Fort Walton Beach Council agenda — 03-19-12--special--audit — reading text

vME0 m M LAECUa Q FheFhe accompanyingaccompanying notesnotes areare anan integralintegral partpart ofof thesethese financialfinancial statements.statements. 2626  3, 1. a EXHIBIT IX City of Fort Walton Beach, Florida FIDUCIARY FUNDS STATEMENT OF FIDUCIARY NET ASSETS September 30, 2012 r 0am Employee n Retirement c ASSETS Funds mc LL Cash and cash equivalents 3, 475, 066 m Investments, at market a U. S. Government and Agencyy obli Eations obligations 8, 521, 299 10, 089, 981 QC Corporate equity 24, 798, 201 m Mutual funds 16. 580. 128 v I otal investments rw 59. 389. 609 n Due from State of Florida 7, 778 0 U TOTAL ASSETS N S 62. 872, 453 0N NET ASSETS j. Held in trust for pension and employee retirement benefits S 62, 872, 453 NneN The accompanying notes are an integral part ofthese financial statements. 27 Packet P9. 52 "  3. 1. a EXHIBIT X City of Fort Walton Beach, Florida FIDUCIARY FUNDS STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS Year Ended September 30, 2012 Employee Retirement Funds ADDITIONS Contributions Employer S 2, 639. 942 Plan members 48 L 155 State of Florida 361, 076 total contributions 3, 482. 173 Investment income ( loss) 9, 677, 181 Less investment expense 251. 116) Net investment income ( loss) 9, 426 065 Miscellaneous revenue 44 802 TOTAL ADDITIONS 13. 351 040 DEDUCTIONS Benefits and refunds paid Retirement payments 4, 681, 098 Disability payments Refunds 174,I96.? 50662 Total benefits and refunds paid 5. 051. 866 Administrative expenses Legal 6. 567 Contractual services 113, 767 Other 29. 490 Total administrative expenses 149 8? 4 TOTAL DEDUCTIONS 5 20i. 690 NETINCREASE( DECREASE) 8, 149, 350 NET ASSETS HELD IN TRUST FOR PENSION BENEFITS BEGINNING OF YEAR 54, 723. 103 END OFYEAR 62, 872,453 The accompanying notes are an integral part of these financial statements. 28 N cket+f g:' S3  3. 1. a THIS PAGE INTENTIONALLY LEFT BLANK.) P. 54  City of Fort Walton Beach, Florida NOTES TO FINANCIAL STATEMENTS September 30, 2012 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The City of Fort Walton Beach, Florida, ( the City) was originally chartered as a municipality under laws of the State of Florida Special Act of the Florida Legislature in 1937. The City Manager- Council form of government was established in 1953. As authorized by its charter, the City provides the following services: public safety ( police. fire, and inspection), highways and streets, water and sewer, sanitation, stormwater, culture and recreation, public improvements, planning and zoning, and general administrative services. The financial statements of the City have been prepared in accordance with accounting principles generally accepted ( GAAP) in the United States of America applicable to governmental units and the Uniform Accounting System mandated by Chapter 218. 33, Florida Statutes. The Governmental Accounting Standards Board ( GASB) is the standard - setting body for governmental accounting and financial reporting. The following is a summary of the more significant accounting policies of the City A. The Reporting Entity A seven member City Council and a Mayor govern the City, each elected at -large for four -year terms. The Council has no powers other than those expressly vested in it by State Statute and the City Charter, and their governmental powers cannot be delegated. As required by accounting principles generally accepted in the United States of America, these financial statements present the City of Fort Walton Beach ( the primary government) and its component unit. In evaluating the City as a reporting entity. management has considered all potential component units for which the City may or may not be financially accountable and, as such, be included within the City' s financial statements. Management utilized criteria set forth in GASB No. 14 for determining financial accountability of potential component units in evaluating all potential component units. In accordance with GASB No. 14, the City ( primary government) is financially accountable if it appoints a voting majority of the potential component unit's governing board and 1) it is able to impose its will on the organization or 2) there is a potential for the organization to provide specific financial benefit to or impose specific financial burden on the City. In addition, component units can be other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity' s financial statements to be misleading or incomplete. 29 Packet Pg. 55?-M.  F3 1.. a City of Fort Walton Beach, Florida NOTES TO FINANCIAL STATEMENTS September 30, 2012 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) A. The Reporting Entity ( Continued) As of September 30, 2012, the City of Fort