3 Known As Mid-Continent Public Library Accountants’ Report and Financial Statements June 30, 2007 This is trial version www.adultpdf.com... 3 Known As Mid-Continent Public Library J
Trang 1Consolidated Public Library District No 3
Known As Mid-Continent Public Library
Accountants’ Report and Financial Statements
June 30, 2007
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Trang 2Consolidated Public Library District No 3
Known As Mid-Continent Public Library
June 30, 2007
Contents
Independent Accountants’ Report on Financial Statements
and Supplementary Information 1
Management’s Discussion and Analysis 2
Basic Financial Statements
Governmental Fund Balance Sheet/Statement of Net Assets 6 Reconciliation of the Statement of Net Assets with Governmental Fund
Balance Sheet 7 Governmental Fund Revenues, Expenditures and Changes in
Fund Balance/Statement of Activities 8 Reconciliation of the Statement of Activities with Governmental Fund
Revenues, Expenditures and Changes in Fund Balance 9 Notes to Financial Statements 10
Required Supplementary Information
Revenues and Expenses Compared to Budget 20 Schedule of Funding Progress 22
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Trang 3Independent Accountants’ Report on Financial Statements
and Supplementary Information
Board of Directors
Consolidated Public Library District No 3,
Known As Mid-Continent Public Library
Independence, Missouri
We have audited the accompanying financial statements of the governmental activities and the general
fund of Consolidated Public Library District No 3, Known As Mid-Continent Public Library (the
Li-brary), as of and for the year ended June 30, 2007, which collectively comprise the Library’s basic
fi-nancial statements as listed in the table of contents These fifi-nancial statements are the responsibility of the
Library’s management Our responsibility is to express opinions on these financial statements based on
our audit
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America Those standards require that we plan and perform the audit to obtain 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 financial 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 We believe that our audit provides a reasonable
basis for our opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective
financial position of the governmental activities and the general fund of Consolidated Public Library District
No 3, Known As Mid-Continent Public Library as of June 30, 2007, and the respective changes in financial
position for the year then ended in conformity with accounting principles generally accepted in the United
States of America
The accompanying management’s discussion and analysis, budgetary information and schedule of
fund-ing progress as listed in the table of contents are not a required part of the basic financial statements
but are supplementary information required by the Governmental Accounting Standards Board We
have applied certain limited procedures, which consisted principally of inquiries of management regarding
the methods of measurement and presentation of the required supplementary information However, we
did not audit the information and express no opinion on it
Kansas City, Missouri
August 31, 2007
120 West 12 th Street, Suite 1200 Kansas City, MO 64105-1936 816.221.6300 Fax 816.221.6380
Beyond Your Numbers
bkd.com
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Known As Mid-Continent Public Library
Management’s Discussion and Analysis
June 30, 2007
2
The discussion and analysis of Mid-Continent Public Library (the Library) provides an overview of the Library’s financial activities for the year ended June 30, 2007 While profit is not a motive of the Library, a strong financial position allows the Library to deliver excellent services to the taxpayers of the District This discussion and analysis should be read in conjunction with the accompanying financial statements of the Library
Financial Highlights
Management believes the financial condition of the Library is strong The Library successfully is-sued a $10 million bond with an AA- rating by Standard & Poor’s to finance major capital projects
• Cash and Investments increased by $12,922,165 This consists of a 76% increase in cash and a 23% increase in investments
• Total assets at year-end amounted to $114,731,503, which exceeded total liabilities by
the amount of $102,393,660, resulting in a highly positive net asset position
• Total revenues were $41,502,519, an increase from 2006 in the amount of $3,809,675 or 10%, primarily due to property taxes collected on newly developing areas in the
Li-brary district and investment income
• Total expenses increased by $1,319,461, a 4% increase from fiscal 2006
Overview of Financial Statements
Management’s discussion and analysis introduces the Library’s basic financial statements The Li-brary’s basic financial statements include: (1) government-wide financial statements, (2) fund fi-nancial statements, and (3) notes to the fifi-nancial statements This report also contains additional required supplementary information (budgetary schedules) in addition to the basic financial state-ments
Basic Financial Statements
The Library operates a single government program (library system) and presents the aforemen-tioned government-wide financial statements and fund financial statements in combined form The combined statements are: (1) Governmental Fund Balance Sheet/Statement of Net Assets, (2) Governmental Fund Revenues, Expenditures and Changes in Fund Balance/Statement of Activities These financial statements also include Notes to the Financial Statements that explain some of the information in the financial statements and provide more detail
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Known As Mid-Continent Public Library
Management’s Discussion and Analysis
June 30, 2007
3
Government-Wide Financial Statements
The two government-wide financial statements report information about the Library as a whole us-ing accountus-ing methods similar to those used by private-sector companies Government-wide fi-nancial statements provide both long-term and short-term information about the Library’s overall financial status
(A) The statement of net assets includes all of the Library’s assets and liabilities, with the dif-ference reported as net assets Over time, increases or decreases in the Library’s net as-sets may serve as a useful indicator of whether financial position is improving or
deteriorating
(B) The statement of activities reports how the Library’s net assets changed during the most recent fiscal year All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows Thus,
revenues and expenses are reported in this statement for some items that will not result in cash flows until future fiscal periods
The government-wide financial statements reflect the Library’s only program, the library system, which is a governmental activity Governmental activities are supported primarily by property taxes
Fund Financial Statements
Governmental funds focus on (1) how cash and other financial assets that can readily be converted
to cash flow in and out and (2) the balances left at year-end that are available for spending Conse-quently, the governmental fund statement reports short-term fiscal accountability focusing on the use of spendable resources during the year and balances of spendable resources available at the end
of the year
Notes to the Financial Statements
The notes provide additional information that is essential to a full understanding of the data pro-vided in the government-wide and fund financial statements
Required Supplementary Information
The basic financial statements are followed by a section of required supplementary information This section includes a budgetary comparison schedule and a pension plan schedule of funding pro-gress
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Known As Mid-Continent Public Library
Management’s Discussion and Analysis
June 30, 2007
4
Financial Analysis
The following comparative condensed statements serve as the key financial data and indicators for
management, monitoring and planning
Consolidated Public Library District No 3 Known As Mid-Continent Public Library, Net Assets
2007 2006
Consolidated Public Library District No 3 Known As Mid-Continent Public Library, Changes in Net Assets
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Trang 7Consolidated Public Library District No 3
Known As Mid-Continent Public Library
Management’s Discussion and Analysis
June 30, 2007
5
General Trends and Significant Events
Construction has begun on the new Genealogy Library which will be known as the Midwest Gene-alogy Center Construction bids were awarded and are below the budgeted amount Completion is scheduled for late Spring of 2008
The Library issued $10 million in revenue bonds through UMB Bank for the purpose of financing the new Genealogy Center The bonds were given an AA- long term rating by Standard and Poor’s
A new Smithville Branch Library is in the planning stage Preliminary Plat approval is before the Smithville Planning and Zoning Commission Breaking of ground for the new facility is expected
to take place in Spring of 2008
A “pay for performance” and grade salary system is being phased in over a two-year period for all salaried employees This will replace the step and grade system which as been in place for many years The new salary system will give emphasis and reward to accomplishing goals as opposed to having longevity as the dominant factor in determining salary
The purchase of the property in Kansas City/Clay County known as “Woodneath” is in the final stages of planning This will be the site of a themed destination library
The Board authorized the interior improvement or enhancement of the older branches over a period
of the next four years The interiors of six branches will be completed during this fiscal year
Richard J Wilding
Director of Libraries
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Trang 8Consolidated Public Library District No 3
Known As Mid-Continent Public Library
See Notes to Financial Statements
Governmental Fund Balance Sheet / Statement of Net Assets
June 30, 2007
Assets
General Fund Adjustments
Statement
of Net Assets
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Liabilities and Fund Balance – Net Assets
General Fund Adjustments
Statement
of Net Assets
Fund Balance/Net Assets
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Trang 10Consolidated Public Library District No 3
Known As Mid-Continent Public Library
Reconciliation of the Statement of Net Assets with
Governmental Fund Balance Sheet
June 30, 2007
Amounts reported for governmental activities in the statement of
Capital assets used in governmental activities are not financial
resources and, therefore, are not reported as assets in
governmental funds The cost of the assets is $167,885,294,
Long-term liabilities early retirement benefits—noncurrent are
not due and payable in the current period and, therefore, are
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