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1 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D Jennings,Louisiana G eneralpurpose FinancialStatem ents A sof and for tile Year Ended June 30,2000 W ith Supplem entalinform ation Schedules UnderPr o~.,~3!~nc~of~.~ Ia~, d~c~rr~ent - '. the ~,:t. : "'b ;Y~IL:I ~.'"!~"~'reoort~rt " v %'u~ -,, - ~/'tps[~,, -~ _ ptltlc, ~ ROL,?,C ' ~,. ~('C,I0 appt:op~ "- '; r',,,:, ' :,,, ihe Release Date,,,,-,ic~,i~uiC ourt.

2 JEFFER SO N D A V IS PA R ISH SC H O O L BO A RD Jeunings,Louisiana G eneralpurpose FinancialStatem ents A s of and for the Y ear Ended June 30,2000 W ith Supplem entalinform ation Schedules TA BLE O F C O N TEN TS ~qt~lem _ ẹ~ Schedule Page IndependentA uditor's R eport G eneralpurpose FinancialStatem ents: Com bined Balance Sheet-A llfund Typesand A ccountg roups Com bined Statem entof Revenues,Expenditures,and Changesin Fund B alances Com bined Statem entof Revenues,Expenditures,and Changesin Fund Balances-Budgetand A ctual N otesto FinancialStatem ents A. B C Supplem entalinform ation Schedules 23 SpecialRevenue Funds: Com bining.b alance Sheet Com bining B alance Sheet-IA SA Funds Com bining Statem entof Revenues,Expenditu res,and Changesin Fund B alances Com bining Statem entof Revenues,Expenditures,and Changesin Fund B alances-ia SA Funds A -1 A -2 A -3 A D ebtservice Funds: Com bining B alance Sheet Com bining Statem entof Revenues,Expenditures,and Changes in Fund Balances B -1 B CapitalProjectsFunds: Com bining B alance Sheet Com bining Statem entof Revenues,Expenditures,and Changesin Fund Balances C -1 C A gency Funds: Com bining Balance Sheet Schedule ofchangesin D epositsd ue O thers-schoola ctivity Funds Schedule of Changes in D eposits D ue O thers -Sales and U se Tax Fund D -1 D -2 D Schedule of Com pensation and O ther ExpensesPaid to SchoolBoard M em ber E-I 35

3 JEFFE R SO N D A V IS PA R ISH SC H O O L B O A R D Jerm ings,louisiana G eneralpurpose FinancialStatem ents A sof and forthe Y earended June 30,2000 W ith Supplem entalinform ation Schedules TA BLE O F C O NTEN TS ~tatem_._e~ Schedule Page O ther R eports: Schedule of Expenditures of FederalA w ards N otesto Sc~hedule of Expendituresof FederalA w ards Sum m ary Schedule of Prior A uditfindings IndependentA uditor'sreporton Com pliance and on InternalControl O verfinancialreporting B ased on an A uditof FinancialStatem ents Perform ed In A ccordance w ith Governm entalauditing Standards IndependentA uditor's Reporton Com pliance w ith Requirem ents Applicable to Each M ajorprogram and InternalControlOver Com pliance in A ccordance w ith O M B Circular A -133 ScheduleofFindingsand Questioned Costs M anagem ent'scorrective A ctionsplan forcurenty eara uditfindings

4 M ike B.G illespie,c PA (A ProfessionalAccounting Corporation) 414 EastN ezpique Street PO Box 1347,Jennings,LA Phone(337) To the M em bersof the Jefferson D avisparish SchoolBoard Jennings,Louisiana IN D EPEN D EN T A U I)ITO R 'S R EPO R T Ihave audited the accom panying generalpurpose financialstatem entsof the Jefferson D avisparish SchoolBoard,as of and forthe yearended June 30,2000,aslisted in the table of contents.these generalpurpose financialstatem ents are the responsibility of the SchoolBoard'sm anagem ent.m y responsibility isto expressan opinion on these general purpose financialstatem entsbased on m y audit. I conducted m y audit in accordance w ith generally accepted auditing standards and the standards applicable to financial audits contained in Governm entauditing Standards,issued by the Com ptroller G eneral of the U nited States.Those standardsrequire thatiplan and perform the auditto obtain reasonable assurance aboutw hetherthe generalpurpose financialstatem entsare free of m aterialm isstatem ent.an auditincludesexam ining,on a testbasis, evidence supporting the am ounts and disclosures in the generalpurpose financialstatem ents.an auditalso includes assessing the accounting principles used and significantestim ates m ade by m anagem ent,as w ellas evaluating the overallgeneralpurpose finaucialstatem entpresentation.ibelieve thatm y auditprovides a reasonable basis form y opinion. In m y opinion,the generalpurp ose financialstatem entsrefen'ed to above presentfairly,in allm aterialrespects,the financialposition of the Jefferson D avisparish SchoolBoard asof June 30,2000,and the'.resultsof itsoperationsfor the yearthen ended in conform ity w ith generally accepted accounting principles. ]n accordance w ith Governm entalaudithtg Standards,Ihave also issued m y reportdated D ecem ber8,2000,on m y consideration of the Jefferson D avisparish SchoolB oard's internalcontroloverfinancialreporting and m y tests of itscom pliance w ith certain provision of law s,regulations,contractsand grants.thatreportisan integralpart of an auditperformed in accordancewith GovernmentalAuditing Standardsand should beread irlconjunction with this report in considering the resultsof m y audit. M y auditw aspertbrn aed forthe purpose of form ing an opinion on the generalpurpose financialstatem entstaken asa w hole.th e com bining financialstatem ents and other supplem entalinform ation listed in the table of contents are presented forpurposesof additionalanalysisand are nota required partof the generalpurpose financialstatem entsof the Jefferson D av:isparish SchoolBoard.Th e accom panying schedule of expendituresof federalaw ardsispresented forpurposesofadditionalanalysisasrequired by U.S.Officeof M anagementand BudgetCircularA-133,Auditsof States,LocalGovernments,and Non-profitOrganizations,and isalso notarequired partofthegeneralpurpose financialstatementsofthejefferson DavisParish SchoolBoard.Such information hasbeen subjected to theauditing proceduresapplied in the auditof the generalpurp ose financialstatem entsand,in m y opinion,isfairly stated,in all m aterialrespects,in relation to the generalpurp ose financialstatem entstaken as a w hole. Jennings,Louisiana D ecem ber8,2000

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7 JEFFERSO N DAVIS PA RISH SCHO O L BOA RD ALL GOVERNM ENTAL FUND TYPES Com bined Statem entofrevenues.expenditures.and Changes in Fund Ba'=ances Forthe Y earended June REVENUES Localsourca s: Ad valom m taxes Parish contdbut~on to retirementfund Sales and use taxes Co lection fees from m unicipalities Tuition Transportalion fees tr~tereste~m ir~gs Earning:sfrom realproperty Food services Community service Otherlocalrevenue State sources: Equalization RestriclqTd grants-in-aid Revenue sharing O therstate revenues Federalsources TotalRevenues Genera $ 1.539,025 66, , , ,532 32,677 17, , , , ,912 34,407 20, ,847 Special Revenue Debt Service $ $ $ 43, ,935 4,502, , ,730 Capital Projects 14,714 Statem entb Totals (Memorandum Only) 3.023,372 86, , , EXPENDITURES Current: Instruction: Regularprogram s Specialeducation programs Voca6onalprogram s Otherinstructionalprogram s Specialprograms Adultand continuing education program s Support services: Pupilsupport InstnJctionalstaf' Generaladm inistration Schooladministration Business services. Plantoperation and m aintenance Studenttransportation Centratservices Non-insVuctioca lsew ices: Food Servica s Comm unity service programs Intergovernn~ental Facilities acquisition and construction Debtservice: Principalretirem ent Inta resl fiscalcharges,and issue costs Totalexpenditures EXCESS (Deficiency)OF REVENUES OVER EXPENDITURES , , ,904 47, , , , , , ,290 41, ,128 29,100,~2"~ t,610, , , ,392 1,318,069 50,780 93, , , t "-' ~3-249,046 OTHER FINANCING SOURCES (USES): Operating transfers in Operating transfersout (I,230) - Indirectcosts (51.912) Proceeds from sole ofgeneralobligation bonds - - Proceeds from sale offixed assets Totalotherfinancingsources(uses) 7O,'~'TT- - (50.230")" EXCESS (Deficiency)OF REVENUES AND OTHER SOURCES OVER EXPENDITURES AND OTHER USE.~; 1,680,794 FUND BALANCES BEGINNING OF YEAR, AS PREViOUSlY FIEPORTED 11,943,846 PdorP(=dodAdjustment FUND BALANCES BEG INNING OF YEAR, AS ADJUSTED FUND BALA NCES END OF YEAR 482, , ( ,297 (209,554 1,500,485 1,500,4~ ' , , , , , , t , , , (1,230) 1,500,485 19,981 1,520, ,851,655 $ 14,107,315 $ $ 601,040 $ 1,290,931 $ 16,824,786 The accom panying notes are an integralpartofthisstatem ent, 4

8 JEFFERSO N DAVIS PA RISH SCHO O L BO A RD G ENERAL AND SPECIAL REVENUE FUND TYPES Com bined Statem entofrevenues,expenditures,and Changes in Fund Balances -Budgetand Actual Forthe Y earer~de,d JuRe Statem entc REVENUES Localsources: Ad valorem taxes Parish contribution to retirementfund Sales and use taxes Colection feesfrom municipalities Tuition Transportation fees Interestearnings Earnings from realproperty Food services Community service Otherfocalrevenue State sources: Equalization Restricted grants-in-aid Revenue sharing Otherstate revenlles Federalsources TotalRevenues EXPENDITURES Current: Instruction: Regularprograms Specialeducation program s Vocationalprograms Otherinstructionalprog rams Specialprog rams Adultand continuhg education program s Supportservices: Pupilsupport Instructionalstaf Generaladministration Scho ladministration Businessservices Plantoperation and m aintenance, Studenttransportation Centralservices Non-instructionalservices: Food services Community service programs Intergovem m ental Facilitiesacquisition end construction Debtserv ice: Principalretirem ent Interestand fisca lcharges Totalexpenditures EXCESS (Derclency)OF REVENLIES OVER EXPENDITURES OTHER FINANCING SOURCES (USES): Operating transfers in O pera ting tra nsfers out Indirectcosts Proceedsfrom sale ofgeneralobligation bonds Proceedsfrom sale offixed assets Totalotherfinancing sources(uses) Budget $ GeneralFund Actual $ , ,13f f Variance Favorable (Unfavorable) ~4.9g5 ( ( (1.957) (2.407) (43.055) (5.232) (1.906) (39.860) (7.208) Budget 937.(197 $ g O ~ g g EXCESS (Deficiency)OF REVENUES AND OTHER SOURCES OVER EXPENDITURES AND OTHER USES FUND BALANCES SEG INNING O F YEAR, AS PREVIOUSLY REPORTED PriorperiodAdjustment FUND BALA NCES BEGINNING OF YEAR, AS ADJUSTED FUND BALA NCES ENI3 OF YEAR ,610,583 (1.230) g (1.230) , ( ,224) 186,441 SpecialRevenue Funds Variance Favorable (Unfavorable $ 43,897 4, ,775 5, ,500 77,935 4,502, , , ,392 1,318, ,36g 2,663, ,325 1,696 83,213 9,572 6,416, (51,912) 452 (50.230) " 1 ( (199,07G (f7.558) (34.652) (1.752) (2.310) (65.297) (14.369) 4.18g (2o) 11,260 37,409 (83,213) (9,572) , g , , ,076,300 12,426,521 2,350, , $ 10,943,760 $ 14,107,315 $ 3,163,555 $ $ $ 12,378 The accom panying notes are Bn integralpartofthis statement. 5

9 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O TE S T O FIN A N C IA L STA TEM EN T S IN T R O D U C T IO N The Jefferson DavisParish SchoolBoard (the Board)wascreated by Louisiarta Revised Statute (R.S.) 17:51 to provide:public education forthe children w ithin Jefferson D avisparish, The Board isauthorized by R.S.17:81 to establish policies and regulations foritsow n govern m entconsistentw ith the law sof the State of Louisiana and the regulations of the Louisiana B oard of Elem entary and Secondary Education. The schoolboard iscom prised of 13 m em ber'sw ho are elected from 13 districtsfor term sof fouryears. Tile schoolsystem iscomprised of a centralofi ce,14 schools,and 4 educationalsupportfacilities(lunch Service W arehouse,m edia Center,PupilAppraisalCenter,and Technology & M aintenance Center). Enrollm entasof O clober,1999 w asapproxim ately 5,962 regularand specialeducation students.the Board em ploys approxim ately 800 persons, providing instructional and ancillary support such as general adm inistration,repair and m aintenance,food services,bus transportation,etc.the regular schoolterm norm ally beginsin late A ugustand endsin late M ay. 1. SU M M A R Y O F SIG N IFIC A N T A C C O U N T IN G PO L IC IE S A.BA SIS O F PR E SEN TA TIO N The accom panying financialstatem ents of the B oard have been prepared in conform ity w ith generally accepted accounting principles (GAAP) as applied to governm ental units. The Governm ental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governm entalaccounting and financialreporting principles. B.R E PO R T IN G E N T ITY B ecause the Board has a separately elected govern ing body an d is legally separate and fiscally independenl,the B oard is a separate goveru m ental reporting entity. The B oard includes all funds, accountgroups,activities,etcetera,thatare w ithin itsoversightresponsibility. C ertain units of localgovernm entoverw hich the B oar d exercisesno oversightresponsibility,such as the parish policejury and municipalities within the parish,are excluded from the accompanying financialstatem ents. These units of governm entare considered separate reporting entities and issue financialstatem entsseparate from those of the parish B oard. C.FU N D A C C O U N T IN G The B oard uses funds and account groups to report on its financial position and the results of its operations. Fund accounting is designed to dem onstrate legal com plian ce and to aid financial m anagem entby segregating transactions relating to certain govern m entfunctions or activities. A fund is a separate accounting entity w ith a self-balancing setof accounts. On the otherhand,an accountgroup isa financialreporting device designed to provide accountability forcertain assetsand liabilities thatare notrecorded in the funds because they do notdirectly affectnetexpendable financial resources.

10 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S Fundsof the Board are classified into three categories:govern m ental,proprietary,and fiduciary. Each category,in turn,isdivided into separate fund types. The fund classificationsand accountgroups used by the Board and a description of each existing type follow : G overnm entalfunds G overn m entalfunds accountforallorm ostof the Board's generalactivities,including the collection and disbursem entof specific or legally restricted m onies,the acquisition or construction of general fixed assets,and the servicing of generallong-term obligations. G overu m entalfundsinclude: 1. The G eneralfund is the generaloperating fund of the B oard and accounts for allfinancial resources,exceptthose required to be accounted forin otherfunds. 2. Specialrevenue funds account for the proceeds of specific revenue sources thatare legally restricted to expendituresforspecified purposes. 3. D ebt serv ice funds account for transactions relating to resources retained and used for the paym entof principaland intereston those long-term obligationsrecorded in the generallongterra obligations accountgroup. 4. Capitalprojectsfundsaccountforfinancialresourcesreceived and used fortheacquisition construction,orim provem entof capitalfacilitiesnotreported in the othergovernm entalfunds. Fiduciary Funds Fiduciary fundsaccountforassetsheld on behalf of outside parties,including othergovern m ents, or on behalf of otherfundsw ithin the Board.Fiduciary fundsinclude: A gency Fundsaccountfor assetsheld by the B oard as an agentforthe individualschools,school organizations, an d other governm ents. Agency funds are custodial in nature (assets equal liabilities)and do notinvolve m easurem entof resultsof operations. A ccountg roups A ccountgroups are used to establish accounting control and accountability for the B oard's general fixed assetsand generallong-term debt.the tw o accountgroupsare not"funds".they are concern ed only w ith the m easurem ent of financialposition.they are not involved w ith the m easurem ent of resultsof operations.the B oard's accountgroupsinclude: 1. G eneralfixed assetaccountgroup isa self-balancing accountgroup established to accountfor the generalfixed assets of the B oard. 2. G eneral long-term debt account group is a self-balancing group of accounts established to account for the unm atured general obligation indebtedness and the long-term portion of accrued com pensated absencesand otherobligationsof the B oard. D.BA SIS O F A C C O U N TIN G

11 JEFFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M EN T S The accounting and financialreporting treatm entapplied to a fund is determ ined by its m easurem ent focus. A llgovern m entalfunds and expendable trustfunds are accounted forusing a currentfinancial resources m easurem entfocus. W ith this m easurem entfocus,only currentassets and currentliabilities are generally included on the balance sheet. Operating statem entsof these fundspresentincreasesand decreasesin netcurrentassets. The m odified accrualbasisof accounting is used by allgovernm ental funds,expendable tru stfunds,and agency funds. The governm entalfunds and expendable trustfunds use the follc,w ing practicesin recording revenuesand expenditures: R evenues Federaland state entitlem ents(which include state equalization and state revenue sharing)are recorded asunrestricted grants-in-aid w hen available and m easurable. Federaland state grantsare recorded w hen the reim bursable expenditureshave been incurred. A d valorem taxes are recorded in the year the taxes are due and payable. A d valorem taxes are assessed or, a calendar year basis, becom e due on N ovem ber 15 of each year, and becom e delinquenton D ecem ber31.the taxesare generally collected in D ecem ber,january,and Febru ary of the fiscalyear. Salestaxesassessed,collected,and held by the agency fu nd and by m erchantsasof fiscalyearend arc recorded as revenue if collected soon enough thereafter to be used to pay liabilities of the currentperiod. Interestincom e on certificates of depositis recorded when earned and considered available to finance expendituresof the fiscalperiod. Substantially allotherrevenuesare recorded w hen both m easurable and considered available Expenditures Expenditures ar e recognized w hen the related fund liability is incurred.exceptions to this general ru le are principal and interest on general long-term debt w hich are recognized w hen due. Liabilitiesw hich w illnotbe norm ally liquidated w ith expendable financialresourcesare recorded in the generallong-term debtaccountgroup. OtherFinancing Sources(Uses) Transfersbetween fundsthatarenotexpected to be repaid (orany othertypes,such ascapital lease transactions,sale of fixed assets,debtextinguishm ents,long-term debtproceeds,etcetera) are accounted foras otherfinan cing sources (uses).these other financing sources (uses) are recognized atthe tim e the underlying eventsoccur. E.BU D G ET S Pursuantto Title 17,Section 88 of the Louisiana Revised Statutes,asam ended by A ct970 of 1995,the Board isrequired to ~doptan annualbudgetno laterthan Septem ber 15thof each yearforthe general fund and each special revenue fund. The revenues shall be those norm ally expected from

12 JE FFE R SO N I)A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S constitutional,statutory,and regular sources and shallnotinclude probable revenue thatm ay arise from doubtfulorcontingentsources.the statute requiresthatthe revenues and expendituresbe listed and classified in such m annerand substance asshallbe prescribed by the state superintendentof public education,an d shall detailas nearly as possible the several item s of expected m eans of financing com posed of the beginning fund balance and revenues.n o item of expenditure notincluded in the detailed estim atesshallbe paid by the treasurer,orex officio treasurer,of the Board,underthe penalty thathe and hissurety orbondsm an,shallbe personally liable forany item sso paid and notincluded in thisbudgetof expenditures.if,during the course of the fiscalyear,itbecom es evidentthatreceipts or disbursem entsw illvary substantially from those budgeted,then the Boar d shallprepare and adopt,in like form,m anners and substance and upon like penalties,an am ended budget.the Board isrequired to subm it a cop),of its adopted budget no later than Septem ber 13th of each year to the State Superintendent of Education.In addition,allaction necessary to adopt and otherw ise finalize and im plem ent he budget,asw ellasany anlendm ents,shallfollow Louisiana R.S.39:1301 through 1316, asapplicable.thisincludesthe publication of a notice thatthe proposed budgetisavailable forpublic inspection and nolification of the date,tim e, and place of public budgethearing.thisnotice isrequired to published atlestten dayspriorto the date of the firstpublic hearing.the Board is also required to certify com pletion of allbudgetary action by publishing a notice of availability of the finalbudget. The Board uses the follow ing procedures in establishing budgetary data reported in the financial statem ents: 1. The D irector of A ccounting subm its a proposed annual budget of expected revenues and expenditures forthe G eneralan d SpecialR evenue Fundsto the B oar d.the proposed budgetis advertised as available for public inspection at least 15 days prior to final adoption sim ultan eously w ith a notice of the date of public hearing.the public hearing is conducted during a finance com m ittee m eeting in order to obtain public input.the budgetis subsequently adopted by the full Board through a form al budget resolution.u pon Board approval,the budgetisthen sentto the State D epartm entof Education forapproval. 2. G eneralfund and SpecialR evenue Fund appropriationslapse atthe end of the fiscalyear 3. The B oard doesnotutilize encum brance accounting. 4. The budgets ar e prepared underthe m odified accrualbasis of accounting.the D ebtservice Funds are controlled by related bond ordinances.the D ebtserv ice Fundsare notbudgeted on an am m albasis therefore,a budgetto actualcom parison is notpresented for this fund type. TheCapitalProjectsFundsarecontroled on a projectbasisthrough theuseof formalbidding. A lprojectsremain programmed and funded untilcompleted oruntiltheboard decidesto eliminate the project.the CapitalProjects Funds are notbudgeted on an annualbasis, therefore,a budgetto actualcom parison isnotpresented forthisfund typ e. 5. Budget am endm ents have been m ade an d all revisions have been reflected in the budget com parisonsreported in the financialstatem ents. F.CASH AND CASH EQUIVALENTS

13 JEFFER SO N 1)A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L STA TE M EN TS Cash includesam otm tsin dem and deposits,interest-bearing dem and deposits,and tim e deposits.cash equivalentsinclude am ountsin tim e depositsand those investm entsw ith originalm aturitiesof 90 days or less.u nder state law,the Board m ay deposit funds in dem and deposits,interest-bearing dem and deposits,or tim e deposits w ith state banks organized under Louisiana law or any other state of the U nited States,orunderthe law sof the U nited States. G.IN V E ST M EN T S Investm ents arc lim ited by R.S.33:2955 and the B oard's investm entpolicy. If the originalm aturities of investm ents exceed 90 days,they are classified as investm ents;how ever,if the originalm aturities are 90 daysorless,they are classified ascash equivalents. A llof the B oard'sinvestm entsare in nonnegotiable certificatesof depositsw ith redem ption term sthat do notconsider m arketrates.these certificates of deposits are carried atcost,provided thatthe fair value of these contracts is notsignificantly affected by the im pairm entof the creditstanding of the issuerorotlherfactors,in accordance w ith GA SB Statem ent31,accounting and FinancialReporting forcertain Investmentsand forexternalinvestmentpools, H.SH O R T-TERM IN TER FU N D R EC EIVA BLES /PA Y A BLES D uring the course of"operations,num erous transactions occur betw een individual funds for goods provided orservicesrendered. These receivables and payablesare classified as due from otherfunds or due to other funds on the balance sheet. Short-term interfund loans are classified as interfund receivables/payables. I. A D V A N C ES TO O TH ER FU N D S N on-currentportions of long-tem r interfund loan receivables are reported as advances and are offset equally by a fund balance reserve account,w hich indicates that they do not constitute expendable available financialresourcesand,therefore,ar e notavailable forappropriation. J. IN V EN TO IO ES G eneral Fund inventories consists of expendable supplies an d m aintenance m aterials held for consumption.inventoriesare valued atlowerof cost(first-in,first-out)orm arkel.allinventory item s are recorded asexpendituresw hen consum ed. Inventory of the SchoolLunch SpecialR evenue Fund consistsof food purchased by the schoolboard and com m odities granted by the U nited States D epartm ent of A griculture through the Louisiana D epartm entof A griculture and Forestry.The com m odities are recorded as revenues w hen received (issued);however,alinventory itemsarerecorded asexpenditureswhen consumed.a lpurchased inventory ilemsare valued atthe lowerof cost(first-in,first-out)orm arket,and commoditiesare assigned valuesbased on inform ation provided by the U nited StatesD epartm entof A griculture. A fund balance reserve equal to the value of the inventories is established to it~dicate that these am ountsdo nolconstitute expendable available financialresourcesand,therefore,are notavailable for appropriation. 10

14 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S K.FIX ED A SSE T S Fixed assets of govem rnental funds are recorded as expenditures at the tim e they are purchased or constructed,and lherelated assetsarecapitalized (reported)in thegeneralfixed assetsaccountgroup. Public dom ain or infrastru ctures are notcapitalized as they are im m ovable and of value only to the govern m ent.n o depreciation has been provided on general fixed assets.d onated fixed assets are valued atfteirestim ated fairm arketvalue on the date of donation.a llotherfixed assetsare valued at historicalcostorestim ated costif historicalcostisnotavailable. L.C O M PEN SA T E D A B SEN C E S The Board hasthe follow ing policiesrelating to vacation,sick,and sabbaticalleave V acation - Professional em ployees on a tw elve m onth basis w ho have been in the parish system forten orm ore calendaryears,earn a three week vacation each calendaryear,subject to approvalby the Superintendent.A llothertw elve m onth professionalem ployees are eligible for a tw o w eek vacation,provided they have been em ployed in the system for atleastone calendar year.v acation tim e can not be accum ulated from year to year.em ployees w ho terrninate em ploym ent w ill be paid their daily rate of regular pay for all days of unused vacation leave to w hich the em ployee isentitled w ithin the currentcalendaryear. 2. Sick Leave -- Em ployees are granted from ten to eighteen days of sick leave each year depending on classification and m onth em ployed during firstyear.such leave,w hen notused, shall be allow ed to accum ulate to the credit of the em ployee w ithout lim itation. U pon retirem entor death,em ployees are paid for any unused sick leave up to a m axim um of tw entyfive daysattheircur entdaily rate of pay. 3. SabbaticalLeave -Sabbaticalleave m ay be granted form edicalleave and forprofessionaland culluralim provem ent.any em ployee w ith a teaching certificate and an y socialw orker or school psychologist w ho holds a valid auxiliary certificate in school w ork or school psychology isentitled,subjectto approvalby theboard,to onesemesterofsabbaticalleave afterllu'ee years of continuous service or tw o sem esters of sabbaticalleave aftersix orm ore yearsof continuousservice. Only unused vacation leave to w hich the em ployee is entitled w ithin the current calendar year is accrued as a liability at fiscalyear end.a n accru alfor sick leave is m ade based on the sick leave accum ulated at the balance sheet date by those em ployees w ho currently are eligible to receive term ination paym entsasw ellasotherem ployeesw ho are expected to becom e eligible in the future to receive such paym ents.sabbaticalleave isnotaccrued since itisconsidered leave forserv ice during the period of the leave and therefore nota liability reportable in advance of the sabbaticalpursuantto GASB Statement16,Accounting forcompensated Absences. In the Generaland SpecialR evenue Funds,a liability for com pensated absences is recorded w hen expected to be paid w ith expendable, available financial resources. The am ount of accru ed com pensated absences notexpected to be paid w ithin the nextfiscalyearfrom expendable,available financialre,;ourcesisrecorded in the G enerallong-term D ebta ccountg roup.

15 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S M.LO N G -TERM O BLIG A TIO N S Long-term obligations expected to be financed from governm entalfunds are reported in the general long-term obligations accountgroup. Expenditures forprincipaland interestpaym ents forlong-term obligationsare recognized in the govern m entalfundsw hen due. N.FUND F,Q UITY' R eserves Reserves represent those portions of ftm d equity not appropriable for expenditures or legally segregated fora specific future use. D esignated Fund B alances D esignated fund balancesrepresenttentative plansfor future use of financialresources O.INTER FU N D TR A N SA C TIO N S Quasi-externaltransactions are accounted forasrevenues,expenditures,oi'expenses. Transactions thatconstitute reim bursem ents to a fund for expenditures/expenses initially m ade from it that are properly applicable to anotherfund are recorded as expenditures/expenses in the reim bursing fund and asreductionsof expenditures/expensesin the fund thatisreim bursed. A llotherin~terfund transactions,exceptquasi-extern altran sactionsand reim bursem ents,ar e reported as transfers. N onrecurring or nonroutine perm anenttransfers of equity are reported as residualequity transfers. A llolherinterfund transfersare reported asoperating transfers. P.SA L E S T A X ES Sales taxes are collected on a m onthly basisby the B oar d's Sales Tax D epartm ent.a n ordinance dated D ecem ber2,1965,w hich w asapproved by the votersof the parish authorizesthe Board to collect,for an indefinite period beginning January 1, 1966,a 1% sales and use tax to be used exclusively to supplem entotherrevenues available to the Board for paym entof salariesof teachersand foroperating expenses of schools including paym entof salaries of other personnelem ployed in addition to teachers. A notherordinance dated June 19,1997,w asapproved by the votersof the parish authorizing the Board to collect,fo ra period often year sfrom D ecem ber 1,1997,an additional1% salesan d use tax to be used to supplem entotherrevenues available to the Board forpaym entof salariesof teachers an d for operating expensesof schoolsincluding paym entof salariesof otherpersonnelem ployed in addition to teachers. Q.TOTAL COLUM NS ON COM BINED STATEM ENTS The totalcolum nson the com bined statem entsare captioned M em orandum O nly to indicate thatthey are presented only to facilitate financial an alysis.d ata in these colum ns do not present financial position,re,;ults of operations,orchanges in financialposition in confo rm ity w ith generally accepted accounting principles.n eitherissuch data com parable to a consolidation.interfund elim inationshave notbeen m ade in the aggregation of thisdata. 12

16 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S 2. FU N D D E FIC IT S The follow ing individualfundshave deficitsin unreserved fund balance atyearend Fund SpecialR evenue Funds: SchoolD istrict#3 M aintenance SchoolD istrict#8 M aintenance $ D eficitam ount 2,078 45,791 The Board is currently funding these deficits w ith short-term loans from the G eneral Fund which are expected to be paid back w ith collection of taxesw ithin the nextfiscalyear. 3. EX PEN DIT URE S - A C TUA L A N D BU D G ET The follow ing individualfunds had actualexpenditures over budgeted expenditures for the yearended June 30,2000: Fund B udget A ctual U n~ vorable V ariance SpecialR evenue Funds: Consolidated SchoolD istrict#1 SchoolD istrict#1m aintenance SchoolD istrict#3 M airitenance SchoolD istrict#5 M aintenance SchoolD istrict#8 M aintenance SchoolD istrict#22 M aintenance ID EA PreschoolProgram Title V IProgram Title IV D rug Free SchoolsProgram Title IIEisenhow erg rmat 142,377 $ 135,984 51,121 44,761 48,986 96,006 49, ,895 32,072 41, ,404 $ 153,854 55,484 45,005 53, ,450 55, ,905 35,355 42,658 4,027 17,870 4, ,415 23,444 5,955 6,010 3,283 1, A D V A LO I:tEM TA X E S The follow ing isa sum m al'y of levied ad valorem taxes Parishw ide Taxes: Conslitutional SpecialSchool SchoolD istrict1'4o.1 M aintenance B onds SchoolD istrictn o.2 M aintenance Jefferson D avisparish A llen Parish 13

17 JEFFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L STA TE M E N T S SchoolD istrictn o.3: M ain enance SpecialM aintenan ce Bonds SchoolD istrictn o.5: M aintenance SchoolD istrictn o.8: M aintenance B onds SchoolD istrictn o.22: M aintenance Consolidated SchoolD istrictn o.1 M aintenance B onds 5. CASH AND CASilEQUIVALENTS AtJune30,2000,theBoard hascash and cash equivalents(book balances)totaling $10,816,176 asfolows Interest-bearing dem and deposits O ther Total $ 10,815, $ 10,816,176 These deposits are stated atcost,which approxim ates m arket.under state law,these deposits (or the resulting bank balances)m ustbe secured by federaldepositinsurance orthe pledge of securitiesowned by the fiscalagentbank.the m arketvalue of the pledged securitiesplusthe federaldepositinsurance m ustat alltim es equalthe am ounton depositw ith the fiscalagent.these securities are held in the nam e of the pledging fiscalagentbank in a holding orcustodialbank thatism utually acceptable to both parties. AtJune 30,2000,theBoard has$10,768,943 in deposits(collected bank balances).thesedepositsare secured from risk by $100,000 of federaldepositinsurance and $10,668,943 of pledged securitiesheld by thecustodialbank in the mtm e of the fiscalagentbank (GASB Category 3). Even though the pledged securitiesare considered uncollateralized (Category 3)undertheprovisionsof GASB Statement3,Depositswith FinancialInstitutions,Investments(including.RepurchaseAgreements), and Reverse Repurchase Agreem ents,r.s.39:1229 im posesa statutory requirem enton the custodialbank to advertise and selltile pledged securitiesw ithin 10 days of being notified by the schoolboard thatthe fiscalagenthasfailed to pay deposited fundsupon dem and. 6. INV ESTM EN TS Investm entsare categorized into these three categoriesof creditrisk 1. Insured orregistered,orsecuritiesheld by the schoolboard oritsagentin the Board'snam e 14

18 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L STA T EM EN T S 2. U ninsured and unregistered,w ith securities held by the counterparty's trust departm ent or agentin the B oard's nam e 3. U ninsured and unregistered,w ith securitiesheld by the counterparty,orby itstru stdepartm ent oragentbutnotin the Board'snam e A tfiscalyear-end,lhe B oard'sinvestm entbalancesw ere asfollow s Investm entt v/~: Category 1 C ategory 3 Carrying A m ount Fair V alue C ertificatesof deposit Total $ $ 100, ,000 $ 9,000,000 $ 9,000,000 $ 10,000,000 $ 10,000,000 $ 10,000,000 $ 10,000,000 "7. G EN ER A L FIX ED A SSET S C hangesin generalfixed assets follow s Balance at Beginning of Y ear A dditions D eletions Adjustm ents Balance at End of Year Land $ 1,168,485 Buildingsand im provem ents Furniture and equipm en! Construction in progress 28,740,760 9,320, Total $ $ 0 $ 640,731 1,143, ,584 $ 2,228,964 $ 997,301 $ $ RETIREM EN T SY ST EM S Substantially allem ployees of the B oard are m em bers of tw o statew ide retirem ent system s. In general, professionalemployees (such as teachers and principals) an d lunchroom workers are m embers ofthe Teachers'R etirem entsystem of Louisiana;other em ployees,such as custodialpersonneland bus drivers, are m em bers of the Louisiana SchoolEm ployees' R etirem ent System. These system s are cost-sharing, m ultiple-em ployer defined benefit pension plans adm inistered by separate boards of tru stees. Pertinent inform ation relative to each plan follow s: A.Teachers'Retirem entsystem of Louisiana (TRS) Plan D escription. The TR S consistsof thr ee m em bership plans: Regular Plan,Plan A,and Plan B. The TR S provides retirem entbenefits as w ellas disability and survivor benefits. Ten years of service credit is required to becom e vested for retirem ent benefits and five years to becom e vested for disability and survivor benefits. Benefits are established and am ended by state statute. The TRS issues a publicly available financial report that includes financial statem ents an d required supplem entary inform ation for the TR S. Thatreportm ay be obtained by w riting to the Teachers' R etirem entsystem of Louisiana,PostO ffice B ox 94123,B aton Rouge,Louisiana ,or by calling (225)

19 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O TE S T O FIN A N C IA L STA TE M EN T S Funding Policy. Plan m em bers are required to contribute 8.0%,9.1%,and 5.0% of their annual covered salary for the R egular Plan,Plan A,and Plan B,respectively. The schoolboard isrequired to contribute atan actuarially determ ined rate. The currentrate is 15.0%,16.5%,and 15.2% of annual covered payroll for the three m em bership plans,respectively.m em ber contributions an d em ployer contributions for the TRS are established by state law an d rates are established by the Public R etirem entsystem s'a ctuarialcom 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 deductionsfroln localad valorem taxes,and by rem ittancesfrom the schoolboard. The schoolboar d'scontributionsto the TRS for the yearsending June 30,2000,1999,an d 1998,w ere $2,483,283,$2,886,770,and $2,556,899,respectively,equalto the required contributions for each year. B.LouisianaSchoolEmployees'Retirem entsystem (LASERS) Plan D escription. The LA SER S provides retirem ent benefits as w ell as disability and survivor benefits. Ten years of service creditis required to becom e vested for retirem entbenefits and five years to becom e vested fordisability an d survivor benefits. Benefits are established an d am ended by state statute. The LA SER S issuesa publicly available finan cialreportthatincludesfinancialstatem entsand required supplem entary inform ation forthe LA SERS. Thatreportm ay be obtained by w riting to the Louisiana SchoolEm ployees'retirem ent System,PostO ffice Box 44516,B aton Rouge,Louisiana 70804,orby calling (225) Funding Policy. Plan m em bersare required to contribute 6.35% of theirannualcovered salary and the schoolboard is required to contribute at an actuarially determ ined rate. The currentrate is 0% of annual covered payroll. M em ber contributions and em ployer contributions for the LA SERS are established by state law an d rates ar e established by the Public R etirem ent System s' A ctuarial Com m ittee. The schoolboar d's em ployer contribution for the LA SERS is funded by the State of Louisiana through annualappropriations. The schoolboard'scontributionsto the LA SERS for the year sending June 30,2000,1999,and 1998 were $0,$96,646,and $87,347,respectively,equalto the required contributionsforeach year. 9. O TH ER PO ST EM PLO Y M EN T BE N EFIT S Louisiana Revised Statutes Title 42,Chapter 12 requires SchoolBoar ds to allow retiring em ployees,as defined by the rules and regulations of the Board of Trustees of the State Em ployees G roup B enefits Program,to continue carrying any group insurance coverage that the individual car ied as an em ployee. H ow ever,the B oard isnotrequired to pay for any partof such coverage. The Board voluntarily funds a portion of retireesgr oup health an d life insurance coverage undera m otion originally passed on A pril3,1980,w hich w as lastam ended on June 20,1996.]?his funding is financed m onthly on a pay-as-you-go basis.the Board contributesam ountsw hich vary m onthly depending upon the coverage and classification status for approxim ately 399 retirees an d dependents.the average m onthly paym entperretiree was$26.72 forthe m onth of June,2000.The State and the retiree pay the balan ce of the prem ium w hich var ies based on the am ountcoverage and classification status.g roup health and life 16

20 JE FFE R SO N I)A V IS PA R ISH SC H O O L B O A R D N O TES T O FIN A N CJA L STA TEM EN T S insurance coverages are purchased through the State Board hasno liability forclaim s.n o provision for the been m ade in the accom panying financialstatem ents. 10.C O M PEN SA TED A BSEN CE S Em ployees G roup Benefits Program,therefore the unfunded portion of the B oard's future liability has A tjune 30,2000,em ployees of the Board have accum ulated and vested $1,404,208 of em ployee leave benefits,which wascomputed in accordan cewith GASB Codification Section C60.Theentire$1,404,208 is recorded w ithin lhe generallong-term obligations accountgroup since substantially allam ounts are not expected to be paid w ith available expendable resources. 11.C A PIT A L LE A SE S The Board records item s undercapitalleases as an assetand an obligation in the accom panying financial statem ents.the follow ing is an an alysis of assets leasexlundercapitalleasesas of June 30,2000: Type Equipm ent-com puterlab Stations Recorded A m ount 255,090 The follow ing is a schedule of future m inim um lease paym ents under capital leases,together w ith the presentvalue of the netm inim um lease paym ents,asof June 30,2000: X earendiag_j_oal~3~k G enerallong- Term D ebt 2001 Totalm inim um lease paym ents Less - am ountsrepresenting interesl Presentvalue of netm inim um lease paym ents $ C apitalleases are recorded as expenditures an d otherfinancing sources atinception in governm entalfunds at an am ountequalto the presentvalue of the m inim um lease paym ents.the assets is recorded in the G eneralfixed A sseta ccountg roup and the related debtin the G enerallong-t enn D ebta ccountg roup. 12.C H AN G ES IN A G EN CY FU N D D EPO SITS D U E O TH ER S A sum m ary of chan gesin agency fund depositsdue otherfollow s A gency funds: Schoolactivity accounts $ Sales& use tax fim d Balance at Beginning of Y ear 565, Prior Period Adjustm ent Additions Reductions $ 0 $ 944,264 $ 944,264 $ 2,107,094 $ 10,427,613 12,534,707 $ Balance at End of Y ear 2,039,044 $ 633,471 10,368,802 1,003,075 12,407,846 $ 1,636,546 17

21 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S 13.C H A N G ES IN G EN ER A L LO N G -TER M O BLIG A TIO N S The follow ing i,;a sum m ary of changesin long-term obligations Beginning of Y ear Prior Period Adjustment Additions Reductions Balance at End of Year Accrued com pensated absences Capitalleases G eneralobligation bonds Total $ 1, $ 0 $ 0 $ 141, $ 2,839,000 4,391,222 $ (275,000) (275,000) $ 1,500,000 1,500,000 $ 6,897 $ 83, , ,109 $ 1,404,208 57, A llboard bondsoutstanding atjune 30,2000,are generalobligation bonds.the follow ing table lists the pertinentinform ation on each outstanding issue: D ate of Issuan~ M aturity Interest Kate % Original Am ountof Interestto Principal Funding M aturity D_ptstandJlg Source 03/25/93 10/01/98 09/01/ /00 03/01/06 02/01/10 03/01/05 03/01/ ,285, , ,000 1,500, ,400 $ 1,475,000 Ad Valorem 76, ,000 A d Valorem 91, ,000 A d Valorem 1,078,065 1,500,000 Ad Valorem $ 3,692,000 A t June 30, 2000, $598,211 is available in the debt service funds for future debt requirem ents.the requirem entsto anaortize outstanding bondspayable are asfollow s: yearen d ib.g_lun_e_,30. Principal Interest Total $ 316, , , , , ,00O 425, ,000 $ 3,692,000 $ $ 194,448 $ 191, , , , , , ,635 1,544,074 $ 510, , , , ,720 1,130, , ,635 5,236,074 In accordancewith R.S.39:562 (L),the Board islegally restricted from incurring long-term bonded debtin excess of 50% of the assessed value of taxable property. A t June 30, 2000, the statutory lim it is $33,880,330,and outstan ding bonded debttotals$3,692,

22 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M E N T S 14.IN T E R FU N D A SSE T S /LIA BIL IT IE S D ue from /to otherfunds Rec ei_v_ahl~_eun_d P._oy_a.ble Fund Am ount G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral G eneral D ebtservice-schnoll)isltiet#8 SchoolLunch $ 2,150 Consolidated SchoolD istrict#1 SchoolD istrict#1 SchoolD istrict#2 SchoolD istrict#3 SchoolD istrict#5 SchoolD istrict#8 SchoolD istrict#22 ID EA -Preschool O therspecialeducation O therfederalfunds , ,422 ID EA 128,632 Title I 118,398 M igrant Title IV Title ICarryover Title II Title IV Drug Free Sales "Fax A gency CapitalProjects-SchoolDistrict#8 22,733 23,714 4, , ,824 3,022 $ 887,388 Interfund receivable/payables Receiw lble _ Eund ]~vablefund. Am ount G eneral G eneral G eneral G eneral SchoolLunch SchoolD istrict#1 SchoolD istrict#3 SchoolD istrict#8 $ 12,t28 25,650 8,000 48,000 93, R E SER V E S A N D D E SIG N A TIO N S O F FU N D BA LA N C E

23 JE FFE R SO N D A V IS PA R ISH SC H O O L B O A R D N O TE S TO FIN A N C IA L STA TE M EN T S ~ v~d fqn Inventory Prepaid item s Insurance contingencies D ebtservice Capitalprojectcomm itments G eneral Special R evenue D ebt Service 79,075 $ $ 1,032,959 $ 79,075 $ 601,040 $ Capital Projects ,290,931 1,290,931 Desigt~ted_fg.Z: Busreplacem ent 842,591 $ 842,591 $ 0 0 $ 0 0 $ R ISK M A N A G EM EN T The B oard isexposed to variousrisks of loss related to torts;theftof,dam age to,and destruction of assets erorsand omissions;injuriesto employees;and naturaldisasters. The Board continuesto be self insured forallw orkers com pensation claim sthatarose priorto July 1,1998, for the period during which the Board w as self insured for claim s up to $35,000.Claim s for w orkers com pensation ar e handled through a contracted claim s agentw hich handles the claim s adm inistration for the Board.Settled claim s are reported as an expense in the G eneral Fund.There w ere no settlem ents recorded in the financialstatem ents forthe currentfiscalyear.in addition,no provision hasbeen m ade for claim s thathaw ~occured prior to m oving coverage in this area to a com m ercialcarier.the Board has reserv ed $1,000,000 of the G eneralfund balance to coverpotentialw orkerscom pensation insurance losses in excess of contracted coverages w hile self insured.subsequent to July 1, 1998,the Board obtained coverage forw orkers com pensation through a com m ercialinsurance com pany. O ther risks of loss arc:m anaged through com m ercial insurance coverage.settled claim s resulting from these riskscovered by conlm ercialinsurance have notexceeded coverage in the pastthree fiscalyears. 17.O N -BEH A LF PA Y M EN TS FO R FRI N G E B EN EFIT S A N D SA L A R IE S Retirem entplan paym entsin the am ountof $86,652 w ere m ade by the Sheriff,acling in hiscapacity asex- O fficio Tax Collector,to the Teacher'sRetirem entsystem of the State of Louisiana on behalf of the Board. These rem ittancesrepresenta portion of the ad valorem taxesan d state revenue sharing collectionsw hich are statutorily setaside forpaym entto the Teacher'sR etirem entsystem on behalf of the B oar d.these onbehalf paym entshave been recorded in the accom pan ying financialstatem ents,in accordance w ith GA SB Statement24,Accounting and FinancialReporting forcertain Grantsand OtherFinancialAssistanceas revenuesand expendituresin the G eneralfund. 18.C O N TIN G E N C IE S TheBoard participatesin a numberoffederalfinancialassistance Programs.Theseprogramsaresubject to further financial an d com pliance audits by the grantor agencies.the am ount,if any,of expenditures 20

24 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L STA T E M E N T S w hich m ay be disallow ed by the granting agencies cam lot be determ ined at this tim e.b ased on prior experience,the B oard feelssuch am ounts,if any,to be im m aterialto the financialstatem ents. The Board isthe:defendantin a num berof law suits.legalcounselhasdeterm ined thatpotentialliability to the Board cannotbe determ ined or is covered by com m ercialinsurance as of the issuance date of these financial statem ents.a ccordingly,no provision for losses,exceeding available insurance coverage,has been recorded in the accom panying financialstatem ents. 19.C O M M ITM EN T S A sof June 30,2000,the B oard had the follow ing rem aining construction in progresscom m itm ents ProjectLocation Project A uthorization Expended thru June 30,2000 R em aining Com m itm ent D istrict 8 renovation to Laeassine $ 1,173,841 $ 201,955 $ 971,886 H igh School 20.SUBSEQUFNT EVENTS Subsequentto June 30,2000,the Board issued $4,500,000 in GeneralObligation bondsforconstruction and renovation projectsto variousschoolslocated in thew elsh-roanoke Consolidated SchoolDistrictNo. One(1).Theinterestrateson thebondsrangefrom 5.50 to 6.50 percentand mature beginning M arch 1, 2002,through M arch 1, PR IO R PER IO D A D JU STM EN T S In the Com bined Statem ent of Revenues,Expenditures,and Changes in Fund Balances,a prior period adjustmentwas made to the GeneralFund beginning fund balan ce to correctthe sales tax revenue recognition policy used by the Board.Prior policy used by the Board w as to recognize only sales tax revenue thathad been collected an d held by the Sales Tax A gency Fund as of fiscalyear end.c urrent governm entalaccounting standards require thattaxpayer-assessed tax revenue accru als also include sales taxes collected by m erchantsbutnotyetrequired to be rem itted to the taxing anthority atthe end of the fiscalyear,assuming they meetthemodified accrualbasiscriteriaof GASB Statement22,Accounting for Taxpayer-Assessed Tax Revenues in Governm entalfunds.im plem entation of this correction in revenue recognition forsalestax revenuescaused begin ing fund balance to increase $482,675 in the accom panying financialstatem ents. In the Com bined Statem ent of Revenues,Expenditures,an d Changes in Fund B alances,a prior period adjustmentwasmadeto the DebtServiceFund begin ing fund balance to correctthereporting ofpayments made to an escrow agentfor the advance refunding of the SchoolDistrictNumberThr ee (3) General Obligation Bonds, Series 1990, dated Febru ary 1, Pursuant to G A SB Statem ent 7, Advance RefundingsResulting in Defeasance of Debtpaymentsmadeto an escrow agentfrom resourcesprovided by the new debtshould be reported asan "otherfinan cing use-paym entto refunded bond escrow agent".the Statem entalso requiresthatpaym entsto the escrow agentm ade from otherresourcesof the Board should be reported as debt service expenditures. In the prior year financial statem ents these paym ents w ere 21

25 JEFFER SO N D A V IS PA R ISH SC H O O L B O A R D N O T E S T O FIN A N C IA L ST A T E M EN T S incorrectly reported asan asseton the D ebtservice Fund balance sheet.in orderto correctthisaccounting erorthe D ebtservice Fund beginning fund balan ce w asdecreased $287,438 in the accom panying financial statem ents.in addition,the beginning balan ce in the Changes in G enerallong-term Obligationsdisclosed in footn ote 13 w as decreased $275,000 since pursuantto GA SB Statem ent7 this debtw as considered defeased in substance atthe tim e in w hich the refu nding fundsw ere placed w ith the escrow agent.underan in-substance defeasan ce, the governm ent legally rem ains the prim ary obligor for the debt, but for all practicalpurposes,the govern m entisonly contingently liable forthe debt.a s a result,pursuantto G A SB Statem ent7 this debtshould have been rem oved from the outstanding G enerallong-term D ebta ccount G roup in the prioryearfinancialstatem ents. In the prioryearfinan cialstatem entthe assetsand liabilitiesof the SalesTax A gency Fund w ere incorrectly reported in the G eneralfund.pursuan tto the N ationalcouncilon G overnm entala ccounting Statem ent1, Governm entalaccounting and FinancialReporting Principles various typesof legalprovisions,such asa localgovernm entordinance,require establishm entof fu nds.the Board has a sale tax ordinance w hich establishes a separate fu nd designated as "Sales Tax Fund" pursuan t to Section U nder governm entalaccounting standards this fund should be reported as an A gency Fund.In order to correctthe fund prospective presentation in the accom panying financial statem ents,the begirm ing balance in the Changesin A gency Fund D epositsd ue O thersdisclosed in footnote 12 w asincreased $944, PA SS-T H R O U G II G R A N T S The Board serves as sponsor for various local govern m ental agencies w ithin the Southw est Louisiana region thatparticipate in federal aw ar ds funds in the am ount of $71,325 received through a M igrant Education Grant.In accordan ce w ith G A SB Statem ent24,a ccounting and Finan cialreporting forcertain Grants and O therfinan ciala ssistance,these am ounts have been recorded in the accom panying financial statem entsasfederalsource revenuesan d intergovem m entalexpenditures.

26 SU PPLEM E N TAL IN FO R M A TIO N SC H ED U L E

27

28 ~ z -7 a~ o

29

30

31 ~m ~ o

32 JEFFER SO N [)A V IS PA R ISH SC H O O L B O A R D DEBT SERVICE FUNDS Schedule B-2 C om bining Statem entofr evenues,expenditures,and Changes in Fund Balances Forthe YearEnded June 30,2000 REVENUES Localsources: Ad valorem taxes Interestearnings TotalRevenues Consolidated No.1 67,714 $ 6,235 93,949 SchoolDistdet 275,048 $ ,388 No.3 39,152 $ 1,434 40,586 No.8 106,919 $ 6, ,807 Totals (Memorandum Only) 508,833 33, ,730 EXPENDITURES Current: Supportservices: Generaladm inistration Debtservice: Principalretirem ent Interestand fiscalcharges Tota lexper,ditures 12,292 75,000 3,563 90,855 8, ,000 89, ,325 2,596 21, ,860 3,211 75, , , EXCESS (Deficiency)OF REVENUES OVER EXPENDITURES 3,094 (4,937) ,579 OTHER FINANCING SOURCES (USES): Operating transfers in O perating transfers out Totalotherfinancing souroeis(uses) EXCESS (Deficiency)OF REVENUES AND OTHER SO URCES OVER EXPENDITURES AND OTHER USES 3,094 (4,937) 2,726 2,579 FUND BALANCES BE!G INNING O F YEAR, AS PREVIO USLY REPO RTED 81, , , , ,899 PdorPeriod.~,djustment (287,438 (287,438) FUND BALA NCES BEGINNING O F YEAR, AS RESTATED 81, , , ,461 FUND SALANCES END OF YEAR $ 84,665 $ 358,010 $ 31,112 $ 127,233 $ 601,040

33 JEFFERSO N DAVIS PA RISH SCHO OL BOA RD CA PITA L PRO JECTS FUNDS Com bining Balance Sheet,June 30,2000 Schedule C-1 ASSETS A ND OI"HER DEBITS A ssets: Cash and cash equivalents No.1 SchoolD istrict No.8 Totals (Memorandum Only) $ 90,623 $ 1,443,488 $ 1,534,111 TOTAL ASSETS AND OTHER DEBITS $ 90,623 $ 1,443,488 $ 1,534,111 LIABILITIES,EEQ UITY,A ND OTHER CREDITS Liabilities: Accounts payable Contracts payable Due to otherfunds Deposits due others TotalLiabilities $ 19,646 $ 130, , ,512 3, Equity and O therc redits: Fund balances: Reserved TotalEquity end O thercredits 623 1,290,308 1,290, ,290,308 1,290,931 TOTAL LIABILITIES,I-Q UITY,AND OTHER CRFDITS $ 90,623 $ 1,443,488 $ 1,534,111

34 JEFFERSO N DAVIS PA RISH SCHO O L BO A RD Schedule C-2 CAPITA L PR O JEIC'I"S FU NDS Com bining Statem entofrevenues,expenditures,and Changes in Fund Balances Forthe Year Ended June 30,2000 REVEN UES Localsources: Interestearnings TotatRevenues EXPENDITURES Current: Facilities acquisition and construction Debtservice: Interest,fiscalcharges,and issue costs Totalexpenditures SchoolD istrict Consolidated No.1 No.8 Totals (Memorandum Only) 639 $ 14,075 $ , ,971 22,297 22, , ,268 EXCESS (Deficiency)OF:REVENUES OVER EXP EN[')ITURES 623 (210,177) (209,554) OTHER FINANCING SOURCES (USES): Proceeds from sale ofgeneralobligation bonds Totalotherfinancing sources(uses) ,500, EXCESS (Deficiency)OF:REVENUES AND O THER SO URC ES O VER EXPEND ITURES AND O TH ER USES 623 1,290,308 1,290,931 FUND BALANCE-S BEG INNING O F YEAR FUND BALANCES END O F YEAR $ 623 $ 1,290,308 $ 1,290,931

35 JEFFERSO N [)AV IS PA RISH SC HO O L BOA RD A G ENCY FUNDS Com bining Balance Sheet,June 30,2000 Schedule D-1 ASSETS AND O THER DEBITS Assets: Cash and cash equivalents School Sales & Use Tax Totals (Memorandum Only) 633,471 $ 1,003,075 $ 1, TOTAl.ASS ETS AND OTHER DEBITS $ 633,471 $ 1,003,075 $ 1, LIA BILITIES Due to othergovernm ents Due to otherfunds Deposits due others TotalLiabilities , , , , , , TO TA l.lia BILITIES $ 633,471 $ 1,003,075 $ 1,636,546

36 JEFFERSO N }AV IS PA RISH SC HO O L BO A RD AG ENCY FUND -SCHO O L A CTIVITY FUNDS Schedule ofchanges in Deposits Due O thers Forthe YearEnded June 30,2000 Schedule D-2 School Balance July 1,1999 Additions Reductions Balance June Elton Elem enlary EIton High Fenton High Hathaway High Jennings High Jennings Northside JuniorHigh Jennings W ard Elem entary Jennings W estend Elem entary Lacassine High Lake ArthurElem entary Lake ArthurHigh W elsh Elem entary W elsh High W elsh-roanoke JuniorHigh 26,711 $ 46,914 19,395 74,130 99,174 35,546 30,913 17,867 43,553 32,659 46,080 24,952 48,943 18,584 73,687 $ 235,350 43, , ,628 94,376 58,125 39, , , ,360 92, , ,916 $ 225,825 43, , ,530 91,012 61,893 35, ,674 83, ,782 85, , ,482 56,439 19,358 86, ,272 38,910 27,145 21,388 27,530 52,420 44,658 31,429 53, Total $ 565,421 $ 2,107,094 $ 2,039,044 $ 633,471

37 JEFFERSO N DAVIS PARtSH SCHO O L BO ARD AG ENCY FUND -SA LES A ND USE TAX FUND Schedule ofchanges in Deposits Due O thers Forthe YearEnded June 30,2000 Schedule D-3 Protested Account Regular Account Total Fund DepositBalances atbeginning ofyear as Previously Reported Priorperiod adjustment-correction ofpreviously audited balance $ $ 121, , DepositBalances atbeginning ofyear as Restated Additions: Sales tax co lections,netoffees and refunds Less settlem ents to regularaccount Deducted from co lections: Co lection fees charged to m unicipalities Refunds Interestearnings 21,852 (22,836) ,266, ,863 19, ,288,338 90,863 19, TotalAdditions , ,427,613 Reductions: Distributions to taxing bodies: Jeferson Davis Parish SchoolBoard City ofjennings Tow n oflake Arthur Tow n ofw elsh Tow n ofelton Vilage offenton TouristCom m ission Refunds 6,073,909 3,181, , , ,800 21,820 45, ,073,909 3,181, , , ,800 21,820 45, TotalReductions DepositBalances atend ofyear $ 127,319 $ 875,756 $ 1,003,075

38 JEFFERSO N DAVIS PA R ISH SCHO O L BO A RD Schedule ofcom pensation and OtherExpenses Paid to SchoolBoard M em bers Forthe YearEnded June 30,2000 Schedule E-I Board M em ber Election District SchoolDistrict Represented PerDiem Expenses Tota Vincent,G arland Bertrand,Darryl G ilbeaux,harry O.,Jr D eshotel,john J. M enard,robert Deshotel,M ary Richert,Joel Capdevile,David Segure,Jam es E. Heinen,M ichaelj. Bertrand,Lorraine M cnabb,richard Hayes,Ronnie Cam pbe l,thom as G. M ccarty,philip Fruge,Larry 4,200 $ 5,400 4,200 1,050 1,050 2,450 4,200 4,200 4,200 4,200 4,200 4,200 4,200 3,500 35O o $ ,200 5,587 4,200 1,050 1,050 2,450 4,200 4,200 4,200 4,200 4,358 4,381 4,212 3, $ 55,800 $ 538 $ 56,338 The above schedule ofcom pensation and reim bursed travelexpenses paid to schoolboard m em bers is presented in com pliance w ith House ConcurrentResolution No.54 ofthe 1979 Session ofthe Louisiana Legislature. The com pensation and reim bursed expenses ofschool board m ernbers is included in the generaladm inistrative expenditures ofthe G eneralfund. In accordance w ith Louisiana Revised Statute 17:56,the schoolboard m em bers have elected the m onthly paym entm ethod ofcom pensation. Underthis m ethod,each m em berofthe school board receives $350 permonth,and the presidentreceives $450 permonth forperforming the duties ofhis office.

39 O TltER R EPO R TS

40 JEFFERSO N DAVIS PA RISH SCHO O L BOA RD SCHEDULE O F E!XPE'.NDITURES O F FEDERAL AW A RDS Forthe YearEnded June 30,2000 FederalG rantor/pass-through G rantor/program orclustertitle Federal CFDA Num ber Pass-through Entity Identifying Num ber Federal Expenditures U.S.Departm entofa griculture : Passed through Louisiana Departm entofeducation: Child NutritionalC luster NationalSchoolLunch Program SchoolBreakfastProgram TotalChild NutritionalCluster Passed thro ugh Louisiana Departm entofagriculture and Forestry: USDA Com m odities TotalU,S.Departm entofagriculture 10,555 10,553 Unavailable Unavailable Unavailable 1,127, ,467, , U.S.Departm entofeducation : Passed thro ugh Louisiana Departm entofeducation: AdultEducation -State G rantpro gram SpecialEducation-Grants forinfants and Fam ilies with Disabilities Title I-G rants to LocalEducationalAgencies M igranteducation-basic State Gra ntpro gra m SpecialEducation-G rants to States VocationalEducation -Basic Grants to States Safe and Drug Free Schools and Com m unities -State Grants EisenhowerPro fessionaldevelopm entstate G rants Innovative Education Program Strategies SpecialEducation -PreschoolGrants Class Size Reduction Technology Literacy Cha lenge Fund G rants G oals 2000-State and LocalEducation System ic Im provem ent G rants TotalU.S.Departm entofeducation , ,027 84, , H3-27-S 2800TI M 1-27-M 00-1B-27-S 5B27/ V V I 00-1P-27-S V I 00-Tt.CF-27-F 50,038 5,727 1,580, , , ,352 36,165 43,635 38,332 56, , , PD27L 55,499 2,897,176 U.S.Departm entofhealth and Hum an Services : Passed thro ugh Louisiana Departm entofhealth and Hospitals: MedicalAssistance Program [Medicaid;Title XIX] Unavailable 20,118 TotalU.S.Departm entofhealth and Hum an Services TotalExpenditures offederalawards See accom panying notes to schedule ofexpenditures offederalawards 37

41 JE FFER SO N D A V IS PA R ISH SC H O O L B O A R D N O TES TO SC H ED U IJE O F EX PEN D IT UR ES O F FED ER A L A W A R D S 1. BA SIS O F PR ESEN TA TIO N The accom panying schedule of expenditures of federalaw ards includes the federalgrantactivity of the 3efferson D avisparish SchoolBoard and is presented on the m odified accrualbasisof accounting, the sam e basisasthe accom panying financialstatem entsare presented.the inform ation in thisschedule ispresented in accordancewith lherequirementsof OM B CircularA-133,Auditsof States,LocalGovernments,and Non-ProfitOrganizations.A linform ation ispresented forthe fiscalyearending June30,2000.Since someofthegrantscoverfifteen (15)m onth periods,theamountscontained in theaccompanying schedule of expendituresof federalaw ardsm ay differfrom the financialstatusreportsfiled w ith the grantoragency. 2. N O N C A SllFEI)E R A I.A SSIST A N C E -FO O D C O M M O D IT IES N oncash assistance,received from the U.S.D epartm entof A griculture,in the form of food com m odities are reported in the accom panying schedule of expenditures of federal aw ards at fair m arket value of $138, SUBRE CIPIEN TS The Jefferson D avisparish SchoolBoard,acting asregionalsponsorforarea schoolboardsand com m unity action agencies,provided federalaw ar dsto subreeipientsasfollow s: Program Title M igranteducation --Basic State GrantProgram Total FederalCFD A N um ber A m ount Provided 71,325 71,325 38

42 JEFFER SO N D A V IS PA RISH SC H O O L BO A RD SIJM M A R Y SC H ED U LE O F PRI O R Y E A R A U D IT FIN D IN G S For the Y ear E nded June 30,2000 SEC TIO N l- INT ERN A L C O N TR O L A N D C O M PLIA N C E M A TERI A L T O TH E FIN A N A C'IA I,ST A T EM EN T S N o findingsreported SEC T IO N II- IN T E R N A L C O N TR O L A N D C O M PLIA N C E M A T E R IA L T O FE D ER A L A W A R D S N o findingsreported SEC T IO N Ill--M A N A G EM EN T L ETT E R N o findings reported 39

43 IN D EPEN DEN T A U D ITO R 'S RE PO R T O N CO M PLIA N C E A N D O N IN TERN A L C O N TR O L O VER FIN A N CIAL R E PO R TIN G BA SED O N A N A U D IT O F FIN A N C IA L STA TEM ETN S PER FO RM ED IN A C C O RD A N CE W ITH G O VE RN M EN T A U D ITIN G STA N D A RD S. To the M em bers of the Jefferson D avis Parish SchoolBoard Jennings,Louisiana Ihave audited the generalpurpose financialstatem ents of the Jefferson D avis Parish SchoolBoard as of and forthe year ended June 30,2000,and have issued m y reportthereon dated D ecem ber8,2000.i conducted m y audit in accordance w ith generally accepted auditing standards and the standards applicable Io financialauditscontained in Governm enta uditing Standards,issued by the Com ptroller G eneralof the U nited States. C om pliance A s part of obtaining reasonable assurance aboutw hether the Jefferson D avis Parish SchoolBoard's general purpose fnancial statem ents are free of m aterial m isstatem ent, I perform ed tests of its com pliance w ith certain provisions of law s,regulations,contracts and grants,noncom pliance w ith w hich could have a direct an d m aterialeffect on the determ ination of financial statem ent am ounts. However,providing an opinion on complian cewith those provisionswasnotan objective of my audit and,accordingly,ido notexpress such an opinion.the results of m y tests disclosed one instance of noncom pliance that is required to be reported under Governm ent A uditing Standards w hich is described irtthe accom panying schedule of findingsand questioned costsasitem InternalC ontrolo ver FinancialR eporting In planning and perform ing m y audit,iconsidered the Jefferson D avisparish SchoolB oard's intern al control over financial reporting in order to determ ine m y auditing procedures for the purp ose of expressing m y opinion on the generalpurpose finan cialstatem ents and notto provide assurance on the intern al control over financial reporting. H ow ever, I noted certain m atters involving the intern al controloverfinan cialreporting and itsoperation thaticonsider to be reportable conditions.reportable conditions involve m atters com ing to m y attention relating to significantdeficiencies in the design or operation oftheinternalcontroloverfinancialreporting that,in my judgement,could adversely affect the Jefferson D avis Parish SchoolB oard's ability to record,process,sum m arize an d report financial data consistent w ith the assertions of m anagem ent in the general purpose financial statem ents. Reportable conditionsar e described in the accom pan ying schedule of findings and questioned costsas item s , ,2000-3,2000-4,and A m aterialw eakness is a condition in w hich the design or operation of one or m ore of the intem al controlcom ponents does notreduce to a relatively low levelthe risk thatm isstatem ents in am ounts thatw ould he m aterialin relation to the generalpurp ose financialstatem entsbeing audited m ay occur and notbe detected w ithin a tim ely period by em ployees in the norm alcourse of perform ing their assigned functions. M y consideration of the intern al control over financial reporting w ould not necessarily disclose all m atters in the internal control that m ight be reportable conditions and, accordingly,w ould notnecessarily disclose allreportable conditions that are also considered to be