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Single Audit Report, June 30, 2020

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Single Audit Report, June 30, 2020 Single Audit Report June 30, 2020 State of Nevada eidebailly.com State Of Nevada Single Audit Report Table of Contents Year Ended June 30, 2020 Independent Auditor’s Report ................................................................................................................................... 1 Management's Discussion and Analysis .................................................................................................................... 4 Basic Financial Statements Government-wide Financial Statements Statement of Net Position .......................................................................................................................... 14 Statement of Activities................................................................................................................................ 16 Fund Financial Statements Balance Sheet - Governmental Funds ......................................................................................................... 18 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position .................................................................................................................... 19 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds ................. 20 Reconciliation of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities ........................................................ 21 Statement of Net Position - Proprietary Funds .......................................................................................... 22 Statement of Revenues, Expenditures and Changes in Fund Net Position - Proprietary Funds ................ 24 Statement of Cash Flows - Proprietary Funds ............................................................................................ 25 Statement of Fiduciary Net Position - Fiduciary Funds ............................................................................... 27 Statement of Changes in Fiduciary Net Position - Fiduciary Funds ............................................................ 28 Combining Statement of Net Position - Discretely Presented Component Units ............................................. 29 Combining Statement of Activities - Discretely Presented Component Units .................................................. 30 Notes to the Financial Statements .................................................................................................................... 31 Required Supplementary Information Budgetary Comparison Schedule - General Fund and Major Special Revenue Funds ...................................... 87 Notes to the Required Supplementary Information - Budgetary Reporting ..................................................... 89 Pension Plan Information .................................................................................................................................. 90 Postemployment Benefits Other Than Pensions (OPEB) .................................................................................. 93 Schedule of Infrastructure Condition and Maintenance Data .......................................................................... 95 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 ..................................................................... 96 Independent Auditor's Report on Compliance for Each Major Federal Program; Report on Internal Control over Compliance; and Report on the Schedule of Expenditures of Federal Awards Required by the Uniform Guidance .................................................................................... 98 Schedule of Expenditures of Federal Awards ........................................................................................................ 102 Notes to the Schedule of Expenditures of Federal Awards .................................................................................. 141 Schedule of Findings and Questioned Costs .......................................................................................................... 143 Independent Auditor’s Report The Honorable Catherine Byrne, CPA State Controller Carson City, Nevada Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business- type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the State of Nevada, as of and for the year ended June 30, 2020, and the related notes to the financial statements, which collectively comprise the State of Nevada’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 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 opinions on these financial statements based on our audit. We did not audit the financial statements of the following: • the financial statements of the Nevada System of Higher Education, which is a discretely presented component unit, represent 97.54 percent of assets and deferred outflows of resources, 99.57 percent of net position, and 97.64 percent of revenues of the discretely presented component units; • the financial statements of the Self Insurance and Insurance Premiums Internal Service Funds which, in the aggregate, represent less than one percent of the assets and deferred outflows of resources and the net position, and 2.25 percent of the revenues of the aggregate remaining fund information; • the financial statements of the Pension Trust Funds and the Other Employee Benefit Trust Fund – State Retirees’ Fund, which in the aggregate, represent 58.36 percent of the assets and deferred outflows of resources, 58.98 percent of the net position and 28.70 percent of the revenues of the aggregate remaining fund information; What inspires you, inspires us. Let’s talk. | eidebailly.com 1 5441 Kietzke Ln., Ste. 150 | Reno, NV 89511-2094 | T 775.689.9100 | F 775.689.9299 | EOE • the financial statements of the Nevada College Savings Plan – Private Purpose Trust Fund, which represent 35.69 percent of the assets and deferred outflows of resources, 36.67 percent of the net position and 22.49 percent of the revenues of the aggregate remaining fund information; • the financial statements of the Retirement Benefits Investment Fund – Investment Trust Fund, which represent less than one percent of the assets and deferred outflows of resources, net position and revenues of the aggregate remaining fund information. Those statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to the amounts included for the above-mentioned funds and entities, is based solely on the reports of the other auditors. 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 of material misstatement. The financial statements of the Pension Trust Funds, the Insurance Premiums Internal Service Fund and the Retirement Benefits Investment Fund were not audited in accordance with Government Auditing Standards. 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, and the reports of other auditors, is sufficient and appropriate to provide a basis for our audit opinions. Basis for Qualified Opinion on the Government-Wide Governmental Activities, General and Highway Funds – Inventory We were unable to obtain sufficient appropriate audit evidence on the State’s government-wide governmental activities inventory as it relates to the general fund donated personal protective equipment inventory nor the highway fund stockpile inventory. As a result, we were unable to determine whether additional adjustments were necessary
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