Page 30 - Moreno Valley 2025 Annual Financial Report

Overall General Fund actual expenditures were $5.1 million less than what was anticipated in the final
budget, mainly due to savings in public safety of $9.3 million, in capital outlay of $2.6 million, and in public
works of $1.8 million. The reduction in public safety spending was primarily due to the return to normalized
safety costs following the COVID period, while the reductions in public works and capital outlay were
primarily due to delays in capital projects spanning multiple years.

General Fund expenditures were $11.1 million higher than the previous year, primarily due to a $5.1 million
increase in public safety costs. This increase reflects the return to normalized safety costs.

The following graph presents a comparison of each General Fund expenditure category for the fiscal years
ended June 30, 2024 and 2025.

General Fund – Expenditures (Two Year Comparison)
For FY’s 23/24 & 24/25

$70
$60 $52.8 $57.4
Amount (in Millions) $40 $25.3 $30.2 $27.7 $28.3 $17.3 $18.4
$50

$30
$20
$11.1 $12.1
$10
$1.2 $1.0 $3.8 $3.2
$0
General Public safety Public safety Community and Public works Debt service Capital outlay
government (police) * (fire) * economic
development

FY 2023/24 FY 2024/25

* Public safety expenditures of FY 2023-24 reduced by one-time pandemic funding.

Other Major Fund Financial Results

The fund balance of the Development Impact Fees Special Revenue Fund decreased by $13.8 million over
the prior year. This fund accounts for the developer impact fees, which are one-time charges, used to
offset the additional public service costs of new development. The decrease in fund balance was primarily
caused by an increase in capital projects funded by development impact fees.

The fund balance of the Community Service District Zones Special Revenue Fund decreased $3.6 million
over the prior year. This fund accounts for the administration, operations and maintenance of the City’s
various service zones established by the Moreno Valley Community Services District. The decrease was
primarily due to an increase in contractual service cost to help maintain the various zones.

The fund balance of the Housing Authority Fund increased $0.3 million over the prior year. This fund
accounts for the housing assets as a result of the 2012 State’s dissolution of redevelopment agencies. In
FY 2024-25, the fund balance grew primarily due to higher investment earnings as a result of an improving
investment portfolio holdings.

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