|
December 19, 2016 (Regular Meeting) Page 2987
<br /> (G-1) Finance - Presentation of the Fiscal year 2016 Comprehensive Annual
<br /> Financial Report
<br /> Susan Fearrington, Finance Director, gave a brief summary of the audit
<br /> process and advised the CAFR (Comprehensive Annual Financial Report) would be
<br /> available on the County' s website (www.cabarrus county.us. She reported the
<br /> County submits the CAFR for the Government Finance Officers Association' s
<br /> Certificate of Achievement for Excellence in Financial Reporting, stating the
<br /> 7Y2015 report was the 31st consecutive year the award has been received. She
<br /> stated the Independent Auditor' s Report included a letter giving an unmodified
<br /> opinion on the County' s financiai statements. The letter also stated there
<br /> were no financial statement findings.
<br /> Ms. Fearrington then presented the following highlights of the FY 16 Fund
<br /> Balance:
<br /> FY16 revenues over expenditures were a negative $721, 146. 00.
<br /> Although revenues were $9, 767,268. 00 over amended budget amounts
<br /> and expenditures were $12, 708,205. 00 under amended budget amounts,
<br /> we had a negative change to fund balance of $721, 146.00 due to the
<br /> fund balance transfer of $18, 779, 157.00 approved by the Board last
<br /> year during the June 30, 2015 audit presentation.
<br /> Each year during the audit presentation the fund balance in excess
<br /> of 15 percent is presented to the Board and then if approved the
<br /> funds are moved to the Capital Reserve Fund for capital (non-
<br /> operating) projects.
<br /> The biggest areas were revenues were over our budgeted amounts were
<br /> in the areas of property tax ($5, 139, 562. 00) , intergovernmental
<br /> revenues ($2, 157, 841.00) and permits and fees ($1, 072, 308.00) .
<br /> • Property tax collection rate increased from prior year of
<br /> 97. 32 percent to 98. 19 percent
<br /> • Intergovernmental revenue increase mainly in the areas of Day
<br /> Care and Social Service Administration reimbursements
<br /> • Inspection fees over $568, 094 .00 and Register of Deeds over
<br /> $397, 918. 00
<br /> The biggest areas were expenditures were under budgeted amounts
<br /> were in the areas of salary and benefits $1, 925, 377. 00 and unpaid
<br /> economic incentive grants $3, 888, 684 .00, and in the area of Human
<br /> Services Child Welfare and Economic Services $1, 417, 955.00.
<br /> Departments were also conservative and the majority of all
<br /> departments were their budgeted amounts.
<br /> The ending fund balance is $80,288, 983. 00. However, this amount is
<br /> not the amount that is available for appropriation.
<br /> Of this amount, a reduction must be made for:
<br /> 1) Nonspendables, the restrictions, and commitments
<br /> $22, 274, 627.00
<br /> 2) Assignments $7, 295, 961.00
<br /> 3) County' s 15 Percent Fund Balance Policy $35, 412, 001.00
<br /> The Board approved a budget revision in the amount of $802, 000. 00
<br /> for the architect contract for the parking deck project at the
<br /> regular November 21, 2016 Board meeting. This will reduce the
<br /> amount of funds to be transferred.
<br /> After all tour reductions are made this leaves $14, 504, 394 .00 to
<br /> transfer to the Capital Reserve Fund per the County' s policy.
<br /> The budget amendment transfers the $14, 504, 394. 00 of available fund
<br /> balance to the Capital Reserve Fund based on the County' s 15 percent
<br /> Fund Balance Policy and related Capital Reserve Capital Project
<br /> Ordinance.
<br /> In addition, she reported this is the first time the County has received
<br /> a qualified opinion on the child care program for its compliance section of the
<br /> audit.
<br /> Erica Brown, Martin and Starnes and Associates, Audit Manager, expressed
<br /> appreciation to county staff for their efforts throughout the audit
<br />
|