| Balance | Balance |
| June 30, 2024 | Additions | Deletions | June 30, 2025 |
|---|
| Component Unit: | | | | | |
|---|
| Capital assets, being amortized | | | | | |
|---|
| Lease asset - building | $ 2,636,688 | $ - | $ - | $ 2,636,688 | |
|---|
| Total capital assets, being amortized | 2,636,688 | - | - | 2,636,688 | |
|---|
| Less accumulated amortization | | | | | |
|---|
| Lease asset - building | (213,786) | (71,261) | - | (285,047) | |
|---|
| Total accumulated amortization | (213,786) | (71,261) | - | (285,047) | |
|---|
| Total capital assets, being amortized, net | 2,422,902 | (71,261) | - | 2,351,641 | |
|---|
| Total component unit capital assets | $ 2,422,902 | $ (71,261) | $ - | $ 2,351,641 | |
|---|
The following is a summary of long-term liability transactions of the City for the year ended June 30, 2025.
| Balance | Balance | Due Within |
|---|
| June 30, 2024 | Additions | Reductions* | June 30, 2025 | One Year | |
|---|
| Direct Borrowing: | | | | | | |
|---|
| Special assessment debt with government commitment | 980,000 | - | (55,000) | 925,000 | 58,000 | |
|---|
| Limited obligation improvement bonds | 88,000 | - | (18,000) | 70,000 | 13,000 | |
|---|
| Claims liabilities | 3,675,340 | - | (2,833,669) | 841,671 | 276,752 | |
|---|
| Compensated absences | 2,672,687 | - | (37,901) | 2,634,786 | 500,000 | |
|---|
| Leases payable | 1,978,673 | 529,792 | (339,696) | 2,168,769 | 312,538 | |
|---|
| Subscriptions payable | 278,662 | 140,618 | (206,549) | 212,731 | 147,505 | |
|---|
| Total | 9,673,362 | 670,410 | (3,490,815) | 6,852,957 | 1,307,795 | |
|---|
* - Reductions reported for compensated absences are reported as net additions and reductions.
Debt service payments for the special assessment debt with government commitment, tax allocation bonds and notes payable are made from debt service funds and a special revenue fund.
Highlands Undergrounding Assessment District No. 04-01, Limited Obligation Improvement Bonds, Series 2006
On August 8, 2006, the City Palm Desert issued $3,165,000 of Limited Obligation Bonds. The proceeds of the Bonds were used to finance the construction of the utility undergrounding and pay the cost of issuance. The debt service on the bonds is to be paid by assessments secured on the property tax rolls of those properties benefiting from the improvements. In the event that assessment collections are insufficient to pay the debt service, the City has a potential obligation to provide additional funds to pay the debt service, therefore these bonds are reported as special assessment debt with government commitment. Bond maturities begin September 2, 2007, and continue annually through 2036. The interest rates of the bonds range from 3.85% to 5.15%. The City of Palm Desert is the only bondholder on record of the bonds and the City does not own the constructed assets.