Village of Reeves · 1QS1% lfl.Q% 85% 85% J15 J5 m% iOQ% The Village continues to maintain a high current ratio The current ratio compares current assets to current liabilities and

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VILLAGE OF REEVES, LOUISIANA

ANNUAL FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS' REPORTS

Year Ended June 30, 2013

Under provisions of state law thisrepoil is a public document Acopy or the repod has beei; suorr.ti'ed to the entity and other appropriate public ufiicia's The report IS available for public inspection ax the Baton Rouge office of the Legislative Auditor and v /here appropnate, at the office of the parish clerk of court

Release Date DEC 1 1 2013

CRACSOS, CASIDAY & Gun Loin, LLP CERTIFIED PUBLIC ACCOUNTANTS

CONTENTS

PAGE

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED) 3-10

INDEPENDENT AUDITORS' REPORT 11-12

BASIC FINANCIAL STATEMENTS

GOVERNMENT-WIDE FINANCIAL STATEMENTS Statement of net position 15 Statement of activities 16

FUND FINANCIAL STATEMENTS Balance sheet-governmental funds 19 Reconciliation of the balance sheet-Governmental Funds to the statement of net position 20

Statement of revenues, expenditures, and changes in fund balances governmental fund 21-22

Reconciliation of the statement of revenues, expenditures, and changes in fund balance-governmental fund to the statement of activities 23

Statement of net position - propnetary funds 24 Statement of revenues, expenses and changes in net position - proprietary fund 25 Statement of cash flows - propnetary fund 26

NOTES TO BASIC FINANCIAL STATEMENTS 27-37

REQUIRED SUPPLEMENTAL INFORMATION Budgetary comparison schedule-general fund 39-40

INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 41-42

SCHEDULE OF FINDINGS AND RESPONSES 43

G R A G S O N , CASIOAV & Gun.i.OR'*, L L r

CERTIFIED PUBLIC ACCOUNTANTS

VILLAGE OF REEVES. LOUISIANA

Management's Discussion and Analysis

Within this section of the Village of Reeves, Louisiana's (Village) annual financial report, the Village's management is pleased to provide this narrative discussion and analysis of the financial activities of the Village for the fiscal year ended June 30. 2013 The Village's financial performance is discussed and analyzed within the context of the accompanying financial statements and disclosures following this section

FINANCIAL HIGHLIGHTS

• The Village's assets exceeded its liabilities by $2,433,026 (net position) for the fiscal year reported

• Total revenues of $606,202 were more than total expenditures of $455,758, which resulted in a current year surplus of $150,444. compared to a prior year surplus of $1,123,012

• Total net position is compnsed of the following

(1) Net investment in capital assets of $2,062,666 include property and equipment, net of accumulated depreciation, and reduced for outstanding debt related to the purchase or construction of capital assets

(2) Unrestncted net position of $370,360 represents the portion available to maintain the Village's continuing obligations to citizens and creditors

• The Village's governmental funds reported total ending fund balance of $367,556 this year This compares to the pnor year ending fund balance of $312,128. reflecting an increase of $55,428 during the current year

• At the end of the current fiscal year, unassigned fund balance for the General Fund was $317,556 or 79% of total General Fund expenditures and 55% of total General Fund revenues

• Overall, the Village had a slight increase in financial position and is continuing to work to improve on this financial position

The above financial highlights are explained in more detail in the "financial analysis" section of this document

OVERVIEW OF FINANCIAL STATEMENTS

This Management's Discussion and Analysis document introduces the Village's basic financial statements The basic financial statements include (1) government-wide financial statements. (2) fund financial statements, and (3) notes to the basic financial statements The Village also includes in this report additional information to supplement the basic financial statements Comparative data ts presented when available

Continued

G R A C S O N , CASIDAY & Guii.LOR^, L L P CERTIFIED PUBLIC ACCOUNTANTS


Management's Discussion and Analysis (Continued)

GOVERNMENT-WIDE FINANCIAL STATEMENTS

The Village's annual report includes two government-wide financial statements These statements provide both long-term and short-term information about the Village's overall financial status Financial reporting at this level uses a perspective similar to that found in the private sector with its basis in accrual accounting and elimination or reclassification of activities between funds

The first of these government-wide statements is the Statement of Net Position This is the government-wide statement of position presenting information that includes all of the Village's assets, plus deferred outflows of resources, less liabilities, less deferred inflows of resources with the difference reported as net position Over time, increases or decreases m net position may serve as a useful indicator of whether the financial position of the Village as a whole is improving or deteriorating Evaluation of the overall health of the Village would extend to other nonfinancial factors such as diversification of the taxpayer base, or the condition of Village infrastructure in addition to the financial information provided in this report

The second government-wide statement is the Statement of Activities, which reports how the Village's net position changed during the current fiscal year All current year revenues and expenses are included regardless of when cash is received or paid An important purpose of the design of the statement of activities is to show the financial reliance of the Village's distinct activities or functions on revenues provided by the Village's taxpayers

Both government-wide financial statements distinguish governmental activities of the Village and from business-type activities that are intended to recover all or a significant portion of their costs through user fees and charges Governmental activities include principally general government and public safety Business-type activities include the sewer system

The government-wide financial statements are presented on pages 15 and 16 of this report

FUND FINANCIAL STATEMENTS

A fund IS an accountability unit used to maintain control over resources segregated for specific activities or objectives The Village uses funds to ensure and demonstrate compliance with finance-related laws and regulations Within the basic financial statements, fund financial statements focus on the Village's most significant funds rather than the Village as a whole Major funds are separately reported while all others are combined into a single, aggregated presentation

The Village has two kinds of funds

Governmental funds are reported in the fund financial statements and encompass the same functions reported as governmental activities in the government-wide financial statements However, the focus is very different with fund statements providing a distinctive view of the Village's governmental funds These statements report short-term fiscal accountability focusing on the use of spendable resources and balances of spendable resources available at the end of the year They are useful in evaluating annual financing requirements of governmental programs and the commitment of spendable resources for the near-term

Continued

GRAC;SC)\ , CASIOAY & G L I I L O I O , L L P CERTIFIED PUBLIC ACCOUNTANTS

4



Since the government-wide focus includes the long-term view, compansons between these two perspectives may provide insight into the long-term impact of short-term financing decisions Both the governmental fund balance sheet and the governmental fund operating statement provide a reconciliation to assist in understanding the differences between these two perspectives The basic governmental fund financial statements are presented on pages 19 through 23 of this report

Propnetary funds are reported in the fund financial statements and generally report services for which the Village charges customers a fee The one Village propnetary fund is classified as an enterpnse fund This enterpnse fund essentially encompasses the same functions reported as business-type activities in the government-wide statements Services are provided to customers external to the Village organization for sewer utilities The basic enterpnse fund financial statements are presented on pages 24 through 26 of this report

NOTES TO THE BASIC FINANCIAL STATEMENTS

The accompanying notes to the financial statements provide information essential to a full understanding of the government-wide and fund financial statements The notes to the financial statements begin on page 27 of this report

OTHER INFORMATION

In addition to the basic financial statements and accompanying notes, this report also presents certain required supplemental information concerning the Village's budget presentations Budgetary companson statements are included as "required supplemental information" for the general fund These statements and schedules demonstrate compliance with the Village's adopted and final revised budget Required supplemental information can be found on page 39 of this report

Continued

G R A C S O N , CASIDAY & Gbi i LOin, L L P


5



FINANCIAL ANALYSIS OF THE VILLAGE AS A WHOLE

The Village's net position at fiscal year-end is $2,433,026 The following table provides a summary of the Village's net position

Assets Current assets and other assets Capital assets

Total assets

Deferred outflows of resources

Liabilities Current liabilitres

Deferred inflows of resources

Net position Net investment in capital assets Unrestricted

Total net position

Governmental Activities

2013

S 376 956 1.601.299

1.978.255

.

9 400

.

1.601.299 367.556

2012

S 362 091 1,482,879

1.844,970

.

49,963

.

1.482,879 312.128

$ J ^ B ^ 5 5 $XJ.95Ji.Ql

Bustness-type Activities

2013

S 3.204 461.367

464.571

.

400

.

461.367 2.804

^ 0 ^ 7 1

2012

$ 11641 476.081

487.722

.

147

.

476.081 11.494

$ 487 575

Total

2013

$ 380,160 2.062.666

2.442.826

_

9.800

.

2.062,666 370.360

$_2.43i026

2012

$ 373.733 1.958,960

2.332.693

.

50.110

.

1.958.960 323.622

t2.23Z5Q2

Percentage Total

2013 2012

17% 17% -83 _83

iQQ% im%

im% iQQ%

.lilQ% li)Q%

1QS1% lfl.Q%

85% 85% J15 J 5

m % iOQ%

The Village continues to maintain a high current ratio The current ratio compares current assets to current liabilities and is an indication of the ability to pay current obligations The current ratio for governmental activities is 40 to 1 (7 to 1 for 2012) for governmental activities and 8 to 1 (79 to 1 for 2012) for business type activities For the Village overall, the current ratio is 39 to 1 (7 to 1 for 2012) These ratios are strong

The Village reported positive balances in net position for both governmental and business-type activities Net position increased $173,848 ($1,136,385 increase for 2012) for governmental activities and decreased $23,404 ($13,373 decrease for 2012) for business-type activities The Village's overall financial position did improve during the fiscal year 2013

Notethat approximately 81% (83% for 2012) of the governmental activities' net position is tied up in capital The Village uses these capital assets to provide services to its citizens However, with business type activities, the Village has spent approximately 99% (98% for 2012) of its net position on capital Capital assets in the business-type activities also provide utility services, but they also generate revenues for this fund 85% (85% for 2012) of the Village's total net position is included in capital assets

Continued

G R A G S O N , CASIDAY & GiJii L O R \ , L L P CERTIFIED PUBLIC ACCOUNTANTS



The following table provides a summary of the Village's changes in net position

Revenues Program

Charges for services/ fines

Capital grants General Taxes Interest Other

Total Revenues

Program exper^ses General government Public safety Police Sewer

Total Expenses

Excess (deficiency)

Transfers

Change in net position

Beginning net position

Ending net position


2013

$ 384,644 117,790

62,468 1.057

15.096

581.055

221,181

181.026

-

402,207

178,848

(5.000)

173,848

1.795.007

2012

$410,248 1,014,896

57.167 702

7.853

1.490.866

166.165

188,316

-

354.481

1,136.385

.

1,136.385

658,622

$1,968,855 $1.795,007

Business-Type Activities

2013

$ 25.147 -

---

25.147

-

-_ 53,551

_. 53,551

(28.404)

5.000

(23,404)

487.575

$^.54,111

2012

$ 25,979 -

_ -_

25.979

-

-39.352

39.352

(13.373)

(13.373)

500.948

S 487.575

2013

$ 409.791 117,790

62,468 1.057

15.096

606,202

221,181

181.026 53,551

455.758

150.444

.

150,444

2.262,582

i^433.Q26

rotal

2012

$ 436,227 1.014,896

57,167 702

7,853

1.516,845

166,165

188.316 39,352

393.833

1.123.012

.

1.123.012

1,159.570

$.2^24S2

Percentage Total

2013 2012

66% 29% 20 67

11 4 -3

100% 1QQ%

49% 42%

40 48 11 10

im% im%

GOVERNMENTAL REVENUES

The Village is heavily reliant on fines and taxes to support governmental operations Fines equal 83% (86% for 2012) of the revenues for governmental activities, excluding capital grants Taxes equal 13% (12% for 2012) of the revenues for governmental activities, excluding capital grants Also note that program revenues of charges for services cover 115% (116% for 2012) of governmental operating expenses

GOVERNMENTAL FUNCTIONAL EXPENSES

General government expenses compnse 49% (42% for 2012) of the Village's total expenses and 55% (47% for 2012) of the total governmental expenses

This table presents the cost of each of the Village's programs, including the net costs (i e , total cost less revenues generated by the activities) The net costs illustrate the financial burden that was placed on the Village's taxpayers by each of these functions

Continued

GKAC;S(>\, CASII)A> & Gun i.oio, L L I* CERTIFIED PUBLIC ACCOUNTANTS

7




Total Cost Net Cost (Profit) of Services of Services

2013 2012 2013 2012

General government $ 221.181 $ 166,164 $ 103,391 $ (848,732) Public safety

Police 181.026 188.317 (203.618) (221.931)

Total $ 402.207 $ 354,481 $ (100.227) $(1,070,663)

BUSINESS-TYPE ACTIVITIES

Revenues vs Costs For the utility fund the operating revenues and expenses were relatively the same as 2012 Within the total business type activities of the Village, these activities reported a $23,404 loss compared to a loss of $13,373 for the pnor year

FINANCIAL ANALYSIS OF THE VILLAGE'S FUNDS

Governmental Funds

As discussed, governmental funds are reported in the fund statements with a short-term, inflow and outflow of spendable resources focus This information is useful in assessing resources available at the end of the year in companson with upcoming financing requirements Governmental funds reported ending fund balances of $367,556 ($312,128 for 2012), of which $50,000 is assigned for capital outlay ($50,000 for 2012), and $317,556 is unassigned ($262,128 for 2012) indicating availability for continuing Village service requirements

The total ending fund balances of governmental funds show an increase of $55,428 ($112,383 increase for 2012)

MAJOR GOVERNMENTAL FUNDS

The General Fund is the Village's pnmary operating fund and the only source of day-to-day service delivery The General Fund is the only governmental fund and is, therefore, the only major fund

THE PROPRIETARY FUND

The propnetary fund statements share the same focus as the government-wide statements, both reporting short-term information about financial status

BUDGETARY HIGHLIGHTS

The revenue and expenditure side of the onginal budget for the General Fund was decreased by $697,700 and $772,900, respectively, this year from last year's final budget The pnmary change relates to capital outlay expenditures and grant revenues

Continued

GRACSON, CASIDAY & Gun LOU^, L L P CERTIFIED PUBLIC ACCOUNTANTS



The revenue side of the onginal budget for the General Fund was decreased by $101,000 this year The pnmary change in the budget relates to grant revenues The expenditure side of the original budget of the general fund was decreased by $63,000 this year The pnmary change relates to capital outlay expenditures

The actual revenues were more than the final budget by $68,055 or 12%. mainly due to fines revenues and the actual expenditures were less than the final budget by $30,373 or 1%. mainly due to police salanes and training

The budget was amended once during the fiscal year

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital assets

The Village's net investment in capital assets, for governmental and business-type activities as of June 30, 2013, was $1,601,299 and $461,367 respectively See Note C for additional information about changes in capital assets dunng the fiscal year and outstanding at the end of the year The following table provides a summary of capital asset activity

Non-depreciable asset Land $ Construction in progress

Depreciable assets Buildings Furniture & equipment Transportation equipment Infrastructure

Total depreciable assets

Less accumulated depreciation


2013

40.141 -

40.141

245.627 355,041

-1,304,369

1.905,037

343,879

2012

$ 40.141 987.696

1.027.837

101.197 294,578

-332,910

728,685

273.643


2013

$ --

731,271 -

29,208 _

760,479

.299.112

2012

$ --

731.271 -

29,208 -

760.479

284,398

Total

2013

$ 40.141 $ -

40,141

976.898 355,041 29,208

1,304,369

2,665,516

642,991

2012

40,141 987.696

1,027.837

832,468 294,578 29.208

332.910

1,489,164

558.041

Book value-depreciable assets £1.561.158 £__455i)42 £ 461,367 a 476.081 $.2JI2Z525 a 931,123

Percentage depreciated 18% 38% 39% 38% 2|% 38%

Book value-all assets S 1,601.299 S L L 4 8 2 ^ 9 £ 461.367 £ 476,081 S_2..0fiZ6.66 SJ.>a5S.9fiQ

At June 30, 2013, the depreciable capital assets for governmental activities were 18% depreciated This compares less than the June 30, 2012 percentage This companson indicates that the Village IS replacing its assets at a higher rate than they are depreciating them

With the Village's business type activities, 39% of the asset values were depreciated at June 30, 2013 compared to 38% at June 30, 2012

The major additions for the year were the LCDBG rehabilitation of lift station electncal systems and the MIP street rehabilitation project Continued

GRACSON, CASIDAV & GuiiiORt, L L P


9



Long-term debt

At the end of the fiscal year, the Village had no debt outstanding

ECONOMIC CONDITIONS AFFECTING THE VILLAGE

Since the pnmary revenue stream for the Village are fines and taxes, the Village's fines and tax revenues are subject to changes in the economy Since these are considered an "elastic" revenue stream, fines and tax collections are higher in a flourishing economy and are lower in a depressed economy

CONTACTING THE VILLAGE'S FINANCIAL MANAGEMENT

This financial report is designed to provide a general overview of the Village's finances, comply with finance-related laws and regulations, and demonstrate the Village's commitment to public accountability If you have any questions about this report or would like to request additional information, contact the Village's Clerk, Kam Henagan, P O Box 119, Reeves, LA 70658

GUACSON, CASIDAV & Guu.iota, L L r CERTIFIED PUBLIC ACCOUNTANTS

10

gl G R A G S O N , CASIDAY & GUILLORY, L.L.F. W GEORGE GRAGSON C P A RICHARD W CASIDAY. C P A RAYMOND GUILLORY. JR . C P A

CERTIFIED PUBLIC ACCOUNTANTS COYTVINCENT'^C P A * MICHELLE LEE, C P A BRADLEY J CASIDAY. C.P A . C V A

JULIA W PORTUS. C P A K A T H R Y N B L E S S I N G T O N , C P A JACKLYN B R A N E F F . C P A

INDEPENDENT AUDITORS' REPORT

November 14, 2013

The Honorable Scott Walker, Mayor and the Board of Councilmen

Village of Reeves, Louisiana

Report on the Financial Statements

We have audited the accompanying financial statements of the governmental activities, the business-type activities and each major fund of the Village of Reeves, Louisiana, as of and for the year ended June 30, 2013, and the related notes to the financial statements, which collectively comprise the Village'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.

Auditors' 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 auditors' 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.

145 EAST STREET P.O. DRAWER 1 B47 LAKE CHARLES. LOUISIANA 706O2-1847

TEL. (3371 439-1986, FAX (337) 439-1366

Village of Reeves, Louisiana November 14, 2013 Page Two

Opinions

In our opinion, the financial statements referred to above present fairly, in all matenal respects, the respective financial position of the governmental activities, the business-type activities and each major fund of the Village of Reeves, Louisiana, as of June 30, 2013, and the respective changes m financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting pnnciples generally accepted in the United States of Amenca

Other Matters

Required Supplementary Information

Accounting pnnciples generally accepted in the United States of Amenca require that the management's discussion and analysis and the budgetary companson information on pages 3 through 10 and 39 through 40, respectively 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 the financial reporting for placing the basic financial statements in an appropnate operational, economic, or histoncal context We have applied certain limited procedures to the required supplemental information in accordance with auditing standards generally accepted in the United States of Amenca, which consisted pnncipalty of inquines of management about the methods of prepanng the information and companng the information for consistency with management's responses to our inquines, the basic financial statements and other knowledge we obtained dunng 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 November 14, 2013, on our consideration of the Village of Reeves. Louisiana's internal control over financial reporting and 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 descnbe the scope of our testing of internal control over reporting and compliance and the results of that testing, and not to provide an opinion on the intemal control over financial reporting or comphance That report is an integral part of an audit performed in accordance with Govemmenf Auditing Standards in considenng the Village of Reeves, Louisiana's internal control over financial reporting and compliance

j U . ^ ^ , ^ : ^ ^ ^ ^ - ^ ^ ^

GRACSON, CASIDM & Gun LOin, L L r CERTIFIED PUBLIC ACCOUNTANTS

12

BASIC FINANCIAL STATEMENTS

GUACSON, CASIIJA> & G L I I I o i n , L L P


13

GOVERNMENT-WIDE FINANCIAL STATEMENTS

GRAGSON, CASIDAY & Gun i.oin, L L r CERTIFIED PUBLIC ACCOUNTANTS

14


Statement of Net Position

June 30. 2013

ASSETS Cash Receivables, net Prepaid expenses Capital assets

Land Capital assets, net

Total assets

DEFERRED OUTFLOWS OF RESOURCES

LIABILITIES Accounts and other accrued payables Customer meter deposits

Total liabilities

DEFERRED INFLOWS OF RESOURCES

NET POSITION Net investment in capital assets Unrestricted

Total net position


$ 343.455 16,584 16.917

40,141 1.561,158 1.978,255

9.400 -

9.400

1.601,299 367.556

$ 1.968,855

Business-Type

$

S

Activities

1,161 2.043

-

_

461.367 464,571

352 48

400

461,367 2.804

464,171

Total

$ 344.616 18.627 16.917

40,141 2,022.525 2.442.826

9,752 48

9,800

2,062.666 370,360

$ 2.433,026

The accompanying notes are an integral part of the basic financial statements

GRACSON, CASIDAY & Gun i.oin, L L P


15


Statement of Activities


Net Revenues (Expenses) and Changes in Net Position

O o >

> * o r o = c -z c > c; z ' H p-

Activities

Governmental activities General government Police

Total Governmental Actvities

Business-type activities Sevk er

Total

_

$

T

Expenses

221,181 181,026

402 207

53 551 455,758

Fees, Fmes and Charges for Services

S 384,644

384.644

25.147 $ 409.791

Operating Grants and

Contnbutions

S 117.790

-

117 790

-$ 117,790


$ (103 391) 203.618

100.227

-100 227


$ -

-

(28.404) (28,404)

Total

S (103,391) 203,618

100 227

(28.404) 71,823

General revenues Taxes -

Property taxes, levied for general purposes Franchise taxes Sales Licenses

Interest and investment earnings Miscellaneous Transfers

Total general revenues Change in net position

Net position - Beginning

Net position - Ending

3,460 10,936 25.859 22,213

1,057 15,096 (5,000) 73.621

173,848

1.795.007

$ 1.968.855

------

5.000 5,000

(23,404)

487,575

$ 464,171

3,460 10,936 25,859 22.213

1.057 15,096

-78.621

150,444

2,282,582

S 2 433.026


FUND FINANCIAL STATEMENTS

GRACSON, CASIDAY & Gun i.oin, L L P CERTIFIED PUBLIC ACCOUNTANTS

17

FUND DESCRIPTIONS

General Fund

The General Fund is used to account for resources traditionally associated with governments which are not required to be accounted for in another fund

GRACSON, CASIO A> & GuuLOia, L L P


18


Balance Sheet - Governmental Fund

June 30. 2013

2013 2012

ASSETS Cash Receivables

Franchise taxes Interest Intergovernmental

Prepaid insurance Prepaid expenses

Total Assets


TOTAL ASSETS AND DEFERRED OUTFLOWS OF RESOURCES

LIABILITIES Accounts payable Payroll taxes payable

Total Liabilities


FUND BALANCE Assigned Unassigned

Total Fund Balance

TOTAL LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCE

$ 343,455 $ 302.992

$

$

$

1.335 321

14.928 2,742 14.175

376.956

376.956

5.105 4,295 9.400

50.000 317.556 367,556

376,956

$

$

$

1,175 511

53.496 3.917

-362.091

362,091

46.531 3,432

49.963

50,000 262,128 312.128

362.091


GRAc;sf>N, CASIDAY & Gun I.OR>, LLP


19


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

June 30. 2013

Total fund balance for governmental fund at June 30, 2013 $ 367,556

Total net position reported for governmental activities in the statement of net position is different because

Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds Those assets consist of

Land $ 40,141 Capital assets, net of $343,879 accumulated depreciation 1.561.158 1.601.299

Total net position of governmental activities at June 30, 2013 $ 1,968,855


GRACSON, CASIDAY & Gun i ou'i, L L P


20


statement of Revenues. Expenditures and Changes in Fund Balance - Governmental Fund

Year Ended June 30 2013

2013 2012 REVENUES Properly taxes Franchise taxes Sales tax Occupational license Interest Intergovernmental Fines Miscellaneous

Total Revenues

$ 3,460 10.936 25.859 22 213 1.057

117 790 384.644 15.096

S 3,492 9.743 22 196 21 736

702 1014 896 410.248 7.853

581 055 1.490.866

EXPENDITURES General government Advertisements Bank charges Conference/meetings Contract labor Dues Fuel Insurance Miscellaneous Office supplies Per diem Professional fees Repairs and maintenance Salaries Supplies Taxes Telephone Travel Utilities - city hall

Total General Government Police

Contract labor Fuel Insurance Miscellaneous Repairs and maintenance Reports Salaries Supplies Taxes Telephone Training Uniforms/equipment

Total Police Capital outlay

Total Expenditures

1.104 -

1,776 1.406 1.424 14,307

26,156 3.180 12,526 24,250 14,025 7.430

42.279 5,771 3.532 6.767 5,034 11.368

182 335

_

9.723 6 576 638

3,441 11.353 94 054

11.052 8.074 4.725

--

149.636 188.656 520,627

1,291 285

2.982 2,320 519

-16.756 2,083 15,656 23.625 7 558 3,971

36 640 8.682 3.859 6,053

48 10 007

142 335

1.236 17.141 6,280

-7.168 11046 85 483 13 208 9,003

-222

19.322 170,109

1,066,039 1.378.483

The accompanying notes are an integral part of the basic financial statements Continued

G R A C S O N , CASIDAY & Guu.Loin, L L P


21


statement of Revenues Expenditures and Changes in Fund Balance - Governmental Fund - Continued

Year Ended June 30. 2013

2013 2012

/

The accompanying notes are an tntegrai part of the basic financial statements

G R A G S O \ , CASIDAY & Gun i .oin. L L P CERTIFIED PUBLIC ACCOUNTANTS

22

EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES $ 60,428 $ 112 383

OTHER FINANCING SOURCES (USES) operating Transfers In (Out) (5,000) -_

NET CHANGE IN FUND BALANCE 55 428 112 383

FUND BALANCE BEGINNING 312.128 199 745

FUND BALANCE. ENDING $ 367,556 $ 312.128


Reconciliation of the Statement of Revenues. Expenditures and Changes in Fund Balance-Governmental Fund to the Statement of Activities


Total net changes in fund balance at June 30, 2013 per Statement of Revenues, Expenditures and Changes in Fund Balance $ 55.428

The change in net position reported for governmental activities in the Statement of Activities is different because

Governmental funds report capital outlays as expenditures However, in the Statement of Activities, the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense

Capital outlay which is considered expenditures on the Statement of Revenues, Expenditures and Changes in Fund Balance $ 188,656

Depreciation expense for the year ended June 30. 2013 (70,236) 118.420

Total change in net position at June 30. 2013 per Statement of Activities $ 173,848


GRAC-.SON, CASIDAY & Gun I.OR'V, L L P CERTIFIED PUBLIC ACCOUNTANTS

23


Statement of Net Position - Proprietary Funds

June 30. 2013

Current assets Cash Receivables

Total current assets

Fixed assets net of accumulated depreciation Total assets


TOTAL ASSETS AND DEFERRED OUTFLOWS OF RESOURCES

LIABILITIES Current liabilities Accounts payable Customer meter deposits

Total current liabilities


NET POSITION Net investment in capital assets Unrestncted

Total net position

TOTAL LIABILITIES, DEFFERED INFLOWS OF RESOURCES AND NET POSITION

2013 2012

$

$

$

_$

1.161 2.043 3.204

461,367 464,571

464.571

352 48 400

461,367 2.804

464,171

464.571

$

$

$

$

9.801 1,840 11.641

476,081 487.722

487,722

99 48 147

476,081 11,494

487.575

487,722


GRACSON, CASIDAY & Gun LOR'*, L L P CERTIFIED PUBLIC ACCOUNTANTS

24


Statement of Revenues, Expenses and Changes in Net Position - Proprietary Fund


2013 2012 OPERATING REVENUES

Sewer service changes

OPERATING EXPENSES Advertisements Bank charges Contract labor Depreciation Dues Professional fees Repairs and maintenance Samples Utilities

Total Operating Expenses

25,147

53.551

25.979

73 10

6.850 14,714

745 -

25,299 1,545 4.388

-8,697

17.354 765 275

4,355 1,080 6,753

39.352

INCOME (LOSS) BEFORE OPERATING TRANSFERS

Operating transfers in (out)

CHANGE IN NET POSITION

NET POSITION. BEGINNING

NET POSITION, ENDING

(28,404)

5,000

(23.404)

487.575

464.171

(13,373)

(13,373)

500.948

$ 487,575


GRACSON, CASIDAY & GUIM.OKY, L L P CERTIFIED PUBLIC ACCOUNTANTS

25


Statement of Cash Flows - Proprietary Fund


2013 2012 CASH FLOWS FROM OPERATING ACTVITIES

Receipts from customers Payments to suppliers

Net cash from operating activities

NET INCREASE (DECREASE) IN CASH

CASH. BEGINNING

CASH, ENDING

Reconciliation of change in net position to cash from operating activities

Operating income (loss) Adjustment to reconcile change in net position to

net cash provided (used) by operating activities Depreciation (Increase) decrease in receivables Increase (decrease) in accounts payable

Net cash from operating activities

$

$

24.944 (33,584) (8.640)

(8,640)

9.801

1.161

$

$_

26.265 (21.949) 4.316

4.316

5.485

9,801

$ (23,404) $ (13.373)

14.714 (203) 253

17.354 286 49

(8.640) _$. 4.316


GRACSON, CASIDAY & Gun i.oin, L L P CERTIFIED PUBLIC ACCOUNTANTS

26


Notes to Financial Statements

June 30, 2013

NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The more significant of the government's accounting policies are descnbed belovi/

1 Reporting Entity

As the governing authority of the Village, for reporting purposes, the Village of Reeves, Louisiana is the financial reporting entity The financial reporting entity consists of (a) the primary government (Village), (b) organizations for which the primary government is financially accountable, and (c) other organizations for which the nature and significance of their relationship with the pnmary government are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete

Governmental Accounting Standards Board Statement No 14 established critena for determining which component units should be considered part of the Village of Reeves, Louisiana for financial reporting purposes The basic critenon for including a potential component unit within the reporting entity is financial accountability The GASB has set forth critena to be considered in determining financial accountability This cntena includes

1 Appointing a voting majority of an organization's governing body, and a The ability of the Village to impose its will on that

organization and/or b The potential for the organization to provide specific

financial benefits to or impose specific financial burdens on the Village

2 Organizations for which the Village does not appoint a voting majority but are fiscally dependent on the Village

3 Organizations for which the reporting entity financial statements could be misleading if data of the organization is not included because of the nature or significance of the relationship

Based upon the application of these cntena, there are no component units included in the Village's reporting entity

2 Basis of Presentation

The accompanying basic financial statements of the Village of Reeves, Louisiana have been prepared in conformity with governmental accounting pnnciples generally accepted in the United States of Amenca The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles The accompanying basic financial statements have been prepared in conformity with GASB Statement 34, "Basic Financial Statements and Management's Discussion and Analysis-for State and Local Governments", issued in June 1999

. . „ Continued GRACSO\, CASII)A> & Gun i.oin, L L P


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June 30, 2013

NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

GASB 63 - "Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position" is adopted for the fiscal year ended June 30, 2013 GASB 63 provides financial reporting guidance for deferred outflows of resources and deferred inflows of resources Concepts Statement No 4, Elements of Financial Statements introduced and defined those elements as a consumption of net assets by the government that is applicable to a future reporting penod and an acquisition of net assets by the government that is applicable to a future reporting penod, respectively Previous financial reporting standards do not include guidance for reporting those financial elements, which are distinct from assets and liabilities Concepts Statement No 4 also identifies net position as the residual of all other elements presented in a statement of financial position This Statement amends the net asset reporting requirements in Statement No 34, Basic Financial Statements - and Management's Discussion and Analysis - for State and Local Governments, and other pronouncements by incorporating deferred outflows of resources and deferred inflows of resources into the definitions of the required components of the residual measure and by renaming that measure as net position, rather than net assets

GASB 65 - "Items Previously Reported as Assets and Liabilities" is adopted for the fiscal year ended June 30, 2013 GASB 65 establishes accounting and financial reporting standards that reclassify, as deferred outflows of resources or deferred inflows of resources, certain items that were previously reported as assets and liabilities and recognizes, as outflows of resources or inflows of resources, certain items that were previously reported as assets and liabilities This Statement amends the financial statement element classification of certain items previously reported as net assets and liabilities to be consistent with the definitions in Concepts Statement No 4 This Statement also provides other financial reporting guidance related to the impact of the financial statement elements deferred outflows of resources and deferred inflows of resources, such as changes in the determination of the major fund calculations and limiting the use of the term deferred in financial statement presentations

Government-Wide Financial Statements

The Statement of Net Position and the Statement of Activities display information about the Village as a whole They include all funds of the reporting entity The statements distinguish between governmental and business-type activities Governmental activities generally are financed through taxes, intergovernmental revenues, and other nonexchange revenues Business-type activities are financed in whole or in part by fees charged to external parties for goods or services

GRACSON, CASIDAY & Gun LOR , LLP Continued CERTIFIED PUBLIC ACCOUNTANTS

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June 30, 2013


The statement of activities presents a comparison between direct expenses and program revenues for each of the functions of the Village's governmental activities and business-type activities Direct expenses are those that are specifically associated with a program or function and, therefore, are clearly identifiable to a particular function Program revenues include (a) fees and charges paid by the recipients of services offered by the Village, and (b) grants and contnbutions that are restncted to meeting the operational or capital requirement of a particular program Revenues that are not classified as program revenues, including all taxes, are presented as general revenues

Fund Financial Statements

The Village uses funds to maintain its financial records dunng the year Fund accounting IS designed to demonstrate legal compliance and to aid management by segregating transactions related to certain Village functions and activities A fund is defined as a separate fiscal and accounting entity with a self-balancing set of accounts The vanous funds of the Village are classified into two categones governmental and propnetary The emphasis on fund financial statements is on major funds, each displayed on a separate column The emphasis on fund financial statements is on major funds, each displayed on a separate column A fund is considered major it if is the pnmary operating fund of the Village or its total assets, liabilities, revenues, or expenditures of the individual governmental and enterpnse fund is at least 10 percent of the corresponding total for all governmental and enterpnse funds of that category or type, and total assets, liabilities, revenues, or expenditures/expenses of the individual governmental or enterpnse fund are at least 5 percent of the corresponding total for all governmental and enterpnse funds combined

The Village reports the following major funds

The General Fund is the pnmary operating fund of the Village It accounts for all financial resources except those that are required to be accounted for in other funds

Continued GRACSON, CASIDAY & Gun LOR>, L L P


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June 30, 2013


The Enterpnse Fund is used to account for operations (a) that are financed and operated in a manner similar to pnvate business enterpnses-where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered pnmanly through user charges, or (b) where the governing body has decided that penodic determination of revenues earned, expenses incurred, and/or net income is appropnate for capital maintenance, public policy, management control, accountability, or other purposes The Village's enterpnse fund accounts for sewer services

3 Measurement Focus/Basis of Accounting

Measurement focus is a term used to descnbe "which" transactions are recorded within the vanous financial statements Basis of accounting refers to "when" transactions are recorded regardless of the measurement focus applied

Measurement Focus

On the government-wide statement of net position and the statement of activities, both governmental and business-type activities are presented using the economic resources measurement focus as defined in item b below In the fund financial statements, the "current financial resources" measurement focus or the "economic resources" measurement focus is used as appropnate

a All governmental funds utilize a "current financial resources" measurement focus Only current financial assets and liabilities are generally included on their balance sheets Their operating statements present sources and uses of available spendable financial resources dunng a given penod These funds use fund balances as their measure of available spendable financial resources at the end of the penod

b The propnetary fund utilizes an "economic resources" measurement focus The accounting objectives of this measurement focus are the determination of operating income, changes in net position (or cost recovery), financial position, and cash flows All assets and liabilities (whether current or noncurrent) associated with their activities are reported Proprietary fund equity is classified as net position

Basis of Accounting

In the government-wide statement of net position and statement of activities, both governmental and business-type activities are presented using the accrual basis of

GRACSON, CASIDAY & Gun I.()R>, LLP Continued CERTIFIED PUBLIC ACCOUNTANTS

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June 30, 2013


accounting Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred or economic asset used Revenues, expenses, gams, losses, assets, and liabilities resulting from exchange and exchange-like transactions are recognized when the exchange takes place

Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting Revenues are recognized as soon as they are both measurable and available Revenues are considered to be available when they are collectible within the current penod or soon enough thereafter to pay liabilities of the current penod For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal penod Expenditures (including capital outlay) generally are recorded when a liability is incurred, as under accrual accounting

The propnetary fund utilizes the accrual basis of accounting Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability IS incurred or economic asset used

4 Budgets

A budget ts adopted on a basis consistent with accounting pnnciples generally accepted in the United States of Amenca for the general fund All annual appropnations lapse at fiscal year end

On or before the last meeting of each year, the budget is prepared by fund, function and activity, and includes information on the past year, current year estimates and requested appropnations for the next fiscal year

The proposed budget is presented to the government's Board of Council for review The board holds a public heanng and may add to, subtract from or change appropnations, but may not change the form of the budget Any changes in the budget must be within the revenues and reserves estimated The budget was amended once dunng the year

5 Cash

Cash includes amounts in demand deposits and time deposits with onginal maturities of 90 days or less Under state law, the Village may deposit funds in demand deposits, interest-beanng demand deposits, money market accounts, or time deposits with state banks organized under Louisiana law and national banks having their pnncipal offices in Louisiana

GRACSON, CASIDAY & Gun lOin, LLP Continued CERTIFIED PUBLIC ACCOUNTANTS

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June 30, 2013


These deposits are stated at cost, which approximates market Under state law, these deposits (or the resulting bank balances) must be secured by federal deposit insurance or the pledge of securities owned by the fiscal agent bank The market value of the pledged securities plus the federal deposit insurance must at all times equal the amount on deposit with the fiscal agent These securities are held in the name of the pledging fiscal agent bank in a holding or custodial bank that is mutually acceptable to both parties At June 30, 2013, the Village has $270,489 in deposits (collected bank balances), of which $250,000 IS secured from nsk by federal deposit insurance and $20,489 is secured by pledged secunty holdings

6 Accounts Receivable

Uncollectible amounts due for sewer charges and other receivables are recognized as bad debts at the time information becomes available which would indicate that the particular receivable is not collectable This method does not result in a charge to bad debt that is matenally different from the amount that would be charged if the reserve method were used

There appears to be concentration of credit nsk with regard to general accounts receivable and more specifically accounts receivable for sewer user fees in the Enterprise Fund The Village's ability to collect the amounts due from the users of the Village's sewer system and others (as reflected on the financial statements) may be affected by significant economic fluctuations, natural disaster or other calamity in this one concentrated geographic location

7 Statement of Cash Flows

For the purpose of the Statement of Cash Flows, for the enterpnse fund, the Village considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents

8 Capital Assets

Capital assets, which include property, plant and equipment, are reported in the applicable governmental or business-type activities columns in the government-wide financial statements Capital assets are capitalized at histoncal cost or estimated cost if historical is not available Donated assets are recorded as capital assets at their estimated fair market value at the date of donation

GRACSON, CASIDAY & Gun i oio, LLP Continued CERTIFIED PUBLIC ACCOUNTANTS

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June 30. 2013


The costs of normal maintenance and repairs that do not add to the value of the asset of matenally extend assets' lives are not capitalized Depreciation of all exhaustible capital assets IS recorded as an allocated expense in the statement of activities, with accumulated depreciation reflected in the statement of net assets Depreciation is provided over the assets' estimated useful lives using the straight-iine method of depreciation The range of estimated useful lives by type of asset is as follows

Buildings 15-40 years Furniture and Equipment 5-10 years Infrastructure 40 years

In the fund financial statements, capital assets used in governmental fund operations are accounted for as capital outlay expenditures of the governmental fund upon acquisition Capital assets used in propnetary fund operations are accounted for the same as in the government-wide statements

9 Equity Classification

In the government-wide statements, equity is classified as net position and displayed in three components

a Net investment in capital assets - Consists of capital assets including restncted capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes, or other borrowings that are attnbutable to the acquisition, construction, or improvement of those assets

b Restncted net position - Consists of net position with constraints placed on the use either by (1) external groups such as creditors, grantors, contnbutors, or laws or regulations of other governments, or (2) law through constitutional provisions or enabling legislation

c Unrestncted net position - All other net position that does not meet the definition of the above mentioned categones

Propnetary fund equity is classified the same as in the government-wide statements

In the fund statements, governmental fund equity is classified as fund balance Fund balance is further classified as restricted, committed, assigned or unassigned

a Restricted - Amounts that can be spent only for specific purposes because of state or federal laws or externally imposed conditions by grantors or creditors

b Committed - Amounts that can be used only for specific purposes determined by a formal action by Board ordinance or resolution

GRACSON, CASIDA-V & GUII.LOR^, L L P CERTIFIED PUBLIC ACCOUNTANTS COntinUed

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June 30, 2013


c Assigned - Includes fund balance amounts that are intended to be used for specific purposes based on internal actions At June 30, 2013, $50,000 has been assigned for sewer system improvements

d Unassigned - Includes positive fund balance within the general fund which has not been classified within the above mentioned categones

10 Sales Tax

Proceeds of a 1 0% sales and use tax (effective January 1, 2010) levied by the Village of Reeves, Louisiana is not dedicated for any special purpose and may be utilized for any lawful purpose

11 Estimates

The preparation of the financial statements in conformity with accounting pnnciples generally accepted in the United States of Amenca requires management to make estimates and assumptions that affect certain reported amounts and disclosures Accordingly, actual results could differ from those estimates

12 Revenues, Expenditures, and Expenses

Program revenues included in the Statement of Activities are denved directly from the program itself or from parties outside the Village's taxpayers or citizenry, as a whole, program revenues reduce the cost of the function to be financed from the Village's general revenues

Revenues

Ad valorem taxes are recorded in the year taxes are due and payable Ad valorem taxes are assessed on a calendar year basis, become due on November 15 of each year, and become delinquent on December 31 The taxes are generally collected in December, January and February of the fiscal year Interest on interest-beanng deposits is recorded or accrued as revenues when earned Substantially all other revenues are recorded when received

Expenditures

The Village pnmary expenditures include salanes and insurance, which are recorded when the liability is incurred Capital expenditures and purchases of vanous operating supplies are regarded as expenditures at the time purchased

GRA(;SON, CASIDAY & Gunu)K>, LLP Continued CERTIFIED PUBLIC ACCOUNTANTS

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June 30. 2013


Other Financing Sources

Transfers between funds that are not expected to be repaid are accounted for as other financing sources (uses) when the transfer is authorized by the Village

13 Subsequent Events

Management has evaluated subsequent events through November 14, 2013, the date the financial statements were available to be issued

14 Comparative Data

Comparative totals for the pnor have been presented in the accompanying financial statements in order to provide an understanding of charges in the Village's financial position and operations

NOTE B - PROPERTY TAXES

For the year ended June 30, 2013, taxes for general purposes were levied on property as follows

Millaqe 5 31

Assessed Valuafions $ 707,540

Taxes Levied $ 3,757

Property tax millage rates are adopted in July of the calendar year in which the taxes are levied and recorded All taxes are due and collectible when the assessment rolls are filed on or before November 15th of the current year, and become delinquent after December 31st Property taxes not paid by February 28th are subject to property lien

G R A C S O N , CASIDA> & Gun LOin, L L P CERTIFIED PUBLIC ACCOUNTANTS

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June 30, 2013

NOTE C - CAPITAL ASSETS

A summary of changes in capital assets for the year ended June 30, 2013 follows

Governmental activities Land Buildings Furniture and Equipment Infrastructure Construction in Progress Totals at historical cost

Less accumulated depreciation for Buildings Furniture and Equipment Infrastructure

Total accumulated depreciation Governmental Activities Capital Assets, Net

Business Type Activities Land Buildings and plant Equipment Totals at historical cost

Less accumulated depreciation for Buildings and plant Equipment

Total accumulated depreciation Business-type Activities Capital Assets. Net

Beginning of Year

$ 40,141 101,197 294,578 332,910 987,696

1,756.522

40,864 210,127

22.652 273.643

$ 731,271 29.208

760.479

255.295 29.103

284,398

$ 476.081

Depreciation expense was charged to governmental General and administrative Police Total

Additions

$ 144,430 60,463

971,459

1,176,352

6,099 31.390 32.747 70.236

$1106.116

$

-

14,608 106

14.714

$ (14.714)

activities as follows

Deletions

$

987,696 987,696

-

.

1 .. 98Lggg

$

-

-

_

$

End of Year

S 40.141 245,627 355.041

1,304,369

1,945.178

46,963 241,517

55.399 343.879

$1,601,299

$ 731,271 29.208

760.479

269.903 29.209

299.112

$ 461.367

$ 38,846 31.390

$ 70.236

Major additions for the year include LCDBG rehabilitation of lift station electrical systems and the MIP street rehabilitation project

GRACSON, CASIDAY & Gun i ORV L L P CERTIFIED PUBLIC ACCOUNTANTS

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June 30, 2013

NOTE D - COMPENSATION/PER DIEM

Total compensation/per diem paid for the year ended June 30, 2013 consisted of the following

Mayor Scott Walker, term expires December 31, 2014 Councilwoman Jeanie MarKway, term expires December 31, 2014 Councilman McKinley Estay, resigned March 2013 Councilman Michael Dotson, term expires December 31, 2014 Councilwoman Denise Clark, temporary position

NOTE E - RISK MANAGEMENT

The Village is exposed to various nsks of loss related to torts, theft of, damage to and destruction of assets, errors and omissions, injuries to employees, and natural disasters The Village maintains commercial insurance coverage covenng each of those nsks of loss Management believes such coverage is sufficient to preclude any significant uninsured losses to the Village Settled claims have not exceeded this commercial coverage in any of the past three fiscal years

NOTE F - SCHEDULE OF INSURANCE COVERAGE

The schedule of insurance coverage as of June 30, 2013 is as follows

Limits Expiration Date

$

$_

12,000 4,200 3,150 4,200

700

24^50

Automobile liability

Commercial general liability Premises/Operations

Products/Completed operation

Medical payments

Fire legal liability

Errors and omissions

Commercial property

Worker's Compensation

$500,000 bodily injury and physical damage

$500,000 per occurrence-bodily injury and physical damage

$500,000 in the aggregate-bodily injury and physical damage

$1,000 per person $10,000 per accident

$50,000 per occurrence

$150,000 building $20,000 contents

May 4. 2014

May 4, 2014

May 4, 2014

May 4, 2014

May 4, 2014

May 4, 2014

December 21, 2013

May 4, 2014

GRACSON, CASIOAV & Gun u m \ . L L P


37

REQUIRED SUPPLEMENTAL INFORMATION

GRACSON, CASIDAY & Gun ixm\, L L P CERTIFIED PUBLIC ACCOUNTANTS

38


Budgetary Companson Schedule - General Fund


Budget

REVENUES Property taxes Franchise taxes Sales tax Occupational license Interest Intergovernmental Fines Miscellaneous

Total Revenues

EXPENDITURES General government Advertisements Bank charges Conference/meetings Contract labor Dues Fuel Insurance Miscellaneous Office supplies Per diem Professional fees Repairs and maintenance Salanes Supplies Taxes Telephone Travel Utilities - city hall

Total General Government Police

Dues Fuel Insurance Miscellaneous Repairs and maintenance Reports Salaries Supplies Taxes Telephone Training Travel

Total Police Capital outlay

Total Expenditures

Original

$ 3.600 10.000 20.000 10,000 2,400

218 000 350.000

-

Final

$ 3.600 10 000 20.000 10 000 2.400

133 000 334.000

-

Actual Vanance

614.000 513.000

2,000 100

4.000 4.000 1.000

26.400 12,000 8.800 24,000 8.000 8.000 38,000 8.000 8.000 6.000 8,000 9.700

176.000

600 12.000

14.000 8.000 90,000 12,016

16.364 4.000

157 000 281.000 614.000

2.000 100

4 000 4.000 1.000

26.400 12.000 8,800 24.000 8.000 8.000 38.000 8.000 10.000 6.000 8.000 9.700

178.000

600 12.000

14.000 8.000

110.000 12,016

16.364 4.000

177.000 196.000 551.000

3,460 10.936 25,869 22 213 1.057

117 790 384,644

15,096

(140) 936

5.859 12213 (1.343) (15 210) 50.644

15.096

581,055

1.104

1.776 1 406 1.424

14,307 26.156

3.180 12.526 24,250 14.025 7 430

42,279 5,771 3,532 6,767 5,034

11.368 182,335

9.723 6.576

638 3,441

11.353 94.054 11.052 8.074 4 725

68.055

896 100

2.224 2,594 (424)

(14,307) 244

8,820 (3.726)

(250) (6.025)

570 (4.279) 2.229 6,468 (767)

2,966 (1.668)

(4,335)

600 2.277

(6.576) (638)

10.559 (3.353) 15.946

964 (8.074) (4 725) 16,384 4.000

149.636 188.656

27.364 7.344

520.627 30.373

Continued

G R A C S O N , CAsn)AY & Gun LOR>, L L P CERTIFIED PUBLIC ACCOUNTANTS

39


Budgetary Comparison Schedule - General Fund - Continued


Budget Original Final Actual Vanance

EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES $

OTHER FINANCING SOURCES (USES) Operating Transfers In (Out) -

NET CHANGE IN FUND BALANCE

FUND BALANCE. BEGINNING 312.128

FUND BALANCE. ENDING $ 312.128

$

$

(38 000)

(38.000)

312.128

274.128

S

$

60,428

(5.000)

55.428

312,128

367,556

$

$

37 682

5.000

42,682

42,662

GRACSON, CASIIMY & Gun lo in , L L P CERTIFIED PUBLIC ACCOUNTANTS

40

G R A G S O N , CASIDAY & GUILLORY, L.L.P. CERTIFIED PUBLIC ACCOUNTANTS

W GEORGE GRAGSON, C PA RICHARD W CASIDAY C P A RAYMOND GUILLORY, JR , C P A GRAHAM A PORTUS. E.A. COY T, VINCENT, C P A . MICHELLE LEE, C P A BRADLEY J CASIDAY, C P A , C V A

JULIA W PORTUS, C P A , KATHRYN BLESSINGTON. C PA. JACKLYN BRANEFF, C.P A

INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT

OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

November 14, 2013

The Honorable Scott Walker, Mayor and the Board of Councilmen

Village of Reeves, Louisiana

We have audited, in accordance v ith 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, the business-type activities and each major fund of the Village of Reeves, Louisiana, as of and for the year ended June 30, 2013, and the related notes to the financial statements, v /hich collectively comprise the Village of Reeves, Louisiana's basic financial statements, and have issued our report thereon dated November 14, 2013.

Internal Control Over Financial Reporting

In planning and performing our audit, v /e considered the Village of Reeves, Louisiana'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 opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Village of Reeves, Louisiana's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the Village'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, detect and correct misstatements on a timely basis. A material weakness is a deficiency, or 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 over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be material weaknesses or, significant deficiencies and therefore, material weaknesses or significant deficiencies were not identified. 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.

145 EAST STREET PO DRAWER 5 847 LAKE CHARLES, LOUISIANA 70602-5847

TEL 1337) 439-198S>| FAX (3371 439-1 366

Village of Reeves, Louisiana November 14, 2013

Compliance and Other Matters

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

Purpose of This Report

The purpose of this report is solely to descnbe 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 considenng the entity's internal control and compliance Accordingly, this communication is not suitable for any other purpose Under Louisiana Revised Statute 24 513, this report is distnbuted by the Legislative Auditor as a public document

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GRACSON, CASIOAV & CUILLOIO, L L P CERTIFIED PUBLIC ACCOUNTANTS

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Schedule of Findings and Responses


Summary of Auditors' Results

Financial Statements

Type of auditors' report issued unqualified

Internal control over financial reporting • Material weaknesses(es) identified*? • Control deficiencies identified that are

not considered to be material weakness(es)'? Noncompliance matenal to financial statements noted*?

ves

yes

yes

X no

X none reported

X no

II -• Findings Relatina to the Financial Statements Which are Required to be Reported in Accordance with Generally Accepted Governmental Auditing Standards

None

III - Findings and Questioned Costs for Federal Awards N/A

IV-Prior Year Findings None

GRACSON, CASIDA-V & Gun LOR>, L L P CERTIFIED PUBLIC ACCOUNTANTS

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Documents

Village of Reeves · 1QS1% lfl.Q% 85% 85% J15 J5 m% iOQ% The Village continues to maintain a high current ratio The current ratio compares current assets to current liabilities and