HomeMy WebLinkAboutTC Agenda Packet 2017-02-15 TOWN OF TIBURON Regular Meeting
Tiburon Town Hall. Tiburon Town Council
1505 Tiburon Boulevard February 15,2017
Tiburon, CA 94920 7:30 P.M.
TIBURON
TOWN COUNCIL
AGENDA
CALL TO ORDER AND ROLL CALL
Councilmember Doyle, Councilmember Fredericks, Councilmember Tollini, Vice Mayor
O'Donnell,Mayor Fraser
ANNOUNCEMENT OF ACTION TAKEN IN CLOSED SESSION IF ANY
ORAL COMMUNICATIONS
Persons wishing to address the Town Council on subjects not on the agenda may do so at this
time. Please note however, that the Town Council is not able to undertake extended discussion
or action on items not on the agenda. Matters requiring action will be referred to the appropriate
Commission, Board, Committee or staff for consideration or placed on a future Town Council
meeting agenda. Please limit your comments to three(3)minutes.
CONSENT CALENDAR
All items on the Consent Calendar may be approved by one motion of the Town Council unless a
request is made by a member of the Town Council,public or staff to remove an item for separate
discussion and consideration. If you wish to speak on a Consent Calendar item, please seek
recognition by the Mayor and do so at this time.
CC-1. Town Council Minutes - Adopt minutes of January 18, 2017 meeting (Town Clerk
Stefani)
CC-2. Town Council Minutes - Adopt minutes of February 1, 2017 meeting (Town Clerk
Stefani)
ACTION ITEMS
AI-1. Trestle Trail Update- Approve final Trestle Trail design and authorize solicitation of
bids(Department of Public Works)
AI-2. Town Audit Report-Recommendation to accept and file the Town's Fiscal Year 2015-
16 Basic Financial Statements and Independent Auditor's Report (Director of
Administrative Services Bigall)
TOWN COUNCIL REPORTS
TOWN MANAGER REPORT
WEEKLY DIGESTS
• Town Council Weekly Digests-February 3&r 10,2017
ADJOURNMENT
GENERAL PUBLIC INFORMATION
ASSISTANCE FOR PEOPLE WITH DISABILITIES
In compliance with the Americans with Disabilities Act, if you need special
assistance to participate in this meeting,please contact the Town Clerk at(415)435-
7377. Notification 48 hours prior to the meeting will enable the Town to make
reasonable arrangements to ensure accessibility to this meeting.
AVAILABILITY OF INFORMATION
Copies of all agenda reports and supporting data are available for viewing and
inspection at Town Hall and at the Belvedere-Tiburon Library located adjacent to
Town Hall. Agendas and minutes are posted on the Town's website,
www.townoftiburon.org.
Upon request, the Town will provide written agenda materials in appropriate
alternative formats, or disability-related modification or accommodation, including
auxiliary aids or services, to enable individuals with disabilities to participate in
public meetings. Please send a written request, including your name, mailing
address, phone number and brief description of the requested materials and
preferred alternative format or auxiliary aid or service at least 5 days before the
meeting. Requests should be sent to the Office of the Town Clerk at the above
address.
PUBLIC HEARINGS
Public Hearings provide the general public and interested parties an opportunity to
provide testimony on these items. If you challenge any proposed action(s) in court,
you may be limited to raising only those issues you or someone else raised at the
Public Hearing(s) described later in this agenda, or in written correspondence
delivered to the Town Council at,or prior to,the Public Hearing(s).
TIMING OF ITEMS ON AGENDA
While the Town Council attempts to hear all items in order as stated on the agenda,
it reserves the right to take items out of order. No set times are assigned to items
appearing on the Town Council agenda.
TOWN COUNCIL
SPECIAL AND REGULAR MEETING
DRAFT MINUTES
CALL TO ORDER
ayor Fraser called the specla ting of the Tiburon Town Council to order at 6:45 p.m. on
Wednesday, January 18, 2017, in To n Council Chambers, 1505 Tiburon Boulevard, Tiburon,
alifornia.
ROLL CALL
PRESENT: COUNCILMEMBERS: Doyle, Fraser, Fredericks, O'Donnell, Tollini
PRESENT: EX OFFICIO: Town Manager Chanis, Town Attorney Stock
ORAL COMMUNICATIONS
None.
ACTION ITEM
1. Designating Town's Labor Negotiator under Government Code Section 54957.6:
Recommend designating Mayor Fraser as the designated representative with respect to
labor negotiations with the Town Manager
MOTION: To designate the Mayor as the designated representative with respect to
labor negotiations with the Town Manager.
Moved: O'Donnell, seconded by Fredericks
Vote: AYES: Unanimous
The Council convened into closed session.
CLOSED SESSION
Public Employee Performance Review: Government Code Section 54957
Title: Town Manager
Conference with Labor Negotiators: Government Code Section 54957
Agency designated representative: Mayor Fraser
Unrepresented Employee: Town Manager
Mayor Fraser said the closed session will reconvene after the regular meeting adjourns and there
was nothing to announce.
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page I
CALL TO ORDER
Mayor Fraser called the regular meeting of the Tiburon Town Council to order at 7:3 8 p.m.
on Wednesday, January 18, 2017, in Town Council Chambers, 1505 Tiburon Boulevard,
Tiburon, California.
ROLL CALL
PRESENT: COUNCILMEMBERS: Doyle, Fraser, Fredericks, O'Donnell, Tollini
PRESENT: EX OFFICIO: Town Manager Chanis, Town Attorney Stock,
Director of Community Development Anderson,
Director of Public Works/Town Engineer Barnes,
Chief of Police Cronin, Town Clerk Stefani
ORAL COMMUNICATIONS
None.
CONSENT CALENDAR
1. Town Council Minutes—Adopt minutes of December 12,2016 special meeting(Town
Clerk Stefani)
2. Town Council Minutes — Adopt minutes of January 4, 2017 special meeting (Town
Clerk Stefani)
Councilmember Tollini made a correction to Item No. AI-2,page 5,paragraph 6,to read: "She said
the cost would have to be approved initially and if it increases, there would be another vote."
3. Vacancies on Town Boards, Commissions and Committees — Announce pending
vacancies in 2017 (Town Clerk Stefani)
4. Annual Development Fee Report—Receive annual report on the status of the Town's
Development Impact Fees pursuant to the California Government Code (Community
Development Department)
5. Traffic Mitigation Fee Report — Receive annual report and resolution (Community
Development Director Anderson)
6. Town Investment Summary — Adopt report for month ending December 31, 2016
(Director of Administrative Services Bigall)
7. Storm Drain Rehabilitation—Consider award of design contract for the design of the
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 2
2017 Storm Drain Rehabilitation Project (Director of Public Works Barnes)
Councilmember Tollini asked how many storm drain segments had been inspected and cleaned.
Director of Public Works Barnes replied that 25 were completed.
8. Tiburon Tourism Business Improvement District—Accept report and adopt resolution
of intention to levy assessments (Town Manager Chanis)
MOTION: To adopt Consent Calendar Items 1-8, as amended.
Moved: O'Donnell, Doyle
Vote: AYES: Unanimous
INTRODUCTION OF NEW TOWN EMPLOYEE
1. Liz Kerslake, Community Development Aide
Director of Community Development Anderson introduced Liz Kerslake, new Community
Development Aide. He said she is a third-generation Marin County resident, and lives in Tiburon.
She serves on the Board of Directors for the Belvedere-Tiburon Landmarks Society, and has
experience as a legal secretary,an office manager and a property manager. Ms. Kerslake said she is
pleased to join the Town of Tiburon and looks forward to working with everyone for a long time.
ACTION ITEMS
1. Regulation of Marijuana — Receive staff report and provide guidance on regulating
marijuana subsequent to the passage of Proposition 64 (Town Attorney Stock)
Town Attorney Stock gave the staff report.He said Proposition 64(Control,Regulate and Tax Adult
Use of Marijuana Act)passed in the November 2016 election overwhelmingly in California.He said
many municipalities are now enacting ordinances to deal with the legal use of recreational marijuana.
Stock said Proposition 64 allows the possession of concentrated and non-concentrated marijuana,
and allows an individual (21+)to cultivate up to six marijuana plants inside a private residence for
personal use. Proposition 64 also allows for the commercial sale of recreational marijuana if
operators obtain a state license and comply with local ordinances.He said the State of California will
likely begin issuing these licenses for commercial sale of recreational marijuana no earlier than
January 2018.
Stock stated Staff was requesting guidance before drafting an ordinance for first review by the
Planning Commission. He said the Town should decide to either ban recreational marijuana
businesses entirely or develop a system to deal with them as they arise. He stated that the Town can
prohibit recreational marijuana businesses, but the ban must be expressly codified prior to 2018.
He requested Council consider the following matters for discussion:
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 3
1) Commercial Businesses—does Council desire to allow recreational marijuana businesses
to operate in Tiburon? The Town currently prohibits medical marijuana commercial
operations. Council may choose to make a distinction with recreational marijuana.This
will pose the question of how to control the types of outfits and facilities that may arise.
Or Council may choose to impose an express ban on recreational marijuana commercial
operations.
2) Cultivation—the new law allows individuals to grow up to six marijuana plants inside a
private residence. The Town cannot impose a ban on interior cultivation, but can enact
bans or regulations relating to health and safety concerns relating to the cultivation of
those plants. Some cities have enacted a regulatory regime, requiring permits and
inspections. Cities are, however, entitled to ban outdoor cultivation of plants.
3) Delivery — the new law takes away local police power to ban marijuana delivery
movement through the public streets of a municipality, but it does retain discretion to
regulate or prohibit delivery stops in that municipality's jurisdiction. The Town of
Tiburon does not currently ban medical marijuana deliveries,but does have the authority
to ban recreational marijuana deliveries.
Stock said that after Council provides feedback, Staff will take a draft ordinance to the Planning
Commission before bringing the ordinance back to Council for approval and adoption at a later date.
He concluded his report an invited questions from the Council.
Councilmember Fredericks asked what the Town must do,at minimum,to conform to the new state
law. Could they simply amend the current ordinance to accommodate any changes?Would they have
to change the medical marijuana delivery laws already in place?Town Attorney Stock said the Town
would not have to change the medical marijuana ordinance already in place, but Council should
decide if recreational marijuana would also be encompassed within those restrictions. He further
clarified that if there were no ordinance in place,recreational marijuana delivery would be legal in
Tiburon.If the Town wants to prohibit recreational marijuana commercial establishments,the Town
would need to "enact a prohibition."
Councilmember Tollini clarified that at a minimum, Tiburon must allow the interior cultivation of
six marijuana plants.
Fredericks asked how feasible it would be to distinguish a medical marijuana delivery versus a
recreational marijuana delivery. Stock commented that the State will have an enforcement arm to
ensure deliveries comply with local restrictions.
Fredericks confirmed that Council did not need to address the general issue of marijuana possession.
She said Council only needed to address recreational marijuana delivery, the enforcement and
regulation of interior cultivation,and outdoor cultivation. Stock confirmed,and further clarified that
the cultivation of six interior plants will be legal under state law,but the regulation of that cultivation
Town Council Minutes DRAFT 1#xx-2017 January 18, 2017 Page 4
is up for discussion. He also added that Council should decide whether or not to allow recreational
marijuana commercial activities.
Vice Mayor O'Donnell commented that the Town already has a prohibition on the commercial sale
of medical marijuana,and suggested simply amending the ordinance to add"recreational marijuana"
verbiage. Stock confirmed that could be worked into the existing ordinance.
Mayor Fraser asked for a clarification as to the process of adopting this ordinance. Stock said the
Planning Commission will review the draft ordinance first as a zoning amendment,will hold a public
hearing, and then make a recommendation to the Town Council.
Fraser asked if there were any"best practices"from other municipalities.Stock said there were many
different ordinances to consider, but the biggest and most difficult issue to address is the
enforcement of a permit regime.He said interior cultivation could be subject to some criteria,but the
enforcement of a permit would be difficult.
Fraser asked if the Town would lose the option to amend or adjust their decision. Stock said the
Town would not lose the ability to change their decision in regards to cultivation,but would lose its
ability to expressly ban recreational marijuana commercial activities in 2018.
Mayor Fraser opened the floor for public comment. There was none.
Councilmember Fredericks said Council should make the minimal changes necessary to the current
ordinance to comply with new state laws, and said Council should carefully review options to
regulate with fair balance. She commented that many of those conducting research on the medical
uses of marijuana now have an interest in the industry, and expressed concern that businesses may
not be as forthcoming as they should be about the medical impacts of the products they are
distributing. She said there is addiction potential in the recreational use of marijuana, but said she
hoped that those who have legitimate medical uses for marijuana have adequate access.
Vice Mayor O'Donnell said the Town should amend the existing ordinance to include prohibition of
commercial sale of recreational marijuana. He said the Town should not be involved in policing
compliance with the allowable cultivation of six plants, but there are safety concerns with interior
cultivation: makeshift apparatuses, growing lamps, and faulty wiring in homes. He added that the
growers might even be renting the property. He said these considerations, as well as the"up to six
plants" State regulation, should be included in the final ordinance, due to safety concerns.
O'Donnell asked about the Town's current policy on medical marijuana delivery. Stock replied that
medical marijuana delivery is legal in Tiburon, and further clarified that both medical and
recreational marijuana deliveries require a state license.
O'Donnell asked if there was a maximum amount of marijuana a delivery-person can carry. Stock
said the State will create a maximum, but municipalities could limit how much is delivered to a
residence at a time. He said cities have done this with the intention of reducing potential crime.
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 5
O'Donnell commented that delivery restrictions may be difficult to enforce.
Councilmember Doyle agreed that the amended ordinance should accommodate the new laws. He
agreed that delivery enforcement would be difficult,but questioned allowing recreational marijuana
delivery while prohibiting commercial activity. Stock confirmed that Doyle was suggesting
continuing to allow medical marijuana delivery, but prohibiting recreational marijuana delivery.
Doyle acknowledged that it would be difficult to enforce that regulation,and asked Chief of Police
Cronin for his opinion on the matter.
Chief Cronin said the maximum allowable amount of plants grown inside a residence is manageable
—but any more would pose fire safety risk. He added that if there were limitations to the allowable
amount to carry and deliver,the likelihood of crime and related crime would be lessened. He said a
delivery-person carrying excess quantities of marijuana might be at a higher risk of robbery or other
crime. He added outdoor cultivation could pose a similar public safety hazard if the plants were
easily visible, and suggested including a regulation that outdoor cultivation of marijuana plants
should be out of public view. He added that some limitations make sense, but in his experience,
medical marijuana deliveries are inconspicuous and don't pose many hazards.
Councilmember Doyle noted that medical marijuana deliveries are helpful to those that need it,but
recreational marijuana delivery could have the potential to cause a public safety issue.
Vice Mayor O'Donnell asked Chief Cronin if he had a suggested cap on allowable quantity.Cronin
said he would have to research what other communities have done,but said the State of California
will develop a limit.
Mayor Fraser said he was in support of banning delivery of recreational marijuana.He acknowledged
that it would be difficult to enforce, but said he thought it would be better for the community.
Councilmember Fredericks asked if Tiburon's ordinance allowed medical delivery just because it is
not expressly prohibited. Town Attorney Stock said the ordinance expressly allows medical
marijuana delivery.
Councilmember Tollini agreed that commercial businesses should be prohibited (medical and
recreational alike)and outdoor cultivation should also be prohibited.She suggested researching what
other municipalities have done to ensure indoor cultivation is done safely. She said until the State
provides a maximum deliverable amount of recreational marijuana, the Town should prohibit.
Councilmember Fredericks said there had been some discussion to constraining medical marijuana
deliveries in that the delivery could only be accepted by a caretaker. She asked that this be explored
in a future staff report.
Mayor Fraser agreed with his colleagues. He supported tightening regulations on commercial
establishments, prohibiting outdoor cultivation and exploring safety regulations on indoor
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 6
cultivation. He also supported banning recreational marijuana deliveries in Town, and said that
regulation could be adjusted if necessary.
No action taken.
2. Town Council Board and Committee Assignments—Adopt updated list of Town Council
Committees and board representation for 2017 (Mayor Fraser)
Town Manager Chanis gave the staff report. He said it is now timely for the annual review of Town
Council Board and Committee Assignments to make any necessary updates. He recommended
disbanding three ad-hoc committees: Dairy Knoll, Seasonal Rental,and Yellow Bus Challenge.He
also requested Council consider creating two new ad-hoc committees: Shared Services(to research
cost-savings potential of shared services with other public entities) and Utility Undergrounding
Assessment District Policy(to review and revise the existing policy). He also noted one change in
the Affordable Housing ad-hoc committee:Mayor Fraser will be taking Councilmember Fredericks'
place. He concluded his staff report.
Mayor Fraser said he would like to serve on the new Shared Services ad-hoc committee.
Vice Mayor O'Donnell commented that the Tiburon Boulevard Relinquishment ad-hoc committee
had not met for several years. Chanis said the committee was left on the list because there has not yet
been closure to discussions on relinquishment. He said Staff would be amenable to disbanding the
committee. O'Donnell suggested "agendizing" the matter for a future Council meeting to make a
final decision.
Councilmember Fredericks asked for a status update on the Relinquishment project. Chanis said the
next step would have required a significant monetary expenditure, which is why the project has
stalled. Mayor Fraser suggested adding the item to the retreat agenda for further discussion.
Councilmember Tollini recommended Mayor Fraser take her place on the Legislative Action ad-hoc
committee, as that position is usually filled by the Mayor. He agreed.
Mayor Fraser opened the floor for public comment. There was none.
Vice Mayor O'Donnell offered to serve on the Utility Undergrounding Committee.
Councilmember Doyle offered to serve on the Shared Services committee.
Councilmember Tollini offered to serve on the Utility Undergrounding Committee.
MOTION: To adopt the Town Council Committee Appointments list,with revisions and updates
for 2017.
Moved: Fredericks, seconded by Tollini
Vote: AYES: Unanimous
PUBLIC HEARINGS
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 7
1. Zoning Text Amendments—Consider amendments to Title IV,Chapter 16(Zoning)of the
Tiburon Municipal Code Related to Secondary (Accessory) Dwelling Units and Junior
Accessory Dwelling Units and Adoption of Revised Standards for the Review of Accessory
Dwelling Units and Junior Accessory Dwelling Units;Introduction of Ordinance for Zoning
Text Amendments; Adoption of Resolutions Revising Standards; File MCA2016-06
(Community Development Department)—Introduction and reading of ordinance
Director of Community Development Anderson gave the staff report.He said the State of California
adopted legislation in 2016 with the intention of increasing affordable housing opportunities
throughout the state;these laws altered the local regulatory landscape for Accessory Dwelling Units
(ADU) and created a required framework for Junior Accessory Dwelling Units.
He highlighted several changes that must be made to local regulations:units must be called accessory
dwelling units,there may be no minimum lot size restriction,and there are increased limitations on
local regulations on maximum unit size. He said the Town is also limited in its ability to regulate
units created from existing floor space and the Town cannot require extra parking for those units or
for any accessory dwelling unit located within a 1/2 mile radius of public transit.
Director Anderson said a conservative reading of the statute does not afford local governments the
option to impose a smaller "maximum size" of the unit, but a guidance document released by the
State Department of Housing and Community Development does.This document suggests adopting
a"maximum size"between 800-1200 square feet.He said Tiburon has historically adopted smaller
size restrictions than allowed by State law, and said he believed there may be some community
discomfort if accessory dwelling units of 1,200 square feet were permitted without any review.
Director Anderson suggested the following square footage maximums: for an accessory dwelling
unit built as part of new construction or an addition, 1000 sq. feet maximum; for an accessory
dwelling unit comprised of already-existing floor space, 800 sq. feet maximum.
He said the Planning Commission had reviewed this item at a public hearing on December 13,2016,
and recommended adoption of ordinance, and the two resolutions adopting revised standards. He
concluded his staff report and invited questions from the Council.
Councilmember Fredericks asked about the imposition of an 800 square foot maximum size for an
ADU made from floor space in an existing home or out-building. She wondered why the Town
would impose a greater restriction than allowed by the state statute considering the size of some
Tiburon homes. She inquired if there would be an advantage to allowing the State-imposed 1200 sq.
foot maximum.
Director Anderson said the Town's current square footage restriction (500 sq. feet) would now be
considered excessively burdensome, but to increase the allowable size to 1200 sq. feet would be a
large difference, and may cause some community discomfort. He said the imposition of an 800 sq.
feet maximum would be a reasonable mid-point.
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 8
Fredericks asked what might prevent a homeowner from moving into the smaller ADU,and renting
out their larger home. Anderson said that would be acceptable, and perhaps desirable. The Town
requires only that one of the units be owner-occupied; it does not specify which unit.
Councilmember Tollini asked if the deed restriction requirement prevented future owners of the
home from converting the unit space back into regular space. Anderson said it did not,but if a new
homeowner did choose to keep the ADU, they would need to abide by the restrictions.
Councilmember Doyle inquired about the 1000 sq. foot restriction. He wondered what the benefit
was to imposing a 1000 sq. foot maximum vs. a 1200 sq. foot maximum. Anderson said there had
been concerns in the past over the size of the units and how many people were occupying the unit,
which in turn,impacts how many vehicles might be on the street.He said it was a defensive measure
as no parking can now be required for the accessory units.
Vice Mayor O'Donnell asked if the Fire Department would require sprinklers in the separate unit or
if the unit would be subject to separate meter fees from MMWD. Anderson said the State had gone
to great lengths to eliminate extra fees imposed by utilities and special districts. He added that it
would be fairly easy to create a unit from existing floor space without triggering the threshold for
installing sprinklers.
Councilmember Doyle said he did not agree with imposing regulations based on the rare event that a
regulation would not be adhered to. He commented that the Town would be going to a lot of trouble
to regulate only 200 square feet. He wondered what would be required if an individual wanted to
apply for a 1200-square foot unit. Would it require a Variance? Design Review Board action?
Vice Mayor O'Donnell commented that some communities in Tiburon have smaller homes on small
lots,and on a lot of that small size,a 1,200 square foot accessory dwelling unit would be quite large.
Councilmember Fredericks added that more vehicles on the street would create parking and traffic
problems,particularly in the areas of Tiburon with narrower streets. She said these problems affect
many of people every day. The thought the extra regulation was appropriate.
Mayor Fraser opened floor to public comment. There was none.
MOTION: To introduce the ordinance and read by title only,waiving further reading, schedule
for adoption at the next regular meeting and motion to hold a roll call vote on the
introduction of the ordinance, as written.
Moved: Fredericks, seconded by Tollini
Vote: AYES: Unanimous
Mayor Fraser read "An Ordinance of the Town Council of the Town of Tiburon Amending
Municipal Code Title IV, Chapter 16 (Zoning) by Making Various Text Amendments Related to
Accessory Dwelling Units and Junior Accessory Dwelling Units".
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 9
ROLL CALL VOTE: AYES: Doyle, Fraser, Fredericks, O'Donnell, Tollini
MOTION: Adopt two attached resolutions setting forth revised standards to be applied during
the review of applications for Accessory Dwelling Unit and Junior Accessory
Dwelling Unit.
Moved: Fredericks, seconded by O'Donnell
Vote: AYES: Unanimous
TOWN COUNCIL REPORTS
Councilmember Fredericks brought AB2395 to the Council's attention, brought forth by utility
companies. She said it was a bill to phase out landlines. She said the bill fails to address several
important items important to local jurisdictions: existing infrastructure and areas that do not have
cell tower coverage.
TOWN MANAGER REPORTS
None.
WEEKLY DIGESTS
Received.
ADJOURNMENT
There being no further business before the Town Council of the Town of Tiburon, Mayor Fraser
adjourned the meeting at 8:45 p.m. and reconvened the Special Meeting to continue the closed
session.
Mayor Fraser reported out of the closed session that direction was given to the Mayor for
negotiating the Town Manager's Employment Agreement and there was no reportable action and
adjourned the special meeting at 8:55 p.m.
JIM FRASER, MAYOR
ATTEST:
LEA STEFANI, TOWN CLERK
Town Council Minutes DRAFT#xx-2017 January 18, 2017 Page 10
TOWN COUNCIL
DRAFT MINUTES
CALL TO ORDER
r`Traser cca—He—rth gular me ' g of the Tiburon Town Council to order at 7:30 p.m.
Con Wednesday, February 1, 2017, in To n Council Chambers, 1505 Tiburon Boulevard, Tiburon,
California.
ROLL CALL
PRESENT: COUNCILMEMBERS: Fraser, Fredericks, O'Donnell, Tollini
ABSENT: COUNCILMEMBERS: Doyle
PRESENT: EX OFFICIO: Town Manager Chanis, Town Attorney Stock,
Director of Community Development Anderson,
Director of Administrative Services Bigall, Chief of
Police Cronin, Management Analyst Creekmore,
Associate Planner O'Malley, Town Clerk Stefani
ORAL COMMUNICATIONS
Mayor Fraser said the Council was aware that multiple members of the public wished to address
them regarding ferry service between Tiburon and San Francisco. He reminded attendees that the
Council would not be able to discuss any comments,as the matter was not part of the agenda.Town
Manager Chanis also referred Council to a letter received from Blue & Gold Fleet earlier that
afternoon. Mayor Fraser opened the floor.
A Barn Road resident and 27-year ferry commuter expressed frustration about the commuter ferry
service. He said commuters have been told the issues of transferring service between Blue& Gold
Fleet and Golden Gate Bridge District would be resolved, but the date of expected conversion is
continually pushed back, and poor service remains. He said it was disturbing to see reports of
dramatically different versions of events from the parties involved.He implored the Town Council to
help find a solution and help their fellow residents and commuters.
Holly Hudson,Mercury Avenue,said she was a longtime public transit rider. She said Tiburon needs
a ferry alterative for San Francisco commuters because the only bus route does not operate around
standard commute times. She said commuters need a clean,reliable boat with prompt service as the
ferry-riders have had in the past.
A Mar West Street resident said the poor service is adversely affecting many lives:people are late to
work in the morning, and late to see their families in the evening. He presented a petition to the
Town Council DRAFT Minutes #xx-2017 February 1, 2017 Page 1
Council of 177 names of citizens who are requesting Council and the Town to hire a mediator to
resolve the issues between the parties involved.
An Avenida Miraflores resident presented a petition with 348 signatures of impacted citizens. She
said the ferry service needs to transfer to Golden Gate Ferry,and an equivalent schedule needs to be
implemented. She said the current schedule does not allow her to spend a full working-day in the
office,and she now must do more work in the evening at home. She said this ferry service is harming
downtown commercialism and will impact the Ranch's ability to transport children to summer camp.
She said the Council needs to take an active role in resolving these issues.
Bobby Bassman, Juno Road,praised the Golden Gate Bridge District for taking over Tiburon ferry
service as part of their efforts to keep cars off of the Golden Gate Bridge. He said 144 delays had
occurred over the last six months,causing significant negative impacts in the community.He did not
believe that Angel Island Ferry's safety issue claims were well-founded.He trusted the Golden Gate
Bridge District Board to look out for the best interests of their vessels and passengers.
Victor Wong,Lagoon View Drive,said the commuter ferry operating in a timely manner has a large
impact on the community and traffic and Council should step in. He said many of the issues that
have arisen could be mitigated if Council would help mediate and find a resolution for the parties.
A Juno Road resident said she was here to support her friends who are ferry commuters. She hoped
Council would listen to the messages,and take a leadership role in finding a solution. She said these
issues have negatively impacted community lives and commerce in Town.
SG Ellison, speaking on behalf of A&C Ventures, owner of the dock in the matter, said they were
excited for Golden Gate Ferry to take over commuter service, and were surprised when commuter
service stalled. He offered to help Council mediate. He said A&C Ventures believes Tiburon
residents deserve efficient and safe commuter service and would like to see the issue resolved.
Richard Snyder, Belvedere, presumed Council had seen a letter dated October 2016 from Angel
Island Ferry asking to work together to address their concerns.He said Angel Island Ferry's concerns
are not a new development, and the Town of Tiburon and A&C Ventures have not taken proactive
steps in the matter.
Conte Cicala, representative of Angel Island Ferry, said Angel Island Ferry has been trying to deal
with safety and environmental issues for over a year.He said valuable time has been lost on a"smear
campaign"against Angel Island Ferry instead of focusing on solving the other serious issues.He said
he hoped future discussions would be successful, and that a mediator would not be necessary. He
said Angel Island ferry is committed to finding solutions to all issues raised as quickly as possible.
Bill Lukens, Las Lomas Lane, said the ferry boat has been a big part of his life in Tiburon since
1964, and has observed dysfunction in the service recently. He agreed that the Town should be
involved and said appointing a mediator would help bring all parties together.
Town Council DRAFT Minutes#xx-2017 February 1, 2017 Page 2
Dave Santos,a risk manager from San Francisco,distributed aerial photographs of ferry docks from
San Francisco, Sausalito, Larkspur and Tiburon. He said these photographs exhibited the clear
difference in size and setting in ferry terminals. He highlighted an aerial photograph of Tiburon's
ferry dock, with a schematic of what a Golden Gate Ferry vessel might look like in that space. He
pointed out that the Tiburon fire boat might not be able to get by,and perhaps the dock configuration
should be changed to fit vessels of a larger size.
Dennis Mulligan, General Manager of Golden Gate Bridge, Highway and Transportation District,
said the district is looking forward to assuming weekday commute service and is also frustrated that
it has not yet begun. He commented that there would be no spatial conflicts as Golden Gate Ferry
vessels would not be occupying the space during Angel Island Ferry operations.He said dredging or
reconfiguring the dock should not be their responsibility.He said GGBHTD believes their vessels are
a good and safe fit for Tiburon's ferry dock,as large ferry boats have operated at the location before.
Mayor Fraser thanked all those who spoke and referred to Staff to recommended next steps.
Councilmember Fredericks requested Staff include information on silting and historical usage of the
harbor by larger boats.
PRESENTATIONS
P-1. Tiburon Greenhouse Gas Reduction — Receive Inventory Report and Presentation
(Community Development Department/Marin Climate and Energy Partnership)
Christine O'Rourke, Marin Climate and Energy Partnership Sustainability Coordinator, gave the
presentation analyzing Tiburon's progress on greenhouse gas reductions.
She said 2016 was the warmest year on record, but the State of California is responding well to
efforts to reduce greenhouse gas emissions.MCEP conducts annual inventories for local jurisdictions
so municipalities can better track their progress and trends. She said residential use of solar panels
has increased in Tiburon, while use of electricity and natural gas has declined. She said increased
vehicle fuel efficiency has decreased transportation emissions and landfill waste has also declined.
Ms. O'Rourke said the Town of Tiburon has already exceeded the 2020 target for emission
reductions,but there is a still lot of work to be done to reach the 2030 and 2050 goals agreed upon by
the State of California.
Mayor Fraser thanked Ms. O'Rourke for her presentation and opened the floor for any public
comment or questions.
Helene Marsh said she was deeply concerned about climate change,and it is essential that the Town
of Tiburon continue its efforts. She commented that the Climate Action Plan approved in 2011
recommends review every 5 years,and said she would like to see the Town update the Plan.She said
the Town should consider switching municipal accounts to"deep-green" [100%renewable energy].
She thanked the Council for being climate leaders.
Town Council DRAFT Minutes#xx-2017 February 1, 2017 Page 3
Janie Allsep, Tiburon Boulevard, said she also cares deeply about climate change and is a"deep-
green" customer. She said it is difficult to pinpoint where measured reductions in emissions come
from,and whether or not they will continue. She thanked the Council for their leadership and setting
an example and encouraged Council to consider the benefits of signing up the municipal accounts for
"deep-green".
Helen Lindquist, Cazadero Lane, said she was a student of climate change for over a decade. She
thought some of the information presented tonight was incorrect. She questioned Marin Clean
Energy's source of energy and said some sources of renewable energy were harming other parts of
the environment.
Betsy Rosenberg, Old Landing Road, said she was a producer of a"green"talk show. She thought
Tiburon should have a"Get Green"program or seminar,similar to the"Get Ready 94920"program,
to raise awareness on how to reduce energy usage.
Vice Mayor O'Donnell said he has served on the Marin Clean Energy Board for a long time.He said
he would like to see the percentage of Tiburon MCE participants increase, and the Town should
commit its funds to making a greater and more direct impact to reducing emissions than committing
funds to "going deep-green". He said there are many ways to reach the same goal shared by all,and
working to increase MCE participation in Town would have a huge impact.
Councilmember Fredericks said she would be interested to see an economic analysis to review what
type of rebate the municipal buildings could get, compared to what she receives as a deep-green
customer at her residence.
O'Donnell continued that there are many competitors for Town funds,so the money would be better
spent in a way that has a more direct impact on reducing the Town's carbon footprint.
Mayor Fraser suggested this matter be included on the agenda for the upcoming retreat.
CONSENT CALENDAR
CC-1. Zoning Text Amendments—Adopt ordinance making amendments to Title IV,Chapter
16(Zoning)of the Tiburon Municipal Code relating to Secondary(Accessory)Dwelling
Units and Junior Accessory Dwelling Units (Director of Community Development
Anderson)
CC-2. Amendments to Town Manager Contract — Approve First Amendment to Town
Manager's Employment Agreement (Town Attorney Stock)
MOTION: To adopt Consent Calendar Items 1-2, as written.
Moved: O'Donnell, seconded by Fredericks
VOTE: AYES: Unanimous
Town Council DRAFT Minutes ##xx-2017 February 1, 2017 Page 4
ABSENT: Doyle
PUBLIC HEARINGS
PH-1. Tiburon Tourism Business Improvement District — Receive Destination Tiburon
presentation and conduct public hearing to:
a. Consider any protests to continue TTBID assessments as set forth in Resolution No.
03-2017
b. Consider adoption of a resolution to continue TTBID assessments as set forth in
Resolution No. 03-2017
(Town Manager Chanis/Destination Tiburon Marketing Director Admire)
Town Manager Chanis gave the staff report. He said the Tiburon Tourism Business Improvement
District is funded by an assessment on the lodging establishments in Tiburon and Council must
annually approve the continuance of the assessment. He passed the floor to Patrick Sherwood and
Dianne Admire of Destination Tiburon,the marketing initiative funded by the TTBID assessments.
Ms. Admire gave a background on Destination Tiburon's activities over the previous year. She said
their goal was to raise meaningful awareness of Tiburon,and what makes Tiburon unique. She said
their main target is meeting planners (not leisure travelers), and part of what Destination Tiburon
does is educate meeting planners that Tiburon has everything they need for a meeting experience.
She also introduced the platform for this campaign: "We've got to start meeting like this".
Vice Mayor O'Donnell noticed Destination Tiburon's logo was different than the"Tiburon by the
Bay" logo. Ms. Admire replied that Destination Tiburon's logo was meant to speak to meeting
planners;she said Destination Tiburon's logo brands"the destination",whereas the"Tiburon by the
Bay" logo brands "the Town".
Mayor Fraser commended Ms. Admire on her work, and said she had put together an excellent
program for the Board, the Town, and the community.
Mayor Fraser opened the floor for public comment. There was none.
MOTION: To adopt the resolution to collect and levy assessments to fund the TTBID program.
Moved: Tollini, seconded by Fredericks
VOTE: AYES: Unanimous
ABSENT: Doyle
ACTION ITEMS
AI-1. Mid-Year Budget Report—Recommendation to accept Town mid-year budget review
for Fiscal Year 2016-2017 (Director of Administrative Services Bigall/Town Manager
Chanis)
Town Council DRAFT Minutes#xx-2017 February 1, 2017 Page 5
Director of Administrative Services Bigall gave the staff report. She said the Council adopted the
budget in June 2016,and has since approved two budget amendments,with a total appropriation for
Fiscal Year 2016-2017 of slightly over$14 million.
She said the operating budget focuses on the Town's ability to fund ongoing day-to-day services for
the residents of the Town. At the mid-year review(December 31, 2016), operating revenue was at
46.8% of budget, and Staff projects operating revenue to exceed the budget by approximately
$293,000 at fiscal year-end. She said this surplus was due property taxes, sales taxes and fines and
forfeitures due to building permit extension fees all performing better than budgeted for. She said it
was normal for the budget to lag below 50%at mid-year due to the timing of larger revenue sources
the Town receives after the mid-year reporting period ends.
Bigall continued that operating expenditures were at 46.5%,and Staff projects the operating surplus
to be $547,371 at fiscal year-end.
Mayor Fraser asked about the building permit extension fees that were creating higher revenue than
expected. He wondered why the amount was so high, considering the streamlining done in the
Building Division.Town Manager Chanis commented that the fines are based on the building permit
fee, which depends on the size of the project; therefore, an extension on a large project could
generate a large fee.
Bigall said interest rates have increased steadily since the adoption of the budget, and the Town is
expecting investment returns to increase by approximately $38,000. She also said the Town
refinanced local assessment districts, which resulted in lower payments for residents within those
districts and $100,000 in administrative fees collected for Town.
She said the amended Capital Improvement Project budget appropriated approximately$2,000,000
in the budget, and at mid-year, the expenditures were 11% of total budget. She said it is normal to
run very low at the mid-year review due to the timing of these projects in the fiscal year.
She stated the following projections of impact on fund balances through the fiscal year: General
Fund Reserves began with $6.53 million and projected to end with $5.5 million; General Fund
Discretionary Reserves began with$4.9 million and projected to end with$3.91 million;Unallocated
General Fund Reserves began with$3.65 million with no projected change.
Vice Mayor O'Donnell asked about the facility repair replacement expenditure. Bigall said that
expenditure was to fund the undergrounding between Lyford Drive and Ned's Way.
Director Bigall concluded her staff report by stating that revenues were tracking favorably to budget
and are expected to exceed by $293,000. She said expenditures are not projected to exceed the
budget, and the operating surplus is increasing from $254,000 to $547,000. She said the General
Fund remains strong, but there is increasing competition for these funds.
Town Council DRAFT Minutes #xx-2017 February 1, 2017 Page 6
Mayor Fraser opened the floor for public comment. There was none.
MOTION: To accept the mid-year budget report for the period ended December 31, 2016
Moved: Tollini, seconded by Fredericks
Vote: AYES: Unanimous
ABSENT: Doyle
AI-2. CaIPERS Discount Rate Change Report— Receive informational report estimating
future financial impacts of lower Ca1PERS discount rate (Director of Administrative
Services Bigall)
Town Manager Chanis gave the staff report to update Council on Ca1PERS and their recent decision
to reduce the discount rate over a three-year period from 7.5%to 7.0%.
Chanis said the Town received guidance from Ca1PERS with a range of possible costs over the
coming years.The actual costs are still unknown at this time.He said the numbers he was presenting
to Council tonight represented the higher end of the spectrum of the ranges provided by CaIPERS.
He said there were two basic categories of the Town of Tiburon's payments to CaIPERS:normal cost
and unfunded liability payment.
He gave an example of the possible effect on normal cost:with no rate change,the Town would have
expected to pay approximately $13,000, but with the rate change, beginning in FY 2018-19, the
Town can expect to pay approximately $23,000, with costs continuing to rise each year. Any
increases in salary or payroll would cause these costs to increase further.
Councilmember Fredericks confirmed "normal cost" and "annual cost" were the same. Chanis
confirmed,and clarified that normal cost was the cost paid annual based on a percentage of payroll.
Vice Mayor O'Donnell asked if this was the Town's cost, rather than the employee's. Chanis
confirmed.
Town Manager Chanis also showed an example of the possible effect on unfunded liability
payments:with no rate change,the Town would have expected to pay approximately$105,000,but
with the rate change,beginning in Fiscal Year 2018-19,the Town can expect to pay approximately
$118,000, with costs continuing to rise each year.
Mayor Fraser clarified that salary increases would cause these costs to increase. Chanis said salary
increases would cause the normal cost payments to increase,but not the unfunded liability payments.
Chanis said this change was adopted by Ca1PERS at the end of December 2016,and the Town hopes
to get more detailed guidance and more details specific to Tiburon at a later date. He concluded his
staff report and invited questions from the Council.
Town Council DRAFT Minutes#xx-2017 February 1, 2017 Page 7
Vice Mayor O'Donnell asked about paying down the unfunded liability payments to lessen the cost
per year. Chanis said the Town had paid down unfunded liability cost by$200,000 per year for the
last two years, and will continue to budget to do the same as fiscal conditions allow.
He continued by saying that other entities are looking into creative ways to deal with these increased
costs: some are financing their unfunded liability payments,and others are paying off a great deal of
it. He said the Town could choose to use unallocated General Fund reserves to make a one-time
payment,and offered to bring more information and options to a future budget committee meeting.
Councilmember Tollini and Vice Mayor O'Donnell said they would like to see those options.
Mayor Fraser opened the floor for public comment. There was none.
No action taken.
TOWN COUNCIL REPORTS
None.
TOWN MANAGER REPORT
Town Manager Chanis reminded the Council of the upcoming annual retreat scheduled for March 3,
2017.He said Staff will welcome input from Council for agenda items to include.He also mentioned
he would be out of the office the following Wednesday and Thursday(2/8 and 2/9)at a conference.
WEEKLY DIGESTS
Received.
ADJOURNMENT
There being no further business before the Town Council of the Town of Tiburon, Mayor Fraser
adjourned the meeting at 9:20 p.m.
JIM FRASER, MAYOR
ATTEST:
LEA STEFANI, TOWN CLERK
Town Council DR,4FT Minutes #xx-2017 February 1, 2017 Page 8
TOWN OF TIBURON Town Council Meeting
1505 Tiburon Boulevard February 15,2017
Tiburon CA 94920 Agenda Item:Al - I
STAFF PO.
To: Mayor & Members of the Town Council
From: Public Works Department
Subject: Authorize to Bidding the "Trestle Trail" Project
Reviewed by:
BACKGROUND
In April 2016, the Town Council considered a plan by The Tiburon Peninsula Foundation (TPF)
for proposed improvements to the"trestle berm" portion of Blackie's Pasture. The purpose of the
improvements is to increase public accessibility and appreciation for Tiburon's railroad history.
At that meeting, Council unanimously passed the following motion:
To approve the project in concept and authorize filing of the CEQA exemption; to direct
staff to work with the applicants to limit the size of any barrier or visible features; also, to
authorize the $40,000 budget appropriation in the 2016-17 fiscal year budget.
In addition, Council requested the project return to the Council before the "build"phase for
review of costs and design.
Staff has continued to work with the proponents as the design has progressed.
In August 2016, staff reviewed preliminary drawings for the project and provided comments.
Staff received updated comments on February 8, 2017 and provided comments. As of the writing
of this staff report, staff has not received the final plans or specifications for review.
ANALYSIS
As public funds are being used on the project, it will be subject to all provisions of California
Public Contract Code including bidding and prevailing wage requirements. Therefore, the
bidding and construction of the project will be done by the Town.
The project cost estimate for the construction of the project is $150,000. As of the writing of this
staff report, staff had not yet received a detailed estimate and is not able to confirm whether this
estimate is adequate or has sufficient contingency. however, the proponents have collected over
Town Council\-lecrin�o
Fcbruary 15,?illi
$200,000 for the construction, including the $40,000 from the Town. Any excess would be put
into a maintenance fund.
The proponents believe they have resolved the barrier and safety issues raised at the April 2016
meeting. The solution is to eliminate a barrier and increase the distance from the paved area to the
end of berm by extending the historic section from 20 feet to 40 feet.
With the permission of Council, staff will continue to work with the proponents and, when the
plans and specifications are complete, put the project out to bid.
RECOMMENDATION
Staff recommends the Town Council:
1. Hear a presentation by the project proponents.
2. Accept any public comment on the project.
3. Authorize staff to put the project out for bid after the plans and
specifications are complete and approved by staff.
EXHIBITS
1. Draft project drawings by Holscher Architecture (4 sheets, provided to staff 2/8/17).
Prepared by: Patrick Barnes,Director of Public Works
l r7V�.�l�P TIBI P.(�V 1':1ge of
TOWN OF TIBURON Town Council Meeting
• 1505 Tiburon Boulevard February 15, 2017
.w t
Tiburon, CA 94920 Agenda Item:Al .w
STAFF REPORT
To: Mayor and Members of the Town Council
From: Administrative Services Department
Subject: Recommendation to Accept and File the FY 2015-16 Basic Financial
Statements and Independent Auditor's Report
Reviewed By:
BACKGROUND
The Town's independent auditor, Marcello & Company Certified Public Accounts, conducted the
annual audit of the Town's financial statements for the fiscal year ended June 30, 2016. The
audit was performed in accordance with generally accepted auditing standards. These standards
require that they plan and perform the audit to obtain reasonable assurance as to whether the
financial statements are free of material misstatement. The independent audit involved
examining, on a test basis, evidence supporting amounts and disclosures in the financial
statements; assessing the accounting principles used and significant estimates made by
management; and evaluating the overall financial statement presentation.
ANALYSIS
Attached are the audited financial statements for the Town of Tiburon for the fiscal year ended
June 30, 2016. The Town's Basic Financial Statements provide a comprehensive presentation of
the financial results of the Town as a whole. The results of the Town's financial activities are
presented in the Government-Wide Statement of Net Position (page 12). Net assets are a good
indicator of the Town's financial position. The Town ended FY 2016 with approximately $52.94
million in net assets, which is an increase of$311,941 as compared to last year's Net Position.
The Government-wide Statement of Activities (page 13) is the equivalent to the private sector
Income Statement. This statement provides detailed accounting of the Town increase in net
assets.
The General Fund as presented in the audit report includes the General Operating Account and 13
reserve funds. The Balance Sheet of the Governmental Funds on Page 14 illustrates the balance
sheet for total General Funds and Other Governmental Fund. The balance sheet on page 39 of the
audit report provides information on each of the funds that comprise the General Fund. The
Town, unless directed otherwise by the Town Council, will continue to keep each of these funds
separate for its own internal records. The General Fund's ending find balance as of June 30,
2016 was $15,111,798 as compared to $14,673,530 as of June 30, 2015, or an increase of
$438,268.
TOWN OF TIBURON PAGE 1 OF 2
Town n Council Mccu ,
1 cLruarN 15.
Supplementary explanatory information is provided with the Management's Discussion and
Analysis (MD&A)beginning on page 3. The MD&A provides key highlights and a summary
view of performance of financial activities for the year ended June 30, 2016.
The auditors have issued a report that includes required communications concerning their
responsibility under generally accepted accounting standards, significant changes in accounting
policies and unusual transactions, management judgments and accounting estimates, significant
audit adjustments, and other issues related to performance of the audit. In the area of accounting
practices and internal controls, there are no findings as to material weaknesses. This conclusion
is known as a"clean audit".
FINANCIAL IMPACT
There is no fiscal impact to the Town by having the Council accept this financial audit report.
RECOMMENDATION
Staff recommends that the Town Council:
Move to accept the Fiscal Year 2015-16 annual financial audit as prepared by Marcello &
Company, C.P.A.'s.
Exhibits: Report and General Purpose Financial Statements of the Town of Tiburon for Fiscal
Year ended June 30, 2016
Prepared By: Heidi Bigall, Director of Administrative Services
..._........... ------- ___.------ . .............m........_........................_..............__-_____------------.__..______
i
TOWN OF TIBURON
California
Annual Financial Report
June 30, 2016
Town Council
Erin Tollini Mayor
Jim Fraser Vice Mayor
Frank Doyle Member
Alice Fredericks Member
Emmett O'Donnell Member
Appointed Official
Town Manager
Greg Chanis
EXHIBIT NO,
TOWN OF TIBURON
- Table of Contents
INDEPENDENT AUDITOR'S REPORT........................................................................................... 1-2
MANAGEMENT'S DISCUSSION AND ANALYSIS (unaudited)
Required Supplementary Information, as prepared by management.......................................3-11
GOVERNMENT-WIDE FINANCIAL STATEMENTS
Statementof Net Position ........................................................................................................... 12
_ Statement of Activities ................................................................................................................ 13
FUND FINANCIAL STATEMENTS
Balance Sheet- Governmental Funds........................................................................................ 14
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Position .....................................................................................•........ 15
Statement of Revenue, Expenditures, and Change
in Fund Balances- Governmental Funds................................................................................. 16
Reconciliation of the Statement of Revenue, Expenditures,and Change in
Fund Balances of Governmental Funds to the Statement of Activities .................................... 17
Statement of Fiduciary Assets and Liabilities -Agency Funds.................................................... 18
NOTES TO FINANCIAL STATEMENTS................................•---...•--.------.--......------••................... 19-39
REQUIRED SUPPLEMENTARY INFORMATION(unaudited)
Schedule of Proportionate Share of the Net Pension Liability,
and Schedule of Contributions.........................................................:............................40-41
Schedule of Funding Progress - Other Postemployment Benefits Plan......................................42
Budgetary Comparison Information .......................... ................................--.. ..............43-45
OTHER SUPPLEMENTARY INFORMATION
Combining Funds Financial Statements
General Fund:
Combining Balance Sheet................................................................................. .......46
Combining Statement of Revenue, Expenditures, and Change in Fund Balance...........47
Nonmajor Governmental Funds:
Combining Balance Sheet.........................................................................................48-49
Combining Statement of Revenue, Expenditures, and Change in Fund Balances....50-51
MARCELLO & COMPANY
CERTIFIED PUBLIC ACCOUNTANTS
2701 Cottage Way, Suite 30/ Sacramento, California 95825
INDEPENDENT AUDITOR'S REPORT
Honorable Mayor
Members of the Town Council
Town of Tiburon, California
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, each major fund,
and the aggregate remaining fund information of the Town of Tiburon, California, as of and for the year
ended June 30, 2016, and the related notes to the financial statements, which collectively comprise the
Town's basic financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial statements based upon our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity's
preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness
of the entity's internal control. Accordingly, we express no such opinion. An audit also includes
evaluating the appropriateness of accounting policies used and the reasonableness of significant
estimates made by management, as well as evaluating the overall financial statement presentation.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion.
1
Honorable Mayor
Members of the Town Council
Town of Tiburon, California
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, each major fund, and the aggregate remaining
fund information of the Town of Tiburon, as of June 30, 2016, and the respective changes in financial
position thereof for the year then ended in accordance with accounting principles generally accepted in
the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's
discussion and analysis, pension schedules and schedules of funding progress, other postemployment
benefits plan schedule of funding progress, and the respective budgetary comparison information of the
general and major funds as listed in the table of contents be presented to supplement the basic financial
statements. Such information, although not part of the basic financial statements, is required by the
Governmental Accounting Standards Board,who considers it to be an essential part of financial reporting
for placing the basic financial statements in an appropriate operational, economic, or historic context. We
have applied certain limited procedures to the required supplementary information in accordance with
auditing standards generally accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming an opinion on the financial statements that
collectively comprise the Town of Tiburon's basic financial statements. The combining nonmajor fund
financial statements are presented for purposes of additional analysis and are not a required part of the
financial statements.
The combining nonmajor fund financial statements are the responsibility of management and were
derived from and relate directly to the underlying accounting and other records used to prepare the basic
financial statements. Such information has been subjected to the auditing procedures applied in the audit
of the basic financial statements and certain additional procedures, including comparing and reconciling
such information directly to the underlying accounting and other records used to prepare the financial
statements or to the financial statements themselves,and other additional procedures in accordance with
auditing standards generally accepted in the United States of America. In our opinion, the combining
nonmajor fund financial statements are fairly stated, in all material respects, in relation to the basic
financial statements as a whole.
Certified Public Accountants
Sacramento, California
September 22, 2016
2
MANAGEMENT'S DISCUSSION & ANALYSIS
As Prepared by Management
(unaudited)
Town of Tiburon
Management's Discussion and Analysis
As management of the Town of Tiburon, we offer readers of these financial statements this narrative overview and
analysis of the financial activities of the Town for the fiscal year ended June 30, 2016 (FY 2016). We encourage
readers to consider the information presented here in conjunction with the "Down's financial statements, which
follow this discussion and analysis.
OVERVIEW OF THE BASIC FINANCIAL STATEMENTS
This discussion and analysis is intended to serve as an introduction to the Town's basic financial statements, which
consist of three components:
1) Government-wide Financial Statements
2) Fund Financial Statements
3) Notes to the Basic Financial Statements
This report also contains required and other supplementary information in addition to the Basic Financial
Statements.
Government-wide Financial Statements
In the prior fiscal year ended June 30, 2015, the Town of Tiburon implemented Governmental Accounting
Standards Board Statement No. 68,Accounting and Financial Reporting,for Pensions (GASB 68).
The Government-wide Financial Statements consist of the Statement of Net Position and the Statement of
Activities. These statements are designed to provide readers with a broad overview of the Town's finances in a
manner similar to private sector businesses. They provide information about the activities of the Town as a whole
and present a longer-term view of the Town's finances.
The Statement of Net Position presents information on all of the Town's assets and liabilities, with the difference
between the two reported as net position. Over time, increases or decreases in net position may serve as a useful
indicator of whether the financial position of the Town is improving or deteriorating.
The Statement of Activities presents information about how the Town's net position changed during the most
recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change
occurs, regardless of the timing of related cash flows. Thus, some of the revenue and expenses reported in this
statement may result in cash flows only in future fiscal periods, such as revenue related to uncollected taxes and
interest expense incurred but not paid.
Fund Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated
for specific activities or objectives. The Town, like other governmental entities, uses fund accounting to ensure and
- demonstrate compliance with finance-related legal requirements. Funds of governmental entities are divided into
three categories:
l) Governmental Funds
2) Proprietary Funds
3) Fiduciary Funds
3
Town of Tiburon
Management's Discussion and Analysis
Governmental Funds
Most of the Town's basic services are included in Government Funds, which focus on (1) how cash and other
financial assets that can be converted readily to cash flows in and out and (2) the balances left at year-end that
are available for spending. Consequently, the Government Funds statement provides a detailed short-term view
that helps to determine whether there are more or fewer financial resources that can be spent in the near future
to finance the Town's programs. Because this information does not encompass the additional long-term focus
of the Government-wide Statements, there is a schedule subsequent to each Government Funds Financial
Statement that reconciles it to the related Government-wide Financial Statement.
Proprietary Funds
Services for which the Town charges customers a fee are generally reported in Proprietary Funds. Proprietary
Funds, like the Government-wide Financial Statements, provide both long-term and short-term financial
information. Currently the Town does not require the use of Proprietary Funds.
Fiduciary Funds
Fiduciary Funds are used to account for resources held for the benefit of parties outside the municipality, such
as special assessment districts. Fiduciary Funds are not reflected in the Government-wide Financial Statements
because those resources are not available to support the Town's own programs.
Notes to the Financial Statements
The Notes provide additional information that is essential to a full understanding of the data provided in the
Government-wide and Fund Financial Statements. The Notes to the Financial Statements follow the Basic
Financial Statements.
Required Supplementary Information
In addition to the Basic Financial Statements and accompanying Notes, this report also presents certain required
supplementary information other than this discussion and analysis, concerning the Town's budgetary comparison
schedule, its schedule of funding progress for its postemployment medical benefits plan, and its defined benefit
pension plan administered by the California Public Employees'Retirement Plan (CalPERS).
FINANCIAL HIGHLIGHTS
Government-wide Financial Statement Hif�hli%!hts
➢ The Government-wide Statement of Net Position, appearing as the first statement of the Basic Financial
Statements, shows that the Town's total assets exceeded total liabilities by $52.94 million (net position).
Of this amount, $9.84 million was unrestricted net position and may be used to meet the Town's ongoing
obligations to the citizens and creditors of the Town.
➢ Town cash and investments totaled $21.44 million, and capital assets totaled $40.16 million on June 30,
2016, representing 33.7 percent and 63.1 percent of the Town's total assets, respectively.
➢ The Town's l.ab.hties totaled approx.mately $9.28 million and consist of accounts payable, refia:.dable
deposits, compensated absences, net OPER plan liability, and net pension plan liability as required by
GASB 68.
4
Town of Tiburon
Management's Discussion and Analysis
➢ The Government-wide Statement of Activities shows that total Town revenue was approximately $11.34
million (general revenue of $8.59 million and program revenue of $2.75. million) compared with total
expenses of approximately $11.03 million, resulting in an increase in net position of$311,941.
Fund Financial Statement Highlights
➢ At the close of FY 20I6, the combined fund balance of the Town's Governmental Funds was $21.22
million, which represents an increase of $75,023 over the previous fiscal year. Of this combined fund
balance, approximately $15.11 million is from the General Fund, which is an increase of$438,270. The
detailed components of revenue and expenditures can be found in the accompanying Statement of Revenue,
Expenditures and Change in Fund Balances.
Town Highlights
➢ In FY 2016 the Town funded approximately $260,000 towards traffic congestion relief through the Yellow
School Bus program.
➢ The BIackie's Pasture If picnic area improvement project was completed at a cost of approximately
$200,000 and was funded through the Parks General Fund Reserve.
➢ The Town completed approximately $850,000 in street overlay/slurry seal projects in FY 2016. These
projects were funded through restricted Street Impact and Gas Tax funds.
➢ The Town expended approximately $550,000 in storm drain repairs/flushing during FY 2016. The largest
expenditure was towards the Stewart Drive storm drain collapse, of which $435,000 was from general fund
reserves.
➢ The Town contributed an additional $200,000 above its required contribution towards its Ca1PERS
unfunded pension liability. The Council indicated its desire to make similar contributions over the years, as
financial resources allow, in order to save on the interest expense charged by CaIPERS which is currently
7.5%
➢ After serving approximately ten years as Town Manager, Peggy Curran retired effective December 31,
2015. Greg Chanis was appointed Town Manager and began employment with the Town on January 4,
2016.
FINANCIAL ANALYSIS OF THE TOWN AS A WHOLE
The Town has presented its financial statements in accordance with Governmental Accounting Standards Board
(GASB) Statement No. 34, Basic Financial Statement - Management's Discussion and Analysis -for State and
-- Local Governments.
Net Position
For financial statements beginning with the year ended June 30, 2015, the Town has implemented GASB 68,
Accounting and Financial Reporting for Pensions — an amendment of GASB Statement No. 27. The intention of
this Statement is to improve the decision-making usefulness of information in employer and governmental non-
employer contributing entity financial reports and enhance its value for assessing accountability and inter-period
equity by requiring recognition of the entire net pension liability and a more comprehensive measure of pension
expense.
5
Town of Tiburon
Management's Discussion and Analysis
Net position is a measure of a government's financial position and, over time, a trend of increasing or decreasing
net position is an indicator of the financial health of the organization. In the case of the Town of Tiburon, assets
exceeded liabilities and deferred inflows by $52,944,160, an increase of$311,941 over the previous fiscal year's
net position. By far the largest portion (75.9 percent) of the Town's net position reflects its investment in capital
assets, e.g., land, buildings, roadways, drainage systems, and equipment). The Town uses capital assets to provide
services to its citizens. Consequently, these assets are not available for future appropriations. The Town carries no
debt related to its capital assets.
A condensed presentation of the Town's Net Position is presented in the following table comparing last fiscal year
to the most recently completed fiscal year:
Statement of Net Position
Comparison of FY 2016 and FY 2015
June 30 Amount Percent
2016 2015 Change Change
Assets
Current and other assets $ 22,748,946 $ 22,506,746 $ 242,200 1%
Capital assets, net 40,160,394 39,259,058 901,336 2%
Total assets 62,909,340 61,765,804 1,143,536 2%
Deferred outflows related to pension* 753,153 469,029 284,124 61%
Total assets and.deferred outflows 63,662,493 62,234,833 1,427,660 2%
Liabilities
Current and other liabilities 1,611,702 1,455,487 156,215 11%
Noncurrent liabilities 2,259,077 2,117,080 141,997 7%
Net pension liability 5,412,997 4,771,765 641,232 13%
Total liabilities 9,283,776 8,344,332 939,444 11%
Deferred inflows related to pension* 1,434,557 1,258,282 176,275 14%
Total liabilities and deferred inflows 10,718,333 9,602,614 1,115,719 12%
Net Position
Net investment in capital assets 40,160,394 39,259,058 901,336 2%
Restricted 2,940,812 4,704,027 (1,763,215) -37%
Unrestricted 9,842,954 8,669,134 1,173,820 14%
Total net position $ 52,944,160 $ 52,632,219 $ 311,941 1%
*See Note 11
➢ Total assets increased by 2 percent or$1.14 million over the prior year. Deferred outflows related to
CaIPERS pensions increased by 61 percent, or$284,124.
➢ Capital assets increased by $0.9 million or 2 percent over last fiscal year due to additional infrastructure
projects.
6
Town of Tiburon
Management's Discussion and Analysis
➢ Total liabilities increased by $0.94 million or 11 percent from the previous year. Approximately $0.64
million is due to the change in the Town's net pension liability over the previous year.
General Government Functions
A condensed presentation of the Town's Governmental Activities is provided in the following table, which
compares the current fiscal year over the prior year:
Statement of Activities
Comparison of FY 2016 and 2015
June 30 Amount Percent
2016 2015 Change Change
Revenue
Program revenue $ 2,747,647 $ 2,942,905 $ (195,258) -7%
General revenue 8,594,111 9,328,681 (734,570) -8%
Total revenue 11,341,758 12,271,586 (929,828) -8%
Expenses
General government 3,753,284 3,608,905 144,379 4%
Public Safety 3,532,421 2,895,6.19 636,802 22%
Public Works 1,722,922 1,370,151 352,771 26%
Capital Improvements 630,248 565,431 64,817 11%
Depreciation 1,390,942 1,149,157 241,785 21%
Total expenses 11,029,817 9,589,263 1,440,554 15%
Change in Net Position 311,941 2,682,323 (2,370,382) -88%
Net Position- beginning 52,632,219 49,949,896 2,682,323 5%
Net Position -end of year $ 52,944,160 $ 52,632,219 $ 311,941 1%
➢ Program Revenue decreased by $195,258 or 7 percent over the prior year. This decrease was due to a one-
time revenue source that was received in the prior year from a construction building permit.
General Revenue decreased by $734,570 or 8 percent from the previous fiscal year. Though most revenue
categories in FY 2016 experienced increases over FY 2015, (property, sales, transient occupancy, and
property transfer taxes, along with franchise fees) there was an approximate $600,000 decrease in building
department revenue which was anticipated.
➢ Total expenses increased by $1,440,554 or 15 percent over the previous year. Of this amount,
approximately $816,000 was due to recording increased liabilities related to pension and other post-
employment benefits over the prior year.
7
Town of Tiburon
Management's Discussion and Analysis
FINANCIAL ANALYSIS OF THE GENERAL FUND
Revenue
The general fund is the main operating fund of the Town. The general fund consists of the general operating
account and 13 reserve funds. During FY 2016, the Town received general fund revenue of$9,748,878, which
represents a decrease of$713,103, or 7 percent over the previous fiscal year.
The table below compares general fund revenue by category for the fiscal years ended June 30, 2016 and 2015.
General Fund Revenue Comparison
June 30 Amount Percent
2016 2015 Change Change
Property taxes $ 5,035,073 $ 4,781,844 $ 253,229 5%
Othertaxes 1,768,514 1,734,377 34,137 2%
Franchise fees 761,634 743,125 18,509 2%
Fines and penalties 109,900 700,320 (590,420) -84%
Investment earnings 65,159 38,465 26,694 69%
Intergovernmental 198,884 408,520 (209,636) -51%
Licenses and permits 1,084,780 1,350,029 (265,249) -20%
Charge for services 597,890 579,414 18,476 3%
Other revenue 127,044 125,887 1,157 1%
$ 9,748,878 $ 10,461,981 $ (713,103) -7%
➢ Property Taxes. In FY 2016 the Town realized a 5 percent increase in overall property tax revenue.
Secured Property Taxes, the 1 percent of assessed valuation charged on property, increased by $256,956,or
8 percent. Secured property tax represents approximately 71.5 percent of all property tax revenue received
during the year by the Town.
➢ Other Taxes. Overall the Town recorded a 2 percent increase in Other Taxes. Within. this revenue
category the Town realized increases in sales tax of 3.3 percent; Transient Occupancy Tax of 2.5 percent;
and Property Transfer Tax of 0.67 percent.
➢ Franchise Fees. Franchise Fees increased by 2 percent over FY 2015. The Town receives franchise fees
from PG&E,Mill Valley Refuse, and Comcast.
➢ Fines and Penalties. Building department fines and penalties decreased 84 percent in FY 2016. This
decrease was anticipated with the completion of a 3 year residential project.
➢ Investment Earnings. Investment Earnings were up 60 percent, or$26,694, due to rising interest rates on
funds invested with the State Local Agency Investment Fund (LAIF).
. ➢ Intergovernmental. Intergovernmental revenue decreased by 51 percent in FY 2016. This decreased was
due to one-time revenues of$211,741 that were received in FY 2015 for back-dated SB 90 State Mandated
Reiiliviirsements, and a Zero Waste giant.
8
Town of Tiburon
Management's Discussion and Analysis
➢ License and Permits. The Town realized a 20 percent decrease in license and permit revenue in FY 2016
which was anticipated. Most sources of revenue within this category were consistent with the previous
year, except Building Permits, which decreased by 20 percent, or$235,656.
➢ Charge for Services. This revenue category increased by 3 percent in FY 2016. The Town received an
additional $12,000 in Public Works cost recovery fees in FY 2016.
Expenditures
General Fund expenditures increased by 10 percent or$858,862 in FY 2016. A majority of this increase, $594,764,
was related to the expenditure of general fund resources on capital improvement programs.
The two-year comparison table below illustrates the expenditure categories by department for the fiscal years ended
June 30, 2016 and 2015.
General Fund Expenditures Comparison
June 30 Amount Percent
2016 2015 Change Change
Town Administration $ 1,564,923 $ 1,441,632 $ 123,291 9%
Community Development 1,164,434 1,225,967 (61,533) -5%
Public Safety 3,041,449 2,854,191 187,258 7%
Public Works 1,454,632 1,305,445 149,187 11%
Legislative 35,690 32,524 3,166 10%.
Non-departmental 623,822 761,093 (137,271) -18%
Capital Improvements 1,553,101 958,337 594,764 62%
9,438,051 8,579,189 858,862 10%
Excess Revenue over
(under) Expenditures $ 310,827 $ 1,882,792 $(1,571,965) -83%
➢ Town Administration increased 9 percent, or $123,291, over FY 2015. Of this increase, $30,000 was due
to vacation leave payoff of the retiring Town Manager, along with a one-time $15,000 relocation expense
for the new Town Manager. The Office Assistant position was increased from 0.6 FTE to 0.9 FTE and the
Management Analyst position was filled the entire fiscal year.
➢ Community Development expenses decreased by 5% over FY 2015. This decrease is the net of reduced
expenditures in technology and building inspection outside services and increased salary and benefit costs.
➢ Public Works increased I 1 percent or $149,187 over FY 2015. Contributing to this increase was the need
for additional outside engineering services, departmental reorganization and a new expenditure line-item
for Old Rail Trail maintenance
➢ General Fund Capital Improvement expenditures increased by 10 percent over FY 2015. Projects include
the Blackie's Pasture 11 and the Stewart Drive storm drain repair.
9
Town of Tiburon
Management's Discussion and Analysis
FINANCIAL ANALYSIS OF GOVERNMENTAL FUNDS
The following table presents a two-year comparison of the Town's governmental funds revenue and expenditures
for FY 2016 and 2015:
Total Governmental Funds
Comparison of FY 2016 and FY 2015
June 30 Amount Percent
- 2016 2015 Change Change
Revenue
Property Taxes $ 5,051,617 $ 4,781,844 $ 269,773 6%
Other Taxes 2,147,353 2,183,435 (36,082) -2%
Franchise Fees 761,634 743,125 18,509 2%
Fines and Forfeitures 109,900 700,320 (590,420) -84%
Interest Earnings 88,619 52,064 36,555 70%
Intergovernmental 327,650 515,518 (187,868) -36%
License and Permits 1,084,780 1,350,029 (265,249) -20%
Other Revenue 1,136,960 1,487,199 (350,239) -24%
Charge for Services 248,782 458,052 (209,270) -46%
Totals 10,957,295 12,271,586 (1,314,291) -11%
Expenditures
Town Administration 1,566,469 1,443,161 123,308 9%
Community Development 1,193,804 1,287,395 (93,591) -7%
Public Safety 3,041,449 2,854,191 187,258 7%
Public Works 1,477,436 1,335,120 142,316 11%
Legislative 39,398 34,164 5,234 15%
Non-departmental 708,127 823,471 (115,344) -14%
Capital Projects 2,855,589 1,323,994 1,531,595 116%
Totals 10,882,272 9,101,496 1,780,776 20%
Excess Revenue over
(under) Expenditures $ 75,023 $ 3,170,090 $ (3,095,067) -98%
ECONOMIC OUTLOOK AND NEXT YEAR'S BUDGET
The adopted budget for FY 2016-17 calls for an operating surplus of $253,850. General Fund revenues are
anticipated to increase $302,993 over the approved FY 2015-16 budget, and expenditures by $584,945. The
Town's largest tax generator is property taxes. The Town is anticipating the fiscal year 2016-17 tax roll to increase
by approximately five percent over the previous year. Other tax and non-tax revenues are expected to grow
moderately, in the range of one to two percent.
The Town's largest expenditure relates to employee salaries and benefits. Personnel costs are tied to labor
agreements with the Town's two organized employee groups and unrepresented Management and Mid-
Management employees. The Tiburon Police Association and the smaller Service Employee's International Union
are entering the second year of a three year agreement which expires on June 30, 2018. Unrepresented employees
10
Town of Tiburon
Management's Discussion and Analysis
are covered under Resolution of the Town Council which expires on June 30, 2017. Negotiated salary increases
under all contracts range up to three percent in FY 2017.
The Town continues to have a healthy long-term financial position, and Staff aggressively monitors revenue and
expenditures. Recently implemented strategies to reduce unfunded liabilities related to employment costs continue
to improve the cost of providing the Town's largest expenditure—salary and benefits. The citizens of the Town are
fortunate that they are able to enjoy exceptional Town services, a balanced budget, and that vital Town
infrastructure continues to be maintained and improved.
CONTACTING THE TOWN'S FINANICAL MANAGEMENT
This financial report is designed to provide the citizens, taxpayers, customers, investors, and creditors of the Town
of Tiburon with a general overview of the Town's finances and to demonstrate the Town's accountability for the
money it receives. if you have questions about this report or need additional information, contact the Town of
Tiburon, Administrative Services Department, 1505 Tiburon Boulevard,Tiburon, CA 94920.
11
i
GOVERNMENT-WIDE FINANCIAL STATEMENTS
TOWN OF TIBURON
Government-wide Financial Statements
Statement of Net Position
June 30, 2016
Total
Governmental
Assets Activities
Current Assets
Cash and investments $ 21,441,460
Receivables 507,486
Total current assets 21,948,946
Noncurrent Assets
Notes receivable 800,000
Capital assets not being depreciated 4,087,952
Capital assets, net of depreciation 36,072,442
Total noncurrent assets 40,960,394
Total assets 62,909,340
Deferred Outflows of Resources
Deferred pensions 753,153
Total assets and deferred outflows of resources 63,662,493
Liabilities
Current Liabilities
Accounts payable 567,958
Accrued liabilities 207,941
Deposits 754,204
Compensated absences- current 81,599
Total current liabilities 1,611,702
Noncurrent Liabilities
Compensated absences 244,798
Other postemployment benefits obligation 2,014,279
Net pension liability 5,412,997
Total noncurrent liabilities 7,672,074
Total liabilities 9,283,776
Deferred Inflows of Resources
Deferred pensions 1,434,557
Total liabilities and deferred inflows of resources 10,718,333
Net Position
Net investment in capital assets 40,160,394
Restricted 2,940,812
Unrestricted 9,842,954
Total net position $ 52,944,160
The accompanying notes are an integral part of these financial statements
12
TOWN OF TIBURON
Government-wide Financial Statements
Statement of Activities
- Year Ended June 30, 2016
Program Revenue Net(Expense)
Charges Revenue and
for Operating Capital Change in
Functions/Programs Expenses Services Grants Grants Net Position
Governmental Activities:
General government $ 3,753,284 $ 1,682,670 $ - $ - $ (2,070,614)
Public safety 3,532,421 - 127,441 - (3,404,980)
Public works 1,722,922 539,070 398,466 - (785,386)
Capital improvements 630,248 - - - (630,248)
Depreciation 1,390,942 - - - (1,390,942)
Totals $ 11,029,817 $ 2,221,740 $ 525,907 $ - (8,282,170)
General Revenue:
Property taxes 5,051,617
Sales taxes 892,642
Transient occupancy tax 836,400
Property transfer taxes 210,033
Franchise fees 761,634
Fines and forfeitures 109,900
Intergovernmental 200,209
Gasoline taxes 208,278
Investment earnings 88,619
Other revenue 234,779
Total general revenue 8,594,111
Change in Net Position 311,941
Net Position -beginning 52,632,219
Net Position -end of year $ 52,944,160
The accompanying notes are an integral part of these financial statements
13
FUND FINANCIAL STATEMENTS
TOWN OF TIBURON
Balance Sheet
Governmental Funds
June 30, 2016
Tiburon Other Total
General Street Governmental Governmental
ASSETS Fund Impact Fund Funds Funds
Cash and investments $ 14,914,255 $ 2,311,492 $ 4,215,713 $ 21,441,460
Receivables 497,373 2,645 7,468 507,486
Notes receivable 800,000 - - 800,000
Total assets $ 16,211,628 $ 2,314,137 $ 4,223,181 $ 22,748,946
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable $ 195,635 $ 274,368 $ 97,955 $ 567,958
Accrued liabilities 157,941 - 50,000 207,941
Deposits 746,254 - 7,950 754,204
Total liabilities 1,099,830 274,368 155,905 1,530,103
Fund Balances:
Nonspendable 800,000 - - 800,000
Restricted - 2,039,769 2,245,359 4,285,128
Committed 4,252,019 - 1,465,099 5,717,118
Assigned 6,127,639 - 354,788 6,482,427
Unassigned 3,932,140 ' - 2,030 3,934,170
Total fund balances 15,111,798 2,039,769 4,067,276 21,218,843
Total liabilities and
fund balances $ 16,211,628 $ 2,314,137 $ 4,223,181 $ 22,748,946
The accompanying notes are an integral part of these financial statements
14
TOWN OF TIBURON
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Position
June 30, 2016
Amounts reported for governmental activities in the statement of net position
are different because of the following:
Total fund balances -governmental funds (page 14) $ 21,218,843
(1)Capital assets used in governmental activities are not financial
resources and therefore, are not reported in the balance sheet: 40,160,394
(2) Long-term liabilities are not due and payable in the current period
and therefore, are not reported in the balance sheet:
Compensated absences (326,397)
Other post employment benefits obligation (2,014,279)
Net pension liability (5,412,997)
(3) Deferred outflows of resources reported in the statement of net position 753,153
(4) Deferred inflows of resources reported in the statement of net position (1,434,557)
Net position of governmental activities (page 12) $ 52,944,160
The accompanying notes are an integral part of these financial statements
15
TOWN OF TIBURON
Statement of Revenue, Expenditures, and Change in Fund Balances
Governmental Funds
Year Ended June 30, 2016
Tiburon Other Total
General Street Governmental Governmental
REVENUE Fund Impact Fund Funds Funds
Property taxes $ 5,035,073 $ - $ 16,544 $ 5,051,617
Other taxes 1,768,514 - 378,839 2,147,353
Franchise fees 761,634 - - 761,634
Fines and forfeitures 109,900 - - 109,900
Investment earnings 65,159 8,166 15,294 88,619
Intergovernmental and agency 198,884 - 128,766 327,650
Licenses and permits 1,084,780 - - 1,084,780
Charges for services 597,890 464,738 74,332 1,136,960
Other revenue 127,044 - 121,738 248,782
Total revenue 9,748,878 472,904 735,513 10,957,295
EXPENDITURES
Current-
Town administration 1,564,923 - 1,546 1,566,469
Community development 1,164,434 - 29,370 1,193,804
Public safety 3,041,449 - - 3,041,449
Public works 1,454,632 - 22,804 1,477,436
Legislative boards/commissions 35,690 - 3,708 39,398
Non-departmental 623,822 - 84,305 708,127
Capital improvement projects 1,553,101 879,384 423,104 2,855,589
Total expenditures 9,438,051 879,384 564,837 10,882,272
Excess Revenue over
(under) Expenditures 310,827 (406,480) 170,676 75,023
Other financing sources/(uses)
Operating transfers in 3,261,907 - 3,261,907
Operating transfers (out) (3,134,466) - (127,441) (3,261,907)
Total other sources(uses) 127,441 - (127,441) -
CHANGE IN FUND BALANCES 438,268 (406,480) 43,235 75,023
Fund balances-beginning 14,673,530 2,446,249 4,024,041 21,143,820
Fund balances -end of year $ 15,111,798 $ 2,039,769 $ 4,067,276 $ 21,218,843
The accompanying notes are an integral part of these financial statements
16
TOWN OF TIBURON
Reconciliation of the Statement of Revenue, Expenditures, and Change in
Fund Balances of Governmental Funds to the Statement of Activities
- Year Ended June 30, 2016
Amounts reported for governmental activities in the statement of activities are difference because:
Change in fund balances-governmental funds (page 16) $ 75,023
Capital assets
(1)The acquisition of capital assets uses current financial resources but has
no effect on net position. 2,225,341
(2)The cost of capital assets is allocated over their estimated useful lives and
reported as depreciation expense in the statement of activities. (1,390,942)
Long-term obligations
(3)Increases and reductions against long-term liabilities and obligations use
current resources but have no effect on net position. (131,035)
Measurement focus
(4)Deferred outflows, deferred inflows, and net pension liability activity are
reported in the statement of activities, and generally do not require the use
of current financial resources and therefore, are not reported as expenditures
in governmental funds. (466,446)
Change in net position of governmental activities (page 13) $ 311,941
The accompanying notes are an integral part of these financial statements
17
TOWN OF TIBURON
Statement of Fiduciary Assets and Liabilities
Agency Funds
June 30, 2016
Tiburon
Public
Del Mar Stewart Lyford Other Facilities Peninsula Total
Valley Drive Cove Assessment Financing Library Agency
A/D A/D A/D Districts Authority JPA Funds
ASSETS
Cash and
investments $ 703,686 $ 77,899 $ 295,966 $ 334,519 $ 188,944 $ - $ 1,601,014
Cash held by trustee 103,692 103,260 139,894 25,190 - - 372,036
Special assessment
receivables - - - - - - . -
Other receivables 1,110 898 3,445 431 239 8,892 15,015
Total assets $ 808,488 $ 182,057 $ 439,305 $ 360,140 $ 189,183 $ 8,892 $ 1,988,065
LIABILITIES
Accounts payable $ - $ - $ - $ - $ - $ 8,892 $ 8,892
Special assessment
commitments - - - - - - -
Held in trust - - - - - - -
Total liabilities $ - $ - $ - $ - $ - $ 8,892 $ 8,892
The accompanying notes are an integral part of these financial statements
18
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
The notes to the financial statements include a summary of significant accounting policies and other notes
considered essential to fully disclose and fairly present the transactions and financial position of the Town as
follows:
Note 1 - Defining the Financial Reporting Entity
Note 2 - Summary of Significant Accounting Policies
Note 3 - Stewardship, Compliance and Accountability
Note 4 - Cash and Investments
Note 5 - Notes Receivable
Note 6 -Capital Assets
Note 7 - Long-term Obligations
Note 8 - Special Assessment District Bond Obligations
Note 9 - Interfund Transfers
Note 10 - Postemployment Benefits Other Than Pensions
Note 11 - Defined Benefit Pension Plan
Note 12 - Commitments and Contingencies
Note 13 - Risk Management
Note 14 - Subsequent Events
Note 15 - New Pronouncements
Note 16 - Fund Balance Designations Section of the Balance Sheet
19
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Note 1 - Defining the Financial Reporting Entity
The Town of Tiburon (the Town)was incorporated in 1964 under the laws of the State of California. Tiburon
operates under a Council-Manager form of government. The Town provides municipal services to its citizens
including police, public works, community development and general administrative support. These financial
statements present the financial status of the Town and its component unit, as discussed in the following
paragraph.
The Tiburon Public Facilities Financing Authority (the Authority)was established in 1990 pursuant to a joint
powers agreement between the Town and the former Tiburon Redevelopment Agency, to assist in the
clearance and rehabilitation of areas determined to be in a declining condition in the Town. Although the
component unit is legally separate from the Town, it is reported in the statement of fiduciary assets and
liabilities, and its board consists of members of the Town Council.
The Town participates in four Joint Powers Agreements (JPAs) with the following entities: the Belvedere-
Tiburon Joint Recreation Committee, the Bay Cities Joint Powers Insurance Authority (BCJPIA), the
Association of Bay Area Governments (ABAG) and the Marin Emergency Radio Authority (MERA). The
financial activities of the JPAs are not included in the accompanying financial statements because they are
administered by governing boards which are separate from, and independent of the Town.
Note 2- Summary of Significant Accounting Polices
The accounting policies of the Town conform to accounting principles generally accepted in the United
States of America as applied to governmental agencies. The Governmental Accounting Standards Board
(GASB) is the accepted standard-setting body for establishing governmental accounting and financial
reporting principles. The more significant accounting policies of the Town are described as follows:
Financial Statements
In accordance with GASB Statement No. 34, "Basic Financial Statements and Management's Discussion
and Analysis for State and Local Governments," the financial statements consist of the following:
• Government-wide financial statements
• Fund financial statements
• Notes to the financial statements
The government-wide financial statements (ie, the statement of net position and the statement of activities)
report information on all of the non-fiduciary activities of the primary government. For the most part, the
effect of interfund activity has been removed from these statements. Governmental activities,which normally
are supported by taxes and intergovernmental revenue, are reported separately from business-type
activities, which rely to a significant extent on fees and charges for support. The statement of activities
demonstrates the degree to which the direct expenses of a given function or segment is offset by program
revenue. Direct expenses are those that are clearly identifiable with a specific function or segment. Program
revenue includes (1)charges to customers or applicants who purchase, use, or directly benefit from goods,
services, or privileges provided by a given function or segment and (2) grants and contributors that are
restricted to meeting the operational or capital requirements of a particular function or segment taxes.
_ Separate fund financial statements are provided for governmental funds and proprietary funds. Major
individual governmental funds and major individual enterprise funds are reported as separate columns in the
fund financial statements.
Fund Accounting
The accounts of the Town are organized on the basis of funds, each of which is considered a separate entity.
20
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise
its assets, liabilities, fund balance/equity, revenue, and expenditures or expenses, as appropriate.
Government resources are allocated to, and accounted for, in individual funds based upon the purposes for
which they are to be spent and the means by which spending activities are controlled. The funds are
organized as follows:
- Governmental Funds
The General Fund is the Town's primary operating fund. It is used to account for all financial resources
except those required to be accounted for in another fund.
Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than
special assessments, expendable trusts or major capital projects) that are legally restricted to
expenditures for specific purposes.
Capital Projects Funds are used to account for revenue and expenditures restricted to the acquisition or
construction of major capital facilities (other than those financed by Proprietary or Trust funds).
Debt Service Funds are used to account for the accumulation of resources for, and the payment of,
governmental fund long-term debt, both principal and interest.
Fiduciary Funds
Agency Funds are used to account for assets administered by the Town in a trustee capacity or as an
agent for other governments, primarily special assessment districts. Agency Funds are custodial in
nature (assets and liabilities), and do not involve measurement of results of operations.
Basis of Accounting and Measurement Focus
Basis of accounting refers to when revenue and expenditures or expenses are recognized in the accounts
and reported in the financial statements. Basis of accounting relates to the timing of measurement made,
regardless of the measurement focus applied.
The government-wide financial statements are reported using the economic resources measurement focus
and the accrual basis of accounting. Revenue is recorded when earned and expenses are recorded when a
liability is incurred regardless of the timing of related cash flows. Property taxes are recognized as revenue
in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all
eligibility requirements have been met.
In the fund financial statements, all Governmental Funds and Agency Funds are accounted for using the
modified accrual basis of accounting. Revenue is recognized when it becomes both measurable and
available to finance the expenditures of the current period (susceptible to accrual). Major revenue sources
susceptible to accrual include substantially all property taxes, taxpayer-assessed taxes (such as sales and
use, utility users, business license, transient occupancy, franchise fees and gas taxes), interest, special
assessments levied, state and federal grants, and charges for current services. Revenue from licenses,
permits,fines and forfeits is recorded as received. Expenditures are recorded when the related fund liability
is incurred. Fiduciary Fund revenue and expenses or expenditures (as appropriate)are recognized on the
basis consistent with the fund's accounting measurement objective.
All Governmental Funds are accounted for using a current financial resources measurement focus. This
means that only current assets and current liabilities are generally included on their balance sheets. Their
reported fund balance is considered a measure of"available spendable resources." Governmental Fund
operating statements present increases(revenue and other financing sources)and decreases(expenditures
and other financing uses) in net current assets. Accordingly,they present a summary of sources and uses of
"available spendable resources" during a period.
21
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
- The government-wide financial statement is accounted for on a flow of economic resources measurement
focus. This means that all assets and all liabilities (whether current or noncurrent) associated with their
activity are included on their statement of net position.
Cash and Investments
Deposits in financial institutions, money market funds, and the State Treasurer's investment pool are
reported as cash and investments since funds can spend cash at any time without prior notice or penalty.All
investments with fiscal agents are also considered cash equivalents if they are liquid. Investments are stated
at fair value.
Restricted Assets
Certain cash and investments of the Town are classified as restricted because their uses are limited by
revenue sources. When an expense is incurred for purposes for which there are both restricted and
unrestricted cash assets available, restricted cash is used first, then unrestricted cash as it is needed.
Use of Estimates
Financial statement preparation in conformity with accounting principles generally accepted in the United
States of America requires the use of estimates and assumptions that affect the reported amounts of assets
and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the
reported amounts of revenue and expenditures/expenses during the reporting period. Actual results could
differ from those estimates.
Receivables and Payables
Property, sales, and use taxes related to the current fiscal year are accrued as revenue and accounts
receivable are considered available if received within 60 days of fiscal year end. Federal and State grants
are considered receivable and accrued as revenue when reimbursable costs are incurred under the accrual
basis of accounting in the government-wide statement of net position. The amount recognized as revenue
under the modified accrual basis of accounting is limited to'the amount that is deemed measurable and
available. The Town considers these taxes available if they are received during the period when settlement
of prior fiscal year accounts payable and payroll charges normally occur. Grants, entitlements or shared
revenue are recorded as receivables and revenue in the general, special revenue, and capital projects funds
when they are received or susceptible to accrual.
Balances representing lending/borrowing transactions between funds outstanding at the end of the fiscal
year are reported as either"due to/due from other funds" (amounts due within one year), "advances to/from
other funds"(non-current portions of interfund lending/borrowing transactions), or"loans to/from other funds"
(long-term lending/borrowing transactions as evidenced by loan agreements)_
Allowance for Doubtful Accounts
Management has elected to record bad debts using the direct write-off method. Accounting principles
generally accepted in the United States of America require that the allowance method be used to reflect bad
debts. However,the effect of the use of the direct write-off method is not materially different from the results
that would have been obtained had the allowance method been followed.
Property Taxes
Property taxes in the State of California are administered for all local agencies at the County level and
consist of secured, unsecured and utility tax rolls. The following is a summary of major policies and practices
relating to property taxes:
➢ Property Valuations - are established by the Assessor of Marin County for the secured and
unsecured property tax rolls; the utility property tax roll is valued by the California State Board of
Equalization. Under the provisions of Article XIIIA of the State Constitution (Proposition 13, adopted
22
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
by the voters on June 6, 1978), properties are assessed at 100% of full value. From this base of
assessment, subsequent annual increases in valuation are limited to a maximum of 2%. However,
increase to full value is allowed for property improvements or upon change in ownership. Personal
-- property is excluded from these limitations and is subject to annual reappraisal.
➢ Tax Levies - are limited to 1% of full assessed value which results in a tax rate of $1.00 per $100
assessed valuation under the provisions of Proposition 13. Tax rates for voter-approved
indebtedness are excluded from this limitation.
➢ Tax Levy Dates-are attached annually on January 1, preceding the fiscal year for which the taxes
are levied. The fiscal year begins July 1 and ends June 30 of the following year. Taxes are levied on
both real and unsecured personal property. Liens against real estate, as well as the tax on personal
property, are not relieved by subsequent renewal or change in ownership_
➢ Tax Collections-are the responsibility of the Marin County's tax collector. Taxes and assessments
on secured and utility rolls, which constitute a lien against the property, may be paid in two
installments: The first is due on November 1 of the fiscal year and is delinquent if not paid by
December 10; and the second is due on March 1 of the fiscal year and is delinquent if not paid by
April 10. Unsecured personal property taxes do not constitute a lien against property unless the
taxes become delinquent. Payment must be made in one installment, which is delinquent if not paid
by August 31 of the fiscal year. Significant penalties are imposed by the County for late payments.
➢ Tax Levy Apportionments -due to the nature of the Town-wide maximum levy, it is not possible to
identify general-purpose tax rates for specific entities. Under State legislation adopted subsequent to
the passage of Proposition 13, apportionments to local agencies are made by each County auditor-
controller based primarily on the ratio that each agency represented of the total Town-wide levy for
the three fiscal years prior to fiscal year 1979.
➢ Property Tax Administration Fees-the State of California fiscal year 1990-91 Budget Act authorized
Counties to collect an administrative fee for its collection and distribution of property taxes.
Capital Assets
Capital assets are reported in the government-wide statement of net position. Capital assets are stated at
historical cost, when available and at estimated replacement cost when original cost was not available.
j Donated assets are stated at estimated market value at date of donation. The Town's policy is to capitalize
all capital assets with costs exceeding a minimum threshold of$5,000. Depreciation is recorded using the
straight-line method over the estimated useful lives of the assets,which range from five to seventy-five years.
Compensated Absences
Compensated absences represent the vested portion of accumulated vacation and sick leave. The Town's
method of calculating the liability is in accordance with GASB Statement No. 16, except that additional
accruals for salary-related payments associated with the payment of compensated absences, for example,
the employer's share of pension contributions, social security and medicare taxes, have not been accrued as
that amount is not considered significant or material to the financial statements taken as a whole. In
governmental fund types, the cost of vacation and sick leave benefits is recognized when payments are
made to employees.
Long-term Obligations
In the government-wide financial statements, long-term debt and obligations are reported as liabilities in the
applicable statement of net position. Bond premiums, issuance costs and discounts are deferred and
amortized over the life of the bond. in the fund financial statements, governmental fund types recognize
bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount
of debt issued is reported as other financing sources.
23
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Pension Plan
In government-wide financial statements, defined benefit pension plan overfunded or underfunded liabilities
are required to be recognized and disclosed using the accrual basis of accounting, regardless of the amount
recognized as pension expenditures on the governmental fund statements, which use the modified accrual
basis of accounting.
In general, the Town recognizes a net pension liability, which represents the Town's proportionate share of
the excess of the total pension liability over the fiduciary net position of the pension reflected in the actuarial
report provided by the California Public Employees Retirement System (CaIPERS). The net pension liability
is measured as of the Town's prior fiscal year-end. Changes in the net pension liability are recorded, in the
period incurred, as pension expense or as deferred inflows of resources or deferred outflows of resources
depending on the nature of the change. The changes in net pension liability that are recorded as deferred
inflows of resources or deferred outflows of resources (that arise from changes in actuarial assumptions or
other inputs and differences between expected or actual experience) are amortized over the weighted
average remaining service life of all participants in the respective pension plan and are recorded as a
component of pension expense beginning with the period in which they are incurred.
For purposes of measuring the net pension liability and deferred outflows/inflows or resources relating to
pensions and pension expense, information about the fiduciary net position of the Town's pension plan with
CalPERS and additions to/deductions from the plan's fiduciary net position have been determined on the
same basis as they are reported by CaIPERS. For this purpose, benefit payments (including refunds of
employee contributions) are recognized when due and payable in accordance with the benefits terms.
Investments are reported at fair value.
Projected earnings on pension investments are recognized as a component of pension expense. Differences
between projected and actual investment earnings are reported as deferred inflows of resources or deferred
outflows of resources and amortized as a component of pension expense on a closed basis over a five-year
period beginning with the period in which the difference occurred. Each subsequent year will incorporate an
additional closed basis five-year period of recognition.
Major Funds
The Town's Major Funds are as follows:
General Fund-this fund is used to account for the general operations of the Town, and is used to
account for all financial resources except those required to be accounted for in another fund.
Tiburon Street Impact Fund-this fund is used to account for the collection of impact fees from permits
issued for construction projects within the Town limits, whose use is restricted for street projects.
Net Position and Fund Balances
The government-wide financial statements utilize a net position presentation. Net position represents the
difference between assets plus deferred outflow of resources, as compared to liabilities plus deferred inflow
of resources, and are displayed in the following three components:
• Net Investment in Capital Assets-this component groups all capital assets, reduced by accumulated
depreciation, and the outstanding balances of debt that are attributable to the acquisition,
construction or improvement of the assets.
• Restricted Net Position_this component represents net position that is subject to constraints either
(1) externally imposed by creditors (such as debt covenants), grantors, contributors, or laws or
regulations of other governments or(2) imposed by law through constitutional provisions or enabling
legislation.
• Unrestricted Net Position-this component represents net position of the Town not restricted for any
construction project or other purpose.
24
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
When both restricted and unrestricted net position is available, restricted resources are used first, then
unrestricted resources as they are needed.
In accordance with GASB Statement No. 54, "Fund Balance Reporting and Governmental Fund Type
Definitions,"governmental funds report fund balance as nonspendable, restricted, committed, assigned or
unassigned based primarily on the extent to which the Town is bound to honor constraints on how specific
amounts can be spent.
• Nonspendable Fund Balances-amounts that cannot be spent because they are either(a) legally or
contractually required to be maintained intact or (b) not in spendable form such as long-term notes
receivable.
• Restricted Fund Balances - amounts that can be spent only for the specific purposes stipulated by
constitution, external resource providers, or through enabling legislation_
• Committed Fund Balances-amounts that can be used only for the specific purposes determined by a
formal action of the Town Council, to establish, modify or rescind a fund balance commitment.
• Assigned Fund Balances- amounts that are constrained by the government's intent to be used for
specific purposes but do not meet the criteria to be classified as restricted or committed, as
determined by a formal action or policy of the Town Council or its appointed official.
• Unassigned Fund Balances - the residual classification for the government's general fund and
includes all spendable amounts not contained in the other classifications.
The Town has set aside amounts for emergency situations or revenue shortages or budgetary imbalances,
commonly referred to as revenue stabilization. The authority to set aside those amounts generally comes.
from statue, ordinance, resolution, constitution or policy. Stabilization amounts may be expended with
Council approval only when certain specific circumstances exist as determined by Council at that time.
When expenditures are incurred for purposes for which both restricted and unrestricted amounts are
available, it is the Town's policy to expend restricted fund balances first. When expenditures are incurred for
purposes for which committed, assigned, or unassigned amounts are available, it is the Town's policy to
expend committed, then assigned, then unassigned amounts in that order.
Note 3 - Stewardship, Compliance and Accountability
Budgetary Information
The Town follows these procedures annually in establishing the budgetary data reflected in the financial
statements:
1. The Town Manager submits to the Town Council a proposed draft budget for the fiscal year commencing
the following July 1. The budget includes proposed expenditures and the means of financing them.
2. The Town Council reviews the proposed budget at special scheduled sessions which are open to the
public. The Council also conducts a public hearing on the proposed budget to obtain comments from
interested persons.
3. Prior to July 1, the budget is adopted through the passage of a resolution.
4. From the effective date of the budget, which is adopted and controlled at the department level, the
amounts stated therein as proposed expenditures become appropriations to the various Town
departments. The Town Council may amend the budget by resolution during the fiscal year. The Town
Manager may authorize transfers from one object or purpose to another within the same department,and
between departments within the General Fund. All appropriations lapse at year end.
25
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Economic Dependency
In fiscal year 2015-16, the Town received 52% of its total general fund revenue.from one source; property
taxes. Any reduction in assessed property values or reductions in the Town's property tax share due to the
State's ongoing budget issues could have serious consequences to the Town's operating budget.
Revenue Limitations Imposed BV California Proposition 218
Proposition 218, which was approved by the voters in November 1996, regulates the Town's ability to
impose, increase, and extend taxes, assessments, and fees. Any new, increased, or extended taxes,
assessments, and fees subject to the provisions of Proposition 218, require voter approval before they can
be implemented. Additionally, Proposition 218 provides that these taxes, assessments,and fees are subject
to the voter initiative process and may be rescinded in future years by the voters.
Note 4 - Cash and Investments
The Town follows the practice of pooling cash and investments of all funds except for restricted funds required
to be held by outside custodians, fiscal agents or trustees under the provisions of bond indentures. Cash and
investments are classified in the accompanying financial statements as follows:
Statement of Net Position
Cash and investments $ 21,441,461
Statement of Fiduciary Net Assets
Cash and investments 1,869,790
Cash investments with fiscal agent 103,260
$ 23,414,511
Cash and Investments are comprised of the following:
Deposits with financial institutions:
money market mutual funds $ 100,000
checking accounts (73,171)
Investment with Local Agency Investment Fund 23,284,422
US Treasury money market funds 103,260
$ 23,414,511
Investment in State Investment Pool
The Town is a voluntary participant in the Local Agency Investment Fund(LAIF). LAIF,established in 1977,
is regulated by California Government Code Section 16429 and under the day to day administration of the
California State Treasurer. There is a five member Local Investment Advisory Board that is chaired by the
State Treasurer. LAIF determines fair value of its investment portfolio based on market quotations for those
securities where market quotations are readily available, and on amortized cost or best estimate for those
securities where market value is not readily available. LAIF is part of the Pooled Money Investment Account
(PMIA) and under the control of the State Treasurer's Office,which is audited by the Bureau of State Audits
on an annual basis. At fiscal year end PMIA had approximately $75.4 billion in investments. Audited
financial statements of PMIA may be obtained from the California State Treasurer.
The fair value of ti ie City's investment ent i.i this pool is reported in the accompanying financial statements at
amounts based upon the City's pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio
(in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the
accounting records maintained by LAIF, which are recorded on an amortized cost basis.
26
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an
investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to
changes in market interest rates. Information about the sensitivity of the fair values of the Town's
investments to market interest rate fluctuations is provided by the following table that shows the maturity date
and yield of each investment:
Maturity/Yield
State investment pool (LAIF) $23,284,422 6 months average maturity, 0.55%yield
US Treasury money market funds 103,260 due on demand, 0.0% yield
Money market mutual funds 100,000 due on demand, 0.15%yield
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the
investment. This is measured by the assignment of a rating by a nationally recognized statistical rating
organization. LAIF does not have a rating provided by a nationally recognized statistical rating organization.
Concentration of Credit Risk
The investment policy of the Town contains limitations on the amount that can be invested in any single
issuer as follows: 5% for negotiable certificates of deposit and commercial paper, 15% for money market
funds, 20%for federal agencies and US GSEs, and no limit for US Treasury Securities and LAIF. There are
no investments in any single issuer that represent 5%or more of total Town investments. Nearly 99%of the
Town's cash and investments at fiscal year end were invested in LAIF.
i
i
Custodial Credit Risk
Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution,
a government will not be able to recover its deposits or will not be able to recover collateral securities that are
in the possession of an outside party. The California Government Code and the Town's investment policy do
not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits,
other than the following provision for deposits: "the California Government Code requires that a financial
institution secure deposits made by state or local governmental units by pledging securities in an undivided
collateral pool held by a depository regulated under state law(unless so waived by the governmental unit).
The market value of the pledged securities in the collateral pool must equal at least 110%of the total amount
j deposited by the public agencies." California law also allows financial institutions to secure Town deposits
by pledging first trust deed mortgage notes having a value of 150% of the secured public deposits. At fiscal
year end the Town had $206,778 that was not covered by depository insurance but collateralized by either
marketable securities, first trust deed mortgage notes, or a combination of both.
The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty(e.g.,
broker-dealer) to a transaction, a government will not be able to recover the value of its investment or
collateral securities that are in the possession of another party. The California Government Code and the
Town's investment policy do not contain legal or policy requirements that would limit the exposure to
custodial credit risk for investments. With respect to investments,custodial credit risk generally applies only
to direct investments in marketable securities. Custodial credit risk does not apply to a local government's
indirect investment in securities through the use of mutual funds or government investment pools (such as
LAI F).
Note 5 - Notes Receivable
In conjunction with the October 2006 employment agreement between the Town of Tiburon and the former
Town Manager who retired December 31, 2015, the Town provided a second mortgage secured by a deed of
27
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
trust on the Manager's primary residence in the amount of $800,000. The loan is payable in monthly
installments of interest only, and bears interest at the LAIF rate, up to a maximum annual rate of 5.5%. The
loan is due December 31, 2017. This amount is recorded as a note receivable in the Town's general fund.
Note 6 - Capital Assets
The following is a summary of changes in the Town's capital assets as reported in the Governmental-wide
financial statements:
Beginning Additions/ Retirements/ Ending
Balance Completions Adjustments Balance
Non-depreciable Assets
Land $ 4,087,952 $ - $ - $ 4,087,952
Depreciable Assets
Buildings and improvements 5,965,293 - 5,965,293
Furniture and equipment 2,866,966 128,083 (66,937) 2,928,112
Infrastructure 55,984,205 2,097,258 - 58,081,463
64,816,464 2,225,341 (66,937) 66,974,868
Accumulated Depreciation (29,645,358) (1,324,005) 66,937 (30,902,426)
Depreciable assets, net 35,171,106 901,336 - 36,072,442
Net Capital Assets $ 39,259,058 $ 901,336 $ - $ 40,160,394
Note 7- Long-term Obligations
Changes in long-term obligations for the fiscal year were as follows:
Due Within
Beginning Additions Reductions End of Year One Year
Compensated Absences $ 370,244 $ - $ (43,847) $ 326,397 $ 81,599
Postemployment Benefits 1,839,397 174,882 - 2,014,279
Net Pension Liability 4,771,765 641,232 - 5,412,997
$ 6,981,406 $ 816,114 $ (43,847) $ 7,753,673
Note 8 - Special Assessment District Bond Obligations
The Town acts as an agent for collection of property taxes and repayment of several special assessment
district improvement bonds issued on behalf of these districts located within the Town's boundary limits.
Since the Town is not obligated in the event of any manner for these special assessment bonds,debt service
payments, or default, the debt is not recorded in these financial statements.
The outstanding balance of Special Assessment District bond obligations at fiscal year end was as follows:
28
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Del Mar Valley Utility District Underground Bonds $ 2,505,000
Del Mar Valley District 2010 Bonds 1,885,000
Stewart Drive District 2001 Bonds 920,000
Lyford Cove Utility Underground District 2005-01 Bonds 2,945,000
Lyford Cove Utility Underground District 2005 Supplemental Bonds 1,992,561
Main Street District ADA Improvements (1999) 153,000
Note 9- Interfund Transfers
Operating interfund transfers for the fiscal year comprise the following:
Fund Transfers In Transfers Out
General Fund 101 $ 127,441 $ 3,134,466
GASB 45 reserve fund 206,866 -
Capital Equipment reserve fund 122,200 -
Technology reserve fund 55,400 -
Police Supplemental Law Enforcement grant fund - 127,441
Path Improvement fund 750,000 -
Drainage reserve fund 1,250,000 -
Infrastructure reserve fund 750,000 -
$ 3,261,907 $ 3,261,907
Note 10- Postemployment Benefits Other Than Pensions
Plan Description
The Town provides retiree medical benefits to employees who retire from the Town at age 50 or later with at
least 5 years of service and are eligible for a CaIPERS pension. Eligible retirees are entitled to the minimum
CaIPERS medical benefit, which was $125 per month in year 2016. The amount is anticipated to increase
annually. This benefit continues for the life of the retiree and then for the life of a surviving spouse, as
applicable.
In addition, retirees with 15 or more years of Town service are eligible to receive a monthly benefit based on
the monthly premium charged by CalPERS for Kaiser Permanente medical insurance at the single person
rate, which was $746 in year 2016. However, this benefit does not apply to management and mid-
management employees hired after July 1, 2009, or police employees hired after July 1, 2010, or SEIU
employees hired after June 1, 2011. The benefit amount is equal to the percentage shown below, of the
Kaiser single premium at the time of retirement. The amounts, which are paid by the Town directly to
retirees, are fixed at retirement, and do not increase in subsequent years. The benefit amount does not
decrease at age 65 even though Kaiser insurance premiums may decrease substantially at that age. The
benefit continues only for the life of the retiree, as follows:
15-19 years of service 50% of benefit
20-24 years of service 75% of benefit
25 or more years of service 100% of benefit
29
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Retirees may select any retiree medical plan offered by CalPERS, including spouse or family coverage, but
must incur the cost of the premiums exceeding the above benefits.
Actuarial Method and Assumptions
The valuation was completed using the Entry Age Normal Cost Method. This is a projected benefit cost
method, which takes into account those benefits that are expected to be earned in the future as well as those
already accrued.
Discount Rate
Valuation results were computed at a 4.00% discount rate which is considered a reasonable long-term
assumption of the Town's expected return on its investments.
Valuation Results and Accounting Requirements
The Actuarial Valuation of Postemployment Health Benefits report was prepared with a Valuation Date of
July 1, 2014 to provide an estimate of the Town's liability for postemployment medical benefits.attributable to
past service rendered.by current retirees and employees who are expected to receive the benefit. Public
entities that sponsor postemployment benefits are required by Governmental Accounting Standards Board
(GASB) Statement No. 45 to account for the cost of those benefits using accrual accounting rather than the
more common pay-as-you-go accounting. This means that each employee's benefit will"accrue"throughout
their working lifetime and that the Town will be required to show the annual accruals as a current year
expense.
The table below contains estimates of the present value of the cost of postemployment medical benefits
attributable to past service rendered by current retirees and employees who are expected to receive the
benefit. The estimates are based on the assumptions and methodology prescribed for Agencies that
participate in the CalPERS administered California Employers' Retiree Benefit Trust Fund. The valuation
results are based on a discount rate of 4.00%, assuming that the Town continues pay-as-you-go funding of
the program. If the Town joins the CERBT Trust and contributes at least part of the Annual Required
Contributions (ARC) each year, a higher discount rate may be possible. This could result in lower annual
costs as reported under GASB 45.
A primary goal of GASB 45 is to require employers to recognize postemployment healthcare expense
systematically over periods approximating employees' years of service. The Actuarial Accrued Liability
represents the estimated present value of future benefits that are associated with past service rendered by
employees and retirees. The Unfunded Actuarial Accrued Liability is the excess of the Actuarial Accrued
Liability over the Actuarial Value of any Assets, as follows:
Present Value of Future Postemployment Healthcare Cost
Attributable to Past Service
As of July 1, 2014
4%
Discount Rate
Actives $ 2,223,165
Retirees and Spouses 1,247,622
Total Actuarial Accrued Liability $ 3,470,787
Actuarial Value of Assets -
Unfunded Actuarial Accrued Liability $ 3,470,787
30
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Proiected Postemployment Health Benefit Costs
The following table provides a ten-year projection of the pay-as-you-go cost to provide postemployment
benefits to current retirees and future retirees from the Town's current employees:
Estimated Annual Pay-as-you-go Cost
Year Estimated Amount
2015/16 $ 105,580
2016/17 119,394
2017/18 131,269
2018/19 144,075
2019/20 158,954
2020/21 170,382
2021/22 183,205
2022/23 191,993
2023/24 201,442
Benefit Costs under GASB 45
The following table provides disclosure of information regarding the Town's Annual OPEB Cost. The
Unfunded Actuarial Accrued Liability amount is currently not required by GASB to be reported in the Town's
government-wide financial statements.
The Annual-Required Contribution (ARC) consists of the Normal Cost plus the portion of the Unfunded
Actuarial Accrued Liability that is to be amortized in the current year. The Normal Cost is the portion of the
actuarial present value of future benefits that is allocated to the current year. Another interpretation is that
the Normal Cost is the present value of future benefits that are"earned" by employees for service rendered
during the current year. This valuation is based on the Entry Age Normal Cost method of calculation and an
attribution period that runs from date of hire until the expected retirement date.
An employer is allowed to commence amortization of the Unfunded Actuarial Accrued Liability(UAAL)over a
period not to exceed 30 years. The amortization method used in this valuation is the level dollar method.
The UAAL amortization is occurring over a closed 30-year period that commenced in the 2008/09 fiscal year.
The Plan's actuary assumed that 6 years of amortization have occurred since 2008/09 and that 24 years
remained as of July 1, 2014. The following table is based on a level percentage of payroll amortization over
24 years:
31
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Development of 2015/ 2016 Fiscal Year
Annual OPEB Cost- Based on a 4.00% discount rate
Actuarial Accrued Liability $ 3,629,754
-- Actuarial Value of Assets -
Unfunded Actuarial Accrued Liability $ 3,629,754
Amortization Period 23 years
Annual % of Payroll Amortization of Unfunded AAL $ 119,323
Normal Cost (based on the Entry Age Normal Method) 177,525
Annual Required Contribution 296,848
Interest on Net OPEB Obligation 73,576
Adjustment to ARC (89,962)
Annual OPEB Cost 280,462
Pay-as-you-go Cost (105,580)
Increase in net OPEB Obligation 174,882
Net OPEB Obligation - beginning of year 1,839,397
Net OPEB Obligation -end of year $ 2,014,279
Note 11 - Defined Benefit Pension Plan
A. General Information about the Plan
Plan Description
The Town provides pension benefits to-eligible employees through a cost-sharing multiple-employer defined
benefit pension plan administered by the California Public Employees Retirement System (CalPERS).
CalPERS acts as a common investment and administrative agent for participating public entities within the
State of California. Benefit provisions and all other requirements are established by State statute and Town
ordinance. CaIPERS issues publicly available reports that include a full description of the pension plans
regarding benefit provisions, assumptions and membership information that can be found on the CaIPERS
website.
Benefits Provided
CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death
benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of
credited service, equal to one year of full time employment. Members with five years of total service are
eligible to retire at age 50-55 with statutorily reduced benefits. Death benefits are the pre-retirement Optional
Settlement 2W Death Benefit, and the post-retirement death benefit lump sum. The cost of living
adjustments for each plan are applied as specified by the Public Employees Retirement Law.
The Plans' provisions and benefits are summarized as follows:
32
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Miscellaneous Plan
Prior to On or after
Hire date January 1, 2013 January 1, 2013
Benefit formula 2% @ 55 2% @ 62
Benefit vesting schedule 5 years svc 5 year svc
Benefit payments monthly for life monthly for life
Retirement age 55 62
Monthly benefits, as a % of eligible compensation 2.0% 2.0%
Required employee contribution rates 6.891% 6.308%
Required employer contribution rates 10.781% 6.250%
Safety Plan
Prior to On or after
Hire date January 1, 2013 January 1, 2013
Benefit formula 3% @ 55 2.7% @ 57
Benefit vesting schedule 5 years svc 5 year svc
Benefit payments monthly for life monthly for life
Retirement age 55 57
Monthly benefits, as a % of eligible compensation 3.0% 2.7%
Required employee contribution rates 8.980% 11.500%
Required employer contribution rates 20.774% 11.500%
Contributions
The Town makes contributions required as the employer. Employee members are required to make
contributions of their annual covered salary in an amount depending upon date of hire. The contribution
requirements of the plan are established and may be amended by CalPERS. Section 20814(c) of the
California Public Employees' Retirement. Law requires that the employer contribution rates for all public
employers be determined on an annual basis by the actuary and shall be effective on the July 1 following
notice of a change in the rate. Funding contributions for the Plans are determined annually on an actuarial
basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to
finance the costs of benefits earned by employees during the year,with an additional amount to finance any
unfunded accrued liability. The Town is required to contribute the difference between the actuarially
determined rate and the contribution rate of employees. For the year ended June 30, 2016, employer
pension plan contributions were $753,153.
B. Pension Liabilities, Pension Expense and Deferred Outflows/Inflows of Resources Related
to Pensions
As of June 30, 2016, the Town reported a net pension liability for its Proportionate Share of the Net
Pension Liability of the CalPERS Public Agency Cost-Sharing Plan in the amount of$5,412,997.
The Town's net pension liability of its Plan with CalPERS is measured as the proportionate share of the
net pension liability. The net pension liability of the Plan is measured as of June 30, 2015 (measurement
date), and the total pension liability for the Plan used to calculate the net pension liability was determined by
33
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
an actuarial valuation as of June 30, 2014 rolled forward to June 30, 2015 using standard update
procedures. The Town's proportion of the net pension liability was based on a projection of the Town's long-
term share of contributions to the pension plan relative to the projected contributions of all participating
employers, actuarially determined. The Town's proportionate share of the net pension liability as of June
30, 2016 was 0.079%_ For the year ended June 30, 2016, the Town recognized pension expense of
$407,942.
The Town reported deferred outflows of resources and deferred inflows of resources related to pensions
from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Changes of assumptions $ $ 280,930
Differences between expected and actual experience - 19,875
Differences between expected and actual contributions - 288,642
Change in proportion - 703,433
Difference between projected and actual investment earnings - 141,677
Contributions after the measurement date 753,153 -
Totals $ 753,153 $ 1,434,557
Recognition of Deferred Outflows and Inflows of Resources in Future Pension Expense as follows:
Year Ended
June 30,
2016 $ 417,103
2017 417,103
2018 417,103
2019 417,103
$ 1,668,412
C. Actuarial Assumptions
The total pension liability for this plan's actuarial valuation was determined using the following actuarial
assumptions:
34
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Miscellaneous & Safety Plans
Valuation Date June 30, 2015
Measurement Date June 30, 2015
Actuarial Cost Method Entry-Age Normal Cost
Actuarial Assumptions:
Discount Rate 7.65%
Inflation 2.75%
Payroll Growth 3.00%
Projected Salary Increase 3.2% - 15.0% (1)
Investment Rate of Return 7-5% (2)
(1) Depending on age, service, and type of employment
(2) Net of pension plan investment expenses, including inflation
D. Discount Rate
The discount rate used to measure the total pension liability was 7.65%for the Plan. To determine whether
the municipal bond rate should be used in the calculation of a discount rate, CaIPERS stress tested plans
that would most likely result in a discount rate that would be different from the actuarially assumed
discount rate. Based on the testing, none of the tested plans run out of assets. Therefore, the current
7.65 percent discount rate is adequate and the use of the municipal bond rate calculation is not
necessary. The long-term expected discount rate of 7.65 percent will be applied to all plans in the Public
Employees Retirement Fund (PERF). The stress test results are presented in a detailed report that can be
obtained from the CaIPERS website.
According to Paragraph 30 of GASB 68, the long-term discount rate should be determined without reduction
for pension plan administrative expense. The 7.65 percent investment return assumption used in this
accounting valuation is gross of administrative expenses. Administrative expenses are assumed to be 15
basis points. An investment return net of administrative expenses would be 7.50 percent. Using this lower
discount rate has resulted in a slightly higher Total Pension Liability and Net Pension Liability. CalPERS
checked the materiality threshold for the difference in calculation and did not find it to be a material
difference.
CaIPERS is scheduled to review all actuarial assumptions as part of its regular Asset Liability Management
(ALM) review cycle that is scheduled to be completed in February 2018. Any changes to the discount rate
will require Board action and proper stakeholder outreach. For these reasons, CalPERS expects to continue
using a discount rate net of administrative expenses for GASB 67 and 68 calculations through at least the
2017-18 fiscal year and will continue to check the materiality of the difference in calculation until such time as
they change their methodology.
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates of return (expected returns, net of
pension plan investment expense and inflation)are developed for each major asset class. In determining the
long-term expected rate of return, CalPERS took into account both short-term and long-term market return
expectations as well as the expected pension fund cash flows. Using historical returns of all the funds'asset
classes, expected compound returns were calculated over the short-term (first 10 years)and the long-term
(11-60 years) using a building-block approach.
35
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Using the expected nominal returns for both short-term and long-term, the present value of benefits was
calculated for each fund. The expected rate of return was set by calculating the single equivalent
expected return that arrived at the same present value of benefits for cash flows as the one calculated using
both short-term and long-term returns. The expected rate of return was then set equivalent to the single
equivalent rate calculated above and rounded down to the nearest one quarter of one percent.
CalPERS adheres to an Asset Allocation Strategy which establishes asset class allocation policy targets and
ranges, and manages those asset class allocations within their policy ranges. The table below reflects the
long-term expected real rate of return by asset class. The rate of return was calculated using the capital
market assumptions applied to determine the discount rate and asset allocation. These rates of return are
net of administrative expenses. The asset allocation has an expected long-term blended rate of return of 7.5
percent.
New Strategic
Asset Class Allocation
Global Equity 51.00%
Global Fixed Income 20.00%
Inflation Sensitive Assets 6.00%
Private Equity 10.00%
Real Assets 12.00%
Other 0.00%
Liquid Assets 1.00%
100.00%
E, Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate
The following-presents the Town's proportionate share of the unfunded net pension liability for each Plan,
calculated using the discount rate for each Plan, as well as what the Town's proportionate share of the net
pension liability would be if it were calculated using a discount rate that is 1 percentage point lower or 1
percentage point higher than the current rate:
Discount Rate-1% Current Discount Discount Rate +1%
6.50% Rate 7.50% 8.50%
Net Pension Liability 10,066,334 $ 5,412,997 $ 2,805,016
Note 12 - Commitments and Contingencies
The Town receives funding from a number of federal, state and local grant programs. These programs are
subject to financial and compliance review by grantors. Accordingly,the Town's compliance with applicable
grant requirements will be determined at some future date. Expenditures, if any, which may be disallowed by
the granting agencies, cannot be determined at this time. The Town does not expect the undeterminable
amounts of disallowed expenditures, if any, to materially affect the financial statements. Receipt of this
federal, state and local grant revenue is not assured in the future.
The Town participates in a Joint Powers Agreement through the Marin Emergency Radio Authority(MERA)
under an operating agreement dated February 1, 1999, which provides a public safety radio system to its
members. The Town has committed to pay a pro-rata share of MERA's operations costs and debt service
through year 2022, which are projected at $85,000 per year.
36
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
At June 30, 2016,the Town had one ongoing construction contract totaling approximately$500,000, of which
approximately $400,000 has been paid.
Note 13 - Risk Management
General liability
The Town participates in the Association of Bay Area Governments (ABAG Plan), a Joint Exercise of Power
Agency. The ABAG Plan provides the Town with coverage for general liability, excess liability; public official
bond, property, and crime insurance, with various deductibles. For those liability claims below$50,000 per
occurrence, the Town is self-insured. ABAG Plan members may receive rebates when so declared by
ABAG. In the event excess liability claims exceed available resources, members may be required to make
additional contributions.
The ABAG Plan is a self-insured, risk-sharing pool comprised of 29 member local agencies and cities in the
San Francisco-Oakland Metropolitan Bay Area. The governing body includes one person from each member
town, city, or agency with an annual election for the executive committee positions. Financial statements
may be obtained from ABAG, Post Office Box 2050, Oakland, California 94604.
Workers' compensation
The Town participates in a joint powers agreement through the Bay Cities Joint Powers Insurance Authority
(BCJPIA). The Town currently reports all of its workers' compensation related risk management activities in
its General Fund (self-insurance reserve). Claim expenditures and liabilities are reported when it is probable
that a loss has occurred and the amount of that loss can be reasonably estimated. The Town currently
reports all of its risk management activities in its General Fund.
BCJPIA was created as a California Public Agency by an agreement between certain public agencies in the
San Francisco Bay Area to provide workers' compensation coverage. BCJPIA is governed by a Board of
Directors which is comprised of officials appointed by each member town, city or agency. The workers'
compensation fund is self-insured for the first $150,000 of loss per accident; excess coverage policy is
provided by an outside insurance carrier up to statutory limits. Financial statements may be obtained from
BCJPIA, 1750 Creekside Oaks Drive, Suite 200, Sacramento, California 95833.
Note 14 - Subsequent Events
The management of the Town has reviewed the results of operations for the period from its year end June
30, 2016 through October 30, 2016, the date the draft financial statements were available to be issued, and
have determined that no adjustments are necessary to the amounts reported in the accompanying financial
statements nor have any subsequent events occurred, the nature of which would require disclosure.
Note 15- New Pronouncements
The Governmental Accounting Standards Board (GASB) has released the following new pronouncements,
which can read in their entirety at http://www.gasb_org.
GASB Statement No_ 82, Pension Issues—an amendment of GASB Statements No. 67, No. 68, and No. 73
Effective Date: The requirements of this Statement are effective for reporting periods.beg inning after June
15, 2016, except for the requirements of paragraph 7 in a circumstance in which an employer's pension
liability is measured as of a date other than the employer's most recent fiscal year-end. In that circumstance,
the requirements of paragraph 7 are effective for that employer in the first reporting period in which the
37
TOWN OF TIBURON
'r Notes to Financial Statements
June 30, 2016
measurement date of the pension liability is on or after June 15, 2017. Earlier application is encouraged.
GASB Statement No. 81, Irrevocable Split-Interest Agreements
Effective Date: The requirements of this Statement are effective for periods beginning after December 15,
2016. Earlier application is encouraged.
GASB Statement No. 80, Blending Requirements for Certain Component Units—an amendment of GASB
Statement No. 14
Effective Date: The requirements of this Statement are effective for reporting periods beginning after June
15, 2016. Earlier application is encouraged.
GASB Statement No. 79, Certain External Investment Pools and Pool Participants
Effective Date: The requirements of this Statement are effective for reporting periods beginning after
June 15, 2015, except for the provisions in paragraphs 18, 19, 23-26, and 40, which are effective for
reporting periods beginning after December 15, 2015. Earlier application is encouraged.
GASB Statement No. 78, Pensions Provided through Certain Multiple-Employer Defined Benefit Pension
Plans
Effective Date: The requirements of this Statement are effective for reporting periods beginning after
December 15, 2015. Earlier application is encouraged.
GASB Statement No. 77, Tax Abatement Disclosures
Effective Date: The requirements of this Statement are effective for reporting periods beginning after
December 15, 2015. Earlier application is encouraged.
GASB Statement No. 76, The Hierarchy of Generally Accepted Accounting Principles for State and Local
Governments
Effective Date: The provisions in Statement 76 are effective for reporting periods beginning after June 15,
2015. Earlier application is encouraged.
GASB Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits Other Than
Pensions
Effective Date: The provisions in Statement 75 are effective for fiscal years beginning after June 15, 2017.
Earlier application is encouraged.
GASB Statement No. 74, Financial Reporting for Postemployment Benefit Plans Other Than Pension
Plans
Effective Date: The provisions in Statement 74 are effective for fiscal years beginning after June 15, 2016.
Earlier application is encouraged.
GASB Statement No. 73,Accounting and Financial Reporting for Pensions and Related Assets ThatAre Not
within the Scope of GASB Statement 68, and Amendments to Certain Provisions of GASB Statements 67
and 68
Effective Date:The provisions in Statement 73 are effective for fiscal years beginning after June 15, 2015—
except those provisions that address employers and governmental nonemployer contributing entities for
pensions that are not within the scope of Statement 68, which are effective for fiscal years beginning after
June 15, 2016. Earlier application is encouraged.
38
TOWN OF TIBURON
Notes to Financial Statements
June 30, 2016
Note 16 - Fund Balance Designations Section of the Balance Sheet
Tiburon Nonmajor
General Street Governmental
Fund Balances Fund Impact Fund Funds Total
Nonspendable:
Long-term notes receivable $ 800,000 $ - $ - $ 800,000
Restricted for:
Cypress Hollow LLD-98 - - 30,418 30,418
Gas tax-streets/sidewalks - 2,039,769 1,241,807 3,281,576
Sales tax&VLF projects - - 277,681 277,681
Parks in-lieu - - 13,239 13,239
Open space acquisition - - 194,500 194,500
Planning area mitigation - - 186,084 186,084
Storm water run-off - - 79,694 79,694
Circulation system improvement - - 89,991 89,991
Bunch grass mitigation - - 131,945 131,945
Total restricted fund balances - 2,039,769 2,245,359 4,285,128
Committed to:
GASB 45 OPEB reserve 1,252,019 - - 1,252,019
Operating reserve 3,000,000 - - 3,000,000
Town's LM housing - - 1,224,781 1,224,781
Long range planning - - 240,318 240,318
Total committed fund balances 4,252,019 - 1,465,099 5,717,118
Assigned:
Employee compensated leave 297,823 - - 297,823
Future public works facility 2,111,633 - - 2,111,633
Self insurance reserve 174,004 - - 174,004
Capital equipment reserve 135,000 - - 135,000
Technology equipment reserve 592,593 - - 592,593
Future Park development 810,532 - - 810,532
Open space management 25,141 - - 25,141
Disaster response reserve 100,000 - - 100,000
Streets & drainage reserve 1,224,955 - - 1,224,955
Capital outlay reserve 655,958 - - 655,958
Town owned housing units - - 337,708 337,708
Flower Fund - - 11,747 11,747
Heritage&Arts project - - 5,333 5,333
Total assigned fund balances 6,127,639 - 354,788 6,482,427
Unassigned 3,932,140 - 2,030 3,934,170
Total Fund Balances $ 15,111,798 $ 2,039,769 $ 4,067,276 $ 21,218,843
39
r
REQUIRED SUPPLEMENTARY INFORMATION
(unaudited)
TOWN OF TIBURON
Required Supplementary Information
Cost-Sharing Multiple-Employer Defined Benefit Pension Plan
Year Ended June 30, 2016
Schedule of Proportionate Share of the Net Pension Liability
The proportion (percentage) of the collective net pension liability represents the Town's share of both
cost-sharing plan assets (the miscellaneous and safety plans) offset against the actuarial determined
collective pension liability.
The proportionate share (dollar amount) of the collective net pension liability represents the Town's share
of both cost-sharing plan assets offset against the actuarial determined collective pension liability.
The employer's covered-employee payroll represents the payroll of employees that are provided with
pensions through the applicable miscellaneous or safety pension plan.
Schedule of Contributions
The employer's contributions to the plans are actuarially determined or based on statutory or contractual
requirements which comprise the following: (1) the agent employer's actuarially determined contribution
to the pension plan (its statutorily/contractually required contribution), (2) the employer's actual
contributions, the difference between the actual and actuarially determined contributions (its
statutorily/contractually required contributions), and (3) a ratio of the actual contributions divided by
covered-employee payroll.
40
TOWN OF TIBURON
Required Supplementary Information
Cost-Sharing Multiple-Employer Defined Benefit Pension Plan
Last 2 Fiscal Years
2016 2015
Schedule of the Town's Proportionate Share of the Net Pension Liability
Town's proportion of the net pension liability 0.079% 0.084%
Town's proportionate share of the net pension liability $ 5,412,997 $ 5,232,395
Town's covered-employee payroll $ 3,215,899 $ 3,297,050
Town's proportionate share of the net pension liability as a
percentage of its covered-employee payroll 168% 159%
Plan fiduciary net position as a percentage of the total pension liability 89% 81%
*the amounts presented for each fiscal year were determined as of the June 30, 2015 measurement date.
Schedule of the Town's Contributions
Contractually required employer contribution $ 553,153 $ 463,611
Contributions in relation to the contractually required employer contribution 753,153 463,611
Contribution deficiency(excess) $ (200,000) $ -
Town's covered-employee payroll $ 3,215,899 $ 3,297,050
Contributions as a percentage of covered-employee payroll 23.42% 14.06%
41
TOWN OF TIBURON
Required Supplementary Information
Schedule of Funding Progress (unaudited)
Other Postemployment Benefits Plan
As of June 30, 2016
The Schedule of Funding Progress presents trend information about whether the actuarial value of plan
assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. Trend
information from the actuarial studies is presented below.-
Actuarial
elow:Actuarial UAAL
Accrued Actuarial Unfunded as a % of
Actuarial Liability Value of AAL Funded Covered Covered
Valuation (AAL) Assets (UAAL) Ratio Payroll Payroll
Date (a) (b) (a-b) (b/a) (c) [ a-b /c]
July 1, 2008 $ 2,157,932 $ - $ 2,157,932 0% $ 2,575,797 83.8%
July 1, 2011 $ 2,900,736 $ - $ 2,900,736 0% $ 3,700,000 78.4%
July 1, 2014 $ 3,470,787 $ - $ 3,470,787 0% $ 6,750,391 51.4%
42
TOWN OF TIBURON
Required Supplementary Information
Budgetary Comparison Information
Year Ended June 30, 2016
The Town follows these procedures in establishing the budgetary data reflected in the financial
statements:
• Prior to the close of each fiscal year, the Town Manager submits to the Town Council a proposed
operating budget for the fiscal year commencing the following July 1. The operating budget
includes proposed revenue and expenditures.
• Public hearings are conducted at Town Council meetings to obtain taxpayer comments prior to
adoption of the budget in June.
• Prior to July 1, the budget is legally adopted for all governmental fund types through Council
approved resolution.
• The Town Manager is authorized to transfer budget amounts within and between funds as
deemed desirable and necessary in order to meet the Town's needs; however, revisions that alter
the total expenditures must be approved by the Town Council. Formal budgetary integration is
employed as a management control device during the year for the governmental type funds.
• Budgets for the governmental type funds are adopted on a basis consistent with generally
accepted accounting principles. Budgeted amounts presented are as originally adopted and as
further amended by the Town Council
43
TOWN OF TIBURON
Required Supplementary Information
Budgetary Comparison Information
General Fund
Year Ended June 30, 2016
Variance with
Final Budget
r Budget Amounts (unaudited) Actual Positive
Resources (inflows) Original Final Amounts (Negative)
Property taxes $ 4,845,153 $ 4,845,153 $ 5,035,073 $ 189,920
Othertaxes 1,565,500 1,565,500 1,768,514 203,014
Franchise fees 690,000 690,000 761,634 71,634
Fines and penalties 144,500 144,500 109,900 (34,600)
Investment earnings 37,250 37,250 65,159 27,909
Intergovernmental and agency 101,500 101,500 198,884 97,384
Licenses and permits 975,100 975,100 1,084,780 109,680
Charges for services 336,800 336,800 597,890 261,090
Other revenue 125,300 125,300 113,041 (12,259)
Transfers in 1,781,085 1,781,085 3,275,907 1,494,822
Amounts Available for Appropriation 10,602,188 10,602,188 13,010,782 2,408,594
Charges to Appropriations (outflow)
Town administration 1,645,966 1,645,966 1,564,920 81,046
Community development 1,189,034 1,189,034 1,164,434 24,600
Public safety 3,144,563 3,144,563 3,041,449 103,114
Public works 1,496,984 1,496,984 1,454,632 42,352
Legislative boards and commissions 1 51,500 61,500 35,690 25,810
Non-departmental 2,538,340 2,538,340 1,008,288 1,530,052
Capital improvement projects - 1,047,685 1,553,101 (505,416)
Transfers out - 2,750,000 2,750,000 -
Total Charges to Appropriations 10,066,387 13,874,072 12,572,514 1,301,558
Surplus(Deficit) $ 535,801 $ (3,271,884) $ 438,268 $ 3,710,152
44
TOWN OF TIBURON
Required Supplementary Information
Budgetary Comparison Information
Tiburon Street Impact Fund
Year Ended June 30, 2016
Variance with
Final Budget
Budget Amounts (unaudited) Actual Positive
Resources(inflows) Original Final Amounts (Negative)
Property taxes $ $ - $ - $ -
Other taxes - - - -
Franchise fees - - - -
Fines and penalties - - - -
Investment earnings - - 8,166 8,166
Intergovernmental and agency - - - -
Licenses and permits - - - -
Charges for services 325,000 325,000 464,738 139,738
Other revenue - - - -
Transfers in - - - -
Amounts Available for Appropriation 325,000 325,000 472,904 147,904
Charges to Appropriations(outflow)
Town administration - - - -
Community development - - - -
Public safety - - - -
Public works - - - -
Legislative boards and commissions - - - -
Non-departmental - - - -
Capital improvement projects 825,000 1,474,413 879,384 595,029
Transfers out - - - -
Total Charges to Appropriations 825,000 1,474,413 879,384 595,029
Surplus (Deficit) $ (500,000) $ (1,149,413) $ (406,480) $ 742,933
45
OTHER SUPPLEMENTARY INFORMATION
TOWN OF TIBURON
General Fund
Combining Balance Sheet Page 1 of 2
June 30, 2016
Employee Employee Public GASB 45 Self Capital Open Disaster Streets& Capital
General Compensated Housing Works OPER Insurance Equip. Technology Park Space Response Drainage Outlay TOTALS
Operation Leave Assistance Facility Reserve Reserve Replace. Fund Develop Mgmt. Reserve Reserve Reserve
ASSETS
Cash&investments $ 7,083,954 $ 297,823 $ $ 2,111,633 $ 1,252,019 $ 323,004 $ 430,217 $ 591,871 $ 810,532 $25,141 $ 100,000 $ 1,187,903 $ 700,158 $ 14,914,255
Receivables 459,560 - _ _ _ _ _ _ 37,813 - 497,373
Due from other funds
Notes receivable - 800,000 - - - 800,000
Totals $ 7,543,514 $ 297,823 $ 800,000 $ 2,111,633 $ 1,252,019 $ 323,004 $ 430,217 $ 591,871 $ 810,532 $25,141 $ 100,000 $ 1,225,716 $ 700,158 $ 16,211,628
LIABILITIES
Accounts payable $ 129,692 $ $ $ $ $ _ $ 21,704 $ (722) $ $ $ $ 761 $ 44,200 $ 195,635
Accrued liabilities 8,941 149,000 - - - 157,941
Deposits 746,254 746,254
Totals 884,887 149,000 21,704 (722) 761 44,200 1,099,830
FUND BALANCES
Nonspendable - 800,000 _
" - - - - - 800,000
Restricted
Committed 3,000,000 - 1,252,019 - - - - 4,252,019
Assigned - 297,823 2,111,633 174,004 135,000 592,593 810,532 25,141 100,000 1,224,955 655,958 6,127,639
Unassigned 3,658,627 273,513 3,932,140
Totals 6,658,627 297,823 $00,000 2,111,633 1,252,019 174,004 _ 408,513 592,593 810,532 25,141 100,000 1,224,955 555,958 15,111,798
Total Liabilities&
Fund Balances $ 7,543,514 $ 297,823 $ 800,000 $ 2,111,633 $ 1,252,019 $ 323,004 $ 430,217 $ 591,871 $ 810,532 $25,141 $ 100,000 $ 1,225,716 $ 700,158 $ 16,211,628
46
TOWN OF TIBURON
General Fund
Combining Statement of Revenue, Expenditures and Change in Fund Balances Page 2 of 2
Year Ended June 30, 2016
Employee Employee Public GASB 45 Self Capital Open Disaster Streets 8 Capital
General Compensated Housing PERS Works OPER Insurance Equip. Technology Park Space Response Drainage Outlay TOTALS
Operation Leave Assistance Assets Facility Reserve Reserve Replace, Fund Develop Mgmt. Reserve Reserve Reserve
REVENUE
Property taxes $ 5,035,073 $ - $ _ $ _ $ $ _ $ _ $ _ $ $ _ $ $ $ _ $ $ 5,035,073
Otherlaxes 1,768,514 - _ - - - _ _ 1,768,514
Franchises 688,034 - - - _ _ _ _ _ 73,600 - 761,634
Fines and penalties 109,900 - - - - - - - - - - - - 109,900
Investment earnings 65,159 65,159
Intergovernmental&agency 156,985 - - - - - - - _ - - 41,899 - 198,884
Licenses and permits 1,084,780 1,084,780
Charges for services 494,649 - - - - - 103,241 - - - - 597,890
Other revenue 113,044 14,000 - 127,044
Total Revenue 9,515,138 - 14,000 103,241 115,499 9,748,878
EXPENDITURES
Current-
Town administration 1,536,022 28,901 1,564,923
Communitydevelopmenl 1,108,010 - - - - - - 56,424 - - - - 1,164,434
Public safety 2,944,141 18,557 - - - - 48,309 30,442 - -
- 3,041,449
Public works 1,410,974 - - - - - 42,316 1,342 - - - - 1,454,632
Legislative boards/commissions 35,690 35,690
Non-departmental 448,759 - - 175,063 - - - - - - - - 623,822
Capital Projects 397,812 - 5,483 238,326 - 514,944 396,536 1,553,101
Total Expenditures 7,881,408 18,557 - 175,063 90,625 122,592 238,326 514,944 396,536 9,438,051
Excess Revenue over
(under)Expenditures 1,634,730 (18,557) 175,063) 14,000 (90,625) (19,351) (238,326) (399,445) (396,536) 310,627
OTHER FINANCING SOURCES
Operating transfers in 127,441 - - - - 206,866 - 122,200 55,400 750,000 - - 1,250,000 750,000 3,261,907
Operating transfers(out) (3,134,466) - (3,134,466)
Total Other Sources(Uses) (3,007,025) 206,866 122,200 55,400 750,000 - 1,250,000 750,000 127,441
CHANGE IN FUND BALANCES (1,372,295) (18,557) - (175,063) - 206,866 14,000 31,575 36,049 511,674 - - 850,555 353,464 438,268
Fund Balances-Beginning 8,030,919 316,380 800,000 175,063 2,111,633 1,045,153 160,004 376,938 556,546 298,859 25,141 100,000 374,400 302,494 14,673,530
FundBalances-EndofYear $ 6,658,627 $ 297,823 $ 800,000 $ $ 2,111,633 $ 1,252,019 $ 174,004 $ 408,513 $ 592,593 $ 810,532 $ 25,141 $ 100,000 $ 1,224,955 $ 655,958 $ 15,111,798
47
I I
TOWN OF TIBURON
Nonmajor Governmental Funds
Combining Balance Sheet Page 1 of4
June 30, 2016
Capital Projects Funds:
Total
Town owned Heritage Town's Tiburon Tiburon Open Planning Storm Circulation Bunch Street Tiburon Capital
Housing &Arts LMI Playground Parks Space Area Water System Grass Frontage Long Range Project
Units Project Housing Improvement In-Lieu Acquisition Mitigation Run Off Improvement Mitigation Improvement Planning Funds
ASSETS
Cash&investments $ 345,204 $ 5,326 $ 1,223,324 S - $ 43,180 $ 194,233 $ 185,839 $ 153,189 $ 89,875 $ 131,791 $ - S 240,064 $ 2,612,025
Receivables 454 7 1,456 2,030 59 267 245 206 116 154 2 253 5,249
Notes receivable _ _
Totals $ 345,658 $ 5,333 $ 1,224,780 $ 2,030 $ 43,239 $ 194,500 $ 186,084 $ 153,395 $ 89,991 $ 131,945 $ 2 $ 240,317 $ 2,617,274
LIABILITIES
Accounts payable $ $ $ $ $ _ S $ $ 53,701 $ $ $ $ $ 53,701
Accrued liabilities 30,000 20,000 50,000
Deposits-tenants 7,950 - 7,950
Totals 7,950 30,000 73,701 111,651
FUND BALANCES
Nonspendable _
Restricted 13,239 194,500 186,084 79,694 89,991 131,945
- - 695,453
Committed 1,224,780 _
- - - 2 240,317 1,465,099
Assigned 337,708 5,333 - - 343,041
Unassigned2,030 -
- - - - 2,030
Totals 337,708 5,333 1,224,780 2,030 13,239 194,500 186,084 79,694 89,991 131,945 2 240,317 2,505,623
Total Liabilities&
Fund Balances $ 345,658 $ 5,333 $ 1,224,780 $ 2,030 $ 43,239 $ 194,500 $ 186,084 $ 153,395 $ 89,991 $ 131,945 $ 2 $ 240,317 S 2,617,274
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TOWN OF TIBURON
Nonmajor Governmental Funds
Combining Balance Sheet Page 2 of 4
June 30, 2016
Special Revenue Funds:
Total Total Total
Police Cypress Measure A State Measure A Measure V Special Capital Nonmajor
Supp Law Hollow Paula Little Sales Tax Gasoline Sales Tax VLF Revenue Project Governmental
Enforcement LLD-98 Flower Fund Parks Tax TAM Roads Funds Funds Funds
ASSETS
Cash&investments $ $ 30,252 $ 11,736 $ 56,336 $ 1,275,453 $ 207,794 $ 22,117 $ 1,603,688 $ 2,612,025 $ 4,215,713
Receivables 166 11 77 1,650 285 30 2,219 5,249 7,468
Notes receivable _
Totals $ $ 30,418 $ 11,747 $ 56,413 $ 1,277,103 $ 208,079 $ 22,147 $ 1,605,907 $ 2,617,274 $ 4,223,181
LIABILITIES
Accounts payable $ $ $ $ 8,958 $ 35,296 $ $ $ 44,254 $ 53,701 $ 97,955
Accrued liabilities - - - 50,000 50,000
Deposits-tenants - 7,950 7,950
Totals 8,958 35,296 44,254 111,651 155,905
FUND BALANCES
Nonspendable _ -
Restricted 30,418 47,455 1,241,807 208,079 22,147 1,549,906 695,453 2,245,359
Committed - - - - - - 1,465,099 1,465,099
Assigned 11,747 11,747 343,041 354,788
Unassigned - - 2,030 2,030
Totals 30,418 11,747 47,455 1,241,807 208,079 22,147 1,561,653 2,505,623 4,067,276
Total Liabilities&
Fund Balances $ $ 30,418 $ 11,747 $ 56,413 $ 1,277,103 $ 208,079 $ 22,147 $ 1,605,907 $ 2,617,274 $ 4,223,181
49
TOWN OF TIBURON
Nonmajor Governmental Funds
Combining Statement of Revenue, Expenditures and Change in Fund Balances Page 3 of 4
Year Ended June 30, 2016
Capital Project Funds: Total
Town owned Heritage Town's Tiburon Tiburon Open Planning Storm Circulation Bunch Street Tiburon Capital
Housing &Arts LMI Playground Parks Space Area Water System Grass Frontage Long Range Project
Units Project Housing Improvement In-Lieu Acquisition Mitigation Run Off Improvement Mitigation Improvement Planning Funds
REVENUE
Property taxes $ $ $ $ $ $ $ $ $ $ $ $ $
Othertaxes
Investment earnings 1,265 28 4,496 59 822 758 536 361 476 780 9,581
Intergovernmental&agency 1,325 - - - - - 1,325
Charges for services 3,900 45 18,263 5,276 46,848 74,332
Other revenue 102,470 166 7,000 109,636
Total Revenue 107,635 1,519 11,541 59 822 758 18,799 5,637 476 47,628 194,874
EXPENDITURES
Current-
Town administration - - - - - -
Community development 29,370 29,370
Public works
Legislative boards/commissions - 3,708 - 3,708
Non-departmental 61,035 - 23,270 64,305
Capital improvement projects - - 116,026 - 116,026
Total Expenditures 61,035 3,708 23,270 116,026 29,370 233,409
Excess Revenue over
(under)Expenditures 46,600 2,189 (11,729) 59 822 758 97,227 5,637 476 18,258 (38,533
OTHER FINANCING SOURCES
Operating transfers in(out)
Total Other Sources(Uses)
CHANGE IN FUND BALANCES 46,600 (2,189) (11,729) - 59 822 758 (97,227) 5,637 476 - 18,258 (38,533)
Fund Balances-Beginning 291,108 7,522 1,236,510 2,030 13,160 193,677 185,326 176,921 84,353 131,469 2 222,058 2,544,156
Fund Balances-End of Year $ 337,708 $ 5,333 $ 1,224,780 $ 2,030 $ 13,239 $ 194,500 $ 186,084 $ 79,694 $ 89,991 $ 131,945 $ 2 $ 240,317 $ 2,505,623
50
TOWN OF TIBURON
Nonmajor Governmental Funds
Combining Statement of Revenue, Expenditures and Change in Fund Balances Page 4 of 4
Year Ended June 30, 2016
Special Revenue Funds: Total Total Total
Police Cypress Measure A State County Measure B Special Capital Nonmajor
Supp Law Hollow Paula Little Parks Gasoline Measure A VLF Revenue Project Governmental
Enforcement LLD-98 Flower Fund Sales Tax Tax Sales Tax Roads Funds Funds Funds
REVENUE
Property taxes $ $ 16,544 $ $ - $ $ - $ $ 16,544 $ - $ 16,544
Othertaxes - 66,146 208,278 104,415 378,839 - 378,839
Investment earnings 119 42 219 4,677 534 122 5,713 9,581 15,294
Intergovernmental&agency 127,441 - - - - - 127,441 1,325 128,766
Charges for services - - - 74,332 74,332
Other revenue - - 12,100 12,100 109,636 121,738
Total Revenue 127,441 16,663 12,142 66,365 212,955 104,949 122 540,637 194,874 735,513
EXPENDITURES
Current-
Town administration - - 1,546 - - 1,546 - 1,546
Community development - - - - 29,370 29,370
Public works 15,374 7,430 22,804 22,804
Legislative boards/commissions - - 3,708 3,708
Non-departmental - - 84,305 84,305
Capital improvement projects - 45,115 140,413 90,550 31,000 307,078 115,026 423,104
Total Expenditures 15,374 7,430 45,115 141,959 90,550 31,000 331,428 233,409 564,837
Excess Revenue over
(under)Expenditures 127,441 1,289 4,712 21,250 70,996 14,399 (30,878) 209,209 (38,535) 170,676
OTHER FINANCING SOURCES
Operating transfers in(out) (127,441) -
_ (127,441) (127,441)
Total Other Sources(Uses) (127,441) - (127,441) (127,441)
CHANGE IN FUND BALANCES 1,289 4,712 21,250 70,996 14,399 (30,878) 81,768 (38,535) 43,235
Fund Balances-Beginning 29,130 7,035 26,205 1,170,810 193,680 53,025 1,479,885 2,544,156 4,024,041
Fund Balances-End of Year $ $ 30,418 $ 11,747 $ 47,455 $ 1,241,806 $ 208,079 $ 22,147 $ 1,561,653 $ 2,505,623 $ 4,067,276
51