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PEMBERTON TOWNSHIP SCHOOL DISTRICT Pemberton, New Jersey County of Burlington COMPREHENSIVE ANNUAL FINANCIAL REPORT for the FISC

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PEMBERTON TOWNSHIP SCHOOL DISTRICT Pemberton, New Jersey County of Burlington COMPREHENSIVE ANNUAL FINANCIAL REPORT for the FISC PEMBERTON TOWNSHIP SCHOOL DISTRICT Pemberton, New Jersey County of Burlington COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2017 COMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE PEMBERTON TOWNSHIP SCHOOL DISTRICT PEMBERTON, NEW JERSEY FOR THE FISCAL YEAR ENDED JUNE 30, 2017 Prepared by Pemberton Township School District Finance Department This page intentionally left blank OUTLINE OF CAFR PAGE INTRODUCTORY SECTION Letter of Transmittal 1 Organizational Chart 7 Roster of Officials 9 Consultants and Advisors 11 FINANCIAL SECTION Independent Auditors' Report 15 REQUIRED SUPPLEMENTARY INFORMATION - PART I Management's Discussion & Analysis 21 BASIC FINANCIAL STATEMENTS A. Government-Wide Financial Statements: A-1 Statement of Net Position 35 A-2 Statement of Activities 36 B. Fund Financial Statements: Governmental Funds: B-1 Balance Sheet 43 B-2 Statement of Revenues, Expenditures & Changes in Fund Balance 44 B-3 Reconciliation of the Statement of Revenues, Expenditures & Changes in Fund Balance of Governmental Funds to the Statement of Activities 45 Proprietary Funds: B-4 Statement of Net Position 49 B-5 Statement of Revenues, Expenditures & Changes in Fund Net Position 50 B-6 Statement of Cash Flows 51 Fiduciary Funds: B-7 Statement of Fiduciary Net Position 55 B-8 Statement of Changes in Fiduciary Net Position 56 Notes to Financial Statements 59 REQUIRED SUPPLEMENTARY INFORMATION - PART II C. Budgetary Comparison Schedules: C-1 Budgetary Comparison Schedule - General Fund 99 C-1a Combining Schedule of Revenues, Expenditures & Changes in Fund Balance - Budget & Actual 107 C-1b Community Development Block Grants - Budget & Actual N/A C-2 Budgetary Comparison Schedule - Special Revenue Fund 115 Notes to the Required Supplementary Information: C-3 Budget-to-GAAP Reconciliation 119 REQUIRED SUPPLEMENTARY INFORMATION - PART III L-1 Schedule of the District's Proportionate Share of the Net Pension Liability Public Employees' Reitrement System 125 L-2 Schedule of District Contributions - Public Employees' Retirement System 126 L-3 Schedule of the District's Proportionate Share of the Net Pension Liability Teachers' Pension and Annuity Fund 127 L-4 Schedule of District Contributions - Teachers' Pension and Annuity Fund 128 Notes to the Required Supplementary Information 131 D. School Based Budget Schedules Fund: D-1 Combining Balance Sheet 137 OUTLINE OF CAFR (Continued) PAGE D-2 Blended Resource Fund - Schedule of Expenditures Allocated by Resource Type - Actual 138 D-2a Schedule of Expenditures Allocated by Resource Type - Actual - Helen Fort/Newcomb 139 D-2b Schedule of Expenditures Allocated by Resource Type - Actual - Emmons 140 D-2c Schedule of Expenditures Allocated by Resource Type - Actual - Harker-Wylie 141 D-2d Schedule of Expenditures Allocated by Resource Type - Actual - Fort Dix 142 D-2e Schedule of Expenditures Allocated by Resource Type - Actual - Crichton 143 D-2f Schedule of Expenditures Allocated by Resource Type - Actual - Denbo 144 D-2g Schedule of Expenditures Allocated by Resource Type - Actual - Busansky 145 D-2h Schedule of Expenditures Allocated by Resource Type - Actual - Stackhouse 146 D-2i Schedule of Expenditures Allocated by Resource Type - Actual - High School 147 D-2j Schedule of Expenditures Allocated by Resource Type - Actual - Early Childhood 148 D-3 Blended Resource Fund - Schedule of Blended Expenditures - Budget & Actual 149 D-3a Schedule of Blended Expenditures - Budget & Actual - Helen Fort/Newcomb 153 D-3b Schedule of Blended Expenditures - Budget & Actual - Emmons 156 D-3c Schedule of Blended Expenditures - Budget & Actual - Harker-Wylie 159 D-3d Schedule of Blended Expenditures - Budget & Actual - Fort Dix 162 D-3e Schedule of Blended Expenditures - Budget & Actual - Crichton 164 D-3f Schedule of Blended Expenditures - Budget & Actual - Denbo 167 D-3g Schedule of Blended Expenditures - Budget & Actual - Busansky 170 D-3h Schedule of Blended Expenditures - Budget & Actual - Stackhouse 172 D-3i Schedule of Blended Expenditures - Budget & Actual - High School 174 D-3j Schedule of Blended Expenditures - Budget & Actual - Early Childhood 177 E. Special Revenue Fund: E-1 Combining Schedule of Revenues & Expenditures - Special Revenue Fund - Budgetary Basis 181 E-2 Preschool Education Aid Schedule(s) of Expenditures - Budgetary Basis 182 F. Capital Projects Fund: F-1 Summary Schedule of Project Expenditures 185 F-2 Summary Schedule of Revenues, Expenditures and Changes in Fund Balance - Budgetary Basis 186 F-2a Schedule of Revenues, Expenditures, Project Balance & Project Status - Budgetary Basis - Classroom Addition to the Fort Dix Elementary School 187 F-2b Schedule of Revenues, Expenditures, Project Balance & Project Status - Budgetary Basis - Window and HVAC Replacements at the Emmons School 188 G. Proprietary Funds: Enterprise Funds: G-1 Schedule of Net Position 193 G-2 Schedule of Revenues, Expenses & Changes in Fund Net Position 194 G-3 Schedule of Cash Flows 195 Internal Service Funds: G-4 Schedule of Net Position 199 G-5 Schedule of Revenues, Expenses & Changes in Fund Net Position 200 G-6 Schedule of Cash Flows 201 H. Fiduciary Funds: H-1 Statement of Fiduciary Net Position 205 H-2 Statement of Changes in Fiduciary Net Position 206 H-3 Student Activity Agency Fund Schedule of Receipts & Disbursements 207 H-4 Payroll Agency Fund Schedule of Receipts & Disbursements 207 I. Long-Term Debt: I-1 Schedule of Serial Bonds N/A I-2 Schedule of Obligations Under Capital Leases N/A I-3 Debt Service Fund Budgetary Comparison Schedule N/A I-4 Schedule of Compensated Absences N/A OUTLINE OF CAFR (Continued) STATISTICAL SECTION (unaudited) PAGE Financial Trends: J-1 Net Position by Component 213 J-2 Changes in Net Position 214 J-3 Fund Balances - Governmental Funds 217 J-4 Changes in Fund Balance - Governmental Funds 218 J-5 Other Local Revenue by Source - General Fund 220 Revenue Capacity: J-6 Assessed Value & Estimated Actual Value of Taxable Property 221 J-7 Direct & Overlapping Property Tax Rates 222 J-8 Principal Property Taxpayers 223 J-9 Property Tax Levies & Collections 224 Debt Capacity: J-10 Ratios of Outstanding Debt by Type 224 J-11 Ratios of General Bonded Debt Outstanding 224 J-12 Direct & Overlapping Governmental Activities Debt 225 J-13 Legal Debt Margin Information 226 Demographic & Economic Information: J-14 Demographic & Economic Statistics 227 J-15 Principal Employers 227 Operating Information: J-16 Full-Time Equivalent District Employees by Function/Program 228 J-17 Operating Statistics 229 J-18 School Building Information 230 J-19 Schedule of Required Maintenance 231 J-20 Insurance Schedule 232 SINGLE AUDIT SECTION K-1 Independent Auditor's 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 235 K-2 Independent Auditor's Report on Compliance for Each Major Program and on Internal Control Over Compliance Required by the Uniform Guidance and New Jersey OMB Circular 15-08 237 K-3 Schedule of Expenditures of Federal Awards, Schedule A 241 K-4 Schedule of Expenditures of State Financial Assistance, Schedule B 243 K-5 Notes to Schedules of Awards and Financial Assistance 245 K-6 Schedule of Findings & Questioned Costs - Summary of Auditor's Results 248 K-7 Schedule of Findings & Questioned Costs - Findings 250 K-8 Summary Schedule of Prior Audit Findings 251 This page intentionally left blank INTRODUCTORY SECTION This page intentionally left blank November 28, 2017 Honorable President and Members of the Board of Education Pemberton Township School District County of Burlington, New Jersey Dear Board Members/Citizens: The Comprehensive Annual Financial Report (CAFR) of the Pemberton Township School District for the fiscal year ended June 30, 2017, is hereby submitted. Responsibility for both the accuracy of the data and completeness and fairness of the presentation, including all disclosures, rests with the management of the Pemberton Township School District. To the best of our knowledge and belief, the data presented in this report is accurate in all material respects and is reported in a manner designed to 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 district as of June 30, 2017, 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. All disclosures necessary to enable the reader to gain an understanding of the district’s financial activities have been included. GAAP requires that management provide a narrative introduction, overview and analysis to accompany the basic financial statements in the form of Management Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The MD&A can be found immediately following the report of the independent auditors. The Comprehensive Annual Financial Report is presented in four sections as follows: Introductory Section: Section contains a Letter of Transmittal, Roster of Officials, Consultants and Advisors, and an Organizational Chart. Financial Section: Section contains the Independent Auditors’ Report and includes the Management’s Discussion and Analysis, the Basic Financial Statements, Required
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