DONOTSENDOUT Fit~COPY ;copyandplace,~e~,ackinf L~) (XeroxneCesaqf copiesfromthis JEFERSONDAVISCENTRALWATERWORKSDISTRICT ANUALFINANCIALREPORTANDINDEPENDENTAUDITORS'REPORTS WELSH,LouISIANA FortheyearEndedJune30,197 Jnaerprovisiolso1statelaw,this reportisapubtco'(y:inr',et.,.f. Copyofther';'~c,~,~.~' "'.'~-~;:;c'~;-tsubmit- A entityand~h,:r..'~[- ~" ""'"=l"h':';)'e:~iepl:b!ic Rcm,jco!fic:it~.~',.,~,. ~,:V:q:-:F!pfor tor_a~dwh;:r~,i)'j':!cg~:;~;veaudi- of(iceoftlicn~;rjl;,~iclerkofcourt -= ~'~'lease ~:r:r:,:c,p:i:~tcathe [)ate-1.2:.~ /'IJ; GRAGSON,CAS DAY~GUILOR~,L.L.P CERTIFIEDpUBLICACOUNTANTS
TABLEOFCONTENTS INDEPENDENTAUDITORS'REPORT GENEPJ~LpURPOSEFINANCIALSTATEMENTS BA.LANCESHET STATEMENTOFREVENI/ES,EXPENSESANDCHANGES STATEMENTOFCASHFLOWS INRETAINEDEAP/~INGS STATEMENTOFREVENLv~S,EXPENSESANDCHANGESIN NOq~ESTOFINANCIALSTATEMENTS REPORTONCOMPLIANCEBASEDONANAUDITOFGENERAL RETAINEDEARNINGS-BUDGETANDACTUAL purposefinancialstatementsperformedinacordance REPORTONINTERNALCONTROLSTRUCTUREBASEDONAN WITHGOVEPdCMENTAUDITINGSTANDARDS ADU)ITOFGENERALpURpOSEFINANCIALSTATEMENTS PERFORMEDINACORDANCEWITHGOVERNMENTAUDITING STANDARDS page 3 5-6 8-16 7 17-18 19 20-21
w.georgegrag!~on,c.p.a. RICHARDW.CASIDAY,C.p.A.(APC RAYMONDGUILORY,JR.,C,P.A. JULIAW.pORTU$,C.P.A. CRAIGA,CHILDRES,.C.p.A. CAMUSCAS'ILE,C,p,A, DAWNRED,C.P.A. MICHELEBOURNE,C.p.A. COYVINCENT.C.F,.A. GRAGSON,CASIDAY&GUILI,OI~,Y,L.L.P CERTIFIEDPUBLICACOUNTANTS INDEPENDENTAUDITORS'REPORT BoardofComisioners JefersonDavisCentralWaterworksDistrict Welsh.Louisiana ONELAKfSIDEpLAZA,SUITE7C~, P.O.DRAWER1B47 LAKECHARLES,LOLD[SIANA706OZI;~4t TELEPHONE(318)43S-19~6 FACSIMILE(318~439-136 July25,197 Wehaveauditedtheacompanyingeneralpurposefinancialstatementsof thejeferson])aviscentralwaterworksdistrict,acomponentunitofthe JefersonDavisParishPoliceJury,asofandfortheyearendedJune30, 197.Thesegeneralpurposefinancialstatementsaretheresponsibilityof thejefersondaviscentralwaterworksdistrictmanagement.our responsibilityistoexpresanopiniononthesegeneralpurposefinancial statementsbasedonouraudit. Weconductedourauditinacordancewithgeneralyaceptedauditing standardsandgovernmentauditingstandards,isuedbythecomptrolergeneral oftheunitedstates.thosestandardsrequirethatweplanandperformthe auditobtainreasonableasuranceaboutwhetherthegeneralpurpose financialstatementsarefreofmaterialmistatement.anauditincludes examining,onatestbasis,evidencesuportingtheamountsandisclosuresin thegeneralpurposefinancialstatements.anauditalsoincludesasesing theacountingprinciplesusedandsignificantestimatesmadebymanagement, aswelasevaluatingtheoveralgeneralpurposefinancialstatement presentation.webelievethatourauditprovidesareasonablebasisforour opinion İnouropinion,thegeneralpurposefinancialstatementsreferedto abovepresentfairly,inalmaterialrespects,thefinancialpositionofthe JefersonDavisCentralWaterworksDistrictasofJune30,197,andthe resultsofitsoperationsandcashflowsofitsproprietaryfundtypeforthe yearthenendedinconformitywithgeneralyaceptedacountingprinciples. Ourauditwasconductedforthepurposeoforminganopiniononthe generalpurposefinancialstatementstakenasawhole.thestatementof Revenues,ExpensesandChangesinRetainedEarnings-BudgetandActualis presentedforpurposesofaditionalanalysisandisnotarequiredpartof thegeneralpurposefinancialstatementsofthejefersondaviscentral WaterworksDistrict.Suchinformationhasbensubjectedtotheauditing proceduresapliedintheauditofthegeneralpurposefinancialstatements and,inouropinion,isfairlypresentedinalmaterialrespectsinrelation tothegeneralpurposefinancialstatementstakenasawhole. InacordancewithGovernmentAuditingStandards,wehavealsoisueda reportdatedjuly25,19onourconsiderationofjefersondaviscentral WaterworksDistrict'sinternalcontrolstructureandareportdatedJuly25, 197onitscompliancewithlawsandregulations.
JEFERSONDAVISCENTRALWATERWORKSDISTRICT BalanceShet June30,197 ASETS Cash Investments Acountsreceivable $179, 197 196 Prepaidexpenses Restrictedasets Bondsinkingfund 28,4. 7, 501 694 386 28$18,015 79,732 30,387 4,386 Bondreservefund Cash Bondcontingencyfund Cash Customerdeposits Cash 51,393 3,205 31,262 Fixedasets(net) Constructionperiodinterest(net Investments 9,402 12,905 4,374 2,658,263 71,704 65,468 2,76,87 $317924$325267 69,473 67~856 LIABILITIES Acountspayable Acruedliabilities Payablefromrestrictedasets 7,797$ Revenuebond 2,383 6,936 Revenuebondspayable Acruedinterest Customerdeposits 8,370 2,329 28,137 FUNDEQUITY TOTALIABILITIES 71,704 7,397 ~,014,801 1,13_~19_% i~023,171 28,341 1,137,647 69,473 Contributedcapital Retainedearnings Reservedfordebtservice 1,163,3531,23,614 UnreservedTOTALFUNDEQUITY 2,046,052 825206 57,493 81203 TOT/~LI;~BILITIES/dqDFLTNI)~:QUITY $3&179,24=~4$325267 2.,087,620 52,803 Theacompanyingnotesareanintegralpartofthes%financialstatements CRAGSON,CA~IDAY&GU LORY,L.L.P. CERTIFIEOPUBLICACOUNTANlr6-4-
JEFERSONDAVISCENTRALWATERWORKSDISTRICT StatementofRevenues,ExpensesandChangesinRetainedEarnings YearEndedJune30,197 OPERAT][NGREVENUES Charclesforservices Advaloremtaxes(net) Instalatlon~ Penaltiesandreconectfes Miscelaneous Gainonsaleofixedasets TOT/~LOPERATINGREVEh~S OPERATINGEXPENSES Advertising Amortization Autorental Chemicals Com;D~nication Contractlabor Convention Depreciation Dues Fuel Insurance-e~ployes Insurance-other Miscelaneous Ofice Perdiem Postage Printing Profesionalfes Repairsandmaintenance Retirement Salaries Suplies Taxesandlicenses Utilities Watersamples TOTALOPERATINGEXPENSES OPEKATINGINCOME NON-OPERATINGREVENUES(EXPENSES) ~nterestincome ]interestexpense 197, 196 $230,907 125,920 6,308 5,542162759 369,598 68 2,38 2,319 14.293 2,15842571 i0,576 1,560 2,845 13,92 8,656 1,735785 4,260 2.28124 3,10 29,272 3,387 68,768 10,347 5,254 26,79640 316,515 $235,960 12,408 6,916 5,470 7,070 37,824 127 2,38 1,950 13,481 2,46856 i13,192 1,246 2,505 i,4 8,18910 1.498 3,90 2,428 1,181 3,10 10,593 3,132 67,735 14,141 5,149 29.793590 301,923 53,083 75,901 18,508 (1~3,159) (94.651) 14,21 (13,895) (9,684) Theacompanyingnotesareanintegralpartofthesefinancialstatements GRACSDN,CASIDAY&GUIL~ORY.L.L.P. CEFiPTIFIL~DPUBLICAC(~'UNTANTS
StatementofRevenues,ExpensesandChangesinRetainedEarnings-Continued JEFERSONDAVISCENTRALWATERWORKSDISTRICT YearEndedJune30,197 $(41,568)$(23,783) 197 196 RETAI]~EDEARNINGS-BEGINING INCREASEINRETAINEDEAP~NINGS 60,261 18,693 60,261 36,478 RETAINEDEId~NINGS-ENDING s82=~=~69 864,06 827,528 Theacompanyingnotesareanintegralpartofthesefinancialstatements GRAGSON,CASlDAY~GUILORY,L.L.P. CERTIF ~OPUBt.ICACOUNTANTS -6-
JEFERSONDAVISCENTRALWATERWORKSDISTRICT StatementofCashFlows YearEndedJune30,197 CASHFbOWSFROMOPER/~TINGACTIVITIES Adjustmentstoreconcileoperating Operatingincome(los) incometonetcashprovidedby $53,083 197 196 operatingactivities Amortization Depreciation @ainonsaleofixedasets (Increase)decreasein ~[ncrease(decrease)in Acountsreceivable i0,( 2, Prepaidexpenses 38 75,901 576759) 13,192 2,38 1.693861 Acountspayable (2,650183 Acruedexpenses Acruedinterestpayable ~ZETCASHFLOWSFROMOPERATING CASHFLOWSFROMCAPITAL~RELATEDFINAIqCING ACTIVITIES 54(204) 1,976 167,692 191,141 328(17 ACTIVITIES Contributionsfromcustomers Procedsfromsaleofixedasets Ac~isitionofixedasets 2,231 Principalpaidonrevenuebonds 3,0 Interestpaidonrevenuebonds NETCASHFLOWSFROMCAPITAL CASHFLOWSFROMINVESTINGACTIVITIES RELATEDFIN2dgCINGACTIVITIES (13,159) (4,203) (7,397) (21,985) 3.274 (6,460) I19,528)(139,06) 13,895) InterestOninvestments NETINCREASE(DECREASE)INCASHAND 18,508 14,21 CASH/UCDCASHEQUIVALEN~gSATBEGININGOFYE~ CASHEQUIVALENTS 6,672 CASHANDCASHZQUIVALENTSATEICDOFYEAR $27328 206,56 $20656 140,270 6,286 Theacompanyingnotesareanintegralpartofthesefinancialstatements GRAGSON,CASIDAY~GUILORY,L.L.P. CERTIFIEDPUeḶIC.ACOUNTANTS -7o-
JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements June30,3.97 NOTEA-sUMARyOFSIGNIFICA~TACOiINTINGPOLICIES TheJefersonDavisCentralWaterworksDistrictisapolitical subdivisionofthestateoflouisiana.itwascreatedunderthe provisionsoflouisianarevisedstatues3:381forthepurposeof providingwatertotheruralareaofcentraljefersondavisparish.the districtis~overnedbyaboardofcomisionerscomposedofivemembers apointedbythejefersondavisparishpolicejury. ThefinancialstatementsoftheJefersonDavisCentralWaterworks Districthavebenpreparedinconformitywithgeneralyacepted acountingprinciples(gap)asapliedtogovernment%units.the GovernmentalAcozn%tingStandardsBoard(GASB)istheaceptedstandardsetingbodyforestablishingovernmentalacountingandfinancial reportingprinciples.themoresignificantofthegovernment's acountingpoliciesaredescribedbelow. I.ReportingEntity OASBStatementNo.24establishedcriteriafordeterminingthe governmentalreportingentityandcomponent%nlitsthatshouldbeincluded withinthereportingentity,forfinancialreportingpurposes,in conformancewithgasbstatementno.14,thejefersondaviscentral WaterworksDistrictincludesalfunds,acountgroups,etcetera,that arewithintheoversightresponsibilityofthejefersondaviscentral WaterworksDistrict. Asthegovernin~authority,foreportingpurposes,theJefDavisParish PoliceJuryisthefinancialreportingentity,Thefinancialreporting entityconsistsof(a)theprimarygovernment~(b)organizationsfor whichtheprimarygovernmentisfinancialyacountable,and(c)other organizationsforwhichthenatureandsignificanceoftheirelationship withtheprimarygovernmentaresuchthatexclusionwouldcausethe reportingentity'sfinancialstatementstobemisleadingorincomplete. GovernmentalAcountingStandardsBoardStatementNo.14established criteriafordeterminingwhichcomponent%u~itshouldbeconsideredpart ofthejefdavisparishpolicejuryforfinancialreportingpurposes. Thebasicriterionforincludingapotentialcomponent%u%itwithinthe reportingentityisfinancialaco~itability.thegasbhasetforth criteriatobeconsideredindeterminingfinancialacountability,eased upontheaplicationofthesecriteria,jefersondaviscentral WaterworksDistrictisacomponent:unitoftheJefDavisParishPolice Jury'sreportingentity ĠRAGSOP4,CASIPAY~GUILORY,L.L.I: Continued CERTIF'IEbPUBLICACOUNTANTS -8-
JEFERSONDAVISCENTRAJLWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30,197 NOTEA-SUF~4ARYOFSIGNIFICA/~TACODIWTINGPOLICIES-CONTINI/ED 2.Fu2]dAcounting TheJefersonDavisCentralWaterworksDistrictusesafundtoreporton itsfinancialpositionandtheresultsofitsoperations,fund acountingisdesignedtodemonstratelegalcomplianceandtoaid financialmanagementbysegregatingtransactionsrelatingtocertain governmentfunctionsoractivities.afundisaseparateacounting entitywithaself-balancingsetofacounts. ThefolowingfundisusedbytheDistrict EnterpriseFund- rodrietarvfund~roe TheEnterpriseFundisusedtoaco~%tforoperationsthatarefinanced andoperatedinamanersimilartoprivatebusinesenterpriseswhere thecosts(expenses,includingdepreciation)ofprovidingwaterservices tothegeneralpubliconacontinuingbasisisfinancedthroughuser charges. 3.BasisofAcounting Theacountingandfinancialreportingtreatmentapliedtoafundis determinedbyitsmeasurementfocus.alproprietaryfundsareacounted foronaflowofeconomicresourcesmeasurementfocus.withthis measurementfocus,alasetsandaliabilitiesasociatedwiththe operationofthesefundsareincludedonthebalanceshet.fundequity retainedearningscomponents.proprietaryfund-typeoperatingstatements presentincreases(e.g.,revenues)andecreases(e.g.,expenses)inet (i.e.,netotalasets)isegregatedintocontributedcapitaland totalasets. TheDistrictconsiderspropertytaxesasavailableiftheyarecolected within60daysafteryearend.thoserevenuesusceptibletoacrualare propertytaxes,interestrevenueandchargesforservices. Theacrualbasisofacountingisutilizedbyproprietaryfundtypes Underthismethod,revenuesarerecordedwhenearnedandexpensesare recordedathetimeliabilitiesareincured. Continued GRAGSON,CASIDAY4~:GUILO~I{y,L.L.P. CERTIFIEDPUBLtCACOUNTANTS -9-
JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30.397 NOTEA-SUFEvL~J~YOFSIGNIFICA/qTACOLrNTINGPOLICIES~CONTINUED 4.CashandInvestments Cashincludesamountsindemandepositsandtimedepositswithoriginal maturitiesof90daysorles.understatelaw,thedistrictmaydeposit ~undsindemandeposits,interest-bearingdemandeposits,moneymarket acounts,ortimedepositswithstatebanksorganizedunderlouisianalaw andnationalbankshavingtheirprincipaloficesinlouisiana. Thesedepositsarestatedatcost,whichaproximatesmarket.Under statelaw,thesedeposits(ortheresultingbankbalances)mustbe securedbyfederaldepositinsuranceorthepledgeofsecuritiesownedby thefiscalagentbank.themarketvalueofthepledgedsecuritiesplus thefederaldepositinsurancemustataltimesequaltheamounton depositwiththefiscalagent.thesesecuritiesareheldinthenameof thepledgingfiscalagentbankinaholdingorcustodialbankthatis mutualyaceptabletobothparties.atjune30,197,thedistricthas $273,395indeposits(colectedbankbalances).Thesedepositsare securedfromriskby$5,616ofederaldepositinsuranceand$267,79of pledgedsecuritiesheldbythecustodialbankinthenameofthefiscal agentbank. Investments ThefolowingaretheinvestmentsOftheDistrict,whicharecategorized togiveanindicationofthelevelofriskasumedbythedistrictat year-end.category1includesinvestmentsthatareinsuredoregistered orforwhichthesecuritiesareheldbythedistrictoritsagentinthe nameofthedistrict.category2includesuninsuredandunregistered investmentsforwhichthesecuritiesareheldbythebroker'sordealer's trustdepartmentoragentinthenameofthedistrict.thereareno Category2investments.Category3includesuninsuredandunregistered investmentsforwhichthesecuritiesareheldbythebrokerordealer,or byitstrustdepartmentoragentbutnotinthenameofthedistrict. TherearenoCategory3investments. U.S.Government 1 Category 2 3 Carying AmountMarket Value Securities $- Continued GRAGSON,CASIDAY~GUILORY,L.F. CERTIFIEDPUBLICACOUNTANTS -10-
JEFERSONDAVISCENTR/~LWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30,197 NOTEA-SUb,MARYOFSIGNIFICANTACOUNTINGPOLICIES-CONTINUED 5.AcountsReceivable Uncolectibleamoznltsdueforeceivablesarerecognizedasbadebtsat thetimejnfo2~ationbecomesavailablewhichwouldindicatethathe particulareceivablei8notcolectable.thismethodoesnotresultin achargetobadebtsthatismaterialydiferentfromtheamounthat wouldbechargedifthereservemethodwereused. 6.ConstructionPeriodInterest ~nterestcostsof$90,740duringoriginalconstructionperiodofplant wascapitalizedandisbeingamortizedoverthetermoftheoriginalbond isueusingthestraight-linemethod.amortizationexpensewas$2,38 fortheyearendedjune30,197. 7.StatementofCashFlows Forpurposeofthestatementofcashflows,theDistrictconsidersal highlyliquidebtinstrumentspurchasedwithamaturityofthremonths orleswhenpurchasedtobecashequivalents.thestatementreflects endingcashandcashequivalentsof$273,28whichrepresents unrestrictedamountsof$179,28andrestrictedamountsof$94,0. 8.Budgets AnenterprisefuI~dbudgetisadoptedonabasisconsistentwithgeneraly aceptedacountingprinciples.alanualapropriationslapseat fiscalyearend. Onorbeforethelastmetingofeachyear,thebudget~spreparedby yearestimatesandrequestedapropriationsforthenext:fiscalyear. functionandactivity,andincludesinformationonthepastyear,curent Theproposedbudgetispresentedtothegovernment'sBoardof Comisionersforeview.Theboardholdsapublichearingandmayad to,subtractfromorchangeapropriations,butmaynotchangetheform ofthebudget.anychangesinthebudgetmustbewithintherevenuesand reservesestimated. Expendituresmaynotlegalyexcedbudgetedapropriationsathe activitylevel. Continued GRAGSON,CASIDAY~GUILORY,L.L.R CERTf~IEOPUBLICACOUNTANTS ĪI"
JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30.197 NOTEA-SU~94A~yOFSIGNIFICANTACOUNTINGPOLICIES-CONTINUED 9.ComparativeData Comparativetotalsfortheprioryearhavebenpresentedinthe acompanyingfinancialstatementsinordertoprovideanunderstandingof changesinthegovernment'sfinancialpositionandoperations. NOTEB-ADVALOREMTA~ES FortheyearendedJune30,197taxesof9.09milswereleviedon propertywithasesedvaluationstotaling$14,065,830andwere dedicatedasfolows: Generaloperations Totaltaxesleviedwere$129,798 9.09mils PropertytaxmilageratesareadoptedinJulyforthecalendaryearin whichthetaxesareleviedandrecorded.altaxesaredueand colectiblewhentheasesmentrolsarefiledonorbeforenovember15 ofthecurentyear,andbecomedelinquentafterdecember31.property taxesnotpaidbythendoffebruaryaresubjectolien. NOT~C~FIXEDASETS Asumaryofchangesinfixedasetsfortheyearisasfolows Distributionsystem Furniture,fixtures&equipment Machineryandequipment Land Lesacumulatedepreciation TOTALS BegiruningFixedAsets ofyear $3,534,875 7,749 163,174 19,90 3,725,698 95821 $27687 GRAGSON,CASIDAY~GUILORY,L.L.p CERTIFIEDPUBLICACOUNTANTS -12- Net Aditions 45 (6,525) Endof Year $3,534,875 8,194 156,649. 19,90 3,719,618 1,061,35 Continued
O~FERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialstatements-Continued June30,197 NOTEC-FIXEDASETS-CONTINLrED Depreciationexpensewas$i0,576fortheyearendedJune30,197. Alpurchasedfixedasetsarevaluedathistoricalcost.Thecostof normalmaintenanceandrepairsthatdonotadtothevalueoftheaset ormaterialyextendasetlivesarenotcapitalized.improvementsare capitalizedandepreciatedovertheremainingusefulivesofthe relatedfixedasets,asaplicable. Depreciationhasbenprovidedoverthestimatedusefulivesofthe asetsusingthestraight-linemethod.thestimatedusefulivesareas folows: Distributionsystem Machineryandequipment Furniture,fixtureandequipment 7-50 5-i0 years NOTED-LONG-TERMDEBT A.DebtOutstanding ThefolowingisasumaryofbondtransactionsoftheDistrictforthe yearendedjune30,197: Bondspayable,Julyi,196 Bondsretired $1,030,568 BONDSpAYABLEJ-ONE30,197$ 7,397 BondspayableatJune30,197arecomprisedofthefolowingindividual isue: GRAGSON,CASIDAY~GUILORY,L.L.]I' CERTIFIEDPUBLICACOUNTANTS -13- Continued
JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30.197 NOTED-LONG-TERMDEBT-CONTINI/ED B.DebtServiceRequirementstoMaturity TheanualreqlirementstoamortizealdebtsOutstandingasofJune30 197,includinginterestpaymentsof$1,801,257areasfolows: YearEndingJune30, 198 201 202 Thereafter OnJune18,197,theBoardauthorizedtheisuanceof$1,132,0of taxablewaterrevenuerefundingbonds,series197torefundthebonds datedaprili,1989.hibernianationalbankhasagredtopurchasethe 197refundin~bondsat8.0%interestefectiveAugust1,197.The estimatednetsavingsfromthisrefundingisaproximately$650,0. NOTE-COMPONENTSOFRESTRICTEDASETS Enterprise~nd:RevenueRevenueRevenue Cashand SinkinqReserveContinqencyDeposits-Totals Bond Bond Bond Customer Certainprocedsofenterprisefundrevenuebondsareclasifiedas investments$3,205$51,393$9,402$71,704$165,704 restrictedasetsonthebalanceshetbecausetheiruseislimitedby aplicablebondcovenants.the1'bondsinking"acountisusedto segregateresourcesacumulatedfordebtservicepaymentsoverthenext twelvemonths.the"bondreserve"acountisusedtoreportresources setasidetomakeupotentialfuturedeficienciesintherevenuebond sinkingacount.the"bondcontingency"acountisusedtoreport resourcesetasidetometunexpectedcontingenciesortofundaset renewalsandreplacements. Continued GRAGSON,CASIDAY~GUILORY,L.L.P CERT;FJEDPUSkfCACOUNTANTS -14-
JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements-Continued June30,197 NOTE-COMPONENTSOFRESTRICTEDASETS-CONTINUED Theamou/~tofretainedearningsreservedforevenuebondretirementis detailed'asfolows: Restrictedasets:revenuebondsinking,reserve Les:Curentmaturitiesofrevenuebonds,payable andcontingencyfunds Acruedinterest,payablefromrestrictedasets $94,0 28,137 8,370 RetainedEarningsReserved $st=l~2/493 NOTEF-COhTI'RIBiVfEDCAPITAL Duringtheyear,contributedcapita]-changedbythefolowingamount CONTRIBUTEDCAPITAL,BEGINING Curentyeardepreciationonfixedasets $1,23,614 acquiredbyfundsexternalyrestricted forcapitalexpendituresthatreduce CONTRIBUTEDCAPITAL,ENDING contributedcapital ~60,261 NOTEG-PERDIEM Totalperdiempaidconsistedofthefolowing: LeJ.Clement BilyPrecht,Jr. PaulStark $90 RuselTouchet 840 EdmundWalker 780 90 $4,260 840 GRAGSON,CASI')AY~GUILORY,LP. CERTIFIEDpUBLICACOUN'[ANTS -15-
GRAGSON,CASI)AY&GUILORY,L.L.R (103,40)194,65~)8,749 JEFERSONDAVISCENTRALWATERWORKSDISTRICT NotestoFinancialStatements-Continued NOTEH-RISKMAMA~EMENT June30,197 TheDistrictisexposedtovariousrisksoflosrelatedtotorts;theft of,damagetoandestructionofasets;erorsandomisions;injuries toemployes;andnaturaldisasters.thedistrictmaintainscomercial believesuchcoverageisuficientoprecludeanysignificant uninsuredlosestothedistrict.setledclaimshavenotexcededthis insurancecoveragecoveringeachofthoserisksoflos.management c:omercialcoverageinanyofthepasthrefiscalyears.
JEFERSONDAVISCENTRA/,WATERWORKSDISTRICT StatementofRevenues,Expenses BudgetandChangesinRetainedEarningsandActual YearEndedJune30,197 OPERATINGREVENUES Chargesforservices Advaloremtaxes(net) Instalations Penaltiesandreconectfes Miscelaneous TOTA]~OPERATINGE~-EIqUES OPERATINGEXPENSES Adw~rtising Amortization Autorental Chemicals Comunication Contractlabor Convention Depreciation Dues Fuel Insurance-employes Insurance-other Miscelaneous Ofice Perdiem Postage Printing Profesionalfes Repairsandmaintenance Retirement Salaries Suplies Taxesandl~enses Utilities Watersamples TOTALOPERATINGEXPENSES OPEPJ~TINGINCOME NON-OPERATINGREVENUES(EXPENSES) Interestincome Interestexpense Variance Favorable Budqet[_Actual(Unfavorable $218,0 18,0 4,0 4,0O0 34.0 30 1,950 16,0 3,0 1,5070 79,801 1,50 3,30 15,0 i,0 1,450 1,50 4,20 3,0 1,0 3,20 19,152 3,40 68,70 17,0 5,260 32,0 1,0 294,9~ $230,907$ 125,920 6,308 5,542921 369,59_8 68 2,38 2,319 14,293 2,15842571 10,576 1,560 2,845 13,92 8,656 1,73785 4,260 2,28124 3,10 29,272 3,387 68,768 i0,347 5,254 26,79 _640 ~16,515 12,907 7,920 2,308 1,542921 25,598 232 2,38(369 1,707842 1,078129 (30,75)(60) 45 1,078 2,34(283) 715(60) 71287610 (i0,120)132 6,6536 5,21360 (21,532) 49,01753,0834,06 i0,018,5088,508 (13.40)(13,159) 241 (I03.40)~94,65!),B,749 Theacompanyingnotesareanintegralpartofthesefinancialstatements GRAGSON,CASIDAY~GUILORY,L.L.E
StatementofRevenues,ExpensesandChangesinRetainedEarnings- JEFERSONDAVISCENTRA/JWATERWORKSDISTRICT BudgetandActual-Continued YearEndedJune30,197 Variance Favorable NETLOS $(54,383)$(41,568)$12,815 BudgetActual(Unfavorable) Adcurentyear'sdepreciationonfixed asetsacquiredbyfundsexternaly restrictedforcapitalexpenditures thatreducecontributedcapital 60,26160,261 INCREASEINRETAINED RETAI~/SDEARNINGS-BEGINING EARNINGS 5,878 RETAINEDEARNINGS-ENDING 864,06 864,06 18,693 12,815 Theacompanyingnotesareanintegralpartofthesefinancialstatements GRAGSON,CASIDAYt~GUILORY,L.L.E CERTIFIEDPUBLICACOUNTANTS -3.8-
GIA(;SON,CASIDAY&(I;1JILORY,L.L.P CERTIFIEDPUBLICACOUNTANTS W,G~ORG~GRAG(~ON,C,P.A, RfCHARDW.CASI{}AY,C.P.A,(Apc RAYMONDGUILORy,JR.,C,P.A. JULfAqN.pORTUS,C.P.A. CRAIGA.CHILORES,C.P.A. LAKECHARLES,LOU}SIANA70602~B47 ONELAKESIDEPLAZA,SUITE7(~C) CAMUSCAS'FILE,C.p.A. TELEPHONE(318)439-1986 P,O,DRAWER184) D~.WNREC,D,C.P.^, FACSIMILE(3I8)4:)9-136 MICHEL.EBOURNE,C.P,A, COYVINCENT,C,F'.A, FINANCIA3LSTATEMENTSPERFORMEDINACORDANCEWITH INDEPENDENTAUDITORS'REPORTONCOMPLIANCE BASEDONANAUDITOFGENERALpURPOSE GOVERNMENTAUDITINGSTANDARDS BoardofComisioners July25,197 JefersonDavisCentralWaterworksDistrict Welsh.Louisiana DavisCentralWaterworksDistrict,acomponentunitoftheJefersonDavis ParishPoliceJury,asofandfortheyearendedJune30,197,andhave WehaveauditedthegeneralpurposefinancialstatementsoftheJeferson isuedoureporthereondatedjuly25,197. standardsandgovernmentauditingstandards,isuedbythecomptrolergeneral oftheunitedstates.thosestandardsrequirethatweplanandperformthe Weconductedourauditinacordancewithgeneralyaceptedauditing auditobtainreasonableasuranceaboutwhetherthegenera],purpose financialstatementsarefreofmaterialmistatement. JefersonDavisCentralWaterworksDistrictistheresponsibilityof management.aspartofobtainingreasonableasuranceaboutwhetherthe Compliancewithlaws,regulations,contractsandgrantsaplicabletothe financialstatementsarefreofmaterialmistatement,weperformedtestsof thedistrict'scompliancewithcertainprovisionsoflaws,regulations, contractsandgrants.however,theobjectiveofourauditofthegeneral purposefinancialstatementswasnotoprovideanopiniononoveral compliancewithsuchprovisions.acordingly,wedonotexpresuchan opinion. requiredtobereportedundergovernmentauditingstandards. Theresultsofourtestsdisclosednoinstancesofnoncompliancethatare BoardofComisioners.However,thisreportisamaterofpublicrecordand Thisreportisintendedfortheinformationofthemanagementandthe itsdistributionisnotlimited. -19-
W.~EORGIEGRAGSON,C,p,A. mchardw.ca~may.c.p.a,~apc RAYMONDGUILOIty,JR.,C.P,A, JULIAW.PORTUS,C,P,A, CR&IGA.C,HILDRIES,C,P.A, CAMUSCASTILIE,C,P.A. DAWNREbD,C,P.A, MICHEL~BOURNE,C.p,A, CO'.(VINCEN~r.C.pA, GRA(;SON,CASIDA~t"&(;!Jl~LOl~t~,L.I.P CERTIFIEDPUBLICAC:ON'rANTS oni:.lakesideplaza,suite?~ p.o.draweris4~ LAKECHARLES,LOUtSlAIMA70602-$84"~ TELEPHONE(:~I8)439-19{}6 FACSIMILE(31B)439-136 INDEPENDENTAUDITORS'REPORTONINTERNALCONTROL STRUCTUREBASEDONANAUDITOFGENERALPURPOSEFINANCIAL STATEMENTSPERFORMEDINACORDANCEWITH GOVERNMENTAUDITINGSTANDARDS BoardofComisioners JefersonDavisCentralWaterworksDistrict Welsh,Louisiana July25,197 WehaveauditedthegeneralpurposefinancialstatementsoftheJeferson DavisCentralWaterworksDistrict,acomponentunitoftheJefersonDavis ParishPoliceJury,asofandfortheyearendedJune30,197,andhave isuedoureporthereondatedjuly25,397. Wehaveconductedourauditinacordancewithgeneralyacepted auditingstandardsandgovernmentauditingstandards,isuedbythe ComptrolerGeneraloftheUnitedStates.Thosestandardsrequirethatwe planandperformtheauditobtainreasonableasuranceaboutwhetherthe generalpurposefinancialstatementsarefreofmaterialmistatements. ThemanagementoftheJefersonDavisCentralWaterworksDistrictis responsibleforestablishingandmaintaininganinternalcontrolstructurẹ Infulfilingthisresponsibility,estimatesandjudgmentsbymanagementare requiredtoasesthexpectedbenefitsandrelatedcostsofinternalcontrol structurepoliciesandprocedures.theobjectivesofaninternalcontrol structurearetoprovidemanagementwithreasonable,butnotabsolute, asuzancethatasetsaresafeguardedagainstlosfromunauthorizeduseor dispositionandthatransactionsarexecutedinacordancewithmanagement's authorizationandrecordedproperlytopermithepreparationofgeneral purposefinancialstatementsinacordancewithgeneralyaceptedacouhting principles.becauseofinherentlimitationsinanyinternalcontrol structure,erorsoriregularitiesmayneverthelesocurandnotbe detected.also,projectionofanyevaluationofthestructuretofuture peribdsisubjectotheriskthatproceduresmaybecomeinadequatebecause ofchangesinconditionsorthathefectivenesofthedesignandoperation ofpoliciesandproceduresmaydeteriorate. -20-
statementsofthejefersondaviscentralwaterworksdistrict,fortheyear endedj'0ne30,397,weobtainedanunderstandingoftheinternalcontrol Inplaninsandperformingourauditofthegeneralpurposefinancial structure.withrespectotheinternalcontrolstructure,weobtainedan understandingofthedesignofrelevantpoliciesandproceduresandwhether theyhavebenplacedinoperation,andweasesedcontrolriskinorderto determineourauditingproceduresforthepurposeofexpresingouropinionon thegeneralpurposefinancialstatementsandnotoprovideanopiniononthe internalcontrolstructure.acordingly,wedonotexpresuchanopinion. itsoperationthatweconsidertobeareportableconditionunderstandards establishedbytheamericaninstituteofcertifiedpublicacountants. Wenotedacertainmaterinvolvingtheinternalcontrolstructureand Reportableconditionsinvolvematerscomingtouratentionrelatingto significantdeficienciesinthedesignoroperationoftheinternalcontrol structurethat,inourjudgement,couldadverselyafecthentity'sability torecord,proces,sumarize,andreportfinancialdataconsistentwiththe asertionsofmanagementinthegeneralpurposefinancialstatements. segregationofdutieswithinitsinternalcontrolstructure.however,because ofthedistrict'sizeandresources,propersegregationofdutiesisnot ThereportableconditionisthatheDistrictdoesnothaveadequate feasible. operationofoneormoreoftheinternalcontrolstructurelementsdoesnot reducetoarelativelylowleveltheriskthaterorsoriregularitiesin Amaterialweaknesisareportableconditioninwhichthedesignor amountsthatwouldbematerialinrelationtotbegeneralpurposefinancial statementsbeingauditedmayocurandnotbedetectedwithinatimelyperiod byemployesinthenormalcourseofperformingtheirasignedfunctions. disclosealmatersintheinternalcontrolstructurethatmightbe reportableconditionsand,acordingly,wouldnotnecesarilydiscloseal Ourconsiderationoftheinternalcontrolstructurewouldnotnecesarily reportableconditionsthatarealsoconsideredtobematerialweaknesesas definedabove.however,webelievethereportableconditiondescribedabove isnotamaterialweaknes. BoardofComisioners.However,thisreportisamaterofpublicrecordand itsdistributionisnotlimited. Thisreportisintendedfortheinformationofthemanagementandthe GRAGSON,(~ASIDAY&GUILORY,L.LI'. CERTIFIEOpUBh'~ACOUNTANTS