TereboneParishRecreationDistrictNọ6

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1 OFICIAL DONOTSEr,:~;(~OT FILECOPY ~o~yandpi..'~ce BACKinFILE) #:,/)!"?,o" fo:, C~9f-=f=? FinancialReport (b,',-~'r,1 c~,j ṙq TereboneParishRecreationDistrictNọ6 Montegut,Lou#iana December31,197 tinderprovisionsofstatelaw,this reportisapublicdocument.a copyofthereporthasi~ensubmittedtotheaudited,oreviewed, entityandotherapropriatepublic oficials.thereportis,availablefor publicinspectionat~13ebaton RougeoficeoftheLegislativeAuditorand,whereapropriate,athe otficeoftheparishcterkofcourt. ReleaseDate_.~t:.%-"9~L~

2 TABLEOFCONTENTS TereboneParishRecreationDistrictNo.6 December31,197 IntroductorySection ExhibitsNumber Page TitlePage TableofContents I FinancialSection i IndependentAuditor'sReport CombinedBalanceShet-GovenmlentalFundTypesandAcountGroupA CombinedStatementofRevenues,ExpendituresandChangesinFund Balances-GovenunentalFundTypes B CombinedStatementofRevenueșExpendituresandChangesin FundBalances-BudgetandActual-GovernmentalFundTypes C SpecialReportOfCertifiedPublicAcountants NotestoFinancialStatements D ScheduleofFindings ReportsByManagement 16 ScheduleofPriorYearFindings Management'sCorectiveActionPlan 17 18

3 BourgeoisBenet TotheBoardofComisioners, NDEPENDENTAUDITOR'SREPORT TerebouneParishRecreationDistrictNo.6, Montegut,Louisiana. ParishRecreationDistrictNo.6(theDistrict),acomponentunitoftheTerebouneParishConsolidated Wehaveauditedtheacompanyingeneral-purposefmancialstatementsofTerebone Government,asofandfortheyearendedDecember31,197,aslistedinthetableofcontents.These general-purposefinancialstatementsaretheresponsibilityofiledistrict'smanagement.our responsibilityistoexpresanopiniononthesegeneral-purposefmancialstatementsbasedonour audit. standardsaplicabletofinancialauditscontainedingovernmentauditingstandards,isuedbythe Weconductedourauditinacordancewithgeneralyaceptedauditingstandardsandthe ComplrolerGeneraloftheUnitedStates.Thosestandardsrequirethatweplanandperformtheaudit toobtainreasonableasuranceaboutwhetherthefinancialstatementsarefreofmaterial mistatement.anauditincludesexamining,onatestbasis,evidencesuportingtheamountsand disclosuresinthefmancialstatements.anauditalsoincludesasesingtheacountingprinciplesused andsignificantestimatesmadebymanagement,aswelasevaluatingtheoveralfinancialstatement presentation.webelievethatourauditprovidesareasonablebasisforouropinion. almaterialrespects,thefinancialpositionofthetereboneparishrecreationdistrictno.6asof Inouropinion,thegeneral-purposefinancialstatementsreferedtoabovepresentfairly,in December31,197,andtheresultsofitsoperationsfortheyearthenendedinconformitywith generalyaceptedacountingprinciples. June24,198onourconsiderationoftheTereboneParishRecreationDistrictNo.6'sinternal InacordancewithGovernmentAuditingStandards,wehavealsoisuedoureportdated controloverfinancialreportingandourtestsofitscompliancewithcertainprovisionsoflaws, regulations,contractsandgrants. Houma,La., CertifiedPublicAcountants June24, Wesl3ulmelI~lvd,Suite430 I'Ol~ox2168 ]Iouma,I,A Phone(5O4) (?e/tifedpublic Fax(504) AI.trotedLiabilityCompanyPO.Box606O0 Acountant~IConsultants NewOtleans,LA tieritageplaza,suite80 561WestSecond8tect ['hone(504) I~(504)83O093 1'OBox1205 3hitodauxLA Phone(504)

4 MBINEDBALANCESHET- GOVERNMENTALFUNDTYPESANDACOUNTGROUP TereboneParishRecreationDistrictNọ6 Asets Cash Investments Receivables-taxes Staterevenuesharingreceivable Miscelaneousreceivable Fixedasets Totalasets Liabilities Acountspayableand acruedexpenditures Deferedrevenue DuetoTereboneParish ConsolidatedGovernment Totaliabilities EquilyandOtherCredits Investmentingeneralfixedasets Fundbalances-unreserved: Designatedforsubsequentyears expenditures Undesignated December31,197 General Revenue $8, ,957 21,678 3,983 1,623 $379,842 $3,435 20,650 1,042 25, ,0 34,715 Totalequityandothercredits 154,715 Totaliabilities,equityand othercredits $379,842 Senotestofinancialstatements $27,932 10,0 137, $137,932 Acount Group General Fixed Asets 897,430 $897,430 ExhibilA Total (Memorandum Only) $36,53 263,957 21,678 3,983 1, ,430 $1,415,204 $3,435 20,650 1, $897, , ,430 $897, ,0 172,647 1,190,07 $1,415,204

5 CHANGESINFUNDBALANCES-GOVERNMENTALFUNDTYPES COMBINEDSTATEMENTOFREVENUES,EXPENDITURESAND ExhibitB TereboneParishRecreationDistrictNo.6 FortheyearendedDecember31,197 Revenues Taxes lntergovemenlal: Chargesofservices SlateofLouisiana: $209,787 General Revenue Special (Memorandum Total $209,787 Only) Miscelaneous: Slaterevenuesharing lnlerest 19,123 5,938 5,938 Other 8,202 Expenditures Totalrevenues 70 5,58 19, ,120 5,58 248,678 13,76070 Curent: GeneralGovernment: Advaloremlaxadjustment Advaloremtaxdeductions 1,12 CultureandRecreation Totalgeneralgovernment 10,020 1, ,12 1,132 Personalservices Supliesandmaterials Otherservicesandcharges 78,14 Repairsandmaintenance 20,576 Capitalexpenditures 14,32 3,401 78,14 20,576 Totalcultureandrecreation 23,27 Totalexpenditures 169, ,401 14,32 180, Excesofrevenuesoverexpenditures 62,348 5, OtherFinancingSource 67,906 ExcesofRevenuesandOtherFinancing Procedsofgeneralfixedasetsdispositions FundBalances SourceOverExpenditures 63,0 5,58 68,58 Beginingofyear Endofyear 91, ,374 24,089 Senotestofinancialstatements $154,715$137,932 $292,647

6 TereboneParishRecreationDistrictNo.6 FortheyearendedDecember31,197 General Revenues Taxes Intergovernmental: Chargesforservices StateofLouisiana: $209,785$209,787 Actual (Unfavorable) variance Favorable 2 Miscelaneous: Staterevenuesharing Interest 16,20 5,935 19,123 5,938 3 Other 8,0 8,202 2, Expenditures Totalrevenues 239, , ,130 Curent: GeneralGovernment: Advaloremtaxadjustment Advaloremtaxdeductions CultureandRecreation: Totalgeneralgovernment 10,030 1,125 10,020 1, ,15 1, Personalservices Supliesandmaterials Otherservicesandcharges 84,050 Repairsandmaintenance 20,250 Capitalexpenditures 34,0 78,14 18,0 20,576 Totalcultureandrecreation ,32 3,401 5,936(326) 23,27 3, Totalexpenditures OtherFinancingSource Excesofrevenuesoverexpenditures 190,45 169,640 9,60 (27) 49, , ,813 9,683 ExcesofRevenuesandOtherFinancing Procedsofgeneralfixedasetsdispositions 2 FundBalances SourcesOverExpenditures $50,185 63,0 Beginingofyear 91,715 Senotestofinancialstatements Endofyear $154,715

7 ExhibitC SoecialRevenue Actual Favorable $ $ (Unfavorable) $ varlance 5,30 5,30 5, , $5,30 5,58 $ ,374 $137,932

8 NOTESTOFINANCIALSTATEMENTS TereboneParishRecreationDistrictNo.6 December31,197 Note1-SUMMARYOFSIGNIFICANTACOUNTINGPOLICIES ExhibitD a)reportingentity TheDistrictisacomponentunitoftheTerebomleParishConsolidatedGovernment(the comprehensiveanualfinancialreport(cafr)oftheparishfortheyearended December31,197. Parish)andasuch,thesecomponentunitfinancialstatementswilbeincludedinthe TheDistricthasreviewedalofitsactivitiesandeterminedthatherearenopotential componentunitswhichshouldbeincludedinitsfinancialstatements. b)fundacounting TileDistrictusesfundsandacountgroupstoreportonitsfinancialpositionandthe resultsofitsoperations.fundacountingisdesignedtodemonstratelegalcompliance andtoaidfinancialmanagementbysegregatingtransactionsrelatedtocertain govermnentfunctionsoractivities.

9 (Continued) ExhibitD Note1-SUMARYOFSIGNIFICANTACOUNTINGPOLICIES(Continued) b)fundacounting(continued) GovernmentalFunds GovernmentalFundsarethosethroughwhichthegovernmentalfunctionsofthe Districtarefinanced.Theacquisition,useandbalancesoftheDistrict'sexpendable financialresourcesandtherelatedliabilitiesareacountedforthroughgovernmental Funds.Themeasurementfocusisupondeterminationofchangesinfinancial position,ratherthanuponetincomedetermination.tilefolowingarethe GovernmentalFundsoftheDistrict: GeneralFund-TheGeneralFundisthegeneraloperatingfundoftheDistrict. Itisusedtoacountforalfinancialresourcesexcepthosethatarerequiredto heacountedforinanotherfund. SpecialRevenueFund-TheSpecialRevenueFundisusedtoacountforthe procedsofspecificrevenuesources(otherthancapitalprojects)thatarelegaly restrictedtoexpendituresforspecifedpurposes. AcountGroup TheGeneralFixedAsetsAcountGroupisusedtoacountforfixedasetsnot acountedforinproprietaryortrustfunds. c)basisofacounting Basisofacountingreferstowhenrevenuesandexpendituresarerecognizedinthe acountsandreportedinthefinancialstatements.basisofacountingrelatestothe timingofthemeasurementsmade,regardlesofthemeasurementfocusaplied. AlGovernmentalFundsareacountedforusingthemodifiedacrualbasisof acounting.theirevenuesarerecognizedwhentheybecomemeasurableandavailable asnetcurentasets.advaloremtaxesandtherelatedstaterevenuesharing (lntergovernmentalrevenues)arerecordedasrevenueintheperiodforwhichlevied,thus the197propertytaxeswhicharebeingleviedtofinancethe198budgetarerecorded asrevenueforthe198fiscalyear.the197taxlevyisrecordedasdefeltedrevenue inthedistrict's197financialstatements.changesforservesarerecordedwhenearned sincetheyaremeasurableandavailable.miscelaneousrevenuesarerecordedas revenueswhenreceivedincashbythedistrictbecausetheyaregeneralynotmeasurable untilactualyreceived.

10 (Continued) ExhibitD Note1-SUMARYOFSIGNIFICANTACOUNTINGPOLICIES(Continued) c)basisofacounting(continued) Expendituresaregeneralyrecognizedunderthemodifiedacrualbasisofacounting whentherelatedfundliabilityisincured. d)useofestimates Thepreparationof'mancialstatementsinconformitywithgeneralyaceptedacounting principlesrequiresmanagementomakestimatesandasumptionsthatafectcertain reportedamountsandisclosures.acordingly,actualresultscouldiferfromthose estimates. e)operatingbudgetarydata AsrequiredbyLouisianaRevisedStatute39:1303,theBoardofConunisioners(tile Board)adoptedabudgetfortheDistrict'sGeneralFundandSpecialRevenueFund.The Board,asalowedbystatelaw,doesnotobtainpublicparticipationinthebudgetproces. Anyamendmentinvolvingtheansferofmoniesfromonefunctiontoanotheror increasesinexpendituresmustbeaprovedbytheboard.thedistrictamendedits GeneralFundandSpecialRevenueFundbudgetseveraltimesdtLringtheyear.Albudgetedamountswhicharenotexpended,orobligatedthroughcontracts,lapseatyearend. Tl~eGeneralFundandSpecialRevenueFundbudgetsareadoptedonabasismaterialy consistentwithgeneralyaceptedacountingprinciples. f)baddebts TilefinancialstatementsfortheDistrictcontainoalowanceforbaddebts. Uncolectibleamountsdueforadvaloremtaxesandothereceivablesarerecognizedas badebtsathetimeinformationbecomesavailablewhichwouldindicatethe uncolectibilityoftheparticularreceivable.theseamountsarenotconsideredtobe materialinrelationtothefinancialpositionoroperationsofthefunds. g)investments Investmentsarestatedatcost,whichaproximatesmarket.

11 (Continued) ExhibitD Note1-SUMARYOFSIGNIFICANTACOUNTINGPOLICIES(Contined) h)fixedasets Fixedasetsusedingovernmentalfundtypeoperations(fixedasets)areacountedfor inthegeneralfixedasetsacountgroup,ratherthaningovernmentalfunds.the AcountGroupisnotafund.Itisconcernedonlywiththemeasurementofinancial position. Alfixedasetsarevaluedathistoricalcostorestimatedhistoricalcostifactualhistorical costisnotavailable.fixedasetswithanestimatedhistoricalcostamountedto i)vacationandsickleave aproximately$383,50or43%ofthetotalgeneralfixedasetsacountgroup. EmployesoftheDislrictearntwoweksofvacationafteroneyearofservicewithout caryoverprovisions.vacationisrecordedasanexpenseoftheperiodinwhichpaiḍ TheDistrictdoesnotpayemployesduringsickleave.Therewerenomaterialamounts ofunpaidvacationatdecember31,197. j)encumbrances Encumbranceacounting,underwhichpurchaseorders,contractsandothercolmnitmentsarerecordedinthefundgeneraledgers,isnotutilizedbytheDistrict. k)fundequity

12 (Continued) ExhibitD Note1-SUMARYOFSIGNIFICANTACOUNTINGPOLICIES(Continued) I)MemorandumOnly-TotalColumns Thetotalcolumnsonthegeneral-purposestatementsarecaptioned"MemorandumOnly" becausetheydonotrepresentconsolidatedfinancialinformationandarepresentedonly tofacilitatefinancialanalysis.thecolunmsdonotpresentinformationthatreflects financialposition,resultsofoperationsorcashflowsinacordancewithgeneraly aceptedacountingprinciples.interftmdeliminationshavenotbenmadeinthe agregationofthisdata. Note2-DEPOSITS Louisianastatelawalowsalpoliticalsubdivisionstoinvestexcesfundsinobligationsof theunitedstates,certificatesofdepositofstateornationalbankshavingtheirprincipal oficeinlouisianaoranyotherfederalyinsuredinvestment. Statelawalsorequiresthatdeposits(cashandcertificatesofdeposits)ofalpoliticalsubdivisionstobefulycolateralizedataltimes.AceptablecolateralizationincludesFDIC insuranceandthemarketvalueofsecuritiespurchasedandpledgedtothepoliticalsubdivision.obligationsoftheunitedstates,thestateoflouisianandcertainpolitical subdivisionsarealowedasecurityfordeposits.obligationsfurnishedasecuritymustbe heldbythepoliticalsubdivisionorwithanunafiliatedbankortrustcompanyforthe acountofthepoliticalsubdivision.inacordancewithstatelawalcashandepositswere colateralized. Cashandepositsarecategorizedintothrecategoriesofcreditrisk. Category1includesdepositscoveredbyfederaldepositoryinsuranceorbycolateral heldbythedistrictoritsagentinthedistrict'sname. Category2includesdepositscoveredbycolateralheldbytlepledgingfinancial institution'strustdepartmentoritsagentinthedistrict'sname. Category3includesdepositscoveredbycolateralheldbythepledgingfinancial institution,oritstrustdepartmentoragentbutnotinthedistrict'snameandeposits whichareuninsuredoruncolateralized. 10

13 (Continued) ExhibitD Note2-DEPOSITS(Continued) Theyearendbankbalancesofdepositsandthecaryingamountsashownontilecombined balanceshetareasfolows: BankBalances Cate~orv 2 3 Balance Bok Cash investments: Certificatesofdeposit $36,593 20,0.$ $36, Totals AtDecember31,197,cashandcertificatesofdepositinexcesoftheFD1Cinsurancewere $236,593 colateralizedbysecuritiesheldbyunafiliatedbanksfortheacountofthedistrict.the GovernmentalAcountingStandardsBoard(GASB),whichpromulgatesthestandardsfor acountingandfinancialreportingforstateandlocalgovermnents,considersthesesecurities uncolateralized.eventhoughthepledgedsecuritiesareconsidereduncolateralizedunder theprovisionsofgasbstatement3,louisianarevisedstatute39:129imposesastatutory requirementonthecustodialbanktoadvertiseandseltirepledgedsecuritieswithin10days ofbeingnotifiedbythedepositorthathefiscalagenthasfailedtopaydepositedfundsupon demand. Note3-PROPERTYTAXES PropertytaxesareleviedeachNovember1ontheasesedvaluelistedasoftheprior January1foralrealproperty,merchandiseandmovablepropertylocatedintheParish. AsesedvaluesarestablishedbytheTereboneParishAsesor'sOficeandtireStateTax ConunisionatpercentagesofactualvalueaspecifiedbyLouisianalaw.Arevaluation ofalpropertyisrequiredtobecompletednolesthaneveryfouryears.thelast revaluationwascompletedforfilelistofjanuary1,196.taxesaredueandpayable December31withinterestbeingchargedonpaymentsafterJanuary1.Taxescanbepaid throughthetaxsaledate,whichisthelastwednesdayinjune.propertiesforwhichthe taxeshavenotbenpaidaresoldfortheamountofthetaxes.thetaxratefortheyearended December31,197was$8.0per$1,0ofasesedvaluationonpropertywithin RecreationDistrictNo.6forthepurposeofconstructing,maintainingandoperating recreationalfacilitieswithinthedistrict.asindicatedinnoteic,taxesleviednovember 1,197areforbudgetedexpendituresin198andwilberecognizedasrevenuesin198.

14 (Continued) ExhibitD Note4-CHANGESINFIXEDASETS Asumaryofchangesinfixedasetsfolows Balance January Balance 1,197 Deletions December 31,197 Landandbuildings Machineryandequipment $808,750 Oficefurniture,fixtures andequipment 68,135 $ 7,418 10,10 $808,750 7,02 Totals 1,678 $84,303 $897,430 Note5-COMPENSATIONOFBOARDMEMBERS ThefolowingamountswerepaidtoBoardMembersfortheyearendedDecember31,197 BoardMembers MetingsAtended Numberof PerDiem RebecaBiliot RosalieCrochet 5 HerbertDeroche WandaLeCompte MontelaGuidry 8 $ ShirleyLevron 50 70* MarciaTrosclair PatsyNaquin Total *WandaLeComptedonatedherperdiemtotheDistrictforthremetings Note6-RISKMANAGEMENT TheDistrictparticipatesintheParish'sriskmanagementinternalservicefundsforgeneral liability,workers'compensation,groupinsuranceandautoliability.thedistrict'spremiums forgeneraliabilityarebasedonvariousfactorsuchasoperationsandmaintenancebudgeț 12

15 (Continued) ExhibitD Note6-RISKMANAGEMENT(Continued) exposureandclaimsexperience.thedistrictpaysmonthlypremiumstotheparishfor workers'compensationbasedonafixedpercentageofpayrol.thepremiumsforgroup insuranceisbasedonfixedratesperemploye.thepremiumforautoliabilityisbasedan claimsexperience,vehicletypeandmileage.theparishandlesalclaimsfiledagainsthe District.TileDistrictcouldhaveaditionalexposureforclaimsinexcesoftheParish's insurancecontractsasdescribedbelow: Coverage Limits GeneralLiability Workers'Compensation $6,50,0 Group Statutot2~ Auto $1,125,0 $6,250,0 Coverageforclaimsinexcesoftheabovestatedlimitsaretobefundedfirstbyasetsof fileparish'sriskmanagementinternalservicefund,$2,481,697forgeneraliability,worker's compensationandautoinsuranceand$3,603,62forgroupinsuranceatdecember31,196, thensecondlybythedistrictandotherparticipatingfundsandagencies.atdecember31, 197,theDistricthadnoclaimsinexcesoftheabovecoveragelimits. 13

16 ECIALREPORTOFCERTIFIEDP

17 BourgeoisBenet REPORTONCOMPLIANCEANDONINTERNALCONTROLOVER PURPOSEFINANCIALSTATEMENTSPERFORMEDINACORDANCE FINANCIALREPORTINGBASEDONANAUDITOFGENERAL- T TotheBoardofConunisioners, TereboneParishRecreationDislrictNo.6, Montegut,Louisiana. RecreationDistrictNo.6(theDistrict),acomponentunitoftheTerebomleParishConsolidated Wehaveauditedthegeneral-purposefinancialstatementsoftheTereboneParish Government,asofandfortheyearendedDecember31,197,andhaveisuedoureporthereon datedjune24,198.weconductedourauditinacordancewithgeneralyaceptedauditing standardsandthestandardsaplicabletofinancialauditscontainedingovernmentauditingstandards isuedbythecomptrolergeneraloftheunitedstates. Compliance financialstatementsarefreofmaterialmistatement,weperformedtestsofitscompliancewith AspartofobtainingreasonableasuranceaboutwhethertheDistrict'sgeneral-purpose certainprovisionsoflaws,regulations,contractsandgrants,noncompliancewithwhichcouldhave adirectandmaterialefectonthedeterminationofinancialstatementamounts.however,providing anopiniononcompliancewiththoseprovisionswasnotanobjectiveofourauditand,acordingly, wedonotexpresuchanopinion.theresultsofourtestsdisclosednoinstancesofnoncompliance thatarerequiredtobereportedundergovernmentauditingstandards InternalControlOverFinancialReporting financialreportinginordert~determineourauditingproceduresforthepurposeofexpresingour Inplaningandperformingouraudit,weconsideredtheDistrict'sinternalcontrolover opiniononthegeneral-purposefinancialstatementsandnotoprovideasuranceontheinternal controloverfinancialreporting.ourconsiderationoftheinternalcontroloverfinancialreporting wouldnotnecesarilydisclosealmatersintheinternalcontroloverfinancialreportingthatmightbe materialweakneses.amaterialweaknesisaconditioninwhichthedesignoroperationofone 1340WestTunelI~lvd,Suile430 POBox2168 Houma,LA }'hone(504) CcrlifiedPublk 14 Fax(504) ALimitedLiabilityCompanyPOBox606O AcountsntsIConsultanls NewO~leans,LA70] HeritagePlazA,Suite80 5(14WestSecondStred t'hone(504)83149zi9 Fax(504) POBox1205 q'hibodaux,ia I'hrne(504)

18 Houma,La., June24,198 CertifiedPublicAcountants 15

19 TereboneParishRecreationDistrictNo.6 FortheyearendedDecember31,197 SectionISumaryofAuditor'sResults a)financialstatements Typeofauditor'sreportisued:unqualified Internalcontroloverfinancialreporting ~Materialweaknes(es)identified? ~Reportablecondition(s)identifiedthatarenot yesxno consideredtobematerialweakneses? yesxnonereported Noncompliancematerialtofinancialstatementsnoted?I yesxno b)federalawards TereboneParishRecreationDistrictNọ6didnotreceivefederalawardsduringtileyearended December31,197. Section1FinancialStatementFindings NofinancialstatementfindingswerenoteduringtheauditfortheyearendedDecember31,197 SectionI1FederalAwardFindingsandQuestionedCosts Notaplicable 16

20 REPORTSBYMANAGEMENT

21 SCHEDULEOFPRIORYEARFINDINGS TereboneParishRecreationDistrictNo.6 FortheyearendedDecember31,197 Section1InternalControlandComplianceMaterialtotheGeneral-PurposeFinancialStatements InternalControl NomaterialweakneseswerenoteduringtheauditfortheyearendedDecember31,196. NoreportableconditionswerenoteduringtheauditfortheyearendedDecember31,196 Compliance Nocompliancefindingsmaterialtothegeneral-purposefinancialstatementswerenoteduring theauditfortheyearendeddecember31,196. SectionI1InternalControlandComplianceMaterialtoFederalAwards TelxeboneParishRecreationDistrictNo.6didnotreceivefederalawardsduringtheyearended December31,196. SectionI!1ManagementLeter AinanagementleterwasnotisuedinconectionwiththeauditfortheyearendedDecember

22 MANAGEMENT'SCORECTIVEACTIONPLAN TereboneParishRecreationDistrictNo.6 FortheyearendedDecember31,197 SectionInternalControlandComplianceMaterialtotheGeneral-PurposeFinancialStatements InternalControl NomaterialweakneseswerenoteduringtheauditfortileyearendedDecember31,197. Compliance NoreportableconditionswerenoteduringtheauditfortheyearendedDecember31,197 Nocompliancefindingsmaterialtothegeneral-purposefinancialstatementswerenoteduring theauditfortheyearendeddecember31,197. Section!1InternalControlandComplianceMaterialtoFederalAwards TereboneParishRecreationDistrictNo.6didnotreceivefederalawardsduringtheyearended December31,197. Section!1IManagementLeter AmanagementleterwasnotisuedinconectionwiththeauditfortheyearendedDecember

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24 BourgeoisBenflet I F TotheBoardofComisioners, TereboneParishRecreationDistrictNọ6 Montegut,Louisiana. AUDI LYACEPTEDAUDITINGSTAN- Astatedinourengagementleter,ouresponsibility,asdescribedbyprofesional standards,istoplanandperformourauditobtainreasonable,butnotabsolute,asurance aboutwhetherthegeneral-purposefinancialstatementsarefreofmaterialmistatement. Becauseoftheconceptofreasonableasuranceandbecausewedidnotperformadetailed examinationofaltransactionșthereisariskthatmaterialen'ors,fraudorotherilegalacts mayexistandnotbedetectedbyus. Aspartofouraudit,weconsideredtheinternalcontroloftheDistrict.Suchconsiderations weresolelyforthepurposeofdeterminingourauditproceduresandnotoprovideany asuranceconcerningsuchinternalcontrol. Aspartofobtainingreasonableasuranceaboutwhetherthefinancialstatementsarefre ofmaterialmistatement,weperformedtestsofthedistrict'scompliancewithcertain provisionsoflaws,regulations,contractsandgrants.however,theobjectiveofourtests wasnotoprovideanopiniononcompliancewithsuchprovisionṣ I IE Managementhastheresponsibilityforselectionanduseofapropriateacountingpolicieṣ Inacordancewiththetermsofourengagementleter,wewiladvisemanagementabout theapropfatenesofacountingpoliciesandtheiraplication.thesignificantacounting policiesusedbythedistrictaredescribedinnote1tothegeneral-purposefinancial Suite430 statements.nonewacountingpolicieswereadoptedandtheaplicationofexisting policieswasnotchangeduring197.wenotednotransactionsenteredintobythedistrict ALimitedLiabilityQonlp~yIHeritageI']aza,Suite80 A~countal~tsJConsultntsINewC~le~r~s,LA CertifiedPublic[POBox WestSecoldS~I~c[ IPhone(504) Il,~(504) 'O}~on1205 Thibodaux,I,A Phone(504)

25 TotheBoardofComisioners, Page2 TereboneParishRecreationDistrictNo.6, duringtheyearthatwerebothsignificantandunusual,andofwhich,underprofesional (Continued) standards,wearerequiredtoinformyou,ortransactionsforwhichthereisalackof authoritativeguidanceorconsensus. E Acountingestimatesareanintegralpartofthegeneral-purposefinancialstatements preparedbymanagementandarebasedonmanagement'sknowledgeandexperienceabout pastandcurenteventsandasumptionsaboutfuturevents.certainacountingestimates areparticularlysensitivebecauseoftheirsignificancetothegeneral-purposefinancial statementsandbecauseoftheposibilitythatfutureventsafectingthemaydifer significantlyfromthosexpected.themostsensitivestimatesafectingthefinancial statementsrelatetoestimatedhistoricalcostofixedasets,colectibilityofacounts receivableandvaluationofacruedexpenditures.wevaluatedthekeyfactorsand asumptionsusedtodevelopthestimatesindeterminingthatitisreasonableinrelationto thefinancialstatementstakenasawhole.managementhasprovideduswithrepresentationsconcerningestimates. F Wedidnotinitiateanysignificantauditadjustmentsduringourecentaudit. oftereboneparishrecreationdistrictno.6andshouldnotbeusedforanyotherpurpose. ThisinformationisintendedsolelyfortheuseoftheBoardofComisionersandmanagement However,thisreportisamaterofpublicrecord,anditsdistributionisnotlimited. Houma,La., June24,198 CertifiedPublicAcountants