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Page 4 of 7 provide additional information about City operations. 4. Supplementary Information – includes budgetary comparison schedules and pension and other post-employment benefits (OPEB) plans. • Statistical Tables (current and historical information – up to 10 years) 1. Financial Trends 2. Revenue Capacity Information 3. Debt Capacity Information 4. Demographic and Economic Information 5. Operating Information Financial Highlights Governmental Activities and Business-Type Activities - Net Position The City’s total net position increased by $13.8 million from FY 2021/22, of which $22.3 million is governmental activities, primarily due to revenues exceeding expenditures offset by a decrease of $8.5 million in business-type activities, primarily due to increased water and sewer expenses. The City’s net position was $788.2 million at the close of FY 2022/23. The net position represents the difference between assets and deferred outflows of resources and liabilities and deferred inflows of resources. The net position serves as a useful indicator of a government’s financial position. Net position is reported based on accrual basis of accounting that is similar to private businesses. Of the $788.2 million net position, $656.7 million (83.3 percent of the total) represents net investment in capital assets (e.g., infrastructure, land, buildings, improvements other than buildings, construction in progress, and equipment). These resources are not available for future spending. Capital assets are used to provide services to the community. $118.4 million (15.0 percent of the total) represents restricted net position reflecting resources earmarked for capital projects, community development and special projects, and pension funding. The unrestricted net position of $13.1 million (1.7 percent of the total) reflects the City’s net pension and other post-employment benefits (OPEB) liabilities of $165.8 million and $16.7 million, respectively. It also includes the City’s share of Livermore-Pleasanton Fire Department’s (LPFD) net deficit of $40.8 million (also reflecting LPFD’s pension and OPEB liabilities), which is offset by various reserves, including amounts set aside for future capital improvements in the capital projects funds, and reserves held in internal service funds to pay for retiree medical expenses, general liability claims, and repair and replacement of City facilities and equipment. Governmental activities account for $42.2 million of the negative unrestricted net position. Business-type activities account for $55.3 million, the majority of which is held in the utility funds for future capital projects and emergency repairs and replacement. Governmental Funds - Fund Balances The City’s governmental funds reported ending fund balances of $167.5 million, an increase of $10.0 million (6.3 percent) from FY 2021/22 as revenues exceeded expenditures. This is due to the City’s conservative financial planning. Certain revenues collected in FY 2022/23 will be Page 165 of 554