City of Marksville, Louisiana
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CITY OF MARKSVILLE, LOUISIANA Financial Report Year Ended June 30,2018 CITY OF MARKSVILLE, LOUISIANA TABLE OF CONTENTS Page INDEPENDENT AUDITORS' REPORT 1 -3 BASIC FINANCIAL STATEMENTS GOVERNMENT -WIDE FINANCIAL STATEMENTS (OWES) Statement of net positions 6 Statement of activities 7 FUND FINANCIAL STATEMENTS (FFS) Balance sheet - governmental funds 9 Reconciliation of the governmental funds balance sheet to the statement of net position 10 Statement of revenues, expenditures and changes in fund balances - governmental funds 11 Reconciliation of the statement of revenues, expenditures and changes in fund balances of governmental funds to the statement of activities 12 Combining statement of net position - proprietary funds 13 Combining statement of revenues, expenses and changes in fund net position- proprietary funds 14 Combining statement of cash flows - proprietary funds 15 NOTES TO FINANCIAL STATMENTS 16-59 REQUIRED SUPPLEMENTARY INFORMATION Budgetary comparison schedules: General Fund 61 1% Sales Tax Special Revenue Fund 62 yi% Sales Tax Special Revenue Fund 63 YiYo Public Safety Sales Tax Fund 64 Schedule of Employer's Share of Net Pension Liability 65 (continued) CITY OF MARKSVILLE, LOUISIANA TABLE OF CONTENTS (continued) Page OTHER SUPPLEMENTARY INFORMATION Supplemental Information Schedules: NONMAJOR GOVERNMENTAL FUNDS Nonmajor Governmental Funds - Combining balance sheet 69 Combining statement of revenues, expenditures and changes in fund balances 70 Nonmajor debt service of funds - Combi ning balance sheet 71 Combining statement of revenues, expenditures and changes in fund balances 72 Other Financial Information: Schedule of number of utility customers 74 Schedule of insurance in force 75 Schedule of Mayor and Board of Alderman 76 Schedule of Compensation, Benefits, and Other Payments to Agency Head 77 OTHER REPORTS Report Required by Government Auditing Standards 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 79-80 Schedule of Audit Results, Findings and Questioned Costs 81 Summary Schedule of prior year audit findings 82 AGREED-UPON PROCEDURES REPORT: Independent Accountants' Report on Applying Agreed-Upon Procedures 84-93 Aloysia C. Ducote, CPA, PC Joan S. Ducote, CPA, PC Hope J. Gagnard, CPA, PC DucoteCertified Public & Accountants Company, * ^ INDEPENDENT AUDITORS' REPORT The Honorable Mayor John Lemoine and The Board of Alderman City of Marksville, Louisiana Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business type activities, each major fiind, and the aggregate remaining fund information of the City of Marksville, Louisiana, as of and for the year ended June 30, 2018, and the related notes to the financial statements, which collectively comprise the City'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 of financial statements that are firee 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 Auditim 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 involved 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 the 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. 1 American Institute of • Members • Society of Louisiana Certified Public Accountants Certified Public Accountants 219 North Washington • Post Office Box 309 • Marksville, Louisiana 71351 • (318) 253-6501 • Fax (318) 253-0721 To Mayor Lemoine and Council City of Marksville Page 2 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, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Marksville, Louisiana, as of June 30,2018, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that budgetary comparison information on pages 61 through 65 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 principally of inquires of management regarding 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 the audit of the basic financial statements. We do not express an opinion or any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or any other form of assurance. The City of Marksville has not presented management's discussion and analysis that the accounting principles generally accepted in the United States of America requires to be presented to supplement the basic financial statements. Such missing information, although not a required part of the basis 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. Our opinion on the basic financial statements is not affected by this missing information. 2 American Institute of • Members • Society of Louisiana Certified Public Accountants Certified Public Accountants 219 North Washington • Post Office Box 309 • Marksville. Louisiana 7135/ • (318)253-6501 • Fax (318) 253-0721 To Mayor Lemoine and Council City of Marksville Page 3 Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City of Marksville, Louisiana's basic financial statements. The accompanying other supplementary information, as presented on pages 69-77 and listed in the table of contents as the combining non-major fund financial statements, the summary of utility service, the listing of insurance in force, the listing of mayor and alderman, and the schedule of compensation, benefits and other payments to agency head are presented for purposes of additional analysis and are not a required part of the basic financial statements. The other supplementary information - combing non-major fund financial statements and the schedule of compensation, benefits and other payments to agency head, are the responsibility of management and were derived form and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the other supplementary information - combing non-major fund financial