ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31,2009_part6 ppt

liUMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS Emplovee Share Regular Employees 10.00% Law Enforcement Employees 1 0.10% Emplover Share Employer contributions required and made for the last three years were as follows: For the Year Ended December 3 1 2009 2008 2007 Employer's Contribution for Regular Emplovees Employer's Contribution for Law Enforcement Emulovees Other Post-employment Benefits - All age and service retirees with 10 or more years of service credit qualify for healthcare coverage under OPERS. Healthcare coverage for disability recipients and primary survivor recipients is also available. Chapter 145, Ohio Revised Code, provides the statutory authority for employer contributions. The employer contribution rate for all employees to fund healthcare was 7.00% included in the total employer rate (14.00% and 17.63%). Employees do not fund any portion of healthcare costs. The 2009 actuarially determined employer healthcare contribution requirement paid was: Regular Employees Law Enforcement Employees Note 6. Commitments The Park District has contractual commitments to various vendors for future supplies and services for the Park District. Determinable amounts are recorded as encumbrances at December 31, 2009, as follows: General Fund Capital Projects Fund Other Funds This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS Note 7. Capita1 Assets A. Governmental Activities - changes in capital assets during the year ended December 3 1,2009 follows: Land Land Improvements Buildings Equipment Vehicles Playgrounds Infrastructure Leasehold Improvements Less Balance Balance Accumulated Net Book January 1,2009 Additions Deletions December 3 1, 2009 Depreciation Value $ 56,850,082 $ 1,412,615 .$ - S 58,262,697 $ - $58,262,697 B. Changes in Accumulated Depreciation - Governmental Activities for the year ended December 3 1,2009 follows: Accumulated Land Improvements Buildings Equipment Vehicles Playgrounds Infrastructure Leasehold Improvements Balance Depreciation January 1,2009 Additions Deletions December 3 1, 2009 C. Business Activities - Changes in capital assets during the year ended December 3 1,2009 follows: Land ( Buildings and Improvements Equipment 1 Vehicles Balance Balance Less Accumulated Net Book January 1, 2009 Additions Deletions December 3 1, 2009 Depreciation Value $ 2,579,126 $ - $ - $ 2,579,126 $ - $ 2,579,126 This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS D. Changes in Accumulated Depreciation - Business Activities for the year ended December 3 1,2009 follows: Accumulated Balance Depreciation January 1,2009 Additions Deletions December 3 1,2009 Buildings and Improvements $ 11,714,943 $ 420,437 $ 34,466 $ 12,100,914 Equipment 3,643,775 1,003,528 265,627 4,38 1,676 Vehicles 290,850 22,140 39,563 273,427 $ 15,649,568 $ 1,446,105 $ 339,656 $ 16,756,017 In 2005, the Park District received a gift of 1 19 acres of land valued at $4,400,000. This land is restricted to be used as a public park and if it ceases to be used as such, will revert to a not-for-profit organization specified by the donor. This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS Note 8. Risk Management The Park District is exposed to various risks of loss related to torts - theft of, damage to and destruction of assets, errors and omissions, injuries to employees and natural disasters. These risks are covered by commercial insurance purchased from independent third parties. Settled claims from these risks have not exceeded commercial insurance coverage for the past three years, nor has there been a significant reduction in insurance coverage in the same period. The Park District pays into the State of Ohio Bureau of Workers Compensation System at a retrospective rate based on gross salaries less any employee contributions to a 457 plan. Workers claims are submitted to the State of Ohio for authorization and payment to the injured employee. The State of Ohio establishes employer payments, employee payments, and adequate reserves. Note 9. Compensated Absences A summary of changes in amount due for compensated absences is as follows: Balance Balance Jaauar~ 1, December Current Long-term. 2009 Additions Reductions 3 1,2009 Portion Portion Governmental activities $1,872,755 $322,360 $1 62,881 $2,032,234 $ 219,279 $1,812,955 Business type activities 134,173 - 39,801 94,372 45,945 48,427 Total Compensated absences will be paid from the fund in which employees' salaries are paid which years has in prior typically been from the General Fund and Enterprise Fund. This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS Note 10. Interfund Transactions Individual fund asset and liability balances at December 3 1,2009, were as follows: General Fund Capital Projects Fund Enterprise Fund Other Funds Mitchell Fund Total All Funds Interfund Tranfers Receivable Payable In Out $2,325,203 $ $ $5,007,030 Transfers in and out, and interfund balances are made to provide operating cash as needed. Transfers ffom the General Fund to the Capital Projects fund represent the Park District's funding of capital projects. This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE BASIC FINANCIAL STATEMENTS Note 11. Long Term Liabilities Long term liability activity for the year ended December 3 1,2009 was: Capital Lease Compensated Absences Beginning Ending Due Within Balances Additions Reductions Balance One Year $ 352,592 $ - $ 352,592 $ - $ - See Note 9 for detail of compensated absences within governmental and business type activities. The capital lease is a liability within the business type activities. Note 12. Business Activities Unrestricted Net Assets Negative Balance The negative balance in the unrestricted net assets for business activities is the result of net assets reserved for capital assets. Note 13. Accounting Pronouncements Issued But Not Yet Effective The Governmental Accounting Standards Board has issued GASBS 54, "Fund Balance Reporting and Governmental Fund Type Definitions", effective for periods beginning after June 15, 2010. Management is currently assessing the impact of the implementation of this accounting pronouncement. This is trial version www.adultpdf.com REQUIRED SUPPLEMENTARY INFORMATION This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTFUCT Schedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual (Non-GAAP Budgetary Basis) General Fund For the year ended December 31, 2009 Revenues Taxes Motor Vehicle Permits Charges for Service Fines and Damage Interest and Dividends Miscellaneous Grants Total Revenue Expenditures General Government Public Safety Operation and Maintenance Land Management Resource Quality Naturalist Communication Fernbank Park Armleder Park Visitor Services Total Expenditures Excess of revenues over expenditures Other financing (uses) Transfers out Excess (deficiency) of revenues and other financing sources over expenditures and other financing uses Fund Balances, Beginning of Year Prior Year Encumbrances Fund Balances, End of Year Between Actual Original Revised and Revised Budget Budget Actual Budget See accompanying notes to the requ~red supplementary information 5 9 This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT Schedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual (Non-GAAP Budgetary Basis) Mitchell Fund For the year ended December 31, 2009 Revenues Sale of Stock Interest and Dividends Total Revenue Expenditures Salaries Fringes Supplies Insurance, Utilities, Other Capital Outlay Total Expenditures Excess of revenues over expenditures Other financing sources Transfers in Excess (deficiency) of revenue and other financing sources over expenditures Fund Balances, Beginning of Year Fund Balances, End of Year Variance Between Actual Original Revised and Revised Budget Budget Actual Budget I See accompanying notes to required supplementary information 60 This is trial version www.adultpdf.com HAMILTON COUNTY PARK DISTRICT NOTES TO THE REQUTRED SUPPLEMENTARY INFORMATION Budgetary Process Budget - A budget of estimated cash receipts and disbursements is submitted to the County Auditor, who serves as Secretary of the County Budget Commission, by July 20 of each year for the period of January 1 to December 31 of the following year. Estimated Resources - The County Budget Commission certifies its actions to the Park District by September 1. As part of this certification, the Park District receives the official certificate of estimated resources whlch states the projected receipts of each fund. On or about January 1, this certificate is amended to include any unencumbered balances from the preceding year. Prior to December 3 1, the Park District must revise its budget so that the total budgeted expenditures from a fund during the ensuing fiscal year will not exceed the amount stated in the Certificate of Estimated Resources. The revised budget then serves as the basis for the annual appropriation measure. Budget receipts, as shown on the accompanying financial statements, do not include January 1, 2007 unencumbered fund balances. However, those fund balances are available for appropriations. A~~rouriations - A temporary appropriation measure to control cash disbursements may be passed on or about January 1 of each year for the period January 1 to March 3 1. An annual appropriation measure must be passed by April 1 of each year for the period January 1 to December 31. The appropriation measure may be amended or supplemented during the year as new information becomes available. Appropriations may not exceed estimated resources, as certified. Encumbrances - The Park District is required to use the encumbrance method of accounting by mandate of Oh10 law. Under this system, purchase orders, contracts and other commitments for the expenditure of funds are recorded on the Non-GAAP budgetary basis in order to reserve that portion of the applicable appropriation and to determine and maintain legal compliance. At the close of each fiscal year, the unencumbered balance of each appropriation reverts to the respective fund from which it was appropriated and becomes subject to future appropriations. The encumbered appropriation balance is carried forward to the succeeding fiscal year and need not be reappropriated. The Park District is organized into six Divisions that report to an Executive Director, who in turn reports to a Board of Park Commissioners. Under these Divisions are various Departments. All governmental and proprietary fund types of the Park District have legally adopted budgets at the personal service and other object level wih each department for estimated resources and appropriations. The transfer of appropriations with the two respective object levels in each department does not require approval of the Board of Park Commissioners. Revisions to estimated resources or budgeted appropriations must be approved by the Board of Park Commissioners and submitted to the Hamilton County auditor. Division directors are responsible for operating within the approved budget, as periodically amended. Please refer to page 9 of thls report for an Organizational Chart. This is trial version www.adultpdf.com [...]...HAMILTON COUNTY PARK DISTRICT NOTES TO THE REQUIRED SUPPLEMENTARY IIVFORMATION Budgetary Process (continued) Listed below is a reconciliation of the results of operations for the year ended December 3 1,2009 from modified accrual (GAAP) basis to the Non-GAAP budgetary basis Excess (Deficiency) of Revenues and Other Financing Sources Over Expenditures and Other Financing Uses General Fund Mitchell... Sources Over Expenditures and Other Financing Uses General Fund Mitchell Fund GAAP Basis: Adjustments: Revenue Accrued Expenses Accrued Budget Basis: This is trial version www.adultpdf.com OTHER SUPPLEMENTARY INFORMATION This is trial version www.adultpdf.com . last three years were as follows: For the Year Ended December 3 1 2009 2008 2007 Employer's Contribution for Regular Emplovees Employer's Contribution for Law Enforcement. An annual appropriation measure must be passed by April 1 of each year for the period January 1 to December 31. The appropriation measure may be amended or supplemented during the year. that the total budgeted expenditures from a fund during the ensuing fiscal year will not exceed the amount stated in the Certificate of Estimated Resources. The revised budget then serves as the