CITY OF LAGUNA NIGUEL MANAGEMENT’S DISCUSSION AND ANALYSIS JUNE 30, 2024 FINANCIAL PERFORMANCE (Continued) Government-Wide Financial Analysis (Continued) Public works activities comprise the City’s largest function at 37.7% of all expenses in fiscal year 2023-2024, compared to 30.4% last year. These activities include all street maintenance, sweeping, and lighting; median, park, and slope maintenance; storm drain/water quality maintenance; Metrolink station maintenance and City Hall maintenance. The Public Safety function represents the second largest activity in the City, accounting for 29.4% of total expenses in the current fiscal year, compared to 30.5% last year. Public safety activities include police services and emergency preparedness. Most of the public safety costs are for police services provided by the Orange County Sheriff, which were approximately $16.6 million in fiscal year 2023-2024. The increase of these functions in relation to all governmental activities is primarily due to increases in costs for the Orange County Sheriff contract, along with increases in materials and supplies utilized in public works activities. The following chart graphically depicts the City’s governmental expenses by function. (11)