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HomeMy WebLinkAbout95-06579 GREENAWALT & COMPANY, P.C. CoID.AID 1001." ,.. ,AlaI L LYDNI HOWAID..OIUNAW.Lt ClllDON.. NOfNAN WlCKAIL I. IAn. 'OIIII H.IUJIlOLlI, I'. - p..nuM' .auy a. A. O.''''''.''LTCI.....tlU A. A. UIDDtOII cU'I..O) C"U'P1ID 'UILIC ACCOUNTANTS P.O. 80. 6 400 WEST MAIN STREET MrCHANICSBURO, PrNNSYLVolNlA 17055 1717178e..783 ,.... 17171 7ee.2731 BRANCH a,nCl: 12 WIlT I'OIrDUT nlllY CAUIIU. '" IflllI (117)lU-4W ,AX(7I1)ln.tJn INDEPENDENT AUDITORS' REPORT Iloard of School Dlrectors Hechanlcsburg Area School Dlstrlct Hechanlcsburg, Pennsylvania We have audlted tho accompanying general purpose financial statements of Hechanicsburg Area School District as of June 30, 1995, and for the year thon ended. Theae fLnanclal statements are the responslbil1ty of the District's management, Our responsibility is to express an opinion on these financial .t.tement. based on our audlt. We conducted our audit in accordance with generally accepted auditing .tandards and Government Auditing Standards issued by the Comptroller General of the Unlted Statu. Those standards require t:hat we plan and perform the audit to obtain reasonable assurance about: whether the financial st:atements are free of ..aterialmilltatement. An audit includes exemining, on a test: basis, evidence .upporting the amounts and disclosures in the financial statements. An audit al.o include. as.essing t:h. accounting principles used and significant estimates made by management, aa w.ll as evaluat:ing t:he overall financial statement pre.entation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the accompanying general purpose financial stat:ements pre..nt fairly, in all matsrisl respscts, t:he financial position of Hechanicsburg Area School Di.trict at: June 30, 1995, t:he results of its operations and t:he ca.h flows of its Food Service Fund for t:he year then ended, in conformit:y with .anerally accepted account:ing principles. Our audit for the year ended June 30, 1995 was conducted for the purpose of for..ing an opinion on the general purpose financial stat:ement:s of Hechenicsburg Area School District taken as a whole. The supplementary information is presented for purposes of additional analysis and is not a required part of the general purpose fLnancial statements. Such information has been subjected to the same audit:ing procedures appl1ed in the audit of the general purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. In accordance with Government Auditing Standards, we have also issued a report dated July 20, 1995. on our consideration of Hechanicsburg Area School District's internal control structure and a report dat:ed July 20, 1995, on its complianca with laws and regulationa. ~4~.fJ.t, GREENAWALT & COHPANY, P.t (J Hechanicsburg, Pennsylvania July 20, 1995 . 1 - MltoIlIElI- AM1!lICAN INSTI1UT1lOF cERnmo PUBLIC ACCOUNTANTS - PENNSYLVANIA INSTITUTl!OP C1!Rl1F1ll0 PUBLIC ACCOUNTANTS MECHANICS BURG AREA SCHOOL DISTRICT COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT CROUPS JUNE 30, 1995 Governmental Fund 'rvnes Athletic Capital General Association Construc.tion Re..rve Aa.et. Ca.h and ca.h equivalents $ 1,820,522 $ 5,128 $ 1,069 $ Inve.l:lIent. , at cost 2,704,292 2,845,591 661,485 Due from other funds 82,877 Account. receivable 234,728 6,687 2,929 Delinquent taxes receivable (net of allowance for uncollectible. , $ 235,572) 293,200 Invantory Property, plant and equipment Amount to be provided for long- term debt Total $ 5.135.619 $ 5.128 $ 2.853.347 $ 664.414 Liabilitie. Accrued .alarie. and benafit. $ 1,294,096 $ $ $ Account. payable 245,439 302,881 15,951 Deferred revenue 219,800 Due to other fund. Due to .tudent organizations Bond. payable Compen.ated absences 28.059 Total liabilities 1. 787.394 -0- 302.881 15.951 Fund equity Inve.ted in general fixed a..et. Ret.ined e.rnings Fund balance. 3.348.225 5.128 2.550.466 648.463 Total fund equity 3.348.225 5.128 2.550.466 648.463 Total $ 5.135.619 $ 5.128 $ 2.853.347 $ 664.414 The .ccompanying notes are an integral part of these financial statements. - 2 - Proprietary Fund TVDe Food Service Fiduciarv Fund ~vnes Trust snd A,encv Activities Account GrOUDS General General Long- Flxed Assets ~rm Debt $ 91,332 $ $ 189,914 $ 49,523 $ 3,213 31,830 44,386 17,126,538 19.701. 920 $ 170.761 $ -0- $ 239.437 $ 17.126.538 $ 19.701.920 $ $ $ $ $ 26,274 82.877 239,437 11,255,818 8.446.102 18.123 127.274 -0- 239.437 -0- 19.701.920 17,126,538 43,487 43.487 -0- -0- 17.126.538 -0. $ 170.761 $ ..0- $ 239.437 $ 17.126.538 $ 19.701.920 HECHANICSBURG AREA SCHOOL DISTRICT COHBINED STATEMENT OF REVENUE AND EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30, 1995 Athletic Capital General Association Construction R...rve Revenue Local .ource. $ 16,288,782 $ 91,724 $ 169,309 $ 36,274 State .ourcee 5,960,852 Federal .ourc.. 165,062 Refund of prior year.' expenditure. 8,224 Incoming tranefers 90.255 30.000 Total revenue 22.513.175 121. 724 169.309 36.274 Expenditures In.truction 13,305,383 Support .ervice. 6,116,495 Operation of noninstructional .ervice. 499,072 116,867 Facilitie. acqui.ition, con.truction and improvement .ervicee 1,529,189 112,213 Other financing uee. 1,269,349 Tran.fer. to other fund. 175.383 Total expenditures 21.365.682 116.867 1.529.189 112.213 !xce.. (deficiency) of revenue ovar expanditure. 1,147,493 4,857 (1,359,880) (75.939) Fund balance, July 1, 1994 2.200.732 271 3.910.346 724.402 Fund balance, June 30, 1995 $ 3.348.225 $ 5.128 $ 2.550.466 $ 648.463 The accompanying note. are an integral part of these financial atatements, . 3 . MECHANICS BURG AREA SCHOOL DISTRICT STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL ALL GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30, 1995 General Fund Variance Favorable Actual Bud,et (Unfavorable~ Revenue Local sources $ 16,288,782 $ 15,979,871 $ 308,911 State sources 5,960,852 5,876,227 84,625 Federal sources 165,062 156,120 8,942 Refund of prior years' expenditures 8,224 -0- 8,224 Incoming transfers 90.255 55.000 35.255 Total revenue 22.513.175 22.067.218 445.957 Expenditures In.truction 13,305,383 13,926,865 621,482 Support services 6,116,495 6,368,486 251,991 Operation of noninstructional .ervices 499,072 528,481 29,409 Other financing uses 1,269,349 1,269,658 309 Tran.fers to other funds 175.383 181. 000 5.617 Total expendit\1res 21. 365.682 22.274.490 90B.808 Exce.s of revenue over (under) expenditures 1,147,493 (207,272) 1,354,765 Fund balance, July 1, 1994 2.200.732 1. 627 . 774 572.958 Fund balance, June 30, 1995 $ 3.348.225 $ 1.420.502 $ 1.927.723 The accompanying notes are an integral part of these financlal statements. . 4 - . Athletic A.sociation Actual Budllet Variance Favorable lUnfavorab Ie) $ 91,724 $ 44,450 $ 47,213 30.000 35.000 15.000) 121 724 79.450 42.273 116,867 79,450 (37,416) 116.867 79.450 137.416) 4,857 -0- 4,857 271 -0- 271 $ 5.128 $ ...0. $ 5.128 o HECHANICSBURG AREA SCHOOL DISTRICT STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCE ALL PROPRIETARY FUND TYPES YEAR ENDED JUNE 30, 1995 Food s.rvlce Operating revenue Sate. $ 559.776 Operating expen.es Food and lIilk Labor Cuatodian wages Supplies and services 'epair. and lIaintenance Employae benefits Utilities and fuel Administrative salaries Depreciation 349,870 307,927 11, 590 17,615 2,710 104,939 50,046 70,460 5.507 " 920.664 Total operating expenses 1360.811) Operating loss Nonoperating revenue State source. Meal .ubsidies Social .ecurity and retirement subsidy Federal sources Meal subsidies Government commodities Interest eamed Total nonoperating revenue 25,263 15,118 125,316 57.589 8.969 232.255 Lo.s before transfers Services contributed by General Fund Equip.ent purcha.e. by Capital Reserve Fund (128,633) 145,383 12.403 29,153 14.334 Net inco.e Fund balance/retained earnings, July 1, 1994 $ 43.487 Fund balance/retained earnlngs, June 30, 1995 The accompanying notes are an integral part of the.e financial .tatements. . 5 . HECHANICSBURC AREA SCHOOL DISTRICT STATEMENT OF CASH FLOWS ALL PROPRIETARY FUND TYPES YEAR ENDED JUNE 30, 1995 N.t ca.h used ln operatlng actlvltles Food S.rvlce $ (360.888) 5.507 57,589 145 , 383 19.793 4,651 (11,147) (1,290) 9,390 (4,930) 1.106 l134.8!6) 165.691 8.969 39.831 51.501 $ 91.332 Operatlng actlvltles Operatlng 10.. Adju.t..nt. to reconcl1e operatlng loss to net ca.h u..d ln operatlng actlvltles D.predatlon Donated commodltles consumed S.rvlc.. contrlbuted by General Fund Decr.... (lncrease) ln Accounts recelvabl., Inventory Increa.e (decrease) ln Accrued salarles and benefits Accounta payable Due to other funds D.ferred revenue Compensated absen~es Noncapltal financing actlvltles Subddles lov.atins actlvities Earninsa on lnvestments N.t lncr.aae ln cash and cssh equlvalenta Caah and cash equivalents, beglnnlng Ca.h and caah equlvalents, endlng The accompanylng notes are an lntegral part of these flnancial statements. .6. MECllANICSBURG AREA SCllOOL DISTRICT NOTES TO FINANCIAL STATEMENTS JUNE 30, 1995 1. Reporting entity Mechanicsburg Area School District is the level of government which has oversight responsibility and control over activities related to public school education. The report includes services provided by the District to residents within its boundaries: the Cumberland County communities of Upper Allen Township, Shiremanstown and Mechanicsburg Borough. Services provided include a comprehensive curriculum for primary and secondary education as well as special education and vocational education programs. The District receives revenue from local, stste and federal sources and must comply with the requirements of these funding sources. Criteria established in Governmental Accounting Standards Board Statement Number 14 were used in determining the lntities to be included in the reporting entity. These criteria include basic items such as financial interdependency, selection of governing authority, designation of management, ability to significantly influence operations, accountability for fiscal matters, scope of public service and specisl financing relationships. All operations of the District are included in the reporting entity. There are no other component unite that meet the.. criteria for inclusion in the reporting entity. 2. Summary of significant accounting policies The accounts of Mechanicsburg Area School District are maintained on the basis of accounting practicea prescribed or permitted by the Manual of Accounting and Related Financial Procedures for Pennsylvania School Systems, issued by the Pennsylvania Department of Education in accordance with the provisions of the School Laws of Pennsylvania. These practices, as applied by the District, are in conformity with generally accepted accounting principles. A summary of the more significant accounting policies is as follows: Fund accounting The accounts of the District are organized on the basis of fund types and account groups. Each fund type may consist of several different funds. Each fund is a aeparate entity accounted for by a separate set of self-balancing accounts which comprise its assets, liabilities, fund balance, revenues and expenditures. The fund types and the account groups utilized by Mechanicsburg Area School District are as foll\llJs: Governmental Fund 'ryoes - These are the funds through which most governmental functions ere furnished. The funds included in this category are: General Fund . The General Fund is used to account for all financial resources except those required to be accounted for in another fund. Construction Funds . The Construction Funds are used to account for the proceeds of bond issues and their corresponding expenditures. The fund balances at June 30, 1995 will be used for capital improvements. - 7 - HECHANICSBURG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 2. Summary of significant accounting policies (Cont'd.) Baais of accounting The District uses the accrual method of accounting for transactions. Revenues are recolnized when they are earned, measurable and available to financa current expenditures. Expenditures are generally recognized when the liability is incurred. Exceptions to this general rule include: (1) inventoriea of materials and supplies received in advance of the budget year authorizing such purchases are not accrued, and (2) interest on general long-term debt which is recognized when due. Expenditures which may benefit future periods (prepeid expenses) are charged to expense wh~n paid. Budgets The District adopts, prior to the beginning of each fiscal year, an annual budlet for the General Fund and Athletic Fund. A part of this budget process is the adoption of local tax rates, subject to various legal restrictions. The District approves subsequent budget revisions (primsrily transfers between expenditure categories), as necessary. Revenue - Local sources Real estate, residence and occupation taxes are levied as of July 1 with a lelal, enforceable cle!m against the taxpayer and/or property. These taxes are recognizable as current revenue when received by the District during the fiscel year snd alao eatimated to be received by the District within sixty days after the close of the fiscal year. TholS currently levied taxes which are not estimated to be rece1ved by the District within sixty days after the close of the current fiscal year ere recorded aa deferred revenue. An allowance for. uncollectibles is recorded for taxes levied for the current fiscal year and deemed to be of doubtful collection in the current and aubaequent fiscal years. Property, plant and equipment Property, plant and equipment are recorded in the General Fixed Assets Group of Accounts at estimated historical cost. - 9 - o HECHANICSBURC AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 2. Summary of significant accounting policies (Cont'd.) Accumulated sick and vacation leave Sick leave is granted as appropriate, and Provision is msde annually in the budget for There is limited payment for accumulated sick The gross amount of uncompensated abaences is Debt group of accounts, Ceneral Fund and Food Unused vacation leave is minimal. medical evidence may be required. the cost of substitute personnel. leave at the time of retirement. recorded in the Ceneral Long-Term Service Fund (See Note 11). Food Service Fund The Food Ssrvice Fund is accounted for as an enterprise fund and usea the full accrual basis of accounting. Equipment is recorded in the Food Service Fund and is depreciated using the straighe-Une method. Donaeed cOllU1lodieies are inveneoried ee case figures provided by ehe Federal government when received. Ueilieies, salaries, eec. paid by ehe Ceneral Fund for ehe benefiC of ehe Food Service Fund amounc1ng co $ 145,383 have been refleceed on ehe rupeceive seeeemenes of revenue and expenditures for th6 year ended June 30, 1995, baaed on managemene's eseimaees. The Districe does not attempt to allocate all costs which benefic the Food Service Fund due to the difficulties associated with the measurement of such benefits. Hateriels and supplies Ceneral Fund materials and suppUes are expensed as paid. Food Service Fund materiala and supplies are expensed as used. Food Service Fund inventories at June 30 are reflected on the balance sheet at cost, first-in, first-out method. 3. Cssh and temporary investments Cash and cash equivalents at June 30, 1995 are categorized as follows: Carrying Bank Value Balance Cash on hand $ 60 $ -0- Insured 100,000 100,000 Collateral held in Distrlct's name -0- -0- Collateral not held in District's name 41. 354 263.747 141,414 363,747 Pooled investment (treasury management account) 1.966.551 1. 966.551 $ 2.101.965 $ 2.330.298 - 10 - MECHANICS8URG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 6. Property, plant and equipment The schedule below presents estimated h1storlcal cost of property, plant and equipment. These amounts were obtained, in the most part, from a valuation report prepared as of June 30, 1994. !t includes equipment held in the Food Service Fund. Land Land improvements Buildings Equipment $ 400,963 1,059,340 10,479,168 5.262.98~ $ 17.202.456 7. Long-term debt A summsry of changes 1n general long-term debt for the year ended June 30, 1995 is as follows: 8eRtnninJ Additions Payments Endin, General Obligation Bonds: Serles of 1992 $ 7,664,791 $ -0- $ 923,973 $ 6,740,818 Serles of 1993 4.515.000 -0- -0- 4.515.000 $ 12.179.791 $ ..0.. $ 923.973 $ 11.255.818 The Serles of 1993 General Obligation Bonds are due semi-annually throuah September 1, 2009, and have an average coupon rate of 4.8581. The Serles of 1992 General Obligation Bonds are due semi-annually through September I, 2005, and have an average coupon rate of 6.231. Maturities due in future years are as follows: Xul: General Obligation Bonds 1995-96 1996-97 1997-9B 1998-99 1999-2000 2000-2010 $ 1,088,500 1,021,328 974,661 933,910 899,460 6.337.959 Totals $ 11.255.818 - 12 - HECHANICSBURG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEHENTS (Cont'd.) JUNE 30, 1995 7. Long-term debt (Cont'd.) Future debt service requirements are as follows: :xut Totals $ 1,476,451 1,449,623 1,446,888 1,448,243 1,448,738 10.348.069 $ 17.618.012 1995.96 1996-97 1997.98 1998-99 1999-2000 2000-2010 In Jenuary of 1992, the general obligation bonds, Seriea of 1992, were issued for the refunding of the principal amount of $ 6,055,000 remaining on the general obligetion bonds, Series of 1980, 1987 and 1989 and certain building renovations. Debt service for the now Series, which includes approximately $ 1,500,000 of new capital funds, is $ 12,775,000. Remaining debt service on the defeased Series 1980, 1987 and 1989 was $ 8.956,248. The estimated economic gain from the defeasance of the three Series was $ 53,483. In September of 1993. the general obligation bonds totaling $ 4,515,000 ware issued for the purpose of funding certain capital improvements. The net proceeds of $ 4,398,055 is being accounted for in the Construction Fund of the Dietrict. 8. Contribution to Food Service Fund .Contribution to Food Service Fund" for the year ended June 30, 1995 includ.. the following estimated expenses charged to the Food Service Fund and paid through the General Fund: Cus todian wages Hauling and cleaning Employee benefits Utilities and fuel Administrative salaries Social security subsidy $ 11 , 590 7,058 9,755 49,659 70,460 (3.139) $ 145.383 . 13 . HECHANICSBURG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 9. Inter.fund trensfers The combined statement of revenue and expenditures for the year ended June 30, 1995 includes the following inter- fund transfers and contributions from the General Fund to the Food Service Fund and Athletic Association which are recorded in the General Fund as budgetary expenditures: Food services Student activities (Athletic Association) $ 145,383 30,000 10. Inventory Inventory, stated at cost, at June 30, 1995 in the Food Service Fund consists of the following: Purchased food Donated food SuppUes $ 2,152 26,274 3.404 $ 31. 830 11. Compansated absences The Ganeral Long-Term Debt group of accounts includes a liability of $ 8,446,102 which represents the gross amount of compensated absences, primarily sick l.av., which would be payable to all District employees if they were to us. this accumulated leave prior to retirement. It was calculated by multiplying .ach employee's accumulated leave time by their per diem rate. If an employee r.tir.s with unused compensated absences, the payout policy is as follows: Emarg.ncy and personal No payout. Vacation (Administrative personnel) Paid at per diem rate. Sickne.. Paid at the per diem rate paid to a substitute teacher at time of retirement, based on a formula involving a percentage of accumulated sick days and years of service. The maximum is 50t of accumulated sick days after 20 years of service. . 14 - HECHANICSBURG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 11. Compensated absences (Cont'd.) Historically, significant uncompensated absencss have been accrued at employee.' retirements and have been satisfied at a rate substantially lower than the calculation referred to in arriving at the liability recorded on the balance sheet. While no percentsges are available to determine this difference, it i. anticipated that the ultimate liability of the District for these uncompen.ated .b.ence. will be materially less than $ 8,446,102. They are, of course, liquidated through General Fund expenditures in the year the absence i. taken or the employee retires. The District has also r.ecorded liabilities for compensated absences in the General Fund and Food Service Fund as follows: General Fund Unpaid aick leave and early retirement bonuses are accrued for employees retiring prior to July 1, 1995. Food Service Fund Accrued sink leave has been recorded for all Food Service Fund employees at J~ne 30, 1995. 12. Contingent liabilities The District is contingently liable for outstanding lease rental debt of the Harrisburg Area Community College. The District's contract with its teaching staff expires June 30, 1997. 13. Pension plan All Hechanicsburg Area School District full-time employees participate in The Public School Employees' Retirement System of Pennsylvania ("System"), a co.t. sharing, multiple-employer public employee retirement system. All District full. time employees are eligible to participate in the Sy.tem. Employees who retire at age 62, or age 60 with 30 years of service, or with 35 years of service rolgardless of age, are entitled to a retirement benefit, payable monthly for life, equal to 2' of their final average salary time. years of service. Benefits vest on reaching 10 years of service. The System al.o provide. for early retirement at age 55 and for death and disability benefits. Effective July 1992, health insurance premium assietance of $ 55 per month is provided for retirees receiving a disability benefit or credited with at least 24.5 ye.rs of service. - 15 . MECHANICS8URG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 13. Pension plen (Cont'd.) Covered employees sre required by Stste statute to contribute a percentage of their salary to the plan. Thie percentage is 5.25' for employees hired on or before July 22, 1983, and 6.25' for employees hirer! after that: date. The District's and the Commonwealth's percentages sre equsl at 5.53' for the year ended June 30, 1995. The District's contribution for the year was $ 758,856. The accrued retirement at June 30, 1995, based on the July and Auguat payout of teachars' contracts, was calculated at the rate of 11.72' which is the rate in effect for 1995-1996. From July I, 1995, the District will pay the gross retirement contribution, and will be reimbursed by the Commonwealth for its share in tha form of a subsidy. The pension benefit obligation, which is the actuarial present value of credited projected benefits, is a standardized disclosure measure of the present value of penaion benefits, adjusted for the effects of projected salary increases and any step-rate benefits, estimated to be payable in the future as a result of employe service to date. The measure is intended to help users assess the retirement system's funding status on a going-concern basis, assess progress made in eccumulating suffici.nt assets to pay benefits when due, and make comparisons 8III0ng public employe retirement systems and among employers. As of June 3D, 1993, the most recent actuarial valuatIon date, PSER' s total pension benefit obligation, as calculated in accordance with GAS8 Statement No.5, totalled $ 23.86 billion. Net assets available for benefits as of the same date totalled $ 21.72 billion. The unfunded pension obligation under GASB Statement No.5 totalled $ 2.14 billion. Total contributions to the Syatem from all participating employers for the fiscal years ended June 3D, 1994 and 1993 were $ 0.93 billion and $ 0.97 billion, respectively. Ten-year historical trend information showing the System's progress in accumulating auffic1ent assets to pay benefits when due is presented in the System's Comprehensive Annual Financial Report. 14. Other post-employment retirement benefits The District does not offer any post-employment benefits to retired employa.. other than pension benefits as discussed in Note 13. The District will, howevar, allow retired employees to remain in its group medical insurance plan upon pa)'lllent by the retired employee of the cost of such coverage. In addition, an early retirement bonus of $ 10,000 is available to employees under certain conditions. This bonus can increase to $ 15,000 if the employee allows the funds to ba ratained by the District for payment of future medical insurance premiums. - 16 - KECHANICSaURG AREA SCHOOL DISTRICT NOTES TO FINANCIAL STATEKENTS (Cont'd.) JUNE 30, 1995 15. Rlsk Kanagament The Dlstrlct ls exposed to varlous rlsks of loss related to torts; theft of, demage to, end destructlon of assets; errors and omlsslona; lnjurles to employees; and nstural dlsasters. The Dlstrict malntalns cOl1llllerclal lnsuranca coverage covedng each of those risks of loss. Kanagement belleves auch coveuge la sufflclent to preclude eny slgnlflcant unlnsurbd losses to the Dlstrlct. Settled clalms have not exceeded thls cOl1llllerclal coverage ln any of the past three flacal years. 16. COllUllltments At June 30, 1995, the Dlstrlct was commltted to constructlon contracts totallng approxlmately $ 1,721,000. These emounts wlll be pald from the Constructlon and Capltal Reserve Funds. o . 17 . . KECIIANICSBURC AREA SCIIOOL DISTRICT CENERAL FUND STATEI1ENT OF REVENUE YEAR ENDED JUNE 30, 1995 Variance Favorable Revenue BudlZ8 t (Unfavorable) Taxea Current real estete taxes $ 10,399,353 $ 10,351,716 $ 47,637 Public utility realty tax 199,325 208,150 (8,825) Current per capita taxeb 76,381 77,670 (1,289) Current Act 511 taxes 76,381 77 ,670 (1,289) Occupation privilege taxes 57,816 47,180 10,636 Current occupation caxes 2,421,120 2,501,924 (80,804) Real eatate transfer taxes 261,739 242,568 19,171 Earned income taxes 1,901,004 1,794,593 106,411 Delinquent taxea, all levies 338.405 290.000 48.405 15.731. 524 15.591.471 140.053 State appropriations Baalc inatructional sub~~.dy 3,989,689 3,952,937 36,752 Homebound instruction 296 275 21 Vocational education -0- 3,820 (3,820) Special education 943,584 918,615 24,969 Transportation 190,298 190,000 298 Rentals end Sinking Fund payments 160,5U3 160,580 3 Driver education 6,445 7,000 (555) Kedical and dental services 10,857 5,500 5,357 Nursing services 69,633 66,500 3,133 Social security 484,949 500,000 (15,051) Retirement 53,047 -0- 53.047 Extra grants 2,000 58,000 (56,000) Instructional support teams 29,000 -0- 29,000 Tuition - court placed students 20.471 13.000 7.471 5.960.852 5.876.227 84.625 Federal appropriations Impacted areas 13,832 5,000 8,832 Disadvantaged children 105,380 115,620 (10,240) Federal block grants, Chapter II 12,001 13,500 (1,/.99) Drug free schools 23,935 15 ,000 8,935 EESA, Title II 9.914 7.000 2.914 165.062 156.120 8.942 (Continued) . 19 - HECHANICSBURG AREA SCHOOL DISTRICT GENERAL FUND STATEKENT OF REVENUE (Cont'd.) YEAR ENDED JUNE 30, 1995 Variance Fevoreble Revenue Bud,et (Unfavorable) Other Tuition and other payments froll patrons $ l4, 350 $ 29,000 $ (14,650) Earnings from temporary deposits and investments 4l6,783 245,000 171,783 Student activities 14,l94 l6,300 (2,l06) Rent from School and other facUities l3,809 ll,900 l,909 GOllllunity services activities 97,553 85,000 12,553 Hiscellaneous revenue 569 l,200 (631) Refund of prior years' expenditures 8,224 -0- 8,224 Transfers from other local education agencies 90.255 55.000 35.255 655.737 443.400 212.337 Total revenue $ 22.513.175 $ 22.067.218 $ 445.957 See accompanying report on supplementary information. - 20 . HECHANICSBURG AREA SCIIO'lL DISTRICT GENERAL f1JND STATEMENT OF EXPENDITURES YEAR ENDED JUNE 30, 1995 Variance Favorable EXDenditures BudRet (Unfavorable) Regular programs Per.onal services salaries $ 8,159,801 $ 8,308,422 $ 148,621 Per.onal services ,employeu benefits 1,955,531 2,107,085 151,554 Purchksed professional and technical services 86,862 93,648 6,786 Other purchased services 60,555 60,946 391 Supplies 381,715 415,746 34.031 Property 35,699 35,750 51 Other objects 30 .477 35.160 4.683 10.710.640 11.056.757 346 . 117 Special programs Personal services . salaries 944,707 964,168 19,461 Per.onal services . employee benefits 257,118 257,262 144 Purchaaed professional and technical services 613,539 692,065 78.526 Other purchased services 64,360 79,600 15.240 Supplies 9.681 14.683 5.002 1. 889.405 2.007.778 118.373 Vocational education programs Other purchased services 202.159 240.600 ]8.441 Other in.tructional programs Personal services . salaries 131,482 192,133 60.651 Personal services . employee bene fi ts 27,850 47,034 19.184 Purchaaed professional and technical services 1,991 2,000 9 Supplies 19,464 20,028 564 Property 139 1.500 1.361 180.926 262.695 81.769 Adult educatf.on programs Personal services salaries 5,320 5,400 80 Per.onal services . employee benefits 743 793 50 6.063, 6.193 130 (Continued) . 21 . HECHANICSBURC AREA SCHOOL DISTRICT CENERAL FUND STATEMENT OF EXPENDITURES (Cont'd.) YEAR ENDED JUNE 30, 1995 Exoenditures Bud,et Variance Favorable (Unfavorable) Community College education programs Other purchased services $ 316.190 $ 352.842 $ :)6.652 Support .ervices . Pupil personnel Paraonal .ervicea . .alaries 624,078 630,933 6,855 Par.onal service. . employee benefits 144,072 161,703 17 ,631 Purchased professional and technical services 42,562 70,453 27,891 Other purchased services 2,614 2,634 20 Supplies 10,521 13,728 3,207 Other objects 862 950 88 824.709 880.401 55.692 Support services . instructional staff Per.onal services . salaries 536,695 537,683 988 Per.onal service. . employee benefits 137,233 137,520 287 Purchaaed profe.sional and technical services 22,535 28,200 5,665 Other purchased serviceli 3,283 3,383 100 Supplies 68,286 68,473 187 Property .0. 13,500 13,500 Other objects 22.272 22.415 143 790.304 811.174 20.870 Support .ervices . administration Per.onal services . salaries 980,153 984,817 4,664 Peraonal aervices . employee benefits 240,335 255,635 15,300 Purcha.ed professional and technical services 140,880 156,250 15,370 Purchased property services 22,243 25,200 2,957 Other purchased services 31,050 37,297 6,247 Supplies 23,808 26,106 2,298 Other objects 22.196 24.436 2.240 1. 460.665 1. 509.741 49.076 (Continued) . 22 . . HECHANICSBURG AREA SCHOOL DISTRICT GENERAL FUND STATEMENT OF EXPENDITURES (Cont'd.) YEAR ENDED JUNE 30, 1995 o Support services . pupil health Personal services . salaries $ parsonal services . employee beneflts Purchased professional and technical servlces Othar purchased services Supplies Support services . business Personal aervices . salaries Personal services . employee benefits Purchased profesaional and technical services Other purchased services Supplies Other objects Operation and maintenance o~ plant services Personal aarvices . salaries Personal services . employee benefits Purchased professional and technical services Purchased property services Other purchased services Supplies Property Other objects Exoenditures 194,239 46,098 650 623 4.487 246.097 139,271 41,071 18,792 4,974 18,394 4.786 227.288 jlud,et Variance Favorable (Unfavorable) $ 195,012 $ 773 48,397 2,299 1,200 550 815 192 4.861 374 250.285 4.188 139,815 544 41,141 70 18,875 83 7,166 2,192 27,031 8,637 7.700 2.914 241.728 14.440 625,062 634,714 9,652 206,009 206,669 660 347 500 153 483,319 498,524 15,205 62,029 68,773 6,744 391,630 439,613 47,983 15,231 15,300 69 7.774 7.775 1 1. 791. 401 1. 871. 868 80.467 (Continued) . 23 . HECI~NICSBURG AREA SCHOOL DISTRICT GENERAL FUND STATEMENT OF EXPENDITURES (Cont'd.) YEAR ENDED JUNE 30, 1995 Vartanca Favorable EXDenditures Bud Ile t lUnfavorabl.\ Student transportatlon servlces Personal servlces . salades $ 14,469 $ 14,554 $ 85 Personal services . employee bene f1 ts 3,159 3,254 95 Other purchaaed servlces 632,261 654,240 21,979 SuppU.. 39,581 42,859 3,278 Property -0- 750 750 689.470 715.657 26.187 Central servlces SuppUes 2.520 2.550 30 Other support servlces Other purchased servlce~ 84.041 85.082 1~O41 Student actlvlties Personal services - salarles 214,336 219,520 5,184 Peraonal servlces . employee beneflts 31,845 37,300 5,455 Purcha.ed professlonal and technlcal servlces B,lOO 8,100 -0- Other purchased servlce. 15,750 16,688 938 SuppUe. 38,771 39,278 507 Property 424 2,000 1,576 Other objects 20.887 21.533 646 330.113 344.419 14.306 Community .ervices Pereonal service. - salades 92,796 98,523 5,727 Per.onal servlces - employee beneflts 16,758 18,531 1,773 Purchased professlonal and technlcal servlces 43,265 43,404 139 Other purchased servlces 8,977 14,276 5,299 SuppUe. 1,448 3,611 2,163 Other objects 5.715 5.717 2 168.959 184.062 15.103 (Contlnued) . 24 - HECHANICS8URG AREA SCHOOL DISTRICT G.:NERAL FUND STATEMENT OF EXPENDITURES (Cont'd.) YEAR ENDED JUNE 30, 1995 Varianca Favorable EXDenditures Bud..t IUnfavorabl. ) Dabt ..rvlca Intareat $ 340,676 $ 340,778 $ 102 land and nota prlnclpa1 923,973 924.180 207 Rafund of prlor year's receipts 4.700 4.700 .0. 1.269.]49 1.269.658 ~O9 Tranafara to othar funds 175.383 181.000 5.617 8udsatary Reaerve -0- -0. .0. Total expenditures $ 21.]65.682 $ 22.274.490 $ 908.808 Saa accompanylng report on supplementary lnformatlon. - 25 - ,......,..... HECHANICSBURG AREA SCHOOL DISTRICT CONSTRUCTION AND CAPITAL RESERVE FUNDS STATEMENT OF REVENUE AND EXPENDITURES YEAR ENDED JUNE 30, 1995 Serles Series Capltal 1993 1992 R...rv. P.evenue Inveet.ent lncome $ 165.880 $ 3.429 $ ]6.274 Expendlture. Cepital expenditures 1,448,044 79,219 112,213 Inve.t.ent fees 1,026 900 Tran.fer to Genersl Fund Total expenditures 1. 449.070 80.119 112.213 Exce.. of revenue aver (under) expenditures $ (1. 283 .190) $ (76.690) $ l75.939) See accompanying report an supplementary information. . 26 . 'e, e KECI\ANICSIlURC AREA SCHOOL DISTRICT SPECIAL REVENUE FUND . ATHLETIC ASSOCIATION STATEKENT OF REVENUE AND EXPENDITURES YEAR ENDED JUNE 30, 1995 Revenue e Seeeon tlcketa $ 5,855 Football late 27,570 Jr. "lab lete 2,033 Baaketball lata 18,452 Soccer late 2,497 Volleyball late 806 e WraatUnl lete 2,478 Prolrllll ..lea 982 Loat equlpllent 1,646 Dlatrlct III and atate playoffa 24.567 Prolrllll ad. 4,790 "laeellaneoua 48 e Cenual Fund 30.000 Total revenue 121 724 Expendlturea Football 15,847 . Jr. "lab 13,310 Clda' .porta 21,312 Ba.ketball 5,489 Wr..tUnl 3.599 Swl_lnl 2,999 B..eb.ll 7,745 Soccer 3,713 . Tr.ck and cross country 4.565 Calf and tennh 2.443 Wal.abt rooll 801 Dl.trlct III .nd .t.te playoffs 21,039 State tournament allowance 1,409 . Tralnlnl eupplle. 3.178 Duee, .ubacrlptlona end l1leetlnga 4,276 Furcha.ed .ervlcea 4.455 Klacellaneoua 687 Totel expendltures 116.167 . Exee" of revenue over expendltures $ 4.157 See accoapanylng report on supplementary lnformatlon. . . 27 . .