Page 7 - 2023 Moreno Valley Popular Annual Financial Report
P. 7
GENERAL FUND FUND BALANCE
R E S E RV E S & U N A S S i G N E D
GENERAL FUND RESERVES
Moreno Valley is ranked as one of the most fiscally
& UNASSIGNED FUND BALANCE
strong cities in the nation. This is due in part to
the adoption of a comprehensive financial reserve
30%
policy. Financial reserves protect against future
Other
economic downturns, which bring unpredictable Categories
shortfalls in tax revenue, and better prepare
the City, its residents, and its businesses for a
catastrophic natural disaster.
24%
The General Fund had $23.7 million in unassigned
Unassigned
fund balance, a decrease of $27.4 million in
comparison with the prior year. This was due to the
increase in fund balances for Reserve Stabilization
(Emergency Fund) and Economic Uncertainty
Reserve (Rainy Day Fund), as required to maintain
23%
adequate reserve levels in compliance with City Economic 23%
Uncertainty Operating
Council adopted policy. Reserve
Reserve
Stabilization
TERMS
FY22/23 FUND BALANCE
ECONOMIC UNCERTAINTY RESERVE Economic Uncertainty Reserve $22,446,030
Established for the purpose of providing funds to Operating Reserve Stabilization $22,446,030
be used during times of severe economic distress
such as recessionary periods, State raids on local Unassigned $23,671,159
resources, or other impactful unforeseen events Other Categories $30,081,230
which greatly diminish the financial ability of the Total Fund Balance $98,644,449
City to deliver core services.
OPERATING RESERVE STABILIZATION
Established for the purpose of providing funds for
an urgent catastrophic event or major disaster that
affects the safety of residents, employees, or property
(e.g. earthquake, wildfires, terrorist attack, etc.)
UNASSIGNED
*Unemployment rate as of 6.30.20. Reflects impacts due to COVID-19. Established to protect against cash flow shortfalls
related to timing of projected revenue receipts and
to maintain budgeted level of services.
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