Report on audit of annual budgeted expenditure limitation report: year ended June 30,... / Yuma/La Paz Counties Community College District (Arizona Western College)

              YUMA/LA PAZ COUNTIES COMMUNITY COLLEGE DISTRICT
REPORT ON AUDIT OF ANNUAL BUDGETED
EXPENDITURE LIMITATION REPORT
YEAR ENDED JUNE 30, 2009
YUMA/LA PAZ COUNTIES COMMUNITY COLLEGE DISTRICT
TABLE OF CONTENTS
YEAR ENDED JUNE 30, 2009
INDEPENDENT AUDITORS' REPORT 1
ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT – PART I 2
ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT – PART II 3
NOTES TO ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT 4
(1)
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INDEPENDENT AUDITORS' REPORT
Auditor General of the State of Arizona
and Governing Board of
Yuma/La Paz Counties Community College District
Yuma, Arizona
We have audited the accompanying Annual Budgeted Expenditure Limitation Report of Yuma/La
Paz Counties Community College District (the District) for the year ended June 30, 2009. This
report is the responsibility of the District’s management. Our responsibility is to express an opinion
on this report based on our audit.
We conducted our audit in accordance with U.S. generally accepted auditing standards. Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether
the report is free of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the report. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating
the overall report presentation. We believe that our audit provides a reasonable basis for our
opinion.
The accompanying Annual Budgeted Expenditure Limitation Report was prepared for the purpose
of complying with the uniform expenditure reporting system as discussed in Note 1, and is not
intended to be a presentation in conformity with U.S. generally accepted accounting principles.
In our opinion, the Annual Budgeted Expenditure Limitation Report of Yuma/La Paz Counties
Community College District for the year ended June 30, 2009, referred to above presents fairly, in
all material respects, the information required by the uniform expenditure reporting system on the
basis of accounting described in Note 1.
This report is intended solely for the information and use of the members of the Arizona State
Legislature, the Governing Board and management and for filing with the Auditor General of the
State of Arizona, and is not intended to be or should not be used by anyone other than these
specified parties.
LarsonAllen LLP
Mesa, Arizona
February 22, 2010
YUMA/LA PAZ COUNTIES COMMUNITY COLLEGE DISTRICT
ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT – PART I
YEAR ENDED JUNE 30, 2009
(2)
1. Economic Estimates Commission expenditure limitation $ 38,185,146
2. Total amount subject to the expenditure limitation $ 30,450,184
(from Part II, Line C)
3. Less expenditures of monies received pursuant to Arizona
Revised Statutes §15-1472 (workforce development) 665,283
4. Adjusted amount subject to the expenditure limitation 29,784,901
5. Amount under the expenditure limitation $ 8 ,400,245
I hereby certify, to the best of my knowledge and belief, that the information contained in this report is
accurate and in accordance with the requirements of the uniform expenditure reporting system.
YUMA/LA PAZ COUNTIES COMMUNITY COLLEGE DISTRICT
ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT – PART II
YEAR ENDED JUNE 30, 2009
(3)
Auxiliary Retirement of
Description General Enterprises Restricted Unexpended Indebtedness Total
A. Total Budgeted Expenditures: $ 3 1,907,204 $ 4,459,967 $ 1 9,271,905 $ 8,100,003 $ 5,806,117 $ 6 9,545,196
B. Less Exclusions Claimed:
Debt Service Requirements on Bonded Indebtedness
(Note 2) 5,806,117 5,806,117
Dividends, Interest, and Gains on the Sale or Redemption
of Investment Securities (Note 3) 236,546 28,018 1,027 244,880 510,471
Grants and Aid from the Federal Government (Note 4) 30,988 17,099,073 17,130,061
Grants, Aid, Contributions or Gifts from a Private Agency,
Organization or Individuals, Except Amounts Received in
Lieu of Taxes 663,453 663,453
Interfund transactions (Note 5) 272,167 272,167
Tuition and Fees (Note 6) 5,221,792 1,948,788 7,170,580
Prior Years Carryforward (Note 7) 7,542,163 7,542,163
Total Exclusions Claimed 5,730,505 2,007,794 17,763,553 7,787,043 5,806,117 39,095,012
C. Amounts Subject to the Expenditure Limitation $ 26,176,699 $ 2,452,173 $ 1,508,352 $ 3 12,960 $ - $ 3 0,450,184
Unrestricted
Current Funds Plant Funds
YUMA/LA PAZ COUNTIES COMMUNITY COLLEGE DISTRICT
NOTES TO ANNUAL BUDGETED EXPENDITURE LIMITATION REPORT
YEAR ENDED JUNE 30, 2009
(4)
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Annual Budgeted Expenditure Limitation Report (ABELR) is presented on the basis of
accounting prescribed by the uniform expenditure reporting system (UERS), as required by
Arizona Revised Statutes (A.R.S.) §41-1279.07, which excludes expenditures of certain
revenues specified by the Arizona Constitution, Article IX, §21 from the total budgeted
expenditures.
The information reported in both the ABELR and the financial statements is derived from the
same underlying accounting data. However, the formats of the ABELR and the financial
statements differ. The ABELR presents budgeted expenditures, exclusions, and amounts
subject to the limitation by fund type as required by A.R.S. §41-1279.07. The financial
statements present the net assets, changes in net assets, and cash flows in accordance with
U.S. generally accepted accounting principles.
In accordance with UERS requirements, a note to the ABELR is presented below for any
exclusion reported in the Total column on Part II that cannot be traced directly to an amount
reported on the annual financial statements.
NOTE 2 The exclusion claimed for debt service requirements on bonded indebtedness of $5,806,117 is
composed of the amounts reported as principal paid on capital debt and interest paid on capital
debt on the Statement of Cash Flows – Primary Government.
NOTE 3 Of the investment income of $597,645 reported on the Statement of Revenues, Expenses and
Changes in Net Assets – Primary Government, only $510,471 was expended and claimed as
an exclusion. Of the remaining $87,174, $1,473 was interest income in the Loan Fund which
was not excludable, and $85,701 was investment income of the Retirement of Indebtedness
Fund, which has been carried forward to future years.
NOTE 4 Government grants and contracts revenues of $17,860,862 reported on the Statement of
Revenues, Expenses and Changes in Net Assets – Primary Government include $17,130,061
from federal grants and contracts.
NOTE 5 Interfund transactions expended and claimed in the General Fund as an exclusion are indirect
costs recovered that were budgeted as General Fund revenue and Restricted Fund expense.
These interfund transactions were excluded from the financial statements.
NOTE 6 The District does not budget tuition and fees revenues net of scholarship allowances. Of the
gross tuition and fees of $9,560,773 reported on the Statement of Revenues, Expenses and
Changes in Net Assets – Primary Government, only $7,170,580 was expended and claimed as
an exclusion. The remaining $2,390,193 has been carried forward to future years.
NOTE 7 Prior year’s carryforward consists of constitutionally excludable revenues unexpended in the
year of receipt that have been accumulated and were expended in the current year as follows:
Unexpended
Description Plant Fund
Bond Proceeds $ 7,542,163