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Capital Assets (net of accumulated depreciation) <br />June 30, <br />Land <br />Buildings <br />Improvements <br />Equipment <br />Construction in Progress <br />2018 <br />2017 <br />$ 51,079,051 <br />$ 51,079,051 <br />6,208,214 <br />6,291,515 <br />25,898,542 <br />23,967,243 <br />1,351,172 <br />1,296,592 <br />8,849,656 <br />4,896,978 <br />$ 93,386.635 <br />$ 87,531,379 <br />Major capital asset events during the fiscal year included upgrades at Old Meadows, Dos Vientos, <br />Northwood Neighborhood, Spring Meadow, Thousand Oaks and Fiore Parks, McCrea building <br />rehabilitation, and development of Sapwi Trails Community and Banyan Parks. <br />Longterm debt <br />The District has no outstanding debt at June 30, 2018. <br />ECONOMIC FACTORS AND NEXT YEAR'S BUDGET <br />The focus of this annual report is the economic condition of the District as of June 30, 2018; <br />however, national, state, and local issues have economic impacts on the District and are worthy <br />of consideration. <br />The economy continued to do well in 2018, with local, statewide, and national economies all <br />flourishing. Although it is anticipated that there will be slower growth both nationally and <br />internationally, it appears unlikely that the U.S. economy will enter a recession during 2019. The <br />State government remains fiscally sound, and, at least to date, the Federal administration's <br />policies have not had a negative effect on the District's fiscal health. That said, as this has been <br />the longest financial recovery in the nation's history, there remains discussion of recession, <br />accordingly, staff anticipates only modest increases in property tax revenues. <br />In response to the drought and increasing water prices, the District implemented a turf reduction <br />program districtwide, partially funded by grants from local water agencies. Turf has been <br />replaced with mulch and installation of waterwise landscaping is occurring as resources become <br />available. Resources otherwise programmed for water costs are being channeled into the <br />waterwise landscape program. The District also connected two parks in the east end of the Conejo <br />Valley to reclaimed water irrigation systems. <br />An ongoing challenge facing state and local government is pension funding. The District <br />continues to meet its actuarily required contribution to California Public Employees Retirement <br />System (CalPERS). The employer contribution rate has increased from 6.069 percent for fiscal <br />Page 111 <br />