Town of Portsmouth 2010
description
Transcript of Town of Portsmouth 2010
Town of Portsmouth 2010 Financial Statements
155 South Main Street Providence, RI 02903
Introduction
Presentation will review the Town’s 2010 Audit Results Discussion of observations and recommendations Feel free to ask questions at any time
Topics of Discussion
Financial Statements
Observations and recommendations
Required Communication to Audit Committee
The General Fund
Total Fund Balance increased by $663,437 Budgeted change was zero Undesignated Fund Balance = $2,734,147 Undesignated Fund Balance represents roughly
5.8% of Operating Budget Current level is well below analyst benchmarks
(15% , one year debt svc, etc.)
Fund Balance: last 11 years
Results of Operations
Revenues were above budget by $19,309 Property taxes $41,582 above what was anticipated Tax collection percentages:
96.0% collection of current year assessment 99.6% collection of all assessments outstanding
when compared to net current assessment
Tax Collections:% of current levy
Results of Operations (cont.)
Expenditures were $687,069 below appropriated amounts
Public/social services and debt service functions exceeded budget by less than 1%
Significant favorable results in these areas: General government Public safety Public works Recreation
Net Bonded Debt per capita
School Department
Unrestricted fund ended year with fund balance of $1,381,503
$9,229 of this fund balance consists of outstanding, but unfilled, purchase commitments (encumbrances)
$316,000 is designated for 2010-11 expenditures Balance of $1,056,274 is undesignated
School Department
Revenues were $938,835 below anticipated amounts, primarily due to reductions in state aid
Expenditures were $1,517,331 below appropriations Current year increase in fund balance of $524,012
from operating surplus School Lunch Fund recognized net income of $12,476 Improvement in condition of records and readiness for
year-end audit
Wind Turbine
Revenues amounted to $508,545 Operating expenses were $165,597 (including non-
cash depreciation of $151,461) Interest expense was $37,577 for the fiscal year Operating income transferred to General Fund and
School Fund ($80,465 and $179,100 respectively) $204,000 of revenue bond principal retired during
year
Transfer Station
Revenues amounted to $582,877 Expenses were $673,097 Operating loss covered by transfer from General
Fund of $90,220 Fund has net assets of $37,250 – invested entirely
in capital assets used in operations
Town Pension Plan
Funded status has deteriorated significantly since 2000 80.1% funded as of 1/1/2000 60.6% funded as of 7/1/2010
While all actuarially required contributions have been made, these amounts have significantly increased over past 10 years and town must anticipate significant increases in coming years. In addition, continue taking steps to manage cost of future benefits.
Pension Funded Status
Unfunded Pension Obligation
Other Post-Employment
Benefits Town plan ended year with accumulated balance of
$146,923 available for benefits while School plan was unfunded at June 30th
Based on latest actuarial data available, combined unfunded liability is in excess of $17,500,000
Combined actuarially determined contribution was approximately $2,080,000 while actual contributions aggregated $968,080 (46.5% of required contribution)
While full funding of benefits is highly recommended, it is not currently required by law or accounting standards
Observations & Recommendations
No material weaknesses in internal controls noted One compliance finding noted regarding
expenditure of federal financial assistance We have discussed readiness for implementation of
GASB Statement 54 with management We received complete cooperation from
management and staff while conducting the audit
Questions?
The End
Thank you!