Page 28 - Moreno Valley 2025 Annual Financial Report

Governmental Activities - Net Cost of Services
For the year ended June 30, 2025

Total Cost of Net Cost of
Services Services
General government $ 60,848,507 $ (44,668,431)
Public safety 87,862,551 (82,923,885)
Community and economic development 22,007,980 5,845,918
Community and cultural 32,854,148 (20,409,021)
Public works 65,701,744 (29,773,806)
Interest 852,625 (852,625)
TOTAL $ 270,127,555 $ (172,781,850)

The City paid for the remaining public benefit portion of these governmental activities with $177.5 million
in taxes (some of which were restricted for certain programs) and with other revenues. This governmental
activity cost/revenue relationship is further illustrated in the following graph.

Governmental Activities - Net Cost of Services
For the year ended June 30, 2025
(in millions)

$100 $87.9
$90
$80
$70 $60.8 $65.7
$60
$50
$40 $27.9 $32.9 $35.9
$30 $22.0
$20 $16.2 $12.4
$10 $4.9 $0.9 $0.0

General Public safety Community and Community and Public works Interest
government economic cultural
development

Total Cost of Services Program Revenues

Business-type Activities

The City’s business-type activities include the activities of the Electric Utility. Total revenues for
business-type activities increased $11.0 million from the prior year or 18.3%. Total expenses increased
$8.1 million or 20.8%. The following discusses the changes in more detail.

Revenue
Total revenues increased $11.0 million from prior year primarily due to an increase in charges for services
due to an increase in electricity rates and growing customer base.

Expenses
Expenses in the Electric Utility increased $8.1 million from prior year primarily due to an increase in service
and supplies, driven by the growing customer base.

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