School District Pascack Valley Regional
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SCHOOL DISTRICT OF PASCACK VALLEY REGIONAL Pascack Valley Regional High School District Montvale, New Jersey Comprehensive Annual Financial Report For the Fiscal Year Ended June 30,2016 Comprehensive Annual Financial Report of the Pascack Valley Regional High School District Montvale, New Jersey For the Fiscal Year Ended June 30r 2016 Prepared by Pascack Valley Regional High School District Board of Education PASCACK VALLEY REGI I, HTGIJ SCHOOL DISTRICT TABLE OF CONTENTS FISCAL YEAR ED JI INE 10.2016 INTRODUCTORY SECTION (Unaudited) Letter of Transm ittal ...... .l Organizational Char1....... 12 Roster of Officials. 13 Consultants and Advisors t4 FINANCIAL SECTION l5 Independent Auditors' Report t6 Required Supplernentary Information ...,........ 19 Management's Discussion and Analysis (Unaudited) 20 Basic Financial Statements (Sections A. and B.) 31 A, District-Wide Financial Statements 32 A-l Statement of Net Position..... 33 A-2 Statement of Activities ......... 34 B. Fund Financial Statements 36 B-1 Balance Sheet - Governlnental Funds.... J/ B-2 Statement of Revenue, Expenditures and Changes in Fund Balance - Governmental Funds 39 B-3 Reconciliation of the Statement of Reveuue, Expenditures arrd Changes in Fund Balances of Governrnental Funds to the Statelnent of Activities.. ' '.. '... '.... '. 40 B-4 Statement of Net Position - Proprietary Funds 41 B-5 Statement of Revenue, Expenses and Changes in Net Position - Proprietary Funds 42 B-6 Statement of Cash FIows - Proprietary Funds 43 B-1 Statement of Fiduciary Net Position - Fiduciary Funds......,.. 44 B-8 Statement of Changes in Fiduciary Net Position - Fiduciary Funds.'.."". 45 Notes to the Basic Financial Statements 46 Required Supplementary Information (Unaudited) L. Schedules Related to Accounting and Reporting for Pensions (GASB 68) (Unaudited). 79 L-1 Schedule of District's Proportionate Share of the Net Pension Liability - Public Employees Retirement System 79 L-2 Schedule of District Contributions - Public Employees Retirement System....... 80 L-3 Schedule of State's Proportionate Share of the Net Pension I-iability attlibutable to the District - Teachers' Pension and Annuity Fund.'.'."'.' 8t L-4 Schedule of State Contributions - Teachers' Pension and Annuity Fund... 82 Notes to Required Supplernentary Information..".'.",.,. 83 C. Budgetary Comparison Schedules (Unaudited) .84 C-1 Budgetary Comparison Schedule - General Furrd .'..'..... .85 C-2 Combining Budgetary Schedule - Special Revenue Fund '."'."... .99 C-3 Budgetary Comparison Schedule - Notes to Required Supplernentary Information 100 PASCACK ,T,F,Y REGIONAL FIIGH I, DTSTRICT TABLE OF CONTENTS FISCAL YEAR END ED JLINE 30.2016 (Continued) FINANCIAL SECTION (Cont'd) Other Supplementary Schedules (Sections D. to I.) D. School Level Schedules (Not Applicable) 102 E. Special Revenue Fund........... 103 E-1 Cornbining schedule of Revenue and Expenditures special Revenue Fund - Budgetary 8asis.......... r04 E-2 Preschool Education Aid Schedule of Expenditures Special Revenue Fund - Budgetary Basis (Not Applicable) F. Capital Projects Fund....,..... 107 F-1 Summary Schedule of Revenues, Expenditures, and Changes in Fund Balance 108 F-1a Schedule ofProject Revenues, Expenditures, Project Balance and Project Status - Construct and Equip Additions and Renovations to Both High Schools 109 F-1b Schedule ofProject Revenues, Expenditures, Project Balance and Project Status - A Wing HVAC Controls Upgrade at Pascack Hills High School....."' 110 F-1c Schedule ofPloject Revenues, Expenditures, Project Balance and Project Status - A Wing Window Replacernent at Pascack Hills High School..'.'... 111 F-1d Schedule ofProject Revenues, Expenditures, Project Balance and Project Status - D Wing Window Replacernent at Pascack Hills High School'."...' 112 F-le Schedule of Project Revenues, Expenditut'es, Project Balance and Project Status - 54-56 Wing Window Replacernent at Pascack Valley High School'.""'......'...' 113 F-1f Schedule of Project Revenues, Expenditr.rres, Project Balance and Project Status - T2Witrg Window Replacemetrt at Pascack Valley High School..'."'...'.'..'.' 1t4 F-lg Schedule ofProject Revenues, Expenditures, Project Balance and Project Status - Girl's Locker Room and Classroom Renovation at Pascack Valley High School........... 115 G. Proprietary Funds 116 Enterprise Fund: G-1 Combining Statement of Net Position.....' 117 G-2 Combinìng Statement of Revenue, Expenses and Changes in Net Position. 118 G-3 Combining Statement of Cash Flows 119 H. Fiduciary Funds......... 120 H-1 Combining Statement of Fiduciary Net Position 121 H-2 Statement of Changes in Fiduciary Net Position 122 H-3 Student Activity Agency Fund Schedule of Receipts and Disbursements .............. 123 H-4 Student Activity Agency Fund Statement of Activity".'......'.". 124 H-5 Payroll Agency Fund Schedule of Receipts and Disbursements.'.'.........' 125 H-6 Professional Development Costs Agency Fund Schedule of Receipts and Disbursements 126 H-7 E-Learning Agency Fund Schedule of Receipts and Disburselnents 121 Long-Term Debt........... 128 I-1 Schedule of SerialBonds 129 l-2 Schedule of Obligations Under Capital Leases 130 I-3 Debt Service Fund Budgetary Comparison Schedule 131 AL HIGTT SCH TABLE OF CONTENTS FISCAL YEAR ENDED JLINE 30. 20]6 (Continued) STATISTICAL SECTION (Unaudited) J. Statistical Section .132 J-1 Net Position by Cor-r-rponent......,....... .133 J-2 Changes in Net Position .134 J-3 Fund Balances- Governlnental Funds .137 J-4 Changes in Fund Balances- Govet'nmental Funds.... , 138 J-5 General Fund Other LocalRevenue by Source.........,....... 140 J-6 Assessed Value and Actual Value of Taxable Property .141 L1 Direct and Overlapping Property Tax Rates... .143 J-8 Principal Property Tax Payers .145 .T-9 Property Tax Levies and Collections ............, .141 J- I 0 Ratios of Outstanding Debt by Type .149 J-11 Ratios of Net General Bonded Debt Outstanding ......,.. 150 J-12 Ratios of Ovellapping Governmental Activities Debt .151 J-13 Legal Debt Margin Infonnation .152 J-14 Demographic and Economic Statistics .153 J-15 Principal Employers . 155 J-16 Full-Tirne Equivalent Distlict Ernployees by Function/Program .156 J-11 Operating Statistics..... 157 J-18 School Building Information . 158 J-19 Schedule of Required Maintenance for School Facilities . 159 J-20 Insurance Schedule.... 160 K. SINGLE AUDIT SECTION 162 K-1 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 ............... 163 K-2 Independent Auditors' Report on Cornpliance For Each Major State Program and on Internal Control over Compliance........... 165 Schedule of Expenditures of Federal Awards 167 Schedule of Expenditures of State Awards .. .. ... .. .. ... ... 168 Notes to the Schedules of Expenditures of Federaland State Awards...........,.. 169 Schedule of Findings and Questioned Costs 171 Summary Schedule of Prior Audit Findings 113 INTRODUCTORY SECTION Page 1 PASCACK VALLEY REGIONAL HIGH SCHOOL DISTRICT 46 Akers Avenue Montvale, New JerseY 07645-2028 Mr. P. Erik Gundersen Ms. Pamela Baxley Superintendent of Schools Business Administrator/Board Secretary October 28,2076 The Honorable President and Members of the Board of Education Pascack Valley Regional High School District County of Bergen, New Jersey Dear Board Members: It is with pleasure that we submit the Comprehensive Annual Financial Report (CAFR) of the Pascack Valley Regional High School District for the fiscal year ended June 30, 2016. This CAFR includes the District's basic financial statements prepared in accordance with pronouncements of the Governmental Accounting Standards Board. Responsibility for both the accuracy of the data and completeness and fairness of the presentation, including all disclosures, rests with the District. To the best of our knowledge and belief, data presented in this report is accurate in all materials respects and is repofied in a manner designed to present fairly the basic financial statements and results of operations of the District. All disclosures necessary to enable the reader to gain an understanding of the District's financial activities have been included. The Comprehensive Annual Financial Report is presented in four sections as follows: . The Introductory Section contains a Letter of Transmittal, List of Principal Off,rcials, and an Organizational Chart of the School District; o The Financial Section begins with the Independent Auditors' Report and includes the Management's Discussion and Analysis and the Basic Financial Statements and Notes, providing an overview of the School District's financial position and operating results and supplementary schedules providing detailed budgetary information; . The Statistical Section includes selected financial and demographic information, financial trends, and the fiscal capacity of the School District, generally presented on a multi-year basis; o The Single Audit Section - The District is required to undergo an annual single audit in conformity with the provisions of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements þr Federal Awards, and New Jersey's OMB Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid. Information related to this single audit, including the independent auditors' reports on the internal control and compliance with applicable laws, regulations,