Transcript MINNEWASKA SCHOOL DISTRICT #2149
MINNEWASKA SCHOOL DISTRICT #2149
AUDIT HIGHLIGHTS YEAR ENDED JUNE 30, 2010
General Fund Revenues
Local Sources Property Taxes Interest earnings Other State sources Federal sources Other Financing Sources Total General Fund Revenue Year Ended June 30, 2010 $ 1,562,002 30,961 1,267,277 9,315,186 1,275,420 34,041 Year Ended June 30, 2009 $ 1,419,238 33,671 1,182,962 9,827,512 400,451 1,715,538 $ 13,484,887 $ 14,579,372 Amount of Increase (Decrease) $ 142,764 (2,710) 84,315 (512,326) 874,969 (1,681,497) $ (1,094,485) % Increase (Decrease) 10.1% (8.0)% 7.1% (5.2)% 218.5% (98.0)% (7.5)%
General Fund Revenues- Budget to Actual
Revenues Local property tax levies Other local and county revenues Revenues from state sources Revenue from federal sources Sales and other conversions of assets Insurance recovery and settlement Total Revenues Budgeted Amounts Original Final Actual General Fund Over (Under) Budget $ 1,549,324 1,073,673 9,188,097 402,131 31,850 -0 $ 12,245,075 $ 1,549,323 1,097,467 9,025,463 1,269,648 17,919 7,349 $ 12,967,169 $ 1,562,002 1,270,820 9,315,186 1,275,420 20,173 7,245 $ 13,450,846 $ 12,679 173,353 289,723 5,772 2,254 (104) $ 483,677
Figure A-4 Minnewaska Area School's Expenses
Fiscal Ye ar 2010
Food services 4.5% Fiscal & fi xed 0.3% Interest Expense 4.0% Administration & Di stri ct Support 6.3% Site, Buildi ngs, Equipment 11.3% Pupi l & Instructi onal support 8.2% Communi ty Ed 2.0% Direct Instruction 36.3% Exceptional Instruction 27.0%
General Fund Expenditures
Salaries Employees benefits Purchased services Supplies & material Non-Capital equipment Capital Expenditures Debt Service Other expenditures Total Expenditures Year Ended June 30, 2010 $ 7,785,347 1,826,819 2,233,402 847,613 169,070 83,100 235,894 44,688 Year Ended June 30, 2009 $ 7,435,752 3,308,414 2,049,415 761,413 48,260 1,064,953 269,602 50,567 Amount of Increase (Decrease) $ 349,595 ( 1,481,595) 183,987 86,200 120,810 (981,853) (33,708) (5,879) $ 13,225,933 $ 14,988,376 $ (1,762,443) % Increase (Decrease) 4.7% (44.8)% 9.0% 11.3% 250.3% (92.2)% (12.5)% (11.6)% (11.8)%
Expenditures Current: District and school administration District support services Regular instruction Vocational instruction Exceptional instruction Community education and services Instructional support services Pupil support services Site, buildings and equipment Fiscal and other fixed cost programs Total Current Capital Outlay Debt Service: Principal Interest Debt issuance costs Total Debt Service Total Expenditures Budgeted Amounts Original $ 480,219 298,086 5,250,194 65,768 3,866,375 -0 197,472 1,116,999 967,790 68,311 12,311,214 Final $ 563,118 409,691 5,365,869 115,548 4,286,864 -0 143,8246 1,092,519 1,046,453 44,686 13,068,572 Actual General Fund $ 559,966 410,309 5,347,132 113,111 4,224,797 -0 157,672 1,094,851 954,413 44,688 12,906,939 Over (Under) Final Budget $(3,152) 618 (18,737) (2,437) (62,067) -0 13,848 2,332 (92,040) 2 (161,633) 51,894 51,894 83,100 31,206 79,305 198,113 -0 277,418 83,320 145,571 6,998 235,889 83,319 145,577 6,998 235,894 (1) 6 -0 5 $ 12,640,526 $ 13,356,355 $ 13,225,933 $ (130,422)
Budgeted Amounts Original Final (395,451) (389,186) Excess (deficiency) of revenue over expenditures Other Financing Sources (Uses) Sale of real property and equipment Capital Equipment Lease Total Other Financing Sources (Uses) -0 -0 $ -0 Excess (Deficiency) of Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing (Uses) $ (395,451) 2,709 -0 $ 2,709 $ (386,477) Fund Balances - Beginning of Year Fund Balances - End of Year 1,037,227 $ 641,776 1,037,227 $ 650,750 Actual General Fund Variances with Final Budget Favorable (unfavorable) 224,913 614,099 2,709 31,332 $ 34,041 $ 258,954 $ 1,037,227 $ 1,296,181 -0 31,332 $ 31,332 $ 645,431 -0 $ 645,431
FUND BALANCES
Community Service Building Construction Fund Balances (Deficits)
Designated for: Student Activities Separation/Retirement Benefits Total Designated Reserved for: Staff Development Health and Safety Operating Capital Unfunded Severance & Retirement Levy Community Education ECFE Alternative Facilities Gifted and Talented Safe Schools School Readiness Total Reserved
General
78,517 579,719 658,236 65,336 (66,385) 556,082 40,685 -0 -0 -0 7,009 5,708 -0 $ 608,435 -0 -0 -0 -0 -0 -0 -0 18,764 7,163 -0 -0 -0 3,287 $ 29,214 -0 -0 -0 -0 -0 -0 -0 520,222 -0 -0 -0 $ 520,222
Total
78,517 579,719 658,236 65,336 (66,385) 556,082 40,685 18,764 7,163 520,222 7,009 5,708 3,287 $1,157,871 Unreserved 29,510 2,382 -0 31,892
Table A-1 Minnewaska Area Schools Combined Statement of Net Assets Governmental Activities
Current and Other Assets Capital Assets
Total Assets
Long-term Liabilities Other Liabilities
Total Liabilities 2010
$ 11,211,3453 27,231,204 38,442,548 16,304,176 8,704,189 25,008,365 Net Assets Invested in capital assets, net of related debt Restricted Unrestricted
Total Net Assets
12,946,194 630,947 (142,958)
$13,434,183 2009
$ 8,599,734 27,120,093 35,719,827 17,095,446 5,209,968 22,305,414 12,705,648 629,658 79,107
$ 13,414,413 Total Percentage Change 2009-2010
30.4% .4% 7.6% (8.6)% 67.1% 8.6% 1.9% .2% (280.7)% .1%
Actuarial Studies
Two Actuarial Studies Did in Fiscal Year ending 6/30/2010 with 6/30/2009 starting numbers Done to determine the liability associated with future severance payouts and with other post employee benefits (subsidized health care costs) Board has bonded for OPEB liability and designated fund balance along with an annual levy for severance payouts Actuarial study shows approximately $300,000 in unfunded OPEB at the date of the study Additional retirement incentives paid out of the OPEB assets will increase the unfunded amount
Prior Year Follow up
Corrected
Deficiency 2009-3 – Fixed Asset Controls Deficiency 2009-4 – Senior Class Activity Account
Work in Progress
Deficiency 2009-1 - Financial Oversight & Monitoring Deficiency 2009-2 - Financial Reporting Process Deficiency 2009-5 -Time Distribution Records Related to Federal Programs
CURRENT YEAR SUMMARY
Audit Opinion- “Unqualified Opinion” audit report (Page 2-3)
Internal Controls Reporting Pages 62-63 MATERIAL WEAKNESS Deficiency 2010-2- Financial Oversight & Monitoring Page 68 Deficiency 2010-3- Internal Controls Over Day Treatment Revenues Page 69 SIGNIFICANT DEFICIENCY Deficiency 2010-4 – Period End Financial Reporting Page 70 Deficiency 2010-5 – Fiscal Agent Page 71 STATE COMPLIANCE Deficiency 2010-6 - State Certification of Withholding Requirements on Contracts Page 72
Require separate reporting on our consideration of Internal Controls and Compliance.
Control deficiency is when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions to prevent or detect financial misstatements on a timely basis.
Significant Deficiency More than a remote likelihood that a more than inconsequential misstatement will not be detected by the District’s internal controls. Material Weakness More than a remote likelihood that a material misstatement will not be prevented or detected by the District’s internal controls.
Summary (Continued)
Federal Awards Program Audit Internal Control Deficiency Deficiency 2010-1 Time Distribution Records (Page 67)
2010 Conclusions
The District needs to continue to closely monitor its revenues & expenditures. The District needs to restore the unreserved/undesignated fund balance to a reasonable amount.
As Day Treatment is a substantial component of revenues & expenses, the District needs to continue to develop ways to monitor financial results.
The District is concluding its facilities upgrade and now should monitor its energy savings and work on paying down debt.
SAS 114 Letter
Thanks to the District Staff for cooperation during the audit.