Mt. Pleasant Public Schools June 30, 2018 PRESENTED BY Jamie - PowerPoint PPT Presentation

Mt. Pleasant Public Schools June 30, 2018 PRESENTED BY Jamie Rivette, CPA, CGFM

Audit Results • Unmodified Opinion – Highest level of assurance – School's financial records and statements are fairly and appropriately presented, and 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. Audit Report Summary prepared by Yeo & Yeo 2

Balance Sheet – Governmental Funds June 30, 2018 2016 Nonmajor Total General Capital Projects Governmental Governmental Fund Fund Funds Funds Assets $ 12,784,549 $ 8,813,805 $ 1,417,043 $ 23,015,397 Liabilities 5,149,514 2,354,691 127,469 7,631,674 Fund Balance 7,635,035 6,459,114 1,289,574 15,383,723 Audit Report Summary prepared by Yeo & Yeo 3

Statement of Revenue, Expenditures and Changes in Fund Balances For the Year Ended June 30, 2018 2016 Nonmajor Total General Capital Projects Governmental Governmental Fund Fund Funds Funds Revenues and other sources $ 41,407,404 $ 162,388 $ 7,747,880 $ 49,317,672 Expenditures and other uses 41,811,440 10,105,443 7,910,391 59,827,274 Change in fund balance (404,036) (9,943,055) (162,511) (10,509,602) Fund balance, beginning of year 8,039,071 16,402,169 1,452,085 25,893,325 Fund balance, end of year $ 7,635,035 $ 6,459,114 $ 1,289,574 $ 15,383,723 Audit Report Summary prepared by Yeo & Yeo 4

General Fund Balance As a Percentage of Expenditures 2016 ‐ 2017 Peers (3,500 – 3,999) 8.33% State 10.39% State, excluding Detroit 10.80% 25.00% 20.32% 18.26% 18.35% 18.49% % General Fund Expenditures 17.73% 20.00% 15.00% 10.00% 5.00% 0.00% 2013 ‐ 14 2014 ‐ 15 2015 ‐ 16 2016 ‐ 17 2017 ‐ 18 Audit Report Summary prepared by Yeo & Yeo 5

General Fund Budget Without Tribal Grants Year Ended June 30, 2018 Original Final % Budget Budget Actual Accurate Revenues and other sources $ 40,310,695 $ 42,092,669 $ 40,709,516 96.7% Expenditures and other uses 40,434,577 42,998,337 40,793,179 94.9% Net change in fund balance (123,882) (905,668) (83,663) Fund balance - beginning 5,714,915 5,714,915 5,714,915 Fund balance - ending $ 5,591,033 $ 4,809,247 $ 5,631,252 Audit Report Summary prepared by Yeo & Yeo 6

General Fund Budget Tribal Grants Year Ended June 30, 2018 Original Final % Budget Budget Actual Accurate Revenues and other sources $ - $ 714,238 $ 714,238 100.0% Expenditures and other uses - 2,704,415 1,034,611 38.3% Net change in fund balance - (1,990,177) (320,373) Fund balance - beginning 2,324,156 2,324,156 2,324,156 Fund balance - ending $ 2,324,156 $ 333,979 $ 2,003,783 Audit Report Summary prepared by Yeo & Yeo 7

General Fund Summary Actual 17-18 Actual 16-17 % Change Revenues and other sources $ 41,407,404 $ 40,684,288 1.8% Expenditures and other uses 41,811,440 39,560,040 5.7% Net change in fund balance $ (404,036) $ 1,124,248 Audit Report Summary prepared by Yeo & Yeo 8

General Fund Revenue Year Ended June 30, 2018 Federal 3% Intermediate State 2% 59% Interdistrict 8% Other Less Than 1% Local 28% Audit Report Summary prepared by Yeo & Yeo 9

General Fund Expenditures Year Ended June 30, 2018 Supporting Services 30% Instruction 66% Capital Outlay 1% Other 3% Audit Report Summary prepared by Yeo & Yeo 10

General Fund Expenditures Detail Year Ended June 30, 2018 Fringes 35% Purchased Services 8% Supplies and Salaries Materials 49% 5% Capital Outlay Other 1% 2% Audit Report Summary prepared by Yeo & Yeo 11

Bond Progress $30,000,000 $26,256,929 $26,419,317 $26,086,256 $25,000,000 $20,000,000 $19,960,203 $15,000,000 $10,000,000 $9,854,760 $5,000,000 $191,084 $ ‐ 2016 2017 2018 Revenue to Date Expenditures to Date Audit Report Summary prepared by Yeo & Yeo 12

MSPERS Rate History 30.00% 27.37% 25.79% 25.78% 24.94% 25.56% 24.46% 24.79% 25.00% 20.66% 20.00% 16.94% 16.54% 15.00% 10.00% 5.00% 0.00% 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 MSPERS Rate Audit Report Summary prepared by Yeo & Yeo 13

Internal Controls No Material Weaknesses No Significant Deficiencies Audit Report Summary prepared by Yeo & Yeo 14

Compliance Major Program – Title I Unmodified Opinion Audit Report Summary prepared by Yeo & Yeo 15

Governance Letter • Required Communication • Management Comments – Athletic Receipts Audit Report Summary prepared by Yeo & Yeo 16

Future Challenges  State economic/political condition  Rising fringe benefit costs  Retirement rate increase  Eroding state revenue sources  Enrollment trends  Pension obligation over $61 million  OPEB obligation over $20 million Audit Report Summary prepared by Yeo & Yeo 17

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