1. GASB STATEMENT NO. 44 THE NEW STATISTICAL SECTION Presented by Ken Al-Imam, C.P.A. M AYER H OFFMAN M C C ANN P.C. CONRAD GOVERNMENT SERVICES DIVISION (formerly Conrad and Associates, L.L.P.) 2301 Dupont Drive, Suite 200 Irvine, California 92612 (949) 474-2020 Ext. 273 kalimam@cbiz.com

2. 2 REQUIRED IMPLEMENTATION DATE Required to be implemented for years ending June 30, 2006.

3. 3 WHY GASB 44 WAS NEEDED Prior guidance unchanged since 1980 Prior guidance vague Wide variation in reporting GASB 34 Changes

4. 4 WHEN APPLICABLE Statistical section is optional under GAAP. If include, must fully comply.

5. 5 STATISTICAL INFORMATION PRESENTED IN 5 CATEGORIES Financial Trends Information Revenue Capacity Information Debt Capacity Information Demographic and Economic Information Operating Information

6. 6 SCOPE OF DATA PRESENTED Primary Government Focus Data from Earlier Periods

7. 7 FORMAT Completely discretionary Must include minimum requirements Graphical presentations can supplement, but not replace tabular presentations

8. 8 SOURCE Required (if not clearly flow from other parts of report)

9. 9 NARRATIVE INFORMATION Can be in form of notes How calculated Assumptions or limitations Changes in assumptions or data

10. 10 NARRATIVE INFORMATION Reconcile to financial section Explain unusual data Put the information in perspective Help interpret the information

11. 11 FINANCIAL TRENDS INFORMATION Net Assets (10 years) Changes in Net Assets (10 years) Fund Balances (10 years) Changes in Fund Balances (10 years)

12. 12 NET ASSET INFORMATION Government-wide data Three categories of net assets Governmental and business-type shown separately

13. 13

14. 14 CHANGES IN NET ASSETS Government-wide data Summary of statement of activities Charges for services by function, program, or activity

17. 17 FUND BALANCES Fund financial statement focus Reserved and unreserved General fund separately Unreserved fund balances by fund type

18. 18

19. 19 CHANGES IN FUND BALANCES Fund financial statements focus Revenues, expenditures, and other changes Principal and interest Debt service as percentage of noncapital expenditures

21. 21

22. 22 TAX REVENUES BY SOURCE Not required Use if believe this information would be helpful to reader to asses financial condition Can provide trend information for significant governmental revenues

23. 23 Exhibit A-7

24. 24 REVENUE CAPACITY INFORMATION Revenue Base (10 years) Revenue Rates (10 years) Principal Revenue Payers (current period and 9 years prior) Property tax levies and collections (10 years)

25. 25 Revenue Capacity Schedules For largest own-source revenue: Revenue base Revenue rates Principal payers

26. 26 CCMA White Paper Cover typical revenues for California cities Identify as own-source or shared Consideration of all factors (legislative history, unique California considerations) Review conclusions with GASB/GFOA Example schedules

27. 27 Revenue Base Breakdown by major type of revenue Rate for each type (if different) and total rate If property tax is one of the presented revenues: Assessed value by major component Actual value

28. 28 Exhibit A-8

29. 29 Exhibit A-12

30. 30 Direct and Overlapping Rates Show rates applied by the Entity Show rates applied by overlapping governments Show total of direct and overlapping rates.

31. 31 Exhibit A-9

32. 32 Exhibit A-13

33. 33 Principal Payers Ten largest From infinite life to finite life Treated prospectively (from this point forward) Book value of asset (undepreciated) will be depreciated over remaining life

34. 34 Exhibit A-10

35. 35 Exhibit A-14

36. 36 Property Tax Levies Only if property taxes are in revenue capacity schedules Levy Collected Percentage

37. Exhibit A-11

38. 38 DEBT CAPACITY INFORMATION Ratios of Outstanding Debt(10years) Ratios of General Bonded Debt(10years) Direct and Overlapping Debt(current year) Debt Limitations(calculation for most recent year, 10 years for results) Pledged Revenue Coverage(10years)

39. 39 Ratios of Outstanding Debt Governmental Business-type By type of debt Divided by personal income Divided by population

40. 40 Exhibit A-15

41. 41 Exhibit A-25

42. 42 Ratios of General Bonded Debt Governmental debt (plus GO bonds in enterprise funds) By type of debt Legally restricted resources Net general bonded debt Debt per property value Debt per capita

43. Exhibit A-26

44. 44 Exhibit A-16

45. 45 Direct and Overlapping Debt Governmental (nonenterprise) debt only Total direct debt (the Entity’s debt) Overlapping debt (other entity) Total

46. 46 Exhibit A-17

47. 47 Legal Debt Margin Identify the base (assessed valuation, etc.). Debt limit (and explain how it is calculated – what percentage, etc.). Debt applicable to limit (net of any applicable reserves). Difference (“legal debt margin”).

48. 48 Exhibit A-18

49. 49 Pledged Revenue Coverage Debt secured by pledge of specific revenue By issue or type of debt Gross or net revenues Principal and interest Coverage ratio

50. 50 Exhibit A-19

51. 51 DEMOGRAPHIC AND ECONOMIC DATA Population (10 years) Total Personal Income (10 years) Per Capita Personal Income (10 years) Unemployment Rate (10 years) Principal Employers (current period and period 9 years earlier)

52. 52 Demographic and Economic Population. Total personal income. Per capita personal income. Unemployment rate.

53. 53 Exhibit A-20

54. 54 Principal Employers Ten largest (or 50%) Total for that employer Percentage of total employment

55. 55 Exhibit A-21

56. 56 Employees of the Entity By: Department Program Activity Function

57. 57 Exhibit A-22

58. 58 OPERATING INDICATORS (10 YEARS) Operating Indicators Capital Assets

59. 59 Operating Indicators Demand Level of Service

60. 60 Exhibit A-23

61. 61 Capital Assets Volume Usage Nature

62. 62 Exhibit A-24