Page 81 - Moreno Valley 2025 Annual Financial Report

City of Moreno Valley, California

Notes to Financial Statements
For the Year Ended June 30, 2025

Note 6. Long-term Debt

a. Changes in Long-term Debt - Governmental Activities

The following is a schedule of changes in governmental activities long-term debt for the
year ended June 30, 2025:

Balance Balance Due Within
July 1, 2024 Additions Deletions June 30, 2025 One Year
Moreno Valley Public Facilities Financing Authority:
Other Debt
2014 Refunding of 2005 Lease Revenue Bonds $ 21,304,899 $ - $ (21,304,899) $ - $ -
Unamortized premium/discount 798,985 - (798,985) - -
2024 Refunding of 2014 Lease Revenue Bonds - 19,645,416 (1,565,550) 18,079,866 1,274,805
Unamortized premium/discount - 2,262,806 (205,710) 2,057,096 205,712
City:
2020 Total Road Improvement Program COP’s 16,935,000 - (980,000) 15,955,000 990,000
Leases 1,447,679 1,415,127 (466,076) 2,396,730 280,773
SBITA 1,115,005 2,640,005 (778,681) 2,976,329 928,116
Totals $ 41,601,568 $ 25,963,354 $ (26,099,901) $ 41,465,021 $ 3,679,406
Other Debt
2024 Refunding Lease Revenue Bonds

Refunding Lease Revenue Bonds 2024 in the original issue amount of $21,960,000 were issued
for the purpose of paying off the outstanding portion of the 2014 Lease Revenue Bonds and
certain costs related to the issuance of the Bonds. Of the $21,960,000 originally issued, the
portion for the electric utility infrastructure ($2,314,584) has been separated and is shown
as long-term debt of the Electric Fund business-type activities. The bonds mature in serial
fashion between November 2028 and November 2035 and bear interest of 5%. The bonds
are not subject to optional redemption and are subject to mandatory redemption beginning
November 2035. The bonds are payable from lease payments made by the City under a project
lease dated August 1, 2024, between the City and the MVPFA. The lease payments are equal
to the principal and interest on the bonds and are made by the City as rent for use of the City
Hall, the Public Safety Building, Morrison Park Fire Station No. 99, Sunnymead Park, Woodland
Park, and John F. Kennedy Veterans Memorial Park. The refunding transaction resulted in an
economic gain of $1,328,946 ($140,071 attributable to the electric fund) and a reduction of
$1,581,175 ($166,656 attributable to the electric fund) in future debt service payments.

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