BIEN VILLE PA RISH POLICE JURY A rcadia.louisiana

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2 BIEN VILLE PA RISH POLICE JURY A rcadia.louisiana Prim ary G overnm entfinancialstatem ents W ith IndependentA uditor's R eport A sofand forthe Y earended D ecem ber31,1998 W ith Supplem entalinform ation Schedules C O N T E N T S Statem ent I2~ge N o. ludependeuta uditor'sr eport 3 Prim ary G overnm entfinancialslatcm ents: C om bined Balance SheetA llfund Typesand A ccountg roups A G overnm entalfund Type C om bined Statem entof R evenues,expenditures and C hanges in Fund Balances C om bined Statem entof R evenues,expenditures and C hanges in Fund B alances Budget (GAAP Basis)and ActualGeneralanD SpecialRevenue Funds N otes to the FinancialStatem ents C 9 11 SnpplelncntalInform ation Schedules: SpecialRevenue Funds C om bining B alance Sheet C olnbining Schedule of R evenues,expenditures and C hanges in Fund Balances 29

3 BIEN V1LLE PA RIS]t PO LICE JU RY A rcadia,louisiana Contents,D ecem ber31,1998 C O N T E N T S (CONTD.) Schedule Page N o. SupplenlentalInform ation Schedules(Contd.) Schedule of C om pensation Paid Police Jurors IndependentA uditor's R eports R equired by G overnm ent Auditing Standards;OM B CircularA133,Auditsof States,LocalGovernments,and NonProfitOrganizations; aud the SingleAuditActAmendmentsof 1996: IndependentA uditor's R eporton C om pliance and Internal C ontrolo ver FinancialReporting Reporton Com pliance W ith Requirem entsa pplicable to Each M ajorprogram and InternalControlOverCompliance Schedule offindingsand Questioned Costs Schedule of Expenditures of FederalA w ards Sum m ary Schedule of PriorA uditfindings

4 C ERTIFIED public Acco UNTANT IndependentA uditor'sr eport ~ EM BER A M ERICA N NSTITUTE O F C ERTIFIED P U BLIC A CC O U NTA NTS 5 ~ RETY O F LO U ISIA NA C ERTIFIEO P U BLIC A CCO U N~rA N~S P RAC~IC ~ L I~ IIEO ~o G O V ER N M E NT A L A CCO UNTIN G.A U DITING A N D F INA NC IA L R Epo RTING BII~N VII~LE PA RISH POLICE JU RY A rcadia,louisiana I have audited the prim ary governm entfinancialstatem ents of the Bienville Parish Police Jury,asof D ecem ber 31,1998,and for the yearthen ended,as listed in the table of contents.these prim ary governm entfinancialstatem entsare the responsibility of the Bienville Parish Police Jury'sm anagem ent. M y responsibility isto expressan opinion on these prim ary governm entfinancialstatem ents based on m y audit. Iconducted m y auditin accordance w ith generally accepted auditing standardsand tile Governm entauditing Standards,issued by the Com ptroller Generalof the U nited States. Those standardsrequire thatiplan and perform the auditto obtain reasonable assurance about whether the prim ary governm ent financial statem ents are free of m aterial m isstatem ent. A n audit includes exam ining, on a lesl basis, evidence supporting the am ountsand disclosuresin the prim ary governm entfinancialstatem ents. A n audit also includes assessing the accounting principles used and significant estim atesm ade by m anagem ent,as w ellasevaluating the overallfinancialstatem ent presentation. Ibelieve thatm y auditprovidesa reasonable basis form y opinion. 6 PROFESSIONA L D RIVE, W EST M ON ROE, LOUISIA NA PHON E , TO LL F REE LO U ISIA N A 1.800, FA X A prim ary governm ent is a legal entity or body politic and includes all funds, organizations, institutions, agencies,departm ents, and offices that are not legally separate. Such legally separate entities are referred to as com ponentunits. In m y opinion,the prim ary governm ent financial statem ents presentfairly, in allm aterial respects,the financialposition of the prim ary governm entof Bienvillc Parish Police Jury,as of D ecem ber 31, 1998,and the results of its operations for the year then ended,in conformity w ith generally accepted accounting principles. 3

5 I~IEN V ILLE PA RIStt PO LIC E JU R Y A rcadia,louisiana IndependentA uditor's R eport, D ecem ber31,1998 H ow ever,the prim ary governm entfinancialstatem ents,because tbey do notinclude the financialdata of com ponentunits of the Bienville Parish Police Jury,do notpurportto,and do not,presentfairly the financialposition of the Bienville Parish Police Jury atd ecem ber31,1998,and resultsof itsoperations for the year then ended in conform ity w ith generally accepted accounting principles. M y auditw asm ade forthe purpose of form ing an opinion on the prim ary governm entfinancialstatem ents taken asa w hole. The supplem entalinform ation scheduleslisted in the table of contents,including the schedule of expenditures of federal aw ards as required by U.S. O ffice of M anagem ent and Budget CircularA133,Audits"of States,LocalGovernments,and NonProfitOrganizations,ispresented forthe purpose of additionalanalysisand are nota required partof the prim ary governm entfinancialstatem ents ofthebicnville Parish Police Jury. Such information hasbeen subjected to the auditing procedures applied in the auditof the prim ary governm entfinancialstatem entsand,in m y opinion,is fairly presented in allm aterialrespects in relation to the prim ary governm entfinancialstatem ents taken as a w hole. In accordance w ith Governm entauditing Standards',Ihave also issued reportsdated January 28,1999, on m y consideration of the Bienville Parish Police Jury'sinternalcontroloverfinancialreporting and m y tests of its com pliance w ith certain provisions of law s,regulations,contracts,and grants. W estm onroe,louisiana January 28,1999 4

6 PR IM A R Y G O V ERN M EN T FINA N C IAL STA TEM EN TS (OVERVIEW )

7 BIENVILLE PARISH POLICE JURY Arcadia,Louisiana A LL FU N D TY PES A N D A CCO U N T G RO U PS Stalem enla Com bined Balance Sheet,December31,1998 A SSETS A N D O TIIER D EBITS Cash and cash equivalents Receivables D ue flom otheragencies Prepaid charges Land,buildings,and eqttipm ent Am omu to be provided forretirem ent ofgenerallongterm obligations..governm ENTAL FUND TYPE.. SPECIAL CAPITAL GENERAL REVENUE PROJECTS FtJNI) FUNDS FUND $1,522,326 $2,289,790 $56 1,051,857 1,292,708 29, ACCO UNT GROU PS.. GENERAl. GENERAl. TOTAL FIXED LONG TERM (M t,;morandum ASSETS OBIJGATIONS ONLYI $9,889,403 $3,812,172 2,373, ,232 9,889, TO TA L A SSETS A N D O TH ER D EBITS _$2,574,472 $31584~730 $29, ,403 $145,198 $ ,1AI~IIJTII:S AND FUND EQUITY l,iabililies: A ccountspayable D ue to otheragencies D eferred revenue Compensated absencespayable Lease purchase payable TotalLiabilities Fund Equity: Investnlenlin generalfixed assets Fund balances Um eservexlut~dcsignated TotalFund Equity $357,652 $121,303 $29,114 38, ,178, ,371, , N O N E 9,889, $41, N O N E $508,069 38,222 92,045 41, ,439 TOTA L LIABILITIES AND FUND EQUITY $2, $3,584,730 $29,170 $9,889,403 $145,198 $16,222,973 The accom panying notesarc an integralpartof thisstatem en 6

8 BIEN VILLE PA RISH POLICE JURY A rcadia,louisiana G OV ERN M EN TA L FU N D TYPE Statem entb C om bined Statem entof R evenues,expenditures and Changes in Fund B alances Forthe Y earended D ecem ber31,1998 R EVEN UES Taxes: A d valorem Sales and use O ther taxes,penalties,and interest Licensesand perm its lntergovernnlenialrevenues: Federalfunds federalgrants State funds: Parish transportation funds State revenue sharing (net) Severance taxes Econom ic developm ent R uraldevelopm enl O ther Fees,charges,and com m issions for services Fines and forfeitures U se of m oney and property O ther revenues Totalreve lues GEN ERAL FUND $534,134 15, SPECIAL REVENUE FUNI)S $1,178,702 1,584,759 CAPITA l. PROJECTS FUN D TOTA l. (M ILM ORANIYUM ONLY) $1,712,836 1,584,759 15,096 42, , ,540 $192, ,424 20, ,597 2,143,545 58,791 46,775 4, , , ,804 80, , , ,411 _ 19, , , ,933 1,070, , , E X PEN I)IT U R I~S Current: G eneralgovernm ent: Legislalive Judicial Elections Finance and adm inistrative O lher generalgovern m ent Public safely Public w orks liealth and w elfare 204,772 50,561 31, , , , ,598 25,435 64,487 37,565 3,032, , ,772 75,996 31, , , ,310 3,032, ,324 (Continued)

9 BIEN VILLE PA RISttPO LICE JURY A rcadia,louisiana G O V ERN M EN TA L FU N D TYPE C om bined Statem entof R evenues,expenditures and Changesin Fund Balances,1998 Statem entb EXPENDITURES (Contd,): Current(Contd.): Culture and recreation F.conom ic developm entand assistance D ebtservice C apitaloutlay Totalexpenditures GENERAl, FU N I) SPECIAL REVENUE FUN I)S $75,675 $621,095 2,162, CAPITAL PROJECTS FUN D 83,728 1,380,893 $192, TO TAL (M F,M ORANI)UM oni,y) $696,770 2,162,769 83,728 1, EXCESS (Deficiency)OF REVENUES O V ER EX I'EN D 1TU RES N O N E (305,086) OTItER FINANCING SOURCES (Uses) Sale of fixed assets O perating Wansfers in increase in capitalleases O perating transfers out Totalotherfinancing sources(uses) (370,000) (365,231) 8,036 1,322, ,072 (952,513) N ON E 12,805 1,322, ,072 (1,322,513) EX CESS O F R EV EN UES A N D O TItER SO U R CES O V ER EX I'EN D ITU RES AND OTHER USES 139,038 (329,247) NONE (190,209) FUN D BA LA N CES A T BEG INN IN G O F YEA R 2,039,560 3,700,629 N O N E FUNI)BALANCES AT END OF YEAR $2,178,598. $3,371,382 N O N E (Concluded) The accom panying notes are an integralpartof this statem ent. 8

10 B1ENVILLE PARISH POLICE JURY Arcadia,Louisiana G O V ERN M ENTA L FU N D TYPE GENERAL AND SPECIAL REVENUE FUNDS Statem entc Com bined Statem entofrevenues,expenditures and Changesin Fund Balances Budget(GAAP)Basisand Actual Forthe YearEnded Decem ber31,1998 GI2NERAL FUND...SPECIAL REVENUE FUNDS VARIANCE VARIANCE F AVOP.AIgLE I:AVORAI~I,E IDdI)GET ACTUAL (~INFAVORAB LE/ BUDGET AC'I'UAI~ _(tlnfavora II.li)_ REVI,'NUI~;S Taxcst Ad valorem Salesand use O thertaxes,penalucs,& iftcresl Lice nsesand perm its Intergov~lUl//~l~tallevel~ues: Federalfundsfederalgrants Slale ftlnds: l'arish Iransporlalion funds Stale revenue sharing (net) Scvcralcc taxes Eeonon~ic developm ent Ruraldevelopm ent O lhcr Fees,charges,and coulnlissions forservices Finesand forfcim res Use of m oncy and properly O Ihcrrevenues Totalrevenues I~'Xiq~;NI)I'I'UIIES CUrlcn[: G cuera govern lleutz Legislative Judicial Elections Finance and adm inistrative O thergeneralgoveruuleul Public safety Public w orks Ilealth and w elfare Culture and recreation Eeonon~ic developm ent al(]assislance Debtservice Capilalootlay Totalexpenditures (Conlinued) $514,000 $534,134 15,000 15,096 45,000 42, ,733 37, ,000 2,143,545 58, , ,500 20, ,597 2,143,545 58, ,701,753.. =q,733,990 _ 185,454 46,608 32, , , , ,772 50,561 31, , , , ,162,769 20, (2,448) (16,673) , ,955 32,237 (19,318) (3,953) 897 (10,681) (29) (19,608) (6,998) ,171,1~3 3,229,721_ (58,598) 9 136,096 $1,178, ,300 1,584, , ,000 68, , , ,804 80, $42, ,540 1,804 12,106 8,439 12,542 4, ,030 3, ,580 3,100 4,492, , ,411 19T ,322 (2,986) 16, ,128 24,900 25,435 (535) 93,760 33,000 2,998, , ,750 62,580 1,051~ ,547 64,487 37,565 3,032, , ,728 1~380~ ,273 (4,565) (34,099) 59, ,655 (16,14~) _ (32~ (TD~dS~_

11 P,IEN VILLE PARISH POLICE JURY A rcadia,louisiana G O V ERN M ENTA l.fu N D TYPE G EN ERA L A N D SPEC IA L REV EN U E FU N D S Com bined S[ale/nenlofRevenues,Expenditures, and C hangesin Fund Balances Budgel (GAAP)Basisand Actual,1998 Slalelnel lc GENERAL FUND SPECIAL REVI!N UE FUNDS VARIANCE VARIANCE FAVORABLE FAVORAlll,F, BUI)GET ACTUAL (UNFAVORABLE) BUDGET AC'I'UAL (UNFAVORA ILE) EXCESS (l)eficiency)of REVI~N UI5S O VER EXI'I,~N I)ri'uI~J;S $530,630 $504,269 ($26,361) ($962,002) ($809,355) $152,647. O TllER FINAN CING SO URCES (Uses) Sale offixed assets Operating transfersin Increase ilcapilalleases O perating transfers out Tolalolherfinancing sources(uses) (31) 8, (367,000) (370,000) (3,000) (790,000) (362,200) (365,231) (3,031). 375,500 8,036 1,322, ,072 (952,513) (464) 165, ,072 (162,513) EXCESS (Deficiency)OF R EVEN UES AND O TltER SO U R C ES O VER l';x PENI)ITUI~IES AN D OTIIER USF,S 168, ,038 (29,392) (586,502) (329,247) 257,255 IeUN I)BA LA N C IgS AT BEG INNING O F 'YEAR 2.039, leun i)ba I~AN C ES A T END OIeYIgAI~ $168,430 $2,178,598 $2,010,168 $726,628 ~3,371,382 $2,644,754 (Concluded) The accofnpanying notes are an inlegralpartof thiss/atem ent 10

12 BIEN V ILLE PA RISH PO LIC E JU R Y A rcadia.louisiana N otes to the FinancialStatem ents A sof and forthe YearEnded D ecem ber31, SUM M A R Y O F SIG N IFIC AN T A CC O UN TIN G PO LICIES The Bienville Parish Police Jury is the governing authority for Bienville Parish and is a political subdivision ofthe State oflouisiana, Thepolicejury isgoverned by seven jurorsrepresenting the variousdistrictswithin theparish. Thejurorsservefouryeartermswhich expirein January,2000. l,ouisianarevised Statute 33:1236 givesthe police jury variouspowersin regulating and directing the affairsof the parish and itsinhabitants. The m ore notable of those are the pow erto m ake regulations fortheirow n governm ent,to regulate the construction and m aintenance of roadsand bridges,to regulate the construction and m aintenance of drainage system s,to regulate the sale of alcoholic beverages,and to provide forthe health and w elfare of the poor,disadvantaged,and unem ployed in the parish. Funding to accom plish these tasks is provided by ad valorem taxes,beer and alcoholic beverage perm its,state revenue sharing,and various other state and federalgrants. A. R EI'O R TIN G E N TITY A sthe governing authority ofthe parish,forreporting purposes,the Bienville Parish Police Jury isthe financialreporting entity forbienville Parish. The financialreporting entity consists of(a)the primary government(police jury),(b)organizationsforwhich the prim ary government isfinancially accountable,and (c)otherorganizationsforwhich the nature and significance oftheir relationship w ith the prim ary governm ent are such that exclusion w ould cause the reporting entily's financialstatelnentsto be m isleading orincom plete. GovernmentalAccounting StandardsBoard (GASB)StatementNo.14 established criteriafor determ ining w hich com ponentunitsshould be considered partof the Bienville Parish Police Jury for financialreporling purposes. The basic criterion for including a potentialcom ponentunit w ithin the reporting entity is financialaccountability. The G A SB has setforth criteria to be considered in determ ining financialaccountability. This criteria includes: 1. Appointing avoting majority ofan organization'sgoverning body,and a. The ability of the police jury to impose itswillon thatorganization and/or 11

13 BIEN V II.LE PA R1SItPO LICE JU RY A rcadia,louisiana Notesto the FinancialStatem ents(continued) b. The potentialfor the organization to provide specific financialbenefits to o1 imposespecificfinancialburdenson thepolicejury. 2. Organizationsforwhich tilepolicejury doesnotappointavoting majority butare fiscally dependenton the police jury. 3. O rganizationsforwhich tile reporting entity financialstatem entsw ould be m isleading if data of the organization isnotincluded because of the nature orsignificance of the relationship. Based on the previouscriteria,the police jury hasdetermined thatthe following component units are partof the reporting entity: Com ponentu nit Fiscal Y ear End C riteria U sed B ienville Parish: IJibrary C om m unications D istrict IndustrialD evelopm entboard H ospitald istrictn o.1 H ospitald istrictn o.2 IndustrialD istrictn o.2 R ecreation D istrictn o.1 Recreation D istrictn o.3 W ards 1 and 2 Fire Protection D istrict W ards4 and 5 Fire Protection D istrict Fire Protection D istrictn o.6 W ard 7 Fire D istrict TouristC om m ission Sherif C lerk of Court A ssessor N orth B ienville Fire Protection D istrict C astor A rea Recreation D istrict Shady G rove R ecreation D istrict Shiloh Com m unity W aterw orksd istrict M illc reek Recreation and W ater C onservation D istrict D ecem ber31 D ecem ber 31 D ecem ber 3 l D ecem ber 31 A pril30 D ecem ber 31 D ecem ber 31 D ecem ber 31 D ecem ber31 D ecem ber 31 D ecem ber 3 l D ecem ber 31 D ecem ber 31 June 30 June 30 D ecem ber 31 D ecem ber 31 D ecem ber31 D ecem ber31 June 30 1,2,& 3 1 and 3 1 and 3 1 and 3 1 and 3 1 and 3 1 and 3 1 and 3 1,2,& 3 1,2,& 3 1,2,& 3 1,2,& 3 1 and 3 1,2,& 3 1,2,& 3 1,2,& 3 1,2,& 3 1 and 3 1 and 3 1 and 3 D ecem ber 31 1 and 3 12

14 B1EN V ILLE I'A RISIIPO IACE JURY Arcadia,Louisiana Notesto the FinancialStatem ents(continued) C om ponentu nit K eplerc reek Recreation and W ater C onservation D istrict Fiscal Y ear End Criteria U sed D ecem ber31 1 and 3 Thepolicejury haschosen to issuefinancialstatementsoftheprimary government(police jury)only;therefore,none ofthe previously listed componentunits,exceptasdiscussed in the follow ing paragraph,are included in the accom panying prim ary governm entfinancialstatem ents. The prim ary governm ent financial statem ents include all funds, account groups, and organizationsforwhich the policejury maintainstheaccounting records.theorganizationsfor which the police jury m aintains the accounting records are considered partof the primary government(police jury)and include the Bienville Parish Library,CommunicationsDistrict, IndustrialD istrictn o.2,r ecreation D istrictn o.1,and H ospitald istrictn o.2. G A SB Statem ent14 providesforthe issuance of prim ary governm entfinancialstatem entsthat areseparatefrom thoseofthereporting entity.however,theprimary government's(police jury) financial statem ents are not a substitute for the reporting entity's financial statem ents. The accom panying prim ary governm entfinancialstatem entshave been prepared in conform ity w ith generally accepted accounting principles as applied to governm ental units. These financial statem ents are notintended to and do notreporton the reporting entity butrather are intended to reflectonly the financialstatementsofthe primary government(police jury). Considered in the determ ination of com ponentunitsof the reporting entity w as the Bienville Parish School B oard, the D istrict A ttorney for the Second Judicial D istrict, Second Judicial D istrict Court and the various nm nicipalities in the parish. It w as determ ined that these governm entalentitiesare notcom ponentunitsof the Bienville Parish Police Jury reporting entity because they have separately elected governing bodies,are legally separate,and are fiscally independentof the Bienville Parish Police Jury. B. FUN D A C C O U N TIN G Thepolice jury usesfundsand accountgroupsto reporton itsfinancialposition and theresults of itsoperations.fund accounting isdesigned to dem onstrate legalcom pliance and to aid financial naanagem enlby segregating transactionsrelated to certain governm entfunctionsoractivities. A lund is a separate accounting entity w ith a selfbalancing setof accounts thatcom prises its assets,liabilities,fund equity,revelm es,and expenditures. A n accountgroup,on the other hand, isa financialreporting device designed to provide accountability forcertain assetsand liabilities (generalfixed assetsand generallongterm obligations)thatare notrecorded in the "funds" 13

15 BIEN ~ 1LLE PA R1SttPOLICE JU RY A rcadia,l.ouisiana Notesto tile FinancialStatements(Continued) because they do not directly affect net expendable available financial resources. They are concerned only w ith the m easurem entof financialposition,notw ith the m easurem entof results of operations. Funds are classified into three categories;governm ental,proprietary,and fiduciary. Each category,in turn,isdivided into separate "fund types". G overnm entalfunds are used to account fora govern m ent'sgeneralactivities,w here the focusof attention ison the providing of services to the public asopposed to proprietary fundswhere the focusofattention ison recovering the cost of providing services to the public or other agencies through service charges or user fccs. Fiduciary fundsareused to accountforassetsheld forothers.thepolice jury'scurrentoperations require the use ofonly governmentalfunds.the governmentalfundsused by the police jury are described asfollow s: G eneralfund The GeneralFund isthegeneraloperating fund ofthepolicejury.itaccountsforal financialresourcesexceptthose required to be accounted for in other funds. SpecialR evenue Funds Specialrevenue fundsare used to accountfor the proceedsof specific revenue sources such as ad valorem taxes and federalgrants.those revenuesare legally restricted either by tax proposition orgrantagreem ent,to expendituresforspecified purposessuch asroad m aintenance,solid w aste disposal,rentalhousing for very low incom e fam ilies,public library operation,recreation facilities,etc. C. FIX ED A SSETS A N D LO N G TERM O BLIG A TIO N S G eneralfixed assetsare notcapitalized in the fundsused to acquire orconstructthem.instead, capital acquisition and construction are reflected as expenditures (capital outlay) in the governm entalfundsand the related assetsare reported in the generalfixed assetsaccountgroup. A llpurchased fixed assetsare valued atcostwhere historicalrecordsare available and estim ated costwhereno historicalrecordsareavailable. Approximately 76 percentofthepolicejury's fixed assets are valued at actual cost w hile the rem aining are estim ated based on the actual historicalcostof like item s. A pproxim ately 66 per centof the library'sfixed assetsare valued at actualcostwhile the remaining 34 percent(booksand periodicals)are valued using amovingaverage basis. A pproxim ately 76 per centof the recreation district's fixed assets are valued at estim ated cost,based on the actualhistoricalcostof like item sw ith the rem aining valued atactual cost. Allassets ofthe hospitaldistrictare recorded atactualcost. N o depreciation has been 14

16 BIEN VILI.E PA RISItPO LICE JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) provided on generalfixed assets The costof norm alm aintenance and repairs thatdo notadd to the value of fixed assets o1 materially extend theirusefullivesare notcapitalized. Public domain (infrastructure)general fixed assetsconsisting of roads,bridges,drainage,parking lots,etc.are notcapitalized,asthese assetsareimmovableand ofvalueonly to thepolicejury,library,and recreation district. 1,ongterm obligations, such as lease purchases payable are recognized as a liability of a governm ental fund only w hen due. For other longterm obligations, such as colnpensated absences,only thatportion expected to be financed from expendable available financialresources isreported asa liability of a governm entalfund. The rem aining portion isreported asgeneral longterm obligations. 1). B A SIS O F A C C O U N T IN G The financialreporting treatm entapplied to a fund isdeterm ined by itsm easurem entfocus. A llgovernm entalfundsare accounted forusing a currentfinancialresourcesm easurem entfocus. W ith thism easurem entfocus,only currentassetsand currentliabilitiesgenerally are included on the balance sheet.operating statementsforthese fundspresentincreases(i.e.,revenuesand other financing sources)and decreases(i.e.,expendituresand otherfinancing uses)in netcurrentassets. The m odified accrualbasisof accounting isused forreporting allgovernm entalfund types. U nder the m odified accrualbasis of accounting,revenues are recognized w hen susceptible to accrual(i.e.,when they becom e both m easurable and available). "M easurable"m eansthe am ount of the transaction can be determ ined and "available"m eanscollectible w ithin the currentperiod orsoon enough thereafterto beused to pay liabilitiesofthecurrentperiod.thepolicejury uses the follow ing practices in recognizing and reporting revenuesand expenditures: R evciin(~s A d valorem taxes and the related state revenue sharing are recorded in the yearthe taxes are due and payable. A d valorem taxes are assessed on a calendar yearbasis and attach asan enforceable lien and becom e dtle and payable on the date the tax rollsare filed w ith the recorderof m ortgages. Louisiana Revised Statute 47:1993 requiresthatthe tax rollbe filed on orbefore N ovem ber15 of each year. Ad valorem taxesbecom e delinquent if notpaid by D ecem ber 31. The taxesare norm ally collected in D ecem ber of the current year and January and February of the ensuing year. Federaland stategrantsarerecorded when thepolicejury isentitled to thefunds 15

17 BIEN V 1LI~E PA RISIt PO LIC E JU RY Arcadia,Louisiana Notesto tile FinancialStatements(Continued) Interestincom e on tim e depositsisrecorded w hen the tim e depositshave m atured and the interestis available. Interestincom e on dem and depositsisrecorded m onthly when the interestisearned and credited to the account. Substantially allother revenuesare recorded w hen received Based on the above criteria,ad valorem taxes,state revenue sharing,and federaland state grantshave been treated assusceptible to accrual. E xpenditures E xpendituresare generally recognized under the m odified accrualbasisof accounting, w hen the related fund liability is incurred,exceptfor principaland interest on general longterm debt,w hich are recognized w hen due,and vacation leave w hich is recognized w hen paid. OtherFinancing Sources(Uses) Transfersbetw een funds w hich are notexpected to be repaid and salesof fixed assets are accounted forasotherfinancing sources(uses)and are recognized when the underlying events occur. E. BU DG ET PR AC TIC ES Prelim inary budgets for the ensuing year are prepared by the secretary/treasurer prior to N ovem berof each year. D uring N ovem ber,the finance com m ittee review s the proposed budgets and m akeschangesasthey deem appropriate. The availability of the proposed budgetsforpublic inspection and the date of the public hearing on the budgets are then advertised in the official journal, l)uring itsregulardecembermeeting,thepolicejury holdsapublic hearing on the proposed budgetin order to receive com m entsfrom residents. Changesare m ade to the proposed budgetsbased on thepublichearing and the desiresofthepolicejury asawhole.thebudgets arethen adopted during thepolicejury'sregulardecembermeeting,and anoticeispublished in the officialjournal. ])uring the year,the police jury receivesmonthly budgetcomparison statementswhich are used asa toolto controlthe operationsof the parish. The secretary/treasurerpresentsnecessary budgetamendmentsto thepolicejury during the yearwhen,in hisjudgement,actualoperations 16

18 BIEN V ILLE PA RISH PO LIC E JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) arediffering materialy from thoseanticipated in theoriginalbudget.thejury,during aregular m eeting,review s the proposed am endm ents,m akeschangesasthey feelnecessary,and form ally adoptsthe amendments. The adoplion oftheamendmentsisincluded in police jury minutes published in theofficialjournal. Thepolicejury exercisesbudgetary controlatthefunction level.unexpended appropriations lapse atyearend and m ustbe reappropriated in the nextyear'sbudgetto be expended. For the yearended D ecem ber 31,1998,budgets w ere adopted forthe G eneralfund and al specialrevenue funds. F. CASH AND CASH EQUIVALENTS Understate law,the policejury may depositfundsin demand deposits,interestbearing dem and deposits,m oney m arket accounts,or tim e deposits w ith state banks organized under Louisiana law and nationalbankshaving principalofficesin Louisiana. A td ecem ber31,1998, thepolice jury hascash and cash equivalents(book balances)totaling $3,812,172 asfollows: D em and deposits Petty cash T im e deposits $980, These depositsare stated atcost,which approxim atesm arket. U nderstate law,these deposits,orthe resulting bank balances,m ustbe secured by federaldepositinsurance or the pledge of securitiesowned by the fiscalagentbank. The m arketvalue of the pledged securitiesplusthe federaldepositinsurance nm statalltim esequalthe am ounton depositw ith the fiscalagent. These securitiesare held in the nam e of the pledging fiscalagentbank in a holding orcustodialbank thatism utually acceptable to both parties. Cash and cash equivalents(bank balances)atdecember31,1998,are asfollows: Bank B alances Federaldepositinsurance Pledged securities(uncollateralized) $594, Total Because the pledged securitiesare held by a custodialbank in the nam e of the fiscalagentbank ratherthan in the name ofthe police jury,they are considered uncollateralized (Category 3)under 17

19 BIEN V ILLE PA RISH PO LICE JU RY Arcadia,Louisiana N otesto the FinancialStatem ents(continued) tile provisions of G A SB Codification C ttowever,louisiana Revised Statute 39:1229 im posesa statutory requirem enton the custodialbank to advertise and sellthe pledged securities within 10 daysofbeing notified by thepolicejury thatthefiscalagentbank hasfailed to pay deposited fundsupon dem and. Further,LRS 39:1224 statesthatsecuritiesheld by a third parly shallbedeemed to beheld in the policejury'sname. G. A N N U A L A N D SIC K LEA V E A lfulltimeemployeesofthepolice jury and therecreation DistrictNo.1earn 10 daysof annualleave forevery yearw orked w ith no accum ulation. T hey also earn one day of sick leave per m onth,w ith no lim itof accum ulation. U pon term ination,unused annualleave w illbe paid atthe em ployee'scurrentrate of pay,butunused sick leave isforfeited. l~,m ployeesof the B ienville Parish Library earn annualleave atrates of 10 to 22 daysper year, depending on length of service. A nnualleave m ay accum ulate up to 1.5 tim es the em ployee's yearly rate. Em ployeesalso earn one day of sick leave perm onth,w ith no lim itof accum ulation. U pon separation,unused annualleave w illbe paid atthe em ployee's currentrate of pay,but ulm sed sick leave is forfeited. Em ployees of the D istrict A ttorney of the Second Judicial D istrict w ho are paid fi'om the C rim inal Court Fund earn from one to 5 w eeks of noncum ulative annual leave per year, depending on the length of service. A llem ployeesearn 10 days of sick leave peryear,w ith a nm xim um accum ulation of up to 25 days. Em ployees have the option of being paid for unused sick leave atthe end of each year or atterm ination of em ploym ent. AtDecember31,1998,employeeshad accumulated and vested $41,653 of employee leave benefits,com puted in accordance w ith G A SB Codification Section C60.Thisam ountisrecorded w ithin the gcnerallongterm obligations accountgroup. The cost of leave privileges, com puted in accordance w ith the previous codification, is recognized as a currentyear expenditure w ithin the governm entalfunds w hen leave is actually taken orw hen em ployeesare paid for accrued leave underthe conditionspreviously outlined. It.R ISK M AN AG EM EN T Thepolicejury isexposed to variousrisk oflossrelated to torts;theftof,damageto,and destruction ofassets;liability;and injuriesto employeesand others.to handle such risk ofloss, the police jury lnaintainscommercialinsurance policiescovering;automobile liability and medical 18

20 BIEN VILLE PA R1SItPOLICE JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) paym ents;w orkers com pensation;generalliability;and surety bond coverage on the secretary/ treasurerand otherem ployeeshandling m oney. N o claim sw ere paid on any of the policies during the pastthree years w hich exceeded the policies'coverage am ounts. 1. TO TA L C O LU M N S O N C O M BIN ED STATEM EN TS Totalcolumnsolthe combined statementsare captioned M emorandum Only (overview)to indicate thatthey are presented only to facilitate financialanalysis. D ata in these colum nsdo not present financial position, or results of operations in conform ity w ith generally accepted accounting principles. N either is such data COlnparable to a consolidation, lnterfund elim inations have notbeen m ade in the aggregation of thisdata. 2. LE V IED TA X ES The follow ing is a sum m ary of authorized and levied ad valorem taxes Parish w ide taxes: G eneral Road M aintenance Library 1)istricttaxes Recreation D istrictn o.1 A uthorized M illage Levied M illage Expiration D ate Indefinite The difference betw een authorized and levied m illage isthe resultof reassessm ents of taxable property w ithin the parish as required by A rticle 7,Section 18 of the Louisiana Constitution of The following are the principaltaxpayersforthe parish and their1998 assessed valuation (amountsexpressed in thousands): Bear C reek Storage Entergy Louisiana,Inc. A tlanta G as LightC om pany Bellsoulh Telecom m unications Per cent 1998 of Total A ssessed A ssessed V aluation V aluation 18, % 4, % 3, % 1, % 19

21 BIEN V I1.LE PA RISIIPO LICE JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) D uke Energy Field Services A labam a G ascorporation A T& T (;om m unications C hevron U SA,Inc. EPFS Gulf StatesG aspipeline Con A gra Poultry Com pany 1998 A ssessed V aluation 1,375 1,509 1,324 1, Per cent of Total A ssessed V aluation 1.11% 1.22% 1.07% 1.06% 0.57% 0.64% 28.25% 3. R E C E IV A llle S The follow ing isa sum m ary of receivablesatd ecem ber31,1998 Taxes: A d valorem Sales G rants: Federal State O ther G eneral Fund Special Revenue Funds $523,148 $1,153, C apital Projects Fund 38,222 $29, ,794 77, Total $1,676, , ,278 23,556 Tolal $733,276 $1,292,708 $29,114 $2,055, C ItAN G ES IN G EN ER A L FIX ED A SSETS T he lollow ing schedule presents changes in generalfixed asse~ for the year ended D ecem ber : Police Jury Land Balance January 1~ $487,300 B alance A dditions D eletions D ecem ber 31 $487,300 20

22 B1EN V ILLE PA RISIIPO LIC E JU R Y A rcadia,louisiana Nolesto the FinancialStatements(Continued) Buildings Im provem entsother than buildings l~quipm entand furniture Totalpolice jury Library: Land Buildings Equipm entand furniture Booksand reference m aterials Totallibrary Balance $2,597,931 1,226,850 2,34 4, , , , , A dditions $335, , D eletions ~$51,634) (51,634~ (7,097) _ (31,387) Balance D ecem ber31 $2,597,931 1,226,850 2,628, , , , Recreation D istrictn o.1: Land $325,000 Buildings 88,805 hnprovem entsotherthan buildings 444,774 M achinery and equipm ent 205,035 Totalrecreation district 1.063,614 ltospitald istrictn o.2: Land Buildings M achinery and equipm ent T otalhospitaldistrict Total 15,054 2,625, , $18,208 $325,000 88, , N O N E ,054 2,625, N ON E 3.967,995 $ $ 1,372,329 ~ $,118) $13,882, PEN SIO N PLA N Substantially all em ployees of the Bienville Parish Police lury are m em bers of the Parochial EmployeesRetirementSystem oflouisiana(system),a costsharing,multipleemployerdefined benefit pension plan adm inistered by a separate board of trtlstees.the System iscom posed of tw o distinctplans, Plan A and Plan B,with separate assetsand benefitprovisions. Allemployeesofthepolice jury are m em bers of Plan A. A llperm anent em ployeesw orking atleasttw entyeighthours perw eek w ho are paid w holly o1in part from parish funds and allelected parish officials are eligible to participate in the System. U nderplan A, em ploycesw ho retire ator after age 60 w ith atleast10 years of creditable service,ator after age 55 w ith atleast25 yearsof creditable service,oratany age w ith atleast30 yearsof creditable service are entitled 21

23 BIEN VILLE PA RISItPOIA CE JURY A rcadia,louisiana Notesto tile FinancialStatem ents(continued) to a retirem entbenefit,payable m onthly forlife,equalto 3 percentof theirfinalaverage salary foreach yearof creditable service. H ow ever,forthose em ployeeswho were m em bersof the supplem entalplan only before January 1,1980,the benefitisequalto one percentoffinalaverage salary plus$24 foreach yearof supplem entalplanonly service earned before January 1,1980,plus3 percentof finalaverage salary foreach salary for each year of service credited after the revision date. Finalaverage salary isthe employee'saverage salaryoverthe 36 consecutive orjoined nronthsthatproduce the highestaverage. Em ployeesw ho term inate w ith atleastthe am ountof creditable service stated above,and do notw ithdraw theirem ployee contributions,m ay retire atthe agesspecified above and receive the benefitsaccrued to theirdate of term ination.the system also providesdeath and disability benefits.benefitsare established or am ended by state statute. The System issuesan annualpublicly available reportthatincludesfinancialstatem entsand required supplem entary inform ation for the System. Thatreportm ay be obtained by w riting to the Parochial Em ployees'retirem entsystem of Louisiana,PostO fi ce Box 14619,Baton R ouge,louisiana ,orby calling (504) U nder Plan A,m em bers are required by state statute to contribute 9.50 per centof their annual covered salary and the Bienville Parish Police Jury isrequired to contribute atan actuarially determ ined rate.the currentrate is 7.75 per centof annualcovered payroll. Contributionsto the system also include onefourth ofone percent(exceptorleansand EastBaton Rouge Parishes)ofthe taxesshown to be collectible by the tax rollsof each parish. These tax dollars are divided betw een Plan A and Plan B based proportionately on the salariesof the active m em bersof each plan.the contribution requirem entsof plan m em bers and the Bienville Parish Police Jury are established and m ay be am ended by state statute. A s provided by Louisiana R evised Statute 11:103,the em ployer contributions are determ ined by actuarial valuation and are subjectto change each yearbased on the resultsof the valuation forthe priorfiscalyear. The Bienville Parish Police Jury's contributions to the System under Plan A for the years ending December31,1997,1996,and 1995,were $63,659,$73,360,and $63,496,respectively,equalto the required contributions for each year. 6. LE A SE PU R C H ASE PAY ABLE The police jury,communicationsdistrictand recreation districtrecord itemsundercapitalleasesas an assetand an obligation in the accom panying financialstatem ents. A td ecem ber31, 1998,fourcapital leasesw ere in efect:a m otorgrader,colnm unication equipm ent,golf carts, and a greensm ow er. Lease obligations arc retired fi'om the G eneralfund and the Com m unications and Recreation D istrictn o. 1 specialrevenue funds,respectively.the leaseshad an originalrecorded am ountof$117,085. The follow ing is a sum m ary of future m iuim um lease paym ents,together w ith the presentvalue of the net m inim um lease paym ents,as of D ecem ber 31, 1998: 22

24 BIEN V 1LLE PA RISIt PO LIC E JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) Y ear Totalm inim um lease paym ents Lessam ountrepresenting interest Presentvalue of netm inim um lease paym ents $52,217 28,766 28,766 2, ,147 (8,602) $103, C I1A N G ES IN LO N G TERM O BLIG A TIO N S The follow ing is a sum m ary ofthe longterm obligations transactions for the year ended D ecem ber : Longterm obligations at January 1,1998 Adjustments A dditions D eductions l,ongterm obligations at D ecem ber C ertificates Capital of Com pensated Lease Indebtedness A bsences Total $50,482 $24, ,072 (49,009) (24,000) N O N E $40,090 2,175 34,924 (35,536) $114,572 2, ,996 (108,545) 8. I)E SIG N A TE D FU N D BA LA N C E S AtDecem ber31,1998,the Bienville Parish Library Board ofcontrolhasdesignated $70,000 of the unreserved fund balance for the future autom ation of the library. LITIG A TIO N AN D C LA IM S AtDecember31,1998,thepolicejury isinvolved in severallawsuits,theresolution ofwhich would notmaterially affcctthefinancialposition ofthepolice jury. 23

25 BIEN V ILLE PA RISH PO IAC E JU RY A rcadia,louisiana Notesto the FinancialStatements(Continued) 10. R ESTA TEM EN T O F FUN D BA LAN CE The D ecem ber 31,1997 fund balancesof the specialrevenue fundshave been restated to include H ospitald istrictn o.2 w hich had been separately reported in the past. The follow ing reconcilesfund balancesaspreviously reported to beginning fund balancesaspresented on Statem entb : Fund Balancesaspreviously reported Beginning fund balance forhospitalservice district $2,829, Fund balance atjanuary 1,1998,restated 11. YEAR 2000 ISSUF (Unaudited) The year2000 issue isthe resultof shortcom ingsin m any electronic data processing system sand otherelectronic equipm entthatm ay adversely afectthe governm ent's operationsasearly asfiscalyear The B ienville Parish Police Jury has three netw orked personal com puters,used for financial accounting and connnunicationsof thejury,which may beaffected by theyear2000 issue. W hilethe com puters arc very useful, they arc not considered critical to conducting operations of the office. M anagem enthasupgraded allcom putersand necessary softw are to m ake them year2000 com pliant. Because of the unprecedented naturc of the Year2000 issue,itseffectsand the successof related rem ediation effortsw illnotbe fnlly determ inable untilthe year2000 and thereafter. M anagem entcannot assurethatthepolicejury isorwillbeyear2000 ready,thatthejury 'sremediation effortswilbesuccessful in wholeorpart,orthatpartieswith whom thepolicejury doesbusinesswillbeyear2000 ready. 24

26 SU PPLEM EN TA L IN FO R M A TIO N SC H ED U LE S 25

27 BIEN VILLE PA RISH PO LICE JU RY A rcadia,louisiana SU PPLEM EN TAL IN FORM ATIO N SCH ED U LES A sof and forthe YearEnded D ecem ber31,1998 SPEC IAL R EVEN UE FUN D S R O A D M A IN TEN A N CE FUN D The R oad M aintenance Fund accounts forthe m aintenance of the parish highw ays,streets,and bridges. Financing isprovided by the Slate of Louisiana Parish Transporlalion Fund,severance tax,a specific Parish w ide ad valorem tax,and slate revenue sharing funds,and interestearning. R O A I)R EH A BII,ITA TIO N FUN D The Road Rehabilitation Fund accountsfor the collection and disposalof solid w aste and for road construction. Financing isprovided by 90% of the surplussalestax collectionsafterthe solid w aste costs have been paid. SO LII)W A STE D ISPO SA L FUN D The Solid W aste D isposalfund accounts for the operations of the parish's landfilloperations Financing is provided by a specific Parish w ide ad valorem tax,interest,and state revenue sharing. C O M M U N IC ATIO N S D ISTRICT FUN D The Colnm unications D istrictfund accounts for the purpose of establishing,m aintaining,and operating the 911em ergency telephone system forb ienville Parish.Financing isprovided by a 5 percent service charge on localtelephone service w ithin the parish. I)ISTR 1C T C O U R T EX PEN SE FUN D The D istrict C ourtexpense Fund accounts for the paym ents of the ofduty law enforcem ent officersand othersasw itnessesin crinfinalcases. Financing isprovided by finespaid by defendantswho arc found guilty in districtcourtand operating transfers from the G eneralfund. 26

28 SEC TIO N 8 ItU D ItO U SIN G FU N D The Section 8 H U I) H ousing Fund accountsforthe operations of the lowerhousing assistance program w hose purpose is to aid very low incom e fam ilies in obtaining decent,safe,and sanitary rental housing.fiuancing isprovided by a federalgrant. R ECY CLIN G PR O G R AM FUN D The Recycling Program Fund accountsfortile education of parish residentso lthe energy savings potentialand positive environm entalbenefitsof recycling and energy conservation in w aste m anagem ent. Fuuding is provided by a federalgrantfrom the U nited States D epartm entof Energy w hich ispassed througb lbe Louisiana DepartmentofEnvironmentalQuality. PU BLIC LIBR A R Y FUN D The Public IAbrary Fund accountsforthe operation and m aintenance of the parish public library Financing is provided by a specific parishw ide ad valorem tax,state revenue sharing,other state grants fines,donations,and interestearnings. R ECR EATIO N D ISTR IC T N O.1 FUN D The Recreation D istrictn o. 1 Fund accounts for the m aintenance and operation of recreational facilities designated to encourage recreation and prom ote the generalhealth and w ellbeing of youthsin Ihe district.financing isprovided by a specific ad valorem tax,state revenue sharing,fees and charges for services,and interestearnings. IN D U STR IA L D ISTR IC T N O.2 FUN D The IndustrialD istrictn o.2 Fund accountsfor the excess fundsof the IndustrialD istrictn o.2 D ebtservice Fund w hich w as closed during 1990 by the transferof its rem aining funds to this special revenue fund.these funds w illbe used w ithin the boundaries of the IndustrialD istrictn o.2 Fund. IIO SPITA L SE R V IC E D ISTR IC T N o.2 The llospital Service D istrict N o. 2 Fund accounts for activity of the district. The district contractsw ith varioushealth care providersto serve the m edicalneedsof the citizensof B ienvillc Parish. 27

29

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32 BIEN V ILLE PA RISH PO LICE JU RY A rcadia,louisiana SU PPLEM EN TA L IN FORM A TIO N SCH ED III,ES Forthe YearEnded D ecem ber31,1998 C O M PEN SA TIO N PA ID PO LICE JUR O R S AN D C O M M ISSIO N ER S Tilescheduleofcompensation paid to policejurorsand commissionersispresented in compliance w ith Itouse C oncurrent R esolution N o. 54 of the 1979 Session of the Louisiana Legislatore. Compensation ofthe police jurorsisincluded in the legislative expendituresofthe GeneralFund. In accordance with LouisianaRevised Statute 33:1233,thepolice jury haselected the monthly payment methodofcompensation.underthismethod,aljurorsreceive$1,200 permonth with theexceptiolaof ChesterM ccarthy who receives$856. The com m issionersof HospitalService DistrictNo.2 receive $40 foreach m eeting ofthe board of com m issioners w hich they attend. The board of com m issionersnorm ally m eetsonce each m onth. 30

33 BIEN V ILLE PA RISH PO LIC E JU R Y A rcadia,louisiana Schedule 3 Schedule of C om pensation Paid Police Jurors and Com m issioners Forthe YearEnded D ecem ber31,1998 Police Jury C hester M cc arlly W illiam Sim s Lee Thom as Tom m y Thom pson Tom m ie U zzle Iluey V ernon Ben W iggins $10,272 14,400 14,400 14,400 14,400 14, Totalpolicejury H ospilalservice D istrictn o.2 Loretta Butler G lenn Fallin G ary G anll O dis G reen A rthurlathan D on M adden ShM ey Payne $ Totalhospitalservice district 31

34 IndependentA uditor's R eports on Com pliance w ith L aw s,r egulations,c ontracts,and G rants, and InternalC ontrol The follow ing independentauditor's reportson com pliance w ith law s,regulations,conlracts,and grantsand internalcontrolare presented in com pliance w ith the requirem entsof Governm entauditing Standards,issued by the Com ptrollerg eneralof the U nited States;the U. S.O ffice of M anagem enland Budget(OM B)CircularA133,Auditsof States,LocalGovernments,and NonProfitOrganizations;the Single AuditActAmendmentsof 1996;and the Louisiana GovernmentalA uditguide,issued by the Society of Louisiana C ertified Public A ccountantsand the Louisiana Legislative A uditor. 32

35 ~ ERTIFI~D PUBLIC ACCO UNTANT IndependentA uditor's R eporton C om pliance and InternalControlO ver FinancialR eporting M EM BER A M ERICAN NSTITUTE O F C ERTIFIED P U BLIC A CC O U NTA NTS ~ IETY O F ~O U ISIA N A C ERTIFIED P U BLIC A CCO U NTA NTS P RACTIC E ~ I~ ITED TO G OVERN M ENTA L A CCO UNTIN G,A U DITING A N D F INA NC IA L R EPO RTING BIEN VILLE PA RISH POLICE JURY A rcadia.louisiana l have audited the prim ary governm entfinancialstatem ents of the Bienville Parish Police Jury as of and for the year ended D ecem ber 31, 1998,and have issued m y reportthereon dated January 28, I conducted m y audit in accordance w ith generally accepted auditing standards and the standards applicable to financialaudits contained in Governm entauditing Standards',issued by the Com ptrollerg eneralof the U nited States. Com pliance A spartof obtaining reasonable assurance aboutwhetherthe Bienville Parish Police Jury's financialstatem ents are free of m aterialm isstatem ent,1perform ed tests of its com pliance w ith certain provisions of law s, regulations, contracts and grants, noncom pliance w ith w lfich could have a directand m aterialeffecton the determ ination of financial am ounts. H ow ever, providing an opinion on com pliance w ith those provisionswasnotan objective oflny auditand,accordingly,ido notexpresssuch an opinion. The results of nay tests disclosed no instances of noncom pliance thatare required to be reported under G overnm enta uditing Standards. 16 PROFESSIONA L D RIVE W EST M ONROE, LO U ISIA NA PHONE ,2 12! TOLL FREE LO UISIA NA I,eoo.~ 4 1.5o2o FA X InternalC ontrolo ver FinancialR eporting In planning and perform ing m y audit,i considered Bienville Parish Police Jury's internalcontroloverfinancialreporting in orderto determ ine m y auditing procedures forthe purpose of expressing m y opinion on the financialstatem entsand notto provide assurance on the internalcontrolover financialreporting. M y consideration of the internalcontroloverfinancialreporting w ould notnecessarily disclose allm attersin the internalcontrolover financialreporting thatm ightbe m aterialw eaknesses. A m aterialw eaknessisa condition in w hich the design or operation of one or m ore of the internalcontrolcom ponents does not reduce to a relatively low levelthe risk thai m isstatem entsin am ountsthatw ould be m aterialin relation to the financialstatem ents being audited m ay occurand notbe detected w ithin a tim ely period by em ployeesin the norm alcourse of perform ing their assigned functions.inoted no m attersinvolving the internalcontrolover financialreporting and its operation thati consider to bc m aterialw eaknesses. 33