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Home My WebLink AboutAnnual Expenditure Limitation Report June 30, 2016ANNUAL EXPENDITURE LIMITATION REPORT Year Ended June 30, 2016 TOWN OF MARANA, ARIZONA ANNUAL EXPENDITURE LIMITATION REPORT FOR THE YEAR ENDED JUNE 30, 2016 ContentsPage Independent Accountants' Report1 Annual Expenditure Limitation Report - Part I3 Annual Expenditure Limitation Report - Part II4 Annual Expenditure Limitation Report - Reconciliation6 Notes to the Annual Expenditure Limitation Report8 INDEPENDENT ACCOUNTANTS’ REPORT The Auditor General of the State of Arizona and The Honorable Mayor and Town Council of the Town of Marana, Arizona We have examined the accompanying Annual Expenditure Limitation Report of Town of Marana, Arizona for the year ended June 30, 2016. This report is the responsibility of the Town’s management. Our responsibility is to express an opinion on this report based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence supporting the amounts and disclosures in the report and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. In our opinion, the Annual Expenditure Limitation Report of Town of Marana, Arizona, referred to above, presents, in all material respects, the information prescribed by the uniform expenditure reporting system as described in Note 1. Casa Grande, Arizona December 1, 2016 8IQTI7GSXXWHEPI'EWE+VERHI );EVRIV6SEH)'SGLMWI6SEH)'SXXSR[SSH0ERI 7YMXI7YMXI7YMXI 8IQTI%>7GSXXWHEPI%>'EWE+VERHI%> *E\ *E\ *E\ [[[LIRV]ERHLSVRIGSQ See accompanying notes.3 TOWN OF MARANA, ARIZONA ANNUAL EXPENDITURE LIMITATION REPORT-PART II YEAR ENDED JUNE 30, 2016 GovernmentalEnterprise DescriptionFundsFunds A.Amounts reported on the Reconciliation, Line D59,781,049$ 9,948,432$ B. Less exclusions claimed: 1.Bond proceeds Debt service requirements on bonded indebtedness - - Proceeds from other long-term obligations - - Debt service requirements on other lon-term g - - 2.Dividends, interest, and gains on the sale or redemption of investment securities - - 3.Trustee or custodian - - Grants and aid from the federal government 4. - - 5.Grants, aid, contributions, or gifts from a private agency, organization, or individual, except amounts received in lieu of taxes - - Amounts received from the State of Arizona 6. - - 7.Quasi-external interfund transactions - - Amounts accumulated for the purchase of land, and 8. the purchase or construction of buildings or improvements - - Highway user revenues in excess of those received in 9. fiscal year 1979-80 - - Contracts with other political subdivisions 10 - - 11Refunds, reimbursements, and other recoveries - - 12Voter-approved exclusions not identified above (attach resolution) - - 13Prior years carryforward - - Total exclusions claimed 14 - - C.Amounts subject to the expenditure limitation$59,781,049$9,948,432 See accompanying notes.4 InternalFiduciary Service Funds FundsTotal $4,108,646$- 73,838,127$ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - $4,108,646$- 73,838,127$ 5 TOWN OF MARANA, ARIZONA ANNUAL EXPENDITURE LIMITATION REPORT-RECONCILIATION YEAR ENDED JUNE 30, 2016 GovernmentalEnterprise DescriptionFundsFunds Total expenditures/expenses/deductions and applicable other financing uses, special items, and extraordinary A.items reported within the fund financial statements $ 9,895,92059,781,049$ B.Deductions: 1.Items not requiring use of working capital: Depreciation- 4,472,946 Loss on disposal of capital assets - - Bad debt expense - - Pension Expense- 154,874 2.Expenditures of separate legal entities established under Arizona Revised Statutes-- 3.Present value of net minimum capital lease and installment purchase contract payments recorded as expenditures at inception of the agreements -- 4.Involuntary court judgments-- 5.Total subtractions- 4,627,820 C.Additions: 1.Principal payments on long-term debt- 336,015 2.Acquisition of capital assets- 4,174,338 3.Claims paid in the current year but reported as expenses incurred but not reported in previous years - - 4.Landfill closure and postclosure care costs paid in the current year but reported as expenses in previous years-- 5.Pension Contributions- 169,979 6.Total additions- 4,680,332 D.Amounts reported on Part II, Line A$59,781,049$9,948,432 See accompanying notes.6 InternalFiduciary Service Funds FundsTotal $4,108,646$- 73,785,615$ - - 4,472,946 - - - - - - - - 154,874 - - - - - - - - - - 4,627,820 - - 336,015 - - 4,174,338 - - - - - - - - 169,979 - - 4,680,332 $4,108,646$- 73,838,127$ 7 TOWN OF MARANA, ARIZONA ANNUAL EXPENDITURE LIMITATION REPORT Year Ended June 30, 2016 NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Annual Expenditure Limitation Report (AELR) is presented as prescribed by the Uniform Expenditure Reporting System (UERS), as required by Arizona Revised Statutes §41-1279.07, and in accordance with the voter-approved alternative expenditure limitation adopted May 21, 2013, as authorized by the Arizona Constitution, Article IX, §20 (9). In accordance with the UERS requirements, a note to the AELR is presented below for any exclusion claimed on part II and each subtraction or addition in the Reconciliation that cannot be traced directly to an amount reported in the fund financial statements. All references to financial statement amounts in the following notes refer to the Statement of Revenues, Expenditures, and Changes in Fund Balances for the Governmental Funds, Statement of Revenues, Expenses, and Changes in Net Position for the Proprietary Funds, Statement of Cash Flows for the Proprietary Funds and the Statement of Changes in Fiduciary Net Position for the Fiduciary Funds. NOTE 2 RECONCILIATION DEDUCTIONS AND ADDITIONS The deductions for depreciation and pension expense and the additions for principal payments, the acquisition of capital assets, and pension contributions are all provided in the Statement of Revenues, Expenses, and Changes in Fund Net Position for the proprietary funds and the financial statement footnotes 6, and 7. The addition of $336,015 for principal payments on long-term debt in the Enterprise Funds consists of $207,015 paid on loans payable and $129,000 paid on bonds payable, during the current fiscal year. The addition for the acquisition of capital assets consists of $4,174,338 paid for various capital assets in the Enterprise Funds. The subtraction of $32,455 for pension expense consists of the change in net position liability recognized in the current year in the Enterprise Funds. The addition of $33,296 for pension contributions paid in the current year consists of the required pension contributions made to the Arizona State Retirement System from the Enterprise Funds. 8