  how a phone system can be used, while more modern systems allow for video conferencing, computer  screen sharing, call following (“desk phone” can be accessed regardless of location), and other features  which increase productivity and responsiveness for employees to the public. An updated  telecommunications system will also significantly reduce the risk of systematic failure.    Infrastructure, Facilities and Equipment Expenditure Plan 2024   14  Amendment #13  April 2024    Infrastructure, Facilities and Equipment Spending Plan ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL REVISED PROPOSED REVISED ESTIMATED ESTIMATED ESTIMATED One‐half cent Sales Tax Revenues over 10 year period CHANGES April 2024 Revision Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Total 2016‐17 2017‐18 2018‐19  2019‐20 2020‐21 2021‐22 2022‐23 2023‐24 2023‐24 2023‐24  2024‐25 2025‐26 2026‐27 10 Year Term (1 Qtr Only)(3 Qtrs Only) Estimated Revenues: A Estimated 1/2 cent Sales Tax Revenues 3,906,919$      18,160,769$      20,016,492$      20,037,276$    23,629,265$    27,402,122$     28,286,339$     27,515,846$     ‐$                  27,515,846$    28,978,965$    28,624,735$    22,112,608$    248,671,335$      ESTIMATED TOTAL REVENUES 1   3,906,919$      1   18,160,769$      1   20,016,492$      1   20,037,276$    1   23,629,265$    1   27,402,122$     1   28,286,339$     27,515,846$     ‐$                  27,515,846$    28,978,965$    28,624,735$    22,112,608$    248,671,335$      Proposed Expenditures B Fire Vehicles 385,000$         1,730,680$        2,807,500$        626,500$         2,768,500$      1,292,450$       1,947,950$       1,866,151$       ‐$                  1,866,151$      56,749$           118,700$         810,050$         14,410,230$       5.8% C Police Vehicles 463,940$         1,798,760$        653,000$            494,850$         1,693,500$      1,547,200$       944,950$           285,500$         581,719$         867,219$         1,060,001$      2,794,317$      633,733$         12,951,470$       5.2% Total Public Safety Vehicles 848,940$         3,529,440$        3,460,500$        1,121,350$      4,462,000$      2,839,650$       2,892,900$       2,151,651$      581,719$         2,733,370$      1,116,750$      2,913,017$      1,443,783$      27,361,700$       11.0% D Non‐Safety City Vehicles (i.e. Public Works Crews) ‐$                  2,818,000$        749,000$            1,520,100$      1,674,000$      2,434,000$       2,000,000$       900,000$         200,000$         1,100,000$       ‐$                   ‐$                   ‐$                  12,295,100$       4.9% E Fleet Infrastructure ‐$                  1,000,000$         ‐$                     ‐$                  96,070$            ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  1,096,070$          0.4% Total Non‐Safety City Vehicles ‐$                  3,818,000$        749,000$            1,520,100$      1,770,070$      2,434,000$       2,000,000$       900,000$         200,000$         1,100,000$       ‐$                   ‐$                   ‐$                  13,391,170$       5.4% F Fire Equipment (i.e. breathing apparatus, Radios etc) 183,000$         1,202,000$         ‐$                     ‐$                   ‐$                   ‐$                   358,216$            ‐$                   ‐$                   ‐$                  272,356$         1,435,251$      1,747,090$      5,197,913$          2.1% G Police Equipment (i.e. body worn cameras, video camera equip etc)‐$                   ‐$                    187,384$            28,000$           32,739$           68,116$             42,123$             182,739$         (100,000)$        82,739$           32,739$           32,739$           37,739$           544,318$             0.2% H Police Communications & Dispatch System 17,660$           183,261$            86,153$              196,994$         205,459$         214,299$           194,862$           204,466$         100,000$         304,466$         214,530$         225,076$         236,123$         2,078,883$          0.8% Total Public Safety Equipment 200,660$         1,385,261$        273,537$            224,994$         238,198$         282,415$           595,201$           387,205$          ‐$                  387,205$         519,625$         1,693,066$      2,020,952$      7,821,114$          3.1% I Fire Station Repair/Replacements 46,000$           13,000,000$      2,292,515$        7,331,943$      2,582,582$      957,409$           3,802,384$       925,000$          ‐$                  925,000$          ‐$                   ‐$                   ‐$                  30,937,833$       12.4% J Police Facility Repairs 9,000$              1,500,000$        492,000$            100,000$          ‐$                  474,656$           25,000$             100,000$          ‐$                  100,000$          ‐$                   ‐$                   ‐$                  2,700,656$          1.1% Total Public Safety Buildings  55,000$           14,500,000$      2,784,515$        7,431,943$      2,582,582$      1,432,065$       3,827,384$       1,025,000$       ‐$                  1,025,000$       ‐$                   ‐$                   ‐$                  33,638,489$       13.5% K Recreation Centers and Senior Center ‐$                  5,000,000$        (1,500,000)$       751,000$         608,942$         15,916,629$     6,860,500$       100,000$         150,000$         250,000$          ‐$                   ‐$                   ‐$                  27,887,071$       11.2% L Civic Center and South Chula Vista Libraries ‐$                  3,000,000$        (1,000,000)$       250,000$         782,000$         1,749,227$        ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  4,781,227$          1.9% M Other Public Facilities (i.e. Animal Care Facility & Living Coast DC)‐$                  5,100,000$        (1,421,788)$        ‐$                  1,610,160$      1,622,417$       1,370,000$       426,000$          ‐$                  426,000$         2,728,333$      133,333$         133,334$         11,701,789$       4.7% Total Other Public Facilities  ‐$                  13,100,000$      (3,921,788)$       1,001,000$      3,001,102$      19,288,273$     8,230,500$       526,000$         150,000$         676,000$         2,728,333$      133,333$         133,334$         44,370,087$       17.8% N Sports Courts and Fields 85,000$           4,500,000$        (1,000,000)$        ‐$                  (1,523,600)$    384,255$           500,000$            ‐$                   ‐$                   ‐$                  400,000$          ‐$                   ‐$                  3,345,655$          1.3% O Park Infrastructure 250,000$         5,500,000$        (450,000)$          137,654$         1,028,815$      2,125,732$       750,000$           525,000$         1,250,000$      1,775,000$      1,000,000$      1,000,000$      500,000$         13,617,201$       5.5% P Street Pavement (Arterials/Collectors/Residential) 363,940$         15,518,626$      8,592,295$        (331,000)$        (1,237,551)$     ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  22,906,310$       9.2% Q Traffic Signal System (Fiber Network)‐$                  3,000,000$        2,000,000$         ‐$                   ‐$                   ‐$                   250,000$           225,000$          ‐$                  225,000$         1,500,000$      25,000$            ‐$                  7,000,000$          2.8% R Other Public Infrastructure (Storm Drains, Sidewalks, Trees etc)‐$                  9,400,000$        (1,000,000)$       2,831,000$      1,337,551$      2,781,986$       554,000$           5,567,014$       ‐$                  5,567,014$      2,226,813$      2,226,813$       ‐$                  25,925,179$       10.4% S Citywide Network Replacement ‐$                  2,045,000$        35,700$               ‐$                  1,634$               ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  2,082,334$          0.8% T Citywide Telecommunications ‐$                  2,000,000$        155,602$             ‐$                   ‐$                  2,072,014$        ‐$                    ‐$                   ‐$                   ‐$                   ‐$                  129,986$          ‐$                  4,357,602$          1.8% Total  Infrastructure  698,940$         41,963,626$      8,333,597$        2,637,654$      (393,151)$        7,363,987$       2,054,000$       6,317,014$      1,250,000$      7,567,014$      5,126,813$      3,381,799$      500,000$         79,234,281$       31.9% Projects to be Financed through Annual Capital Lease Payments U Police Communications & Dispatch System ‐$                  170,238$            86,377$              170,238$         170,238$         170,238$           170,238$           170,238$          ‐$                  170,238$         170,240$         170,238$         170,238$         1,618,521$          0.7% V Regional Communications System (RCS) 1,396,460$      535,000$            350,000$            350,000$         345,261$         345,261$           345,261$           345,261$          ‐$                  345,261$         345,262$         345,262$         345,262$         5,048,290$          2.0% W Fire Response Vehicles ‐$                  244,400$            385,000$            385,000$         385,000$         780,000$           780,000$           780,000$          ‐$                  780,000$         780,000$         780,000$         137,950$         5,437,350$          2.2% Total Public Safety Capital Lease Pmts 1,396,460$      949,638$            821,377$            905,238$         900,499$         1,295,499$       1,295,499$       1,295,499$       ‐$                  1,295,499$      1,295,502$      1,295,500$      653,450$         12,104,161$       4.9% TOTAL EXPENDITURES 3,200,000$      79,245,965$      12,500,738$      14,842,279$    12,561,300$    34,935,889$     20,895,484$     12,602,369$    2,181,719$      14,784,088$    10,787,023$    9,416,715$      4,751,519$      217,921,002$     87.6% Bond Proceeds: X Bond Proceeds ‐$                  71,363,509$       ‐$                     ‐$                   ‐$                   ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  71,363,509$        Y Cost of Issuance ‐$                  (563,210)$           ‐$                     ‐$                   ‐$                   ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  (563,210)$             TOTAL BOND PROCEEDS ‐$                  70,800,299$       ‐$                     ‐$                   ‐$                   ‐$                    ‐$                    ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  70,800,299$        Investment Earnings:  Z Investment Earnings ‐$                  1,020,436$        1,433,821$        1,138,316$      617,062$         496,830$           531,941$            ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  5,238,406$           TOTAL INVESTMENT EARNINGS 2, 3 ‐$                  1,020,436$        1,433,821$        1,138,316$      617,062$         496,830$           531,941$            ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  5,238,406$           Misc. Revenues: AA Miscellaneous Revenues ‐$                  398$                   152,440$            80,150$           3,038$              3,153$               468$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  239,646$              TOTAL MISCELLANEOUS REVENUES ‐$                  398$                   152,440$            80,150$           3,038$              3,153$               468$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                   ‐$                  239,646$              Bond Debt Service: AB Debt Service Principal ‐$                  5,550,000$        5,330,000$        5,605,000$      5,885,000$      6,185,000$       6,180,000$       6,175,000$       ‐$                  6,175,000$      6,485,000$      6,810,000$      7,150,000$      61,355,000$        AC Debt Service Interest ‐$                  2,324,334$        2,790,250$        2,523,750$      2,243,500$      1,949,250$       1,640,000$       1,331,000$       ‐$                  1,331,000$      1,022,250$      698,000$         357,500$         16,879,834$        TOTAL DEBT SERVICE ‐$                  7,874,334$        8,120,250$        8,128,750$      8,128,500$      8,134,250$       7,820,000$       7,506,000$       ‐$                  7,506,000$      7,507,250$      7,508,000$      7,507,500$      78,234,834$        Administrative Expenses: AD Audit/Admin ‐$                   ‐$                    5,000$                5,100$              5,202$              5,306$               5,412$               5,520$               ‐$                  5,520$              505,631$         25,000$           25,500$           587,671$              AE Bond Administration ‐$                   ‐$                    6,700$                6,834$              6,971$              7,110$               7,252$               7,397$               ‐$                  7,397$              7,545$              7,696$              7,850$              65,356$                TOTAL ADMINISTRATIVE EXPENSES ‐$                   ‐$                    11,700$              11,934$           12,173$           12,416$             12,664$             12,918$            ‐$                  12,918$           513,176$         32,696$           33,350$           653,027$              Annual Surplus/Deficit 706,919$         2,861,603$        970,065$            (1,727,221)$    3,547,393$      (15,180,450)$    90,599$             7,394,559$      (2,181,719)$    5,212,840$      10,171,515$    11,667,323$    9,820,239$      28,140,823$        1 Audited Total 2 Investment Returns are posted in arrears 3 Does not include audited total for 4404 ‐ Change in Value Infrastructure, Facilities and Equipment Spending Plan One‐half cent Sales Tax Revenues over 10 year period ESTIMATED April 2024 Revision Fiscal Year  2024‐25 Estimated Revenues: A Estimated 1/2 cent Sales Tax Revenues 28,978,965$    ESTIMATED TOTAL REVENUES 28,978,965$    Proposed Expenditures B Fire Vehicles 56,749$            C Police Vehicles 1,060,001$      Total Public Safety Vehicles 1,116,750$      D Non‐Safety City Vehicles (i.e. Public Works Crews) ‐$                  E Fleet Infrastructure ‐$                  Total Non‐Safety City Vehicles ‐$                  F Fire Equipment (i.e. breathing apparatus, Radios etc) 272,356$         G Police Equipment (i.e. body worn cameras, video camera equip etc) 32,739$            H Police Communications & Dispatch System 214,530$         Total Public Safety Equipment 519,625$         I Fire Station Repair/Replacements ‐$                  J Police Facility Repairs ‐$                  Total Public Safety Buildings  ‐$                  K Recreation Centers and Senior Center ‐$                  L Civic Center and South Chula Vista Libraries ‐$                  M Other Public Facilities (i.e. Animal Care Facility & Living Coast DC) 2,728,333$      Total Other Public Facilities  2,728,333$      N Sports Courts and Fields 400,000$         O Park Infrastructure 1,000,000$      P Street Pavement (Arterials/Collectors/Residential)‐$                  Q Traffic Signal System (Fiber Network) 1,500,000$      R Other Public Infrastructure (Storm Drains, Sidewalks, Trees etc) 2,226,813$      S Citywide Network Replacement ‐$                  T Citywide Telecommunications ‐$                  Total  Infrastructure  5,126,813$      Projects to be Financed through Annual Capital Lease Payments U Police Communications & Dispatch System 170,240$         V Regional Communications System (RCS) 345,262$         W Fire Response Vehicles 780,000$         Total Public Safety Capital Lease Pmts 1,295,502$      TOTAL EXPENDITURES 10,787,023$    Bond Debt Service: AB Debt Service Principal 6,485,000$      AC Debt Service Interest 1,022,250$      TOTAL DEBT SERVICE 7,507,250$      Administrative Expenses: AD Audit/Admin 505,631$         AE Bond Administration 7,545$              TOTAL ADMINISTRATIVE EXPENSES 513,176$         Measure P Citywide Infrastructure, Facilities and Equipment Expenditure Plan 1/2 cent Sales Tax Revenues over 10 year period Summary Table as of 12/31/23 10‐Year To Date To Date Total by Major Category  Timeframe Allocations Q1 Q2 Q3 Q4 Totals REVENUES: A Sales Tax Revenues 247,483,374$      168,955,027$      141,439,182$       ‐$                9,469,361$        ‐$                   ‐$                         150,908,543$       B Investment Earnings 3 ‐$                       ‐$                      5,238,407$           ‐$                 ‐$                   ‐$                   ‐$                         5,238,407$           C Miscellaneous ‐$                       ‐$                      239,646$              ‐$                 ‐$                   ‐$                   ‐$                         239,646$              Total Revenues 247,483,374$      168,955,027$      146,917,235$       ‐$                9,469,361$        ‐$                   ‐$                         156,386,595$       EXPENDITURES: D Fire Stations Repairs/Replacement 30,937,833$        30,937,833$        21,830,626$        95,288$          846,965$           ‐$                   ‐$                         22,772,880$         E Fire Response Vehicles 19,847,580$        17,164,131$        10,634,420$        372,792$        223,336$           ‐$                   ‐$                         11,230,548$         F Fire Safety Equipment 5,197,913$          1,743,216$          950,157$              ‐$                12,171$             ‐$                   ‐$                         962,328$              Total Fire Services 55,983,326$        49,845,180$        33,415,204$        468,080$        1,082,472$        ‐$                   ‐$                         34,965,756$         G Police Response Vehicles 12,951,470$        7,881,700$          6,295,769$          353,882$        336,649$           ‐$                   ‐$                         6,986,300$           H Public Safety Communication Systems 8,645,689$          6,423,463$          5,378,678$          374,704$         ‐$                   ‐$                   ‐$                         5,753,382$           I Police Facility Repairs 2,700,656$          2,700,656$          1,248,407$           ‐$                51,157$             ‐$                   ‐$                         1,299,564$           J Police Equipment 644,318$             541,101$             186,295$              ‐$                9,349$               ‐$                   ‐$                         195,644$              Total Police Services 24,942,133$        17,546,920$        13,109,150$        728,586$        397,156$           ‐$                   ‐$                         14,234,891$         K Streets 22,906,310$        22,906,310$        19,917,851$         ‐$                 ‐$                   ‐$                   ‐$                         19,917,851$         L Other Public Infrastructure 25,925,179$        21,471,552$        12,606,259$        10,716$          45,870$             ‐$                   ‐$                         12,662,845$         M Sports Fields and Courts 3,345,655$          2,945,655$          1,368,521$           ‐$                 ‐$                   ‐$                   ‐$                         1,368,521$           N Non‐Safety Vehicles 13,191,170$        13,191,170$        9,686,524$          424,170$        902,060$           ‐$                   ‐$                         11,012,754$         O Recreation and Senior Centers 27,737,071$        27,737,071$        25,737,784$        33,303$          49,409$             ‐$                   ‐$                         25,820,496$         P Civic Center and South Libraries 4,781,227$          4,781,227$          2,661,337$           ‐$                 ‐$                   ‐$                   ‐$                         2,661,337$           Q Other Public Facilities 11,701,789$        8,706,789$          4,457,304$          132,344$        28,998$             ‐$                   ‐$                         4,618,646$           R Traffic Signal Systems 7,000,000$          5,475,000$          4,677,021$          12,411$          207,214$           ‐$                   ‐$                         4,896,646$           S Park Infrastructure 12,367,201$        9,867,201$          6,135,744$          9,500$            84,184$             ‐$                   ‐$                         6,229,428$           T Citywide Network Replacement 2,082,334$          2,082,334$          2,082,334$           ‐$                 ‐$                   ‐$                   ‐$                         2,082,334$           U Citywide Telecommunications 4,357,602$          4,227,616$          3,537,783$           ‐$                 ‐$                   ‐$                   ‐$                         3,537,783$           Total Infrastructure 135,395,538$      123,391,925$      92,868,463$        622,443$        1,317,735$        ‐$                   ‐$                         94,808,641$         Total Allocations 216,320,997$      190,784,025$      139,392,816$      1,819,109$     2,797,363$        ‐$                   ‐$                         144,009,288$       V City Staff Time ‐$                       ‐$                      3,869,845$          24,070$          39,789$             ‐$                   ‐$                         3,933,704$           Total City Staff Time ‐$                      ‐$                      3,869,845$          24,070$          39,789$             ‐$                   ‐$                         3,933,704$           W Debt Service Principal & Interest 78,234,834$        55,712,084$        48,191,383$         ‐$                665,500$           ‐$                   ‐$                         48,856,883$         Total Debt Service Expenses 78,234,834$        55,712,084$        48,191,383$         ‐$                665,500$           ‐$                   ‐$                         48,856,883$         X Audit/Admin 48,773$               31,541$               83,058$                ‐$                1,581$               ‐$                   ‐$                         84,639$                Y Bond Administration 65,356$               42,264$               66,543$                ‐$                2,000$               ‐$                   ‐$                         68,543$                Z Banking/Investment Fees ‐$                       ‐$                      31,215$                ‐$                 ‐$                   ‐$                   ‐$                         31,215$                AA Cost of Issuance 563,210$             563,210$             553,023$              ‐$                 ‐$                   ‐$                   ‐$                         553,023$              Total Administrative Expenses 677,339$             637,015$             733,839$              ‐$                3,581$               ‐$                   ‐$                         737,420$              Total Expenditures 295,233,170$      247,133,124$      1    192,187,882$      2    1,843,179$     3,506,233$        ‐$                   ‐$                         197,537,295$       Notes: 1 Audited Total 2 Unaudited Total   3 Prior FY Totals Does not include audited 4404 Change in Value book entries Measure P Citywide Infrastructure, Facilities and Equipment Expenditure Plan 1/2 cent Sales Tax Revenues over 10 year period Summary Table as of 3/31/24 10‐Year To Date To Date Total by Major Category  Timeframe Allocations Q1 Q2 Q3 Q4 Totals REVENUES: A Sales Tax Revenues 247,483,374$      168,955,027$      141,439,182$       ‐$                9,469,361$       7,594,835$        ‐$                         158,503,378$       B Investment Earnings 3 ‐$                       ‐$                      5,238,407$           ‐$                 ‐$                   ‐$                   ‐$                         5,238,407$           C Miscellaneous ‐$                       ‐$                      239,646$              ‐$                 ‐$                  31,140$             ‐$                         270,786$              Total Revenues 247,483,374$      168,955,027$      146,917,235$       ‐$                9,469,361$       7,625,975$        ‐$                         164,012,571$       EXPENDITURES: D Fire Stations Repairs/Replacement 30,937,833$        30,937,833$        21,830,626$        95,288$          846,965$          2,079,843$        ‐$                         24,852,724$         E Fire Response Vehicles 19,847,580$        17,164,131$        10,634,420$        372,792$        223,336$          388,489$           ‐$                         11,619,037$         F Fire Safety Equipment 5,197,913$          1,743,216$          950,157$              ‐$                12,171$            56,072$             ‐$                         1,018,400$           Total Fire Services 55,983,326$        49,845,180$        33,415,204$        468,080$        1,082,472$       2,524,405$        ‐$                         37,490,161$         G Police Response Vehicles 12,951,470$        7,881,700$          6,295,769$          353,882$        336,649$          277,299$           ‐$                         7,263,599$           H Public Safety Communication Systems 8,645,689$          6,423,463$          5,378,678$          374,704$         ‐$                   ‐$                   ‐$                         5,753,382$           I Police Facility Repairs 2,700,656$          2,700,656$          1,248,407$           ‐$                51,157$             ‐$                   ‐$                         1,299,564$           J Police Equipment 644,318$             541,101$             186,295$              ‐$                9,349$               ‐$                   ‐$                         195,644$              Total Police Services 24,942,133$        17,546,920$        13,109,150$        728,586$        397,156$          277,299$           ‐$                         14,512,191$         K Streets 22,906,310$        22,906,310$        19,917,851$         ‐$                 ‐$                   ‐$                   ‐$                         19,917,851$         L Other Public Infrastructure 25,925,179$        21,471,552$        12,606,259$        10,716$          45,870$            21,056$             ‐$                         12,683,901$         M Sports Fields and Courts 3,345,655$          2,945,655$          1,368,521$           ‐$                 ‐$                   ‐$                   ‐$                         1,368,521$           N Non‐Safety Vehicles 13,191,170$        13,191,170$        9,686,524$          424,170$        902,060$          673,454$           ‐$                         11,686,208$         O Recreation and Senior Centers 27,737,071$        27,737,071$        25,737,784$        33,303$          49,409$            6,542$               ‐$                         25,827,037$         P Civic Center and South Libraries 4,781,227$          4,781,227$          2,661,337$           ‐$                 ‐$                   ‐$                   ‐$                         2,661,337$           Q Other Public Facilities 11,701,789$        8,706,789$          4,457,304$          132,344$        28,998$            109,120$           ‐$                         4,727,765$           R Traffic Signal Systems 7,000,000$          5,475,000$          4,677,021$          12,411$          207,214$          396$                  ‐$                         4,897,042$           S Park Infrastructure 12,367,201$        9,867,201$          6,135,744$          9,500$            84,184$            212,650$           ‐$                         6,442,078$           T Citywide Network Replacement 2,082,334$          2,082,334$          2,082,334$           ‐$                 ‐$                   ‐$                   ‐$                         2,082,334$           U Citywide Telecommunications 4,357,602$          4,227,616$          3,537,783$           ‐$                 ‐$                   ‐$                   ‐$                         3,537,783$           Total Infrastructure 135,395,538$      123,391,925$      92,868,463$        622,443$        1,317,735$       1,023,217$        ‐$                         95,831,858$         Total Allocations 216,320,997$      190,784,025$      139,392,816$      1,819,109$     2,797,363$       3,824,921$        ‐$                         147,834,209$       V City Staff Time ‐$                       ‐$                      3,869,845$          24,070$          39,789$            64,381$             ‐$                         3,998,085$           Total City Staff Time ‐$                      ‐$                      3,869,845$          24,070$          39,789$            64,381$             ‐$                         3,998,085$           W Debt Service Principal & Interest 78,234,834$        55,712,084$        48,191,383$         ‐$                665,500$           ‐$                   ‐$                         48,856,883$         Total Debt Service Expenses 78,234,834$        55,712,084$        48,191,383$         ‐$                665,500$           ‐$                   ‐$                         48,856,883$         X Audit/Admin 48,773$               31,541$               83,058$                ‐$                1,581$              1,445$               ‐$                         86,084$                Y Bond Administration 65,356$               42,264$               66,543$                ‐$                2,000$               ‐$                   ‐$                         68,543$                Z Banking/Investment Fees ‐$                       ‐$                      31,215$                ‐$                 ‐$                   ‐$                   ‐$                         31,215$                AA Cost of Issuance 563,210$             563,210$             553,023$              ‐$                 ‐$                   ‐$                   ‐$                         553,023$              Total Administrative Expenses 677,339$             637,015$             733,839$              ‐$                3,581$              1,445$               ‐$                         738,865$              Total Expenditures 295,233,170$      247,133,124$      1    192,187,882$      2    1,843,179$     3,506,233$       3,890,747$        ‐$                         201,428,042$       Notes: 1 Audited Total 2 Unaudited Total   3 Prior FY Totals Does not include audited 4404 Change in Value book entries CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND FOR THE YEAR ENDED JUNE 30, 2023 REPORT ON COMPLIANCE WITH THE INFRASTRUCTURE, FACILITIES AND EQUIPMENT EXPENDITURE PLAN CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND Report on Compliance with the Infastructure, Facilities and Equipment Expenditure Plan June 30, 2023 CITY OF CHULA VISTA, CALIFORNIA 2016 MEASURE P SALES TAX FUND Report on Compliance with the Infastructure, Facilities and Equipment Expenditure Plan June 30, 2023 Table of Contents Page Number Independent Auditors’ Report on Compliance with Applicable Requirements and on Internal Control Over Compliance ............................................................................................................ 1 Schedules of 2016 Measure P Sales Tax Fund: Balance Sheet Schedule ...................................................................................................................................... 4 Schedule of Revenues, Expenditures and Changes in Fund Balance ................................................................ 5 1611 E. Fourth Street, Suite 200 Santa Ana, CA 92701 (714) 569-1000 203 N. Brea Blvd, Suite 203 Brea, CA 92821 (714) 672-0022 21 Waterway Avenue, Suite 30089 The Woodlands, TX 77380 (936) 828-4587 2151 River Plaza Dr., Suite 150 Sacramento, CA 95833  (916) 503-9691 24422 Avenida de la Carlota, Suite 275 Laguna Hills, CA 92653 (949) 829-8299 www.lslcpas.com ,NDEPENDENT A8D,T2RS¶ REP2RT 2N C20PL,ANCE W,TH APPL,CABLE RE48,RE0ENT AND 2N ,NTERNAL C2NTR2L 29ER C20PL,ANCE To the HonoraEle 0ayor and 0emEers oI the City Council City oI Chula 9ista, CaliIornia 5HSRUW RQ &RPSOLDQFH    Opinion on the 2016 Measure P Sales Tax Fund   We have audited the comSliance oI the 2016 0easure P Sales Ta[ Fund oI the City oI Chula 9ista, CaliIornia (the ³City´) with the reTuirements descriEed in 2rdinance No. 3371 (³the 2rdinance´) and the ,nIrastructure, Facilities and ETuiSment E[Senditure Plan (³the SSending Plan´) Ior the year ending -une 30, 2023. ,n our oSinion, the City comSlied, in all material resSects, with the tySes oI comSliance that could have a direct and material eIIect on the reTuirements reIerred to aEove aSSlicaEle to the City Ior the year ended -une 30, 2023. Basis for Opinion We conducted our audit oI comSliance in accordance with auditing standards generally acceSted in the 8nited States oI America (*AAS) the standards aSSlicaEle to Iinancial audits contained in Government Auditing Standards, issued Ey the ComStroller *eneral oI the 8nited States and the reTuirements descriEed in the 2rdinance and the SSending Plan. 2ur resSonsiEilities under those standards are Iurther descriEed in the Auditor¶s ResSonsiEilities Ior the Audit oI ComSliance section oI our reSort. We are reTuired to Ee indeSendent oI the City, and to meet our other ethical resSonsiEilities, in accordance with relevant ethical reTuirements relating to our audit. We Eelieve the audit evidence we have oEtained is suIIicient and aSSroSriate to Srovide a Easis Ior our oSinion. 2ur audit does not Srovide a legal determination oI the City¶s comSliance with the comSliance reTuirements reIerred to aEove. Responsibilities of Management for Compliance 0anagement is resSonsiEle Ior comSliance with the reTuirements reIerred to aEove and Ior the design, imSlementation, and maintenance oI eIIective internal control over comSliance with the reTuirements oI laws, statutes, regulations, rules, and Srovisions oI contracts or grant agreements aSSlicaEle to the 2rdinance and the SSending Plan. Auditor’s Responsibilities for the Audit of Compliance   2ur oEMectives are to oEtain reasonaEle assurance aEout whether material noncomSliance with the comSliance reTuirements reIerred to aEove occurred, whether due to Iraud or error, and e[Sress an oSinion on the City¶s comSliance Eased on our audit. ReasonaEle assurance is a high level oI assurance Eut is not aEsolute assurance and thereIore is not a guarantee that an audit conducted in accordance with *AAS, Government Auditing Standards, the 2rdinance, and the SSending Plan will always detect material noncomSliance when it e[ists. To the Honorable Mayor and Members of the City Council City of Chula Vista, California The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the City’s compliance with the requirements of the Ordinance and the Spending Plan as a whole. In performing an audit in accordance with GAAS, Government Auditing Standards, and the Ordinance and the Spending Plan, we:  Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the City's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances.  Obtain an understanding of the City’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Ordinance and the Spending Plan, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control over compliance. Accordingly, no such opinion is expressed. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. Report on Internal Control Over Compliance A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a compliance requirement will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. Given these limitations, during our audit we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that have not been identified. Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed. 2 To the Honorable Mayor and Members of the City Council City of Chula Vista, California Purpose of this Report The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements described in the Ordinance and the Spending Plan. Accordingly, this report is not suitable for any other purpose. Brea, California December 28, 2023 3 Pooled cash and investments 22,480,700$ Accrued interest receivable 126,910 Due from other funds 4,918,533 Prepaid expenses 170,238 Total Assets 27,696,381$ LIABILITIES AND FUND BALANCE: Liabilities: Accounts payable 1,198,916$ Retention payable 1,259,132 Total Liabilities 2,458,048 Nonspendable - prepaid costs 170,238 Assigned for Measure P Sales Tax 25,068,095 Total Fund Balance 25,238,333 Total Liabilities and Fund Balance 27,696,381$ CITY OF CHULA VISTA Fund Balance: ASSETS: June 30, 2023 Balance Sheet Schedule 2016 MEASURE P SALES TAX FUND 4 Schedule of Revenues, Expenditures and Changes in Fund Balance For the Year Ended June 30, 2023 REVENUES: Local sales and use tax 28,286,339$ Use of money and property 548,992 Miscellaneous 468 Total Revenues 28,835,799 EXPENDITURES: Contracted services 42,226 Equipment and shared infrastructure costs 307,299 Capital outlay 23,226,473 Debt service: Principal retirement 1,165,140 Interest and fiscal charges 110,183 Total Expenditures 24,851,321 EXCESS (DEFICIENCY) OF REVENUES OVER (UNDER) EXPENDITURES 3,984,478 OTHER FINANCING SOURCES (USES): Transfers Out - Municipal Financing Authority Fund (7,809,303) Total Other Financing Sources (Uses)(7,809,303) Net Change in Fund Balance (3,824,825) FUND BALANCE - BEGINNING 29,063,158 FUND BALANCE - ENDING 25,238,333$ 2016 MEASURE P SALES TAX FUND CITY OF CHULA VISTA 5