AG 2011 12 19 - Laserfiche WebLink

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Cabarrus County, North Carolina Notes to the Financial Statements For the Year Ended June 30, 2011 • An expansion area that sits on the top of the MSW site was added in 1998 to accept construction and demolition waste (C &D). This expansion area has reached capacity and is in the process of being closed. • An additional C &D expansion area was opened in Fiscal Year 2006 and is expected to reach full capacity this fiscal year. Cabarrus County has met the requirements of the local government financial assurance test that is one option under state and federal laws and regulations that aids in determining if a unit is secure and financially able to meet the necessary closure and postclosure care requirements as of each balance sheet date. Governments that utilize the local government financial assurance test allow them to remain exempt from a set contribution schedule. H. Deferred / Unearned Revenues The balance in deferred revenue on the fund statements and unearned revenues on the government -wide statements at year -end is composed of the following elements: Deferred Revenue I. Leases Prepaid taxes not yet earned (General) Taxes receivable, net (General) Ambulance receivable, net (General) Total 3,926,259 - 1,726,540 - $ 5,652,799 $ 392,632 Unearned Revenue $ 392,632 1. Capital Leases The County has entered into agreements which qualify as capital leases under the provisions of Financial Accounting Standards Board Statement No. 13 "Accounting for Leases" and subsequent amendments. On May 15, 2007 the County entered into a lease agreement as lessee for financing the acquisition of Accela Permitting, Licensing and Inspection Software with a down payment of $250,000 inclusive of $4,022 interest which has an effective rate of 2.99 %. This lease agreement qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of their future minimum lease payments as of the date of inception. Final payment on the lease was December 15, 2010. On December 18, 2008, the County entered into a lease agreement as lessee for financing the acquisition of land for a park with a down payment of $190,000 with an effective interest rate of 4.00 %. This lease agreement qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of their future minimum lease payments as of the date of inception. Final payment on the lease will be due December 15, 2037. The assets acquired through a capital lease are as follows: County owned Asset: Software (equipment) Land Less: Accumulated depreciation Total Governmental Activities $ 689,546 3,421, 394 (551,637) $ 3.559.303 56 Attachment number 1 1 -3 Page 178