California Comprehensive Annual Financial Report - City of Temecula

City of Temecula
Notes to Financial Statements (Continued)
Note 3:
Cash and Investments (Continued)
Concentration of Credit Risk
The investment policy of the City contains no limitations on the amount that can be
invested in any one issuer beyond that stipulated by the California Government Code.
Investments in anyone issuer that represent 5% or more of total City's investments are as
follows:
Reported
Issuer Investment Type Amount
Federal Farm Credit Bank U.S. Government Sponsored $ 18,286,590
Enterprise Securities
Federal Home Loan Bank U.S. Government Sponsored 16,228,140
Enterprise Securities
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 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 City's investment policy do not contain legal or policy
requirements that would limit the exposure to custodial credit risk for deposits or
investments.
Note 4: Capital Assets
Adjusted
Balance at Beginning Balance at
July 1, 2008 Adjustments Balance Transfers Increase Decrease June 30, 2009
Capital assets, not being depreciated:
Land $ 64,473,842 $ 500,000 $ 64,973,842 $ - $ 54,850 $ 44,850 $ 64,983,842
Right of way 68,523,656 - 68,523,656 185,107 29,866 - 68,738,629
Construction in progress 33,611,658 - 33,611,658 (1,446,450) 26,151,885 - 58,317,093
Total capital assets,
not being depreciated 166,609,156 500,000 167,109,156 (1,261,343) 26,236,601 44,850 192,039,564
Capital assets, being depreciated:
Buildings 66,870,560 - 66,870,560 - - - 66,870,560
Improvements other than buildings 40,319,034 (500,000) 39,819,034 1,122,368 1,847,162 - 42,788,564
Vehicles, machinery and equipment 9,705,579 - 9,705,579 1,537 1,138,462 - 10,845,578
Furniture and fixtures 2,642,170 - 2,642,170 - 61,122 - 2,703,292
Infrastructure 432,466,361 - 432,466,361 137,438 22,398,355 343,899 454,658,255
Total capital assets
being depreciated 552,003,704 (500,000) 551,503,704 1,261,343 25,445,101 343,899 577,866,249
Less accumulated depreciation for:
Buildings 7,902,667 - 7,902,667 - 1,482,289 - 9,384,956
Improvements other than buildings 5,126,073 - 5,126,073 - 1,588,622 - 6,714,695
Vehicles, machinery and equipment 6,651,242 - 6,651,242 - 1,082,951 - 7,734,193
Furniture and fixtures 1,540,138 - 1,540,138 - 495,322 - 2,035,460
Infrastructure 119,752,007 - 119,752,007 - 11,660,609 139,000 131,273,616
Total accumulated depreciation 140,972,127 - 140,972,127 - 16,309,793 139,000 157,142,920
Total capital assets
being depreciated, net 411,031,577 (500,000) 431,751,697 1,261,343 9,135,308 204,899 420,723,329
Total capital assets, net $ 577,640,733 $ - $ 598,860,853 $ - $ 35,371,909 $ 249,749 $ 612,762,893
* An adjustment was maded to properly classify an asset.
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