NIGER STATE FADAMA Ill AF COORDINATION OFFICE AUDITED REPORTS AND ACCOUNTS FOR THE PERIOD ENDED 31 5r DECEMBER, 2015. I NIGER STATE FADAMA Ill AF COORDINATION OFFICE CONTENTS Page Content 1 Project Management Team 2 Report of Auditors 3-4 Statement of Accounting Policies 5 Balance Sheet 6 Receipt and Payment Account 7 Cash flow Statements 8 Notes to the Financial Statements 9-10 Special Account Reconciliation Statement 11 1 I NIGER STATE FADAMA Ill AF COORDINATION OFFICE PROJECT MANAGEMENT TEAM ENGR. ALIYU USMAN KUTIGI STATE PROJECT COORDINATOR ALHAJI SULEMAN MOHAMMED VASTA AGRONOMIST ALHAJI ABUBAKAR NDAGUYE COMMUNITY DEVELOPMENT OFFICER ALHAJI ABDULKAREEM YUSUSF KONTAGORA ENVIRONMENTAL OFFICER ALHAJI BABA SHABA COMUUNICATION OFFICER ALHAJI SHEHU KUDU MOHAMMED PROJECT ACCOUNTANT MALLAM SHEHU JIBRIN PROCUREMENT OFFICER MALLAM MOHAMMED MUSA ISAH MONITORING AND EVALUATION OFFICER HAJIYA AISHATU S. MOHAMMED PUBLIC PRIVATE PARTNERSHIP OFFICER ALHAJI BABA ISMAILA PROJECT ENGINEER BANKERS UBA PLC PROJECT AUDITORS HARUNA YAHAYA & CO (Chartered Accountants) Ahmadu Bello House Shiroro Road P.O Box 2994 Minna, Niger State Tel: 08078490823 2 Accountants & Tax Pra www.harunayahaya.org e-mail: [email protected] CORPORATE HEAD OFFICE: ABUJA OFFICE: LAGOS OFFICE: KADUNA OFFICE: Ahmadu Bello House, No. 20, Victoria lronsi Crescent, No. 10 , Tafawa Balewa Crescent 4th Floor, Hamza Zayyad House, Shiroro Road, Gwarinpa II Estate, Abuja. Off Adedlran Ogunsanya Street No. 4, Muhammadu Buhari Way, P. O. Box 2994, Minna. Tel: 08078490826. P. 0 . Bax 3043, Surulere, Lagos P. 0 . Box 8607, Kaduna. Tel : 08078490823. Tel: 08078490824. Tel: 08078490825. The Head, PFMU, June 13, 2016 Old Secretariat Block C, Behind Pilgrims Welfare Board , Minna Niger state REPORT OF THE AUDITORS ON THE FINANCIAL STATEMENTS OF THE NIGER STATE FADAMA Ill AF COORDINATION OFFICE FOR THE YEAR ENDED 31 51 DECEMBER. 2015 (CREDIT N0.52930-UNI) We have audited the accompanying project Financial Statements of the World-Bank Assisted Niger State Fadama Ill AF Coordination Office, as at December 31, 2015 for the period 1st January 2015 to 31st December, 2015 ended as set out on pages 6 to 12 and prepared on the basis of the accounting policies on page 5. The project is financed by the IDA, credit number 52930-UNI. Respective responsibilities of the Project Management and Auditors: The World-Bank Assisted Niger State Fadama Ill AF Coordination Office, Project Implementation Unit and Project Management Office coordinate the activities of the project and are as such responsible for the preparation of the Financial Statements. It is our responsibility as Auditors to express an independent opinion, based on our audit, on the Financial Statements and to report our opinion to you . Basis of Opinion We conducted our audit in accordance with International Standards on Auditing and World Bank guidelines. These standards and World Bank guidelines require that we plan and perform the audit to obtain reasonable assurance that the Financial Statements are free of material misstatement. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the Financial Statements. It also includes an assessment of the estimates and judgments made by the project officers in the preparation of the Financial Statements, and whether the accounting policies are appropriate to the project circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the Financial Statements are free of material misstatements, whether caused by fraud , other irregularity or error. In forming our opinion , we also evaluated the overall adequacy of the presentation of the Financial Statements. · 3 Opinion In our opinion, the project Financial Statements give a true and fair view of the financial position and of the cash flow statements of the World-Bank Assisted Niger State Fadama Ill AF Coordination Office for the period ended December 31, 2015, in accordance with the provisions of section 4.01 of the Development Credit Agreement (DCA) and the statement qf Accounting Standards issued by the Financial Reporting Council of Nigeria. The Statement of Expenditure (SOE) are in agreement with the books of accounts, adequate supporting documentation has been maintained to support claims to the World Bank for reimbursements of expenditure incurred and which expenditure are eligible for financing under the credit agreement. The Statement of Special Account: (SA) of the project on page 13 have been prepared on the basis of cash deposits and withdrawals for the purpose of complying with the credit agreement and did show a true and fair view of the beginning and ending balances and the account activity for the period ended 31st December 2015 The Counterpart Funds have been provided in accordance with the financing agreement; and have been properly used for project purpose. Payments from this account are properly backed up by relevant supporting documents and are recorded in the books of account. H runa N. Yahaya, FCA Minna, Nigeria FRC/2013/ICAN/00000002270 June 13, 2016 For: Haruna Yahaya & Co. (Chartered Accountants). 4 NIGER STATE FADAMA Ill AF COORDINATION OFFICE STATEMENT OF ACCOUNTING POLICIES FOR THE YEAR ENDED 31 51 DECEMBER. 2015 The following are the significant accounting policies adopted by World-Bank Assisted Niger State Fadama Ill AF Coordination Office in preparing its project's financial statements. ACCOUNTING CONVENTION The accounts are prepared under the historical cost convention. BASIS OF ACCOUNTING The cash basis is adopted in the preparation of the project's financial statements. INVENTORY Inventories are valued at the lower of cost and net realizable value. DEBTORS Debtors are stated after making specific provision for debts considered doubtful of recovery. FOREIGN CURRENCY Transactions in foreign currencies are converted into Naira at the rates of exchange ruling at the date of each transaction. Balance in foreign currencies are translated into Naira at the exchange rates ruling at the balance sheet date and gains or losses arising on translation are credited to or charge to reserve in the period which they arise. 5 NIGER STATE FADAMA III AF COORDINATION OFFICE BALANCE SHEET AS AT 31ST DECEMBER, 2015 ASSETS NOTES 2015 N Bank Balances 1 72,109,709 Project Development Expenditure: Civil Works 2 153,022,033 Goods & Equipments 3 6,903,064 Tra ining Workshops 4 19,191,730 Consultancy Services 5 14,987,451 Operating Cost 6 39,785,317 Grants & Funds 7 66,769,555 TOTAL ASSETS 372,768,859 FINANCED BY: IDA Credit Loan Account 8 340,731,335 Government Counterpart Account 9 26,656,651 Community Contribution 10 5,380,873 TOTAL LIABILITIES 372,768,859 State Project Cordinator ~ • HeadPFMU ~~~ C'r\ L y--- S \ Project Accountant. __~__,. '------ 6 NIGER STATE FADAMA III AF COORDINATION OFFICE RECEIPTS AND PAYMENTS ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2015. RECEIPTS 2015 N IDA Credit Loan Account 340,731,335 Government Counterpart Account 26,656,651 Community Contribution 5,380,873 372,768,859 PAYMENTS Project Development Expenditure: Civil works 153,022,033 Goods & Equipments 6,903,064 Training Workshops 19,191,730 Consultancy Services 14,987,451 Operating Cost 39,785,317 Grants & Funds 66,769,555 300,659,150 Excess/ (Deficit) of Receipts over Payments IDA Credit Loan Account (State Drawdown Account) 72,065,822 GCA 43,887 Closing Bank balance at the end of the year 72,109,709 7 NIGER STATE FADAMA III AF COORDINATION OFFICE CASHFLOW STATEMENT FOR THE YEAR ENDED 31ST DECEMBER 2015. 2015 N Operating Activities Adjustment for changes in operating Assets: (lncrease)/Decrease in amount due (to) from Government Counterpart Account Cashflow from Operating Activities Investment Activities: Project Development Expenditure: Civil Works 153,022,033 Goods & Equipments 6,903,064 Training Workshops 19,191,730 Consultancy Services 14,987,451 Operating Cost 39,785,317 Grants & Funds 66,769,555 Cashflow used in investing activities 300,659,150 Financing Activities: IDA Credit Loan Account (State Drawdown Account) 340,731,335 Government Counterpart Account 26,656,651 Community Contribution 5,380,873 Cashflow from Financial Activities 372,768,859 Net cash/cash Equivalent 72,109,709 Opening cash balance Closing cash balances 72,109,709 8 NIGER STATE FADAMA III AF COORDINATION OFFICE NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2015. 2015 N 1 Bank Balances Drawdown Account 72,065,822 Government Countapart Account 43 887 72,109,709 2 Civil Works Opening Balance for the year 153,022,033 153,022,033 3 Goods &. Equipments Opening Balance for the year 6,903,064 6,903,064 4 Training Workshops Opening Balance for the year 19,191J30 19,191,730 5 Consultancy Services Opening Balance for the year 14,987,451 14,987,451 6 Operating Cost Opening Balance for the year: Printing & Stationeries 2,497,970 Telephone and Postage 139,000 Repair and Maintenance 4,972,020 Salaries and Allowance 14,036,000 Utilities 35,000 Office supplies 4,282,802 Travel per diem and Allowane (DSA) 11,404,364 Insurance Advertisement 2,397,208 Bank Charges 20,953 39,785,317 9 NIGER STATE FADAMA III AF COORDINATION OFFICE NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31ST DECEMBER 2015. 2015 N 7 Grants & Funds Opening Balance for the year: Capacity Building 18,341,696 Advisory Services & Input Support 48,427,859 66,769,555 8 IDA Credit Loan Amount {State Drawdown Account) Opening Balance 340,731,335 for the year 340,731,335 9 Government Counterpart Account Opening Balance 6,656,651 for the year 20,000,000 26,656,651 10 Community Contribution Opening Balance for the year 5,380,873 5,380,873 10 NIGER STATE FADAMA III AF COORDINATION OFFICE DBAWDOWN ACCOUNT RECONCILIATION STATEMENTS AS AT 31ST DECEMBER 2015.