Annual General-Purpose Financial Statements

 

TOWN OF EXETER, RHODE ISLAND

 

Fiscal Year Ended June 30, 2003

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                                                                                               

 

 


 

 

 

 

Table of Contents

 

 

 

 

                                                                                                                                                                                                       Page

 

INDEPENDENT AUDITORS= REPORT..................................................................................................................................... 1

 

GENERAL-PURPOSE FINANCIAL STATEMENTS

Combined Balance Sheet ‑ All Fund Types and Account Groups................................................................................... 3

Combined Statements of Revenues, Expenditures and Changes in Fund Balances ‑

 All Governmental Fund Types and Expendable Trust Funds.................................................................................. 4

Statement of Revenues and Expenditures - Budget (GAAP Basis) and Actual - General Fund................................. 5

Combined Statements of Revenues, Expenditures and Changes in Fund Balances ‑

Nonexpendable Trust Funds.......................................................................................................................................... 6

Combined Statement of Cash Flows -  Nonexpendable Trust Funds............................................................................... 7

Notes to Financial Statements................................................................................................................................................ 8

 

COMBINING STATEMENTS, ACCOUNT GROUPS, AND SUPPLEMENTAL SCHEDULES

 

Special Revenue Funds

Combining Balance Sheet...................................................................................................................................................... 17

Combining Statements of Revenues, Expenditures, and Changes in Fund Balances.................................................. 18

 

Capital Projects Fund

Combining Balance Sheet...................................................................................................................................................... 19

Combining Statements of Revenues, Expenditures and Changes in Fund Balances................................................... 20

 

Fiduciary Trust Funds

Combining Balance Sheet...................................................................................................................................................... 21

Combining Statements of Revenues, Expenditures, and Changes

        in Fund Balances - Expendable Trust Funds.............................................................................................................. 22

Combining Statements of Revenues, Expenditures and Changes

in Fund Balances -  Nonexpendable Trust Funds..................................................................................................... 23

Schedule of Cash Receipts and Disbursements  - Agency Funds................................................................................. 24

 

Account Group

Statement of General Long-Term Debt................................................................................................................................ 25

Schedule of Changes in General Long-Term Debt............................................................................................................ 26

 

Supplemental Schedules

Schedule of Revenues and Expenditures - Budget to Actual - General Fund............................................................... 27

Schedule of Property Taxes Receivable.............................................................................................................................. 30

 

INDEPENDENT AUDITORS' REPORT ON COMPLIANCE AND ON INTERNAL CONTROL

OVER FINANCIAL REPORTING BASED ON AN AUDIT OF GENERAL-PURPOSE

FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH

GOVERNMENT AUDITING STANDARDS.................................................................................................................... 31

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                                                                     INDEPENDENT AUDITORS' REPORT

 

 

 

The Honorable Members of the Town Council

Exeter, Rhode Island

 

We have audited the accompanying general-purpose financial statements of the Town of Exeter, Rhode Island as of and for the year ended June 30, 2003 as listed in the table of contents.  These general-purpose financial statements are the responsibility of the Town=s management.  Our responsibility is to express an opinion on these general-purpose financial statements based on our audit.

 

We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States.  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.

 

The general-purpose financial statements referred to above do not include financial data of the Exeter Fire Company No. 1, Exeter Fire Company No. 2, Exeter Emergency Dispatch, nor the Exeter Rescue Corps, which should be included as component units in order to conform with accounting principles generally accepted in the United States of America.  The amounts that should be reported for these component units have not been determined by management.

 

Additionally, the general-purpose financial statements referred to above do not include a general fixed asset account group for the primary government which should be included in order to conform with accounting principles generally accepted in the United States of America.  The amount that should be recorded in the general fixed assets account group is not known.

 

In our opinion, based on our audit, except for the effects on the financial statements by the omissions described in the preceding paragraphs, the general-purpose financial statements present fairly, in all material respects, the financial position of the Town of Exeter, Rhode Island as of June 30, 2003, and the results of its operations and cash flows of its nonexpendable trust funds for the year then ended in conformity with accounting principles generally accepted in the United States of America.


 

In accordance with Government Auditing Standards, we have also issued a report dated November 7, 2003 on our consideration of Town of Exeter's internal control over financial reporting.

 

Our audit was performed for the purpose of forming an opinion on the general-purpose financial statements taken as a whole.  The information on combining statements, account groups, and supplemental schedules listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general-purpose financial statements.  Such information has been subjected to the auditing procedures applied in the audit of the general-purpose financial statements and, in our opinion, except for the effects of the omissions described in the third and fourth paragraphs above, such information is fairly presented in all material respects in relation to the general-purpose financial statements taken as a whole.

 

 

 

 

 

 

November 7, 2003


                                                                               TOWN OF EXETER, RHODE ISLAND

                                         COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS

                                                                                                     June 30, 2003

 

                                                                                                                                                                                                                                  

 

                                                                                                                                      Fiduciary           Account

                                                                    Governmental Fund Types                     Fund             Groups

                                                                                                                                                             General                 Totals

                                                                           Special             Capital             Trust and         Long-Term       (Memorandum

                                        General           Revenue          Projects             Agency                  Debt                     Only)        

ASSETS                                                                                                                                                                                                                               

Cash and cash equivalents                   $ 1,044,861        $ 110,238           $       C            $      85,983            $          C                $ 1,241,082

Accounts receivable:

Property taxes                                        407,574                  C                       C                         C                           C                      407,574

Tax title property                                     14,469                  C                       C                         C                           C                        14,469

Other                                                         25,000                  C                       C                         C                           C                        25,000

Investments                                                        C                     C                       C                  985,394                        C                      985,394

Due from other funds                                      5,000             30,200             338,964                 37,325                        C                      411,489

Amount to be provided for the

payment of long-term debt                           C                     C                       C                         C                 1,198,413                1,198,413

                                         

           TOTAL ASSETS           $ 1,496,904        $ 140,438          $ 338,964         $ 1,108,702           $ 1,198,413             $ 4,283,421

 

LIABILITIES AND

 FUND BALANCES

 

LIABILITIES

Accounts payable                            $      74,398         $       C              $       C             $          C               $          C                $      74,398

Due to other funds                                 406,164               5,000                    C                         325                        C                      411,489

Deposits held in custody

for others                                                    C                     C                       C                    76,278                        C                        76,278

Accrued compensated

absences                                                22,475                  C                       C                         C                      19,413                     41,888

Deferred revenue                                    346,575                  C                       C                         C                           C                      346,575

Landfill postclosure

care costs                                                    C                     C                       C                         C                    900,000                   900,000

Land acquisition costs                                 C                     C                       C                         C                    175,000                   175,000

Capital lease                                                   C                     C                       C                         C                    104,000                   104,000

 

  TOTAL LIABILITIES                 849,612               5,000                    C                    76,603              1,198,413                2,129,628

 

FUND BALANCES                    

Reserved                                                  400,000           135,438             338,964            1,032,099                        C                   1,906,501

Unreserved                                                                                                                                                                      

           Undesignated                                    247,292                  C                       C                         C                           C                      247,292

 

TOTAL FUND BALANCES        647,292           135,438             338,964            1,032,099                        C                   2,153,793

 

TOTAL LIABILITIES AND

       FUND BALANCES           $ 1,496,904        $ 140,438          $ 338,964         $ 1,108,702           $ 1,198,413             $ 4,283,421              

 

 


 

See accompanying notes.


                                                                              TOWN OF EXETER, RHODE ISLAND

                      COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES

ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS

Year Ended June 30, 2003

 

 

                                                                                                                                                                                                                          Fiduciary

                                                                                         Governmental Fund Types                        Fund      

                                                                                                                                                       Expendable                Totals

                                                                                                   Special           Capital                    Trust              (Memorandum

                                                         General        Revenue         Projects                     Funds                      Only)       

REVENUES                                                                                                     

Property taxes                                                       $ 8,282,086        $        C            $       C                    $       C                 $  8,282,086

State and federal aid and grants                           1,257,996             54,681             85,480                          C                     1,398,167

Departmental revenues                                             132,842                  C                     C                             C                        132,842

Licenses, fees and permits                                        150,967                  C                     C                             C                        150,967

Fines and interest on late payments                         76,446                  C                     C                             C                          76,446

Interest and other investment income                      23,659                  C                     C                        24,444                       48,103

Other revenues                                                               6,180             78,721             54,359                       2,503                     141,763

 

                       TOTAL REVENUES                9,930,176           133,402           139,849                     26,947               10,230,374

 

EXPENDITURES

Salaries and wages                                                     650,549                  C                     C                             C                        650,549

Public works                                                                381,666           356,075                  C                             C                        737,741

Public safety                                                               591,118                  C                     C                             C                        591,118

Public health and welfare                                            19,952                  C                     C                             C                          19,952

Community services                                                    31,767                  C                     C                             C                          31,767

General government                                                   511,603               5,065                  C                             C                        516,668

Education                                                                 7,062,696                  C                     C                             C                     7,062,696

Other                                                                                2,488           134,006           240,514                     25,195                     402,203

 

             TOTAL EXPENDITURES                9,251,839           495,146           240,514                     25,195                10,012,694

              EXCESS OF REVENUES

OVER (UNDER) EXPENDITURES                 678,337          (361,744)        (100,665)                      1,752                     217,680

 

OTHER FINANCING SOURCES (USES)

Operating transfers in                                                       C                35,000            77,492                          C                        112,492

Operating transfers out                                            (112,492)                C                     C                              C                       (112,492)

EXCESS OF REVENUES AND OTHER

 FINANCING SOURCES OVER (UNDER)                                                               

EXPENDITURES AND OTHER USES           565,845          (326,744)          (23,173)                      1,752                     217,680

 

Fund balances - July 1, 2002                                                 81,447           462,182           362,137                   890,857                  1,796,623

 

FUND BALANCES - JUNE 30, 2003       $    647,292        $ 135,438        $ 338,964                $ 892,609              $  2,014,303

 

 

 

 

See accompanying notes.

 


 

 

 

 

TOWN OF EXETER, RHODE ISLAND

STATEMENT OF REVENUES AND EXPENDITURES B

BUDGET (GAAP BASIS) AND ACTUAL - GENERAL FUND

Year Ended June 30, 2003

 

 

 

 

                                                                                                                                                                          Favorable

                                                                                                      Budget                       Actual                (Unfavorable)              

REVENUES

Property taxes current year                                                             $ 8,315,958                 $ 8,094,884                   $ (221,074)

Property taxes prior years                                                                             C                          187,202                       187,202

State aid                                                                                                   854,978                    1,257,996                       403,018

Departmental revenues                                                                            82,000                       132,842                         50,842

Transfer station fees                                                                                23,350                         26,926                           3,576

License and permits                                                                               105,500                       124,041                         18,541

Fines and interest on late payments                                                      45,000                         76,446                         31,446

Interest and other investment income                                                   20,000                         23,659                           3,659

Nonbudgeted revenue                                                                                  C                              6,180                           6,180

 

                                                TOTAL REVENUES                9,446,786                    9,930,176                       483,390

 

EXPENDITURES

Salaries and wages                                                                                 660,962                       650,549                         10,413

Public works                                                                                            390,314                       381,666                           8,648

Public safety                                                                                            591,118                       591,118                              C  

Public health and welfare                                                                        20,600                         19,952                              648

Community services                                                                                 30,950                         31,767                             (817)

General government                                                                               572,654                       511,603                         61,051

Education                                                                                              7,062,696                    7,062,696                              C  

Nonbudgeted expenditures                                                                          C                              2,488                          (2,488)              

                                      TOTAL EXPENDITURES                9,329,294                    9,251,839                         77,455

 

                                       EXCESS OF REVENUES

                                         OVER EXPENDITURES                  117,492                       678,337                       560,845

 

Other financing sources (uses)

Transfers to other funds                                                                      (117,492)                    (112,492)                          5,000

                           EXCESS OF REVENUES OVER

                 EXPENDITURES AND OTHER USES              $          C                    $    565,845                    $ 565,845

 

 

 

 

 

See accompanying notes.                                                      

 

 

 

 


 

                                                                                   


                                                                     TOWN OF EXETER, RHODE ISLAND

                                COMBINED STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES

                                                 IN FUND BALANCES ‑ NONEXPENDABLE TRUST FUNDS

                                                                                Year Ended June 30, 2003

 

 

 

 

                                                                                                                                                                                

 

REVENUES

Interest income                                                                                                                                               $          68

Other investment income                                                                                                                                     2,744

 

                                                                                            TOTAL REVENUES                                 2,812

 

EXPENDITURES

Investment expenses                                                                                                                                            4,126

Contributions and expenses                                                                                                                                2,150

 

                                                                                   TOTAL EXPENDITURES                                 6,276

 

                                                                                                             NET LOSS                               (3,464)

 

Fund balances at July 1, 2002                                                                                                                               142,954

 

                                                                FUND BALANCES - JUNE 30, 2003                          $ 139,490

 

 

 

See accompanying notes.

 

 


                                                                     TOWN OF EXETER, RHODE ISLAND

                           COMBINED STATEMENT OF CASH FLOWS ‑ NONEXPENDABLE TRUST FUNDS

                                                                                Year Ended June 30, 2003

 

 

 

 

 

 

 

                                                                                                                                

OPERATING ACTIVITIES

Investment income                                                                                                                                           $   2,812

Cash payments for goods and services                                                                                                           (6,276)

                                                                                           NET CASH USED IN

                                                                                OPERATING ACTIVITIES                               (3,464) 

                                                                                                                                

INVESTING ACTIVITIES

Proceeds on sale of investments                                                                                                                      29,544

                                                                                 NET INCREASE IN CASH

                                                                             AND CASH EQUIVALENTS                               26,080

 

CASH AND CASH EQUIVALENTS AT JULY 1, 2002                                                                                    11,097

 

                                                                 CASH AND CASH EQUIVALENTS

                                                                                               AT JUNE 30, 2003                            $ 37,177

 

OTHER INFORMATION

Net loss equals net cash used in operating activities                                                                                $  (3,464)

 

 

 

 

See accompanying notes.

 

 

 

 

 

 

 

 

 


                                                                     TOWN OF EXETER, RHODE ISLAND

                                                                   NOTES TO FINANCIAL STATEMENTS

                                                                                           June 30, 2003

 

 

 

 

NOTE A‑‑SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES                                                                    

                                                                                                                                                                                                               

The Town of Exeter, Rhode Island (Town) was founded in 1742.  The Town is governed largely under the 1742 Legislative Charter.  In some matters, including the issuance of short and long-term debt, the Town is governed by the general laws of the State of Rhode Island.  The Town operates under a Town Council form of government.  The Town provides various services including education, libraries, public fire and rescue service, public works, social services, and general administrative services.

 

The financial statements of the Town have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) as applicable to governmental units.  The accounting methods and procedures adopted by the Town conform to GAAP as applied to governmental entities except for the omission of the primary government=s General Fixed Assets Account Group and certain component unit=s financial statements.  The more significant of the Town=s accounting policies are described below.

 

Financial Reporting Entity: The accompanying financial statements present the Town=s primary government and  certain component units which are financially dependent on the Town.  The Town=s component units are as follows:

 

Blended component units: The Manton Library is governed by a board of trustees appointed by the Town Council.  The library=s trustees govern the library in accordance with applicable state laws.  For financial statement purposes, the Manton Library is reported as if it were part of the Town=s operations because its purpose is to provide library services to the citizens of the Town and is dependent upon the Town for its financial resources.

 

Discrete component units: Component units (entities) which are legally separate from the Town, but are financially dependent on the Town and their exclusion could cause the Town=s financial statements to be misleading or incomplete include:

 

$                    Exeter Volunteer Fire Department No. 1

$                    Exeter Volunteer Fire Department No. 2

$                    Exeter Emergency Dispatch

$                    Exeter Rescue Corps

                                                                                                       

The discrete component units listed above were not included as part of the financial reporting entity.

 

Basis of Presentation ‑ Fund Accounting: The accounts of the Town are organized on the basis of funds or account groups, each of which is considered a separate accounting entity.  The operations of each fund are accounted for with a separate set of self‑balancing accounts that comprise its assets, liabilities, fund balance, revenues and expenditures.  Government resources are allocated to and for individual funds based upon the purpose for which they are to be spent and the means by which spending activities are controlled

 

Amounts in the ATotals (Memorandum Only)@ columns in the preceding financial statements represent a summation of the combined financial statement line items of the fund types and are presented for analytical purposes only.  The summation includes fund types that use different methods of accounting and include interfund transactions that have not been eliminated.  Consequently, amounts shown in the ATotals (Memorandum Only)@ columns are not comparable to a consolidation and do not represent the total resources available or total revenues and expenditures/expenses of the Town.

 

 


 

 

 

 

                                                                     TOWN OF EXETER, RHODE ISLAND

                                                                   NOTES TO FINANCIAL STATEMENTS

                                                                                           June 30, 2003

 

 

 

 

 

The following fund types are used by the Town:

[COMMENT1] 

Governmental Fund Types: Governmental Funds are those through which most governmental functions of the Town are financed.  The acquisition, use, and balances of the Town's expendable financial resources and the related liabilities are accounted for through governmental funds.  The measurement focus is upon determination of changes in financial position, rather than upon net income determination.  The following are the Town's governmental fund types.

 

General Fund - is the general operating fund of the Town.  It is used to account for all financial resources except those required to be accounted for in another fund.  This is a budgeted fund, and any fund balances are considered resources available for general Town use.

 

Special Revenue Funds - are used to account for revenues that are legally restricted to expenditures for specific purposes.

 

Capital Projects Fund -  These funds are established to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by trust funds).

 

Fiduciary Fund Types: Fiduciary Funds are used to account for assets held by the Town in a trustee capacity or as an agent for individuals, private organization, other governmental units, and/or other funds.  They include expendable, non-expendable trust funds, and agency funds.

 

Expendable trust funds - are accounted for in the same manner as the Governmental Funds.

 

Non-expendable trust funds - are reported in a manner similar to entities found in the private sector.  The measurement focus is upon the determination of net income and capital maintenance.

 

Agency funds - are accounted for using the modified accrual basis of accounting.

 

Account Groups: General fixed assets and long‑term liabilities expected to be financed from governmental funds are accounted for in this group of accounts.  This group is concerned only with the measurement of financial position; it is not involved with measurement of results of operations.  Because of their spending measurement focus, expenditure recognition for governmental fund types is limited to exclude amounts represented by accounting for general fixed assets and noncurrent liabilities, such as long‑term liabilities relating to bond issuance.  Since they do not affect net current assets, such long‑term amounts are not recognized as governmental fund type expenditures or fund liabilities.  They are instead reported as in the following account groups:

 

General Long-Term Debt Account Group - This account group is used to record the principle balances of general obligation bonds, deferred compensatory costs, unfunded pension liabilities, and other long-term debt obligations not reported elsewhere.

 

General Fixed Assets Account Group - This account group is used to maintain control and cost information for all fixed assets.


 

 

 

 

 

 

 

TOWN OF EXETER, RHODE ISLAND

NOTES TO FINANCIAL STATEMENTS

June 30, 2003

 

 

 

 

Basis of Accounting: All governmental and expendable trust funds use the flow of current financial resources measurement focus and the modified accrual basis of accounting.  Under the modified accrual basis of accounting, revenues are recorded when susceptible to accrual, i.e., both measurable and available.  Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period (see Note D for property tax revenue policy).  Expenditures, other than interest on long‑term debt, are recorded when the liability is incurred.  Interest on long-term debt is recorded when the liability is paid.  Under this basis, revenues other than property taxes are recorded as revenues when received in cash because they are generally not measurable until actually received.

 

The accrual basis of accounting is utilized by the non-expendable trust funds.  Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred.

 

Encumbrances: Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of funds are recorded in order to reserve that portion of the applicable appropriation, is employed in the governmental funds.  Open encumbrances are reported as reservations of fund balances since the commitments will be honored through subsequent year=s expenditures.  Encumbrances do not constitute expenditures or liabilities.  (See Note B for budgetary reporting of encumbrances.)

 

Risk Management: The Town 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 Town maintains insurance covering each of those risks of loss.

 

The Town is insured under a statewide municipal risk management pool.  Rhode Island Inter-Local Risk Management Trust, Inc.  (the Trust) requires annual premiums based on the pool's experience.  The Trust offers to Rhode Island cities and towns general liability and workers compensation insurance which is self-sustaining through member premiums and is reinsured through commercial companies to reduce its exposure to large losses.  The agreement with the Trust states that for premiums paid by members, the Trust will assume financial responsibility for members losses up to the maximum amount of insurance purchased, less deductible amounts.  If a single loss is above the Trust's retention and reinsurance coverage the excess liability reverts to the member organization against which the claim was originally made

 

Management believes such coverage is sufficient to preclude any significant uninsured losses to the Town.  Settled claims have not exceeded insurance coverage in any of the past three fiscal years.

 

Cash and Cash Equivalents: For the purposes of cash flows, the nonexpendable trust funds consider all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents.  The Town has included a statement of cash flows with its nonexpendable trust funds.  Cash and cash equivalents includes $1,279,000 invested in highly liquid interest bearing accounts at June 30, 2003.

 


Investments: Investments are carried at fair value, except for investments meeting the requirements of the Aone year option@ and nonparticipating interest earning investment contracts (i.e. certificates of deposit) which are recorded at amortized cost.  Under the Aone year option@, certain investments (i.e. U.S. Treasury and agency obligations) that have a remaining maturity at the time of purchase of one year or less may be recorded at amortized cost.

 

Property and Equipment:  All government funds treat the acquisition of property and equipment as current expenditures.  The Town does not report property and equipment in a General Fixed Assets Account Group or keep detailed fixed asset records, as required by GAAP.

 

 

 

 

 

TOWN OF EXETER, RHODE ISLAND

NOTES TO FINANCIAL STATEMENTS

June 30, 2003

 

 

 

 

Long-term debt:  Long-term debt obligations of the Town are reported in the General Long-Term Debt Account Group, which, represent landfill postclosure care costs, land acquisition costs, and certain deferred compensatory costs,

 

Fund balances:  The unreserved fund balances for governmental funds represent the amount available for budgeting future operations.  The reserved fund balances for governmental funds represent the amount that has been legally restricted for specific purposes.

 

Vacation and Sick leave:  Costs of accumulated vacation and personal leave are recorded as expenditures when incurred.  The liability arising from unused sick leave benefits and accrued vacation has been recognized in the General Fund and General Long-Term Debt Account groups.

 

Interfund transactions: All transactions between the Town and certain discrete component units are considered quasi-external transactions and are accounted for as fund revenues, expenditures or expenses (as appropriate).  Transactions between the general fund and other funds which constitute reimbursements of a fund for expenditures or expenses initially made from it which are properly applicable to another fund are recorded as expenditures or expenses (as appropriate) in the reimbursing fund and as reductions of the expenditure or expense in the fund that is reimbursed.

 

All interfund transactions except advances, quasi-external transactions and reimbursements are accounted for as transfers.  Nonrecurring or non-routine transfers of equity between funds are considered equity transfers.  All other interfund transactions are treated as operating transfers.

 

Amounts to be Provided: Amounts to be provided represent monies to be raised from future tax levies to retire general long-term obligations and the liability for compensated absences.

 

NOTE BBBUDGETARY PROCESS

 

Budgetary adoption: It is the responsibility of the Town Council to advertise a proposed budget for the Town for the following fiscal year no later than 10 days prior to the Financial Town Meeting held to adopt such budget.  Public hearings are conducted on the recommended budget and the final recommended budget is legally enacted through an ordinance at the Financial Town Meeting.  All budget appropriations, except an appropriation for capital expenditures, lapse at the end of the fiscal year.  An appropriation for a capital expenditure shall continue in force until the purpose for which it was made has been accomplished or abandoned; an appropriation is considered abandoned if two fiscal years following the date of appropriation pass without any disbursement from or encumbrance of the appropriation.

 


Budgetary control: The level of budgetary control for the General Fund (that is, the level at which expenditures cannot legally exceed appropriations) is fixed by resolution of the Annual Financial Town Meeting.  The resolution authorized the Town Council to spend within the total sum appropriated for municipal purposes.  While this restriction prohibits spending in excess of the authorized budget, the policy enables the Town Council to use the Fund Balance within the overall appropriations budget to offset over expenditures that may arise within a specific budget account.

 

 

 

 

 

 

 

 

 

 

                                                     TOWN OF EXETER, RHODE ISLAND

                                                                   NOTES TO FINANCIAL STATEMENTS

                                                                                           June 30, 2003

 

 

 

 

NOTE C--CASH DEPOSITS AND INVESTMENTS

 

Cash:  Cash deposits are in various Rhode Island financial institutions and are carried at cost.

 

The composition of the cash deposits and investments fluctuates depending primarily on the timing of state and local receipts and operating outlays throughout the year.

 

                                                                                                                     Carrying                 Bank    

                                                                                                                       Amount               Balance  

 

Insured (FDIC)                                                                                                  $    163,763           $    360,983

Uninsured or uncollateralized                                                                            1,077,319              1,446,004

                                                                                                                                                                     

                                                                    Total Deposits                      $  1,241,082           $ 1,806,987

 

Investments:  Investments consist primarily of common stocks, mutual funds, repurchase agreements, and U.S. Government Securities. 

 

Certain investments are categorized to give an indication of the level of risk assumed at year-end.

 

Category 1 includes insured or registered, or securities held by the government or its agent in the government=s name.

 

Category 2 includes uninsured and unregistered, with securities held by the counterparty=s trust department or agent in the government=s name.

 

Category 3 includes uninsured and unregistered with securities held by the counterparty or by its trust department or agent, but not in the government=s name.

 

The mutual funds and the municipal plus trust are not subject to risk categorization.

 

                                                                      Carrying  

                                                                              Category 1          Category 2            Category 3            Value    

 

U.S. Government Obligations                                        $       C                 $        C                  $  154,693            $ 154,693

Common stocks                                                                        C                           C                      349,560               349,560

Mutual funds                                                                            C                           C                             C                  481,141


                                                                                   $       C                 $        C                   $ 504,253            $ 985,394

 

NOTE DBPROPERTY TAXES

 

The Town=s property tax is levied each June 30, for its next fiscal year on the assessed valued listed as of the prior December 31, for all real property, tangible property, and motor vehicles located in the Town.  Assessed values of real property and tangible personal property were established by the Town Assessor=s office at 60% of appraised market value as of December 31, 1992.  The Town completed a revaluation of real property and tangible personal property as of December 31, 1992.  The assessed values were effective for the property tax levy beginning with fiscal year 1993-1994.  The assessed value of motor vehicles is determined annually at 100% of retail market value.

 

The Town entered into a contractual relationship with a law firm to act as a collection agency to pursue delinquent tangible and personal property accounts.  The Town has forwarded past due accounts for collection.  At June 30, 2003, no reserve has been established for the property taxes considered delinquent.  The property tax revenue associated with the delinquent taxes has been deferred.

 

                                                                 TOWN OF EXETER, RHODE ISLAND

                                                                   NOTES TO FINANCIAL STATEMENTS

                                                                                           June 30, 2003

 

 

 

 

An automatic lien is placed on the taxpayer=s property if payment has not been received by the due date.  Interest is charged on past due accounts at a rate of 12% per annum calculated on the unpaid portion of the total tax.

 

The Town recognizes property tax revenues in accordance with Codification of Governmental Accounting and Financial Reporting Standards.  Unpaid property taxes at year end are recorded as property taxes receivable and those property taxes receivable which were not collected within 60 days immediately following year end are recorded as deferred revenue.  Deferred revenue at June 30, 2003 consists of $346,575 of property taxes not collected within 60 days following year end.

 

Net property taxes levied for the fiscal year 2003 were based on an assessed value of approximately $230,973,302 at December 31, 2001 and amount to $8,316,813 plus addendum billings of $34,868.  Total property tax recognized for the fiscal year, including $61,000 collected within 60 days following year end, amounted to $8,282,086 which represents 99% of the total 2003 tax levy.  Tax abatements for the year ended June 30, 2003 totaled $133,251.

 

Taxes are due in equal quarterly installments on September 1-15, December 1-15, March 1-15, and June 1-15 during the fiscal year.

 

NOTE EBINTERFUND RECEIVABLES AND PAYABLES

 

Individual fund interfund receivable and payable balances at June 30, 2003 are as follows:

 

                                                                                                                                      Interfund               Interfund

                                                                                                                                     Receivable             Payables

 

General fund                                                                                                                             $     5,000                $ 406,164

Special revenue fund:

CDBG                                                                                                                                               C                          5,000

RI EMA/FEMA Grant                                                                                                                3,928                         C  

Planning board project review fees                                                                                          6,825                          C  

Revaluation                                                                                                                                19,447                          C  

Fiduciary trust funds:                                                                                                                             

Cemetery fund                                                                                                                                325                          C  

Reynolds fund                                                                                                                                C                             325


Agency funds                                                                                                                           37,000                          C  

Capital projects fund:

Old Town hall renovation                                                                                                        25,949                          C  

Vehicle replacement                                                                                                                  12,016                          C  

New library                                                                                                                               199,339                          C  

Public works/roads                                                                                                                 101,613                          C  

Computerized upgrade                                                                                                                    47                          C                                              

                                                                                                                                        $ 411,489                $ 411,489

 

 

 

 

 

 

 

 

 

 

 

 

                                                                     TOWN OF EXETER, RHODE ISLAND

                                                                   NOTES TO FINANCIAL STATEMENTS

June 30, 2003

 

 

 

 

NOTE FBEXETER-WEST GREENWICH REGIONAL SCHOOL DISTRICT

 

The Exeter-West Greenwich Regional School District (School District), a legal entity that is separate from the Town of Exeter, was formed by the Towns of Exeter and West Greenwich through an agreement dated July 1, 1965. The School District consists of grades Kindergarten through grade 12.  The junior/senior high school and all other school buildings are owned by the School District.

 

In accordance with the founding agreement, three members of the six member governing board of the School District are elected by the voters of each of the Towns of Exeter and West Greenwich.  The Towns are annually assessed an apportionment of operating and capital expenses based on student enrollment.  The assessment to the Town of Exeter for fiscal year 2003 was $7,062,696.

 

The Town of Exeter is legally obligated to fund their share of the School District=s budgets as voted.  The Town of Exeter is also contingently liable for their proportional share of the School District=s bonded debt approved at a joint School District meeting.

                                                                                                                                                       

Long-term debt of the Exeter-West Greenwich Regional School District which the Town is contingently liable for their proportional share, is as follows at June 30, 2003:

                                                                                                                                            Unaudited 

 

General obligation bonds                                                                                                    $ 10,635,000

Bond anticipation note                                                                                                             1,600,000

Certain accrued compensated absences                                                                                   471,278                                                                                   

Total Long-Term Debt                                                                                                         $ 12,706,278

 

A complete financial statement of the School District may be obtained through the Superintendent=s office.

 

NOTE G--LONG-TERM DEBT


 

The following schedule reflects the changes in the Town=s long-term debt as shown in the general long-term debt account group during fiscal 2003:

 

                                                                              July 1, 2002      Additions           Retirements                  June 30, 2003

 

Landfill postclosure care costs (Note J)                $    900,000                   $       C                        $     C                  $    900,000

Land acquisition costs                                                   200,000                            C                          25,000                     175,000

Compensated absences                                                   18,264                         1,149                            C                          19,413

Capital lease                                                                            C                        130,000                       26,000                     104,000

                                                                                         

Total general and long-term debt                          $ 1,118,264                  $ 131,149                    $ 51,000               $ 1,198,414

 

On March 12, 2001, the Town purchased land for $250,000 through a noninterest bearing note due in annual installments of $25,000 through 2010.

 

On April 1, 2002 the Town Council approved the resolution authorizing the Town to finance the construction of the

Town library by the issuance of not more than $500,000 in bonds.  To date no bonds have been issued.

 

 

 

 

 

 

TOWN OF EXETER, RHODE ISLAND

NOTES TO FINANCIAL STATEMENTS

June 30, 2003

 

 

 

 

NOTE H--CAPITAL LEASE

 

The Town has entered into a lease agreement as lessee for financing the acquisition of a TYMCO Model 500 regenerative air street sweeper with a down payment of $28,234.  This lease agreement qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of the future minimum lease payments.

 

The future minimum lease obligation and the net present value of these minimum lease payments as of June 30, 2003 are as follows:

 

Year ending June 30

2004                                                                                                                                      $   28,234

2005                                                                                                                                           28,234

2006                                                                                                                                           28,234

2007                                                                                                                                           28,234

 

Total minimum lease payments                                                                                           112,936

Less: Amount representing interest                                                                                     (8,936)

 

Present value of minimum lease payments                                                                    $ 104,000

 

NOTE IBLANDFILL POSTCLOSURE CARE COSTS

 


GASB 18, Accounting for Municipal Solid Waste Landfill Closure and Postclosure Care Costs. requires the recognition of closure and postclosure costs of landfills as long-term liabilities.  State and federal laws and regulations require that the Town perform certain maintenance and monitoring functions for 30 years after its landfill has been closed.  The Town is designing a landfill closure plan estimated at $900,000, which liability is reported in the Town=s financial statements as a long-term debt of $900,000.  The estimated liability for landfill postclosure care costs as of June 30, 2003 which is based on a total cost of $90,000 per acre.  Additional costs that might arise from changes in postclosure requirements (due to changes in technology or more rigorous environmental regulations, for example) may need to be covered by additional charges to taxpayer in future years.

 

NOTE JBCOMMITMENTS AND CONTINGENCIES

 

At June 30, 2003, the Town had several lawsuits pending and had been placed on written notice of potential claims.  The Town intends to vigorously pursue its claims and/or defend its position with respect to each matter.  In the opinion of the Town=s legal counsel, the Town=s liability with respect to these cases, if any, was not determinable.   It is the opinion of Town management, based in part on the advice of legal counsel, that settlement on the above lawsuits will not materially affect the Town=s financial position.

 

NOTE KBSTEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY

 

Compliance: The Town has no material violations of finance-related legal and contractual provisions.

 

Deposits with financial institutions: RIGL 35-10.1, the ARhode Island Collateralization of Public Deposits Act@ requires that time deposits with maturities exceeding 60 days held in institutions holding public deposits be 100% collateralized by insurance or eligible collateral.  During the year, there were no violations of the law noted.

 

 

 

 

 

 

TOWN OF EXETER, RHODE ISLAND

NOTES TO FINANCIAL STATEMENTS

June 30, 2003

 

 

 

 

NOTE LBPENSION PLAN

 

Plan Description and Funding: The Town maintains a defined contribution plan, the Town of Exeter Money Purchase Pension Plan, for retirement benefits for all eligible full-time employees.  The plan was established by the Town Council effective January 1, 1985.  The plan provides  for employer only contributions with benefits beginning at normal retirement age.  The plan is administered by Thomas B. Fecteau Associates, Inc.  Contributions were at the rate of 5% of base compensation.  Eligibility requirements call for employees to be 21 years of age and have completed 1 year (12 month period and 1,000 hours) of service.  Contributions made by the Town on behalf of eligible employees vest in accordance with a vesting schedule documented within the retirement plan.  The Town expense for to the plan for the year was $32,926.  The unpaid balance due was $28,805 at June 30, 2003.

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                                                                                                       

                                                                                                       

COMBINING STATEMENTS, ACCOUNT GROUPS, AND SUPPLEMENTAL SCHEDULES

 

 

 

 

 

 

 


TOWN OF EXETER, RHODE ISLAND

COMBINING BALANCE SHEET - SPECIAL REVENUE FUNDS

June 30, 2003

 

 

 

 

 

                                                                                 RIEMA             Planning

                                                                                  FEMA          Board Project                                                          Library

                                                                                    Grant             Review Fees           CDBG       Revaluation         Funds            Total   

 

ASSETS

Cash and cash equivalents                                          $   C                    $   C                 $ 12,065               $     C             $ 98,173      $ 110,238

Due from other funds                                                     3,928                   6,825                      C                    19,447                  C              30,200

 

                       TOTAL ASSETS                              $ 3,928                $ 6,825              $ 12,065              $ 19,447          $ 98,173      $ 140,438

LIABILITIES AND

FUND BALANCE

 

LIABILITIES

Due to other funds                                                        $   C                    $   C                 $   5,000               $     C              $    C          $     5,000

 

              TOTAL LIABILITIES                                    C                         C                      5,000                      C                     C                5,000

 

FUND BALANCE

Reserved                                                                          3,928                   6,825                   7,065                 19,447             98,173         135,438

                                                                                               

       TOTAL FUND BALANCE                                 3,928                   6,825                   7,065                 19,447             98,173         135,438

    TOTAL LIABILITIES AND

                      FUND BALANCE                              $ 3,928                $ 6,825              $ 12,065              $ 19,447          $ 98,173      $ 140,438


TOWN OF EXETER, RHODE ISLAND

COMBINING STATEMENTS OF REVENUES, EXPENDITURES,

AND CHANGES IN FUND BALANCES - SPECIAL REVENUE FUNDS

Year Ended June 30, 2003

 

 

 

 

 

 

                                                                   RIEMA         Planning

                                                                    FEMA      Board Project        Wolf Rock                                   Library          Library

                                                                      Grant        Review Fees      Road Project          CDBG       Revaluation         Funds            Total   

 

REVENUES

Grant revenues                                             $ 3,928            $      C                 $   48,003                $ 2,750            $      C            $     C           $   54,681

Other revenues                                                   C                  17,149                   14,862                   1,400                    C              45,310             78,721

 

                   TOTAL REVENUES               3,928               17,149                   62,865                   4,150                    C              45,310           133,402

 

EXPENDITURES

Program expense                                                C                  10,324                 356,075                   5,065             119,103             4,579           495,146

 

          TOTAL EXPENDITURES                  C                  10,324                 356,075                   5,065             119,103             4,579           495,146   

           EXCESS OF REVENUES

                           OVER (UNDER)

        EXPENDITURES BEFORE

OTHER FINANCING SOURCES            3,928                 6,825                (293,210)                   (915)          (119,103)          40,731          (361,744)

 

Transfers from other financing sources             C                       C                           C                         C                  35,000               C                 35,000

EXCESS OF REVENUES AND

OTHER FINANCING SOURCES

OVER (UNDER) EXPENDITURES          3,928                 6,825                (293,210)                   (915)            (84,103)          40,731          (326,744)                                                               

FUND BALANCE -

RESERVED JULY 1, 2002                               C                       C                    293,210                   7,980             103,550           57,442           462,182

 

                      FUND BALANCE -

                             JUNE 30, 2003            $ 3,928           $    6,825               $       C                   $ 7,065           $  19,447        $ 98,173        $ 135,438

 

 

 

 

 

 

 

 

 

 

 

 

                                                                                                         


                                                                                        TOWN OF EXETER, RHODE ISLAND

                                                                 COMBINING BALANCE SHEET - CAPITAL PROJECTS FUND

                                                                                                              June 30, 2003

 

 

 

                                                       

 

                                                                                     Old                  Vehicle                                         Public 

                                                                               Town Hall       Replacement             New               Works/        Computerized                                                                                     Renovation           Fund              Library                 Roads            Upgrade                Total   

 

 

ASSETS

Due from other funds                                                $ 25,949            $ 12,016            $ 199,339            $ 101,613                 $ 47            $ 338,964

 

                                     TOTAL ASSETS              $ 25,949            $ 12,016            $ 199,339            $ 101,613                 $ 47            $ 338,964

 

FUND BALANCE

Designated for future capital                                                

project requirements                                              $ 25,949            $ 12,016            $ 199,339            $ 101,613                 $ 47            $ 338,964

 

                     TOTAL FUND BALANCE              $ 25,949            $ 12,016            $ 199,339            $ 101,613                 $ 47            $ 338,964


                                                                                                                      TOWN OF EXETER, RHODE ISLAND

      COMBINING STATEMENTS OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES  - CAPITAL PROJECTS FUND

                                                                                                                                           Year Ended June 30, 2003

 

 

 

 

 

                                                                                           Old          Vehicle                                                       

                                                                                       Town Hall   Replacement    Chelsea Park            New                Land                Public          Computerized                                                 Street

                                                                                      Renovation            Fund             Playground         Library      Acquisition   Works/roads     Upgrade                                                                Sweeper         Total   

                                                                           

REVENUES                                                                               $     C                   $ 4,359                $ 50,000            $       C              $      C               $   85,490 $    C          $     C                                                            $ 139,849

 

                                               TOTAL REVENUES                   C                     4,359                   50,000                     C                      C                    85,490       C         C                                                                     139,849

 

EXPENDITURES                                                                                 C                     2,115                   50,000                 14,584               25,000                 96,065    24,516    28,234                                                       240,514

 

                                       TOTAL EXPENDITURES                   C                     2,115                   50,000                 14,584               25,000                 96,065    24,516    28,234                                                       240,514

 

                             EXCESS OF REVENUES OVER

                                    (UNDER)  EXPENDITURES                   C                     2,244                       C                   (14,584)             (25,000)               (10,575)      (24,516)                                                           (28,234)            (100,665)

 

OTHER FINANCING SOURCES (USES)

Transfers from (to) other funds                                                             C                     1,000                       C                        C                  25,000                     C      23,258    28,234                                                        77,492

 

                                EXCESS OF REVENUES AND

                       OTHER SOURCES OVER (UNDER)

                     EXPENDITURES AND OTHER USES                   C                     3,244                       C                   (14,584)                  C                   (10,575)     (1,253)                                                                  C              (23,173)

 

Fund balance - unreserved for

capital projects July 1, 2002                                                           25,949                  8,772                       C                  213,923                   C                  112,188      1,305        C                                                           362,137

                                                                                                                                                                                                             

                          FUND BALANCE - UNRESERVED

                                    FOR CAPITAL PROJECTS                                                                                                                                                                   

                                                        JUNE 30, 2003            $ 25,949              $ 12,016                $     C               $ 199,339           $      C               $ 101,613 $        47   $     C                                                            $ 338,964

 


TOWN OF EXETER, RHODE ISLAND

COMBINING BALANCE SHEET - FIDUCIARY TRUST FUNDS

June 30, 2003

 

 

                                                                                                                                                                                                                             

                                                                     Expendable Trust Funds                Nonexpendable Trust Funds

                                                                             Manton                                                                    Emily J.

                                                      Reynolds=      Free     Historical        Cemetery   Arnold      Anthony        Agency 

                                                             Fund        Library  Records               Fund         Fund             Fund          Funds             Total     

                                       

ASSETS

Cash                                                    $       C         $ 2,274      $ 6,754              $ 27,916    $ 3,860      $     5,401        $ 39,278     $      85,983

Investments                                         883,406            C               C                         C             C            101,988                C              985,394

Due from other funds                                C               C               C                         325          C                   C              37,000             37,325               

                 TOTAL ASSETS        $ 883,406      $ 2,774      $ 6,754              $ 28,241    $ 3,860      $ 107,389        $ 76,278     $ 1,108,702

 

LIABILITIES AND

 FUND BALANCES

 

LIABILITIES

Amounts held for others                  $       C          $   C          $   C                  $     C        $   C          $       C           $ 76,278     $      76,278

Due to other funds                                    325            C               C                         C             C                   C                   C                     325                                                              325                  C               C               C                         C             C              76,278           76,603

 

FUND BALANCES

Fund balances - reserved                  883,081         2,774         6,754                 28,241       3,860         107,389                C           1,032,099

 

        TOTAL LIABILITIES

   AND FUND BALANCES        $ 883,406      $ 2,774      $ 6,754              $ 28,241    $ 3,860      $ 107,389        $ 76,278     $ 1,108,702           

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

TOWN OF EXETER, RHODE ISLAND

COMBINING STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -

EXPENDABLE TRUST FUNDS

Year Ended June 30, 2003

 

 

 

 

                                                                                                                  Reynolds=           Historic       Manton Free

                                                                                                                          Fund               Records            Library              Total     

 

REVENUES                                                                                                                                                                            

Interest income                                                                                               $   10,282              $      55               $   C               $   10,337

Other investment income                                                                                   14,107                    C                       C                    14,107

Other revenues                                                                                                         C                    2,503                    C                      2,503

 

                                                             TOTAL REVENUES                         24,389                 2,558                    C                    26,947 

EXPENDITURES

Investment expenses                                                                                          23,571                    C                    1,624                 25,195

 

                                                    TOTAL EXPENDITURES                         23,571                    C                    1,624                 25,195

                                                     EXCESS OF REVENUES

                                     OVER (UNDER) EXPENDITURES                              818                 2,558                (1,624)                  1,752

 

Fund balance - July 1, 2002                                                                                 882,263                 4,196                 4,398              890,857

 

                                      FUND BALANCE JUNE 30, 2003                    $ 883,081              $ 6,754              $ 2,774            $ 892,609


TOWN OF EXETER, RHODE ISLAND

COMBINING STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES

NONEXPENDABLE TRUST FUNDS

Year Ended June 30, 2003

 

 

                                                                                                                                                                            Emily J.

                                                                                                                    Cemetery             Arnold           Anthony

                                                                                                                         Fund                   Fund                Fund                  Total   

REVENUES

Interest income                                                                                                 $          6              $      28          $          34            $          68

Other investment income                                                                                        279                    C                    2,465                   2,744

 

                                                             TOTAL REVENUES                              285                      28                 2,499                   2,812

EXPENDITURES

Investment expenses                                                                                            2,414                    C                    1,712                   4,126

Contributions and expenses                                                                                  250                    C                    1,900                   2,150

 

                                                    TOTAL EXPENDITURES                           2,664                    C                    3,612                   6,276

 

                                                         NET INCOME (LOSS)                          (2,379)                     28                (1,113)                (3,464)

 

Fund balance at July 1, 2002                                                                                 30,620                 3,832             108,502               142,954

 

                                      FUND BALANCE JUNE 30, 2003                      $ 28,241              $ 3,860          $ 107,389            $ 139,490

 

                                                                                                 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS - AGENCY FUNDS

June 30, 2003

 

 

 

 

 

                                                                                                                                                                       

SUB-DIVISION DEVELOPER SURETY ESCROW

Cash balance at July 1, 2002                                                                                                                         $ 92,510

Cash receipts                                                                                                                                                       3,561

 

                                                                                          TOTAL AVAILABLE                           96,071

 

Cash disbursements                                                                                                                                         56,793

 

                                                             CASH BALANCE AT JUNE 30, 2003                         $ 39,278


TOWN OF EXETER, RHODE ISLAND

STATEMENT OF GENERAL LONG-TERM DEBT

June 30, 2003

 

 

 

 

 

                                                                                                                                                                       

AMOUNT TO BE PROVIDED

Retirement of general long-term debt                                                                                                    $ 1,198,413

 

                                                           TOTAL AMOUNT TO BE PROVIDED                    $ 1,198,413

 

GENERAL LONG-TERM DEBT OBLIGATIONS

Landfill postclosure care costs                                                                                                               $    900,000

Accrued compensated absences                                                                                                                   19,413

Land acquisition costs                                                                                                                                   175,000

Capital lease                                                                                                                                                     104,000

 

                          TOTAL GENERAL LONG-TERM DEBT OBLIGATIONS                    $ 1,198,413

 

 

 

 

 


TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF CHANGES IN GENERAL LONG-TERM DEBT

Year Ended June 30, 2003

 

 

                                                                                                                  

 

 

                                                                                                                                           

                                                                                          Balance                                                                                     Balance    

                                                                                                July 1, 2002  Additions              Retirements                   June 30, 2003

 

AMOUNT TO BE PROVIDED

Retirement of general long-term debt                          $ 1,118,264                $ 131,149                    $ 51,000                 $ 1,198,413

 

      TOTAL AMOUNT TO BE PROVIDED           $ 1,118,264                $ 131,149                    $ 51,000                 $ 1,198,413

 

GENERAL LONG-TERM DEBT

OBLIGATIONS

Landfill postclosure care costs                                 $    900,000                 $       C                        $     C                    $    900,000

Accrued compensated absences                                     18,264                       1,149                            C                            19,413

Land acquisition costs                                                     200,000                             C                       25,000                       175,000

Capital lease                                                                              C                      130,000                       26,000                       104,000

                                         TOTAL GENERAL

           LONG-TERM DEBT OBLIGATION           $ 1,118,264                $ 131,149                    $ 51,000                 $ 1,198,413


TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET TO ACTUALBGENERAL FUND

Year Ended June 30, 2003

 

 

                                                                                                                                                                                Favorable  

                                                                                                              Budget                       Actual              (Unfavorable)

 

REVENUES                                                                                    

Property taxes current year                                                               $ 8,315,958                 $ 8,094,884                 $ (221,074)

Property taxes prior years                                                                               C                          187,202                     187,202

State MV tax phase out program                                                            637,503                    1,046,495                     408,992

Tax interest collected                                                                                 45,000                         76,446                       31,446

Tax certification fees                                                                                        C                              4,051                         4,051

Town clerk collections                                                                               80,000                       130,236                       50,236

Transfer station fees                                                                                  23,350                         26,926                         3,576

Transfer station stickers                                                                            25,000                         25,248                            248

Permits                                                                                                          45,000                         62,428                       17,428

Telephone tax collected                                                                             97,300                       103,915                         6,615

General state aid                                                                                        120,175                       107,586                      (12,589)

Savings interest earned                                                                             20,000                         23,659                         3,659

Probate court fees                                                                                            C                              2,129                         2,129

Miscellaneous receipts                                                                                2,000                           2,606                            606

Dog fines & licenses                                                                                    3,000                           3,485                            485

Animal shelter fees                                                                                     21,000                         14,548                        (6,452)

Zoning fees                                                                                                    3,500                         10,732                         7,232

Planning board fees                                                                                      8,000                           7,600                           (400)

 

                                                             TOTAL REVENUES         $ 9,446,786                $ 9,930,176                 $  483,390

 

 

EXPENDITURES

Salaries and Wages

Town Council                                                                                  $      16,320                 $      16,321                 $            (1)

Council Assistant                                                                                   37,260                         37,260                            C  

Town Clerk                                                                                               31,487                         31,487                            C  

Deputy Town Clerk                                                                                24,587                         24,555                              32

Clerical assistant - Town Clerk                                                             19,197                         19,197                            C  

Town Treasurer                                                                                       15,996                         15,996                            C  

Tax Collector                                                                                            29,008                         29,008                            C  

Board of Assessors                                                                                16,667                         12,122                         4,545

Assessors= Clerk                                                                                   20,760                         20,872                           (172)

Welfare Director                                                                                        4,147                           4,147                            C  

Town Moderator                                                                                          354                              354                            C  

Town Sergeant                                                                                          6,210                           6,210                            C  

Town Constable                                                                                        2,070                           2,070                            C  

Zoning Inspector                                                                                      8,822                           8,822                            C  

Board of Canvassers                                                                                6,812                           6,812                            C  

Planning board                                                                                        10,961                         10,316                            645

Zoning board                                                                                           10,962                         10,694                            268

Animal control                                                                                         24,529                         23,973                            556

Animal control assistant                                                                          9,360                           8,890                            470

Planner                                                                                                      25,875                         25,875                            C  

Canvassers clerk                                                                                       7,206                           5,292                         1,914

Planning clerk                                                                                            9,957                           8,901                         1,056

911 Coordinator                                                                                         5,000                           5,000                            C  


Tax assessor                                                                                            14,583                         15,545                           (962)  

 

 

TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET TO ACTUALBGENERAL FUND

Year Ended June 30, 2003

 

 

 

                                                                                                                                                                                 Favorable 

                                                                                                              Budget                       Actual              (Unfavorable)

 

EXPENDITURESBContinued

Tax Collector=s clerk                                                                              14,312                         12,720                         1,592

Zoning board clerk                                                                                   4,305                           6,913                        (2,608)

Zoning Inspector clerk                                                                             1,024                              192                            832

Librarian                                                                                                     3,078                           3,078                            C  

Highway Workers                                                                                 202,099                       168,530                       33,569

Highway Supervisor                                                                               40,293                         40,294                               (1)

Transfer station                                                                                       37,781                         38,238                           (457)

Building Inspector                                                                                       C                            12,382                      (12,382)

Electrical Inspector                                                                                      C                              9,250                        (9,250)

Plumbing Inspector                                                                                      C                              9,233                        (9,230)

 

                                                   Total Salaries and Wages               660,962                       650,549                       10,413

 

Public Works

Highway department                                                                            269,040                       263,513                         5,527

Transfer station                                                                                     121,274                       118,153                         3,121

 

                                                              Total Public Works               390,314                       381,666                         8,648

 

Public Safety

Exeter Fire Co. No. 1                                                                            101,754                       101,754                            C  

Exeter Fire Co. No. 2                                                                             112,000                       112,000                            C  

Exeter Emergency Dispatch                                                                 190,751                       190,751                            C  

Exeter  Rescue Corps                                                                            186,613                       186,613                            C  

 

                                                                Total Public Safety               591,118                       591,118                            C  

 

Public Health & Welfare                                                                         20,600                         19,952                            648

 

Community services                                                                                  30,950                         31,767                           (817)

 

General Government

RI League of Cities                                                                                   2,173                           2,407                           (234)

Town Council expense                                                                             2,000                           1,739                            261

Town Council Assistant expense                                                          1,500                           1,500                            C  

Town Clerk expense                                                                               74,500                         78,768                        (4,268)

Treasurer=s expense                                                                                6,100                           5,730                            370

Tax Collector=s expense                                                                          6,000                           5,317                            683

Board of Assessor expense                                                                  19,582                         11,925                         7,657

Town Sergeant expense                                                                           4,200                           4,454                           (254)

Building department expense                                                                  3,500                           3,627                           (127)

Board of Canvassers                                                                                7,170                           6,509                            661

Planning board expense                                                                           3,500                           3,032                            468

Tax Board of Assessment expense                                                           500                              C                               500


Zoning board expense                                                                             6,000                           3,212                         2,788

Postage                                                                                                     12,000                         10,905                         1,095

Animal shelter expense                                                                          26,150                         13,667                       12,483

Advertising expense                                                                              13,500                         19,249                        (5,749)

 

 

TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET TO ACTUAL - GENERAL FUND

Year Ended June 30, 2003

 

 

 

                                                                                                                                                                                 Favorable 

                                                                                                              Budget                       Actual              (Unfavorable)

 

General GovernmentBContinued

Legal fees                                                                                                 60,000                         71,180                      (11,180)

FICA expense                                                                                          50,563                         50,200                            363

Blue Cross expense                                                                                95,022                         94,538                            484

Town retirement expense                                                                       20,358                         32,926                      (12,568)

Insurance expense                                                                                  42,336                         41,272                         1,064

Audit Town=s books                                                                               9,500                           9,200                            300

Economic Development Commission                                                       500                              375                            125

Central R.I. Development                                                                         5,000                           5,000                            C  

Civil Defense Preparedness Agency                                                     1,000                              C                            1,000

Contingency fund                                                                                   30,000                         20,021                         9,979

Planning office expense                                                                              500                              498                                2

Planner expense                                                                                           500                              625                           (125)

Exeter Free Library                                                                                  55,000                              C                          55,500

Computer support                                                                                   12,000                         12,258                           (258)

Website                                                                                                      1,500                           1,469                              31

 

                                                            General Government               572,654                       511,603                       61,051

 

Education - Regional School                                                               7,062,696                    7,062,696                            C  

 

Nonbudgeted Expenditures

Probate court/clerk expenses                                                                     C                              2,488                        (2,488)

 

                                        Total Nonbudgeted Expenditures                        C                            2,488                        (2,488)

 

                                                    TOTAL EXPENDITURES         $ 9,329,294                 $ 9,251,839                 $    77,455


TOWN OF EXETER, RHODE ISLAND

SCHEDULE OF PROPERTY TAXES RECEIVABLE

Year Ended June 30, 2003

 

 

 

 

 

Assessment                                                                                                                                                                  Amount 

      Year                                                                                      

 

2002                                                                                                                                                                            $ 189,797

2001                                                                                                                                                                                 31,983

2000                                                                                                                                                                                 26,730

1999                                                                                                                                                                                 22,761

1998                                                                                                                                                                                 16,602

1997                                                                                                                                                                                 22,494

1996                                                                                                                                                                                 23,338

1995                                                                                                                                                                                 25,676

1994                                                                                                                                                                                 30,646

1993                                                                                                                                                                                 16,256

1992                                                                                                                                                                                      241

1991                                                                                                                                                                                      313

1990                                                                                                                                                                                      148

1989                                                                                                                                                                                      359

1988                                                                                                                                                                                      230

 

 

                                                                                                                              Total Property Taxes Receivable $ 407,574

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

                    INDEPENDENT AUDITORS' REPORT ON COMPLIANCE AND ON INTERNAL CONTROL

OVER FINANCIAL REPORTING BASED ON AN AUDIT OF

GENERAL-PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

 

 

 

The Honorable Members of the Town Council

Town of Exeter, Rhode Island

 

We have audited the general-purpose financial statements of the Town of Exeter, Rhode Island, as of and for the year ended June 30, 2003, and have issued our report thereon dated November 7, 2003, which was qualified because of the omission of financial data on certain component units and certain general fixed asset account group. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States.

 

Compliance

 

As part of obtaining reasonable assurance about whether the Town of Exeter's general-purpose financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion.  The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards.

 

Internal Control Over Financial Reporting

 

In planning and performing our audit, we considered the Town of Exeter's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the general-purpose  financial statements and not to provide assurance on the internal control over financial reporting. However, we did note a matter involving the internal control over financial reporting and its operations that we consider to be reportable conditions. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control over financial reporting that, in our judgment, could adversely affect the Town of Exeter, Rhode Island=s ability to record, process, summarize and report financial data consistent with the assertion of management in the general-purpose financial statements.

 

The reportable condition we noted is the Town of Exeter, Rhode Island does not maintain comprehensive accounting records for recording property, plant and equipment which would include a detail listing of each asset.

 


A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the general-purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses However, we consider the reportable condition described above to be a material weakness. We have also noted other non material weakness matters involving the internal control over financial reporting that we have reported to management of the Town of Exeter, Rhode Island in a separate letter date November 7, 2003

 

This report is intended for the information of management,  the Honorable Members of the Town Council, the State of Rhode Island Auditor General and federal awarding agencies and is not intended to be and should not be used by anyone other than those specified parties.

 

 

 

November 7, 2003

 

 


 [COMMENT1]When discussing the measurement focus in this section, mention the words "current financial resources measurement focus" and economic measurement focus" . See PPC notes in their sample financial statements.