West Haven Community House Association, Inc. Financial Statements (With Supplementary Information) and Independent Auditor's Report

Transcription

1 Financial Statements (With Supplementary Information) and Independent Auditor's Report

2 Index Page Independent Auditor's Report 2-3 Statements of Financial Position 4 Statements of Activities 5 Statements of Cash Flows Supplementary Information: Schedule of Functional Expenses 16 1

3 Independent Auditor's Report To the Board of Directors West Haven Community House Association, Inc. Report on Financial Statements We have audited the accompanying financial statements of West Haven Community House Association, Inc. (a nonprofit organization), which comprise the statements of financial position as of, and the related statements of activities and cash flows for the years then ended, and the related notes to the financial statements. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risk of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. 2

4 Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of West Haven Community House Association, Inc. as of June 30, 2014 and 2013, and the changes in its net assets and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America. Other Matter Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The information on page 16 is presented for purposes of additional analysis of the financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the 2014 financial statements. The information has been subjected to the auditing procedures applied in the audit of the 2014 financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the 2014 financial statements or to the 2014 financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the 2014 financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated December 29, 2014 on our consideration of West Haven Community House Association, Inc.'s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering West Haven Community House Association, Inc.'s internal control over financial reporting and compliance. C Hartford, Connecticut December 29,

5 Statements of Financial Position Assets Current assets: Cash and cash equivalents $ 281,015 $ 166,859 Accounts receivable 63,216 43,711 Grants receivable 283, ,272 Prepaid expenses 31,052 15,532 Total current assets 659, ,374 Property and equipment: Buildings and improvements 4,970,093 4,970,093 Vehicles 409, ,166 Land and land improvements 326, ,839 Furniture and fixtures 159, ,280 5,865,704 5,850,378 Less accumulated depreciation and amortization (3,702,367) (3,526,709) Total property and equipment, net 2,163,337 2,323,669 Other assets: Cash and investments held for long-term purposes 598, ,905 Other assets 10,294 11,348 Total other assets 608, ,253 Total assets $ 3,431,014 $ 3,388,296 Liabilities and Net Assets Current liabilities: Accounts payable and accrued expenses $ 367,830 $ 302,005 Mortgages and notes payable, current portion 106, ,608 Deferred revenue - 18,499 Deferred grant revenue 99, ,478 Total current liabilities 574, ,590 Long-term liabilities: Mortgages and notes payable, net of current portion 849, ,685 Advances from third party 24,155 24,155 Total long-term liabilities 874, ,840 Total liabilities 1,448,012 1,474,430 Net assets: Unrestricted - board designated 120, ,263 Unrestricted - undesignated 1,347,445 1,374,672 Temporarily restricted 223, ,769 Permanently restricted 291, ,162 Total net assets 1,983,002 1,913,866 Total liabilities and net assets $ 3,431,014 $ 3,388,296 See. 4

6 Statements of Activities Years Ended Changes in unrestricted net assets: Program revenue: Governmental grants and purchases of services $ 5,180,832 $ 4,768,282 Program service fees 1,006,677 1,094,366 Residential room and board 120, ,980 Special fundraising events 68,178 38,198 Contributions 97, ,339 Program income 14,312 20,720 Investment income Contributions and fundraising events designated by the Board of Directors for long-term use - 8,402 Investment gains on board designated funds for endowment 17,421 10,434 Miscellaneous income 66,864 62,365 Net assets released from restrictions: Satisfaction of program restrictions 33,289 20,000 Total support and revenue 6,606,321 6,303,294 Expenses: Program services: Disabled adults 3,129,271 2,946,896 Head start 1,919,851 1,906,262 Children and youth 842, ,767 Supportive services: General and administrative 645, ,600 Fundraising and other 78,573 37,565 Total expenses 6,616,127 6,530,090 Decrease in unrestricted net assets (9,806) (226,796) Changes in temporarily restricted net assets: Contributions 37,424 33,289 Investment gains - donor designated 68,922 43,625 Satisfaction of program restrictions (33,289) (20,000) Increase in temporarily restricted net assets 73,057 56,914 Changes in permanently restricted net assets: Contributions 5,885 11,170 Increase in permanently restricted net assets 5,885 11,170 Change in net assets 69,136 (158,712) Net assets, beginning of year 1,913,866 2,072,578 Net assets, end of year $ 1,983,002 $ 1,913,866 See. 5

7 Statements of Cash Flows Years Ended Operating activities: Change in net assets $ 69,136 $ (158,712) Adjustments to reconcile change in net assets to net cash provided by operating activities: Depreciation and amortization 206, ,848 Gain on sale of equipment (6,500) (16,815) Contributions received for long-term purposes (5,885) (11,170) Changes in operating assets and liabilities: Accounts receivable (19,505) 18,508 Grants receivable 37,305 11,372 Prepaid expenses (15,520) 25,088 Other assets 1,054 1,053 Accounts payable and accrued expenses 65,825 48,576 Deferred revenue (18,499) (23,709) Deferred grant revenue (5,559) (52,280) Net cash provided by operating activities 308,267 49,759 Investing activities: Proceeds from sale of vehicles 6,500 18,035 Increase in investments held for long-term purposes (92,228) (73,631) Net cash used in investing activities (85,728) (55,596) Financing activities: Payments on mortgages and notes payable (114,268) (109,795) Contributions restricted for long-term purposes 5,885 11,170 Net cash used in financing activities (108,383) (98,625) Net increase (decrease) in cash and cash equivalents 114,156 (104,462) Cash and cash equivalents, beginning of year 166, ,321 Cash and cash equivalents, end of year $ 281,015 $ 166,859 Supplemental disclosure of cash flow data: Cash paid during the year for interest $ 50,336 $ 59,255 Noncash investing and financing activities: Total property and equipment additions $ 45,028 $ 43,564 Amount financed (45,028) (43,564) Cash paid $ - $ - See. 6

8 Note 1 - Organization and summary of significant accounting policies Organization West Haven Community House Association, Inc. (the "Organization") is a private not-forprofit organization located in West Haven, Connecticut. The Organization exists to facilitate healthy, productive, independent and meaningful lives for children, adolescents and families, and individuals with disabilities. The Organization annually provides services to 1,000 area residents. Basis of presentation The accompanying financial statements have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America. The Organization reports information regarding its financial position and activities according to three classes of net assets: unrestricted, temporarily restricted and permanently restricted. They are described as follows: Unrestricted - Net assets that are not subject to explicit donor-imposed stipulations. Unrestricted net assets may be designated for specific purposes by action of the Board of Directors. Temporarily Restricted - Net assets whose use by the Organization is subject to either explicit donor-imposed stipulations or by operation of law that can be fulfilled by actions of the Organization or that expire by the passage of time. Permanently Restricted - Net assets subject to explicit donor-imposed stipulations that they be maintained permanently by the Organization and stipulate the use of income and/or appreciation (depreciation) as either unrestricted or temporarily restricted based on donorimposed stipulations or by operation of law. Tax exempt status The Organization is tax exempt under Section 501(c)(3) of the Internal Revenue Code. For this reason, the Organization is not subject to Federal or state income taxes and, as such, no income taxes have been recorded. The Organization has no unrecognized tax benefits at. The Organization's Federal and state information returns prior to fiscal year 2011 are closed and management continually evaluates expiring statutes of limitations, audits, proposed settlements, changes in tax law and new authoritative rulings. If the Organization had unrelated business income taxes it would recognize any interest and penalties associated with tax matters as part of the income tax provision and include any accrued interest and penalties with the related tax liability in the statements of financial position. 7

9 Investments The Organization reports investments at their current fair value and reflects any gain or loss within the accompanying statements of activities. Gains and losses are considered unrestricted unless restricted by donor stipulation or law. Non-monetary investments received as gifts are immediately sold and recorded at the realized value. Property and equipment The Organization capitalizes all expenditures for property and equipment in excess of $5,000 and with a useful life greater than three years in accordance with guidelines established by State of Connecticut granting agencies. Purchased property and equipment are carried at cost. Donated property and equipment are carried at the approximate fair value at the date of donation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Estimated useful lives for financial reporting purposes are as follows: Asset Buildings and improvements Furniture and equipment Vehicles Land improvements Estimated Useful Lives 5-40 years 3-15 years 3 years 5-30 years Expenditures for repairs and maintenance are charged to expense as incurred. For assets sold or otherwise disposed of, the cost and related accumulated depreciation are removed from the statements of financial position, and any resulting gain or loss is reflected in the statements of activities. Impairment of long-lived assets The Organization reviews long-lived assets for impairment using an undiscounted cash flow method whenever events or circumstances indicate the carrying value of an asset may not be recoverable. If such impairment indicators are present and amounts are not fully recoverable from projected undiscounted cash flows of the related asset, then the Organization recognizes a loss to the extent that the carrying value exceeds fair value. There were no impairment losses related to long-lived assets during the years ended June 30, 2014 or Revenue recognition Grants and contracts The Organization manages residential facilities, supported living programs, day programs and schools for individuals with special needs. The residential facilities are reimbursed according to regulations governing Community Living Arrangements and revenue is recognized when allowable expenditures are incurred. Food and lodging costs are reimbursed by the Connecticut Department of Social Services ("DSS") and other covered expenses are reimbursed by the Connecticut Department of Developmental Services ("DDS"). Services provided by the Organization related to the day programs and supported living programs are billed through a fiscal intermediary and/or reimbursed through a direct contract with DDS. Reimbursement of certain expenses is subject to maximum per diem rate limitations and annual cost settlement regulations. 8

10 The Organization operates a Headstart early childhood program that provies quality early care and education. Costs are reimbursed by the U.S. Department of Health and Human Services and by the State of Connecticut Department of Education. In addition, early childhood programs generate program service fees. These fees are recognized as revenue when services are provided. Contributions Contributions received are recorded as unrestricted, temporarily restricted or permanently restricted support depending on the existence and/or nature of any donor restrictions. Support that is restricted by the donor is reported as an increase in unrestricted net assets if the restriction expires in the reporting period in which the support is recognized. All other donor-restricted support is reported as an increase in temporarily or permanently restricted net assets, depending on the nature of the restriction. When a restriction expires (that is, when a stipulated time restriction ends or purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and reported in the statements of activities as net assets released from restrictions. Gifts of long-lived assets The Organization reports gifts of land, buildings and equipment as unrestricted support unless explicit donor stipulations specify how the donated assets must be used. Gifts of long-lived assets with explicit restrictions that specify how the assets are to be used and gifts of cash or other assets that must be used to acquire long-lived assets are reported as restricted support. Absent explicit donor stipulations about how long those long-lived assets must be maintained, the Organization reports expirations of donor restrictions of acquired long-lived assets when placed in service. Functional expenses The costs of providing various programs and other activities have been summarized on a functional basis in the accompanying statements of activities. Accordingly, certain costs have been allocated among the programs and supporting services benefited. Use of estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Subsequent events The Organization has evaluated subsequent events through December 29, 2014, which is the date the financial statements were available to be issued. 9

11 Note 2 - Concentrations of credit risk Cash At times, the Organization maintains bank accounts in commercial banks with balances that exceed the Federal insurance limits. The Organization has not experienced any losses in these accounts and believes it is not exposed to any significant credit risk since the balances are maintained at a large, regional financial institution. Funding source concentrations The Organization's program revenue is primarily derived from contracts with DDS. Following is the funding detail from this department: June 30, 2014 June 30, 2013 Granting Agency Receivables Revenue Receivables Revenue CT Department of Developmental Services: 29.3% 49.4% 24.3% 45.1% Amounts $ 101,616 $ 3,292,680 $ 87,077 $ 2,844,492 Accounts receivable Accounts receivable are stated at unpaid balances, less an allowance for doubtful accounts. Allowances for accounts receivable are determined by management based on an assessment of their collectability. Management considers past history, current economic conditions and overall viability of the third party. Receivables are written off only when management believes amounts will not be collected. Receivables are considered past due based on the invoice date. As of, no allowance for doubtful accounts was deemed necessary. Note 3 - Investments and fair value measurements The Organization values its financial assets and liabilities based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, a fair value hierarchy that prioritizes observable and unobservable inputs is used to measure fair value into three broad levels, which are described below: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. Level 2: Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in inactive markets; or model-derived valuations in which all significant inputs are observable or can be derived principally from or corroborated with observable market data. Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement. The fair value hierarchy gives the lowest priority to Level 3 inputs. 10

12 In determining fair value, the Organization utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value. Financial assets carried at fair value at are classified in the tables below in one of the three categories described above: 2014 Level 1 Level 2 Level 3 Total Community Foundation for Greater New Haven, Inc. $ - $ - $ 573,190 $ 573,190 Cash equivalents 24, ,943 Total assets at fair value $ 24,943 $ - $ 573,190 $ 598, Level 1 Level 2 Level 3 Total Community Foundation for Greater New Haven, Inc. $ - $ - $ 486,847 $ 486,847 Cash equivalents 19, ,058 Total assets at fair value $ 19,058 $ - $ 486,847 $ 505,905 Investments held for long-term purposes are classified as Level 3 using allocations provided by the third party. Details regarding investments held for long-term purposes measured at fair value on a recurring basis using significant unobservable inputs (Level 3) are as follows: June 30, 2012 $ 412,763 Change in value 40,665 Investment income, net of fees 13,419 Contributions 20,000 June 30, ,847 Change in value 67,860 Investment income, net of fees 18,483 Contributions - June 30, 2014 $ 573,190 The following table represents the Organization's Level 3 financial instruments, the valuation techniques used to measure the fair value of those financial instruments and the significant unobservable inputs: Instrument Community Foundation for Greater New Haven, Inc. Principal Valuation Fair Value Technique $ 573,190 Valuation of underlying assets are provided by foundation Unobservable Inputs Significant Input Values Weighted Average Base price N/A N/A There have been no changes in valuation techniques and related inputs used at June 30, 2014 and

13 The preceding methods may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Organization believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. Note 4 - Line of credit The Organization has a $400,000 revolving line of credit that is payable on demand. Bank advances on the credit line are payable on demand and carry an interest rate of prime plus.50%, but never at a rate lower than 5.25% (the prime rate at June 30, 2014 was 3.25%). The credit line is secured by all business assets. At, there were no outstanding amounts due under the line of credit. Note 5 - Mortgages and notes payable Mortgages and notes payable consist of the following at : Mortgage payable to a bank due in monthly installments of $4,198 including interest at 5.25% until November 2015 and adjusted every ten years thereafter, secured by property at 662 Campbell Avenue (West Haven, CT) and a third mortgage on 227 Elm Street (West Haven, CT), maturing November $ 392,623 $ 417,941 Mortgage payable to the Connecticut Housing Finance Authority due in monthly installments of $1,789 including interest at %, secured by property at Wood Street (West Haven, CT), maturing September In addition, the mortgage requires the Organization to make a monthly contribution of $217 to a repair and replacement reserve account. 172, ,192 Mortgage payable to a bank due in monthly installments of $2,325 including interest at 3.25% until June 2014 and adjusted every five years thereafter, secured by property and all business assets at 227 Elm Street (West Haven, CT), maturing June , ,597 Mortgage payable to a bank due in monthly installments of $1,608 including interest at 5.25% until November 2022 and adjusted every ten years thereafter, secured by properties at Savin Avenue (West Haven, CT) and 227 Elm Street (West Haven, CT), maturing November , ,523 12

14 Various notes payable due in monthly installments including interest, secured by vehicles, maturing between 2014 and 2017 and interest rates ranging between 4.9% and 6.99% $ 128,742 $ 130, ,108 1,024,293 Less current portion (106,263) (106,608) $ 849,845 $ 917,685 Future principal payments under the mortgages and notes payable as of June 30, 2014 are as follows: Year Ending June 30, 2015 $ 106, , , , ,544 Thereafter 490,335 $ 956,108 Interest expense was $50,336 and $59,255 for the years ended, respectively. Note 6 - Endowment The Organization's endowment includes donor-restricted endowment funds. As required by accounting principles generally accepted in the United States of America, net assets associated with endowment funds, including funds designated by the Board of Directors to function as endowments, are classified and reported based on the existence or absence of donor-imposed restrictions. The Board of Directors has interpreted the Connecticut Uniform Prudent Management of Institutional Funds Act ("CTUPMIFA") as requiring the preservation of the fair value of the original gift as of the gift date of the donor-restricted endowment funds absent explicit donor stipulations to the contrary. As a result of this interpretation, the Organization classifies as permanently restricted net assets (a) the original value of gifts donated to the permanent endowment, (b) the original value of subsequent gifts to the permanent endowment and (c) accumulations to the permanent endowment made in accordance with the direction of the applicable donor gift instruments at the time the accumulation is added to the fund. The remaining portion of the donor-restricted endowment fund that is not classified in permanently restricted net assets is classified as temporarily restricted net assets until those amounts are appropriated for expenditure by the Board of Directors in a manner consistent with the standard of prudence prescribed by CTUPMIFA. In accordance with CTUPMIFA, the Organization considers the following factors in making a determination to appropriate or accumulate donor-restricted endowment funds: 13

15 1. The duration and preservation of the fund 2. The purposes of the Organization and the donor-restricted endowment fund 3. General economic conditions 4. The possible effect of inflation and deflation 5. The expected total return from income and the appreciation (depreciation) of investments 6. Other resources of the Organization 7. The investment policies of the Organization Endowment net asset composition by type of fund as of June 30, 2014 is as follows: Temporarily Restricted Permanently Restricted Unrestricted Total Donor-restricted endowment funds $ - $ 186,402 $ 291,047 $ 477,449 Board-designated 120, ,684 endowment funds $ 120,684 $ 186,402 $ 291,047 $ 598,133 Endowment net asset composition by type of fund as of June 30, 2013 is as follows: Temporarily Restricted Permanently Restricted Unrestricted Total Donor-restricted endowment funds $ - $ 117,480 $ 285,162 $ 402,642 Board-designated 103, ,263 endowment funds $ 103,263 $ 117,480 $ 285,162 $ 505,905 Changes in endowment net assets for the year ended June 30, 2014 is as follows: Temporarily Restricted Permanently Restricted Unrestricted Total Endowment net assets, beginning of year $ 103,263 $ 117,480 $ 285,162 $ 505,905 Net investment income 3,729 14,754-18,483 Net realized and unrealized appreciation 13,692 54,168-67,860 Contributions - - 5,885 5,885 Endowment net assets, end of year $ 120,684 $ 186,402 $ 291,047 $ 598,133 Changes in endowment net assets for the year ended June 30, 2013 is as follows: Temporarily Restricted Permanently Restricted Unrestricted Total Endowment net assets, beginning of year $ 84,427 $ 73,855 $ 273,992 $ 432,274 Net investment income 2,585 10,809-13,394 Net realized and unrealized depreciation 7,849 32,816-40,665 Contributions 8,402-11,170 19,572 Endowment net assets, end of year $ 103,263 $ 117,480 $ 285,162 $ 505,905 14

16 From time to time, the fair value of assets associated with individual donor-restricted endowment funds may fall below the level that the donor or applicable law requires the Organization to retain as a fund of perpetual duration. There were no such deficiencies as of. Note 7 - Temporarily restricted net assets Temporarily restricted net assets are available for the following purposes as of June 30: Neighborhood Assistance Act $ 27,424 $ 25,789 Kids in the Neighborhood 10,000 7,500 Earnings on permanently restricted net assets 186, ,480 $ 223,826 $ 150,769 Note 8 - Operational advances When a facility commences operations, the Organization may receive an operational advance equal to service revenue for one month based on full capacity. These operational advances are applied against the final reimbursement when a facility ceases its agency relationship with DDS. Total operational advances received by the Organization were $24,155 as of both. 15

17 Schedule of Functional Expenses Year Ended June 30, 2014 (With Comparative Totals for 2013) General Disabled Head Children and Fundraising Adults Start and Youth Admnistrative and Other Total Total Salaries $ 2,046,709 $ 1,169,567 $ 575,238 $ 464,647 $ 28,062 $ 4,284,223 $ 4,268,539 Payroll taxes and benefits 403, ,146 98,869 68,452 3, , ,684 Client salaries 27, ,954 22,934 Occupancy 31,665 75,336 25, , ,734 Program supplies 51,230 17,599 12,937-8,848 90,614 88,501 Food 35, ,448 28,407 3, , ,649 Professional fees and consulting 104,902 25,421 7,837 4, , ,287 Office supplies and expenses 36,382 60,233 11,738 51,867 1, , ,838 Vehicle expenses 134,480-24, , ,394 Interest 35,052 2, ,063 47,357 54,511 Repairs and maintenance 57,151 83,652 23,027 14,792 10, , ,990 Staff development 6,718 19,857 1,727 1,629-29,931 24,489 General insurance 13,445 16,587 6,717 4,772 3,420 44,941 38,906 Parent, staff and child activities 10,270 7,498 6, ,922 14,331 Miscellaneous - 2,428 5,687 15,165-23,280 9,922 Telephone 8,824 2,508 5, ,970 15,817 Dues, licenses and subscriptions 6,270 4, ,762-15,413 16,822 Travel 7,884 9, ,012 11,033 Real estate and sewer use tax 10,601 1, ,298 13,265 12,861 Depreciation and amortization 100,669 75,945 7,723 10,165 11, , ,848 Total program expenses $ 3,129,271 $ 1,919,851 $ 842,703 $ 645,729 $ 78,573 $ 6,616,127 $ 6,530,090 See Independent Auditor's Report. 16