04 FEB - 2 A~ II:10. IBERVILLE PAR ISH CLERK O F CO UR T PLAQUEM EN-E,LOLrISIANA BIEN N IAL FENAN CIA L REPO R T JU N E 30,2003.

Transcription

1 04 FEB - 2 A~ II:10 IBERVILLE PAR ISH CLERK O F CO UR T PLAQUEM EN-E,LOLrISIANA BIEN N IAL FENAN CIA L REPO R T JU N E 30,2003 ReleaseDate~

2 IBER VILLE PA R ISH CLERK O F C O U R T TABLE O F CO NTEN TS JU N E 30,2003 EXH IB IT SC H ED UL E PA G E IND EPEN D EN T A UD IT O RS'RE PO R T REPO R T O N C O M PLIAN CE AN D O N IN TERN A L CO N TR O L O VER FIN A N CIAL RE PO RTIN G BA SED O N AN A UD IT O F FIN AN C IA L STA TEM ENTS PERFO R M ED IN A C CO RD AN C E W ITH GO VERN M EN T A UD ITIN G STA N DA RDS 2-3 G EN ERA L PUR PO SE FIN AN CIA L STA TEM E N TS (COM BIN ED STATEM ENTS -OVERVIEW" Com bined Balance Sheet-AIIFund Typesand A ccountgroups Statem entof R evenues,expenditures, and Changesin Fund Balan ce - Governm entalfun d Type -General Fund (Salary) YearsEnded June and 2002 A B Statem entof R evenues,expenditures and Changesin Fund Balan ces- Budget(GAAP Basis)and Actual- Governm entalfund Typ e - GeneralFun d (Salary.) Y ear Ended Jun e 30,2003 Statem entof Revenues,Expenditures, an d Changes in Fun d Balances- Budget(GAAP Basis)and Actual- Governm entalfund T~ e - GeneralFund (Salary.) YearEnded Jun e 30,2002 N otesto FinancialStatem ents 9-19

3 IBER VILLE PA RISH CLERK O F C O U R T TABLE OF CONTENTS (continued) JUN E 30,2003 A DD ITIO N A L IN FO RM A TIO N Fiduciary Fund Type -A gency Fun ds C om bining Balance Sheet Schedule of Changesin U nsettled D eposits Y earended June 30,2003 Schedule of Changesin U nsettled D eposits YearEnded June 30,2002 Schedule of Findings Sum m ary Schedule of PriorAuditFindings

4 H F B H U G H F.BAX LEY,CPA A ProfessionalAccounting Corporation Hugh F.Baxley,CPA/PFS/CVA M argareta.pritchard,cpa TerrellD.M artin,cpa The H onorable J.G."Bubbie"D upont,jr Iberville Parish Clerk of Court Plaquem ine,louisiana IN D EPEND EN T A UDITO R S'RE PO R T W e have audited the accom panying generalpurpose fin ancialstatem ents of the Iberville Parish Clerk of Cour tas of June 30,2003 an d forthe tw o yearsthen ended. These generalpurpose finan cial statem ents are the responsibility of th e Iberville Parish Clerk of Court's m anagem ent. Our responsibility isto express an opinion on these general purpose financial statem entsbased on our audit. W e conducted our auditin accordan ce w ith auditing stan dardsgenerally accepted in the United Statesof Am erica and the stan dar dsapplicable to fin ancialauditscontained in Governm enta uditing Standar ds,issued by the Com ptrollergeneralof the United States.Those stan dardsrequire thatw e plan and perform the auditto obtain reasonable assuran ce aboutw heth er th e general purpose finan cialstatem entsare free of m aterialm isstatem ent.an auditincludes exam ini ng,on a testbasis, evidence supporting the am ountsand disclosuresin the generalpurpose finan cialstatem ents. An auditalso includes assessing the accounting principles used an d significantestim ates m ade by m an agem ent,asw ellas eval uating the overallgeneral purpose financialstatem entpresentation.w e believe thatour auditprovidesa reas onable basisforour opinion. In our opini on,th e general purpose finan cialstatem ents referred to above present fairly,in all m aterialrespects,the finan cial position of the Iberville Parish Clerk of Courtas of Jun e 30,2003, an d th e resultsof itsoperationsforthetw o yearsthen ended in conform ity with generally accepted accoun ting principles. Ourauditw asconducted forth e purpose of form in g an opinion on the generalpurpose finan cial statem entstaken asa w hole.the accom pan ying additionalinform ation is presented for purposes of additionalan alysis and is nota required partof th e generalpurpose fin an cial statem ents of th e Ibervile Parish Clerk of Court.Such information hasbeen subjected to the auditing procedur es fthe Iberville Parish Clerk of Court, in relation to the general purpose P.O.Box 482 / Belleview Drive / Plaquem ine,zouisiana / (225) / FAX (225) 68%0365

5 H F B HUGH F.BAXLEY,CPA A ProfessionalAccounting Corporation Hugh F.Baxley,CPA/PFS/CVA M argareta.pfltchard,cpa TerreU D.M artin,cpa The H onorable J.G."Bubble"D upont,jr Iberville Parish Clerk of Court Plaquem ine,louisiana REPO R T O N C O M PLIA N CE A N D O N INTERN AL CO N TR O L O V ER FIN A N C IA L RE PO R TIN G BA SED O N A N A U D IT O F FIN A N CIA L STA TEM EN T S PER FO RM ED IN A C C O RD A N C E W ITH GO VERNM EN TA UDITIN G STA N DA RD S W e have audited the generalpurpose financialstatem entsof Iberville Parish Clerk of Courtasof June 30,2003 an d forth e tw o year sthen ended,and have issued ourreportth ereon dated D ecem ber 19,2003.W e conducted ourauditin accordance w ith auditing stan dar dsgenerally accepted in the United Statesof A m erica and the standar dsapplicable to financialauditscontained in G overnm ent A uditing Stan dar ds,issued by th e Com ptrollergeneral of the United States. Com plian ce A spartof obtaining reasonable assur an ce aboutwhetheriberville Parish Clerk of Court'sgeneral purpose finan cialstatem entsare free of m aterialm isstatem ent,we perfolm ed testsof its com plian ce w ith certain provisionsof law s,regulation,contractsan d grants,noncom pliance w ith w hich could have a directan d m aterialeffecton the determ ination of financialstatem entsam oun ts. H ow ever, providing an opinion on complian cewith thoseprovisionswasnotan objectiveofour auditan d, accordingly,w e do notexpresssuch an opinion.how ever,w e noted a lack of com pliance w ith the Louisian a Public Records Law,as described in item in the accom panying schedule of findings. ntem alcontroloverfin an cial Renortine In planning an d perform ing our audit,w e considered Iberville Parish Clerk of Court's intern al controloverfin an cialreporting in orderto determ ine ourauditing procedur es for the purpose of expressing our opinion on the general purpose finan cialstatem entsan d notto provide assurance on the internalcontroloverfinancialreporting. However,we noted certain m atters involving the intern al control over finan cial reportin g and its operation that w e consider to be reportable conditions. Reportable conditionsinvolve m atterscom ing to ourattention relating to significant deficienciesin th e design oroperation of th e intern al controloverfinan cial reporting that,in our judgment,could adversely affectiberville Parish Clerk of Court'sability to record,process, sum m ar ize an d report finan cial data consistentw ith the assertions of m anagem entin th e general purp ose finan cialstatem ents.reportable conditionsar e described inth e accom pan ying schedule of findingsasitem s2003-1, an d 2003~3. 1~O.Box 482 / Beleview Drive / Plaquem ine,louisiana / (225) / FAX (225)

6 R EPO R T O N C O M PLIA N C E AN D O N INTER N A L C O N TR O L O V ER FIN A N C IA L REPO R TIN G BA SED O N AN A UD IT O F FIN A N CIAL STA TEM EN T S PER FO R M E D IN ACCORDAN CE W ITH GO VERNM EN TA UDITIN G STANDARDS (continued) A m aterialweakness is a condition in w hich the design oroperation of one or m ore of the internal controlcom ponentsdoesnotreduce to a relatively low levelthe risk thatm isstatem entsin am ounts thatw ould be m aterialin relation to the general purpose financialstatem ents being audited m ay occurand notbe detected w ithin a tim ely period by em ployees in the norm alcour se of perform ing theirassigned functions.our consideration of the intern al controloverfinan cial reporting w ould not necessarily disclose allm atters in the intern alcontrolth atm ightbe reportable conditions an d, accordingly,w ould notnecessarily disclose allreportable conditionsthatare also considered to be m aterial w eaknesses.in our opinion th e reportable conditionsdescribed above representm aterial w eaknessesin th e Iberville Parish Clerk of Court'sinternalcontroloverfinancialreporting. Thisreportisintended forthe inform ation an d use of the Louisian a Legislative A uditor,the Iberville urtan d isnotintended to be and should notbe U nderlouisian a Revised Statute 24:513,this public docum ent.

7 G EN ERAL PURPO SE FIN AN CIA L STA TEM EN T S (COM BINED STATEM ENTS -OVERVIEW )

8 EX H IB IT A IBERVIL LE PARISH CLERK O F CO URT CO M BINED BALA NCE SH EET -ALL FUND TYPES AND ACCO UN T G RO UPS JU NE 30,2003 ASSETS Cash and cash equivalents Investm entatcost Accountsreceivable(netofalowan ces foruncollectiblesof zero) Due from Advance DepositFund O fice equipm ent G overnm ental Fund Type - Fiduciary G eneralfund Fund Type - (Salary) A~[ency 310,705 $ 1,577, ,538 1,325,000 13,249 I3,021 G eneral Fixed A ssets Total (M emorandum Only) 1,888,469 1,558,538 I3,249 13, TO TA L A SSETS S 570,513 $ 2,902,764 $ 47r456 $ 3,520,733 LIA BILITIES AND FUND EQUITY Liabilities: Accounts payable D ue to other funds Unsettled deposits-due to others 7,561 $ $ ,889,743 $ 7,561 13,021 2,889,743 TO TAL LIABIL ITIES Fund equity: Investm entin generalflxed assets Fun d balance -Unreserved -Undesignated 562, , TOTAL FUND EQUITY 562,952 TOTAL LIABIL ITIE S AND FUND EQUITY $ ' $ 2,902,764 $ 47,456 $ 3,520,733 The accom pan ying notesare an integralpartof thisstatem ent.

9 EXH IBIT B IBERVILLE PARISH CLERK O F CO UR T STATEM ENT O F REVENUES,EXPEND ITU RES, AND CHAN GES IN FUND BALANCE GOVERNM ENTAL FUND TYPE-GENERAL FUND (SALARY) FOR THE YEARS END ED JUNE 30,2003 AND 2002 Year Ended June 30, R EVENU ES Licensesand perm its Fees,chargesan d comm issionsforservices: Courtcosts,fees,an d char ges Feesforrecording docum ents Feesforcertified copiesof docum ents M iscellan eousserv ices U se of m oney and property -Interestearnings Interest~ansferred from Advan ce DepositFund M iscellan eous $ 5,775 $ 6, , ,155 38, ,936 6,834 43,659 25, , ,004 26, ,001 11,327 59,447 I7,642 TO TAL REVE NUES 951, ,401 EXPEND ITURES G eneralgovernm ent: Personalserv icesand related benefits O peratin g services M aterialsand supplies Travelan d otherchar ges Capitaloutlay 643, , ,819 13,510 1, ,392 I12,254 87,283 12,731 1,009 TO TAL EXPEND ITURES 923, ,669 EXCESS (DEFICIENCY)OF REVENUES OVE R EXPENDITURES

10 IBERVILLE PARISH CLERK O F C O UR T STATEM ENT O F REVEN UES,EXPEND ITUR ES, AND CHANGES IN FUND BALANCES-BUDGET (GAAP BASIS)AND ACTUAL- GOVE RNM ENTAL FUND TYPE-GENERAL FUND (SALARY) YEAR ENDED JUNE 30,2003 EXH IBIT C REVEN UES Licensesand perm its $ Fees,chargesand com m issionsforservices: C ourtcosts,fees,and charges Feesforrecording docum ents Fees for certified copiesof docum ents M iscellan eousservices Use of m oney and property -Interestearnings Interesttran sferred from AdvanceDepositFund M iscellan eous A ctual V ariance Favorable {Unfavorable) $ 5,775 $ , ,800 34, ,100 5,000 47, TOTAL REVE NUES 959, , ,155 38, ,936 6,834 43,659 25, ,924 (2,518) (7,645) 3, ,834 (4,241) 977 EX PEN D ITU RE S GeneralGovernm ent: Personalservicesand related benefits 677, ,665 Operating services 140, ,216 M aterialsand supplies 97, ,8 l9 Travelan d other char ges 21,190 13,510 Capitaloutlay 1,500 1,289 TOTA L EXP END ITUR ES 937, ,499 33,335 (23,916) (3,419) 7, EXCESS (DEFICIENCY)OF REVE NUES O VE R EXPENDITURES OTHER FINANCING SOURCES (USES) EXCESS (DEFICIENCY)OF RE VE NUES AND OTHER SOURCES OVER EXPENDITURES AND OTHER USES FUND BALAN CE AT BEG IN NIN G O F YEAR 21,610 28,425 21,610 28, , ,527 6,815 6,815 FUND BALANCE AT END O F YEAR S 556,137 $ $ 6r815 The accompan yin g notesarean integralpartof thisstatem ent.

11 IBERV ILLE PARISH CLERK OF CO U RT STATEM ENT O F REVENUES,EX PEN DITU RES, AND CHANGES IN FUND BALANCES-BUDGET (GAAP BASIS)AND ACTUAL- GOVERNM ENTAL FUND TYPE-GENERAL FUND (SALARY) YEAR EN DED JUN E EX H IB IT D REV EN U ES Licensesand perm its Fees,chargesand com m issionsforservices: Courtcosts,fees,and charges Feesforrecording docum ents Feeslbrcertified copiesof docurnan ts M iscellaneous services Use of m oney and property -Interestearnings Interesttransferred fi'om Advance DepositFund M iscellaneous TO TA L REVENUES Bud~ $ 5,600 $ 425, ,600 23, ,500 8,800 60,000 16, ,700 Actual V ariance Favorable (Unfavorable) $ , ,004 26, ,001 11,327 59,447 i7.642 (2,178) 35,404 3,083 3,501 2,527 (553) EXPEN DITURES GeneralGovernm ent: Personalservicesand related benefits Operating services M aterialsand supplies Traveland othercharges Capitaloutlay 615,900 83,640 78,000 20,860 1, ,392 i12,254 87,283 12, TO TA L EX PENDITURES 799, ,669 46,508 (28,614) (9,283) 8,129 (9) 16,731 EXCESS (DEFICIENCY)OF REVENUES O VER EXPENDITURES OTHER FINANCING SOURCES (USES) 29,300 89,732 60,432 EXCESS (DEFICIENCY)OF REVENUES AND OTHER SO UR CES OVER EXPENDITURES AND O THER USES 29,300 89,732 60,432 FUND BALA NCE AT BEG INNING OF YEA R 444, ,795 FUN D BALA NCE AT END OF YEAR 474,095 $ 534,527 $ 60,432 The accom panying notesarean integralpartof thisstatem ent.

12 IBER VILLE PA R ISH CLERK O F C O U R T N O TES TO FIN A N CIA L STA TEM EN T S TW O YEA R S EN DED JU N E 30,2003 A sprovided by A rticle V,Section 28 of the Louisiana Constitution of 1974,the Clerk of Court servesasthe ex-ofi cio notary public,the recorderof conveyan ces,m ortgages,and otheracts,and hasoth erdutiesand pow ersprovided by law.the Clerk of Courtiselected for a four-year term. N O TE A -SU M M A RY O F SIG N IFIC A N T AC CO UN TIN G PO LICIE S The accom pan ying financialstatem entsof the Iberville Par ish Clerk of Courthave been prepared in conformity with generaly accepted accounting principles(gaap)asapplied to governm ental units.thegovernmental Accounting StandardsBoard (GASB)istheaccepted stan dar d-setting body for establishing governm entalaccounting and finan cialreportin g principles. Section 2100 of the OA SB Codification of Governm ental A ccounting an d Financial Reporting Stan dards (GASB Codification) established criteria for determ ining the govern m entalreporting entity an d componentunits thatshould be included within the reporting entity.forfinan cialreporting purposes,in conf orm an cewith GASB Codification Section 2100,the Clerk of Court includesallfunds,accountgroups,activities,etc.,th atare controlled by the Clerk of Court as an independently elected parish official. A s an independently elected parish official,the Clerk of Court is solely responsible for the operationsof hisofi ce,which include the hiring and retention of em ployees,authority over budgeting,responsibility fordeficits,and th e receiptand disbur sem entof funds.other th an certain operating expendituresof th e Clerk'soffice thatare paid orprovided by the Iberville Par ish Councilas required by Louisian a law,th e Clerk of Courtis financial ly independent. Accordingly,the Clerk of Courtisa separate governm entalreporting entity.certain unitsof localgovernm entoverwhich th e Clerk of Courtexercisesno oversightresponsibility,such as the Parish Council,parish schoolboar d,oth erindependently elected par ish oficials,and m unicipalitiesw ithin the parish,ar e excluded from the accom pan ying financialstatem ents. These units of governm entare considered separ ate reporting entities and issue finan cial statem entssepar ate from those of the Iberville Parish Clerk of Court. The Clerk of Courtusesfundsan d accountgroupsto report on itsfinan cial position and the resultsof its operations.fund accounting isdesigned to dem onstrate legalcom plian ce and to aid financial m anagem ent by segr egating transactions relating to certain governm ent functionsor activities.

13 IBERV IL LE PAR ISH CLERK O F C O UR T NO TES TO FIN AN C IA L STA TEM EN T S NOTE A -SUM M ARY OF SIGNIFICAN T ACCOUNTING POLICIES (CONTINUED) A fire d isa separate accounting entity w ith a self-balancing setof accounts. W hereas,an accountgroup isa finan cialreporting device designed to provide accoun tability forcertain assetsand liabilitiesth atar e notrecorded in th e fim dsbecause th ey do notdirectly affectnet expendable available finan cialresources. Fundsof theclerk ofcourtareclassified into two categories:governmental(generalfund) and fiduciary (agency funds).these fundsaredescribed asfolows: The G eneralfun d,asprovided by Louisiana Revised Statute 13:781,isthe principalfun d of the Clerk of Courtand accountsforth e operationsof the Clerk'soffice.The variousfeesan d char ges due to th e Clerk's office ar e accounted for in this fund. G eneral operating expendituresar e paid from thisfund. The A dvan ce Depositan d Registry, of CourtA gency Funds accoun tforas setsheld as an agentforothers.agency fundsarecustodialin nature(assetsequalliabilities)an d do not involve m easurem entof resultsof operations. Basisof accoun ting refersto w hen revenuesand expendituresar e recognized in th e accoun ts and reported in th e financialstatem ents. Basisof accoun ting relatesto the tim ing of the m eas ur em entsm ade,regar dlessof the m easurem entfocusapplied.the govern m entalfunds ar e accoun ted for using a flow of currentfinan cialresour ces m eas ur em ent focus. Th e accom pan ying generalpurpose financialstatem ents have been prepar ed on the m odified accrualbasis of accounting. Th e govern m entalfim ds use the follow ing revenues an d expenditu res: Recordings,can cellations,courtattendan ce,crim inalcosts,etc.,are recorded in the year they ar e earned. Interestincom e on certificatesisrecorded when the certificateshave m atured and the in com e

14 IBER V ILLE PA RISH CLER K O F C O U R T N O TES TO FIN AN CIAL STA TEM EN TS NOTE A -SUM M ARY OF SIGNIFICANT ACCOUNTIN G POLICIES (CONTINUED) Expendituresare generally recognized underthe m odified accrualbasisof accounting w hen the related hm d liability isincurred. The proposed originalbudgetand th e proposed am ended budgetforthe 2003 fiscalyear w ere m ade available forpublic inspection atthe Clerk'sofi ce on Jun e 10,2002 an d M ay 12,2003, respectively.the budgethearingsforthe originalan d the am ended budgetsw ere held atthe Iberville Parish Courthouse on June 18,2002 and M ay 20,2003,respectively.The proposed originalbudgetforthe 2002 fiscalyear was m ade available forpublic inspection atthe Clerk'sofi ce on June 1I,2001.The budgethearing w as held atthe Clerk'sofi ce on June 19,2001.N o am endm entsw ere m ade to the budgetfor the 2002 fiscalyear.the proposed budgets,prepared on theaccrualbasisof accounting,werepublished in the ofi cialjournal at leastten dayspriorto th e public hearing. The budgetislegally adopted an d am ended,as necessary,by the Clerk.Allappropriationslapse atyear end. Formalbudgetintegration (within theaccounting records)isemployed asa man agement controldevice.budgetam ountsincluded in the accom panying financial statem entsinclude the originaladopted budgetand al lsubsequentam endm ents. The Clerk doesnotform ally accoun tforencum bran ces 7. C ash and C ash Eauivalentsand Investm ents Cas h includes am ounts in dem and deposits,interestbearing dem an d deposits,an d m oney m ar ketaccounts.cash equivalentsinclude am ountsin tim e depositsand th ose investm ents w ith originalm aturitiesof 90 daysorless.understate law,the Clerk of Courtm ay deposit fundsin dem an d deposits,interestbearing dem and deposits,m oney m arketaccounts,ortim e depositsw ith state banksorganized underlouisiana law an d national bankshaving their principalofi cesin Louisiana. U nder state law,th e Clerk of Courtm ay investin Uni ted Statesbonds,treasury notes,or certificates.these ar e classified asinvestm entsif th eiroriginalm aturitiesexceed 90 days; how ever,if the originalm aturitiesare 90 daysorless,th ey are classified as cas h equivalents, Investm ents are stated atcost.

15 IBER V ILLE PA RISH CLER K O F C O UR T N O TES TO FIN A NCIA L STA TEM EN T S NOTE A -SUM M ARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) The Iberville Parish Clerk of Courtdoesnothave an inventory Fixed assetsar e recorded as expendituresatthe tim e purchased,an d the related assets are capitalized (reported)in the generalfixed assetsaccountgroup.fixed assetsarestated at historicalcost. N o depreciation hasbeen provided on general fixed assets. G eneralfixed as setsprovided by th e Parish Councilare notrecorded w ithin th e generalfixed assets accoun t group. Totalfixed assets,june 30,200I A dditions,year ended June 30,2002 Additions,yearended June 30,2003 $ 45,161 1,006 1,289 Totalfixed assets,june 30, C om uensated A bsences The Clerk of Courthasth e followi ng policy relating to vacation and sick leave a. A fter one year of em ploym ent,em ployeesearn one w eek vacation. b. A ftertw o year sof em ploym ent,em ployeesearn tw o w eeksvacation. C. A llem ployeesare given eightauthorized tim e of daysperyear forsickness,funeral, etc. Leave m ustbe used in the year earned. Em ployees w ho term inate are paid for accum ulated vacation leave. Th e costof leave privileges,com puted in accordan ce wi th GA SB Codification Section C60, isrecognized as current-year expenditure in th e GeneralFund w hen leave isactually taken. The costof leave privilegesnotrequiring currentresour cesisrecorded in the generallongterm obligationsaccoun tgr oup.a tjun e 30,2003,em ployees,of the Clerk of Courthad no m aterialaccum ulated and vested leave privilegesrequired to be accrued.

16 IBER VILLE PA R ISH CLERK O F C O U R T N O TES T O FIN AN CIA L STA TEM EN TS NOTE A -SUM M ARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 11. L on~-t erm O bli2ations Long-term obligationsexpected to be financed from the G eneralfund are reported in th e general long-term obligation account group. Expenditures for principal and interest paym ents forlong-term obligationsar e recognized in the G eneral Fun d w hen due. A tjune 30,2003,th ere w ere no long-term obligations. Reserves Reservesrepresentthose portionsof fire d equity notappropriable forexpenditure orlegally segregated fora specific future use. D esienated Fund Balances D esignated fund balancesrepresenttentative ploalsfor fu ture use of financial resources 13. TotalC olum nson Statem ents Totalcolum ns on the statem ents are captioned "M em orandum Only"to indicate thatthey are presented only to facilitate finan cialan alysis.d ata in th ese colum nsdo notpresentfin an cial position orresultsof operationsin conform ity w ith generally accepted accounting principles. N eitherissuch data com par able to a consolidation. NOTE B -CASH AND CASH EQUIVALENTS AtJune 30,2003,the Clerk of Courthascash an d cash equivalents(book balan ces)totaling $1,888,469,asfollow s: Cash on hand N on-interestbearing dem and deposits Interestbeating dem and deposits $ 35, ,852,389

17 IBER VILLE PAR ISH CLERK O F C O U R T N OTES TO FIN ANCIAL STATEM ENTS NOTE B -CASH AND CASH EQUIVALENTS (CONTINUED) Thedepositsarestated atcost,which approxim atesmarket.understate law,thesedeposits(orthe resulting bank balances)mustbesecured by federaldepositinsuran ceorthepledgeof securities ow ned by the fiscal agentbank.th e m ar ketvalue of the pledged securitiesplusth e federal deposit insnrance m ustatalltim esequalthe am ounton depositwith th e fiscal agentbank in a holding or custodial bank that is m utually acceptable to both parties. A tjune 30,2003,th e Clerk had $1,922,490 in deposits(colected bank balances).thesedepositsaresecur ed from risk by $110,676 of federaldepositinsurance an d $2,492,150 of pledged securitiesheld by th e custodial bank in th e nameof the fiscal agentbank (GASB Category 3). Even though the pledged securitiesareconsidered an colateralized (Category 3)underthe provisions of GA SB Statem ent3,louisian a Revised Statute 39:1229 im posesa statu tory requirem enton th e custodialbank to advertise and sellthe pledged securitiesw ithin 10 daysof being notified by the Clerk of Courtthatthe fiscalagenthas failed to pay deposited fundsupon dem and. N O TE C -IN VE STM E N TS AtJune 30,2003,the Clerk held certificatesof deposit,w ith an original m aturity greater th an 90 days,totaling $1,158,538.Theseinvestmentsarestated on thebalan cesheet(carrying value)atcost, which approxim atesm arketvalue.the investm entsare secur ed from risk by $500,000 of federal depositin sur an ce an d $ 982,176 of pledged secur itiesheld by the custodial bank in the nam e of th e fiscalagentbank.in applyin g the creditrisk ofgasb Codification Section I50.164,$500,000 ofthe investmentsareconsidered insur ed an d registered,category (1),an d $658,538oftheinvestm entsare considered uninsur ed and unregistered,category (3). Even though thepledged securitiesareconsidered uninsured and unregistered (Category 3)underthe provisionsof G A SB codification Section I50.164,Louisiana Revised Statu te 39:1229 im posesa statutory requirem enton the custodialbank to advertise an d sellth e pledged securitiesw ithin 10 days of being notified by the Clerk of Courtth atthe fiscalagenthas failed to pay deposited fim ds upon dem an d. 14

18 IBER VILLE PA RISH CLERK O F C O UR T N O TES TO FIN AN CIA L STA TEM EN TS NOTE C - INVESTM ENTS (CONTINUED) Louisiana A ssetm anagem entpool.inc Investm ents held at June 30,2003 consist of $400,000 in the Louisiana A ssetm anagem ent Pool(LAM P),a localgovemmentinvestmentpool.in accordan cewith GASB Codification Section I50.126,the investm entin LAM P atjune 30,2003 isnotcategorized in th e three risk categories provided by GA SB Codification Section I because the in vestm ent is in the poolof funds an d th erefore not evidenced by securitiesthatexistin physicalorbook entry form. LA M P isadm inistered by LA M P,Inc.,a non-profitcorporation organized un derth e law sof th e State of Loui siana. O nly localgovernm ententitieshaving contracted to participate in LA M P have an investm ent interest in its poolof assets. Theprimary objectiveof LAM P isto provide a safe environm entforth e placem entof public fi.m dsin short-term,high quality investm ents.the LA M P portfolio includesonly securitiesand oth er obligations in which local governm ents in Louisiana are authorized to investin accordan ce w ith LSA.R.S.33:2955.A ccordingly,lam P investm ents are restricted to securitiesissued,guaranteed,orbacked by the U.S.Treasury,the U.S.Governm ent, orone of its agencies, enterprises, or instnunentalities, as w ell as repurchas e agreem ents collateralized by th ose securities. Effective A ugust I, 2001, LAM Ps investm ent guidelines w ere am ended to perm it th e investm entin governm ent-onl y m oney m arketfunds. In its2001regularsession,th e Louisian a Legislature (SenateBilNo.512,Act701)enacted LSA-R.S.33:2955(A)(1)(h)which alows all m un icipalities,parishes,schoolboards,and any oth erpolitical subdivisionsof the Stateto invest in.investm entgrade (A-l/P-1)comm ercial paperofdomesticunited Statescorporations. Efective October1,2001,LA M P'sIn vestm entguidelines were am ended to allow th e lim ited investm ent in A -1 or A -l+ com m ercialpaper. The dollar w eighted average portfolio m aturity of LA M P assets isrestricted to notm ore than 90 days,and consistsof no securitieswith a m aturity in excessof 397 days.lam P isdesigned to be highly liqui d to give itsparticipantsim m ediate accessto theiraccountbalances. The investm ents in LA M P ar e stated at fair value based on quoted m ar ketrates. The fairvalue isdeterm ined on a w eekly bas isby LA M P and the value of the position in th e externalinvestm entpoolis th e sam e as th e value of the poolshar es. LAMP,Inc.issubjectto theregulatory oversightofthestatetreasurerand the board of directors LA M P isnotregistered w ith the SEC asan In vestm entcom pan y.

19 IBER VILLE PA R ISH CLERK O F C O U R T N O TES TO FIN AN CIAL STA TEM E N T S N O TE D -RE C EIV A BLES The receivablesof $13,249 atjune 30,2003are asfollows Class of Receivable GeneralFund A ccounts 13,249 M iscellaneous N O TE E -PEN SIO N PLAN Plan D escription.substantially allem ployeesof the Iberville Parish Clerk of Courtar e m em bersof the Louisian a ClerksofCourtRetirementand ReliefFund (System),a cost-sharing,multipleem ployerdefined benefitpension plan adm inistered by a separ ate board of trustees. A llregularem ployeeswho ar e un der the age of 60 atthe tim e o f originalem ploym entar e required to participate in th e System.Em ployeeswho retire atorafterage 55 w ith atleast12 yearsof credited service ar e entitled to a retirem entbenefit,payable m onthly forlife,equalto 3 percentof theirfinal - average salary. Final-average salary isth e em ployee'saverage salary over the 36 consecutive or joined monthsthatproducethehighestaverage.employeeswho terminatewith atleast12 yearsof serv ice an d do notw ithdraw theirem ployee contributionsm ay retire ator after age 55 an d receive th e benefitaccrued to th eirdate of term ination. The System also provides death an d disability benefits. Benefitsar e established an d am ended by state statute. The System issuesan annualpublicly available fin an cial reportth atincludesfinan cial statem entsan d required supplem entary inform ation forthe System.Thatreportm ay be obtained by w riting to the Louisian a Clerk of CourtRetirem entan d Relief Fun d,11745 Bricksom e A venue,suite B 1,Baton Rouge,Louisian a 70816,orby caling (225)

20 IBER VILLE PAR ISH CLERK O F C O U R T N O TES TO FINA N CIAL STA TEM EN TS NOTE E -PENSION PLAN (CONTINUED) Funding Policy.Plan m em bersare required by state statute to contribute 8.25 percentof their annual covered salary and the Iberville Par ish Clerk of Courtisrequired to contribute atan actuarially determ ined rate. The currentrate isten percentof annualcovered payroll. Contributionsto the System also include one-fourth of onepercent(one-halfofonepercentfororlean sparish)of the taxes shown to be collectible by the tax rollsof each parish.the contribution requi rem entsof plan m em bersan d the Iberville Parish Clerk of Courtar e established an d m ay be am ended by state sta tute. A sprovided by R.S.11:103,the em ployercontributionsare determ ined by actuarialvaluation an d aresubjectto chan geeach year based on theresultsof thevaluation forthepriorfiscal year.the Iberville Parish Clerk of Court'scontributions to the System forthe year sending June 30, 2003, 2002 an d 2001were $47,644,$4 t,709 an d $40,687,respectively,equal to the required contributions foreach year. EffectiveJuly I,1999,R.S.11:1562(C)alowstheClerk to pay alorany portion of the8.25percent em ployee contribution. The Iberville Par ish Clerk of Courthaselected to pay allof the em ployee contributions. The Clerk'selective contributionsto th e Plan forthe years ending Jun e 30,2003, 2002 an d 2001were $38,925,$34,410 an d $34,157,respectively. N O TE F -D EFER RED C O M PEN SA TIO N PLAN Plan D escription. A llfulltim e em ployees of th e Iberville Parish Clerk of courtar e eligible to participate in the Louisian a Public Em ployeesdeferred Com pensation Plan,a sal ary deferralplan established pursuan tto InternalRevenue Code 457 and R.S.42: an d adm inistered by th e Loui siana D efer ed Com pensation Com m ission. Funding Policy.Plan m em bersm ay electto deferan am ountequalto th e lesserof $8,000 or331/3% of includable com pensation. Additional ly,th e Clerk has elected to m atch 100% of em ployee contributionsto th e plan.the Clerk'selective contributionsto th e Plan forth e year ended Jun e 30, 2003,2002 an d 2001were $39,185,$33,665an d $25,815respectively. N O TE G -O TH ER PO ST-EM PL O Y M EN T BENEFITS The Iberville Parish Clerk of Courtprovidescertain continuin g health car e an d life insurance benefits forretired em ployees.substan tially allof th e Clerk'sem ployeesbecom e eligible for these benefitsif they reach norm al retirem entage w hile w orking forthe Clerk of Court.These benefitsfor retirees and sim ilar benefitsforactive em ployeesar e provided through an insurance com pan y w hose m onthly premiumsarepaid jointly by theemployeean d by theclerk ofcourt.th e Clerk ofcourtrecognizes thecostofproviding thesebenefits(theclerk'sportion of premium s)asan expenditur ewhen the m onthly prem ium sare due.forthe year sended Jan e 30,2003 an d 2002 the Clerk provided these benefitsto three retirees. 17

21 IBERVILLE PA RISH C LERK O F C O U R T N O TES TO FINAN CIA L STA TEM EN TS N O TE H -CH A N G ES IN A G EN CY FU ND BAL AN CES A sum m ary of changesin agency fund unsettled depositsfollow s U nsettled D epositsat Beginning of Y ear Additions Reductions A gency Funds: Y ear ended June 30,2002 Advance Deposit $ 1,357,922 $ 749,944 Registry of Court 1,381,407 1,983,823 $ 653,438 1,415,185 U nsettled D eposits atend of Y ear $1,454,428 1,950,045 TOTAL $ 2,739,329 $2,733,767 $ 2,068,623 $3,404,473 Y ear ended June 30,2003 Advance Deposit $ 1,454,428 Registry of Court 1,950,045 $ 800,286 2,094,145 $ 656,782 2,752,379 $1,597,932 1,291,811 TOTAL $ 3,404,473 $2,894,431 $ 3,409,161 $2,889,743 N O TE I -EX CESS FUN D BALAN CE Louisiana Revised Statute13:785requiresthatevery fouryears(atthe close of the term ofoffice), the C lerk of Courtm ustpay the parish treasur erth e portion of the G eneralfun d balan ce th atexceeds one-hal f th e revenues of the Clerk'slastyearof histerm of office.a tjune 30,2003,th ere w as no am oun tdue the parish treasurerasthisw asnotth e las tyearof the Clerk'sfour-year term of office, an d no determ ination of the am oun tth atw illbe due,if an y,can be m ade atthistim e.

22 IBER V ILLE PAR ISH CLERK O F CO U R T N O TES TO FIN AN CIA L STA TEM EN T S N O T E J -EX PEN DITU RES O F TH E C LERK O F C O UR T PA ID BY TH E IBER V ILLE PA RISH C O UN CIL Certain operating expenditures of the Clerk's ofi ce are paid by the parish counciland are not included in th e accom panying finan cialstatem ents.these expendituresfor the yearsended Jun e 30, 2003 an d 2003 ar e sum m arized asfollow s: Equipm entrentals Capitaloutlay M aintenance contracts O ffice supplies Advertising CourtA tendance Telephone TO TAL Y ear Ended June $ ,488 1, ,683 9, $ 7,540 33,198 5,283 23,183 N O TE K -LEA SES The clerk of courtisobligated undercertain leasesaccoun ted forasoperating leases. Operating leas es do notgive rise to property rights orlease obligations;therefore,the results of the lease agreem entsar e notreflected in th e clerk'saccountgr oups. The follow ing isa schedule by year sof futur e m inim um rentalpaym entsrequired underoperating leasesthathave initialorrem aini ng non-can celable lease term sin excessof one year as of June 30, 2003: Y earending June Am ounts $ 17,295 3, TotalM inim um Paym ents Required $ 21,145

23 AD D ITIO NAL IN FO RM A TIO N 20

24 IBER VIL LE PAR ISH CLER K O F C O UR T AD D ITIO N AL IN FO RM A TIO N SCH ED U LES JU NE 30,2003 FID U C IA R Y FU N D TY PE -A G EN CY FUND S A dvance D enositf und The A dvance D epositfund,as provided by Louisiana Revised Statute 13:842,accounts for advan ce deposits of suitsfiled by litigan ts. The advan cesare refundable to the litigantsafter allcosts have been paid. The Registry of CourtFun d,asprovided by Louisian a Revised Statute 13:475,accoun tsforfunds which havebeen ordered by thecourtto be held untiljudgmenthasbeen rendered in courtlitigation. W ithdraw alsof the fundscan be m ade only upon orderof th e court. 21

25 SCH ED UL E 1 IBER VILLE PA R ISH CLER K O F C O U R T FID U C IA R Y FU ND TYPE -A G EN CY FU ND S CO M BININ G BALAN CE SHEET JU NE 30,2003 Advance D eposit Fund Registry of Court Fund Total A SSET S Cash and cash equivalents Investm ents,atcost $ 285,953 1,325,000 $ 1,291,811 $ 1,577,764 1,325,000 TO TAL ASSETS $ 1,610,953 $ 1,291,811 $ 2,902,764 LIA BILITIES AND FUND EQUITY Liabilities: D ue to otherfunds U nsetled deposits-due to others $ I3,021 1,597,932 $ 1,291,811 $ 13,021 2,889,743 TOTAL LIABILITIESAND FUND EQUITY $ 1,610,953 $ 1,291,811 $ 2,902,764

26 SCH ED UL E 2 IBER VILLE PA RISH CLER K O F C O UR T FID U C IA R Y FUND TY PE-AG EN CY FU N D S SCH ED UL E O F CH AN G ES IN UN SETTLED D EPO SITS YEA R END ED JU NE 30,2003 Advance Deposit Fund Registry of Court Fund Total (M emoran dum Only) UN SETTLED D EPO SIT S A T BEG INNIN G O F YE AR A D D ITIO N S D eposits: Suitsand successions Judgm ents Interestearned 756, ,089, ,676 2,089,446 48,309 TO TAL AD D ITIO N S 800,286 2,094,145 2,894,431 R ED U CTIO N S Clerk'scosts(tran sferred to GeneralFund) Settlem entsto litigants Attorney,curatorsand notarialfees Interestto litigan ts Sheriffsfees O therreductions 369,177 86,602 54, ,748,774 2, ,177 2,748,774 86,602 2,633 54, TO TAL RE D U CTIO N S 656,782 2,752,379 3,409,161 UN SETTLED D EPO SITS AT END OF YE AR $ 1,597,932 $ 1,291,811 $ 2,889,743

27 SCH ED ULE 3 IB ER V ILLE PAR ISH CLERK O F C O UR T FID U C IA R Y FU ND TYPE-A G EN CY FU ND S SCH ED ULE O F CH A N G ES IN UN SETTLED D EPO SITS YEA R END ED JU NE 30,2002 A dvance Deposit Fund Registry of Court Fund Total (M emorandum Only) UN SETTLED D EPO SIT S A T BEG INN IN G OF YE AR $ 1,357,922 $ 1,381,407 $ 2,739,329 AD D ITIO N S Deposits: Suitsand successions Judgm ents Interestearned 690,69I 59,253 1,969, ,691 1,969,745 73,331 TO TA L AD D ITIO N S 749,944 1,983,823 2,733,767 TOTAL 2,107,866 3,365,230 5,473,096 RED U CTIO N S Clerk'scosts(tran sferred to GeneralFund) Settlem entsto litigants A ttorn ey,curatorsand notarialfees Interestto litigants Sheriffsfees Otherreductions 364,354 82,494 60, ,414, ,354 1,414,319 82, , TO TA L R ED U CTIO N S 653,438 1,415,185 2,068,623 UN SETTLED D EPO SITS A T END OF YE AR $ 1,454,428 $ 1,950,045 $ 3,404,473 24

28 SC H ED UL E 4 IBERVILLE PA RISH CLERK O F C O U R T SCH ED U LE O F FIN DIN G S Y EAR EN D ED JUN E 30,2003 A. SU M M AR Y O F A U D IT R E SU LT S FinancialStatem ents Typeofauditor'sreportissued:unqualified Intern alcontroloverfinancialreporting: ~ M aterialw eaknessesidentified? ~ Reportable condition identified thatare notconsidered to be m aterialw eaknesses? N oncom plian ce m aterialto financialstatem ents noted? x x yes yes no no yes x no B. FIN D IN G S - FIN A NC IA L STA TEM EN T A UD ITS RE PO RTA BLE C O N D ITIO N S RE C O N CILIA TIO N O F D O CKET BALAN C ES T O CA SH Condition: A reconciliation of the individual docketbalan cesto th e cash bal an ce of the A dvance D eposit Fund has notbeen prepared. Thisw as a repeatfin ding. Criteria The clerk,in his fiduciary capacity,acceptsfundson behalf of the courtin connection w ith varied legalactions.these m oniesar e held w ithi n th e A dvan ce D epositfun d untilthere issom e court orotheraction m aking itappropriate forthe clerk to disburse the funds.the clerk,in hisagency capacity,has a responsibility to reconcile an d identify individualbalancesw ithin the fund to the cash balance. El~ect The lack of thisreconciliation increasesthe risk th atindividual balancesm ay be m isstated an d th atth e transactions thatar e bas ed on the individualbalan cescould be in error.

29 2003-1RECONCILIATION OF DOCKET BALANCES TO CASH (continued) Recom m endation The clerk should reconcile the individualdocketbalancesw ith th e cash bal ance of the A dvan ce D epositfund on a m onthly basisto ensure th e individualbalan cesare accurate. V2anaeem ent's Resoonse The clerk of courtinform ed usth athe w illcontinue to w ork to reconcile the A dvan ce D eposit Fun d.the clerk has had additionaltrainin g of hisstaf responsible for the A dvan ce D epositfund since the June 30,200t audit. This includesfullerutilization of th e softw ar e thatisused to m aintain th e docketbal an ces. The clerk willm ake every efortto achieve th e reconciliation A C C O UN TIN G RE C O R D S O F TH E A GEN CY FUN D S Condition: The clerk hasnotm aintained a com plete setof accounting books forthe A dvan ce D epositfun d northe Registry of CourtFun d.the clerk m aintainsa subsidiary ledgerforthe A dvan ce D eposit Fund thataccoun ts foreach individualsuit. The activitiesof the Registry of CourtFund ar e m aintai ned on spreadsheets.

30 BAN K REC O NCILIATIO NS OF TH E AG EN CY FUN D S Condition: The clerk has notreconciled the checking accountsof the A dvance D epositfund north e Registry of CourtFund. Criteria Th e clerk,in hisfiduciary capacity,acceptsfundson behalf of the courtin connection w ith varied legalactions.these m oniesare held w ithin the A dvan ce D epositfund orthe R egistry of Court Fun d un tilthere issom e courtorotheraction m aking itappropriate for the clerk to disburse the funds.in orderto adequately controlthese funds,bank reconciliationsm ustbe prepar ed prom ptly each m onth foreach checking account. Failure to prepare bank reconciliations doesnotallow the clerk to adequately controlth e flm ds deposited w ith hi m. Recom m endation The clerk should prepare bank reconciliationsprom ptly each m onth for each checking accoun tof the A dvan ce DepositFund an d the Registry of CourtFun d. M anafem ent's Rest~onse The clerk w illbegin prepar ing th ese bank reconciliations SU PPO RT FO R EX PEN ITU RES Condition: The clerk hasnotretained recordsto supportthe on/of-duty statusof ofi cers receiving paym ents to testify in court. Criteria Louisian a Public Records Law requires thatdocum entation m ust be m ainta ined to support expenditures. Failure to m aintain supportforexpendituresweakensthe intem alcontroloverth e paym entof public funds. Recomm endation The clerk should retain the copy of th e subpoena an d th e of duty status form presented by ofi cersw ho are paid forcourtappearances. M anafem ent's Response The clerk w illbegin retaining th ese docum ents. 27

31 SC H E D U LE 5 IBER V IL LE PA RISH CLERK O F C O UR T SUM M AR Y SC HE D U LE O F PRIO R A UD IT FIN D IN G S YE AR END ED JUN E 30,2003 RE PO R TABLE CO N D ITIO N RE C O N CILIA TIO N O F D O CK ET BA LAN CES TO CA SH Condition: A reconciliation of the individualdocketbal ancesto the cash balan ce of the A dvance D eposit Fund hasnotbeen prepared. Thisw asa repeatfinding. Criteria The clerk,in hisfiduciary capacity,acceptsfundson behalf of the cour tin connection w ith varied legal actions. Th ese m oniesare held w ithin the A dvan ce D epositfun d un tilth ere issom e court orotheraction m aking itappropriate forthe clerk to disburse th e funds.th e clerk,in hi sagency capacity,hasa responsibility to reconcile an d identify individualbalances wi thin the fund to the cash balance. Efect The lack of thisreconciliation increasesthe risk thatindividualbalancesm ay be m isstated and thatthe tran sactionsthatar e based on the individual balan cescould be in error. Recom m endation The clerk should reconcile the individualdocketbalan cesw ith the cas h balan ce of the A dvan ce D epositfund on a m onthly bas isto ensure th e individual bal an cesar e accur ate. M anaeem ent~ Resvonse Th e clerk of courtinform ed usth athe w illcontinue to w ork to reconcile th e A dvan ce D eposit Fun d.the clerk has had additional training of hisstaff responsible tbrth e A dvance D epositfun d since th e June 30,2001 audit. This includesfullerutilization of the softw ar e th atisused to m ain tain the docketbalan ces. Th e clerk w i11m ak e every efortto achieve the reconciliation. 28