Laserfiche WebLink
City of Redwood City <br />Management’s Discussion and Analysis (Unaudited) (Continued) <br />For the Year Ended June 30, 2025 <br /> <br /> <br />8 <br />Proprietary Funds <br /> <br />Proprietary funds are maintained in two ways. Enterprise funds are used to report the same functions presented as <br />business-type activities in the government-wide financial statements. The City uses enterprise funds to account for <br />water, sewer, parking, Port of Redwood City, and Docktown Marina operations. Internal services funds are used to <br />account for costs of the City’s equipment services, insurance program, information technology services, maintenance <br />and repair of buildings, custodial services, and employee benefits. Because these services predominantly benefit <br />governmental rather than business-type functions, they have been included within governmental activities in the <br />government-wide financial statements. <br /> <br />The proprietary fund financial statements may be found on page 39 of this report. <br /> <br />Since the City’s internal service funds provide goods and services only to the City’s governmental and business-type <br />activities, their activities are reported only in total at the fund level. Internal service funds may not be major funds <br />because their revenues are derived from other City funds. These revenues are excluded from the City-wide financial <br />statements and any related profits or losses are returned to the activities which created them, along with any residual <br />net position of the internal service funds. <br /> <br />Comparisons of budget and actual financial information are presented only for the general fund and other major funds <br />that are special revenue funds. For the fiscal year ended June 30, 2025, the only major special revenue fund was the <br />transportation grants special revenue fund. <br /> <br />Fiduciary Funds <br /> <br />The City maintains fiduciary funds that consist of a Private Purpose Trust Fund and Custodial Funds. The Private <br />Purpose Trust Fund accounts for the activity of the former Redevelopment Agency of Redwood City. The Custodial <br />Funds account for tax-free employee and employer contributions made under the provisions of section 125 of the <br />Internal Revenue Code (cafeteria benefits fund), and for transactions involving the Pacific Shores Community Facilities <br />District, the Shores Transportation Improvement District, the One Marina Community Facilities District, the <br />Community Benefit Improvement District, Redwood City 2020, South Bay Waste Management Authority, and Net-6 <br />Fire Joint Powers Authority (JPA). The City’s fiduciary activities are reported in the separate statement of fiduciary net <br />position and statement of changes in fiduciary net position. The accounting used for fiduciary funds is much like that <br />used for proprietary funds. These activities are excluded from the City’s other financial statements as the City cannot <br />use these assets to finance its own operations. <br /> <br />The fiduciary fund financial statements may be found on page 51 of this report. <br /> <br />Notes to the Basic Financial Statements <br /> <br />Notes to the Basic Financial Statements provide additional information that is essential to a full understanding of the <br />data provided in the government-wide and fund financial statements. <br /> <br />The Notes to the Basic Financial Statements may be found on page 55 of this report. <br />7.C. - Page 40 of 269 <br />59