V ID A LIA,LO U IS IA N A

Transcription

1 f~oeived LEGtSI.. /' ~;~:/'~[fdi'ior 20D2JA~;"2 P~ 12~I8 C O N C O R D IA PA R IS H S C H O O L B O A R D V ID A LIA,LO U IS IA N A JU N E 30,2001

2 C O N C O RD IA PA RISH SC H O O L B O A R D V IDA LIA,LO U ISIA NA JU N E TA BLE O F CO NTENTS (Continued) ndependenta uditor's Report G eneralpurpose FinancialStatem ents Com bined Balance Sheet- A lfund Types and AccountG roups C om bined Statem entofr evenues,expenditures, and Changes in Fund Balances - A lg overnm entalfund Types C om bined Statem entofrevenues,expenditures, and C hanges in Fund Balances - Budget (GAAP Basis)and Actua~- Generaland SpecialRevenue Funds Notes To FinancialStatem ents AdditionalInform ation SpecialRevenue Funds C om bining Balance Sheet Com bining Schedule ofr evenues,expenditures, and C hanges in Fund Balances Elem entary and Secondary Education ActFunds Com bining Balance Sheet Elem entary and Secondary Education ActFunds Com bining Schedules ofrevenues,expenditures and C hanges in Fund Balances Sales Tax Funds Com bining Balance Sheet Sales Tax Funds Com bining Schedules ofrevenues,expenditures and C hanges in Fund Balances Agency Funds SchoolActivity Agency Fund - Schedule ofc hanges In Deposits Due O thers Sales Tax Agency Fund - Schedule ofchanges in Deposits D ue O thers Schedule ofcom pensation Paid Board M em bers EX H IBIT A B C SC H ED U LE PA G E ~

3 CO NCO RDIA PA RISH SC HO O L BO A RD V lda LIA,LO UISIA NA JUN E 30,200t Schedule ofexpenditures offederalaw ards TABLE O F CO NTENTS (Concluded) O therreports Required By G overn m entaudith~g Standards and O M B C irculara-133 Reporton C om pliance and on InternalC ontrolo ver FinancialReporting Based on an AuditofG enera Purpose FinancialStatem ents Perform ed in Accordance w ith G overn m entaudith~g Standards Reporton Com pliance w ith Requirem ents Applicable to Each MajorProgram and InternalControlOver C om pliance in A ccordance w ith O M B C irculara-133 Schedule offindings and Q uestioned Costs O thercom m ents and Recom m endations M anagem ent's Corrective Action Plan M anagem ent's Sum m ary Schedule ofpriora uditfindings SCH EDULE 10 PA G E

4 PMoH PAYNE,M O O RE & HERRINGTO N,LLP C[I~IIFI[OPUBLICACCOUNTANTS ND EPENDENT A UDITO R'S REPO RT C oncordia Parish SchoolBoard V idalia.louisiana W e have audited the accom panying generalpurpose financialstatem ents of the Concordia Parish SchoolBoard,as ofand forthe yearended June 30,2001,as listed in the table ofcontents. These generalpurpose financialstatem ents are the responsibility of the Concordia Parish SchoolBoard's m anagem ent. O ur responsibility is to express an opinion on these general purpose financial statem ents based on ouraudit. W e conducted ourauditin accordance with auditing standards genera ly accepted in the United States of Am erica and the standards applicable to financial audits contained in G overn m ent Auditing Standards,issued by the C om ptro lerg eneralofthe U nited States. Those standards require thatw e plan and perform the auditto obtain reasonable assurance aboutw hetherthe financialstatem ents are free ofm aterialm isstatem ent. A n auditincludes exam ining,on a testbasis,evidence supporting the am ounts and disclosures in the financialstatem ents. An auditalso includes assessing the accounting principles used and significant estim ates m ade by m anagem ent, as w e las evaluating the overa l generalpurpose financialstatem ent presentation. W e believe that our audit provides a reasonable basis forouropinion. In ouropinion,the generalpurpose financialstatem ents referred to above presentfairly,in a lm aterial respects,the financialposition ofthe Concordia Parish SchoolBoard,as ofjune 30,2001,and the results of its operations for the year then ended in conform ity w ith accounting principles,genera ly accepted in the U nited States ofa m erica. In accordance w ith G overn m entauditing Standards,w e have also issued ourreportdated Novem ber 14,2001,on ourconsideration ofthe Concordia Parish SchoolBoard's internalcontroloverfinancial reporting and our tests of its com pliance w ith certain provisions of law s,regulations,contracts,and grants.thatreport is an intejralpartofan audit perform ed in accordance w ith G overn m enta uditing Standalds and should be read in conjunction with thisreportin considering the results ofouraudit. O ur audit w as perform ed for the purpose of form ing an opinion on the general purpose financial statem ents ofthe C oncordia Parish SchoolBoard,taken as a w hole.the com bining and individualfund financial statem ents and schedules listed in the table of contents are presented for purposes of additionalanalysis and are not a required part of the general purpose financialstatem ents of the Concordia Parish School Board.The accom panying schedule of expenditures of federalaw ards is presented forpurposes ofadditionalanalysis as required by U.S.O ffice of M anagem entand Budget C irculara 133,A udits of States,LocalG overnm ents,and N on-profito rganizations,and is also nota required part of the general purpose financial statem ents of the C encordia Parish School Board. I,(L~YIHAJLILIIAU, [P.A H.fLlfoI~AKDOW,[P.A ROBRTI[ll0Lḷ [.P.A I E{LIELICAB.MLIELI$.[P.A ROnEEIW OYOLIA,[P.A.I HILILIA~LẠ. JLII(IALI.[P.A [LILIL~II.$ASSR.[P.A [PALlLItoLlLḷ [.P.A 1 419MIlI~ODRIVE~ P.O BOX PH:(318) ~ R:( 3208~ AII:(AKflA, LA ~00 318) ~

5 P~I,!>H PAYN F.,M O O RE & }IERI~.IN G TO N.LI.I1 Concordia Parish SchoolBoard V idalia.louisiana Such information has been subjected to the auditing procedures purpose financialstatem ents and,in ouropinion,is fairly stated the generalpurpose financialstatem ents taken as a w hole. applied in the auditofthe general n a lm aterialrespects,in relation to Z zp ublicaccotnlanls t ~"i, N ovem ber

6 G EN ERA L PUR PO S E FINA N C IA L STA TEM ENTS

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9 CONCO RDIA PARISH SCHOOL BOARD VIDALIA,LOUISIANA COM BINED STA1EM ENT"OF REVENUES,EXPENDITURES,AND CHANGES IN FUND BALANCES ALL GOVERNM EN'fAL FUND TYPES YEAR ENDED JUNE 30,20D1 REVENUES LOCalsources " ~axes -Ad valorem laxes-salesanduse 7 uio01/ Food services Earningson investm ents Otherleverluc from Iocarsources Stale sources Unrestricted grants*in-aid Reslricled 9rants-In-aid Revenue in lieu oftaxes Federalsources Unrestricted grants-in-aid Restricted grants-in-aid "foralrevenues General Speciat Revenue $ $ 3.100, ,358 Governm ental Fund "types 193,616 66, , , , , , ,551,235 Debt Service Capital Projects lotal (Memorandum Or~ly) $ 3,604, ,950 31, , , , , EXPENDITURES Current-Education InstruoUon Regularprogram s SpecialeO~caticm programs Specia!program s Adu8 and continuing education program s Vocal~onalprogram s Otherinslructionalprogram s Supporlserwces Pupilsupporlservices in structionalstaffsupport Generaladm iruslra0on Schooladm {nistratron Businessserwces Operationsan5maintenance ofplantservices Studenttransportation services Centralservices O peralior o1non-instructionalservices Fcod services Comm unityservice Dab1service-Interest Capitaloutlay Facilitiesacquisition and construction "iota1expenditures 9,030,961 1, , , , ,131, , , ,627, , , , ,694,176 37,208 14, , ,271 14, ,748 9,695,589 1,775, , , ,044 2,224, ,353 1,327, , , , ,245 47, ,256 24,103,238 EXCESS (DEFICIENCY)OF REVENUES OVER EXPENDITURES ,305,964 (14, ,824) 3, O'(HER FINANCING SOURCES (USES) Sate ofassets Proceedsofcertiflcale ofindebtedness Operating transiersin O peta~tng transter~o~t " lotalotherfinancing Sources(Uses ,564 1,841,917 (20,023) 1, ,933,595 (3,770,67~ ) (1,634,51~ ) ,375,00g 12,848 1, ,698 (3.700.~ EXCESS OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND O'[HER FINANCING USES ,890,695 FUND BALANCES BEGINNING OF YEAR FtINr)RAIANm.~~ END O F YEAR $ 5,201, ,572 $ 1625,020 $ 292 $ 1,167,176 $ 8, "fhe accom panying notesare an integralpart ofthe financialstafem ents

10 CONCORDIA PARISH SCHOOL BOARD VIDALIA,LOUISIANA COMBINED STATEM EN1 OF REVENUES,EXPENDITURES,AND CHANGES IN FUND BALANCES BUDGET AND ACTUAL GENERAL,SPECIAL REVENUE,AND DEBT SERVICE FUNDS YEAR ENDED JUNE 30,2001 REVENUES Lose sources ]axes-ad valorem " taxes-salesand use "Tutlon Foddservices Earningson investm ents Otne,revenge tram localsources State sources Unrestricted grants-in-aid Restricted grants-in-aid Revenue in lieuoftaxes Federalsources Unrestricted ~ranls-inieid Restncled grants-in-aid "lotatrevenues - Budget GeneralFund $ 3, $ 3.684,654 $ , , , , , Variance Favorable (Unfavorable~ 78,588 12, (5,892 ( EXPENDI1URES Current-Education Instruction Re~ula'program s Specialeducation program s Spa ~,lalprograms Adultandcontinuin9 education programs Vocationalprogram s Otherinstructionalprogram s Supportservices Pupilsupport services Instruotlona~staf supporl Generatadm lnistration Schooladm inlstrahon Businessservices Operationsandm aintenance ofplantservices St~ciel~ttransporlatlon services Centralservices ODetabono1nom instructionalservices Food services Cornr~ur~ity~~rvic.e p~o~tar~s Debtservice -Interest CapitaloLItlay Facilitiesacquisition and construction "rote[e~pendit~res ,072, , , , , , , B, , , , , , , , , , , , , , , , ,121 68,985 (8,110 5, (34, ~ EXCESS (DEFICIENCY)OFREVENUES OVER EXPENDITURES 1.399,60 OTHER FINANCING SOURCES (USES) Sale ofassets Operat,n~ translersin Operating transfer~ out "lotalotherfinancing Sources(Uses 1, ,600 10,284 1,841,917 (20.023) ,684 {108,083) - ~20.023) ( ) EXCESS (DEFICIENCY)OFREVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES FUND BALANCES BEGINNING OF YEAR ,779 %720, $ " lhe accompanying notesare an integralpartofthe financialstatem ents

11 EXHIBI] C Bud~et SpecialRevenue Funds Variance Favorable (Unfavorable) Bud~et DebtService Funds Actual Variance Favorable (Unfavorable) $ $ 3,100,950 50,950 $ $ $ 196,800 46, , ,616 66, , (3,164) 19, (2) , , (24,654) (527,327) (413,486) (2 766, ,327 90, (12, , , , , , ,739 30, , , ,077 67,543 (577 1,648, ,694,176 37,208 (45, , ,184 6,245,271 (1,242) 741~234 14, ,216 2,305, ,748 (14,892) (14.894) 600 1,864,910 (2,005~247) 2,564 1,933,595 (3,770,675~ (1,834,51~ 2,064 68, ,186 99, , $

12 C O NCO RDIA PA RISH SC HO O L BO ARD V IDA LIA,LO UISIA NA JUNE 30,2001 NO TES TO FINANCIA L STATEM ENTS REPO RTING ENTITY A ND SIG NIFICA NT ACCO UNTING PO LICIES Reporting Entity The Concordia Parish SchoolBoard was created by Louisiana Revised Statute (LSA-R.S.) 17:51 to provide public education for the children w ithin C oncordia Parish. The School Board is authorized by LSA-R.S.17:81 to establish policies and regulations for its ow n governm entconsistent w ith the law s ofthe State oflouisiana and the regulations ofthe Louisiana Board ofelem entary and Secondary Education. The SchoolBoard is com prised of nine m em bers w ho are elected from five voting w ards forterm s offouryears. Tw o m em bers,each,are elected from w ards 1,3,4 and 5,and one m em beris elected from w ard 2. The SchoolBoard operated 10 schools w ithin the parish and had a totalenro lm entof3,812 for the yearended June 30,2001,based on the October2000,officialM FP studentcount. In conjunction w ith the regular educational program s, som e of these schools offer specialeducation and/or adult education program s. In addition,the SchoolBoard provides transportation and schoolfood services for the students. The financial statem ents of the Concordia Parish School Board have been prepared in conformity with accounting principles generaly accepted in the United States ofamerica (GAAP)as applied to governmental units. The GovernmentalAccounting Standards Board (GASB) is the accepted standard-setting body for establishing governm ental accounting and financial reporting principles. The G ASB periodica ly updates its codification ofthe existing G overnm entalaccounting and FinancialReporting Standards which,along with subsequentgasb pronouncem ents (Statements and Interpretations)constitutes GAAP forgovernm entalunits. In defining the C oncerdia Parish SchoolBoard's reporting entity forfinancialreporting purposes, m anagem ent has considered all potential com ponent units. The decision to include a potential componentunitin the reporting entitywasmade byapplying the criteria setforth in generalyaccepted accounting principles. The basic criteria for including a potentialcom ponentunitw ithin the reporting entity is w hetherthe prim ary governm entis financia ly accountable forthe potentialcom ponentunit. A primary governmentis financialy accountable ifitappoints a voting majority ofthe organization's governing bodyand either(1)is able to impose itswilon thatorganization or(2)there isa potentialfor the organization to provide specific financialbenefits to,or im pose specific financialburdens on,the prim ary governm ent. The prim ary governm entm ay also be financia ly accountable ifan organization is fisca ly dependenton the prim ary governm entregardless ofw hetherthe organization has a separately elected governing body,a governing board appointed by a higherlevelofgovernment,ora jointly appointed board. An entity is fisca ly dependent if it does not have the authority to do a lof the fo low ing procedures. 1. Determ ine its budget w ithout another governm ent having the authority to approve and m odify thatbudget. 2. Levy taxes orsetrates orcharges w ithoutapprovalfrom anothergovernm ent 3. Issue bond debtw ithoutapprovalfrom anothergovernm ent

13 C O NC O R D IA PA R ISH SC H O O L BO A R D VIDA LIA,LO U IS IA NA JU N E 30,2001 NOTES TO FINANCIAL STATEM ENTS This reportincludes a lfunds and accountgroups w hich m eetthe above criteria. No potentia com ponentunits w ere excluded orincluded in the accom panying financialstatem ents. below The m ore significant of Concordia Parish School Board's accounting policies are described The SchoolBoard uses funds and accountgroups to report on its financialposition and the results of its operations. Fund accounting is designed to dem onstrate legalcom pliance and to aid financialm anagem entby segregating transactions related to certain governm entfunctions oractivities. A fund is a separate accounting entity w ith a self-balancing setof accounts that com prises assets,liabilities,fund equity,revenues, and expenditures or expense,as appropriate. A n account group,on the otherhand,is a financialreporting device designed to provide accountability for certain assets and liabilities (generalfixed assets and generallong-term obligations)thatare notrecorded in the "funds"because they do notdirectly affectnetexpendable available financialresources. They are concerned only w ith the m easurem ent offinancialposition,notwith the m easurem ent of results of Funds are classified into three categories; governm ental, proprietary, and fiduciary. Each category,in turn,is divided into separate "fund types". G overnm entalfunds are used to accountfora governm ent's generalactivities,w here the focus ofattention is on the providing ofservices to the public as opposed to proprietary funds w here the focus of attention is on recovering the cost of providing services to the public orotheragencies through service charges oruserfees. Fiduciary funds are used to accountfor assets held forothers The SchoolBoard's currentoperations require the use ofthe governm entaland fiduciary fund categories. The funds types used by the SchoolBoard are described as fo low s: G overnm entalfunds G eneralfund [he G eneralfund is the generaloperating fund ofthe SchoolBoard. It accounts fora lfinancialresources,exceptthose required to be accounted for in otherfunds. S pecialrevenue Funds The specialrevenue funds accountforthe proceeds ofspecific revenue sources, such as state and federalgrants,w hich are lega ly restricted to expenditures forspecified purposes. 10

14 CO NCO RDIA PA RISH SC HO O L BO ARD VlDA LIA,LO UISIA NA JUNE 30,2001 NO TES TO FINA NCIA L STATEM ENTS DebtService Fund The debtservice fund is used to accum ulate and accountforresources forpaym entofprincipaland intereston certificates ofindebtedness as they m ature. CapitalProjects Fund The capitalprojectsfund is used to accountforthe construction ofmajor capitalfacilities. Fiduciary Funds - Agency Funds A gency funds accountforassets held in a trustee capacity oras an agentfor individuals, private organizations, other governm ents, and/or other funds. Agency fundsare custodialin nature (assetsequalliabilities)and do notinvolve m easurem ents ofresults ofoperations. Basis ofaccountina The accounting and financial reporting treatm ent applied to a fund is determ ined by its m easurem entfocus. A lgovernm entalfunds are accounted forusing a currentfinancialresources m easurem entfocus. W ith this m easurem entfocus,only currentassets and currentliabilities genera ly are included on the balance sheet. Operating statem ents forthese funds present increases (i.e., revenues and otherfinancing sources)and decreases (i.e.,expenditures and otherfinancing uses)in netcurrentassets. The m odified accrualbasis ofaccounting is used forreporting a lgovernm entalfund types and the fiduciary fund types agency funds. Underthe m odified accrualbasis ofaccounting, revenues are recognized when susceptible to accrual(i.e.,when they become both measurable and available). "M easurable"m eans the am ountofthe transaction can be determ ined and "available"m eans co lectible w ithin the currentperiod orsoon enough thereafterto be used to pay liabilities ofthe current period. The SchoolBoard uses the fo low ing practices in recognizing and reporting revenues and expenditures: Revenues Ad valorem taxes are recorded in the yearthe taxes are due and payable. Ad valorem taxes are assessed on a calendaryearbasis and attach as an enforceable lien and becom e due and payable on the date the tax ro ls are filed w ith the recorderofm ortgages. Louisiana Revised Statute 47:1993 requires thatthe tax ro lbe filed on orbefore Novem ber 15 ofeach year. Ad valorem taxes becom e delinquent if not paid by Decem ber 31. The taxes are norm a ly co lected in Decem ber,january,and February ofthe currentyear. State revenue sharing,w hich is based on population and hom esteads in the parish, is recorded as revenue in lieu oftaxes in the yearreceived w hich coincides w ith the recognition ofthe related ad valorem taxes discussed above.

15 CO NCO RDIA PA R ISH SC HO O L BO ARD VIDA LIA,LO U ISIA N A JU N E NO TES TO FINA NC IA L STATEM ENTS State equalization entitlem entfunds are recognized as unrestricted grants-in-aid w hen the SchoolBoard is entitled to them. Sales taxes are recognized in the period when the underlying exchange transaction has occurred and the resources are available, except for taxes co lected by the Louisiana Departm ent of Public Safety and C orrections,w hich are recognized in the year received by the state. Federaland state grants and reim bursem ents are recorded w hen the SchoolBoard is entitled to the funds. Revenue from services provided to other local governm ents are recorded as other revenues from localsources w hen the SchoolBoard is entitled to the funds. Interestearnings on tim e deposits are recognized as revenue w hen the tim e deposits have m atured and the interestis available. Substantia ly a lotherrevenues are recognized w hen received by the SchoolBoard Based on the above criteria,sales taxes,federaland state grants,and certain revenues from localsources have been treated as susceptible to accrual. Expenditures Salaries are recorded as expenditures when earned by em ployees.teachers'salaries are earned overa nine m onth period butm ay be paid overa tw elve m onth period. Purchases of various operating supplies, etc. are recorded as expenditures w hen the related fund liability is incurred. Com pensated absences are recognized as expenditures w hen leave is actua ly taken or w hen em ployees,ortheirheirs,are paid foraccrued leave upon retirem entordeath. The cost ofleave privileges notrequiring currentavailable resources is recognized in the generallongterm obligations accountgroup. C om m itm ents underconstruction contracts are recognized w hen earned by the contractor Principaland intereston generallong-term debt and insta lm entpurchase paym ents are recognized w hen due. OtherFinancing Sources (Uses) Transfers between funds thatare notexpected to be repaid,the sale offixed assets,and proceeds forinsurance are accounted foras otherfinancing sources (uses). These other financing sources(uses)are recognized atthe time the underlying events occur. 12

16 C O N C O R D IA PA R ISH SC HO O L BO A RD V IDA LIA,LO UISIA NA JU N E NO TES TO FINANCIAL STATEM ENTS B udaetand B udaetarv A ccountin~ Prelim inary budgets forthe ensuing years are prepared by the business m anager and m ade available for public inspection and com m ents from the taxpayers atthe SchoolBoard office during August. At a board m eeting in Septem ber,a public hearing is held and the proposed budgets are lega ly adopted by the SchoolBoard. The budgets,w hich include proposed expenditures and the means offinancing them,are published in the officialjournalatleast 15 days priorto the public hearings. The SchoolBoard adopted budgets forthe G eneralfund,a lspecialrevenue funds,and the debt service fund. Budgets are prepared on the m odified accrual basis of accounting. A l appropriations lapse atyearend and m ustbe reappropriated during the fo low ing yearto be expended. Formalbudget integration (within the accounting records) is employed as a managementcontrol device. The superintendentofschools is authorized to transferam ounts betw een line item s w ithin any fund. How everw hen actualrevenues w ithin a fund failto m eetbudgeted revenues by five percentor m ore and/oractualexpenditures w ithin a fund exceed budgeted expenditures by five percentorm ore, a budgetam endm entis adopted by the SchoolBoard in an open m eeting. Budgetam ounts included in the accom panying financial statem ents include the original adopted budget and atl subsequent am endm ents. Encum brances Encum brance accounting is notem ployed;however,outstanding purchase orders are taken into consideration before expenditures are incurred in orderto assure thatapplicable appropriations are not exceeded. Cash A nd Cash EQuivalents Cash and Cash Equivalents include am ounts in dem and deposits, interest-bearing dem and deposits, and tim e deposits w ith an original m aturity of three m onths or less from the date of acquisition. Short-Term - Interfund Receivables/Payables D uring the course of operations, num erous transactions occur betw een individualfunds for goods provided or services rendered. These receivables and payables are classified as "due from otherfunds" or"due to otherfunds" on the balance sheet. Short-term interfund loans,if any,are classified as "interfund receivable"or"interfund payable"on the balance sheet. Inventory of the SchoolLunch SpecialRevenue Fund consists of foods purchased by the SchoolBoard and com m odities granted by the United States Department of Agriculture (USDA) through the Louisiana Departm entofagriculture and Forestry. C om m odities are recorded as revenues, based on value inform ation from the USDA,w hen received. A lpurchased inventory item s are valued atactualcost. Inventory is recorded as expenditures w hen consum ed,using a first-in,first-outbasis. 13

17 CO NCO RDIA PA RISH SCHO O L BO ARD V IDA LIA,LO UISIANA JU N E NOTES TO FINANCIAL STATEM ENTS Inventory on hand atyear-end is reported as a reserve offund balance to indicate thatitis nota partof expendable available financialresources. Land.Buildinas.EauiDm ent.and Im Drovernents G eneralfixed assets are notcapitalized in the funds used to acquire orconstructthem. Instead, capitalacquisition and construction are reflected as expenditures (capitaloutlay)in the governmental funds and the related assets are reported in the generalfixed assets accountgroup. A lpurchased fixed assets are valued atcostw here historicalrecords are available and atestim ated costwhere no historicalrecords are available.the majority offixed assetsare valued atactualcost,with the balance valued atestim ated costbased on the actualcostoflike item s. A breakdow n ofthe assetvaluation betw een actualand estim ated costis notavailable. Donated fixed assets are valued attheirfairm arket value on the date received. The costs ofnorm alm aintenance and repairs thatdo not add to the value offixed assets or m ateria ly extend theirusefullives are notcapitalized butare only recognized as a norm alexpenditure of the governm ental funds. Public dom ain or infrastructure general fixed assets consisting of sidew alks,parking lots,etc.are notcapitalized,as these assets are im m ovable and ofvalue only to the SchoolBoard. N o depreciation is recognized on generalfixed assets ofthe SchoolBoard. Com pensated Absences A ltwelve m onth em ployees earn from 10 to 15 days ofvacation leave each year,depending upon length ofservice w ith the SchoolBoard. V acation leave can be accum ulated w ith no m axim um. U pon separation from service,a lunused vacation leave is paid to the em ployee. A lschoolboard em ployees earn 10 days ofsick leave each yearthat can be accum ulated w ithoutlim itation. Upon retirem ent ordeath,em ployees ortheir heirs are paid for up to 25 days of accum ulated sick leave at the em ployee's current rate of pay. Under the Louisiana Teachers Retirem entsystem,a laccum ulated sick leave,including the 25 days paid to the teacher,is used in the retirem entbenefitcom putation as earned service. U nderthe Louisiana SchoolEm ployees Retirem ent System, a laccum ulated sick leave, excluding the 25 days paid to the em ployee, is used in the retirem entbenefitcom putation as earned service. Sabbaticalleave m ay be granted for rest and recuperation and for professionaland cultural improvement. Any employee with a teaching certificate isentitled,subjectto approvalby the School Board,to one sem esterofsabbaticalleave afterthree years ofcontinuous service ortw o sem esters of sabbaticalleave aftersix orm ore years ofcontinuous service. Sabbaticalleave benefits are recorded as expenditures in the period paid. The costofleave privilege,com puted in accordance with GASB Codification Section C60,is recognized as a current-yearexpenditure in the governm entalfunds w hen leave is actua ly taken or w hen em ployees ortheirheirs are paid foraccrued leave upon retirem entordeath. The costofleave privileges notrequiring currentresources is recorded in the G enerallong-term DebtAccountG roup.

18 CO NCO RDIA PA RISH SC HO O L BO ARD VIDA LIA,LO UISIA NA JUNE NOTES TO FINANCIAL STATEM ENTS AtJune 30,2001 em ployees ofthe SchoolBoard have accum ulated and vested $984,342 in em ployee leave benefits,com puted in accordance with GASB Codification Section C60. The liability is recorded w ithin the G enerallong-term DebtAccountG roup. Interfund Transactions Q uasi-externaltransactions are accounted foras revenues orexpenditures. Transactions that constitute reim bursem ents to a fund forexpenditures initia ly m ade from itthatare properly applicable to anotherfund are recorded as expenditures in the reim bursing fund and as reductions ofexpenditures in the fund thatis reim bursed. A lother interfund transactions,except quasi-externaltransactions and reim bursem ents,are repealed as transfers. Nonrecurring or nonroutine perm anent transfers of equity are reported as residualequity transfers. A lotherinterfund transfers are reported as operating transfers. Sales Tax O n A pril1,1978,the voters ofconcordia Parish approved the assessm entofa one percent s~ es tax. Eight'y~,e~centofthe proceeds ~fthe t.~x is ~e~ic~',e~ to *,he ~a,)m en~.~fs~ ies ~nd ~e~ ted, benefits of teachers and other School Board em ployees. The rem aining twenty per cent of the proceeds is dedicated to purchase and im prove schoollands,buildings,and equipm entand to provide educationaland instructionalsupplies. This tax is co lected by the SchoolBoard and has no expiration date. D uring the yearended June 30,1994,the voters ofthe parish approved an additionalone per centsales tax. S ixty percentofthe proceeds ofthe tax is dedicated to repairs and upkeep ofbuildings, plantservices,and instructionalm aterials and supplies. The rem aining forty percentofthe proceeds is dedicated to salaries and related benefits ofteachers and otherschoolboard em ployees. This tax is co lected by the SchoolBoard and w as renew ed by voterapprovalin Novem ber,1999. TotalC olum ns on C om bined Statem ents Totalcolum ns on the com bined statem ents are captioned "M em orandum O nly"to indicate that they are presented only to facilitate financialanalysis. Data in these colum ns do notpresentfinancial position,results of operations,orchanges in financialposition in conform ity w ith genera ly accepted accounting principles. Neitheris such data com parable to a consolidation. Intefund elim inations have notbeen m ade in the aggregation ofthis data. The preparation of financial statem ents in conform ity w ith general accepted accounting principles requires m anagem entto m ake estim ates and assum ptions thataffectthe reported am ounts ofassets and liabilities atthe date offinancialstatem ents and the reported am ounts ofrevenues and expenses during the reporting period. Actualresults could differfrom those estim ates.

19 CO NCO RDIA PA RISH SC HO O L BO A RD VIDA LIA,LO UISIANA JUNE NO TES TO FINANC IAL STATEM ENTS 2. EXPEN DITURES - ACTUA L AND B UDG ET The fo low ing individualfunds had actualexpenditures overbudgeted expenditures forthe year ended June 30,2001: Fund AdultEducation SchoolLunch Title I DFSCA Unfavorable Variance $ 13,874 49,997 9,904 8, LEVIED TAXES The fo low ing is a sum m ary ofauthorized and levied ad valorem tax m ilage forthe yearended June : Parishw ide taxes A uthorized Levied Expiration Date C onstitutional C onstruction,m aintenance,and operation C onstruction,m aintenance,and operation ndefinite The authorized m ilages are based on the reassessm ent of tax roils required by Article 7 Section 23 ofthe Louisiana C onstitution of1974. The SheriffofC oncordia Parish,as provided by state law,is the oficialtax co lectorofgeneral property taxes levied by the Concordia Parish SchoolBoard. The 2000 property tax calendarw as as fo low s: M ilage rates adopted Levy Date Tax bils m ailed Due Date DelinquentDate June, 2000 O ctober, 2000 Novem ber15,2000 Decem ber31,2000 January 1,

20 CO NCO RDIA PA RISH SC HO O L BO ARD VIDA LIA,LO U ISIANA JU NE 30,2001 NOTES TO FINA NC IA L STATEM ENTS 4. CASH AND CASH EQ UIVALENTS Under state law,the SchoolBoard m ay depositfunds in dem and deposits,interest bearing dem and deposits, m oney m arket accounts, or tim e deposits w ith state banks organized under Louisiana law and nationalbanks having their principaloffices in Louisiana. AtJune 30,2001,the SchoolBoard has cash and cash equivalents (book balances)asfolows: Dem and deposits Petty cash Tim e deposits $ 9,830, ,453 $ 9,956,859 These deposits are stated atcost,w hich approxim ates m arket. Understate law,these deposits (orthe resulting bank balances) must be secured by federaldepositinsurance orthe pledge of securities ow ned by the fiscalagentbank. The m arketvalue ofthe pledged securities plus the federal depositinsurance m ustata ltim es equalthe am ounton depositw ith the fiscalagent. These securities are held in the nam e ofthe pledging fiscalagent bank in a holding orcustodialbank that is m utua ly acceptable to both parties.cash and cash equivalents (bank balances)atjune 30,2001,are secured as fo low s: Bank balances Federaldepositinsurance Pledge securities (uncolateralized) $10,684,529 $ 300,000 11,744 ~ 053 $12,044,053 Because the pledged securities are held by a custodialbank in the nam e ofthe fiscalagent bank ratherthan in the name ofthe SchoolBoard,they are considered uncolateralized (Category3) underthe provisions of GASB Codification O H owever,louisiana Revised Statute 39:1229 im poses a statutory requirem ent on the custodialbank to advertise and se lthe pledged securities w ithin 10 days ifnotified by the SchoolBoard thatthe fiscalagentbank has failed to pay deposited funds upon dem and. 5. REC EIVA BLES The receivables of$975,017 atjune 30,2001 are as fo lows C lass ofreceivable A d valorem taxes Sales taxes G rants: Federal State O ther G eneral Special Revenue Fund Funds Total $ 23,100 $ $ 23,100 66,156 66, , ,3~71 76,470 $ 472,508 $ 502, , ,037 95,841 $ 975,017

21 CO NCO RDIA PA RISH SC HO O L BO A RD VIDALIA,LO UISIANA JUNE NOTES TO FINANCIA L STATEM ENTS D UE FRO M /TO O THER FUNDS ndividualbalances due from /to otherfunds atjune 30,2001,are as fo low s Receivable Fund G eneralfund G eneralfund G eneralfund G eneralfund G eneralfund G eneralfund G eneralfund G eneralfund G eneralfund SchoolLunch Fund Reading Exce lence ActG rant Sum m erfood Program Sales Tax 20% Fund Sales Tax 60% Fund Sales Tax 80% Fund 7. G EN ERA L FIXED ASSETS Payable Fund Sum m erfood Program Sales Tax Fund AdultEducation Title IG rant Title IIG rant Title IV G rant Technology C ha lenge G rant Reading Excellence ActG rant SchoolLunch Fund Sales Tax 80% Fund G eneralfund G eneralfund Sales Tax 80% Fund Sales Tax 40% Fund Sales Tax 40% Fund Am ount $ 10, ,660 9,370 8, ,018 1,652 5, ,388 4,837 3,594 13,280 19,920 6,690 $ 285, The fo low ing schedule presents changes in generalfixed assets forthe yearended June 30 Land Buildings and im provem ents Construction in progress Furniture and equipm ent Balance at July 1, 2000 $ 442, ,721,428 $ 22,264,967 Transfers & Additions ,248 $ 936,996 Balance at Transfers & June 30, Deletions 2001 $ $ 442,384 (379,570) $ (379,570) 14,101, ,748 8,063,106 $22,822,393 18

22 CO NCO RDtA PA RISH SC HO O L BO A RD V IDA LIA,LO U ISIA NA JU N E NOTES TO FINANCIAL STATEM ENTS The SchoolBoard has entered into contracts forconstruction ofadditionalclassroom s atthree ocations.a summaryofthisprojectispresented below: Classroom s 8. C HA NG ES IN AG ENCY DEPO SITS D UE O THERS Required Project A uthorization Expended to Date C om m itm ent Further Financin.q $ 1,931,463 $ 215,746 $ 1,715,715 None A sum m ary ofchanges in the agency fund deposits due others fo lows Balance atjuly 1,2000 Additions Reductions Balance atjune 30,2001 School Sales Tax Activity _ Total $ $ 263,975 $ 263,975 20,233, ,797 21,208, (2Q~3~ 805) (921,899) (21,155,704) $ $ 316,873 $ 316,873 C HA NG ES IN G ENERAL LO NG -TERM O BLIG ATIO NS G eneralo bli.qation Debts: Generalobligation liabilities are direct obligations and pledge fu l faith and creditofthe SchoolBoard. The Board has incurred these liabilities to provide funds for the construction ofadditionalclassroom s atthree separate locations. D uring the currentyear, voters ofthe parish approved additionalad valorem tax m ilage of 13 m ils fora period offive years beginning with assessm ent year Initialproceeds of the ad valorem taxes are dedicated to the repaym entofthe principaland intereston said obligation,w ith the rem aining funds availabte foroperations,m aintenance,etc.as provided forthe in referendum. In addition, the Board's obligation relative to the liability for com pensated absences is also reported as a generalobligation debt. A sum m ary ofchanges in the generallong-term obligations fo lows Long-term obligations atjuly 1,2000 Additions Reductions Long-term obligations atjune 30,2001 Certificates ofindebtedness $ -0-1,325, $ 1,325,000 C om pensated A bsences Total $ t,003,982 $ 1,003,982 29,023 1,354,023 (48,66_3) _ (48,663) $ 984,342 $ 2,309,342 The annual requirem ent to am ortize outstanding long-term debt other than com pensated absences,including interestof$ 197,960,is as fo lows: Yearended June 30,2002 Yearended June 30,2003 Yearended June 30,2004 Yearended June 30, $ 392, , , $ 1,572,960

23 CO NCO RDIA PARISH SCHO O L BOARD VIDA LIA,LO UISIA NA JUNE NO TES TO FINA NCIA L STATEM ENTS The am ount of ndebtedness outstanding was $ 14, R ETIR EM ENT SYSTEM S interest incurred during the current period relative to the certificates of Substantia ly a lem ployees of the SchoolBoard are m em bers of two statewide retirem ent systems.in general,professionalemployees(such asteachers and principals)and lunchroom workers are m em bers of the Teachers'Retirem ent System of Louisiana;other em ployees such as custodial personneland bus drivers,are m em bers of the Louisiana School Em ployees'retirem ent System. These system s are cost-sharing, m ultiple-em ployer defined benefit pension plans adm inistrated by separate boards oftrustees. Pertinentinform ation relative to each plan fo low s: Teacher's Retirem entsystem oflouisiana I'TRS The TR S consists ofthree m em bership plans: Regular Plan,Plan A,and Plan B. The TRS provides retirem ent benefits as w e las disability and survivor benefits. Ten years of service is required to becom e vested forretirem entbenefits and five years to becom e vested fordisability and survivor benefits. Benefits are established and am ended by state statute. The TRS issues a publicly available financialreport that includes financialstatem ents and required supplem entary inform ation forthe TRS. Thatreport m ay be obtained by w riting to the Teachers' Retirem ent System of Louisiana, Post O fice Box 94123, Baton Rouge, Louisiana ,orby caling (225) TRSL Regular Plan m em bers, Plan A m em bers and Plan B m em bers are required to contribute 8.0%,9.1% and 5.0%,respectively,oftheir annualcovered salary. The School Board is required to contribute atan actuaria ly determ ined rate. The currentrate is 14.2% of annual covered payro l for the m em bership plans. M em ber contributions and em ployer contributions forthe TRS are established by state law and rates are established by the Public Retirem entsystem s'actuarialcom m ittee. The SchoolBoard's em ployercontribution forthe TRS, as provided by state law, is funded by the State of Louisiana through annual appropriations, by deductions from local ad valorem taxes, and by rem ittances from the SchoolBoard. The SchoolBoard's contributions to the TRS forthe years ending June 30,2001,2000, and 1999,were $1,620,993 $1,717,693 and $1,884,204 respectively,equalto the required contributions foreach year. Louisiana SchoolEm ployees'retirem entsystem tlsers The LSERS provides retirem entbenefits as we las disability and survivorbenefits. Ten years ofservice creditis required to becom e vested forretirem entbenefits and five years to becom e vested fordisability and surv ivorbenefits. 20

24 CO NCO RDIA PA RISH SC HO O L BO A RD V lda LIA,LO UISIA NA JU NE 30,2001 NO TES TO FINANCIAL STATEM ENTS Benefits are established and am ended by state statute. The LSERS issues a publicly available financial report that includes financial statem ents and required supplem entary inform ation forthe LSER S. Thatreport m ay be obtained by w riting to the Louisiana School Em ployees'retirem entsystem,posto fice Box 44516,Baton Rouge,Louisiana 70804,orby caling (225) Plan m em bers are required to contribute 6.35 percentoftheirannualcovered salary and the SchoolBoard is required to contribute at an actuaria ly determ ined rate. In previous years,the m inim um em ployer contribution for LSERS has been greaterthan the actuaria ly required em ployer contribution, therefore, an em ployer credit currently exists in this retirem ent plan. M em ber contributions and em ployer contributions for the LSERS are established by state law and rates are established by the Public Retirem ent System s' ActuarialC om m ittee. During the fiscalyear ended June 30,2001 and 2000,no em ployer contributions w ere required to be rem itted to LSERS.The SchoolBoard's contributions to the LSERS forthe yearending June 30,1999 was $60,245,equalto the required contributions forthe year. PO ST-RETIREM ENT H EA LTH CA RE A ND LIFE INSURA NC E BENEFITS The Concordia Parish SchoolBoard provides certain continuing health care and life insurance benefits forits retired em ployees. Substantia ly a lofthe SchoolBoard's em ployees becom e eligible for these benefits ifthey reach norm alretirem entage w hile w orking forthe SchoolBoard. These benefits forretirees and sim ilarbenefits foractive em ployees are provided through an insurance com pany orthe State Employees Group Benefits Program,whose monthlypremiums are paid jointly bythe employee and by the SchoolBoard. The SchoolBoard recognizes the costofproviding these benefits (the board's portion of prem iums) as an expenditure when the monthly prem iums are due,which was $1,725,385 for2001. Ofthatam ount,$984,649 was forretiree benefits and there were 268 retirees participating in the insurance program. 12. LITIG ATIO N A N D C LA IM S AtJune 30,2001,the SchoolBoard is notinvolved in any law suits w hich w ould have a m ateria effecton the financialstatem ents noris itaw are ofany unasserted claim s. 13. RISK M ANAG EM ENT The SchoolBoard is exposed to various risk ofloss related to torts;theftof,dam age to,and destruction ofassets;and injuriesto employees and others. To handle such risk ofloss,the School Board m aintains com m ercialinsurance policies covering,autom obile liability and m edicalpaym ents, w orkers com pensation, general liability, errors and om issions, and surety bond coverage on the superintendent. N o claim s w ere paid on any ofthe policies during the pastthree years w hich exceeded the policies'coverage am ounts.

25 CO NCO RDIA PARISH SCHO O L BOARD VIDALIA,LO UISIANA JU N E NOTES TO FINANCIAL STATEM ENTS 14. CO M M M ITM ENTS A ND CO NTING ENCIES The Concordia Parish SchoolBoard receives grantsforspecific purposes thatare subjectto review and auditby the Louisiana Departm entofeducation. Such audits could resultin a requestfor reim bursem ent for disa low ed costs under the term s of the grant agreem ents. In the opinion of m anagem ent,such disa low ance,ifany,w ould be insignificant. 15. SUBSEQ UENT EVENTS G ASB 34 Im plem entation In June 1999,The GovernmentalAccounting Standards Board (GASB)unanimously approved Statem ent No. 34, Basic FinancialStatem ents - and M anagem ent's D iscussion and A nalysis - for State and Local G overnm ents. G ASB Statem ent No. 34 established new financial reporting requirem ents fora lstate and localgovernm ents and consists ofthe fo low ing: Management Discussion and Analysis (MD&A) section providing an analysis ofthe governm ententity's overa lfinancialposition and results ofoperations. B. Basic FinancialStatem ents G overnm ent-w ide financialstatem ents prepared using the econom ic resources m easurem entfocus and the accrualbasis ofaccounting. These statem ents are designed to provide a broad overview of a governm ent entity's finances,in a m annersim ilarto private sectorbusiness. 2 Fund financialstatem ents,consisting ofa series ofstatem ents thatfocus on a government's majorgovernmentalfunds,using the modified accrualbasis of accounting,and enterprise funds,ifany. 3 N otes to the financia governm ent- w ide and picture is presented. statem ents that include various disclosures for the fund financial statem ents to ensure that a com plete 4. Required supplem entary inform ation,such as budgetary com parison schedules In addition,this new G ASB statem ent requires depreciation expense to be reported in the governm ent-wide financialstatem ents. However,depreciation expense wilnotbe reported in the Fund statem ents thatuse the m odified accrualbasis ofaccounting. The Board w ilim plem entthe generalprovisions ofg A SB Statem entn o.34 forthe fiscalyear ending June 30,

26 A D D ITIO NA L IN FO R M ATIO N 23

27 SPEC IA L R EV EN UE FU NDS ELEMENTARY AND SECONDARY EDUCATION ACT FUNDS (ESEA] Title I Title Iofthe Elementary and Secondary Education Act(ESEA)is a program designed to im prove the teaching and learning of children w ho are at risk of not m eeting cha lenging academ ic standards and w ho reside in areas w ith high concentrations of children from lowincom e fam ilies. The program is federa ly financed,state-adm inistered,and loca ly operated by the SchoolBoard. "[he activities supplem ent,ratherthan replace,state and loca ly m andated activities. Title Title Iofthe Elementary and Secondary Education Act(ESEA)is a program by which the federalgovernment provides funds to the SchoolBoard for projects that are designed to im prove the skils ofteachers and instruction in the areas of m athem atics,science,com puter learning, and foreign languages and to increase the accessibility of such instruction to a l students. Drug-Free Schools and C om m unities ActFund The Drug Free Schools and CommunitiesAct(DFSCA)is a program by which the federal governm ent provides funds to the School Board for the establishm ent, operation, and im provem ent of local program s of drug abuse prevention, early intervention, rehabilitation referral,and education in elem entary and secondary schools. Title V l Title VIofthe Elementaryand Secondary Education Act(ESEA)is a program by which the federalgovernmentprovides funds to the SchoolBoard a)to assistlocaleducationalreform eforts,b)to supporteforts to accomplish the NationalEducation Goals,c)to implement promising educationalreform programs,d)to provide a continuing source ofinnovation and educationalim provem ent, including support for library services and instructionaland m edia materials,and e)to meetthe specialeducationalneedsofatriskand high coststudents. A DU LT EDUCATIO N FUND The A dult Education Fund accounts for a lotm ents of federal A dult Education State- Adm inistered Program funds from the Louisiana Departm entof Education to provide adulteducation program s in the parish. SC HO O L LU NC H FU N D The SchoolLunch Fund accounts foroperations ofthe schoolcafeterias. Funding is provided by federaland state grants-in-aid and charges form eals served. 24

28 SPEC IA L REVENUE FU NDS SUM M ER FO O D SERV IC E FO R C HILDREN PRO G RAM FUND The Sum m erfood Service ForC hildren Program is a program by w hich the federalgovernm ent provides funds to the SchoolBoard to conduct food service for needy children during the sum m er m onths. SA LES TA X FU N DS Sales Tax 80% Fund The Sales Tax 80% Fund accounts forthe m onthly co lection ofthe SchoolBoard's one percentparish sales tax. The fund also accounts forthe use ofthe tax as fo low s: salaries and expenditures directly relating to the co lection process,expenditures relating to retirem entand group insurance program s, transfers to the Sales Tax 20% Special Revenue Fund, and transfers to otherfunds forthe paym entofsalaries. Sales Tax 20% Fund The Sales Tax 20% Fund accounts forthe portion (20 percent)ofthe parish salestaxes to acquire and im prove land forbuilding sites,purchases,erectand im prove schoolbuildings and other related facilities,acquire equipm ent and furnishings,provide educationalsupplies and equipm ent,and m aintain instructionalequipm ent. Sales Tax 40% Fund The Sales Tax 40% Fund accounts forthe portion (40 percent)ofthe SchoolBoard's additional one percent parish sales taxes to supplem ent other revenues available for the paym ent of salaries of teachers and other personnel and for providing unem ploym ent com pensation benefits,retirem ent,and otherinsurance program s. Sales Tax 60% Fund The Sales Tax 60% Fund accounts forthe m onthly co lection ofthe SchoolBoard's additional one percent parish sales tax. The fund also accounts for the use of the tax as fo low s: additional support for curriculum im provem ent and for im proving, purchasing, and erecting schoolbuildings and otherrelated facilities. TEC HNO LO G Y C HA LLENG E G RANT FUND The Technology Cha lenge G rantfund accounts fora federalgrantto be used in preparing the educational com m unity for "Am erica 2000 and Beyond" - for teachers and students to becom e technologica ly skiled and com fortable in applying Inform ation Superhighw ay resources for teaching and learning purposes by using electronic technology and netw orking to support professional developm entand instructionalim provem entin 5 parishes: C atahoula,c oncordia,franklin,m orehouse, and Tensas. Itis geared tow ard students in grades

29 SPECIA L REVENUE FUNDS REA DING EXC ELLENC E A CT G RANT FUND The Reading Exce lence A ctg rant Fund accounts for a federalcom petitive grant aw arded to Ferriday LowerElementary Schooland FerridayUpperElementary School,The grantobjectives are to provide students w ith the readiness skils and supportthey need in early childhood to learn to read once they enter school; to teach every child to read by the end of the third grade; to im prove instructionalpractices ofteachers and other instructionalstaffin elem entary schools;to expand high quality fam ily literacy program s; and to provide early literacy intervention to reduce the num ber of children w ho are inappropriately referred to specialeducation.