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CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
ANNUAL FINANCIAL
REPORT
For the Year Ended June 30,2011
Under provisions of state (aw this report is a public document Acopy ofthe report has been submitted to the entity and other approprrate public officials The report is available for public inspection at the Baton Rouge office of (he Legislative Auditor and. where appropriate atthe office of thepansbcleikpicourt
Release Date w^tm
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
ANNUAL FINANCIAL REPORT For the Year Ended June 30,2011
TABLE OF CONTENTS
INTRODUCTORY S£CnON Management Discussion and Analysis
FINANCIAL SECTION
Independent Auditors* Report
GOVERNMENT WIDE FINANCIAL STATEMENTS
Statement of Net Assets
Statement of Activities
FUND FINANCIAL STATEMENTS
Balance Sheet -Governmental funds
Reconciliation ofthe Balance Sheet-Governmental fund to the Statement of Net Assets
Statement of Governmental Fund Revenues, Expenditures a Changes m Fund Balance - Govemmental Fund type -General Fund
Reconciliation ofthe Statement of Revenues, Expenditures and Changes In Fund Balance-Governmental Funds to the Statement of Activities
Statement of Fiduciary Net Assets - Agency Funds
PAGE NO.
1
10
12
13
Notes to Financial Statements 14
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
June 30,2011
TABLE OF CONTENTS (CONT'D)
PAGE NO.
Required Siqiplemental Information
Schedule of Revenues, Expenditures, and changes m Fund Balance* Budget and Actual - General Fund
Schedule of Fundmg Progress
Other Reports Required by Government Anditing Standards
32
34
35
Report on Internal Control Over Financial Reporting and on Compliance and other matters Based on an Audit of Financial Statements Performed m Accordance with Govemmem Auditing Standards
Summary Schedule of Pnor Audit Fmdings for the Year Ended June 30,2010
Schedule of Fmdings and Questioned costs for the Year Ended June 30,2011
36
38
39
CLERK OF COURT OF RAPIDES PARISH Alexandria, La.
MANAGEMENT'S DISCUSSION AND ANALYSIS For the Year Ended J a n e 30,2011
OUT discussion and analysis of the Cleric of Coiut of Rapides Pansh *s financial perfbnnance provides an overview of the financial acbvittes as of and for the fiscal year ended June 30,2011 Please read in conjunctioo with the baste financial stateinents and the accompanying notes to financial
The Management's Discussion and Analysis is an element ofthe new reporting model adopted by the Govanmental Accountmg Standards Board (GASB) m thev Statenicnl No 34 issued m June 1999
OVERVIEW OF THE FINANCIAL STATEMENTS
Tins annual report consists of a senes of financial statements. The Statement of Net Assets and the Stalemem of Activities (Govemment-wide Financial Statements) pravide infoimation about the activities as a v/btAe and present a kmger-tenn view of the Cleric of Court's finances. The Balance Sheet and Statement of Revenues, Expeadituies, and Changes m Ftand Balance-Govcnimental FUnd (F^md Financial Statomems) tell how services were financed m the short term as well as vbat remains for fiituxe spending. Fimd financial statements also report the operatiotts m more detail than the govenunent-wide financial statements by providmg infonnatum about the most significant fimds.
Our auditor has provided assurance m his independent auditor's nposi that the basK financial statements are &u1y stated The auditor^ rqardmg the Required Supplemental Information and the Siqiplemental Information is providing vaiymg d^rees of assurance. A user of tlus report sbouU read the uxlq)endent auditor's rqwrt carefully to ascertam the levd of assurance bemg provided ft^ the Annual RqKirt.
Govcmmait-Whle Financial Statements
One ofthe most mqxirtant questions asked about finances is "Is the K^ides Pansh Cktk of Court as a \i4K)le better off or worse offas a resuh of the year's activities?" H u Statement of Net Assets and the Statement of Activities wpoit tnfiarmation of the Clerk of Court as a whole and about Its activities in a way that h e ^ answer this question. These statements mchide all assets and liabihties using the accrual basis of accountmg, which 13 similar to the accountmg used by most pnvate-sector compames AU ofthe current year's revenues and expenses are taken mto account regardless of vdun cash is received or paid.
These two statements rqwrt the net assets and changes m thera Youcanttunkofnetassels-tbe difierence between assets aixlliabihties-ascHieway to measure the financia] health, or fmancial positioiL Over time, increases or decreases m net assets areoneindicatorofwhetherits financial health isunprovingordetenorating. YouwiUiieedtocoiisiderotfiBrnonfinancud&ctoiB^bowevcr.toasscsstheoveraUheahhoftbeRqtidcsPanshCleric of Court.
Fund Financial Statements
The fimd financial statements provide dctafled mformation about the most sigmficant funds-not the Clerk of Court as a whole. Some funds are required to be estabhshed by State laws
Most ofthe basK services are rqnrtod m govcnunental funds, which focus on how mmcy flows into and out of those funds and the balances left at year-end that are available fbr qiending These funds are reported using an accountmg method called modified accrual accounting, v4uch measures c a ^ and all other finaiictal assets that can readily be converted to cash.
The govemmental fiind statements provide a detaded sfaort-texm view of the general government operations and the basic services it pitmdes Governmental fiind mfoimation fadps you determine the amount of financial resources that can be spent m the near future to finance the Clerk of Court's programs. We describe the relationship (or dififerences) between governmental activities (rqwitod m the Statement of Net Assets and the Statement of Activities) and governmental funds with a reconcihation at the bottom ofthe fimd f in^ ia l statement
CLERK OF COURT OF RAPIDES PARISH Alexandna, La.
MANAGEMENTS DISCUSSION AND ANALYSIS For the Year Ended June 30,2011
(continued)
FINANOAL HIGHLIGHTS
Our financial statements provide these msights mto the results of this year' ^qwratums • As a resuh of this year's operations, assets exceeded liabilities by $3,560,53 Suet assets) • Total net assets are conqmsed ofthe following
(1) Investment m capital assets of $403,073 mchidmg the cost of office eqmpinent and fiirmture, net of accumulated depreciation.
(2) Unrestncted net assets of $3,157,462 IS theportionavailable to mamtamthecootmumgobhgationstocitizens and creditors at year end.
• Tbegovcnmientalf)iiidsreportedtotalendingfimdbalanceof$3,746,140 Oftlii8amount,S3,746,140wasumesefved. Thisconqiares to the pnor year ending fimd balance of $3,839,412, resulting m a decrease of $93,272 dunng the current year
• Total spending for all judicial activities was $3,704,586 forthe year, which was $447,257 more than tbeprogiam revenues of $3,257329 • The interest earned on checking accounts and mvestments m cert^Bcates of dqwsits was $50,220 for the year
This reflects a decrease of $10,042 or 16% fiom the pnor year
The Statcmem of Net Assets and the Statement of Activdies rq>ort8 only one type of activi^^vermnental activities. All of the basic judicial services are rqxxted as this type. Fmes and fees charged to the pubhc finance most of these activities.
FINANCIAL ANALYSIS AS A WHOLE
TheClerfcofCourt'snetassets decreased by $380,147 asa resuh of thisycar'soperations. The overall fmancial positxm decfaned dunng the fiscal year ended June 30,2011 Unxestiicted net assets (the part of net assets that can be used to finance day^4o-day q;)eiatioiis without constiamts estabhslied by dcte covenants, enabhng legislation, or other l^al requirements) ahscnfoed most ofthe increased^ The balance m net assets iqjresents the accumulated results of all past years' operations It rqiresents that if the Cerk of Court had to pay off all bills, mcludiiig all the Don-capital liahihties, $3,560,535 would remam
The Clerk of Court's total revenues for the year in governmental activities were $3324,439 ($3357329 in cbaigcs for scmces and S67,l 10 m general revenues). Thetotalcostofalljudicialprogranisand8efviceswas$3,704,S86 with no new programs added this year The foltowmg tables reflect the condensed statements of net assets and statement of activities
Tablet Comparative Statement Of Net Assets
June 30,2010 With conqiarative totals for June 30,2011
In (thousands) Governmental
activities 2010
Current and other assets 3,971 Capital Assets
Total Assets
Total Liabilities
Net Assets Ciqrital Assets
Total Net Assets
456 4,427
486
456 IMl ?.941
20U 3,898
403 4301
741
403 3.157
hS6Sl
Comparative Table U Statement of Artivltics
June 30,2010 With comparaUve totaU for June 30,2011
in
Expenses: Current judiciaiy Program Revenue: Judiciary General Revenues ToUl Revenues
(thousands) Govemmental
actmti??
7.m 3,466
3,129
_ai 3.210
Change m Net Assets (256) Net Assets Bg year Net Asset end year
4J?7 3.?41
2011
3,705
3357 , «7
^m (381) 3.941
3 . 5 ^
CLERK O F COURT O F RAPIDES PARISH Alexandna, La.
MANAGEMENT'S DISCUSSION AND ANALYSIS For the Year Ended J a n e 30,2011
(continued)
FINANCIAL ANALYSIS OF INDIVIDUAL FUNDS
As noted earlier, the Qerk of C^urt uses funds to control and manage money for particular purposes Analyzing funds hdps you consider whether the Clerk of Court is bemg accountable for the resources provided but may also give more insight into the overall financial heahfai
TTieOeikofCourt'sgoveimueiitalfiindsrqxgtedacombmed fimd balance of $3,746,140 Thisreflectsa decreaseof $933^2 fromthepnor fiscal year Hus decrease ts primanly the result ofthe events and programs described withm the analysis ofthe govemmental acQvities
GENERAL FUND BUDGETARY HIGHUGHTS
Supplemental changes m the authorized budget c^qMsse amounts that were not changed and were over budget are as follows
(1) Salanes & Benefits -$12,052 (2) Retirement -$1,741 (3) Other o^peoses -$811
CAPITAL ASSETS
Capital assets, net of accumulated depreciation, for governmental activities as of June 30,2011 was $403,073
This year there were $9,653 ofaddmons to capital assets The Clerk ofCourt adopted a capitalization policy dunng the year whodsy only fbimture and equipment over $50 would be c^talized More detailed infimnauon about tiie capital assets is presented m Note 7 to the financial statements.
DEBT
At year'^nd, the Rapides Parish Clerk of Court had no long term debt outstandu^
ECONOMIC FACTORS AND NE^CT YEAR'S BUDGETS AND RATES
The Clerk has hmited discretion m setting fees and costs for services provided, the mqonty of wfaKh are regulated by Louisiana Revised Statutes. The ofiBce staff and costs have been largely stable fbr the past several years, and are expected to remam so
l l ie Rapides Pansh Police Jury absorbs some of the operating expenses by providmg office space for the O a k . of Court Taking all factors mto consideration, the Clerk of Court's genaal fund balance is expected to decrease by the end of fiscal year 2011
CONTACTING FINANCIAL MANAGEMENT
This financial report is designed to provide a general overview ofthe Rapides Clerk of Court's finances and to report the Clerk of Court's accountability for die money it receives If you have questions about this report or need additional financial information, contact Mrs Robin Hooter, Deputy Clerk ofCourt for the Rapides Pansh Clerk of Court, P C Drawer 952 Alexandria, LA 71309-0952 at phone number (318) 473-8153
AMBBKANBgmurEOT V^^^SH^ SOaETYOPIDUBIAKA
DEBEVEC CBKIIHHD POBUC A0C(3UNTAm"
INDEPENDENT AUDITOR'S REPORT
The Honorable Robin Hooter Clerk of Court of Rapides Pansh Alexandna, Louisiana
I have audited the accompanying financial statements ofthe govemmental activities, each major fund and the aggregate remaining fund information of the Rapides Parish Clerk of Court, a component unit of the R^ides Parish Police Jury, as of and for the year ended June 30, 2011, ^vhich collectively comprise the Clerk's basic financial statements as listed in the table of contents. These financial statements are the responsibility of Clerk's management. My responsibility is to express opinions on these financial statements based on my audit.
I conducted my audit in accordance vith auditing standards generally accepted in the United States of Amenca and the standards applicable to financial audits contained in Governmental Auditmg Standards, issued by the Comptroller General ofthe United States Those standards require that I plan and perfonn the audit to obtam reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the fmancial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audit provides a reasonable basis for my opinions.
In my opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position ofthe govemmental activities and each major fund ofthe Rapides Parish Clerk of Court, as of June 30,2011, and the respective changes in financial position for the year then ended in conformity with accounting principles generally accepted in the United States of Amenca.
In accordance with Government Auditing Standards, I have also issued my report dated December 13,2011, on my consideration ofthe R2q)ides Pansh Clerk of Court's intemal control over financial reporting and on my tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters
IMOWINDSORPLACE* ALEXANDRIA, LOUISIANA71303* ( I IS) 44.S-39T7
The purpose of that report is to describe the scope of my testing of intemal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the intemal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of my audit.
Accounting principles generally accepted in the United States of America require that the management's discussion andanalysis and budgetary companson information on pages 1 through 3 and 33 through 34 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is reqmred by the Governmental Accountmg Standards Board, who considers it to be an essential part of financial reporting for placing thebasic financial statements in an appropriate operational, economic, or historical context. We have applied certain limitedprocedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquines of management about the methods of preparing the information andcomparing the information for consistency with management's responses to our inquines, the basic financial statements, andother knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide anyassurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
My audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Rapides Pansh Clerk of Court's basic financial statements The introductory section, other supplementary section and the required supplementary information listed in the table of contents is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the procedures applied m the audit ofthe basic financial statements and, in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a A^^ole.
As discussed in Note 16 to the financial statements, the Rapides Parish Clerk of Court adopted the provisions of GASB Statement No 54, Fund Balance Reporting and Govemmental Fund Type Definitions, in 2011.
Billy Debevec, CPA Alexandria, Louisiana December 13,2011
C L E R K O F C O U R T O F R A P I D E S PARISH Alexandria, Louisiana
STATEMENT OF NET ASSETS Jane 30, 2011
GENERAL FUND
ASSETS CASH AND CASH EQUIVALENTS $ 396,387 INVESTMENTS 3,425,000 ACCOUNTS RECEIVABLE 68,530 PREPAID INSURANCE 7.848 CAPITAL ASSETS.
NET OF ACCUMULATED DEPRECL\TION 403.073
TOTAL ASSETS $ 4.300.838
LLVBILmES AND NET ASSETS UABIUnES-
ACCOUNTS PAYABLE $ 140.060 ACCRUED EXPENSES 3.717 COMPENSATED ABSENCES PAYABLE 190.955 NET OPEB OBUGATION 405.571
TOTAL LIABILITIES 740.303
NET ASSETS: INVESTMENT IN CAPFTAL ASSETS 403.073 UNRESTRICTED 3.157.462
TOTAL NET ASSETS % 3.560.535
The accompanying notes are an integral part of this financial statement
CLERK OF COURT OF RAPIDES PARISH Alexandria. Louisiana
STATEMENT OF ACnVITIES For the Year Ended June 30,2011
EXPENSES Current-Judiciary:
Salanes and benefits OfiGce Supplies Group Insurance General Insurance Travel & Continuing Educ. Auto Supplies & MainL Conqniter Operations Telephone Retirement contributions Election expense Battered Famihes Sec. of State -UCC Fees Miscellaneous
Total current Depredation
Total expenses PROGRAM REVENUES
Deeds Civil Suits and Probates Cancellations Mortgage Certificates Mamage hcenses Certified Copies Criminal Fees Election fees UCC Fees Title IV State Funds Miscellaneous
Total program revenues Net program reveimes
GENERAL REVENUES Interest eamed Transfers
Total General Revenues and Transfers
$ 2.388.343 181.361 298.481 40.665 5.854 9,752
30,900 29.701
488.193 12,690 12,742 46,869 96-037
3,64U88 62.998
3,704.586
1,082,137 1,306.986
10,847 26,029 29,508
215,796 121,591 34.208
147,184 163.833 112.2111
3^57.329 _ML2S11
50.220 16.890 67.110
Change m Net Assets NET ASSETS, BEGINNING OF YEAR
(380,147) 3.940.682
NET ASSETS, END OF YEAR S 3.560.535
The accompai^ng notes arc an in t^nl part of this financial statemeot
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
BALANCE SHEET - GOVERNMENTAL FUND Jane 30,2011
ASSETS CASH AND CASH EQUIVALENT INVESTMENTS ACCOUNTS RECEIVABLE
TOTAL ASSETS
GENERAL FUND
$ 396,387 3.425.000
68.530 S 3.889.917
OABILrnES AND FUND BALANCES LIABILITIES.
ACCOUNTSPAYABLE ACCRUED EXPENSES
TOTAL LIABILITIES
$ 140.060
im 143.777
FUND BALANCES: UNASSIGNED
TOTAL FUND BALANCE 3-746.140 3.746.140
TOTAL LUBIUTIES AND FUND BALANCES $ 3.889.917
The acconqtanying notes are an integial part of diis financial statement.
CLERK OF COURT OF RAPIDES PARISH AlcTcandna, Louisiana
RECONCILIATION OF THE BALANCE SHEET-GOVERNMENTAL FUND TO THE STATEMENT OF NET ASSETS
June 30,2011
Total fund balance-govemmeotal fimd (fund financial statement)
Amounts reported for governmental activities m the statement of net (govermnent-wide financial statements) are different because:
$ 3.746,140
Capital assets used in govemmental activities are not financial resources and therefore are not reported m governmental funds.
Cost of assets Accumulated depreciation
1,363.797 (960.7241
403.073
Long-term liabilities are not due and payable m the current penod and therefore are not reported m the govemmental funds.
OPEB Obligation Conq)ensated absences
(405,571) 090.955)
(596,526)
Some ofthe expenses are paid for the next year and are not expensed on the govemment wide stateinents
Prepaid insurance 7.848 IMS.
Total net assets of govemmental activities (government-wide financial statements) $ 3.560.535
The accompanying notes are an mtegral part of this reconciliation.
CLERK OF COURT OF RAPIDES PARISH Alexandria. Louisiana
STATEMENT OF GOVERNMENTAL FUND REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUND TYPE-GENERAL FUND For the year ended June 30,2011
REVENUES Deeds Civil Suits and Probates Cancellations Mortgage Certificates Marriage Licenses Certified Copies CnminalFees Election Fees UCC Fees Interest on Investments Title IV State Fees Miscellaneous
Total Revenues
1.082,137 1,3061986
10.847 26,029 29,508
215.796 121,591 34;208
147,184 50^20
163,833 __112.21fl 3-307.549
EXPENDITURES CURRENT-JUDICLUIY:
Salanes and Benefits Office Expense Group Insurance Generallnsurance Travel & Contmuing Educ. Auto Supphes and Mamt Computer Operations Telephone Retirement Contributions Election Expense Battered Famihes Sec OfState-UCC Fees Miscellaneous
Total Current Expenditures
CAPITAL OUTLAY Total Expenditures
2,157.978 18U61 298,481
37,500 5,854 9.752
30.900 29.701
488,193 12,690 12,742 46,869
mm 3,408,058
2 . ^ 3.417.711
The acconq)ai^ing notes are an integral part of this financial statement
(Continued)
10
C L E R K O F C O U R T O F RAPIDES P A R I S H Alexandna, Louisiana
STATEMENT OF GOVERNMENTAL FUND REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUND TYPE-GENERAL FUND For the year ended June 30,2011
(CONTINUED)
EXCESS OF REVENUES OVER (UNDER) EXPENDTTURES
OTHER FINANCING SOURCES Operating Transfers m
Total Other Financing Sources
EXCESS OF REVENUES AND OTHER SOURCES OVER (UNDER) EXPENDITURES
FUND BALANCE, BEGINNING
FUND BALANCE, ENDING
(110,162 )
16-890 16.890
(93.272 )
3.839.412
3.746.140
The 8Ccoiiq)ai9iiig notes are integral part of this financial statement.
11
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES For the Year Ended June 30,2011
Net change m fimd balances-total governmental fimds (fimd financial statements) $ (93,272)
Amounts reported for govemmental activities m the statement of activities (government-wide financial statements) are different because
Govemmental fimds report coital outlays as expenditures m the individual fiind. Govemment activities report depreciation expense to allocate the cost of those capital assets over the estimated useful
Coital Outlay 9,653 Depreciation expense (62.998)
(53345)
Some ofthe e9q)enses reported m the statement of activibes do not required the use of cunent financial resources and, therefore, are not reported as expenditures m governmental fimds
Decrease m prepaids (3,165) hicrease m OPEB Obligation (205,925) Increase m coixq>ensated absences (24.440)
(233,530)
Change m net assets of govemmental activities (govemment-widc financial statements) S (380.147)
The acconqianying notes are an integral part of this reconciliation
12
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
STATEMENT OF FIDUCIARY NET ASSETS-AGENCY FUNDS June 30,2011
ASSETS CASH INVESTMENTS OTHER RECEIVABLES
TOTAL ASSETS
UABHITIES UNStTllEDDEPOSirS
lOlALUABILrnES NET ASSETS TOTALNET ASSETS
TOTAL LIABILITIES AND NET ASSETS
CASA
FVNP
$ 32.093
J _ J 2 ^
$ 32.093 32.093
P
S 32.093
ADVANCE DEPOSIT
FUND
S 529.073 1,050,000
9,607
% 1.588.680
1.588.680
0
Sl.S88.680
REGISTRY OF COURT
FUND
S 906,207
S 906.207
S 906.207 906,707
0
S 906^07
TOTAL
S 1.467.373 1,050,000
9,607
% 2.526.980
S2.52$,?«2 2^26,980
0
The acconipai ng notes are an mtegral pait of this financial statement
13
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
INTRODUCTION
As provided by Article V, Section 28 ofthe Louisiana Constitution of 1974, the Clerk of Court serves as the ex-ofEicio notary public, the recorder of conveyances, mortgages and other acts, and shall have other duties and powers provided by law. The clerk of court is elected for a term of four years
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Basis of Presentation
The accompanying financial statements ofthe Rapides Parish Clerk of Court have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) as jqjplied to govemmental units The Govemmental Accounting Standards B oard (GASB) is the accepted standard-setting body for establishing govemmental accounting and financial reporting principles. The accompanyingbasic financial statements have been prepared in conformity with GASB Statement 34, Basic Financial Statements-and Management's Discussion and Analysis-for State and Local Governments, issued in June 1999.
B. Reporting Entity
As the governing authority of the parish, for reporting purposes, the Rapides Pansh Police Jury is the financial reporting entity for Rapides Parish. The financial reporting entity consists of (a) the primary govemment (police juiy), (b) orgamzations for which the primary govemment is financially accountable, and (c) other organizations for which nature and significance of their relationship with the primary govemment are such that exclusion would cause the reporting entity*s financial statements to be misleading or incomplete.
GASB Statement No. 14 established criteria for determining which component units should be considered part of the Rapides Parish Police Jury for financial reporting purposes. The basic criterion for including a potential component unit within the reporting entty is financial accountability. The GASB has set forth criteria to be considered in determining financial accountability. This critena includes*
14
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANOAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
B. REPORTING ENTITY (contd.)
1 Appointing a voting majonty of an organization's goveming body, and
a. The ability ofthe police jury to impose its will on that organization and/or
b The potential for the organization to provide specific fmancial benefits to or impose specific financial burdens on the police jury.
2. Organizations for which the police jury does not appoint a voting majority but are fiscally dependent on the police jury.
3. Organizations for > 1iich the reporting entity financial statements would be misleading if data of the organization is not included because of the nature or significance ofthe relationship.
Because the police jury could be provided with specific financial benefit or could be responsible for specific financial burdens the Clerk of Court was determined to be a component unit ofthe Rapides Pansh police Jury, the financial reporting entity. The accompanying financial statements present information only on the funds maintained by the Cleric of Court and do not present information on the police jury, the general govemment services provided by that govemmental unit, or the other govemmental units that comprise the financial reporting entity.
C. Fund Accounting
The Clerk of Court uses the fimds and account groups to report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions relating to certain govemment functions or activities A fimd is a separate accounting entity with a self-balancing set of accounts
15
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANQAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
C. Fund Accounting (contd.)
Governmental Funds
Govemmental funds account for all or most of the Clerk' activities. These funds focus on the sources, uses, and balances of current financial resources. Expendable assets are assigned to the vanous govemmental funds according to the purposes for which they may be used. Current liabilities are assigned to the fund from which they will be paid. The difference between a govemmental fund's assets and liabilities is reported as fund balance In general, fund balance represents the accumulated expendable resources that may be used to finance future period programs or operations ofthe Clerk of Court. The fimd balances are classified into five possible categories which focus on the constraints of spending. The categories are non spendable, restricted, committed, assigned and unassigned. The following are the Cleric's govemmental fimds:
General Fund The General Fund (Salary Fund), as provided by Louisiana Revised Statute 13:781, is the principal fimd of the Clerk of Court and accounts for the operations for the clerk's office. The various fees and charges due to the clerk's office are accounted for in this fund. General operatmg expenditures are paid from this fimd
Fiduciary Funds
Fiduciary funds account for assets held on behalf of outside parties, and focuses on net assets and changes in net assets. The fiduciary fund includes the following:
Agency Funds The advance deposit, registiy of coiut, judiciary fee and court eqjpointed special advocate fund are used to account for assets held as an agent for individuals, et cetera while the deferred compensation agency fimd accounts for employee contiibutions and earnings that are held by a third party administrator on behalf of certain part-time, seasonal and temporary employees In accordance with Intemal Revenue Code 457, the Rapides Parish Clerk of Court retains title to the assets and acts as agent for the employee fund All agency fimds are custodial in nature (assets equal liabilities) and do not involve measurement of results of operations, but use the modified accrual basis of accounting.
16
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
D. Measurement Focus/Basis of Accounting
Fund Financial Statements(FFS) The accounting and financial reporting treatment applied to a fimd is detennined by its measurement focus. All govemmental fimds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities are generally included on the balance sheet. The statement of revenues, expenditures, and changes in fimd balance reports on the sources and uses of current financial resources. The modified accrual basis of accounting is used by the fimd financial statements (FFS). Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i e., ^^en they become both measurable and available). "Measurable" means collectible within the current period or soon enough thereafter to be used to pay liabilities ofthe current penod. The govemmental funds use the following practices in recording revenues and expenditures:
Revenues Recordings, cancellations, court attendance, criminal costs, et cetera, are recorded in the year in which they are eamed.
Interest earnings on time deposits are recorded when the time deposits have matured and the interest is available
Substantially all other revenues are recorded when received.
Expenditures Purchases of vanous operating supplies are recorded as expenditures in the accoimting penod they are purchased. Compensated absences are recognized as expenditures when leave is actually taken or the employees (or heirs) are paid for accmed leave upon retirement or death.
Salanes are recorded as expenditures when eamed
Principal and mterest on general long-term debt are recogmzed when due
Substantially all other expenditures are recognized when the related fimd liability has been incurred.
17
CLERK OF COURT OF RAPIDES PARISH ALEXANDRU, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
D. Measurement Focus/Basis of Accounting (contd.)
Other Financine Sources (Uses) Transfers between fimds that are not expected to be repaid, sales of assets and capitalized leases are accoimted for as other financing sources (uses). These other financing sources (uses) are recognized at the time the underlying events occur.
Govemment - Wide Financial Statements (GWFS)
The Statement ofNet Assets and the Statement of Activities display information about the Rapides Parish Clerk as a whole These statements include all the financial activities of the Rapides Parish Clerk. Information contained in these statements refiect the economic resources measurement focus and the accrual basis of accounting. Revenues, expenses, gains, losses, assets and liabilities resulting fiom exchange or exchange like transactions are recognized when the exchange occurs (regardless of when cash is received or disbursed). Revenues, expenses, gains, losses, assets and liabilities resulting fiom non-exchange transactions are recognized in accordance with the requirements of GASB Statement No 33, Accounting and Financial Reporting for Non-exchange Transactions
Program Revenues Program revenues included in the Statement of Activities are derived directly fix)m users as a fee for services; program revenues reduce the cost of the fimction to be financed from general revenues.
E. Budgetary Practice
The proposed budget for the 2011 fiscal year was made available for public inspection at the Clerk's office on June 6,2010. The public heanng, which was for the purpose of adopting the budget was held at the Clerk's office on June 30,2010. The Clerk of Court follows these procedures in establishing the budgetary data reflected in the financial statements*
1. Formal budgetary integration is employed as a management control device for the Clerk's General fimd The budget is adopted on a modified accrual basis of accounting.
18
CLERK OF COURT OF RAPIDES PARISH ALEXANDRA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
E. Budgetary Practice (contd.)
2. The Clerk of Court approves all budget line items.
3 Unused appropriations for all aimual budgetary fimds Lapse at the end ofthe year.
4. The budget amounts shown in the financial statement are final authorized amounts as revised during the year.
F. Cash and Cash Equivalents
In the govemmental fimd and agency fimds, cash and cash equivalents include amounts in all demand deposits, interest beanng demand deposits and time deposits with original maturities of three months or less from the date of acquisition
G. Investments If the cash deposits have original maturities greater than 90 days, they are classified as investments. Investments are stated at cost or amortized cost, except for investments in the Deferred Compensation Agency Fund which are reported at market value
H. Capital Assets
Capital assets are capitalized at histoncal cost or estimated cost if histoncal cost is not available. Donated assets are recorded as capital assets at their estimated fair market value at the date of donation. The Clerk mamtams a threshold level of $50 or more for capitalizing capital assets.
Capital assets are recorded in the Statement of Net Assets. Since surplus assets are sold for an immaterial amount when declared as no longer needed for public purposes, no salvage value is taken into consideration for depreciation purposes. All capital assets, other than land, are depreciated using the straight-line method over the followmg useful lives.
Estimated Description Lives Furmture & Equipment 3-30 years
19
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
I. Compensated Absences
The Clerk of Court has the following policy related to annual or sick leave: Twenty four days aimual/sick leave are accmed per year to all full time employees Sick or aimual leave shall be credited to permanent fiiU time employees at the following rates.
1. Less than one (1) fiiU year of service equals two (2) full days for each calendar month of continuous service.
2. More than one (1) fiill year of service equals two (2) full days for each calendar month of continuous service or twenty four (24) days per calendar year
Unused sick leave eamed by an employee shall be earned forward to succeeding calendar years, but not to exceed sixty (60) days.
The Clerk's recognition and measurement critena for compensated absences follows: GASB Statement No. 16 provides that vacation leave and other compensated absences with similar characteristics should be accmed as a liability as the benefits are eamed by the employees if both ofthe following conditions are met
a. The employees' nghts to receive compensation are attributable to services already rendered.
b It is probable that the employer will compensate the employees for the benefits through paid time off or some other means, such as cash payments at termination or retirement.
GASB Statement No. 16 provides that a liability for sick leave should be accrued using one ofthe following termination approaches'
a An accrual for eamed sick leave should be made only to the extent it is probable that the benefits will result in termination payments, rather than be taken as absences due to illness or other contingencies, such as medical appointments and fimerals.
20
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
I. Compensated Absences (contd.)
b. Altematively, a govemmental entity should estimate its accmed sick leave liability based on the sick leave accumulated at the balance sheet date by those employees who currently are eligible to receive termination payments as well as other employees who are expected to become eligible in the fiiture to receive such payments.
The entire compensated absence liability is reported on the Govanment-Wide Financial Statements. The current portion ofthe liability for compensated absences should be reported in the fimd financial statements The current portion is the amoimt left unpaid at the end ofthe reportmg period that normally would be liquidated with expendable available financial resources The non-cmrent portion of the liability is not reported in the fimd financial statements.
J. Restricted Net Assets
For govemment-wide Statement of Net Assets, net assets are reported as restricted when constraints placed on net asset use are either
I.externally imposed by creditors (such as debt covenants), grantors, contributors, or laws or regulations of other govemments, and
2.imposed by law through constitutional provisions or enabling legislation
K. Fund Equity
In the fimd financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for a specific purpose. Any designations of fimd balance represent tentative management plans that are subject to change.
RS 13:785requiresthatattheexpirationofhertermof office, the Clerk of Ck)urt must pay the parish treasurer the portion ofthe General Fund's fimd balance that exceeds one-half of the revenues ofthe Clerk's last year of her term of office At June 30, 2011, there was no amount due the pansh treasurer. Consequentiy, no determination ofthe amount that will be due, if any, can be made at this time.
21
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
L. Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of assets and liabilities at the date ofthe financial statements and the reported amounts of revenues and expenses dunng the reporting period. Actual results could differ from those estimates.
CASH
At June 3 0,2011, the Clerk of Court has cash and cash eqmvalents (book balances) totalmg $1,863,760. as follows:
(jeneral Fund
$ 500
395,887 0
$ 396.387
Agency Funds
$ -0-
1,467,373 -0-
$ 1.467.373
Total
$ 500
1,863,260 -0-
$1,863,760
Cash on Hand Demand Deposits Including
Interest bearing demand deposits Time Deposits
Total
These deposits are stated at cost, which approximates market. Under state law, these deposits (or the resulting bank balances) must be secured by the federal deposit insurance or the pledge of securities owned by the fiscal agent bank. The market value of the pledged securities plus the federal deposit insurance must at all times equal the amount on deposit with the fiscal agent bank. These securities are held in the name ofthe pledging fiscal agent bank in a holding or custodial bank that is mutually acceptable to both parties.
At June 30, 2011, tiie Clerk has $2,063,387 in deposits (collected bank balances). These deposits are secured from risk by $291,548 in FDIC insurance (GASB Category 1) and $1,771,839 of pledged securities held by the custodial bank in the name ofthe fiscal agent bank (GASB Category 3).
22
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
CASH (contd.)
Even though the pledged secunties are considered uncollateralized (Category 3) under die provisions of GASB Statement 3, RS. 39:1229 imposes a statutory reqmrement on the custodial bank to advertise and sell the pledged secunties within 10 days of being notified by the Clerk of Court that the fiscal agent has failed to pay deposited funds upon demand. (This disclosure should acknowledge any violations of state law relating to adequate pledged securities.)
INVESTMENTS
Investments are stated at cost in the advanced deposit fund and the Clerk's salary fund. While the investments in the deferred compensation fund are stated at fair market value. Investments at June 30,2011, are as follows*
Fund Advance Deposit Advance Deposit Clerk Salary Clerk Salary Clerk Salary Clerk Salary
Total
With Whom Red River Bank Union Bank Southern Hentage Red River Bank Union Bank Evangeline Bank
Investment C D CD CD CD CD CD
Cost $150,000
900,000 500,000
1,000,000 725,000
1,200.000 $4,475,000
Value $150,000
900,000 500,000
1,000.000 725,000
1.200.000 $ 4,475,000
The investments consisted of certificates of deposits with original maturities of more than (90) days. At year end, the Clerk's total investment balance in certificates of deposit was $4,475,000. Ofthe bank balance, $1,000,000 was covered by federal depository msurance, $3,475,000 was covered by pledged seciuities of fmancial institutions which comply with the requirements of Louisiana statutes and no amounts were uninsured or uncollateralized.
The Clerk*s investments which are subject to categorization are the certificates of deposit. They are categorized to give an indication on the level of risk assumed by the Clerk's office at year-end. Category 1 includes investments that are insured or registered or for which the securities are held by the Clerk or its agent in the Clerk's name Category 2 includes
23
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
umnsured and unregistered investments for which the secunties are held by the broker's or dealer's trust department or agent in the Clerk's name. Category 3 includes uninsured and unregistered investments for which the securities are held by the broker or dealer, or by its trust department or agent but not in the Clerk's name
At year end, all investments and cash balances of the Clerk's office were Category 1 funds
4. ACCOUNTS RECEIVABLES
The receivables of $78,137 at June 30,2011, are as follows.
5.
Class of Receivable Due from State of Louisiana
Tide IV Fees Local Fees & Charges Other
Total
BAD DEBTS
General Fund
$37,718 30,812
-0-$68.530
Agency Funds
$ -0--0-
9.607 $9,607
Total
$37,718 30.812 9.607
$78,137
Uncollectible amounts due for customer receivables are recognized as bad debts through the establishment of an allowance account at the time information becomes available vibich would indicate the uncollectability ofthe particular receivable.
INTERFUND TRANSFERS
Transfer From Fund Adv dep
Fund Transfer to Fund General fimd $16.890
Total $16.890
24
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
CAPITAL ASSETS
A summary of property and equipment and accumulated depreciation at June 30,2011 follows:
Fumiture & equipment
Property and Equipment Balance 7/01/10
$1.354.144 Additions $ 9.653
Deletions $ Q
Balance 6/30/11
$ 1.363.797
Fumiture & equipment
Accumulated Depreciation Balance 7/01/10 $897.726
Additions $62.998
Deletions $ 0
Balance 6/30/11
$960.724
8. Changes in Long Term Obligations
Compensated Absences
Net OPEB
Obligations Total
Balance at 7/01/10 Additions Deductions
Balance at 6/30/11
$ 166,515 24,440
0 $190,955
199,646 222,516 (16.591 't 405,571
366,161 246,956 (16.591 ) 596,526
25
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
PENSION PLAN
Substantially all employees of the Rapides Parish Clerk of Court are members of the Louisiana Clerks of court Retirement and Relief Fund (System), a multiple-employer (cost-sharing), public employee retirement system (PERS), controlled and administered by a separate board of trustees.
All regular employees who are under the age of 60 at the time of original employment are reqmred to participate in the System. Employees who retire at or after age 55 with at least 12 years of credited service are entitied to a retirement benefit, payable monthly for life, equal to 3 percent of their final-average salary for each year of credited service, not to exceed 100 percent of their final-average salary. Final-average salary is the employee's average salary over the 3 6 consecutive or j oined months that produce the highest average. Employees who terminate with at least 12 years of service and do not withdraw their employee contributions may retire at or after age 55 and received the benefit accrued to their date of termination. The System also provides death and disability benefits. Benefits are established and amended by state statute.
The system issues an armual publicly available financial report that includes financial statements and required supplementary information for the system. That report may be obtained by wnting to the Louisiana Clerks of Court Retirement and Relief Fund, 11745 Bricksome Ave, Suite Bl, Baton Rouge, Louisiana 70816, or by calhng (504) 293-1162.
Plan members are required by state statute to contnbute 8.25 percent of their annual covered salary and the Rapides Pansh clerk of Court is required to contnbute at an actuarially detennined rate. The current rate is 17.25 percent of aimual covered payroll. The Clerk has elected as of June 30,2002 to pay the employee & employer's share. Contributions to the system also include one-fourth of one percent (one-half of the one percent for Orleans Parish) of the taxes shown to be collectible by the tax rolls of each pansh. The contnbution requirements of plan members and the Rapides Parish Clerk of Court are established by and may be amended by state statute. As provided by R.S. ll:103,the employer contnbutions are determined by actuarial valuation and are subject to change each year based on the results ofthe valuation for the prior fiscal year. The Rapides Pansh Clerk of Court's contributions to the system for the years ending June 30,2011,2010, and 2009, were $488,193, $407,105, and $357,743, respectively, equal to the required contributions for each year.
26
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
10. DEFERRED COMPENSATION PLAN
Certain employees of the Rapides Parish Clerk Court participate in the Lomsiana Public Employees Deferred Compensation Plan adopted under the provisions of the Intemal Revenue Code Section 457. Completed disclosures relating to the Plan are included in the separately issued audit report for the Plan, available fix)m the Louisiana Legislative Auditor, Post Office Box 94397, Baton Rouge, Louisiana 70804-9397
11. OPERATING LEASES
The Rapides Pansh Clerk of Court has lease commitments for (II) copiers as of June 30, 2011. The Clerk also leases a vehicle. The cost for the leases for the year ended June 30, 2011 was $37,874 The future minimum lease payments for these leases are as follows-
YEAR ENDING JUNE 30. COPIERS AUTO TOTAL 2012 18,816 7,199 26,015 2013 8.208 7.199 15.407
TOTAL $ 27.024 $ 14.398 $ 41.422
27
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
12. LITIGATION AND CLAIMS
There were no outstanding claims or litigation at year end. Also, no amounts are outstanding and due for attorney fees.
13. ACT 211 OF THE LEGISLATURE OF LOUISIANA
The Clerk of Court of Rapides Parish was authorized by Act 211 to establish a pilot program to provide for a schedule of fiat filing fees m the Ninth Judicial District court effective January 1,1992 The Clerk, at her option, decided not to implement this program at that time Therefore, there is no separate fund to be audited and/or accounted for m the financial statements at June 30,2011.
14. Expenditures of the Clerk of Court paid by the Police Jury
Certain operating expenditures such as the maintenance and operation costs ofthe office are paid by the Rapides Pansh Police Jury and are not included in the accompanying financial statements. The expenditures paid by the police jury is indeterminate and not included in the accompanying financial statements
15. Post Employment Health Care Benefits
The Rapides Parish Clerk of (Doiut has been paying all the health care insurance costs of its retirees Pnor to July 1,2009, the costs were recorded on a pay as you go basis. Dunng the year ended Jime 30,2011, the clerk adopted the required accountmg standard (gasb -45). The new standard requires the health insurance costs for future retirees to be recorded over their current working life and to provide the followmg additional disclosures.
Plan Description The Clerk's defined benefit postemployment health care plan (*the Retiree Health Plan") Provides medical, dental and life insurance benefits to eligible retired employees and their beneficiaries. The Retuee Health Plan is affiliated with the Louisiana Clerks of Court Insurance Trust ("LCCIT"), an agent multiple-employer postemployment healthcare plan administered by the Lomsiana Clerks of Court Association.
28
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISLINA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
15. Post Employment Health Care Benefits (contd.)
Funding Policy The contribution requirements of plan members and the clerk are established and may be amended by the LCCIT board of trustees. The Clerk contributes 100% ofthe cost of current-year premiums for eligible retured plan members and 0% of the cost for retired plan members' spouses and dependoit children. For fiscal year 2011, the Clerk contributed $16,591 to the plan for the retirees.
Annua! OPEB Cost and Net OPEB Obligation For 2011, the Cleric's annual other postemployment benefit ('"OPEB") cost {expense) is calculated based on the annual required contribution ofthe employer ("ARC"), an amount actuarially determined in accordance witii the parameters of GASB Statement 45. The ARC represents the level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and to amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years. The following table shows the components of the clerk's aimual OPEB cost for the year, the amount actually contributed to the plan, and changes in the clerk's net OPEB obligation to the Retiree Health Plan:
Annual Required <::ontribution $222,516 Interest on Net OPEB Obligation 0 Adjustment to Aimual Required Contribution
Annual OPEB costi[expense) 222,516 Contribution Made f 16,591 )
Increase in Net OPEB Obligation 205,925 Net OPEB Obligation-beginning of year 199.646 Net OPEB Obligation-end of year $405.571
29
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
15. Post Employment Health Care Benefits (contd.)
The Cleik's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB obligation for fiscal year 2011 is as follows:
Fiscal Year Ended
Annual OPEB Cost
Annual OPEB CQStCpntributed
Net OPEB Obligation
6/30/11 $222,516 10.3% $405,571
Funded Status and Funding Progress As of June 30,2011, tiie actuarial accrued liability for benefits was $2,775,009, all of which was unfunded. The covered payroll (annual payroll of active employees covered by the plan) was $1,843,686, and the ratio ofthe unfunded actuarial accrued liability to the covered payroll was 150.5yo.
The projection of future benefit payments for an ongomg plan involves estimates of the value of rq)orted amounts and assumptions about the probability of occurr^ice of evens into the future. Examples mclude assumptions about future employment, mortality, and the healthcare cost trend. Amounts detennined regarding the fundmg status ofthe plan and the aimual required contributions of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as reqmred supplementary information following the notes to the financial statements, presents multi-year trend information about whetho* the actuarial value of the plan assets is mcreasing or decreasing over time relative to the actuanal accrued liabilities for the boiefits.
Methods and Assumptions Projections of benefits for financial reportmg purposes are based on the substantive plan (the plan as understood by the employer and plan members) and include the types of benefits provided at the time of each valuation and the histoncal pattern of sharing of benefit costs between the employer and plan members to that point.
30
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30,2011
(CONTINUED)
15. Post Employment Health Care Benefits (contd.) Methods and Assumptions The actuarial methods and assumptions used include techniques that are designed to reduce short term volatihty in actuanal accrued liabilities and the actuanal value of assets, consistent with the long term perspective ofthe calculations
In the June 30,2009 actuarial valuation, the entry age actuarial cost method was used Based on the Clerk's short term investment portfolio, a discount rate of 4.0% was used. In addition, the actuarial assumptions included an annual healthcare cost trend rate of 10% imtially, reduced by decrements to an ultimate rate of 5 5% after 10 years. The Clerk's unfunded actuanal liabihty is being amortized as a level percentage of projected payroll on an open basis over 30 years
16. Accounting Change Dunng the year, the organization adopted GASB Statement number 54, Fund Balance Reporting and Governmental Fund Type Definitions. The statement requires the orgamzation to report the General Fimd balance which has no constraints on spendmg as unassigned fund balance.
31
CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL - GENERAL FUND
FOR THE YEAR ENDED JUNE 30,2011
BEXESm Deeds Qvil Suits and Probates Concellatioiis Mortgage Cexttficates Mamage Uceoses Certified Copies Criminal Fees QectianFees UCCRses Interest on Investments Tide IV State Fees Miscellaneous TOTAL REVENUE
EXPENPITURES CURREfn'-Gencral Government
Salaries and Benefits Office ExpciDse Gioup Insurance General Insurance Travel & Contmumg educ Auto Supphes and MainL Computer Operations Tdepbone Retirement Contnbutions
Battered Famibes Sec of State-UCC Fees Miscellaneous Total Current Expcodlturcs
CAPrrAL OUTLAY: Total Expenditures
BUDGETED AMOUNTS
ORICIWAL
Sl,086^00 U09.000
11.000 25.700 29,000
217.500 119.700 38300
145300 67,800
130.200 125400
3305,000
2,145.926.00 193.65000 302^80 00 40,83000 6.40000
11,27000 31,80000 30,200.00
486^5Z00 13,902.00 1230000 46.50000 9630000 3,418.210
9300 3^28,010
£II!1&L
SI,086,000 1309.000
11.000 25,700 29,000
217300 119.700 38300
145300 67,800
130.200 125300
3305.000
2,145.92600 193,65000 302.48000 40.830 00 6.40000
11.270 00 31.800 00 30.20000
486,45100 13.902.00 1230000 46.500 00 96300 00 3.418.210
9.800 3,428,010
ACHIAL
$1,082,137 1306.986
10.847 26.029 29308
215,796 121391 34.208
147.184 50.220
163.833 119.210
3,307349
2.157.978 181361 298/Wl 37,500 5,854 9.752
30,900 29.701
488,193 12.690 12.742 46,869 96.037
3.408.058
9.653 3,417,711
VARIANCE
FAVORABLE
afNyAVORABl.Kl
(S3,863) (2,014)
(153) 329 S08
(1,704) 1.891
(4.092) 1.884
(17380) 33,633 (6,290) 2,549
(12,052) 12.289 3.999 3.330
546 I3I8
900 499
(1.741) 1.212 (442) (369) 463
10,152
147 10.299
Too ftccflff^p^^yp^ff QOtcs irc BD p ^ ff 'fll put ortbis nnsucul tifltciDCDt
r C o n h n u e d l
32
CLERK OF COURT OF RAPIDES PARISH Alexandna, Louisiana
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL - GENERAL FUND
FOR THE YEAR ENDED JUNE 30,2011 (continued)
BUDGETED AMOUNTS
OBir.INAL JTOAI. A d U A L
VARIANCE
FAVORABLE
(irMgAVOBABUg^
EXCESS PEF) OF REVENUES OVER EXFENDITRUES (123.010) (123.010) (110,162) 12.848
OTHER FINANCING SOURCES (USES):
Operating Transfers In
Total Other Financing
sources (OSes)
Excess Of Revennes and Other
Financing Sources over
(Under) Expenditures and Other Financing Uses
FUND BALANCE, BEGINNING
FUND BALANCE, ENDING
0
0
(123.010)
3.839,412
$3,716,402
0
0
(123,010)
3,839.412
$3,716,402
16,890
16,890
(93,272)
3.839.412
$3,746,140
16,890
16.890
29.738
0
$29,738
The accompanying notes are an tnt^ral pan of this financial statement
33
CLERK OF COURT OF RAPIDES PARISH ALEXANDRA, LOUISIANA
SCHEDULE OF FUNDING PROGRESS
ACTUARIAL
VALUATION
DATE
6/30/2009
ACTUARUL
VALUE OF
ASSETS
(a)
SO
ACTUARIAL
ACCRUED
LiARn.rrY
(AAL)-
ENTRYAGE
(b)
S2.775.009
UNFUNDED
AAL
(UAAL)
0«)
$2,775,009
fVNDED
RATIO
(art>)
00%
COVERED
PAYROLL
(c)
Sl.843.686
UAAL ASA
PERCENTAGE
OF
COVERED
PAYROLL
((B-AVQ
150 5%
34
CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LOUISIANA
OTHER REPORTS REQUIRED BY GOVERNMENT AUDITING STANDARDS
The followmg pages contain the report on internal control structure and comphance with laws and regulations required by Govemment Auditing Standards issued by the Comptroller General ofthe United States. The paragraph on intemal control structure is based solely on the audit ofthe genaal purpose financial statements and includes where appropriate, any significant deficiencies and/or matoial weaknesses. The paragraph on compliance with laws and regulations is, likewise, based solely on the audit of the general purpose financial statements and presents, where q)plicable, compliance matters that would be material to the general purpose financial statements.
35
AMERICAN Pgrn inE eg V ^ ^ ^ S I B ^ SOaBrrOFUHBSIANA
DEBEVEC CERTIHED VUBLIC AOCOUNTAMT
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLLINCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL
STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
THE HONORABLE ROBIN HOOTER CLERK OF COURT OF RAPIDES PARISH ALEXANDRIA, LA
I have audited the financial statements of the govemmental activities, each major fimd and the aggregate remaining fiind information of Rapides Parish Clerk of Court, as of and for the year ended June 30, 2011, which collectively comprise the Rapides Parish Clerk of Court's basic financial statements and have issued my report thereon dated December 13,2011. I conducted my audit in accordance with auditing standards generally accepted in the United States of Amenca and the standards applicable to financial audits contained in Govemment Auditing Standards, issued by the Comptroller General ofthe United States.
Internal Control Over Financial Reporting
In planning and performing my audit, I considered the Clerk's intemal control over financial reporting as a basis for designing my auditing procedures for the purpose of expressing my opinions on the financial statements, but not for the purpose of expressing an opimon on the effectiveness of the Rapides Parish Clerk of Court's intemal control over financial reporting. Accordingly, I do not express an opimon on the effectiveness ofthe Rapides Parish Clerk of Court's intemal control over financial reporting
A deficiency in intemal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in intemal control such that there is a reasonable possibility that a material misstatement ofthe entity's financial statements will not be prevented, or detected and corrected on a timely basis.
1J20WINDSORPIACE* ALEXANDRIA,LOUISIANA7!30J*(JI3)*+J-3977
My consideration of intemal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not designed to identify all deficiencies in intemal control over financial reporting that might be deficiencies, significant deficiencies or matenal weaknesses I did not identify any deficiencies in intemal control over financial reporting that I consider to be material weaknesses, as defined above.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether Rapides Parish Clerk of Court's financial statements are free of matenal misstatement, I perfonned tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts However, providing an opimon on compliance with those provisions was not an objective of my audit, and accordingly, I do not express such an opinion. The results of my tests disclosed no instances of noncompliance or other matters that are required to be reported under Govemment Auditing Standards.
This report is intended for the information of the R^ides Pansh Clerk of Court Managemoit, Louisiana Legislative Auditor and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully Submitted,
Billy Debevec, CPA Alexandria, Louisiana December 13,2011
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RAPIDES PARISH CLERK OF COURT ALEXANDRIA, LOUISIANA
Summary Schedule of Prior Audit Findings For the Year Ended June 30,2010
RefNo
Mgt letter
Fiscal Year Finding Initially Occurred
6/30/10
Descnption of Finding
A deputy clerk working in The cnminal department was Turned over to the Distnct Attomey^s office for Possession of a controlled Dangerous substance. Schedule 11 and malfeasance in office
Corrective Action Taken
The clerk was arrested on May 6,2010 and was temunated May 10,2010
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CLERK OF COURT OF RAPIDES PARISH Alexandria, Louisiana
SCHEDULE OF FINDINGS AND QUESTIONED COSTS For the Year Ended June 30,2011
I have audited the financial statements ofthe Cleik of Court of Rapides Parish as of June 30,2011 and have issued my report thereon dated December 13,2011. I conducted my audit in accordance with United States generally accepted auditing standards and the standards applicable to financial audits contamed in Govemment Auditing Standards^ issued by the Comptroller General ofthe United States. My audit ofthe financial statements as of and for the year eaded June 30,2011 resulted in an unqualified opinion.
Section 1-Sununary of Auditor's Reports
a. Report on Intemal Control and Compliance Material to the Financial Statements
Intemal control
Matenal Weaknesses >—»Yes IS No Significant Deficiencies Q Yes ^ No
Compliance
Non Compliance Material to Financial Statements Q Yes ^ No
Section n-F1nanciaI Statement Findings
None
Section IH-Findings and Questioned Costs
None
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