Click here to load reader

Bedford County Public Service Documents/06-14 RPT... · PDF fileBEDFORD COUNTY PUBLIC SERVICE AUTHORITY TABLE OF CONTENTS FINANCIAL SECTION Independent Auditor’s Report.....1

  • View
    212

  • Download
    0

Embed Size (px)

Text of Bedford County Public Service Documents/06-14 RPT... · PDF fileBEDFORD COUNTY PUBLIC...

  • Financial Report For the Fiscal Year Ended

    June 30, 2014

    Bedford County

    Public Service

    Authority

  • BEDFORD COUNTY PUBLIC SERVICE AUTHORITY

    BEDFORD, VIRGINIA

    FINANCIAL REPORT

    For the Fiscal Year Ended June 30, 2014

    PREPARED BY THE FINANCE DEPARTMENT

  • BEDFORD COUNTY PUBLIC SERVICE AUTHORITY

    TABLE OF CONTENTS

    FINANCIAL SECTION

    Independent Auditors Report ............................................................................................................................. 1

    Financial Statements

    Exhibit 1 Statement of Net Position ............................................................................................................... 4

    Exhibit 2 Statement of Revenues, Expenses, and Changes in Net Position ................................................................................................................................... 5

    Exhibit 3 Statement of Cash Flows................................................................................................................. 6

    Notes to Financial Statements ............................................................................................................................. 7

    COMPLIANCE SECTION

    Independent Auditors Report on Internal Control over Financial Reporting and onCompliance and Other Matters Based on an Audit of Financial Statements

    Performed in Accordance with Government Auditing Standards ............................................................. 14

    Schedule of Finding and Response ................................................................................................................... 16

  • FINANCIAL SECTION

    Financial Section contains the Basic Financial Statements.

  • 1Your Success is Our Focus

    319 McClanahan Street, S.W. P.O. Box 12388 Roanoke, VA 24025-2388 540-345-0936 Fax: 540-342-6181 www.BEcpas.com

    INDEPENDENT AUDITORS REPORT

    To the Honorable Members of the Board of DirectorsBedford Regional Water AuthorityBedford, Virginia

    Report on the Financial Statements

    We have audited the accompanying financial statements of the Bedford County Public Service Authority (the Authority) as of and for the year ended June 30, 2014, and the related notes to the financial statements, which collectively comprise the Authoritys basic financial statements as listed in the table of contents. The prior year partial comparative information has been derived from the Authoritys 2013 financial statements and, in our report dated September 27, 2013, we expressed an unmodified opinion on the respective financial statements.

    Managements Responsibility for the Financial Statements

    Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

    Auditors Responsibility

    Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and Specifications for Audits of Authorities, Boards and Commissions issued by the Auditor of Public Accounts of the Commonwealth of Virginia.Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

    An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Authoritys preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Authoritys internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

    We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

  • 2

    Report on the Financial Statements (Continued)

    Opinion

    In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the Bedford County Public Service Authority, as of June 30, 2014, and the respective changes in financial position and cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.

    Change in Accounting Principle

    As described in Note 6 to the financial statements, in 2014, the Authority adopted new accounting guidance, GASB Statement No. 65, Items Previously Reported as Assets and Liabilities. Our opinion is not modified with respect to this matter.

    Emphasis of Matter

    As discussed in Note 5 to the financial statements, the Authority ceased operations and transferred all assets, liabilities, and agreements to the Bedford Regional Water Authority effective July 1, 2013. Our opinion is not modified with respect to that matter.

    Other Matters

    Required Supplementary Information

    Management has omitted managements discussion and analysis that accounting principles generally accepted in the United States of America require to be presented to supplement the basic financial statements. Such missing information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. Our opinion on the basic financial statements is not affected by this missing information.

    Other Reporting Required by Government Auditing Standards

    In accordance with Government Auditing Standards, we have also issued our report dated September __, 2014 on our consideration of the Authoritys internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Authoritys internal control over financial reporting and compliance.

    CERTIFIED PUBLIC ACCOUNTANTS

    Roanoke, VirginiaOctober 8, 2014

  • 3

    FINANCIAL STATEMENTS

  • Exhibit 1

    (For

    Comparative

    Purposes Only)

    2013

    ASSETS

    Current assets

    Cash and cash equivalents (Note 2) -$ 2,312,481$

    Accounts receivable - 1,303,054

    Due from other governmental units - 93,876

    Inventory - 175,836

    Prepaids - 42,929

    Total current assets - 3,928,176

    Noncurrent assets

    Cash and cash equivalents, restricted (Note 2) - 412,167

    Capital assets: (Note 3)

    Nondepreciable - 838,265

    Depreciable, net - 62,286,184

    Total noncurrent assets - 63,536,616

    Total assets - 67,464,792

    DEFERRED OUTFLOWS OF RESOURCES

    Deferred loss on refunding - 1,231,736

    Total deferred outflows of resources - 1,231,736

    LIABILITIES

    Current liabilities

    Accounts payable - 404,630

    Accrued liabilities - 123,176

    Interest payable - 214,716

    Compensated absences (Note 4) - 39,648

    Current maturities of long-term debt (Note 4) - 1,998,770

    Total current liabilities - 2,780,940

    Long-term liabilities

    Customer security deposits - 322,594

    Compensated absences (Note 4) - 118,942

    Due to other governmental units - 380,704

    Unearned revenue - 1,077,265

    Long-term debt due in more than one year (Note 4) - 19,301,153

    Total long-term liabilities - 21,200,658

    Total liabilities - 23,981,598

    NET POSITION

    Net investment in capital assets -

Search related