City Of San Jose

CaFr & Budget Analysis
Teja Gadde

City of San Jose- Introduction: The city of San Jose, CA, is the self proclaimed capital of the Silicon Valley. Initially, it was the first civilian settlement in California in 1777 and was also the 1st state capital of California. Today, San Jose is the third largest city in California, following only Los Angeles and San Diego. It has an estimated population of over 950,000 people. San Jose has a very diverse population; 33.2% Hispanic, 28.7% White and 31.7% Asian. It is the home to the largest concentration of technology firms worldwide- over 6,500 technology companies are located in San Jose and surrounding areas. San Jose has large private employers such as Cisco Systems, Xilinx, IBM and EBay. San Jose is known to be the hub for technological innovation. However, San Jose was not immune to the effects of recession. The slight increases in San Jose's primary revenues was not enough to cover its expenditures, even though expenditures decreased from the previous year. San Jose provides many governmental activities services such as public transportation, libraries, parks, recreation and neighborhood services. San Jose also provides business-type activities such as the airport, wastewater treatment system, water system and parking management operation. At Fiscal year Ending June 30, 2011, San Jose had Total Net Assets of $5.648 billion, which is a decrease of $382 million from the previous period. This paper will review and analyze the City of San Jose's CAFR 2010-11 and Budget 2010-11. It will investigate the CAFR's adherence to GASB 34 and indicate important information that would be useful to readers. The financial situation of the city will also be evaluated along with the accuracy of the Budget.

CAFR ANALYSIS: The City of San Jose's Budget and CAFR use a fund accounting system to ensure and