COUNTY OF LOS ANGELES COMPREHENSIVE ANNUAL FINANCIAL REPORT Fiscal Year Ended June 30, 2009 Wendy L. Watanabe, Auditor-Controller COUNTY OF LOS ANGELES COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2009 TABLE OF CONTENTS Page I. INTRODUCTORY SECTION: Auditor-Controller’s Letter of Transmittal....................................................................................... i Certificate of Achievement for Excellence in Financial Reporting ............................................... ix Board of Supervisors and Principal County Officials .................................................................... x Organization Chart....................................................................................................................... xi II. FINANCIAL SECTION: Independent Auditor’s Report.......................................................................................................1 Management’s Discussion and Analysis (Required Supplementary Information-Unaudited) ......3 Basic Financial Statements: Government-wide Financial Statements: Statement of Net Assets..................................................................................................23 Statement of Activities.....................................................................................................24 Fund Financial Statements: Balance Sheet - Governmental Funds ............................................................................26 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets ............................................................................................28 Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds .................................................................................................30 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities .....................32 Statements of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual on Budgetary Basis: General Fund .......................................................................................................33 Fire Protection District .........................................................................................34 Flood Control District............................................................................................35 Public Library .......................................................................................................36 Regional Park and Open Space District ..............................................................37 Statement of Net Assets - Proprietary Funds..................................................................38 Statement of Revenues, Expenses and Changes in Fund Net Assets - Proprietary Funds ......................................................................................................40 Statement of Cash Flows - Proprietary Funds ................................................................42 Statement of Fiduciary Net Assets - Fiduciary Funds .....................................................46 Statement of Changes in Fiduciary Net Assets - Fiduciary Funds..................................47 Notes to the Basic Financial Statements ..............................................................................48 Required Supplementary Information-Unaudited: Schedule of Funding Progress - Pension Plan ...................................................................105 Schedule of Funding Progress - Other Post Employment Benefits ....................................106 COUNTY OF LOS ANGELES COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2009 TABLE OF CONTENTS Page Combining and Individual Fund Statements and Schedules: Major Governmental Fund - General Fund - Schedule of Expenditures - Budget and Actual on Budgetary Basis ............................107 Nonmajor Governmental Funds: Combining Balance Sheet - Nonmajor Governmental Funds - Summary.....................109 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds - Summary............................................................110 Combining Balance Sheet - Nonmajor Governmental Funds - Special Revenue.........112 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds - Special Revenue ................................................116 Schedules of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Governmental Funds - Special Revenue - Budget and Actual on Budgetary Basis: Totals..................................................................................................................119 Road...................................................................................................................120 Other Streets, Highways, Roads, and Bridges ..................................................121 Street Lighting Districts .....................................................................................122 Garbage Disposal Districts.................................................................................123 Sewer Maintenance Districts..............................................................................124 Health Services Measure B................................................................................125 Health and Sanitation.........................................................................................126 Other Public Protection ......................................................................................127 Public Assistance ...............................................................................................128 Recreation..........................................................................................................129 Courthouse Temporary Construction.................................................................130 Criminal Justice Temporary Construction ..........................................................131 Registrar Recorder Improvement.......................................................................132 Other Special Revenue......................................................................................133 Combining Balance Sheet - Nonmajor Governmental Funds - Debt Service ...............134 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds - Debt Service.......................................................136 Schedules of Revenues, Expenditures and Changes in Fund Balance - Nonmajor Governmental Funds - Debt Service - Budget and Actual on Budgetary Basis - Regional Park and Open Space District.....................................138 Combining Balance Sheet - Nonmajor Governmental Funds - Capital Projects...........139 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds - Capital Projects ..................................................140 Combining Balance Sheet - Nonmajor Governmental Funds - Permanent Funds .......141 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Governmental Funds - Permanent Funds...............................................142 COUNTY OF LOS ANGELES COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2009 TABLE OF CONTENTS Page Nonmajor Enterprise Funds: Combining Statement of Net Assets - Nonmajor Enterprise Funds..............................143 Combining Statement of Revenues, Expenses and Changes in Fund Net Assets - Nonmajor Enterprise Funds.....................................................................................144 Combining Statement of Cash Flows - Nonmajor Enterprise Funds.............................145 Internal Service Funds: Combining Statement of Net Assets - Internal Service Funds ......................................147 Combining Statement of Revenues, Expenses and Changes in Fund Net Assets - Internal Service Funds.............................................................................................148 Combining Statement of Cash Flows - Internal Service Funds.....................................149 Fiduciary Funds: Combining Statement of Fiduciary Net Assets - Fiduciary Funds - Investment Trust Funds ...........................................................................................151 Combining Statement of Changes in Fiduciary Net Assets - Fiduciary Funds - Investment Trust Funds ...........................................................................................152 Combining Statement of Changes in Assets and Liabilities - Fiduciary Funds - Agency Funds..........................................................................................................153 III. STATISTICAL SECTION (Not covered by Independent Auditor’s Report): Statistical Section - Contents....................................................................................................155 Schedules of Financial Trends Information Net Assets by Category - Last Eight Fiscal Years ..............................................................157 Changes in Net Assets - Last Eight Fiscal Years ...............................................................158 Fund Balances, Governmental Funds - Last Eight Fiscal Years ........................................160 Changes in Fund Balances, Governmental Funds - Last Eight