presented by david r. youngstrom, cpa june 30, 2018 · early childhood nonmajor total general...
TRANSCRIPT
PRESENTED BY
David R. Youngstrom, CPA
Troy School District
June 30, 2018
Audit Results
Financial Statements:
•Unmodified Opinion–Highest level of assurance
–School's financial records and statements are fairly and appropriately presented, and 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.
1
Early Childhood Nonmajor Total
General Capital Projects Learning Governmental Governmental
Fund 2016 Center Funds Funds
Assets
Cash and investments 23,649,831$ 25,182,663$ 15,629,166$ 5,021,689$ 69,483,349$
Receivables - net 600,453 - - 59,087 659,540
Due from other governmental units 19,416,408 - - 645,183 20,061,591
Prepaid items and inventory 455,901 - - 41,549 497,450
Total assets 44,122,593$ 25,182,663$ 15,629,166$ 5,767,508$ 90,701,930$
Liabilities
Accounts payable and other liabilities 3,296,777$ 2,230,887$ 1,293,646$ 860,149$ 7,681,459$
Accrued expenses 15,093,802 - - - 15,093,802
Unearned revenues 477,213 - - 427,619 904,832
Total liabilities 18,867,792 2,230,887 1,293,646 1,287,768 23,680,093
Deferred Inflows of Resources
Unavailable revenue 12,329 - - - 12,329
Fund Balance
Non-spendable - Prepaid items & inventory 455,901 - - 41,549 497,450
Restricted - Food service - - - 912,862 912,862
Restricted - Debt service - - - 1,535,463 1,535,463
Restricted - Capital projects - 22,951,776 14,335,520 105,285 37,392,581
Committed - - - 1,198,112 1,198,112
Assigned - Capital projects - - - 686,469 686,469
Unassigned 24,786,571 - - - 24,786,571
Total fund balance 25,242,472 22,951,776 14,335,520 4,479,740 67,009,508
Total liabilities, deferred inflows
of resources, and fund balance 44,122,593$ 25,182,663$ 15,629,166$ 5,767,508$ 90,701,930$
Capital Projects Funds
Balance Sheet-Governmental Funds
2
Statement of Revenues, Expenditures and Changes in Fund Balances
3
Early Childhood Nonmajor Total
General Capital Projects Learning Governmental Governmental
Fund 2016 Center Funds Funds
Revenues and other sources 151,774,253$ 265,144$ 16,707,519$ 31,266,700$ 200,013,616$
Expenditures and other uses 150,737,172 14,031,830 2,371,999 35,155,306 202,296,307
Change in fund balance 1,037,081 (13,766,686) 14,335,520 (3,888,606) (2,282,691)
Fund balance - July 1, 2017 24,205,391 36,718,462 - 8,368,346 69,292,199
Fund balance - June 30, 2018 25,242,472$ 22,951,776$ 14,335,520$ 4,479,740$ 67,009,508$
Capital Projects Funds
General Fund Revenue (includes Other Sources)Year Ended June 30, 2018
Local$38,844,065
26%
State$101,977,419
67%
Federal$3,333,254
2%
Interdistrict sources$7,537,593
5%
Other$81,922
Less than 1%
4
General Fund ExpendituresYear Ended June 30, 2018
Salaries$73,741,957
49%
Employee Benefits$48,780,644
33%
Purchased Services$19,695,836
13%
Supplies and Materials$6,053,649
4%Capital Outlay
$484,461 Less than 1%Other
$1,980,625 1%
5
General Fund ExpendituresYear Ended June 30, 2018
Instruction$104,214,738
69%
Supporting Services$46,452,918
31%
Other$69,516
Less than 1%
5
Instructional Expenditures Comparison
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
Troy Schools2014-15
Troy Schools2015-16
Troy Schools2016-17
Troy Schools2017-18
Average of AllOakland County
Schools2016-17
68% 69% 69% 69%
64%
8
Per-Pupil Analysis of General FundRevenues and Expenditures
$10,560 $10,526
$10,812
$11,094
$11,353
$11,596
$10,641 $10,585
$10,924 $11,028
$11,145
$11,516
$9,000
$9,500
$10,000
$10,500
$11,000
$11,500
$12,000
2013 2014 2015 2016 2017 2018
Revenues Expenses
9
Ten Year Enrollment Trend Analysis
12,17712,076 12,032
12,31212,438
12,59112,563
12,717
12,88113,089
10,000
11,000
12,000
13,000
14,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Enrollment
10
General Fund Unassigned Balance
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
2014 2015 2016 2017 2018
$21,000,702 $20,231,419 $21,038,513
$23,716,299
$24,786,571
11
Financial Statements:
•No Material Weaknesses Identified
•No Significant Deficiencies Identified
•No Material Noncompliance
Federal Awards:
•Major Program –
•Child Nutrition Cluster – Unmodified Opinion
•Special Education Cluster – Unmodified Opinion
•No Material Weaknesses Identified
•No Significant Deficiencies Identified
•No Material Noncompliance
Internal Controls and Compliance
12
Governance Letter
Required communication
Management Comments
•Prior Year –•Federal Procedures - See below, in progress
•Time and Effort Record Keeping - Corrected
•Current Year –•Federal Procedures
•Athletic Receipt Procedures
13
•State economic/political condition
•Rising fringe benefit costs
•Retirement rate increase
•Post employment benefit obligation - nearly
$77M
•Net pension liability - over $225M
Future Challenges
14