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HomeMy WebLinkAbout06.d. [Revised] Approve the Comprehensive Annual Financial Report (CAFR) as of June 30, 2016 for submission to the Government Finance Officers Association 6.d. (Revised) Central San ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: January 12, 2017 subject: APPROVE THE COMPREHENSIVE ANNUAL FINANCIAL REPORT AS OF JUNE 30, 2016 FOR SUBMISSION TO THE GOVERNMENT FINANCE OFFICERS ASSOCIATION Submitted By: Initiating Dept./Div.: Thea Vassallo, CPA, CMA Administrative / Finance & Accounting Finance Manager REVIEWED AND RECOMMENDED FOR BOARD ACTION: Phil Leiber- Director of Finance and Administration Roger S.Bailey General Manager ISSUE: Board approval is requested to submit a Comprehensive Annual Financial Report (CAFR) to the Government Finance Officers Association of United States and Canada (GFOA) for review. BACKGROUND: The GFOA is a professional association of state/provincial and local finance officers in the United States and Canada, and has served the public finance profession since 1906. The GFOA established the Certificate of Achievement for Excellence in Financial Reporting Program in 1945 to encourage and assist state and local governments to go beyond the minimum requirements of generally accepted accounting principles (GAAP) and to prepare comprehensive annual financial reports that provide transparency and full disclosure, and then recognize individual governments that succeed in achieving that goal. Central San was awarded a Certificate of Achievement for Excellence in Financial Reporting by the GFOA for the report submitted for the Fiscal Year 2014-15. The Certificate of Achievement is the highest form of recognition for excellence in state and local government financial reporting. In order to be awarded a Certificate of Achievement, a government agency must publish an easily readable report in a prescribed format report that complies with GAAP, Governmental Accounting Standards Board (GASB) and GFOA program policy and requirements. The CAFR includes ten years of District historical, financial, and statistical data. The CAFR provides a concise document for internal management use, as well as external use with other agencies, and is posted on Central San's website for the general public. A Certificate of Achievement is valid for a period of one year. Page 1 of 2 POSITION PAPER Board Meeting Date: January 12, 2017 Subject: APPROVE THE COMPREHENSIVE ANNUAL FINANCIAL REPORT AS OF JUNE 30, 2016 FOR SUBMISSION TO THE GOVERNMENT FINANCE OFFICERS ASSOCIATION Page 2 of 2 The Finance and Accounting Division has prepared Central San’s CAFR as of June 30, 2016. It is believed that the current CAFR continues to meet the Certificate of Achievement Program requirements and staff is asking for Board approval to submit it to the GFOA to determine its eligibility for another certificate. A draft of the June 30, 2016 CAFR was provided to the full Board as part of the agenda packet for the December 27, 2016 Finance Committee meeting. The Committee provided input on the CAFR. The final CAFR reflecting the changes is included as Attachment 1. ALTERNATIVES/CONSIDERATIONS: None. FINANCIAL IMPACTS: There is an application fee for submission of a CAFR for review based on total revenues of the entity applying. Based on this sliding fee schedule, Central San’s fee is $580. COMMITTEE RECOMMENDATION: On December 27, 2016, the Finance Committee reviewed the draft on June 30, 2016 CAFR and recommended changes regarding the number of Full Time Equivalents (FTEs) filled as of June 30, 2016; the Management Discussion and Analysis Capital Assets; Household Hazardous Waste customers served annually; 2 million pounds of HHW disposal; and recycled water truck services were added to the statistical section. O ther minor revisions will be made next fiscal year. The Committee recommended Board approval at this meeting. RECOMMENDED BOARD ACTION: Review and approve the June 30, 2016 CAFR for submission to the GFOA. Attached Supporting Document: 1. CAFR for the Fiscal Year ended June 30, 2016 [Revised]