AGENDA BELVEDERE TIBURON LIBRARY AGENCY Monday, … › sites › default › files › BTLASupDocs10-17-16.pdfOct 17, 2016 · Zika Virus Update was presented at the Library on Wednesday,

AGENDA BELVEDERE TIBURON LIBRARY AGENCY

Monday, October 17, 2016 6:15pm Belvedere Tiburon Library

1501 Tiburon Blvd., Tiburon, California

CALL TO ORDER/ROLL CALL

OPEN FORUM

This is an opportunity for any citizen to briefly address the Board of Trustees on any matter that does not appear on this agenda. Upon being recognized by the Chair, please state your name, address, and limit your oral statement to no more than three minutes. Matters that appear to warrant a more lengthy presentation or Board consideration may be agendized for further discussion at a later meeting.

STAFF, BOARD AND COMMITTEE REPORTS 1. Chair's report — Tom Gram, BTLA Chair - (2 minutes) 2. Library Director's report — Deborah Mazzolini, Library Director (10 minutes) 3. Belvedere-Tiburon Library Foundation report (5 minutes) 4. Report on Financial Statements September, 2016 (5 minutes) 5. Committee reports (5 minutes)

CONSENT CALENDAR —2 minutes The purpose of the Consent Calendar is to group items together which generally do not require discussion and which will probably be approved by one motion unless separate action is required on a particular item. Any member of the Agency may request removal of an item for discussion. 6. Approval of minutes of September 19, 2016 7. Approval of warrants dated September, 2016

TRUSTEE CONSIDERATIONS The purpose of Trustee Considerations is to list items for discussion and potential action.

8. Consideration of Audit Financial Statements Draft 9. Consideration of planning for Library 20th Anniversary Spring 2017

COMMUNICATIONS & ANNOUNCEMENTS

10. Monthly calendar 11. Schedule of 2016 meeting dates

CLOSED SESSION 12. Closed Session: Agency discussion of Public Employee Contract: Library Director's Contract (per Brown Act section 54957). The Agency will return to a brief Open Session after completion of Closed Session.

NOTICE AMERICANS WITH DISABILITIES ACT

The following accommodations will be provided, upon request, to persons with a disability: agendas and/or agenda packet materials in alternate formats; special assistance needed to attend or participate in this meeting. Please make your request at the office of the Administrative Assistant or by calling (415) 789-2660. Whenever possible, please make your request three days in advance.

i6L Ai\IK

Belvedere-Tiburon Library Agency Statement of Revenues

Period Ending September 30, 2016

FY 2016-17 Bud eted YTD Actual

FY 2015-16 Bud eted YTD Actual 0/0

ENERAL FUND Basic Library Tax Parcel Tax ERAF Grants Desk Revenue Sales & Fines Interest Income Misc. Other Revenue

TOTAL GENERAL FUND

1EBT SERVICE Principal Repayment Bond Interest Fiscal Agent Fees

TOTAL DEBT SERVICE

'OTAL REVENUE AFTER DEBT SERVICE

$ 1,656,098 $ 0.0% $ 1,548,514 $ 1,418 0.1% $ 275,000 $ - 0.0% $ 275,000 $ 0.0% $ 325,141 $ 0.0% $ 345,000 $ 17,785 5.2% $ 228,920 $ 1,534 0.7% $ 189,572 $ 1,534 0.8% $ 26,812 $ 7,316 27.3% $ 31,075 $ 5,050 16.3% $ 6,567 $ 15 0.2% $ 4,157 $ 39 0.9% $ 164 $ 47 28.7% $ 3,700 $ 835 22.6%

$ 2,518,702 $ 8,912 0.4% $ 2,397,018 $ 26,661 1.1%

$ (60,000) $ - 0.0% $ (60,000) $ - 0.0% $ (54,300) $ 0.0% $ (57,900) $ 0.0% $ (11,000) $ (4,113) 37.4% $ (10,000) $ (2,029) 20.3%

$ (125,300) $ (4,113) 3.3% $ (127,900) $ (2,029) 1.6%

$ 2,393,402 $ 4,800 0.2% $ 2,269,118 $ 24,632 1.1%

Percent of Year Complete

25.0%

(1) Basic and Parcel Tax Revenue 55% of tax revenue is received in December 45% of tax revenue is received in April

(2) ERAF

54% of ERAF revenue is received in January 46% of ERAF revenue is received in June

(3) BTLF Grants Endowment grant is received in September Corner Books and Annual Appeal grants are received in June

Statement of Revenues Page 1 of 1

Belvedere-Tiburon Library Agency Statement of Expenditures

Period Ending September 30, 2016

FY 2016-17 Bud eted YTD Actual

FY 2015-16 Bud eted YTD Actual %

GENERAL FUND Personnel Books, Services & Supplies Technology Services Services & Supplies Building Expenses Agency

TOTAL GENERAL FUND

NON-OPERATING EXPENSES Transfer to Bldg Maintenance Res Use Building Reserve

TOTAL NON-OPERATING EXP

ADDITIONS & IMPROVEMENTS Technology & Equipment Building Furniture & Fixtures Website

TOTAL ADDITIONS & IMPROVE

TOTAL EXPENDITURES

$ 1,659,203 $ 423,603 25.5% $ 1,612,475 $ 386,728 24.0% $ 283,471 $ 123,873 43.7% $ 210,120 $ 37,289 17.7% $ 99,462 $ 22,972 23.1% $ 158,315 $ 85,031 53.7% $ 97,906 $ 11,941 12.2% $ 64,735 $ 7,402 11.4% $ 149,360 $ 34,674 23.2% $ 140,655 $ 19,683 14.0% $ 46,170 $ 9,314 20.2% $ 46,910 $ 11,181 23.8%

$ 2,335,572 $ 626,377 26.8% $ 2,233,210 $ 547,314 24.5%

$ 63,654 $ 63,654 100.0% $ 63,654 $ 63,654 100.0% $ (26,000) $ (13,756) 52.9% $ (22,700) $ 0.0%

$ 37,654 $ 49,898 $ 40,954 $ 63,654

$ 8,000 $ $ 8,000 $ - $ 18,000 $ 13,756 $ 14,700 $ - $ - $ $ - $ -

$ 26,000 $ 13,756 52.9% $ 22,700 $ - 0.0%

$ 2,399,226 $ 690,031 28.8% $ 2,296,864 $ 610,968 26.6%

Percent of Year Complete 25.0%

(4) Technology Services Annual MARINet charge is paid in the Fall. There are other small MARINet expenses paid throughout the year

Building and Liability insurance is paid in September

Three to Four newsletters are done annually: Fall, Winter, Spring, and Special Issue (if appropriate). Costs in the Public Relations and Postage line items show an increase at those times

(5) Building Expenses

(6) Public Relations and Postage

Statement of Expenditures Page 1 of 1

Draft for Agency Review I

Regular meeting BELVEDERE TIBURON LIBRARY AGENCY

Belvedere-Tiburon Library, Tiburon, California September 19, 2016

Roll Call, Present: Chair Tom Gram, Vice Chair Jeff Foran, Thomas Cromwell, Bonnie Spiesberger

Members Absent: Ann Aylwin, Fredric Postle

Also Present: Deborah Mazzolini, Kristin Johnson, Deirdre McCrohan

CALL TO ORDER: Chair Gram called the meeting to order at 6:15 pm.

OPEN FORUM:

Public Comment: There were no comments or questions from the public.

1. Chair's Report: Chair Gram reported that he and Vice Chair Foran had an informative meeting with the Belvedere Tiburon Library Foundation Executive Committee, with each group learning about the operations of the other.

2. Director's Report: Director Mazzolini reported that the City of Belvedere has posted the Agency vacancy left by Joan Don, and has placed an ad in the Ark Newspaper.

Seventeen 20-year-old staff chairs were replaced for ergonomic improvement, by an expenditure of the Building Reserve Fund.

Heather Lamb, Reference and Children's Librarian, has semi-retired after 16 years of service, for medical reasons. Heather handled Library publicity, fiction book ordering, and children's book ordering. New staff will be hired in both the Reference and Children's departments to fill the vacancy.

The annual audit fieldwork has been completed, and the report is expected for the October or November meeting. Trustee Cromwell asked whether the audit was performed by the same firm each year. Director Mazzolini affirmed that the Library follows the City of Belvedere's selection with respect to the audit firm. Becky Eastman, Finance Director at the City of Belvedere, maintains the Library's General Ledger and prepares the monthly financial statements. The audit of the City of Belvedere and the Library occur concurrently and with staff and auditor coordination each year.

September 19, 2016 DRAFT Page 1 of 4

Draft for Agency Review

3. Belvedere Tiburon Library Foundation Report: Executive Director Bero reported that Blackie's Hay Day will be held this coming Saturday, September 24th. New events and music will be featured, along with the returning Johnny Cash cover band and the usual food trucks.

A new type of event, "Popup 94920," will be presented on the evening of October 7th at the Library and the Tiburon Town Hall. The event will be in "magazine format," with several small presentations on a variety of subjects by scientists, investigative reporters, Industrial Light and Magic (ILM) personnel, and others. ILM will also create a Halloween night projection on the outside of the Library in cooperation with the Town of Tiburon. These types of events will hopefully reach out to audiences that haven't yet discovered the Library.

The annual Petrocelli Luncheon will take place at the Corinthian Yacht Club on Tuesday, November 1st. Tickets will be available online, and auction and raffle items will be posted online before the event for attendees to peruse and bid early.

4. Report on Financial Statements Director Mazzolini reported that expenses appear high due to the early-in-the-year payments of the annual MARINet cost (now included in Books, Services and Supplies) and to the prepayment of annual online service subscriptions (included in Technology Services). Other than these front-loaded payments, expenses are on budget. Substantial revenues will arrive starting in December, with approximately 55% of property taxes coming in at that time.

5. Committee Reports:

Director Mazzolini reported for the Art Committee: The Art Jury selection of artists for calendar year 2017 shows will begin on October 14, and will be coordinated by Diane Green. A new show has just been hung in the Founders Room, featuring Ton Benoit's black and white vintage camera photos of Anasazi ruins. Benoit uses a silver gel print process, and will present a Library program on this process tomorrow night at 7:30. The next scheduled art show will begin with a reception on Tuesday, October 18th, featuring Melissa Auerbach, Chuck Auerbach's daughter, presenting photographic transparencies, printed on glass.

Trustee Cromwell asked about the Arty Jury process. Director Mazzolini explained that advertisements are placed in local newspapers and on the Library website for artist submissions. Applications and sample art pieces are submitted to the Jury, which spends about 4 days in the selection process. There are usually about 40 applications for 10 spots. Artists are invited from the general Bay area, but there is a local publicity focus.

Director Mazzolini reported for the Program committee: the Tiburon Independent Film Festival will be showing movies at the Library on the 2'd Thursday of each month.



A program was presented on Saturday, September 17th, featuring 2 Olympian swimmers, one just returning from the Rio de Janeiro Olympics. Also, thanks to Trustee Cromwell, a Zika Virus Update was presented at the Library on Wednesday, September 14.

Trustee Spiesberger suggested that events might be recorded.

Consent Calendar

6/7. Motion to approve the minutes of July 25, 2016 and approve the warrants dated July and August, 2016 made by Trustee Spiesberger, seconded by Trustee Cromwell, passed unanimously by those present, with one correction on page 3: Item 11 should read: "Consideration of Adoption of Resolution No. 228-2016 — Resolution Expending and Funding Reserves".

Trustee Considerations

8. Consideration of Holiday Hours

Director Mazzolini explained that Thanksgiving and the day after Thanksgiving are defined as holidays in the Library's Employee Handbook. She asked that the Library also close early on the Wednesday before Thanksgiving (November 23rd) at 5 pm. All Trustees were in favor.

The December/January holidays, according the Handbook policy, include closing on Monday when Christmas and New Year's Day fall on Sundays. Director Mazzolini asked that the Library be closed on Saturday, Sunday, and Monday for both Christmas and New Year's this year. All Trustees were in favor.

9. Consideration of 20th Anniversary

Director Mazzolini asked for a committee to be formed to plan for a celebration of the Library Building's 20th Anniversary, which falls on April 13, 2017. She added that the committee should include a good selection of volunteers and Agency and Foundation members.

Trustee Spiesberger agreed that plans should be made to celebrate this treasure of the community. She suggested that Director Mazzolini assemble a committee of some of the original advocates and volunteers, plus some of those who are currently actively involved in the workings of the Library and in the Library Foundation.

Director Mazzolini said that a budget should be discussed after a sense of the plan comes together. The Library Agency will be the main coordinator for the event, with a goal of thanking the community, and honoring the people who made the Library in its current form possible, including the great minds who decided to create a Special District back in 1997.

It was agreed that the committee should be small to start, and prepare a list of ideas to be expanded on.


2-/


10. MONTHLY CALENDAR

There was no discussion of the calendar.

11. FUTURE MEETING DATES

The next meeting will be held on Monday, October 17th.

The meeting was adjourned by Chair Gram at 6:55pm

Respectfully Submitted,

Kristin M. Johnson, Clerk of the Belvedere-Tiburon Library Agency Board


Belvedere-Tiburon Library 2016

Check # Vendor Check

Amount Break Down Acct. #

Acct. Name

26765 ACV Argo Tiburon 1,800.00 100 8491 Parking

26766 A to Z Databases 660.00 100 7606 Digital Resources

26767 Brodart Co. 930.96 767.13 100 7601 Books

163.83 100 7602 Vendor Processing

26768 BSC Supply LLC 50.37 100 8240 Library Services

26769 Business Card 1,338.47 75.92 100 7606 Digital Resources

89.15 100 8230 Office Supplies

245.82 100 8240 Library Services

115.70 100 8450 Janitorial Expense

204.68 100 8251 Young Adult Programs

547.39 100 8501 Small Furniture

59.81 100 8810 Bank Charges

26770 County of Marin-Marin.org 1,600.00 100 8050 Telecommunications

26771 Demco, Inc. 219.41 E 100 7603 Supplies for Processing

26772 Jacki Dunn 18.97 100 8240 Library Services

26773 Faronics Technologies USA, Inc. 412.50 100 8020 Online Services

26774 Gale/Cengage Learning 1,276.28 100 7606 Digital Resources

26775 Riley F. Hurd III 112.50 100 8840 Legal Services

26776 Library Ideas LLC 3.50 100 7606 Digital Resources

26777 Mann IT, Inc. 1,723.96 1,127.50 100 8035 Computers & Peripherals

357.21 100 8070 Software

239.25 100 8050 Telecommunications

26778 Patricia McDonough 35.72 100 8240 Library Services

26779 Midwest Tape 3,000.00 100 7606 Digital Resources

26780 Mill Valley Refuse 185.67 100 8480 Trash

26781 Jessica Jay Miller 1,275.00 360 9850 Art Committee

26782 Overdrive, Inc. 65.00 100 7606 Digital Resources

26783 PG&E 2,088.95 100 8490 Electricity & Gas

26784 Pacific Telemanagement Services 78.00 100 8260 Telephone

26785 Purchase Power 144.32 100 8220 Postage

26786 Scholastic Library Publishing 118.48 100 7601 Books

26787 Telepacific Communications 704.64 100 8260 Telephone

26788 Vantagepont Trf Agt-457 4,433.32 100 2040 Deferred Comp

26789 Carol Weiss 84.56 100 8240 Library Services

26790 Zee Medical Company 74.08 100 8230 Office Supplies

Total $ 22,434.66

- Belvedere-Tiburon Library Check Listinq September 29 2016

Check # Vendor Check

Amount Break Down Acct. #

Acct. Name

26791 American Express 1,498.02 1,189.32 100 7601 Books

100.00 100 8071 Website Maintenance

25.00 100 8225 Public Relations

96.98 100 8250 Children's Programs

86.72 100 8251 Young Adult Programs

26792 American Library Association 83.00 100 8250 Children's Programs

26793 The Ark Newspaper 399.00 360 9850 Art Committee

26794 Annelise Atchley 30.00 100 8240 Library Services

26795 City of Belvedere 1,958.49 1,364.49 100 7110 Insurance

594.00 100 8830 Accounting

26796 Blackstone Audio, Inc. 371.99 100 7601 Books

26797 Akira S. Bratti 3.99 373 9855 Lost Items

26798 Brodart Co. 24.74 100 7603 Supplies for Processing

26799 Erin Burns 16.99 373 9855 Lost Items

26800 Califa Group 1,659.33 320 9500 Snelling Trust

26801 Demco, Inc. 50.25 100 7603 Supplies for Processing

26802 Dish 85.78 100 8050 Telecommunications

26803 Ebsco Industries 1,736.44 100 8020 Online Services

26804 Gale/Cengage Learning 131.88 100 7601 Books

26805 The Great Courses 12.97 100 7601 Books

26806 Kristin Johnson 25.00 100 8240 Library Services

26807 Rebecca Jung 118.94 100 8251 Young Adult Programs

26808 Philip King 300.00 100 8090 Technology Training

26809 Lincoln National Life Insurance Co. 204.58 100 7110 Insurance

26810 Mann IT, Inc. 2,468.16 268.16 100 8020 Online Services

2,200.00 100 8040 Technical Support

26811 Debbie Mazzolini 75.94 100 7601 Books

26812 NBS 2,084.06 310 8920 Fiscal Agent Fees

26813 Kevin Neal 5.33 100 7603 Supplies for Processing

26814 The New York Times 682.85 100 7601 Books

26815 Northnet Library Systems 2,000.00 100 7606 Digital Resources

26816 OCLC, Inc. 1,602.60 100 8020 Online Services

26817 OUM & Co., LLP 4,500.00 100 8835 Auditing

26818 Overdrive, Inc. 25.00 100 7606 Digital Resources

26819 Pacific Gas & Electric Co. 2,158.17 100 8490 Electricity & Gas

26820 Pacific Telemanagement Services 78.00 100 8260 Telephone

26821 Pacific Publishers, LLC 45.00 100 7601 Books

26822 Penguin Random House LLC 73.24 100 7601 Books

26823 Project6 Design, Inc. 3,266.85 100 8071 Website Maintenance

26824 Recorded Books, Inc. 164.20 100 7601 Books

26825 Research Technology International 88.20 100 7603 Supplies for Processing

26826 Glaver Cifuentes 2,200.00 100 8450 Janitorial Expense

26827 Sandra Wolf 224.20 343 9701 Tea Committee

Total $ 30,453.19

September 7, 2016

To the Board of Trustees Belvedere-Tiburon Library Agency

We are engaged to audit the financial statements of the governmental activities and each major fund of the Belvedere-Tiburon Library Agency for the year ended June 30, 2016. Professional standards require that we provide you with the following information related to our audit. We will be available to meet with you to discuss this information further since a two-way dialogue can provide valuable information for the audit process.

Our Responsibility under U.S. Generally Accepted Auditing Standards

As stated in our engagement letter dated July 6, 2015, our responsibility, as described by professional standards, is to express opinions about whether the financial statements prepared by management with your oversight are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles. Our audit of the financial statements does not relieve you or management of your responsibilities.

Our responsibility is to plan and perform the audit to obtain reasonable, but not absolute, assurance that the financial statements are free of material misstatement.

As part of our audit, we will consider the internal control of Belvedere-Tiburon Library Agency. Such considerations are solely for the purpose of determining our audit procedures and not to provide any assurance concerning such internal control.

We are responsible for communicating significant matters related to the audit that are, in our professional judgment, relevant to your responsibilities in overseeing the financial reporting process. However, we are not required to design procedures specifically to identify such matters.

As part of obtaining reasonable assurance about whether the financial statements are free of material Misstatement, we will also perform tests of Belvedere-Tiburon Library Agency's compliance with certain provision of laws, regulations, contracts, and grants. However, the objective of our tests is not to provide an opinion on compliance with such provisions.

Generally accepted accounting principles provide for certain required supplementary information (RSI) to supplement the basic financial statements. Our responsibility with respect to Management's Discussion and Analysis, Budgetary Comparison Schedule — General Fund, PERS — Schedule of Proportionate Share of the Net Pension Liability, PERS — Schedule of Contributions, and OPEB — Schedule of Funding Progress, which supplement the basic financial statements, is to apply certain limited procedures in accordance with generally accepted auditing standards. However, the RSI will not be audited and, because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance, we will not express an opinion or provide any assurance on the RSI.

Planned Scope, Timing of the Audit, and Other

An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; therefore, our audit will involve judgment about the number of transactions to be examined and the areas to be tested.

Our audit will include obtaining an understanding of the entity and its environment, including internal control, sufficient to assess the risks of material misstatement of the financial statements and to design the nature, timing, and extent of further audit procedures. Material misstatements may result from (1) errors, (2) fraudulent financial reporting, (3) misappropriation of assets, or (4) violations of laws or governmental regulations that are attributable to the entity or to acts by management or employees acting on behalf of the entity. We will generally communicate our significant findings at the conclusion of the audit. However, some matters could be communicated sooner, particularly if significant difficulties are encountered during the audit where assistance is needed to overcome the difficulties or if the difficulties may lead to a modified opinion. We will also communicate any internal control related matters that are required to be communicated under professional standards.

465 California St. Ste 700 San Francisco, CA 94104 I P: 415- 434-3744 I F: 415-788-2260 I www.otimcpa.com

- 2----_, The Board of Trustees Belvedere-Tiburon Library Agency September 7, 2016 Page 2

We expect to begin our audit on approximately August 29, 2016 and issue our report on approximately October 2016.

This information is intended solely for the use of the Board of Trustees and management of Belvedere-Tiburon Library Agency and is not intended to be, and should not be, used by anyone other than these specified parties.

Very truly yours,

oo.if :a co, 4cP

San Francisco, California

BELVEDERE-TIBURON LIBRARY AGENCY

(A California Joint Exercise of Powers Agency of the Town of Tiburon and the City of Belvedere and

A California Community Facilities District)

BASIC FINANCIAL STATEMENTS AND REQUIRED SUPPLEMENTARY INFORMATION

JUNE 30, 2016


(A California joint Exercise of Powers Agency of the Town of Tiburon and the City of Belvedere and

A California Community Facilities District

BASIC FINANCIAL STATEMENTS AND REQUIRED SUPPLEMENTARY INFORMATION

FOR THE FISCAL YEAR ENDED TUNE 30, 2016

TABLE OF CONTENTS PAGE

Table of Contents

FINANCIAL SECTION

Independent Auditor's Report 1

Management's Discussion and Analysis 3

BASIC FINANCIAL STATEMENTS:

Government-Wide Financial Statements: Statement of Net Position Statement of Activities and Changes in Net Position

Governmental Funds Financial Statement Balance Sheet - Governmental Funds 11 Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide Statement 12

of Net Position Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds 13 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes

in Fund Balances to the Government-Wide Statement of Activities and Changes in Net Position 14

Notes to the Basic Financial Statements 15

REQUIRED SUPPLEMENTARY INFORMATION

Budgetary Comparison Schedule - General Fund 30 PERS - Schedule of Proportionate Share of the Net Position Liability 31 PERS - Schedule of Contributions 32 OPEB - Schedule of Funding Progress 33

Independent Auditor's Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards

34

9 10

To the Board of Trustees Belvedere-Tiburon Library Agency Tiburon, California

INDEPENDENT AUDITOR'S REPORT

Report on the Financial Statements

We have audited the accompanying financial statements of the governmental activities and each major fund of the Belvedere-Tiburon Library Agency (a California Joint Exercise of Powers Agency of the Town of Tiburon and the City of Belvedere and a California Community Facilities District) (the "Agency") as of and for the year ended June 30, 2016, and the related notes to the financial statements, which collectively comprise the Agency's basic financial statements as listed in the table of contents.

Management's Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express opinions on these 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 financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.

Opinions

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and each major fund of the Agency as of June 30, 2016, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America.

1

Other Matters

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and budgetary comparison information on pages 3-8 and 30-33 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated October XX, 2016, on our consideration of the Agency's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering Agency's internal control over financial reporting and compliance.

San Francisco, California October XX, 2016

2

Z-- BELVEDERE-TIBURON LIBRARY AGENCY



MANAGEMENT'S DISCUSSION AND ANALYSIS FOR THE FISCAL YEAR ENDED TUNE 30, 2016

FINANCIAL HIGHLIGHTS

From the Statement of Net Position on page 9 > The Government-Wide Statement of Net Position appearing as the first statement of the Basic

Financial Statements and summarized in this Management Discussion and Analysis, shows Agency's assets of $8,041,895 ; deferred outflows of $173,848; liabilities of $2,169,740; deferred inflows of $110,760; and a net position of $5,935,243 as of June 30, 2016.

• The Agency's cash and investments totaled $3,375,860 and net capital assets totaled $4,606,078 at June 30, 2016, representing 42% and 57% of the Agency's total assets, respectively.

The Agency's total liabilities totaled $2,169,740 as of June 30, 2016 and consist primarily of accounts payable, accrued bonds and capital lease, compensated absences, postemployment benefit obligation and net pension liability.

From the Statement of Activities on page 10 > Total Agency revenues were $2,537,819 (general revenues of $2,233,499 and program revenues

of $304,320) compared with total expenses of $2,424,923, resulting in an increase in net position of $275,248 for the fiscal year ended June 30, 2016.

From the Governmental Funds Statements on pages 11 and 13 > Fund balances increased by $230,900.

> Book acquisitions totaling $115,577 for the fiscal year are included in the expenditure category, "Services and supplies."

> Grants from the Belvedere-Tiburon Library Foundation totaled $228,921 for the fiscal year. Details of this grant money are found in Note 8 of the financial statements.

> A key factor affecting operating results was the receipt of basic library tax revenue that came in $56,517 and grants and contributions that came in $80,338 higher than budgeted.

> Debt service cost for the year on the limited obligation bonds was $117,900.

3

OVERVIEW OF FINANCIAL STATEMENTS

The Agency's basic financial statements are comprised of three components: government-wide financial statements, governmental funds financial statements, and notes to the financial statements. Supplementary information in addition to the basic financial statements is also presented.

Government-wide financial statements are found on pages 9-10. The Government-wide financial statements are designed to provide readers with a broad overview of the Agency's finances in a manner similar to a private-sector business. There are two government-wide financial statements - The Statement of Net Position and the Statement of Activities and Changes in Net Position.

The Statement of Net Position presents information on all of the Agency's assets and liabffities, with the difference between the two reported as net position. Over time, increases and decreases in net position may serve as a useful indicator of whether the financial position of the Agency is improving or deteriorating.

The Statement of Activities presents information showing how the Agency's net position changed during the fiscal year. Accruals of revenue and expenses are taken into account regardless of when cash is received or paid.

Att. 4tst,

As in in a private-sector business, capital assets are depreciated, principA payments on debt are not an expense, and compensated absences and other post-employment 1:kinetits are expensed in the period earned.

Governmental funds financial statements are found on pages 11 and 13. A fund is a grouping of related accounts that is ucc,L1 ti , maintain control over resources that have been segregated for specific activities. The major differences between fund financial statements and government-wide financial statements are the ways in which capital outlay, debt service, bond issuance costs, compensated absences, and other post-employment benefits are recorded. Reconciliations between the two types of financial statements an l'ound on pages 12 and 14.

Notes to the basic financial statements are found on pages 15-29. The notes provide additional information that is essential to a full understanding of the data provided in the financial statements.

Required supplementary information is found on pages 30-33. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information. One section includes budgetary comparison statements for the major fund. The other section includes a schedule of the Agency's proportionate share of the net position liability of PERS, a schedule of the Agency's contributions to PERS, and a schedule of funding progress for OPEB.

4

7 -9 GOVERNMENT-WIDE FINANCIAL ANALYSIS

Analysis of Net Position

Net position for the Agency is summarized below and an analysis follows:

Governmental Activities

Total Percent Change

2016 2015

Cash, cash equivalents and investments

$ 3,375,860 $

3,196,518 6%

Capital assets, net

4,606,078

4,715,108 -2%

Other assets 59,957

27,107 121%

Total assets 8,041,895 7,938,733 1%

Defered outflows related to pension Total deferred outflows

173,848 115,611 50% 173,848 115,611 50%

Series 1996 bonds & capital lease, net

945,434

1,010,281 -6'70

Net pension liability 637,654

637,621

(30/0

Other liabilities 586,652

531,539

10%

Total liabilities 2,169,740 2,179,441

0 %

Defered inflows related to pension Total deferred outflows

110,760 214,908 48% 110,760 214,908 -48%

Net investment in capital assets 3,660,644 3,704,827

Unrestricted 2,274,599 1,955,168

Net position $ 5,935,243 $ 5,659,995

Net position serves over time as a useful indicator of the Agency's financial position. In the case of the Agency, assets exceeded liabilities by $5,935,243 as of June 30, 2016. This number is comprised of two components:

Net investment in capital assets

$3,660,644 Unrestricted assets 2,274,599

Total net position

$5,935243

Net investment in capital assets consists of fixed assets less any related debt that is still outstanding. Unrestricted assets are used to finance day-to-day operations, including debt service.

-1% 16%

5°A

5

-4

Analysis of Changes in Net Position

Changes in net position for the Agency are summarized below and an analysis follows:

Governmental Total Activities Percent

2016

2015 Change

PROGRAM EXPENSES: Library services:

Personnel services Materials and services Depreciation tk amortization Interest

Total program expenses

PROGRAM REVENUES: Charges for services Private grants and contributions

Total program revenues

GENERAL REVENUES: Property taxes Investment earnings Miscellaneous

Total general revenues

Increase in net position

Net position - beginning of year, testated Net position - end of the year

1,484,600 454,228 265,843 57,900

$ 1,588,673 477,986 271,851 61,350

-7% -5% -2% -6%

2,262,571 2,399,860 -6%

33,910 61,852 -45% 270,41,0 206,301 31%

304,320 268,153 13%

2,223,306 2,125,398 5%

9,527 7,167 33%

666 353 89%

2,233,499 2,132,918 5%

275,248 1,211 22629%

5,659,995 5,658,784 5,935,243 $ 5,659,995

6

- I I

GOVERNMENTAL FUNDS ANALYSIS

The following schedule presents a summary of general fund revenues and expenditures for the fiscal year ended June 30, 2016:

REVENUES:

Intergovernmental:

Basic library tax $ 1,605,031

Parcel tax 275,167

ERAF 343,108

Total intergovernmental 2,223,306

Private grants & contributions:

Belvedere-Tiburon Library Foundation 198,921

Corner Books 30,000

Miscellaneous gifts & donations 41,489

Charges for services 33,910

Investment earnings 9,527

Miscellaneous • 666

Total revenues 2,537,819

EXPENDITURES:

Current:

Salaries and benefits 1,573,131

Services and supplies 572,169

Debt service:

Principal 60,000

Interest 57,900

Capi tal outlay 43,719

Total expenditures 2,306,919

Excess of revenues over expenditures 230,900

Fund balances, beginning of year 3,163,932

Fund balances, end of year $ 3,394,832

7

The Agency's fund balances changed as follows:

June 30, 2015

Increase/ (Decrease)

June 30, 2016

Nonspendable $ 3,230 $ (3,080) $ 150 Restricted for operations 250,000 - 250,000 Restricted for insurance 50,000 50,000 Restricted for building maintenance 590,254 39,555 629,809 Restricted for library programs 72,212 29,937 102,149 Assigned for debt service 86,500 86,500 Unassigned 2,111,736 164,488 2,276,224

$ 3,163,932 $ 230,900 $ 3,394,832

COMMENTS ON BUDGET COMPARISONS see Required supplementary information on page 31

Actual total revenues exceeded the amount budgeted by $140,301. Thi9 was mainly due to a positive $56,517 variance in basic library tax, a positive $39,349 variance in Belvedere-Tiburon Library Foundation, and a positive $40,989 variance in contributions from the rup,i_ellaneous gifts and donations.

Actual total expenditures exceeded the amount budgeted by $54.1(- I This difference is due to the expenditure for fixed assets and the increase in salary and benefit COS Lb.

HISTORY AND ECONOMIC FACTORS

The history of the Agency is described in Note 1 of the financial statements. The main source of revenue for the Agency is property taxes as described in Note 7 of the financial statements. Building reserves are being funded on a yearly basis to pay for building upgrades and maintenance, including roofing, carpeting, or other important facility items. Th,-, return of excess ERAF is not assured on an annual basis into the future.

The Belvedere-Tiburon Library Foundation's ("BTLF") finances are stable and it is expected that grants from the BTLF will continue into the future.

The Agency is presently investing time and resources into the expansion of the library. The final environmental impact report for this project was approved in August 2011. The Tiburon Town Council approved the site plan and architectural drawings in August 2012. For additional information regarding the progress of the expansion project, please refer to the Agency's website under "Library Expansion."

REQUEST FOR INFORMATION

This financial report is designed to provide a general overview of the Agency's finances for all those with an interest in the Agency's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to:

Library Director Belvedere-Tiburon Library Agency 1501 Tiburon Blvd Tiburon, CA 94920.

8




STATEMENT OF NET POSITION TUNE 30, 2016


ASSETS: Current assets:

Cash, cash equivalents, and investments $ 3,375,860

Accounts and interest receivable 59,807 Security deposit 150

Total current assets 3,435,817

Capital assets, net of accumulated depreciation 4,606,078 Total assets 8,041,895

DEFERRED OUTFLOWS

Deferred outflows related to pension (Note 9) Total deferred outflows

LIABILITIES: Current liabilities:

Accounts payable and accrued liabilities Current portion of Series 1996 Bonds & Capital Lease

Total current liabilities

173,848 173,848

40,985 65,627

106,612

Non-current liabilities: Compensated absences, net 145,205 Postemployment benefit obligation 400,462 Series 1996 Bonds & Capital Lease, net 879,807 Net pension liability 637,654

Total liabilities 2,169,740

DEFERRED INFLOWS

Deferred inflows related to pension (Note 9) Total deferred inflows

110,760 110,760

NET POSITION: Net investments in capital assets 3,660,644 Unrestricted 2,274,599

Total net position $ 5,935,243

See accompanying notes to basic financial statements. 9

1,484,600 454,228 265,843 57,900

33,910 270,410 304,320

(1,958,251)

2,223,306 9,527

666 2,233,499

275,248

5,659,995

Net program loss

GENERAL REVENUES: Property taxes Investment earnings Miscellaneous

Total general revenues




STATEMENT OF ACTIVITIES AND CHANGES IN NET POSITION

FOR THE FISCAL YEAR ENDED TUNE 30, 2016


PROGRAM EXPENSES: Library services:

Personnel services Materials and services Depreciation and amortization Interest

Total program expenses

PROGRAM REVENUES: Charges for services Private grants and contributions

Total program revenues

Increase in net position

Net position - beginning of year

Net position - end of the year $ 5,935,243





BALANCE SHEET GOVERNMENTAL FUNDS

TUNE 30, 2016

ASSETS:

General

Fund

Cash, cash equivalents, and investments 3,375,860

Accounts and interest receivable 59,807

Security deposit 150

Total assets S 3,435,817

LIABILITIES AND FUND BALANCES: Liabilities:

Accounts payable and accrued liabilities 40,985

Total liabilities 40,985

Fund balances: Nonspendable for security deposit 150

Restricted for operations 250,000

Restricted for insurance 50,000

Restricted for building maintenance 629,809

Restricted for library programs 102,149

Assigned for debt service 86,500

Unassigned 2,276,224

Total fund balances 3,394,832

Total liabilities and fund balances $ 3,435,817





Reconciliation of the Governmental Funds Balance Sheet to the Government-Wide Statement of Net Position

JUNE 30,2016

Total Fund Balances - Governmental Funds $ 3,394,832

Amounts reported for governmental activities in the Statement of Net Position are

different because:

Capital assets used in governmental activities are not current financial resources. Therefore, they are not reported in the Governmental Funds Balance Sheet.

Capital assets

8,253,493 Less: Accumulated depreciation

(3,647,415) 4,606,078

Deferred outflows of resources related to pension

Long-term liabilities are not due and payable in the current perioeand th e are not reported in the Governmental Funds Balance Sheet.

173,848

Long-term debt (945,434) Compensated absences

J (145,205)

Postemployment benefits (400,462) Net pension liability (637,654) Deferred inflows of resources related to pension (110,760) (2,239,515)

Net Position - Governmental Activitiis $ 5,935,243





STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS

FOR THE FISCAL YEAR ENDED JUNE 30,2016

REVENUES: Intergovernmental:

General Fund

Basic library tax 1,605,031

Parcel tax 275,167

ERAF 343,108

Total intergovernmental 2,223,306

Private grants and contributions: Belvedere-Tiburon Library Foundation 198,921 Corner Books 30,000

Miscellaneous gifts and donations 41,489

Charges for services 33,910 Investment earnings 9,527

Miscellaneous 666 Total revenues 2,537,819

EXPENDITURES: Current:

Salaries and benefits 1,573,131

Services and supplies 572,169

Debt service: Principal 60,000

Interest 57,900

Capital outlay 43,719 Total expenditures 2,306,919

Excess of revenues over expenditures 230,900

Fund balances, beginning of year 3,163,932 Fund balances, end of year 3,394,832


g

Some expenses reported in the Statement of Activities and Changes in Net Position do not require the use of financial resources and therefore are not reported as expenditures in governmental funds.

Change in compensated abse GASB 68 adjustment Change in postemploymtnt benefits




Reconciliation or the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the

Government-Wide Statement of Activities and Changes in Net Position FOR THE FISCAL YEAR ENDED TUNE 30, 2016

Net Changes in Fund Balances - Governmental Funds $ 230,900

Amounts reported for governmental activities in the Statement of Activities and Changes in Net Position are different because:

Governmental funds report capital outlays as expenditures. However, in the Statement of Activities and Changes in Net Position the cost of these assets is allocated over their estimated useful lives and recorded as depreciation expense.

Capital outlay Services and supplies (Books) Depreciation expense

it‘i.1 41,236 115,577 (265,843) (109,030)

(19,056) 162,352 (54,765)

Series 1996 bond and capital lease proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the Statement of Net Position. Repayment of principal is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position.

Principal repayments on Series 1996 Bonds 60,000 Principal repayments on capital lease 4,847

Changes in Net Position - Governmental Activities $ 275,248


E-i9 BELVEDERE-TIBURON LIBRARY AGENCY



NOTES TO BASIC FINANCIAL STATEMENTS

NOTE 1- Organization and summary of significant accounting policies:

Organization and description of Agency

The Belvedere-Tiburon Library Agency (the "Agency"), and Community Facilities District ("CFD") No. 1995-1, were organized in 1995 by a joint powers agreement between the Town of Tiburon and the City of Belvedere. The Agency was created to construct and operate a library facility which was completed April 13, 1997. Financing for the construction of the facility was primarily through a grant from the Belvedere-Tiburon Library Foundation and the issuance of limited' obligation bonds. The Agency is governed by a Board of Trustees, which adopted a resolution authorized by a registered-voter election to levy a special tax against parcels of land within the CFD., This tax and other property taxes will provide for repayment of the bonds and provide operational funding for the Agency which receives payments from the County of Mann tax collector through the Town of Tiburon and the City of Belvedere. The Agency is subject to the laws, regulations and guidelines that are set forth by the California State Controller's Office.

Description of funds a

The accounts of the Agency are organized on the basis of funds, each of which is considered to be a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise the fund's assets, liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are controlled.

Government-Wide Financial Statements

The Agency's Government-Wide Financial Statements include a Statement of Net Position and a Statement of Activities and Changes in Net Position, as required by GASB Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position, and GASB Statement No. 65, Items Previously Reported as Assets and Liabilities. The Statement of Net Position presents assets plus deferred outflows of resources less liabilities less deferred inflows as net position. Net position is reported in three broad components, as applicable - net investment in capital assets; restricted; and unrestricted. These statements present summaries of Governmental Activities for the Agency.

These statements are presented on an economic resources measurement focus and the accrual basis of accounting. Accordingly, all of the Agency's assets and liabilities, including capital assets and long-term liabilities, are included in the accompanying Statement of Net Position. The Statement of Activities and Changes in Net Position presents changes in net position. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned and expenses are recognized in the period in which the liability is incurred.

The Government-Wide Statement of Activities and Changes in Net Position presents a comparison between expenditures, both direct and indirect, and program revenues for each governmental program. Direct expenditures are those that are specifically associated with a service, program or

15

department and are therefore clearly identifiable to a particular function. Program revenues include charges paid by the recipients of the goods or services offered by the program and grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Revenues not classified as program revenues are presented as general revenues. The comparison of program revenues and expenditures identifies the extent to which each program is self-financing or draws from the general revenues of the Agency.

Net position should be reported as restricted when constraints placed on net position use is either externally imposed by creditors, grantors, contributors, or by laws or regulations of other governments or constitutional provisions or enabling legislation. The net position restricted for other purposes result from special revenue funds and the restrictions on their net position use.

Separate financial statements are provided for governmental funds. Fund financial statements report detailed information about the Agency. The focus of governmental funds financial statements is on major funds rather than reporting funds by type. Major individual governmental funds are reported as separate columns in the governmental funds financial statements. Nonmajor funds are aggregated and presented in a single column. The Agency had no nonmajor funds in the fiscal year ended June 30, 2016.

Governmental Fund Financial Statements

Governmental Fund Financial Statements include a Balance Sheet wand a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds and non-major funds aggregated. Accompanying schedules are presented to reconcile and explain the differences in fund balances as presented in these statements to the net position presented in the Government-Wide Financial Statements.

All governmental funds are accounted for on i sp- riding or current financial resources measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the Balance Sheet. The Statement of Revenues, Expenditures and Changes in Fund Balances presents increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Under the modified basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance eN pLaclituiLs of the current period. Accordingly, revenues are recorded when received in cash, exccpÊ that revenues subject to accrual (generally 60 days after year-end) are recognized when due. The primary revenue sources, which have been treated as susceptible to accrual by the \ ;ency, are intergovernmental revenues, investment earnings and charges for services. Expenditures are generally recognized when incurred under the modified accrual basis of accounting.

General Fund - the General Fund is the operating fund of the Agency. It is used to account for all financial resources except those required to be accounted for in another fund. The General Fund is the Agency's only fund.

Budget

Budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America.

Cash and cash equivalents

Cash is defined as cash in demand deposit accounts as well as cash on hand. Cash equivalents are short term, highly liquid investments that are readily convertible to known amounts of cash and investments so near their maturity that the risk of changes in value due to changes in interest

16

rates is negligible. These generally are investments with maturity dates within three months of the acquisition date.

Statement calculations and use of estimates

Due to rounding, column and row calculations may approximate actual figures. Approximations may result when decimal places are eliminated to present whole numbers.

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenditures during the reporting periods. Actual results could differ from those estimates.

Compensated absences

Earned vacation and a portion of accumulated sick leave payable upon termination or retirement are accrued as a compensated absence liability. Regular employees earn vacation hours based on years of continuous service and scheduled weekly hours worked. Also, regular employees are given credit for seven and one half hours of sick leave each month of employment with a maximum prorated accumulation of 90 days. At the close of each fiscal year, a liability is recorded based on the accumulated time for employees at their current salary.

NOTE 2- Cash, cash equivalents, investments, and cash reserves:

Cash deposits

The Agency maintains its cash in demand deposits with federally insured banks. The bank balances are covered up to an unlimited amount by federal depository insurance at June 30, 2015. At June 30, 2016, the book balance was $343,722 and the bank balance was $381,089. The difference between the carrying amount and the bank balances is due to• checks outstanding as of June 30, 2016. Financial instruments potentially subjecting the Agency to concentrations of credit risk include bank deposits. Deposits are placed with known credible financial institutions. All non-interest bearing cash balances were insured up to $250,000 per depositor at each financial institution at June 30, 2016 and non-interest bearing cash balance may exceed federally insured limits.

Investments

The Agency also invests in the Local Agency Investments Fund ("LAIF") maintained by the Treasurer of the State of California, which primarily invests in insured or collateralized cash equivalents and debt securities with average maturities of less than one year. The LAIF is part of the Pooled Money Investment Account ("PMIA"). The PMIA began in 1956 and has oversight provided by the Pooled Money Investment Board ("PMIB") and an in-house Investment Committee. The PMIB board members are the State Treasurer, Director of Finance, and the State Controller. The Agency's deposits are available for withdrawal on demand. Cash invested with LAIF as of June 30, 2016 was $2,831,764.

17

A summary of the Agency's cash, cash equivalents, and cash reserves at June 30, 2016 follows:

Cash, cash equivalents, and investments

Carrying Value

Market Value

Local Agency Investments Fund $ 2,831,764 $ 2,833,523 U.S. Treasury Cash Management Fund 200,275 200,275 Cash in checking accounts 140,231 140,231 Cash in Certificate of Deposit 203,491 203,491 Petty cash 100 100

$ 3,375,861 $ 3,377,620

Fund balances Nonspendable for security deposit 150 Restricted for:

Building reserves 629,809 Insurance reserves 50,000 Library programs 102,149 Operating reserves 250,Q00

1.,031A8 Assigned for debt service 86,500 Unassigned 2,276,224

3,394,832

NOTE 3- Accounts receivable:

Accounts receivable at June 30, 2016 copKist oPthe following:

Parcel Tax $ 9,643 Basic Fax 46,437 LAIF Interest 3,727

WP $ 59,807

It is the practice of the Agency to expense uncollectibles only after exhausting all efforts to collect the amounts due. No allowance for doubtful accounts is used and management believes all amounts will be collected in full.

NOTE 4- Capital assets:

Governmental activity capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are valued at their estimated fair market value on the date donated.

Depreciation of capital assets is charged as an expense against operations each year and the total amount of depreciation taken over the years, accumulated depreciation, is reported on the Statement of Net Position as a reduction in the book value of capital assets.

18

Depreciation of capital assets in service is provided using the straight-line method, which means the cost of the asset is divided by its expected useful life in years, and the result is charged to expense each year until the asset is fully depreciated. The Agency has assigned the useful lives listed below to capital assets:

Books 7 years Building and improvements 30 years Computers and equipment 3-5 years Furniture and fixtures 7 years

Capital assets as of June 30, 2016 consist of the donated land, library building and other property and equipment as follows:

Non-depreciable assets:

Balance, June 30, 2015 Additions Deletions

Balance, June 30, 2016

Land $ 1,606,560 $ $ 1,606,560 Construction in progress 1,473,145 1,473,145

Depreciable assets: Books 2,238,784 115,577 2,354,361 Buildings and improvements 2,351,952 2,351,952 Computers and equipment 109,350 13,840 (24,653) 98,537 Furniture and fixtures 263,967 27,396 291,363

Website 77,575 77,575 8,121,333 156,813 (24,653) 8,253,493

Accumulated depreciation: Books (1,694,542) (142,017) (1,836,559) Buildings and improvements (1,411,165) (78,398) (1,489,563) Computers and equipment ' (69,766) (21,646) 24,653 (66,759) Furniture and fixtures (219,670) (12,700) (232,370) Website (11,082) (11,082) (22,164)

(3,406,225) (265,843) 24,653 (3,647,415) Capital assets, net of

depreciation $ 4,715,108 $ (109,030) $ $ 4,606,078

Construction in progress costs include planning and pre-development costs (architectural, environmental reporting, planning, etc.) related to the proposed expansion of the existing library facility. The Agency entered into an agreement with the Town of Tiburon in 2007 to transfer the rights to use adjacent property to facilitate the expansion project which expired on July 5, 2013. The Agency amended the agreement on December 5, 2012 which extended the expiration date to August 1, 2017. The Town shall transfer the title of the property to the Agency within sixty (60) days of written notice of obtaining satisfactory evidence of sufficient funds to complete the expansion project. The Agency is working towards completing various milestones in order to be able to commence construction; however, as of June 30, 2016, the Agency cannot determine when they will be able to commence construction.

NOTE 5- Fund equity:

The Agency has adopted the provisions of GASB Statement No. 54, Fund Balance and Governmental Fund Type Definitions. GASB 54 establishes Fund Balance classifications based largely upon the extent to which a government is bound to observe constraints imposed upon the use of the resources reported in governmental funds. The Governmental Fund statements conform to this new classification.

19

The Fund Financial Statements consist of Nonspendable, Restricted, Committed, Assigned and Unassigned amounts as described below:

Nonspendable: Items that cannot be spent because they are not in spendable form, such as prepaid items, or items that are legally or contractually required to be maintained intact, such as principal of an endowment or revolving loan fund.

Restricted: Restricted fund balances encompass the portion of net fund resources subject to externally enforceable legal restrictions. This includes externally imposed restrictions by creditors (such as through debt covenants), grantors, contributors, laws or regulations of other governments, as well as restrictions imposed by law through constitutional provisions or enabling legislation.

Committed: Committed fund balances encompass the portion of net fund resources, the use of which is constrained by limitations that the government imposes upon itself at its highest level of decision making (normally the governing body) and that remain binding unless removed in the same manner. The Board of Trustees is considered the highest authority for the Agency and can commit funds through resolutions.

Assigned: Assigned fund balances encompass the portion of net fund resources reflecting the government's intended use of resources. Assignment of resources cart be done by the highest level of decision making or by a committee or official designated for that purpose. The Board of Trustees has the authority to assign funds for the Agency and can assign funds through the budgetary process.

Unassigned: This category is for any balances that have no res ti ns- placed upon them.

Fund balances classifications at June 30, 2016 are statecVin di(' Balance Sheet (page 11).

NOTE 6- General long-term debt - bonds payablel, net:

In April 1996, the Agency issued $1.6 million in limited obligation bonds. The bond agreement calls for an interest rate ranging from 4 to 6% per annum, with interest payable semi-annually on March 1 and September 1, beginning March 1, 1998. The bonds mature on varying dates and in varying amounts from September 1, 1999 through September 1, 2026.

Equipment lease - Color copier: In March 2010, the Agency entered into a lease purchase agreement with Discovery Office Systems to finance a KM4035 color copier/printer. The lease provides for 60 monthly payments of $315 plus tax, including principal and interest, commencing April 1, 2010 and ending March 1, 2015. In March 2013, the Agency entered into a new lease purchase agreement with Discovery Office Systems to finance a Kyocera 4550ci copier/printer. This new agreement includes the KM-4035 color copier/printer leased previously. The new lease provides for 60 monthly payments of $523.60 plus tax, including principal and interest, commencing April 2013 and ending March 2018.

Changes in long-term obligations and debt for the fiscal year ended June 30, 2016 are as follows:

June 30, 2015 Additions Reductions

June 30, 2016

Series 1996 Special Tax Bonds $ 995,000 $ 60,000 $ 935,000 Capital Leases 15,281 4,847 10,434

1,010,281 64,847 945,434 Compensated absences 126,149 19,056 145,205

$ 1,136,430 $ 19,056 $ 64,847 $ 1,090,639

20

Principal payments on the bonds for the succeeding five years and thereafter are as follows:

Fiscal year ended June 30, 2017 60,000 2018 65,000 2019 70,000 2020 75,000 2021 80,000 2022-2026 475,000 2027 110,000

935,000 Less - current portion 60,000

$ 875,000

The total minimum annual payments on the above lease are as follows:

Principal Interest Fiscal year ended June 30:

2017 $ 5,627 $ 1,190 2018 4,807 306

$ 10,434 $ 1,496

NOTE 7- Property taxes:

Operation of the library facility is funded by that portion of County ad valorem real estate taxes which previously was funding County of Mann library services. The bonds are to be repaid through the collection of a special library tax which is $66 per parcel per annum in the City of Belvedere and the Town of Tiburon. Any portion of the special parcel tax which is not needed to service the bonds is used for operations.

The County of Mann, which collects all taxes paid to the Agency, levies property taxes each November 1 on the assessed value of real property as of prior March 1. Taxes are due in two equal installments on December 10 and April 10 following the levy date. The County operates under the permission of Section 4701-4717 of the California Revenue and Taxation Code (the "Teeter Plan"). In accordance with the Teeter Plan, all subdivisions of the County for which the County collects tax revenues are credited with 100% of their respective treasuries' cash positions and are additionally protected by a special fund into which all County-wide delinquent penalties are deposited.

21

Grant revenue for the fiscal year ended June 30, 2016 was as follows:

Belvedere-Tiburon Library Foundation: Collection and Programs Unrestricted

Total BTLF Grants Miscellaneous grants and contributions

Total Private Grants and Contributi

NOTE 9- Pension plans:

$ 150,711 78,210

228,921 41,489

$ 270,410

NOTE 8- Foundation grants:

Major funding for the building and for equipping the library facility is from the nonprofit Belvedere-Tiburon Library Foundation which has been formed through contributions and bequests from community members. Grants committed by the Foundation (from inception through June 30, 2016) consist of the following:

Construction $ 2,528,256 Book acquisition 1,525,542 Operations 1,186,721 Epstein Books 13,747 Bookmarks 30,000 Book Grants 571,000 Corner Books 140,000

$ 5,995,266

General Information about the Pension Plans

Plan Descriptions - All qualified eniployees are eligible to participate in the Agency's following cost-sharing multiple Pn oyer defined benefit pension plans ("Plans"):

• Agency Miscellaneous (Classic) Plan • Agency Miscellaneous (PEPRA) Plan

The Plans are administered by the California Public Employees' Retirement System ("CalPERS"). Benefit provisions under the Plans are established by State statute and the Agency resolution. CalPERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.

Benefits Provided - CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of credited service, equal to one year of full time employment. Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 10 years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.

22

Classic PEPRA Prior to

January 1, 2013

On or after January 1, 2013

2.0% @55

5 years service

monthly for life

50 - 63+

1.46%-2.418%

' 0/0

11.52%

2% @ 62

5 years service

monthly for life

52 - 67+

1.0%-2.5%

6.25%

6.25%

The Plans' provisions and benefits in effect at June 30, 2016, are summarized as follows:

Miscellaneous

Hire date

Benefit formula Benefit vesting schedule

Benefit payments

Retirement age

Monthly benefits, as a % of eligible compensation

Required employee contribution rates

Required employer contribution rates

Contributions - Section 20814(c) of the California Public Employees' Retirement Law requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Funding contributions for both Plans are determined annually on an actuarial basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The local government is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.

For the year ended June 30, 2016, the contributions recognized as part of pension expense for each Plan were as follows:

Miscellaneous

Contributions - employer

Contributions - employee

Classic PEPRA

Prior to


January 1, 2013

$81,084 $7,260

71,210 7,370

Pension Liabilities, Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions

As of June 30, 2016, the Agency reported net pension liabilities for its proportionate shares of the net pension liability of each Plan as follows:

Proportionate Share

of Net Pension Liability (Asset)

Miscellaneous (Classic) 638,082

Miscellaneous (PEPRA) (428)

Total Net Pension Liability 637,654

The Agency's net pension liability for each Plan is measured as the proportionate share of the net pension liability. The net pension liability of each of the Plans is measured as of June 30, 2015, and the total pension liability for each Plan used to calculate the net pension liability was determined by

23

an actuarial valuation as of June 30, 2015 using standard update procedures. The Agency's proportion of the net pension liability was based on a projection of the Agency's long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined. The Agency's proportionate share of the net pension liability for each Plan as of June 30, 2014 and 2015 was as follows:

Miscellaneous

Classic PEPRA

Proportion - June 30, 2014 0.02579% 0.02000%

Proportion - June 30, 2015 0.02326% (0.00002)%

Change - Increase (Decrease) (0.00253)% (0.02002)%

For the year ended June 30, 2016, the Agency recognized pension expense of $162,352. At June 30, 2016, the Agency reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Pension contributions subsequent to measurement Differences between actual and expected experience

Deferred Outflows

of Resources

Deferred Inflows

of Resources $ 168,384

44,115

Changes in assumptions (70,151)

Change in employer's proportion and differencg between the employer's contributions and the employer's proportionate s hare of contributions,

Net differences between projected and, actual + earnings on plan investments (35,167)

Adjustment due to Difference in Proportions (1,951) (5,442)

Total P $ 173,848 $ (110,760) I .4,

$168,384 reported as deferred outflows of resources related to contributions subsequent to the measurement date will, be recognized as a reduction of the net pension liability in the year ended June 30, 2017. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:

Year Ended June 30

2017 $ (77,491) 2018 (75,453)

2019 (69,534)

2020 (20,611)

24

Actuarial Assumptions - The total pension liabilities in the June 30, 2013 actuarial valuations were determined using the following actuarial assumptions:

All Plans

Valuation Date June 30, 2014

Measurement Date June 30, 2015

Actuarial Cost Method Entry-Age Normal Cost Method

Actuarial Assumptions:

Discount Rate 7.65%

Inflation 2.75%

Payroll Growth 3.0%

Projected Salary Increase 3.3% - 14.2% (1)

Investment Rate of Return 7.5% (2)

Mortality Derived using CalERS' Membership Data for all Funds

Post Retirement Benefit Increase Contract COLA up to 2.75% until Purchasing Power Protection Allowance Floor on Purchasing Power applies

2.75% thereafter

(1) Depending on age, service and type of employment

(2) Net of pension plan investment expenses, including inflation

(3) The mortality table used was developed based on CalPERS' specific data. The table includes 20 years of mortality improvements using Society of Actuaries Scale BB. For more details on this table, please refer to the CalPERS 2014 experience study report available on CalPERS website.

(4) All of the City's plans for miscellaneous and safety, and the District's plan's employed the same assumptions

The underlying mortality assumptions and all other actuarial assumptions used in the June 30, 2014 valuation were based an actuarial experience study for the period 1997 to 2011, including updates to salary increase, mortality, and retirement rates. Further details of the Experience Study can found on the CalPERS website.

Discount Rate - The discount rate used to measure the total pension liability was 7.65% for each Plan. To determine whether the municipal bond rate should be used in the calculation of a discount rate for each plan, CalPERS stress tested plans that would most likely result in a discount rate that would be different from the actuarially assumed discount rate. Based on the testing, none of the tested plans run out of assets. Therefore, the current 7.65 percent discount rate is adequate and the use of the municipal bond rate calculation is not necessary. The long term expected discount rate of 7.65 percent will be applied to all plans in the Public Employees Retirement Fund ("PERF"). The stress test results are presented in a detailed report that can be obtained from the CalPERS website.

According to Paragraph 30 of Statement 68, the long-term discount rate should be determined without reduction for pension plan administrative expense. The 7.50 percent investment return assumption used in this accounting valuation is net of administrative expenses. Administrative expenses are assumed to be 15 basis points. An investment return excluding administrative expenses would have been 7.65 percent. Using this lower discount rate has resulted in a slightly higher Total Pension Liability and Net Pension Liability. CalPERS checked the materiality threshold for the difference in calculation and did not find it to be a material difference.

25

New Strategic

Allocation

3 CalPERS is scheduled to review all actuarial assumptions as part of its regular Asset Liability Management ("ALM") review cycle that is scheduled to be completed in February 2018. Any changes to the discount rate will require Board action and proper stakeholder outreach. For these reasons, CalPERS expects to continue using a discount rate net of administrative expenses for GASB 67 and 68 calculations through at least the 2017-18 fiscal year. CalPERS will continue to check the materiality of the difference in calculation until such time as we have changed our methodology.

The long-term expected rate of return on pension plan investments was determined using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.

In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all the funds' asset classes, expected compound returns were calculated over the short-term (first 10 years) and the long-term (11-60 years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the single equivalent expected return that arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and rounded do vn to the nearest one quarter of one percent.

The table below reflects the long-term expected real rate of return by asset class. The rate of return was calculated using the capital market assumptions applied to determine the discount rate and asset allocation. These rates of return are net of administrative expenses.

Real Return Real Return Years 1 - 10(a) Years 11+(b)

Global Equity 47.0% 5.25% 5.71%

Global Fixed I Iwo File 19.0% 0.99% 2.43%

Inflation Seii,,iii\ e. 6.0% 0.45% 3.36%

Private Equity 12.0% 6.83% 6.95%

Real Estate 11.0% 4.50% 5.13%

Infrastructure and Forestland 3.0% 4.50% 5.09%

Liquidity 2.0% -0.55% -1.05% Total 100%

(a) An expected inflation of 2.5% used for this period.

(b) An expected inflation of 3.0% used for this period.

26

Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate - The following presents the Agency's proportionate share of the net pension liability for each Plan, calculated using the discount rate of 7.5% for each Plan, as well as what the Agency's proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1-percentage point higher than the current rate:

Miscellaneous Classic PEPRA

Prior to January 1, 2013


1% Decrease 6.50% 6.50%

Net Pension $1,035,191 $812

Current Discount 7.50% 7.50%

Net Pension $528,910 $(575).

1% Increase 8.50% 8.50%

Net Pension $103,802 t $(1,583)

The discount rate for the above sensitivity analysis uses a different discount rate than what was used for the net pension liability balances on the balance sheet. A sensitivity analysis was not provided by the actuary for this discount rate.

Pension Plan Fiduciary Net Position - Detailed information about each pension plan's fiduciary net position is available in the separately issued CalPERS financial reports.

NOTE 10 - Postemployment benefits other than pensions:

Plan Description - During fiscal year ended June 30, 2011, the Agency implemented GASB Statement No. 45, Accounting and Financial Reporting for Postemployment Benefits Other than Pensions. This statement establishes uniform financial reporting standards for employers providing postemployment benefits. The provisions of this statement are applied on a prospective basis. The Agency also implemented GASB Statement No. 57, OPEB Measumuents by Agent Employers and Agent Multiple-Employer Plans, which permits an agent employer that has an individual-employer OPEB plan with fewer than 100 total plan members to use the alternative measurement method, at its option, regardless of the number of total plan members in the agent multiple-employer OPEB plan in which it participates.

The Agency provides postretirement health care benefits through the PERS Health Plan to all employees who retire from the Agency on or after attaining age 50 with at least five years of service.

Funding Policy - The Agency provides these benefits on a pay-as-you-go basis. Currently, one retiree meets those eligibility requirements. The Agency will pay a portion of the health plan in the amount of $122 per month for each retiree. Expenditures for postretirement health care benefits are recognized as retirees elect coverage in the health plan. During fiscal 2016, the Agency paid a total of $1,464 for such postretirement health care benefits on behalf former employees.

Annual OPEB Cost and Net OPEB Obligation - The Agency's annual other postemployment benefit ("OPEB") cost (expense) is calculated based on the annual required contribution of the employer ("ARC"). The Agency has elected to calculate the ARC and related information using the alternative measurement method permitted by GASB Statement 45, as amended by GASB Statement 57, for employers in plans with fewer than one hundred total plan members. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and to amortize any

27

unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years. The following table shows the components of the Agency's annual OPEB cost for the year, the amount actually contributed to the plan, and changes in the Agency's net OPEB obligation to the Retiree Health Plan:

Annual OPEB cost (expense) $ 56,229 Contributions made (1,464)

Increase in net OPEB obligation 54,765 Net OPEB obligation - beginning of year 345,697 Net OPEB obligation - end of year $ 400,462

The Agency's annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB obligation for fiscal year 2016 and the two preceding fiscal years were as follows:

Fiscal Year OPEB Percentage of Net OPEB Ended Annual Cost Annual OPEB Obligation

Cost Contributed 6/30/2014 $ 67,929 0.0% $ 274,654 6/30/2015 $ 71,043 0.0% 1 345,697 6/30/2016 $ 56,229 2.6% $4 400,462

Funded Status and Funding Progress - The projection of future bc net' t payments for an ongoing plan involves estimates of the value of reported amounts and assurnptio n aboat the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented as required supplementary information following the notes to the financial statements, presents multiyear trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits.

Methods and Assumptions - Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations.

The following simp umptions were made:

Retirement age for active employees - Based on the historical average retirement age for the covered group, active plan members were assumed to retire at age 55, or at the first subsequent year in which the member would qualify for benefits.

Marital status - Marital status of members at the calculation date was assumed to continue throughout retirement.

Mortality - Life expectancies were based on mortality tables from the National Center for Health Statistics. The 1994 GAM tables for Males and for Females were used.

Turnover - Non-group-specific age-based turnover data from GASB Statement 45 were used as the basis for assigning active members a probability of remaining employed until the assumed retirement age and for developing an expected future working lifetime assumption for purposes of allocating to periods the present value of total benefits to be paid.

28

Healthcare cost trend rate - The expected rate of increase in healthcare insurance premiums was based on projections of the Office of the Actuary at the Centers for Medicare & Medicaid Services. A rate of 8 percent initially, reduced to an ultimate rate of 5 percent after ten years, was used.

Health insurance premiums - 2012 health insurance premiums for retirees were used as the basis for calculation of the present value of total benefits to be paid.

Inflation rate - The expected long-term inflation assumption of 4 percent was based on projected changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers ("CPI-W") in the 2012 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds for an intermediate growth scenario.

Payroll growth rate - The expected long-term payroll growth rate was assumed to equal the rate of inflation.

Based on the historical and expected returns of the Agency's short-term investment portfolio, a discount rate of 4 percent was used. In addition, a simplified version of the entry age actuarial cost method was used. The unfunded actuarial accrued liability is being amortized as a level percentage of projected payroll on an open basis. The remaining amortization period at June 30, 2016 was thirty years.

NOTE 11- Commitments and contingencies:

At times the Agency is a defendant in various lawsuits which arise during the normal course of business. As of June, 30, 2016, in the opinion of the Agency's attorney, there ge no lawsuits involving the Agency that would have a material adverse effect on the financial position Of the Agency.

NOTE 12- Subsequent events:

The Agency has evaluated its financial statements for subsequent events after June 30, 2016 and through October XX, 2016, the date these financial statements were available to be issued. No subsequent events have taken place requiring disclosure.

3

29






BUDGETARY COMPARISON SCHEDULE - GENERAL FUND FOR THE FISCAL YEAR ENDED JUNE 30, 2016

Revenues: Intergovernmental:

Original and Final Budgeted

Amounts Actual

Amounts

Variance Positive

(Negative)

Basic library tax $ 1,548,514 $ 1,605,031 $ 56,517 Parcel tax 275,000 275,167 167 ERAF 345,000 343,108 (1,892)

Total intergovernmental 2,168,514 2,773,306 54,792

Private grants & contributions: Belvedere-Tiburon Library Foundation 159,572 198,921 39,349 Corner Books 30,000 30,000 Miscellaneous gifts & donations 500 41,489 40,989

Charges for services 34,775 33,910 (865) Investment earnings 4,157 9,527 5,370 Miscellaneous 666 666

Total revenues 2,397,518 2,537,819 140,301

Expenditures: Current:

Salaries and benefits 1,612,475 1,573,131 39,344 Services and supplies 575,535 572,169 3,366

Debt service: Principal 60,000 60,000 Interest 57,900 57,900

Capital outlay 55,200 43,719 11,481 Total expenditures 2,361,110 2,306,919 54,191

Excess of revenues over (under) expenditures 36,408 230,900 $ 194,492

Other financing sources

Excess of revenues and other financing sources over (under) expenditures 36,408 230,900 $ 194,492

Fund balances, beginning of year 3,163,932 Fund balances, end of year $ 3,394,832

F

30

3,398,256 5,884 $ 190,599 $ 20

107.85% 83.28% 83.00%

BELVEDERE-TIBURON LIBRARY AGENCY (A California -Joint Exercise of Powers Agency of the

Town of Tiburon and the City of Belvedere and A California Community Facilities District)

SCHEDULE OF THE AGENCY'S PROPORTIONATE SHARE OF THE NET PENSION LIABILITY

Last 10 Fiscal Years*

Miscellaneous

Proportion of the net pension liability

Proportionate share of the net pension liability

Covered - employee payroll

Proortionate Share of the net pension liability as

percentage of covered-employee payroll

Plan's fiduciary net position

Plan fiduciary net position as a percentage of the

total pension liability

Classic PEPRA Classic PEPRA

6/30/2015 6/30/2015 6/30/2014 6/30/2014

0.02326% 0.00002% 0.01024% 0.00000%

638,082 $ (428)10- 637,469 $ 152

1,013,165 $

116,157

1,037,732 $ 43,866

40

62.98% -0.37% 61.43% 0.35%

31

E-3 BELVEDERE-TIBURON LIBRARY AGENCY



SCHEDULE OF CONTRIBUTIONS Last 10 Fiscal Years*

Classic PEPRA Classic PEPRA

FY 2014-15 FY 2014-15 FY 2013-14 FY 2013-14

Actuarially Determined Contributions $ 112,566 $ 2,883 $ 111,872 $ 4,277

Contributions in Relation to the Actuarially Determined Contribution Deficiency (Excess) (152,293) (15,196) (219,505) (4,277) Covered-Employee Payroll $ (39,727) $ (12,313) $ (107,633) $

Covered-Employee Payroll $ 1,013,165 $ 116,157 $ 1,037,732 $ 43,866

Contribution as a Percentage of Covered-Employee Payroll 15.03% 13.08% 21.15% 9.64%

Notes:

Valuation date: 6/30/2015 Methods and assumptions used to determine contribution rates:

Actuarial Cost Method Entry Age Normal Amortization Method For details, see June 30, 2012 Funding Valuation Report. Asset valuation method Actuarial Value of Assets. For details, see June 30, 2012

Funding Valuation Report. Inflation 2.75% Salary Increases Varies by Entry Age and Service Payroll Growth 3.00% Investment Rate of Return 7.75% Net of Pension Plan Investment and Administrative

Expenses; includes Inflation. Retirement Age The probabilities of Retirement are based on the 2010

CalPERS Experience Study for the period from 1997 to 2007. Mortality The probabilities of mortality are based on the 2010 CalPERS

Experience Study for the period from 1997 to 2007. Pre-retirement and Post-retirement mortality rates include 5 years of projected mortality improvement using Scale AA published by the Society of Actuaries.

32

BELVEDERE-TIBURON LIBRARY AGENCY (A California Joint Exercise of Powers Agency of the

Town of Tiburon and the City of Belvedere and A California Community Facilities District)

OPEB SCHEDULE OF FUNDING PROGRESS FOR THE FISCAL YEAR ENDED TUNE 30, 2016

Entry Age Unfunded Normal Actuarial Liability/ Annual UAAL as a Accrued Value of (Excess Funded Covered % of

Valuation Liability Assets Assets) Status Payroll Payroll

Date (A) (B) (A)-(B) (B)/ (A) (C) [(A)-(B)]/(C)

7/1/2009 $ 379,587 $ $ 379,587 0.0% 1,037,786 36.58% a'

7/1/2012 242,595 - 242,595 0.0% 1,089,314 22.27%

7/1/2015 411,500 - 411,500 0.0% 1,244,618 33.06%

f

33

To the Board of Trustees Belvedere-Tiburon Library Agency Tiburon, California

INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OFFINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH

GOVERNMENT AUDITING STANDARDS

We have audited, in accordance with the 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, the financial statements of the governmental activities and each major fund the Belvedere-Tiburon Library Agency (A California Joint Exercise of Powers Agency of the Town of Tiburon and the City of Belvedere and A California Community Facilities District) ("Agency") as of and for the year ended June 30, 2016, and the related notes to the financial statements, which collectively comprise Agency's basic financial statements, and have issued our report thereon dated October XX, 2016.

Internal Control Over Financial Reporting

In planning and performing our audit of the financial statements, we considered Agency's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Agency's internal control. Accordingly, we do not express an opinion on the effectiveness of Agency's internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Agency's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, 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 or other matters that are required to be reported under Government Auditing Standards.

34

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

San Francisco, California October XX, 2016

35

November 2016 November 2016 December 2016 su Mo Tu We Th Fr Sa Su Mo Tu We Th Fr Sa

1 2 3 4 5 1 2 3 6 7 8 9 10 11 12 4 5 6 7 8 9 10

13 14 15 16 17 18 19 11 12 13 14 15 16 17 20 21 22 23 24 25 26 18 19 20 21 22 23 24 27 28 29 30 25 26 27 28 29 30 31

I N

ov 2

7 - D

ec 3

N

ov 2

0 -

26

Nov

13

- 19

Nov

6 -

12

Oct

30

- Nov

5

I

Sunday Monday Tuesday Wednesday Thursday Friday Saturday

Oct 30 31 Nov 1 2 3 4 5 11:00am Petrocelli

Luncheon

12:00pm French Group

3:00pm Teen Lounge

7:30pm Lighthouse Singers

9:30am Belvedere Community Photo J

12:00pm Senior Progra

4:00pm Cocoa Hour

6:00pm Wed Worksho

6:30pm Chess with Ch

9:00am Bookmarks

12:00pm Spanish Grp

1:00pm Italian Grp

3:30pm BTLF CCC

6:00pm Board Game Night

11:00am Art Workshop

4:00pm Coder Dojo

10:00am 12:00pm Girls Who Code

7 8 9 10 11 12 10:00am New Yorker

Group

7:00pm BTL FDN MTG

10:00am Program Committee

12:00pm French Group 1:30pm Great Books

3:00pm Teen Lounge

7:30pm FAMSF: Frank

8:30am Bookmarks

12:00pm Senior Program

4:00pm Cocoa Hour


7:00pm Tom Killion Art

12:00pm Spanish Grp 1:00pm Italian Grp

4:00pm Harvest Crafts

6:30pm Film Night

I CLOSED VETERANS DA 10:00am 2:00pm Teen SAT Workshop

13 14 15 16 17 18 19 10:00am Art

Workshop

1:00pm 7:00pm BTLF GUTSY GIRL


3:00pm Teen Lounge

7:30pm Elizabeth Rynecki Chasing portraits

10:00am BTLF CCC

3:00pm Library TEA

4:00pm Cocoa Hour

6:00pm Wed Workshop


10:00am Take Down Art

12:00pm Spanish Grp

1:00pm Italian Grp

7:00pm Trivia Night

10:00am Reference Meeting

11:00am Mastering Tablets & Smartphones

4:00pm Coder Dojo

10:00am 12:00pm Girls Who Code

1:00pm Lego Club

4:00pm Teen Book Club

5:00pm Teen Movie

20 21 22 23 24 25 26 6:15pm BTLA MTG 10:00am Book Group

10:30am Richard Kane (Founders Piano)


3:00pm Teen Lounge

4:00pm Cocoa Hour

6:00pm CLOSE AT 6PM

'

I CLOSED FOR THANKSGIVING I

27 28 29 30 Dec 1 2 3 10:30am Coloring Cafe 10:00am Book Group

12:00pm French Group 3:00pm Teen Lounge

7:30pm Cole Porter Music

4:00pm Cocoa Hour 6:00pm Wed

Workshop

6:30pm Chess with Chase (Fink room)

Kristin Johnson

1

10/13/2016:

Belvedere-Tiburon Library Future Meeting Dates

Monday, November 21, 2016 (no December meeting unless needed)

Monday, January 9, 2017 (second Monday) Monday, February 13, 2017 (second Monday)

Monday, March 20, 2017 Monday, April 17, 2017

All meetings are held at 6:15 pm in the Founders Room at the Library Unless otherwise notified

Documents

AGENDA BELVEDERE TIBURON LIBRARY AGENCY Monday, … › sites › default › files › BTLASupDocs10-17-16.pdfOct 17, 2016 · Zika Virus Update was presented at the Library on Wednesday,