City of Bridgeton School District CAFR 6-30-18
Total Page:16
File Type:pdf, Size:1020Kb
CITY OF BRIDGETON SCHOOL DISTRICT COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2018 29300 CITY OF BRIDGETON SCHOOL DISTRICT Table of Contents Page INTRODUCTORY SECTION Letter of Transmittal 2 Organizational Chart 7 Roster of Officials 9 Consultants and Advisors 10 FINANCIAL SECTION Independent Auditor's Report 12 Required Supplementary Information – Part I Management’s Discussion and Analysis 18 Basic Financial Statements A. District-Wide Financial Statements: A-1 Statement of Net Position 28 A-2 Statement of Activities 29 B. Fund Financial Statements: Governmental Funds: B-1 Balance Sheet 31 B-2 Statement of Revenues, Expenditures and Changes in Fund Balances 32 B-3 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities 33 Proprietary Funds: B-4 Statement of Net Position 34 B-5 Statement of Revenues, Expenses and Changes in Net Position 35 B-6 Statement of Cash Flows 36 Fiduciary Funds: B-7 Statement of Fiduciary Net Position 37 B-8 Statement of Changes in Fiduciary Net Position 38 Notes to the Financial Statements 39 Required Supplementary Information – Part II B. Budgetary Comparison Schedules C-1 Budgetary Comparison Schedule – General Fund 77 C-1a Combining Schedule of Revenues, Expenditures and Changes In Fund Balance – Budget and Actual 90 C-1b Community Development Block Grant – Budget and Actual N/A C-2 Budgetary Comparison Schedule – Special Revenue Fund 98 C-3 Notes to Required Supplementary Information – Part II Budget-to-GAAP Reconciliation 100 i 29300 CITY OF BRIDGETON SCHOOL DISTRICT Table of Contents (Cont’d) Page FINANCIAL SECTION (CONT’D) Required Supplementary Information – Part III L. Schedules Related to Accounting and Reporting for Pensions (GASB 68) L-1 Schedule pf the District’s Proportionate Share of the Net Pension Liability – PERS 102 L-2 Schedule of District Contributions – PERS 103 L-3 Schedule of the District’s Proportionate Share of the Net Pension Liability – TPAF 104 L-4 Schedule of District Contributions – TPAF 105 L-5 Notes to the Required Supplementary Information – Part III GASB 68 Pension Changes 106 Required Supplementary Information - Part IV M. Schedules Related to Accounting and Reporting for OPEB M-1 Schedule of Changes in the School District’s Total OPEB Liability and Related Ratios 108 M-2 Notes to the Required Supplementary Information - Part IV 109 Other Supplementary Information D. School Based Budget Schedules: D-1 Combining Balance Sheet 112 D-2 Blended Resource Fund – Schedules of Expenditures Allocated by Resource Type – Actual 113 D-3 Blended Resource Fund – Schedules of Blended Expenditures – Budget and Actual 121 E. Special Revenue Fund: E-1 Combining Schedule of Program Revenues and Expenditures – Budgetary Basis 158 E-2 Preschool Education Aid Schedule(s) of Expenditures – Budgetary Basis 162 F. Capital Projects Fund: F-1 Summary Schedule of Project Expenditures 165 F-2 Summary Schedule of Revenues, Expenditures, and Changes in Fund Balances 166 F-2a- Schedules of Project Revenues, Expenditures, Project Balance and Project Status 167 2e ii 29300 CITY OF BRIDGETON SCHOOL DISTRICT Table of Contents (Cont’d) Page FINANCIAL SECTION (CONT’D) Other Supplementary Information (Cont’d) G. Proprietary Funds: Enterprise Fund: G-1 Combining Statement of Net Position 173 G-2 Combining Statement of Revenues, Expenses and Changes in Fund Net Position 174 G-3 Combining Statement of Cash Flows 175 Internal Service Fund: G-4 Combining Statement of Net Position N/A G-5 Combining Statement of Revenues, Expenses and Changes in Fund Net Position N/A G-6 Combining Statement of Cash Flows N/A H. Fiduciary Funds: H-1 Combining Statement of Fiduciary Net Position 177 H-2 Combining Statement of Changes in Fiduciary Net Position 178 H-3 Student Activity Agency Fund 179 H-4 Payroll Agency Fund Schedule of Receipts and Disbursements 180 I. Long-Term Debt: I-1 Schedule(s) of Serial Bonds N/A I-2 Schedule of Obligations under Capital Leases 182 I-3 Debt Service Fund Budgetary Comparison Schedule N/A STATISTICAL SECTION (Unaudited) Introduction to the Statistical Section Financial Trends J-1 Net Assets by Component 185 J-2 Changes in Net Position 186 J-3 Fund Balances—Governmental Funds 188 J-4 Changes in Fund Balances—Governmental Funds 189 J-5 General Fund Other Local Revenue by Source 190 Revenue Capacity J-6 Assessed Value and Actual Value of Taxable Property 192 J-7 Direct and Overlapping Property Tax Rates 193 J-8 Principal Property Taxpayers 194 J-9 Property Tax Levies and Collections 195 Debt Capacity J-10 Ratios of Outstanding Debt by Type 197 J-11 Ratios of General Bonded Debt Outstanding 198 J-12 Direct and Overlapping Governmental Activities Debt 199 J-13 Legal Debt Margin Information 200 iii 29300 CITY OF BRIDGETON SCHOOL DISTRICT Table of Contents (Cont’d) Page STATISTICAL SECTION (Unaudited) (Cont’d) Demographic and Economic Information J-14 Demographic and Economic Statistics 202 J-15 Principal Employers 203 Operating Information J-16 Full-time Equivalent District Employees by Function/Program 205 J-17 Operating Statistics 206 J-18 School Building Information 207 J-19 Schedule of Required Maintenance Expenditures by School Facility 208 J-20 Insurance Schedule 209 SINGLE AUDIT SECTION 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 15 K-2 Report on Compliance for Each Major Program and Report on Internal Control over Compliance Required by the Uniform Guidance and State of New Jersey Circular 15-08-OMB 211 K-3 Schedule of Expenditures of Federal Awards, Schedule A 214 K-4 Schedule of Expenditures of State Financial Assistance, Schedule B 218 K-5 Notes to the Schedules of Expenditures of Federal Awards and State Financial Assistance 221 Schedule of Findings and Questioned Costs: K-6 Summary of Auditor’s Results 224 K-7 Schedule of Current Year Findings 226 K-8 Summary Schedule of Prior Year Audit Findings and Questioned Costs as Prepared by Management 227 iv INTRODUCTORY SECTION -1- February 21, 2019 Honorable President and Members of the Board of Education City of Bridgeton School District County of Cumberland, New Jersey Dear Board Members: The comprehensive annual financial report of the City of Bridgeton School District for the fiscal year ended June 30, 2018, 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 Board of Education. 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 the financial position and results of operations of the various funds 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: introductory, financial, statistical and single audit. The introductory section includes this transmittal letter, the District's organizational chart and a list of principal officials. The financial section includes the basic financial statements and schedules, management’s discussion and analysis as well as the auditor's report thereon. The statistical section includes selected financial and demographic information, generally presented on a multi-year basis. 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 for Federal Awards (Uniform Guidance); and State of New Jersey Circular 15-08- OMB, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid. Information related to this single audit, including the auditor's report on the internal control structure and compliance with applicable laws and regulations and findings and questioned costs, are included in the single audit section of this report. -2- 1. REPORTING ENTITY AND ITS SERVICES: The City of Bridgeton School District is an independent reporting entity within the criteria adopted by the GASB as established by NCGA Statement No. 3. All funds of the District are included in this report. The City of Bridgeton Board of Education and all its schools constitute the District's reporting entity. The District provides a full range of educational services appropriate to grade levels Pre-K through 12. These include regular, vocational, bilingual, ESL, and special education for handicapped students. The District completed the 2017-2018 year with an average daily enrollment of 5,914 students, which is 55 students above the previous year's enrollment. The following details the changes in the student enrollment of the District over the last ten years. Student Percent Year Enrollment Change 2017-18 5,914 0.94% 2016-17 5,859 1.79% 2015-16 5,756 1.97% 2014-15 5,645 2.99% 2013-14 5,481 1.63% 2012-13 5,393 1.41% 2011-12 5,318 3.89% 2010-11 5,119 2.54% 2009-10 4,992 4.79% 2008-09 4,764 1.82% 2. ECONOMIC CONDITION AND OUTLOOK: The City of Bridgeton is the County Seat of Cumberland County giving it numerous advantages for State planning and redevelopment efforts. In addition, the City is the home to various County offices, the County Library, County Courthouse, and other public institutions. There is a large available workforce and has continued to explore redevelopment opportunities. Development projects have included physical improvements to the downtown, municipal services and low interest economic development loans. In a further effort to restore commerce to the area, the City has collaborated with surrounding municipalities and the Cumberland County Improvement Authority in multiple projects to improve roadways, improve riverfront areas, restore historical buildings and develop a community center.