Lamp Community Audited Financials FY 14-15
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LAMP, INC. dba LAMP COMMUNITY FINANCIAL STATEMENTS YEAR ENDED JUNE 30, 2015 LAMP, INC. dba LAMP COMMUNITY FINANCIAL STATEMENTS YEAR ENDED JUNE 30, 2015 CONTENTS Page Independent Auditor’s Report ........................................................................ 1 Statement of Financial Position ...................................................................... 3 Statement of Activities ..................................................................................... 4 Statement of Functional Expenses .................................................................. 5 Statement of Cash Flows ................................................................................. 6 Notes to Financial Statements ........................................................................ 7 Supplementary Information .......................................................................... 18 Schedule of Expenditures of Federal and Nonfederal Awards .............................................................................. 19 10990 Wilshire Boulevard 310.873.1600 T 16th Floor 310.873.6600 F Los Angeles, CA 90024 www.greenhassonjanks.com INDEPENDENT AUDITOR’S REPORT To the Board of Directors LAMP, Inc. dba Lamp Community Report on the Financial Statements We have audited the accompanying financial statements of LAMP, Inc. dba Lamp Community (a nonprofit organization) (Lamp), which comprise the statement of financial position as of June 30, 2015, and the related statements of activities, functional expenses and cash flows for the year then ended, and the related notes to the financial statements. 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 an opinion 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 opinion. Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Lamp as of June 30, 2015, and the changes in its net assets and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America. Report on Summarized Comparative Information We have previously audited Lamp’s 2014 financial statements, and we expressed an unmodified audit opinion on those audited financial statements in our report dated March 30, 2015. In our opinion, the summarized comparative information presented herein as of and for the year ended June 30, 2014, is consistent, in all material respects, with the audited financial statements from which it has been derived. An independent member of HLB International, a worldwide network of accounting firms and business advisors. To the Board of Directors LAMP, Inc. dba Lamp Community Other Matters - Supplementary Information Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The accompanying Schedule of Expenditures of Federal and Nonfederal Awards, as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Nonprofit Organizations, is presented for purposes of additional analysis and is not a required part of the financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated, in all material respects, in relation to the financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated February 19, 2016, on our consideration of Lamp’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 Lamp’s internal control over financial reporting and compliance. Green Hasson & Janks LLP February 19, 2016 Los Angeles, California -2- LAMP, INC. dba LAMP COMMUNITY STATEMENT OF FINANCIAL POSITION June 30, 2015 With Summarized Totals at June 30, 2014 ASSETS 2015 2014 Cash and Cash Equivalents$ 38,155 $ 369,631 Restricted Cash - Held for Members 109,278 166,263 Accounts and Other Receivables (Net) 2,575,851 1,007,662 Contributions and Pledges Receivable 175,000 70,000 Prepaid Expenses and Other Assets 175,397 113,377 Property and Equipment (Net) 5,348,656 5,653,619 TOTAL ASSETS $ 8,422,337 $ 7,380,552 LIABILITIES AND NET ASSETS LIABILITIES: Accounts Payable $ 362,495 $ 574,832 Accrued Liabilities 240,276 168,652 Funds Held on Behalf of Members 109,278 166,263 Refundable Advances 853,825 189,725 Line of Credit - 376,607 Notes Payable 2,000,000 1,250,000 TOTAL LIABILITIES 3,565,874 2,726,079 NET ASSETS: Unrestricted - Undesignated 4,510,840 4,584,473 Temporarily Restricted 345,623 70,000 TOTAL NET ASSETS 4,856,463 4,654,473 TOTAL LIABILITIES AND NET ASSETS $ 8,422,337 $ 7,380,552 The Accompanying Notes are an Integral Part of These Financial Statements -3- LAMP, INC. dba LAMP COMMUNITY STATEMENT OF ACTIVITIES Year Ended June 30, 2015 With Summarized Totals For the Year Ended June 30, 2014 Temporarily 2015 2014 Unrestricted Restricted Total Total REVENUE AND SUPPORT: Contracts and Grants$ 7,951,589 $ 797,579 $ 8,749,168 $ 5,757,766 Contributions 726,164 552,000 1,278,164 1,408,725 Apartment Rental Income 127,738 - 127,738 130,745 Other Income 4,104 - 4,104 84,378 Special Events 107,623 - 107,623 71,521 In-Kind Contributions 15,820 - 15,820 66,185 Business Revenue 71,632 - 71,632 62,348 Releases from Purpose Restrictions 1,073,956 (1,073,956) - - TOTAL REVENUE AND SUPPORT 10,078,626 275,623 10,354,249 7,581,668 EXPENSES: Program Services 8,565,944 - 8,565,944 5,941,133 Fundraising 197,015 - 197,015 302,605 Management and General 1,389,300 - 1,389,300 1,105,148 TOTAL EXPENSES 10,152,259 - 10,152,259 7,348,886 CHANGE IN NET ASSETS (73,633) 275,623 201,990 232,782 Net Assets - Beginning of Year 4,584,473 70,000 4,654,473 4,421,691 NET ASSETS - END OF YEAR $ 4,510,840 $ 345,623 $ 4,856,463 $ 4,654,473 The Accompanying Notes are an Integral Part of These Financial Statements -4- LAMP, INC. dba LAMP COMMUNITY STATEMENT OF FUNCTIONAL EXPENSES Year Ended June 30, 2015 With Summarized Totals For the Year Ended June 30, 2014 Support Services Program Management 2015 2014 Services Fundraising and General Total Total Salaries and Member Stipends$ 4,293,034 $ 87,138 $ 604,130 $ 4,984,302 $ 3,695,956 Payroll Taxes and Employee Benefits 1,081,658 10,538 151,853 1,244,049 916,258 TOTAL PERSONNEL COSTS 5,374,692 97,676 755,983 6,228,351 4,612,214 Professional Fees and Outside Services 747,109 19,530 417,792 1,184,431 299,432 Security 433,698 - - 433,698 264,067 Depreciation 283,542 11,895 27,430 322,867 281,069 Rent 297,300 - - 297,300 84,000 Utilities