EMERGENCY AID CENTER FRANKLIN, LOUISIANA COMPILED FINANCIAL STATEMENTS. December 31,2010 and 2009

Transcription

1 ^ ^ EMERGENCY AID CENTER COMPILED FINANCIAL STATEMENTS December 31,2010 and 2009 Under provisions of state law, this report is a pubiic. document. Acopy of the report has been submitted to the entity and other appropriate public officials. The report is available for public inspection at the Baton Rouge office of the Legislative Auditor and. where appropriate, a,t the office of the parish clerk of court. Release Date SEP ^

2 EMERGENCY AH) CENTER FRANKLIN, LOUISLANA TABLE OF CONTENTS PAGE INDEPENDENT ACCOUNTANT'S COMPILATION REPORT 1 FINANCIAL STATEMENTS Statements of Financial Position 2 Statements of Activities 3 Statement of Functional Expenses December 31, Statement of Functional Expenses December 31, Statements of Cash Flows 6 Notes to the Financial Statements 710

3 C. Burton Koldof, CPA* Russell F. Champagne, CPA* Victor R. Slaven. CPA" p. Troy Courville. CPA* Gerald A. Thibodoaux, Jr..GPA' Robert S. Carter, CPA* Arthur R. Mixon, CPA* TynesE. Mixon, Jr.. CPA Allen J. LoBry, CPA Albert R. Leger, CPA,PFS,CSA' Penny Angeile Scatggins, CPA Christine L. Cousin. CPA Mary T. Thibodeaux. CPA MarshaJf W. Guidry, CPA Alan M. Taylor, CPA James R. Roy. CPA Robert J. Ntslz, CPA Kelly M. Doucat, CPA Cner/I L. Bartley, CPA, CVA Mandy B. Self, CPA Paul L. Dolcambre, Jr. CPA Wanda F. Arcement, CPA. CVA Kristin B. Dauzat. CPA Richard R. Anderson Sr.. CPA Carolyn C. Anderson, CPA Retired. Conrad 0. Chapman. CPA* 2006 Harry J. Clostio, CPA 2007 ' A Piokistoiiat Accounb'ns Cofpcralkn KOLDER, CHAMPAGNE, SLAVEN & COMPANY, LLC CERTIFIED PUBLIC ACCOUNTANTS INDEPENDENT ACCOUNTANT'S COMPILATION REPORT 183 South Beadle Rd. Lofayette. LA Phone ( Fax (337) OFFICES 450 East Main Street New iboria, LA Phone (337) S Fax (337) East Bridge St. 200 South f^ln Street Broaux Bridge. LA Abbeville, LA Phone (337) Phono (337) Fax (337) Fax (337) David Dr. Sts 203 Morgan Cfiy. LA Phone (985) Fajf (985) Wosl Cotton Street Viiie Platte, LA Phone (337) Fax (337) West Sixth Avenue Obe/iin. LA Phone (337) Fax (337) 639^558 WEB SITE; Main Street Franklin. LA Phone (337) Fax (337) EastWaddilSt. MarkBVille LA Phone (318) Fax (316) Nt3lr> Street Pineville, LA Phono (318) Fax (318) To the Board of Directors Emergency Aid Center Franklin, Louisiana We have compiled the accompanying statements of financial position ofthe Emergency Aid Center (a nonprofit organization) as of December 31, 2010 and 2009, and the related statements of activities, functional expenses and cash flows for the years then ended. We have not audited or reviewed the accompanying fmancial statements and, accordingly, do not express an opinion or provide any assurance about whether the fmancial statements are in accordance with accounting principles generally accepted in the United States of America. Management is responsible for the preparation and fair presentation ofthe financial statements in accordance with accounting principles generally accepted in the United States of America and for designing, implementing, and maintaining intemal control relevant to the preparation and fair presentation ofthe financial statements. Our responsibility is to conduct the compilation in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. The objective of a compilation is to assist management in presenting financial information in tlie form of financial statements without undertaking to obtain or provide any assurance that there are no material modifications that should be made to the financial statements. Franklin, Louisiana June 1,2011 Kolder, Champagne, Slaven & Company, LLC Certified Public Accountants Member of: AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS Member of: SOCIETY OF LOUISIANA CERTIFIED PUBLIC ACCOUNTANTS

4 FRANTCLIN, LOUISIANA STATEMENTS OF FINANCIAL POSITION December 31,2010 and 2009 ASSETS Current assets: Cash in bank $ 39,206 $ 44,994 Property equipment (net) 1,590 2,253 Total assets $ 40,796 $ 47,247 LIABILITIES AND NET ASSETS Current liabilities: Accrued expenses $ 573 $ 572 Net assets: Unrestricted 40,223 46,675 Total liabilities and net assets $ 40,796 $ 47,247 See accompanying notes and accountant's report. 2

5 FRANKLIN, LOUISL\NA STATEMENTS OF ACTIVITIES Years Ended December 31, 2010 and UNRESTRICTED NET ASSETS Support Business Organizations Churches hidividuals Local Parish Govemment Special Events $ 9,502 5,724 6,252 5, $ 8,945 13,741 4,913 5,400 Total unrestricted support 2 7, ,999 Net assets released from restrictions Restrictions satisfied by payments: United Way Services funding for the year FEMA funding for the year Total unrestricted support and reclassifications 40,000 7,427 75,208 50,499 9,041 92,539 Expenses Program services General supporting services Total expenses 61,434 20,226 81,660 65,344 20,454 85,798 Increase (decrease) in unrestricted net assets Net assets, beginning of year (6,452) 46,675 6,741 39,934 Net assets, end of year $ 40,223 $ 46,675 See accompanying notes and accountant* s report. 3

6 STATEMENT OF FUNCTIONAL EXPENSES Year Ended December 31,2010 Specific assistance to individuals Food Shelter Utilities Other Total assistance Program Services $ 6,228 7,979 10,898 1,541 General Supporting Services $ Total $ 6,228 7,979 10,898 1,541 26,646 26,646 Other expenses Salaries Employee Benefits Payroll Taxes Professional Fees Office Supplies Telephone Occupancy Miscellaneous Insurance Total other expenses 23,879 2,388 1, , ,121 1, ,599 1,698 36,000 3,600 2, , ,698 34,788 19,563 54,351 Total expenses before depreciation Depreciation 61,434 19, , Total expenses 61,434 $ 20,226 $ 81,660 See accompanying notes and accountant's report.

7 STATEMENT OF FUNCTIONAL EXPENSES Year Ended December 31, 2009 Specific assistance to individuals Food Shelter Utilities Other Total assistance Program Services $ 6,510 10,004 13,663 1,063 31,240 General Supporting Services $ _ Total $ 6,510 10,004 13,663 1,063 31,240 Other expenses Salaries Employee Benefits Payroll Taxes Professional Fees Office Supplies Telephone Occupancy Miscellaneous Insurance Total other expenses 23,879 2,322 1, ,604 34,104 12,121 1, , ,793 19,763 36,000 3,500 2, ,104 6, ,793 53,867 Total expenses before depreciation Depreciation 65,344 19, , Total expenses $ 65,344 $ 20,454 $ 85,798 See accompanying notes and accountant's report.

8 STATEMENTS OF CASH FLOWS Years Ended December 31,2010 and Cash Flows From Operating Activities: Excess ofrevenue over expenses $(6,452) $ 6,741 Adjustments to reconcile excess of revenues over expenses to net cash provided by operating activities: Depreciation Changes in operating assets and liabilities: Increase (decrease) in payroll taxes payable 1_ [6) Net cash provided (used) by operating activities Net increase in cash and cash equivalents Cash and cash equivalents, beginning of year Cash and cash equivalents, end of year (5,788) (5,788) 44,994 $ 39,206 7,426 7,426 37,568 $ 44,994 See accompanying notes and accountant's report. 6

9 NOTES TO THE FINANCIAL STATEMENTS NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Activities Emergency Aid Center (hereinafter "Center") is a voluntary agency that operates a center providing social services to needy families in western St. Mary Parish. The Center assisted approximately 1,100 disadvantaged families in the community and approximately 1,800 individuals, all of which live at or below poverty level. The Center is supported primarily through donor contributions, grants, and the United Way. Approximately 58% and 56% ofthe organization's normal recurring support for the years ended December 31,2010 and 2009, respectively, came from allocations from the United Way. Basis of Accounting The fmancial statements of the Center have been prepared on the accrual basis of accounting and accordingly reflect all significant receivables, payables, and other liabilities. Basis of Presentation The financial statements are prepared in accordance with FASB Codification Section FASB Codification Section states that a complete set of fmancial statements for a nonprofit organization includes (1) a statement of financial position, (2) a statement of activities, (3) a statement of cash flows, and (4) notes to the fmancial statements. In addition, voluntas health and welfare organizations are required to present a statement of functional expenses in a matrix format that reports expenses by bothfimctionand their natural classification. In accordance with FASB Codification Section , a statement of financial position focuses on the organization as a whole and, therefore, reports total assets, liabilities, and net assets by class (unrestricted, temporarily restricted, and permanently restricted). Permanently restricted net assets result from contributions and other inflows of assets whose use by the organization is limited by donorimposed stipulations that neitlier expire by the passage of time nor can be fulfilled or otherwise removed by actions ofthe Center. Temporarily restricted net assets result from contributions and other inflows of assets whose use by the organization is limited by donorimposed stipulations that either expire with the passage of time or can be fulfilled and removed by actions ofthe organization pursuant to those stipulations. Unrestricted net assets represent those assets which are not subject to donorimposed stipulations and, therefore, are assets the organization may use at its discretion.

10 NOTES TO THE F1NANCL\L STATEMENTS (CONTINUED) NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Support and Expenses AH revenues and support are considered to be available for unrestricted use unless specifically restricted by the donor. Amounts received that are restricted by the donor for specific purposes are reported as temporarily restricted or permanently restricted support that increases those net asset classes. When a donor restriction expires, that is, when a stipulated time restriction ends or purpose rgstricthn is accomplished, temporarily restricted net assets are reclassified to unrestricted net assets in the statement of activities as net assets are released from restrictions. Expenses are recorded when incurred in accordance with the accrual basis of accounting. Contributions The Center has adopted FASB Codification Section In accordance with FASB Codification Section , contributions are recognized when the donor makes a promise to give and are recorded as unrestricted, temporarily restricted, or permanently restricted support depending on the existence and/or nature of any donor restrictions. The Center reports gifts of cash and other assets as unrestricted support unless they are received with donor stipulations thai limit the use ofthe donated assets. When the donor restriction expires, that is, when the time restriction ends or the purpose restriction is accomplished, temporarily restricted net assets are reclassified to unrestricted net assets and reported in the statement of activities as net assets released from restrictions. The Center reports contributions of assets other than cash at their estimated fair value at the date of the gift and are reported as revenues of the unrestricted net asset class unless explicit donor stipulations specify how the donated asset must be used. Gifts of longlived assets w^ith explicit restrictions that specify how the assets are to be used and gifts of cash or other assets that must be used to acquire longlived assets are reported as revenues of the temporarily restricted or permanently restricted net asset classes. Absent explicit donor stipulations about how long those longlived assets must be maintained, the organization reports expiration of donor restrictions when the donated or acquired longlived assets are placed in seivice. All contributions are considered to be available for unrestricted use unless specifically restricted by the donor. Amounts received that are designated for future periods or restricted by the donor for specific purposes are reported as temporarily restricted or pennanently restricted support for future periods or restricted by the donor for specific purposes are reported as temporarily restricted or permanently restricted support that increases those net asset classes. When a qualifying expenditure occurs or a time restriction expires, temporarily restricted assets are recognized in unrestricted net assets as "net assets released from restrictions" in the statement of activities. However, if a restriction is fulfilled in the same period in which the contribution is received, the contribution is reported as an unrestricted contribution.

11 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTENLmD) Property & Equipment Purchased property and equipment are recorded at cost at the date of acquisition. Property and equipment purchased with gi;ant funds are recorded as temporarily restricted contributions. Property and equipment acquired by donation are recorded at the approximate fair value at the date ofthe donation. In the absence of donor stipulations regarding how long the assets must be used, the organization has adopted a policy of implying a time restriction that expires over the useful life ofthe assets. Depreciation is recorded over tlie estimated useftil lives ofthe assets using accelerated methods. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Contributed Services The Center receives donated services from a variety of unpaid volunteers who assist the organization in various ways. No amounts have been reflected in the statement of activities for those services since they do not meet the criteria for recognition under FASB Codification Section The Center occupies a building that is owned by the St. Mary Parish Govemment. The parish govemment does not charge any rent to the Center. The parish's management estimates the approximate fair value ofthe annual rental to be $5,400. This amount has been included in the statement of activities as support from local parish govenmients with a corresponding amount included as occupancy expense. Functional Expenses The cost of providing for the Center's programs and administering the related supporting services has been summarized on a functional basis in the statement of activities. Accordingly, expenses that benefit both program and supporting services have been allocated using management's estimates. Income Taxes The Center qualifies as a taxexempt organization under section 501(c)(3) ofthe Intemal Revenue Code and, therefore, has no provision for federal income taxes.

12 NOTES TO THE FINANCIAL: STATEMENTS (CONTINUED) NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Cash and Cash Equivalents Cash and cash equivalents include ail monies in banks and highly liquid investments with maturity date of less tlian three months. At December 31, 2010 and 2009, the Center had all of its funds in checking accounts at local banks. NOTE 2: CASH The total cash held by the Center at December 31, 2010 and 2009, includes $39,206 and $44,994, respectively, in monies that are fully insured by deposit insurance provided by the federal govemment. NOTE 3: PROPERTY & EQUIPMENT Depreciation of equipment is calculated using accelerated methods over the estimated useful lives ofthe assets. The cost of such assets at December 31, 2010 is as follows: Office fumiture & equipment Building improvements Less: accumulated depreciation Balance 2009 S 12,962 9,708 22,670 (20,417) Purchases/ (Dispositions) $ (663) Balance 2010 $ 12,962 9,708 22,670 (21,080) Total $ 2,253 $ (663) $ 1,590 Depreciation expense for the year ended December 31, 2010 is $663. ]0