City Council

a. ANNUAL COMPREHENSIVE FINANCIAL REPORT FOR FISCAL YEAR\n2021-22\nSummary:\nThe Annual Comprehensive Financial Report (ACFR) is an independently\naudited summary report of the financial transactions of the City for Fiscal Year\n(FY) 2021-22, providing relevant financial information to the City Council,\ncitizens, current and future employees, grant entities, creditors, bond investors,\nrating agencies, and other interested parties. This audit is performed in\ncompliance with City Charter requirements with the results presented to the City\nCouncil for review.\nThe audit was completed by the City's independent auditor, CliftonLarsonAllen\nLLP, Certified Public Accountants, which issued an unqualified opinion audit\nreport, otherwise known as a “clean opinion,” finding nothing of material concern\nin the City’s internal controls, financial, and bookkeeping practices. The\nindependent auditor’s unmodified report provides assurance that the ACFR, and\nthe audited information within, present fairly the City’s financial position for the\nfiscal year ending June 30, 2022.\nAs part of this report, staff recommends appropriating the General Fund\nOperating Surplus of $8.6 million. Staff recognizes the need to maintain\nongoing financial stability by applying conservative budgeting practices. To that\nend, staff recommends allocating most of the budget surplus to replenishing and\naugmenting reserve funds. In addition, staff recommends allocating funding to\nthe City’s Capital Improvement Projects fund. The recommended allocations\nalso include funding for improvements related to deferred maintenance of City\nHall, a stipend allocation, as well as funding to evaluate ongoing operational\nstaffing needs.\nRecommendations:\n1. Receive and file the City’s ACFR for FY 2021-22.\n2. Approve the proposed appropriations and reserve transfers from FY 2021-22\nto FY 2022-23 operating budget and reserve balances utilizing the current FY\n2021-22 General Fund operating surplus of $8.6 million and the Library\nReserve fund.\n3. Adopt a resolution, entitled:\nA RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIGNAL HILL,\nCALIFORNIA, AUTHORIZING APPROPRIATIONS FROM THE FISCAL\nYEAR 2021-22 GENERAL FUND OPERATING SURPLUS AND CURRENT\nYEAR APPROPRIATION ADJUSTMENTS, AMENDING THE FISCAL YEAR\n2022-23 BUDGET\n4. Direct staff to distribute copies of the ACFR for FY 2021-22 as required, as\nwell as to the Office of the City Clerk to be placed on file for the general\npublic and posted on the City’s website.