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HomeMy WebLinkAbout95-06581 '^,' ." " ..' ;'.1 'I - ~T< f~y~~(, . .o.J.....,..:. "1'00"="'"" ~ '."." . ",," \,,,;. ~lU'I. Q . -..J \ l{) 0- . o "Z ., .;) . .uwx Page Number Independent auditors' report 1 Combined balance sheet . all fund types and account groups June 30, 1995 2 Combined statement of revenue, expenditures and change a in fund balances - All Governmental Fund Types - year ended June 30, 1995 3 Combinad statement of revenue, expenditures and chanae. in fund balances - budget and actual . G.naral and Special Revenue Funds - y.ar end.d June 30, 1995 4 - 5 Combin.d .tatement of revenue, expenses and changes in retained earnings/fund balances - Proprietary Fund Types and Nonexpendable Trust Fund. - year ended June 30, 1995 6 Combined .tatement of cash flows - Proprietary Fund Type. and Nonexpendable Trust Funds - year .nded June 30, 1995 7 8 - 21 Notes to finencial statements . June 30, 1995 . GREENAWALT & COMPANY, P.C. C.IDWAID 100".,111. JAMI.I. LYONI 1fOWAID I. OIIPfAWALT C..IDO" I. HOIPMAN MlCKAILI.IA""'1 10101 H.lUNQUa. JI. DaRnUHJ,ltlLLY - I. A. OIIlNAW,\LTII""'"1) A. I\. UlDrNQ'1 (dnJlo) CERTI'IEO PUILIC ACCOUNTA.NTS P.O Bo. 6 400 Wr.ST MAIN sT"EU MECHAHICSBURG PENNSYLVANIA. 17055 t1171766-.71U FAX 17171100.2731 UIA-Nett unlC. .2 Wl!1T POW,,,T nlBIT CAUIILD. '" I,alJ (1111141-4122 PAI(717)251.'171 INDEPENDENT AUDITORS' REPORT Board of School Directors Camp Hill School District Camp Hill, Pennsylvania We have audited the accompanying general-purpose financial statements of Camp Hill School District as of June 30, 1995 and for the year then ended, as listed in the preceding index. These general-purpose financial statements are the responsibility of the District' s management. O'lr responsibility is to express an opinion on these general-purpose financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards issued by the Comptroller General of the United Scates. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general-purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general- purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general-purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. As more fully described in Note 2 to the financial statements, general fixed assets are recorded at insured replacement value. Generally accepted accounting principles require that general fixed assets be carried at historical cost or estimated historical cost if the actual costs are not available. In our opinion, except for the effects on the General Fixed Assets Group of Accounts being recorded at other than historical cost or estimated historical cost as discussed in the preceding paragraph, the accompanying general-purpose financial statements present fairly, in all material respects, the finencial position of Camp Hill School District as of June 30, 1995, the results of its operations and the cash flows of its Proprietary Fund Types and Nonexpendeble Trust Funds for the year then ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued reports dated September 15. 1995 on our consideration of Camp Hill School Dilltrict's internal control structure and on its compliance with laws and regulations. ~JJl~-J,f.c. GREENAWALT)& Co~;~,uP.C. September 15, 1995 Mechanicsburg, Pennsylvania - 1 - toClMBEU _ AMERICAN INST1tUfIl OF C1!RnmD PUllLlC ACCOUNTANTS - PENNsnVAN1AINST1tUfIl OF CERnmD PUBLIC ACCOUNTANTS Proprietary Fund Tvoes Debt Food S.rvice Service $ 2,564 $ 8,510 $ 36 , 000 Fiduclnrv Fund rYDes Agency ~ (Activities) Account Grouoa General General Fixed Assets WI-Term Dtlbt 32,285 $ 70,721 $ $ 17,170,661 2,100,445 38,564 3.564.901 $ 38.564 $ 8.510 $ 32 .285 $ 70.721 $ 19.271.106 $ 3.603.465 $ $ $ $ $ $ 70,721 3,225,000 82,346 296.119 -0- .0- -0- 70.721 -0- 3.603.465 19,271,106 38,564 32,285 8.510 38.564 8.510 32.285 .0- 19.271.106 -0- $ 38.564 $ 8.510 $ 32.285 $ 70.721 $ 19.27l.106 $ 3.603.465 CAMP HILL SCHOOL DISTRICT COMBINED STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES . BUDGET AND ACTUAL GENERAL AND SPECIAL REVENUE FUNDS YEAR ENDED JUNE 30, 1995 General Fund Variance Favorable Bud2et Actual lUnfavorab Ie l Revenue Local sources $ 7,076,445 $ 7,159,577 $ 83,132 State sources 1,018,261 1,042,844 24.583 Federal sources 75.322 74.196 ll.126) Total revenue 8.170.028 8.276.617 106.589 Expenditures Instruction Regular programs 3,960,200 3,925,927 34,273 Special programs 598,436 471,352 127,084 Vocational education programs 62,000 60,228 1,772 Other instructional programs 72,157 71,452 705 Community College education programs 100.000 98.135 1. 865 Total instruction 4.792.793 4.627.094 165.699 Support services Pupil personnel 380,845 367,850 12,995 Instructional staff 254.311 241,034 13,277 Administration 691,347 676,043 15,304 Pupil health 99,687 99,479 208 Business 187,553 170,019 17,534 Operation and maintenance of plant services 739,202 677 ,443 61,759 Student transportation services 37,528 33,645 3,883 Central 6,710 3,344 3,366 Other support services 16.538 16.538 .0- Total support services ~.413.721 2.285.395 128.326 (Continued) .4. CAMP HILL SCHOOL DISTRICT COMBINED STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES . BUDGET AND ACTUAL GENERAL AND SPECIAL REVENUE FUNDS (Cont'd.) YEAR ENDED JUNE 30, 1995 Budl!:e t Expenditures (Cont'd.) Operation of noninstructional services Student activities Community services $ 157,093 20.300 Total operation of non. instructional services 177 . 393 Facilities acquisition, construction and improvement services 91.077 Debt se rvice 71.743 7.546.727 Total expenditures Excess of revenue over (under) expendi tures 623.301 Oth.r financing sources (uses) Interfund transfers in Refunds of prior years' expenditures Interfund transfers out Refunds of prior years' receipts Budgetary reserve 800 (533,328) .0. 190.773) Total other financing sources (uses) 1623.301) Excess of revenues and other financing sources over (under) expenditures and other financing uses -0- Fund balances (deficit), July 1, 1994 Fund balances, June 30, 1995 $ -0.. General Fund Actual $ 148,072 18.712 The accompanying notes are an integral part of these financial statements. . 5 166.784 89.673 38.711 7.207.657 1. 068.960 8,491 (533,328) (2,431) .0. 1527.268) 541,692 (19.993) $ 521.699 . . Variance Favorable . IUnfavorable) $ 9,021 . 1.588 10.609 . 1. 404 33.032 339.070 445.659 7,691 -0- (2,431) 90.773 96.033 541,692 119.993) $ 521.699 So.ei.l R.vanu. Fund Budll.t Actual Variance Favorable (Unfavorable) $ 85,058 $ 71,563 $ 13,495 Sl.622 42.331 9.291 136.680 113.894 22.786 -0- -0- -0- .0- -0- .0- 136.680 113.894 22.786 (79.BOS) (67.310) 12.498 79,808 81,643 1,835 79.808 81. 643 1. 835 -0. 14,333 14,333 59.799 59.799 $ -0. $ 74.132 $ 74.132 " "" CAMP HILL SCHOOL DISTRICT COMBINED STATEMENT OF REVENUE, EXPENSES AND CHANGES IN RETAINED EARNINGS/FUND BALANCES PROPRIETARY FUND TYPES AND NONEXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30, 1995 Proprietary Fund Tvee Food Service Fiduciary Fund Tyee Nonexpendable Trust Funds Operating revenue Local sources food service revenue Local sources - donations $ 79,911 $ 232 " 79.911 232 Total operating revenue Operating expenses Food and milk Salaries and wages Employee benefits Materials and supplies Scholarships Other expenses 45,853 47,044 16,438 3,127 1,150 234 Total operating expenses 112.696 1.150 (918) Operating income (loas) 02.785) Nonop.rating revenue (expenses) Int.rest income Interfund transfers in . noncash contributions from General Fund State sources 255 1,001 33,222 990 Total nonoperating revenue (expenses) 34.467 1. 001 Net income (loss) 1,682 83 Retained earnings/fund balances, July 1, 1994 6.828 32.202 Retained earnings/fund balances, June 30, 1995 $ 8.510 $ 32.285 The accompanying notes are an integral part of these financial statements. . 6 - CAMP HILL SCHOOL DISTRICT COMBINED STATEMENT OF CASH FLOWS PROPRIETARY FUND TYPES AND NON EXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30, 1995 Proprietary Fund TVDe Food Service Fiduciary Fund Tva. Non.xp.ndabla Truat Fund. ca.h flowa from operating activities Operating income (loss) Adjuatmenta to reconcile operating income (loss) to net caah provided by operating activities Noncash contributions from General Fund $ (32,785) $ (918) 33.222 Net cash provided by (used in) operating activities 437 (918) Cash flows from noncapital financing activities State subsidies - social security reimbursement 990 Caah flowa from investing activities Earnings on investments 255 1.001 Nat increase in cash 1,682 83 Caah and cash equivalents, July 1, 1994 6.828 32 202 Cash and cash equivalents, June 30, 1995 $ 8.510 $ 32.285 The accompanying notes are an integral part of these financial statements. . 7 . ~ CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS JUNE 30, 1995 1. Reporting entity III Camp Hill School District is the level of government which h.. over&ight responsibility and control over activities related to public school education. The report includes services provided by the District to residents within the boundaries of the Borough of Camp Hill. 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, state and federal sources and must comply with the requirements of these funding sources. ., o Criteria established in Governmental Accounting Standards Board Statement Number 14 were used in determining the entities to be included in the reporting entity. These criteria include basic items such as flnancial interdependency, selection of governing authority, designation of management, ability to significantly influence operations, accountability for fiscal matters, scope of public service and special financing relationships. Based on the foregoing criteria, the reporting entity has been defined to include aU the fund types and account groups for which the School District is finsncially accountable or for which there is a significant relationship. The audit reports of the component unit and joint venture are available for public inspection in the School District's administrative office. Blsnded ComDonent Unlts Some component units, despite being legally separate from the primary government, are so intertwined with the primary government that they are reported as part of the primary government. The component units reported in this way are as follows: Camp Hill Borough Authority The Camp Hill Borough Authority (Authority) was created to administer bond issues which provide funds for the construction of the Camp Hill Junior-Senior High School and for subsequent improvements, theretu. The Authority leases the Camp Hill Junior-Senior High School to the School District for uperation and use for public school purposes. The School District appoints 100\ of the Authority's board members and has guaranteed the debt of the Authority. Based upon these factors, the Authority is included in the School District's reporting entity as part of its Debt Service Fund. The Authority operates on a fiscal year ended December 31. The Authority's balance sheet is as of December 31, 1994 and the statement of revenues, expenditures and changes in fund balance is for the year ended December 31, 1994. - 8 - CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 1. Reporting entity (Cont'd.) Sl.nded Comnonent Units lCont'd.) Camp Hill Borough Authority (Cont'd.) Because of the different fiscal year ends between the School District and Authority, there is e difference between interfund transfers. The following ia an accounting of these differences: Interfund transfers in Interfund transfers out $ 542,078 533.328 Difference $ 8.750 The Authority, which is a part of the Debt Service Fund includes a transfer from the General Fund dated 3.1.94 in the amount of $ 6,750 and administrative fees received of $ 2,000. Community Recreation Account The Community Recreation Account was created to provide adult education claues to Camp Hill Borough residents. The School District is responsible for administering the program and it is responsible for the day to day financial transsctions of the account. Based upon these factors, the Co_unity Recreation Account is included in the School District's reporting entity as part of its Special Revenue Fund. The Di.trict is also a participant in three other jointly.govern.d operationa, aach of which is a separate legal entity that offers educational s.rvieea to th. Diatrict and its residents. Each of these entities .erves many achool diatriets and are therefore not included as part of Camp Hill School District's raporting entity. These other entities ere as follows: Capital Area Intermediate Unit - provides special education services and programs. Cumberland. Perry Area Vocational Technical School provides vocational and technical education services and programs. Harrisburg Area Community College education services and programs. provides community college .;;) - 9 - .. CAMP lULL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30. 1995 2. Summary of significant accounting policies . The accounting records of Camp Hill School District are maintsined on the basis of accounting practices prescribed or permitted by the Manual of Accounting and Related Financial Procedures for Pennsylvania School Systems, iuued by the Pennsylvania Department of Education in accordance with the provisions of the School Laws of Pennsylvania. These practices are in conformity with gen.rally accepted accounting principles as applicable to governmental units. A summary of the more significsnt accounting policies is as follows: Fund accounting . The accounting records of the District are organized on the basis of fund typ.s and account groups. Each fund type may consist of several different funds. Each fund is a separate entity with self.balancing accounts which comprise its assets, liabilities, fund balance/retained earnings, revenues and expenditures/expenses as appropriate. . The fund types and the account groups utilized by Camp Hill School District are u follows: Governmental Fund Tynes . Governmental Funds are those through which most governmental functions of the School District are financed. Toe acquisition, use and balances of the School District's expendable financial resources and the related liabilities (exc.pt thoee accounted for in proprietary funds) are accounted for through govarnaantal funds. The measurement focus is upon determination of changes in financial resources, rather than upon net income determination. The funds included in thi. category are: o o General Fund . The General Fund is used to account for all financial transactions not accounted for in another fund. Revenues are primarily derived from local property, per capita and occupation taxes, and State and Federal distributions. Many of the more important activities of the School District, including instruction, administration of the School District and certain noninstructional services are accounted for in this fund. Special Revenue Fund . Special Revenue Funds are used to account for the proceeds of specific revenues thst are restricted to expenditures for specified purposes. .:" Capital Projects Fund . Capital Projects Funds are used to account for financial resources to be used for the acquisition or construction of capital facilities. "" Debt Service Fund . Debt Service Funds are used to account for the accumulation of resources for, and the payment of, general long-term debt, principal, interest and related costs. . 10 . w CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 2. Summary of significant accounting policies (Cont'd.) Fund accounting (Cont'd.) o ProDrieta~v Fund Tvnes Proprietary Funds account for operations that are financed and operated in a manner slmilar to private business enterprises: Food Service Fund . The Food Service Fund is used to account for the financial transactions associated with the operations of the cafeterias. Fiduclarv Fund TVDes Fiduciary Funds (Trust and Agency Funds) are used to account for assets held by a governmental uni t in a trus tee capad ty or as an agent for other fund. or entities. Nonexpendable Trusts are accounted for in essentlally the same manner as Proprietary Funds. Agency Funds are custodial in nature and do not involve measurement of the results of operations: Trust Accounts . Accounts for contributions to and interest earnings on echolarship funds donated to the District, and for payment. of scholarship funds to selected students. Activity Fund . Accounts for programs operated and sponsored by various clubs and organizations within the schools. Activity funds are Agency Funds which are separately accounted for because of legal requirements. Account GrouDs The account groups are used to account for the general fixed assets and general long-term debts of the District. These account groups are not funds. They are only concerned with the measurement of financial position and are not involved with the measurement of results of operations. General Fixed Assets - General Fixed Assets account for the Dlstrict' s investment in fixed assets exclusive of those included in the Food Service Fund. No depreciation has been provided on general fixed assets. Interest costs incurred to purchase or finance fixed assets is not capitalized as part of fixed assets. Buildings, furnishings and equipment are presented on the balance sheet at insured replacement values as obtained by the District's insurance carrier. Historical costs or estimated historical costs have not been maintained by the District. . 11 - CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 2. Summary of significant accounting policies (Cont'd.) Basis of accounting (Cont'd.) The School District does not attempt to allocate "building-wide costs" to the Food Service Fund. Thus, General Fund expenditures which partially benefit the Food Sel"Vice Fund (utili ties, janitorial services, insurance, etc.) are not proportionately recognized within the Food Service Fund; similarly, the Food Service Fund does not recognize a cost for the building space it occupies (no rental of facilities expense). o Account GrouDs Buildings, furnishings and equipment are recorded at insured replacement value as obtained by the District's insurance carrier. Depreciation is not computed on these assets. Long-term debt is revenue sources. as District debt. offset by an amount to be provided by future taxation or other General obligation bonds payable in future years are recorded Interest on these bonds is recorded when such interest is due. Compensated absences (those for which employees receive pay) are recorded using the termination payment method. A liability is recorded through the use of estimates which apply historical data to current factors. The District maintains records of unused leave and applies the contracted rate for employees eligible for termination payments. The District allows only restricted sabbatical leave and therefore has no recorded liability in advance of the sabbatical. Cash and equivalents The District pools cash resources of certain accounts to facilitate the management of cash. As part of this cash management program sponsored by the District's depositary institution, overnight repurchase agreements are bought and sold on a regular basis to increase interest earnings. Cash and equivalents applicable to a particular account is readily identifiable. The balances in the pooled cash management accounts are available to meet current operation requirements. For purposes of the Food Service Fund statement of cash flows, the District considers all deposits purchased with an original maturity of three months or less to be cash or cash equivalents. Budgets The District adopts, prior to the beginning of each fiscal year, an annual budget for the General Fund and Special Revenue Funds. A part of this budget process is the adoption of local tax rates, subject to various legal restrictions. The budgets are maintained on a modified accrual object, with expenditures controlled by line item. end of each year and must be reappropriated. basis by fund, function and Appropriations lapse at the . 13 . CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 2. Summary of significant accounting policies (Cont'd.) Budgets (Cont'd.) The School Board approves budget transfers between departmenta within School District funds. Budgeted amounts are as originally adopted or as amended by the School Board at various times throughout the fiscal year. Revenue Local sources Real estate, per capita, residence and occupation taxes are levied as of July 1 with a legal, enforceable claim against the taxpayer and/or property. These taxes are recognizable as current revenue when received by the District during the fiscal year and also estimated to be received by the District within sixty days after the close of the fiscal year. An allowance for estimated uncollectible taxes is recorded based upon a historical estimate of delinquent taxes that will not be received within one year. Deferred tax revenues are based upon a historical estimate of delinquent taxes expected to be received within one year of tha fiscal year end. The portion of taxes receivable which is expected to be received within 60 days of June 30 is recorded as revenue in the current year. The remaining amount of taxes receivable which is expected to be received within one year from June 30 ia recorded as deferred revenue. All other amounts in the taxes receivable are written off as estimated uncollectible taxns. Other tax revenues, including taxpayer-assessed revenues such as earned income taxes, are recognized as revenue when received during the fiscal year or soon enough thereafter to be susceptible to accrual. Revenue - State sources State subsidies due the District as current fiscal year entitlements are recognized as revenue in the current fiscal year. Revenue - Federal sources Federal program funds applicable to expenditures for the same program in the current fiscal year but expected to be received in the next fiscal year are accrued as current revenue. '::J 3. Cash and investments The District's cash and cash equivalents consist of cash balances deposited in financial institutions and repurchase agreements purchased by the District from the financial institutions as part of a cash management account. In addition, the District has pooled liquid investment accounts which are invested in qualified securities through the Pennsylvania Treasury INVEST Program and the Trust Department of local financial institutions. u - 14 - ,,;) Q CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd) JUNE 30, 1995 3. Cash and investments (Cant'd.) The cash and cash equivalents at June 30, 1995 are categorized as follows: Total Carrying Bank Value Balance $ 455 $ -0- 171,193 226,514 .0. -0- -0- 64,892 52.162 52.162 $ 223.810 $ 343.568 Change funds Insured (FDIC) Collateral held in the District's name Collateral not held in the District's name Pooled liquid accounts Investments at June 30, 1995 are as follows: Pennsylvania Treasurer's INVEST Program for Local Governments $ 972.777 Trust Department of a financial institution - Trust for U.S. Treasury Obligations 36.000 Total $ 1.008.777 The investments, whose market value approximates cost due to the short term nature of the investments, are categorized as follows: Insured (FDIC) Collateral held in the District's name Collateral not held in the District's name $ -0- -0. -0. .0. 1. 008.777 Pooled investments Total $ 1.008.777 The types of authorized investments are limited by State regulations. Investment policies followed during the year did not significantly alter the categorization of investments shown above. The investment categories above were significantly higher during the first half of the fiscal year due to the deposit and investment of tax revenues during that time and the investment of the proceeds from 8 Tax and Revenue Anticipation Note. - 15 - CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 4. Delinquent taxes receivable As explained in Note 2, taxes are recorded as revenue only when received, or, in the case of delinquent real estate taxes, available within sixty days. The remaining balance of delinquent taxes receivable are recorded as deferred revenue in eccordance with school accounting policies. Deferred tax revenue amounted to $ 123,321 at June 30, 1995. Delinquent taxes receivable as reflected on the June 30, 1995 balance sheet consist of the following: 1988 and prior years 1989.90 1990.91 1991.92 1992-93 1993-94 1994-95 $ Real I2W Estate Per&onal 74,746 $ .0- $ 74,746 20,825 -0- 20,825 15,713 .0. 15,713 29,242 923 28,319 52,129 54 52,075 85,984 28,527 57,457 178.736 68.470 110.266 457,375 97,974 359,401 1333.796) 134.164) (299.612) 123.579 $ 63.810 $ 59.769 Less: Allowance for uncollectibles Total $ 5. Loan receivable - related party As part of an insurance benefit, the District advanced a total of $ 25,000 toward the premiums of a life insurance policy on the former superint.nd.nt. Thta noninterest bearing advance will be repaid to the District during th. 1996.97 fiscal year. The advance is colleteralized by an assignment of the policy to the District. 6. General Fixed Assets As explained in Note 2, buildings, furnishings and equipment are reflected on the balance sheet under the General Fixed Assets Group of Accounts stated at in.ured replacement value as obtained by the District's insurance carrier. A .ummary of the General Fixed Assets at insured replscement cost is as follow.: o v . 16 . CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 6. General Fixed Assets (Cont'd.) . Changes in Insured Beginning Replacement End of Year Value of Year Buildings $ 16,599,675 $ 570,986 $ 17,170,661 Furnishings and equipment 2.028.307 72.138 2.100.445 Total $ 18.627.982 $ 643.l24 $ 19.271.106 , 1 o 7. General obligation bonds payable A summary of changes in general obligation bonds payable for the year ended June Q 30, 1995 is as follows: Payments Beginning and other End of Year Additions Decreases of Year 0 General Obligation Bonds, S.riea of 1993 $ 3,365,000 $ .0. $ 140,000 $ 3,225,000 Camp Hill Authority, General Obligation Bonds, Series of 1977 220.000 -0- 220.000 -0- Total $ 3.585.000 $ -0- $ 360.000 $ 3.225.000 Scheduled debt service requirements are as follows: hAl: I2.al PrinciDal Inter..t 1995-96 $ 301,970 $ 140,000 $ 161,970 1996-97 421,510 265,000 156,510 1997-98 420,380 275,000 145 , 380 1998-99 423,280 290,000 133,280 1999-2000 424,650 305,000 119,650 2000-2001 424,705 320,000 104 , 705 2001-2002 423,705 335,000 88,705 2002-2003 426,453 355,000 71,453 2003.2004 417 ,460 365,000 52,460 2004.2005 422,385 390,000 32,385 2005.2006 195.545 185.000 10.545 Total $ 4.302.043 $ 3.225.000 $ 1.077.043 17 CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 9. Compensated absences (Cont'd.) A summary of compensated absences is as follows: Balance, July 1, 1994 $ 293,334 2.785 Net increase (decrease) Balance, June 30, 1995 $ 296.119 10. Pension plan All full time District employees and part time employees with at least 80 days or 500 hours of service yearly, are eligible to participate in The Public School Employees' Retirement System of Pennsylvania ("System"), a cost-sharing, multiple. employer defined benefit pension plan. The payroll for the employees covered by the plan for the year ended June 30, 1995 was $ 4,647,795; the District's total payroll for that period was $ 4,772,315. Employees who retire at age 62, or age 60 with 30 years of service, or with 35 years of service regardless of age, are entitled to a retirement benefit, payable monthly for life, equal to 2' of their final average salary times years of service. Benefits vest on reaching 10 years of service. The System also provides for early retirement at age 55 and for death and disability benefits. Effective July 1992, health insurance premium assistance of $ 55 per month is provided for retirees receiving a disability benefit or credited with at least 24.5 years of service. Covered employees are required to contribute a percentage of their salary to the plan. This percentage is 5.25' for employees hired before July 1983, and 6.25' for employees hired after that date. The District and State contribution percentages were equal at 5.53' for the year ended June 30, 1995. The District's contribution for the year was $ 257,023. Employees' contributions for the year were $ 260,717. Effective July 1995, the District percentage will be 11.72' and the District will receive a subsidy from the State for a portion of the District contribution. The pension benefit obligation, which is the actuarial present value of credited projected benefits, is a standardized measure of the present value of pension 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 employee 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 accumulating sufficient assets to pay benefits when due, and make comparisons among public employe retirement systems. As of June 30, 1994, the most recent actuarial valuation date, the System's pension benefit obligation, as calculated in accordance with GASB Statement No.5, totalled $ 26.3 billion. Net sssets available for benefits as of the same date totalled $ 23.5 billion. The unfunded pension obligation under GASB Statement No. 5 totalled $ 2.8 billion. . 19 . CAMP HILL SCHOOL DISTRICT NOTES TO FINANCIAL STATEMENTS (Cont'd.) JUNE 30, 1995 10. Pension plan (Cont'd.) Total contributions to the System from all participating employers for the years ended June 30, 1995 and 1994 were $ 809 million (estimated) and $ 927 million, respectively. Ten-year historical trend information showing the System's progress in accumulating sufficient assets to pay benefits when due is presented in the System's Comprehensive Annual Financial Report. 11. Postemployment benefits other than pensions The District's contract with the Camp Hill Education Association and its compensation plan for administrators provide for postemployment health and hospitalization benefits for full-time teachers and administrators who have 25 or more years of service with the District. The benefit is paid by the District toward the retirees' health insurance premium ranging from $ 750 to $ 1,000 per year per retiree for a period of 2 to 7 years. Both the contribution amount and the number of years of payment depends on the retirees' years of service. The benefit is paid only until the year in which the retiree is eligible for full social security benefits. The District finances this benefit on a pay-as.you.go basis. For the year ended June 30, 1995, there were eight retirees receiving this benefit at a total cost to the District of $ 7,510. 12. Risk management The District is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The District maintains commercial insurance coverage covering each of those risks of loss. Management believes such coverage is sufficient to preclude any significant uninsured losses to the District. Settled claims have not exceeded this commercial coverage in any of the past three fiscal years. For purposes of unemployment compensation laws, the District has elected not to be covered by the Pennsylvania Unemployment Compensation Fund. Any unemployment claims are paid by the District on a quarterly basis as incurred. The District is a member of a group of School Districts who have joined together to self. insure their workers' compensation exposure. The District pays annual contributions to the group based on a formula utilizing the District's own claim experience and annual payroll. Claims in excess of the District's retention experience are paid by a Central Fund within the group and, if necessary, by an insurance company carrying excess liability coverage. . 20 . . '&\ ~ - - ",. ;r '~::. . .. ~. ~ ,.,.:- ~:. .;~<~ \t', '-:':. ('"II' ...., , ,.-,.1". _:':'1':- t' I-.J," ::1": -' II' .,Il .. ': ';'- Q.. ';J ..0 .... ~ m ... .-- - ,.... _'""3- - r o . r c ::: .... 'a. v