North Carolina Community Foundation, Inc. Board Presentation Presentation by Eddie Burke, CPA...

North Carolina Community Foundation, Inc.Board Presentation

Presentation by

Eddie Burke, CPAPartner

Cherry Bekaert LLP

Table of Contents

Role of the External Auditor

Key Highlights

Summary

1

3

2

2

3

Role of the External Auditor

Actions Plan Perform

Results Express Opinion

Communication Independence Changes

4

Key Highlights

New CFO New Controller

New Investment

Manager

Sold Hickory Property

Major Gifts1. Agency Fund – Duke Energy

2. Contributions - Burevitch

5

Key Highlights

SAS 114 Letter

One passed adjusting journal entry

No adjusting journal entries

6

Total Assets

Cash and CDs

Investments

Other

0.0 50.0 100.0 150.0 200.0 250.0

237.0

14.8

207.1

15.1

Millions

Key HighlightsAssets

7

Key HighlightsReturn on Investments

Measure of profitability that indicates whether or not an organization is using its resources efficiently

*NCCF return is net of agency earnings and investment fees. NCCF investment mix is based on risk with a target model of 65% equities, 25% fixed income, 5% alternative strategies, and 5% cash. Note the DJIA and S&P 500 are pure equity indexes.

2015 2014 20130.0%

5.0%

10.0%

15.0%

20.0%

25.0%

8%

13%

10%10%

20%

11%

8%

11%

9%

DJAS&P 500NCCF

8

Key HighlightsInvestment Audit Procedures

Confirmed large balances and tied

others to statements

Reviewed the fair value footnote

Detail tested fair value for sample of investments

Verified holdings are in accordance with investment policy

Tested controls regarding

management’s review of SSAE 16 reports

Reviewed investment statements for any

significant subsequent events

Analytically reviewed investment revenue and expense items

9

Total Liabilities and Net Assets

A/P and accrued expenses

Agency funds payable

Net assets

0.0 50.0 100.0 150.0 200.0 250.0

237.0

0.9

28.9

207.2

Millions

Key HighlightsLiabilities and Net Assets

10

Key HighlightsRevenues

Total Revenues

Contributions, net

Interest and other investment income

Realized and unrealized gains

Other

0.0 10.0 20.0 30.0 40.0 50.0 60.0

47.7

31.9

5.6

9.9

0.3

Millions

11

Key HighlightsExpenses

Total Expense

Program services, net

Fundraising and development

Administrative

0.0 2.0 4.0 6.0 8.0 10.0 12.0

10.2

8.8

0.5

0.9

Millions

12

Key HighlightsExpenses Percentage By Category

Percentages

Program services

Fundraising and development

Administrative

0.0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 0.9 1.0

86%

5%

9%

13

Summary

Clean Opinion

No AJEs, one PAJE

Good Internal Controls

No Management

Letter Comments

Full Cooperation

with Management

14

Thank You

Eddie Burke | Partner

eburke@cbh.com | 919.782.1040 | cbh.com

Cherry Bekaert LLP