Page 49 - Moreno Valley 2025 Annual Financial Report

City of Moreno Valley, California

PROPRIETARY FUNDS

ENTERPRISE FUND:

Enterprise Funds account for any activity for which a fee is charged to external users for goods or services.
The City’s enterprise fund is the Electric Fund. This fund is used to account for the operations of the City
electric utility, with its basic purpose to purchase and distribute electricity to customers in the City’s newly
developed areas under the “Greenfield” concept. The City began serving its first customers in February
2004.

INTERNAL SERVICE FUNDS:

Internal Service Funds are used to account for services provided to other departments on a cost
reimbursement basis. These services include general liability and workers’ compensation insurance
benefits, maintaining and replacing information systems, facilities maintenance, vehicle and equipment
maintenance, accumulating cash reserves for equipment replacement, and payment of compensated
absences.

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