COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30 1999
I
I
I
I
I
I
I
I
I
I
I
I
I-
I
I.
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
COMPREHENSIVE
ANNUAL FINANCIAL REPORT
FOR THE FISCAL
YEAR ENDED SEPTEMBER 30. 1999
I
I
I
I
I
"I
I
I
I
I
I
I
I
I
I
I
I
I
I
COMPREHENSNE
ANNUAL FINANCIAL REPORT
OF
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
FOR THE
FISCAL YEAR ENDED SEPTEM"BER 30, 1999
PREPARED BY THE
DOWNTOWN MANAGER
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
INTRODUCTORY SECTION
I
I'
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 1999
TABLE OF CONTENTS
Page
INTRODUCTORY SECTION
Table of Contents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1-11
Listing of Clearwater Downtown Development Board Officials . . . . . . . . . . . . . . 111
FINANCIAL SECTION
INDEPENDENT AUDITOR'S REPORT . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
GENERAL PURPOSE FINANCIAL STATEMENTS
COMBINED STATEMENTS - OVERVIEW
Combined Balance Sheet -
All Fund Types and Account Groups ............................ 2
Combined Statement of Revenues, Expenditures and
Changes in Fund Balance - All Governmental Fund Types
3
Combined Statement of Revenues, Expenditures and
Changes in Fund Balance - Budget and Actual -
General Fund ............................................. 4
Notes to Financial Statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
i
Page
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 1999
TABLE OF CONTENTS (CONTINUED)
INDIVIDUAL FUND AND ACCOUNT
GROUP STATEMENT AND SCHEDULE
GENERAL FUND
Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Schedule of Revenues, Expenditures and
Changes in Fund Balances - Budget and Actual . . . . . . . . . . . . . . . . . . . . . 20
GENERAL LONG-TERM DEBT ACCOUNT GROUP
Schedule of General Long-Term Debt. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
REPORT ON COMPLIANCE AND INTERNAL ACCOUNTING CONTROLS
IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Report on Compliance and on Internal Control Over
Financial Reporting Based on an Audit of the General-
Purpose Financial Statements Performed in Accordance
With Government Auditing Standards ............................ 22
Memorandum on Review of Internal Control Structure. . . . . . . . . . . . . . . . . 24
Management's Response ........................................ 30
ii
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
BOARD MEMBERS
Chairperson Glenn Warren
Vice-Chair Les Spits
Treasurer Dwight Matheny
Board Member Al Bitman
Board Member Walt Powell
Board Member Scott Spencer
Board Member Lillian Trickel
EX-OFFICIO MEMBERS
City of Clearwater
Vice Mayor - Commissioner
City of Clearwater
Commissioner
Ed Hooper
J. B. Johnson
iii
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
FINANCIAL SECTION
This section contains the following subsections:
Independent Auditor's Report
General-Purpose Financial Statements
Individual Fund and Account
Group Statement and Schedule
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
~~F--tw-
CERTIFIED PUBLIC ACCOUNTANTS
AND CONSULTANTS
George W; Bollenback, CPA,tAEP
Peter B. Forret, CPA,*PFS, CFP
Michael D. Bollenback, CPA*
Richard A. Cristini, CPA,*CGFM
J. Patrick Callan, CPA*
Janet K. Rosenquist, CPA*
Roderick B. Stuart, CPA,CFP
The Board of Trustees
Clearwater Downtown Development Board
(a component unit of the City of Clearwater, Florida)
Clearwater, Florida
* Regulated by the State of Florida
INDEPENDENT AUDITOR'S' REPORT
We have audited the accompanying general purpose fmancial statements and the individual fund and
account group financial statement and schedules of Clearwater Downtown Development Board
(DDB), a component unit of the City of Clearwater, Florida, as of and for the year ended September
30, 1999, as listed in the table of contents. These financial statements are the responsibility of the
Board's management. Our responsibility is to express an opinion on these financial statements based
on our audit.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit also includes assessing
the accounting principles used and significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that our audit provides a reasonable basis
for our opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the fmancial position of the DDB, as of September 30, 1999, and the results of its
operations for the year then ended, in conformity with generally accepted accounting principles.
Also, in our opinion, the individual fund and account group financial statement and schedules
referred to above present fairly, in all material respects, the financial position of the individual fund
and account group of the DDB as of September 30, 1999, and the results of operation of such fund
for the year then ended, in conformity with generally accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued a report dated January 14,
2000 on our consideration of Clearwater Downtown Development Board's internal control over
financial reporting and our tests of its compliance with certain provisions of laws and regulations.
J3~ Ii.l~ R.II-.
January 14,2000
1
1000 PineUas Street, Clearwater. FL 33756-3433
Website: www.bollenback.com
(727) 446-5858 Fax (727) 443-3389
EMAIl.:cpas@bollenback.com
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
GENERAL-PURPOSE FINANCIAL STATEMENTS
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30. 1999
Governmental Account Totals
Fund Type Group (Memorandum Only)
General
Long-Term
ASSETS AND OTHER DEBITS General Debt 1999
Assets:
Equity in pooled cash $ 86,708 $ $ 86,708
Interest receivable 174 174
Amount to be provided for retirement of
General long-term debt:
Obligation under Participation Agreement 117,723 117,723
TOTAL ASSETS AND OTHER DEBITS $ 86,882 $ 117,723 $ 204,605
LIABILITIES AND EQUITY
Liabilities:
Accounts payable $ 58 $ $ 58
Participation agreement payable 117,723 117,723
Total Liabilities 58 117,723 117,781
Fund balance:
Unreserved:
Undesignated
86,824
86,824
TOTAL LIABILITIES
AND EQUITY
86,882 $
117,723 $
204,605
$
See Notes to Financial Statements.
2
86,824
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE
SEPTEMBER 30. 1999
Governmental
Food Type
General
REVENUES:
Taxes:
Ad valorem
Interest
Miscellaneous
$
135,861
1,909
30,529
TOTAL REVENUES
168,299
EXPENDITURES:
Current:
Economic Development
141,446
TOTAL EXPENDITURES
141,446
EXCESS OF REVENUES
OVER EXPENDITURES
26,853
FUND BALANCE, OCTOBER 1
59,971
FUND BALANCE, SEPTEMBER 30
$
See Notes to Financial Statements.
3
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component lIDit of the City of Clearwater, Florida)
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
GENERAL FUND
FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 1999
VARIANCE
FAVORABLE
BUDGET (UNFAVORABLE) ACTUAL
REVENUES:
Taxes:
Ad valorem
Interest
Miscellaneous
(11,139) $
(91)
30,529
$ 147,000 $
2,000
135,861
1,909
30,529
TOTAL REVENUES
149,000
19,299
168,299
EXPENDITURES:
ClUTent:
Economic Environment
40,095
141,446
181,541
TOTAL EXPENDITURES
40,095
141,446
181,541
EXCESS OF REVENUES OVER
EXPENDITURES
(32,541)
59,394
26,853
FUND BALANCE, OCTOBER 1,
59,971
59,971
FUND BALANCE, SEPTEMBER 30
$
27,430 $
59,394 $
86,824
See Notes to Financial Statements.
4
TillS PAGE INTENTIONALLY LEFT BLANK
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
NOTES TO
FINANCIAL STATEMENTS
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
1.
Summary of Shmificant Accounting Policies
The Clearwater Downtown Development Board (DDB) maintains its accounting
records in accordance with generally accepted accounting principles (GAAP) as applied to
government units. The Governmental Accounting Standards Board (GASB) is the accepted
standard-setting body for establishing governmental accounting and financial reporting
principles. The more significant of the Board's accounting policies are described below:
The Clearwater Downtown Development Board is a political subdivision of the
State of Florida, located in Pinellas County in the Southwest portion of the State.
The DDB was incorporated in 1970 under the provisions of the Laws of Florida,
Chapter 70-635 under a Board of Trustees (Board) structure.
The City of Clearwater, Florida created the Clearwater Downtown Development
Board Special Taxing District through a special referendum election held on February 9,
1971. The purpose of the referendum was to ratify the adoption of Chapter 70-635, Special
Acts of Florida of 1970. The provisions of the Act pemiit the Downtown real property
owners of the City to tax themselves by voting to establish a Special Downtown Tax District.
The DDB's Board is elected by the residents and freeholders of the tax district.
On December 16, 1993 the City Commission adopted Ordinance No. 5510-93. With
this ordinance the City Commission established that the Community Redevelopment Agency
(CRA) shall have the primary responsibility for planning and implementing downtown
redevelopment. The City Commission further declared that the powers of the DDB are to
function as an aid to the CRA.
Reporting Entity - Governmental Accounting Standards Board Statement No. 14
requires that this financial statement present the Clearwater Downtown Development Board
(the component unit) and disclose its primary government, the City of Clearwater, Florida.
Component units generally are legally separate entities for which a primary government is
financially accountable. In addition the primary government is able to impose its will upon
the component unit, or there is a possibility that the component unit may provide specific
financial benefits or impose specific financial burdens on the primary government. The
Board has determined that the DDB is a component unit of the City of Clearwater, Florida.
5
6
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.1999
1.
Summary of Significant Accounting Policies (Continued)
Fund Accounting - The DDB uses funds and account groups to report on its financial
position and the results of its operations. Fund accounting is designed to demonstrate legal
compliance and to aid financial management by segregating transactions related to certain
government functions or activities.
A fund is a separate accounting entity with a self-balancing set of accounts. An
account group, on the other hand, is a financial reporting device designed to provide
accountability for certain assets and liabilities that are not recorded in the funds because they
do not directly affect net expendable available financial resources.
Funds are classified into three categories: governmental, proprietary and fiduciary.
Each category, in turn, is divided into separate "fund types". The following fund types and
account groups are used by the DDB.
GOVERNMENTAL FUNDS
Governmental funds are used to account for all or most of a government's general
activities. The general fund is used to account for all activities of the Board.
ACCOUNT GROUPS
Account Groups are used to establish control and accountability over general fixed
assets, and the unmatured principal of general long-term obligations, which is not associated
with or the obligation of a proprietary fund. Accordingly, the DDB maintains a general long-
term debt account group.
Basis of Accounting - The accounting and financial reporting treatment applied to
a fund is determined by its measurement focus. All governmental funds are accounted for
using a current financial resources measurement focus. With this measurement focus, only
current assets and current liabilities generally are included on the balance sheet. Operating
statements of these funds present increases (i.e., revenues and other financing sources) and
decreases (i.e., expenditures and other financing uses) in net current assets.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
1.
Summary of Significant Accounting Policies (Continued)
The modified accrual basis of accounting is used by all governmental fund types.
Under the modified accrual basis of accounting, revenues are recognized when susceptible to
accrual (Le., when they become both measurable and available). "Measurable'! means the
amount of the transaction can be determined, and "available" means collectible within the
current period or soon enough thereafter to be used to pay liabilities of the current period.
The Board considers property taxes as available if they are collected within 60 days after year
end. A one-year availability period is used for revenue recognition for all other governmental
fund revenues. Expenditures are recorded when the related fund liability is incurred.
Principal and interest on general long-term debt are recorded as fund liabilities when due.
The revenues that are susceptible to accrual are interest revenue.
The Board may report deferred revenue on its combined balance sheet. Deferred
revenues arise when a potential revenue does not meet both the "measurable" and "available"
criteria for recognition in the current period. Deferred revenues also arise when resources are
received by the Board before it has a legal claim to them, as. when grant monies are received
prior to the incurrence of qualifYing expenditures. In subsequent periods, when both revenue
recognition criteria are met, or when the Board has a legal claim to the resources, the liability
for deferred revenue is removed from the combined balance sheet and revenue is recognized.
Budgets - Annual appropriated budgets are legally adopted by the Board on a
budgetary basis forthe General Fund which is controlled on an individual line item level by
the DDB's Board: The Board is authorized to transfer budget amounts within the General
Fund. The budgets are compared to budgetary basis expenditures, whereby encumbrances
are treated as expenditures. The budgetary basis is the actual expenditures adjusted by the
change in the year-end reserve for encumbrances. Budgetary basis expenditures are the same
as actual expenditures in 1999. In instances where budget appropriations and estimated
revenues have been revised during the year, budget data presented in the financial statements
represent final authorized amounts. Unencumbered appropriations are lapsed at year end.
7
8
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 3D. 1999
1.
Summary of Significant Accounting Policies (Continued)
Encumbrances - Encumbrance accounting, under which purchase orders, contracts,
and other commitments for the expenditure of monies are recorded to reserve that portion of
the applicable appropriation, is employed as an extension of formal budgetary integration in
the General Fund. Encumbrances outstanding at year end are reported as reservations of fund
balance since they do not constitute expenditures or liabilities. There were no encumbrances
outstanding as of September 30, 1999.
Cash and Investments - The DDB does not currently maintain accounts with either
financial institutions or brokerages titled under their name. Equity in pooled cash as
presented in these financial statements reflects DDB's equity in the City of Clearwater's
(City's) pooled cash and investments. All investments are governed by the City's Investment
Policy.
The City utilizes a consolidated cash pool to account for cash and investments of all
City funds other than those which are required by ordinance to be physically segregated. The
consolidated cash pool concept allows each participating fwid to benefit from the economies
of scale and improved yield which are inherent to a larger investment pool. Formal
accounting records detail the individual equities of the participating funds. The cash pool
utilizes a single checking account for all receipts and disbursements.
The City has an agreement with its depository bank to provide that all excess cash is
swept daily and automatically into an overnight repurchase agreement which pays interest
at ~% less than the daily federal funds rate (5.01% at September 30,1999), with no
requirement for a minimum compensating balance. The collateral for this continuing
repurchase agreement as of September 30, 1999 was $23,714,700 in Federal National
Mortgage Bonds due November 1, 2028. The collateral securities are being held by the
Bankers Trust Company jointly in the name of the depository bank and the City. Fair value
of the collateral securities was $22,097,357 as of September 30, 1999.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEl\.ffiER 30. 1999
1.
Summaty of Significant Accounting Policies (Continued)
Under City Charter and the current Investment Policy, adopted by the City
Commission on September 7, 1995, consolidated cash pool investments are limited to the
following: United States Government Securities, Certificates of Deposit in Local Banks;
Repurchase Agreements, Savings Accounts in Local Banks, Federal Government Agency
Securities, Municipal bonds (Other than City of Clearwater issues), State of Florida Bonds,
and Municipal Bonds issued by Counties in Florida.
The City utilizes a very conservative investment philosophy when it invests its pooled
cash funds in that the return of the principal is more important than the return on the principal.
The City does not actively trade its portfolio and generally holds investments until maturity.
Through the use of a laddered approach to maturities and by timing maturities to cash needs,
the City does not anticipate the need to sell investments to meet cash flow.
Under the Investment Policy, a performance measure standard has been established
(complying with state law). The performance measure chosen is a weighted average of the
overnight interest rate, and three month, six month, one year, and three year Treasury rates
respectively. For the fiscal year ended September 30, 1999, the performance measure
weighted average is 4.75%. The actual pooled cash earnings performance, before bank
charges, was 5.84%.
Governmental Accounting Standards Board (GASB) Statement Number 3 requires
certain disclosures for deposits and investment, including management's determination of
custodial credit risk, defined as follows:
For deposits, the bank balance must be categorized as follows:
Category 1: Insured or collateralized with securities held by the City or its agent
in the City's name.
9
10
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
1.
Summary of Significant Accounting Policies (Continued)
Category 2: Collateralized with securities held by the pledging financial
institution's trust department or agent in the City's name.
Category 3: Uncollateralized.
F or investments other than deposits, the following categories apply:
Category 1: Insured or registered, or held by the City or its agent in the City's
,name.
Category 2: Uninsured and unregistered, held by the counterparty's (purchasing
agent's) trust department or agent in the City's name.
Category 3: Uninsured and unregistered, held by the counterparty, its trust
department or agent, but not in the <;ity's name.
As described above, the City's depository banking agreement provides for the
investment of all excess cash daily into a collateralized repurchase agreement~ whereby all
deposits deemed to be collected are automatically deposited. City deposits consist of
relatively small cash balances held by Debt Service Trustees and Employee Retirement
Custodians. The bank balances equal the carrying amount for these deposits, and
management's classification of custodial credit risk is indicated in the table below. Because
these amounts are part of the trustee's and custodian's composite account, they are classified
along with investments on the balance sheet.
Managed mutual funds and guaranteed investment contracts are not susceptible to
classification by risk category and are disclosed but not categorized per GASB Statement 3.
Management has classified all other investments into Category 1, with the exception of certain
employee retirement investments which are being held by the financial institution which is also
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
1.
Summary of Significant Accounting: Policies (Continued)
serving as investment manager, and certain escrowed debt service investments which are
being held by the financial institution from which they were purchased. The carrying value
for all investments is fair value in accordance with GASB Statement 31, adopted by the City
during fiscal year 1998. Fair value is the amount at which an investment could be exchanged
in a current transaction between willing parties, other than in a forced or liquidation sale.
A summary of the City's deposits and investments, including the City's assessment
of custodial credit risk, follows:
Fair
Value
Deposit
Credit Risk
Category
I. Consolidated Cash Pool and Component
Unit Deposits and Investments:
U.S. Treasury Notes and Bills
U.S. Agency Securities
Revolving Repurchase Agreements
Accrued Interest on Investments
Cash
Less Outstanding Checks at 9/30/97
Total Cash Pool and Component Unit Equity
II Construction and Debt Service Deposits and
Investments:
U.S. Treasury Notes and Bills
III. Employee Retirement Deposits and Investments:
Cash on Deposit with Custodian
Money Market Accounts
Guaranteed Investment Contracts
Corporate Equity Securities
U.S. Treasury Bonds
Federal Agency bonds
Domestic Corporate Bonds
Mortgage Backed Bonds
Asset Backed Bonds
Total Employee Retirement Investments
Total Deposits and Investments, All Funds
$ 25,853,045
88,919,491
10,952,505
1,523,988"
297,249
(3,693,025)
123,853,253
3,055,581
(5,339,092)
22,560,328
5,000,000
276,134,363
84,737,225
31,237,044
20,209,436
14,281,740
448,821,044
$ 575.729.878
11
Investment
Credit Risk
Category
1
1
1
n/a
n/a
n/a
n/a
1
1
1
1
1
1
12
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.1999
2.
Legal Compliance
Fund Balance - Reserves represent those portions of fund balance not appropriable
for expenditure or legally segregated for a specific future use. Designated fund balances
represent tentative plans for future-use of financial resources.
Budgets - On or before April 30 of each year, the Treasurer submits requests for
appropriation to the Board so that a budget may be prepared. The budget is prepared by fund,
function and activity, and includes information on the past year, current year estimates and
requested appropriations for the next fiscal year.
The proposed budget is presented to the Board for review before August 1. The
Board holds public hearings and may add to, subtract from, or change appropriations, but may
not change the form of the budget. Any changes in the budget must be within the revenues
and reserves estimated as available by the treasurer.
Expenditures may not legally exceed budgeted a13Propriations at the fund level.
During the year, five supplementary appropriations were required.
3.
Property Taxes
Under Florida law, the assessment of all properties and the collection of all county,
municipal and school board property taxes are consolidated in the offices of the County
Property Appraiser and County Tax Collector.
The tax levy of the Board is established by the Pine lias County Commission prior to
October 1 of each year and the Pinellas County Property Appraiser incorporates the Board's
millages into the total tax levy, which includes the Pinellas County School Board tax
requirements. The 1999 millage rate assessed by the Board was 1.00.
All property is reassessed according to its fair market value January 1 of each year.
Each assessment roll is submitted to the Executive Director of the State Board of Revenue for
review to determine if the rolls meet all of the appropriate requirements of State statutes.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
3.
Property Taxes (Continued)
All taxes are due and payable on November 1 of each year or as soon thereafter as the
assessment roll is certified and delivered to the Tax Collector. All unpaid taxes become
delinquent on April 1 following the year in which they are assessed. Discounts are allowed
for early payment at the rate of 4% in the month of November, 3% in the month of December,
2% in the month of January and 1% in the month of February. The taxes paid in March are
without discount.
Delinquent taxes on real property bear interest at 18% per year. On or prior to June
1 following the tax year, certificates are sold for all delinquent taxes on property. After sale,
tax certificates bear interest at 18% per year or at any lower rate bid by the buyer. Application
for a tax deed on any unredeemed tax certificates may be made by the certificate holder after
a period of two years.
Delinquent taxes on personal property bear interest at 18% per year until the tax is
satisfied either by seizure and sale of the property or by the five-year statute of limitations.
Because of the Pinellas County Tax Collector's Office efficient system for selling tax
certificates and remitting the proceeds to the DDB, any delinquent or uncollected property
taxes at year end are immaterial. The DDB's tax calendar is the same as that of the Pinellas
County Board of Commissioners and is as follows:
Valuation Date:
Levy Date:
Due Date:
Lien Date:
January 1
November 1
March 31, succeeding year
April 1, succeeding year
Ad valorem tax revenues for the Clearwater Downtown Development Board for the
fiscal year ended September 30, 1999 were $135,861.
13
14
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEl\IIBER 30. 1999
4.
Risk Management
The Board is exposed to various risks ofloss related to torts; theft of, damage to, and
distribution of assets; errors and omissions; injuries to employees; and natural disasters. In an
effort to reduce the rising costs of commercial insurance, the Board carefully examines
insurance premium quotes and has purchased all of its insurance coverages from commercial
insurance carriers. Settled claims resulting from these risks have not exceeded this commercial
insurance coverage in any of the past three fiscal years.
5.
Budgetarv - GAAP ReDorting Reconciliation
The accompanying financial statements present comparisons of the legally adopted budget
with actual data on a GAAP basis. Accounting principles applied for purposes of developing data
on a budgetary basis did not differ significantly from those used to present financial statements in
conformity with generally accepted accounting principles for the year ended September 30, 1999.
6.
Contingent Liabilities and Commitments
For the year ended September 30, 1999 the DDB did not receive any amounts from
grantor agencies that are subject to audit and adjustment by grantor agencies.
The Board has not entered into any operating leases with scheduled rent increases as
of September 30, 1999.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
7.
Long-Term Debt
On October 11, 1983 the DDB and the Clearwater Redevelopment Agency (CRA)
entered into a Participation Agreement to redevelop a portion of the downtown area through
the acquisition and construction of an office - retail building and parking garage. In
accordance with this downtown redevelopment plan, the DDB (mown as the Participating
Agency) agreed to reimburse the CRA one-half of the costs of the acquisition of the property.
These costs were deemed to be in excess of $650,000. Such reimbursement was to be paid
to the CRA on an annual basis according to the following formula. .
An amount equal to the increment in revenues of the Participating Agency derived
from the above described project, which increment shall be determined annually and shall be
that amount equal to the difference between:
(a) The amount of ad valorem taxes levied each year by the Participating Agency
upon the property described in the attachment to this agreement.
(b) The amount of ad valorem taxes which would have been produced by the rate
upon which the tax is levied each year upon the property described as shown
upon the now effective assessment roll used in connection with the taxation
of such property by the Participating Agency.
These payments have been made by the DDB on a continuing basis since the
execution of the Participation Agreement. It was impracticable for the DDB to determine the
total amount of the payments that were made through the fiscal year ended September 30,
1999. This construction project, which included an office - retail building and parking garage,
became mown as the Atrium Project.
Subsequent to the Original Participation Agreement the Atrium Project was
completed and sold. The CRA and the DDB reached an agreement that the residual equity
from the Atrium Project fund balance of$117,723, the amount still owed by the DDB, should
be redirected to economic development activities.
15
16
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
7.
Long:- Term Debt (Continued)
An interlocal agreement which amended the original Participation Agreement was
entered on October 25, 1999 between the CRA and the DDB.
The term of this new agreement will be from October 1, 1999 through October 1,
2013. The amount of money to be transferred from the DDB to the CRA for purposes of the
economic development activities is $7,848 annually beginning October 1, 1999 and payable
October 1 of each year thereafter until the total amount of $117,723 is paid in full.
It is the intent of the parties that the monies specifically designated for the Atrium
Project be transferred to the CRA by the DDB and redirected for the purposes of economic
development activities, including but not limited to fayade improvement grants, economic
development incentives or special redevelopment projects.
The primary source of debt service for the above obligation is the General Fund's
undesignated fund balance.
Future minimum annual maturities of the above Participation Agreement obligation
are summarized as follows:
Participation
Agreement
2000 $ 7,848
2001 7,848
2002 7,848
2003 7,848
2004 7,848
Thereafter 78,483
$ 117.723
I
I
I
I
I
I
I
I
I
I
'I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTE~ER30. 1999
8.
Administrative Expenditure
On December 15, 1999 the DDB entered another interlocal agreement with the CRA
for administrative services. This agreement modifies a previous agreement which was entered
on April 1, 1999 and extends the term of that original agreement through September 30,2002.
This interlocal agreement requires that the CRA will provide administrative services
to the DDB. The cost of these services for the period from April 15, 1999 through
September 30, 1999 as specified in the original interlocal agreement dated April 1, 1999 was
$19,250.
For the fiscal year ended September 30, 1999, the fees paid by the DDB for
administrative services were as follows:
October 1 - April 14
April 15 - September 30
Total cost of administrative services
$
5,250
19,250
24.500
. $
Beginning October 1, 1999 the DDB shall pay the CRA $39,755 for personnel and
administrative services for the fiscal year ending September 30,2000.
9.
Fees
The various fees paid by the DDB during the fiscal year ended September 30, 1999 were
as follows:
State of Florida Special District Fee
Pinellas County Property Appraiser Fee
Bank. charges
Total fees
$
175
1,491
15
1.681
$
17
18
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 1999
10. Office Facilities
The City of Clearwater provides office space in City Hall as well as the use of office
equipment and furniture to the DDB. The City provides unlimited rent-tree use of these
facilities. These in-kind donations have not been determined and are not recorded in these
financial statements.
D:\08073CAFR99.AUD. wpd
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
INDIVIDUAL FUND STATEMENT
AND SCHEDULES
This financial statement and these schedules provide a more
detailed view of the "general-purpose financial statements"
presented in the preceding section.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
GOVERNMENTAL FUNDS
GENERAL FUND
The General Fund is the general operating fund of the
Board. It is used to account for resources traditionally
associated with government which are not required
legally or by sound financial management to be
accounted for in another fund.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
GENERAL FUND
BALANCE SHEET
SEPTEMBER 30. 1999
ASSETS
Equity in pooled cash $
Interest receivable
TOTAL ASSETS $
LIABILITffiS AND FUND BALANCE
LIABILITffiS:
Accounts payable $
TOTAL LIABILITIES
FUND BALANCE:
Unreserved, undesignated
TOTAL FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE $
See Notes to Financial Statements.
19
86,708 .
174
86,882
58
58
86,824
86,824
86,882
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD I
(a component unit of the City of Clearwater, Florida)
GENERAL FUND I
SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE-BUDGET AND ACTUAL I
FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 1999
V ARlANCE I
FAVORABLE
BUDGET (UNFAVORABLE) ACTUAL I
REVENUES:
Taxes:
Ad Valorem $ 147,000 $ (11,139) $ 135,861
Interest 2,000 (91) 1,909 I
Donations 5,685 5,685
Miscellaneous 5,594 5,594
Contributions - Community Redevelopment Agency 19,250 19,250 I
TOTAL REVENUES 149,000 19,299 168,299
EXPENDITURES: I
Current:
Publications 27,500 3,427 24,073
Design 30,122 17,520 12,602 I
Economic Development 19,750 19,750
Promotions 30,175 14,881 15,294
Consulting 1,800 1,800 I
Administrative 17,500 (7,000) 24,500
Conferences 4,000 2,377 1,623
Office expense 4,000 2,453 1,547 . I
Insurance 280 280
Accounting 3,400 1,800 1,600
Advertising 2,304 (91) 2,395 I
Legal 3,464 1,915 1,549
CRA Atrium Project 7,352 7,352
CRA Increment Payment 24,660 24,660
Fees 2,050 369 1,681 I
Tax Collector 3,184 364 2,820
TOTAL EXPENDITURES 181,541 40,095 141,446 I
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (32,541) 59,394 26,853
I
FUND BALANCE, OCTOBER 1 59,971 59,971
FUND BALANCE, I
SEPTEMBER 30 $ 27,430 $ 59,394 $ 86,824
See Notes to Financial Statements. I
20
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
GENERAL LONG-TERM DEBT ACCOUNT GROUP
To account for general long-term liabilities not
accounted for in proprietary funds and trust funds.
I
I
I
I
I
I
I
, I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
SCHEDULE OF GENERAL LONG-TERM DEBT
SEPTEMBER 30. 1999
Account
Group
General
Long-Term
Debt
AMOUNT TO BE PROVIDED FOR THE
PAYMENT OF GENERAL LONG-TERM DEBT:
Amount to be provided:
Obligation under Participation Agreement
$
117,723
TOTAL TO BE PROVIDED
$
117,723
GENERAL LONG-TERM DEBT PAYABLE:
Obligation under Participation agreement
$
117,723
TOTAL GENERAL LONG-TERM DEBT PAYABLE
$
117,723
See Notes to Financial Statements.
21
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CLEARWATER DOWNTOWN
DEVELOPMENT BOARD
(a component unit of the City of Clearwater, Florida)
REPORT ON
COMPLIANCE AND INTERNAL ACCOUNTING
CONTROLS IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
AND
MEMORANDUM ON REVIEW OF
INTERNAL CONTROL STRUCTURE
September 30, 1999
HOLLENBACK & FORRET, P.A.
Certified Public Accountants
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
REPORT ON
COMPLIANCE AND INTERNAL ACCOUNTING
CONTROLSINACCORDANCEvnTH
GOVERNMENT AUDITING STANDARDS
I
I
I
I
I
I
I
I
I
I
I
I
I
I'
I
I
I
I
I
.
.~.F~',~
CERTIFIED PUBLIC ACCOUNTANTS
AND CONSULTANTS
George ~ Bollenback, CPA,*AEP
Peter B. Forret, CPA,*PFS, CFP
Michael D. Bollenback, CPA *
Richard A. Cristini, CPA,*CGFM
1. Patrick Callan, CPA *
Janet K. Rosenquist, CPA *
Roderick B. Stuart, CPA:CFP
* Regulated by the State of Horida
The Board of Trustees
Clearwater Downtown Development Board
(a component unit of The City of Clearwater, Florida)
Clearwater, Florida
REPORT ON COMPLIANCE AND ON INTERNAL
CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT
OF THE GENERAL-PURPOSE FINANCIAL STATEMENTS
PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
We have audited the general purpose [mancial statements of Clearwater Downtown Development Board
(DDB), a component unit of the City of Clearwater, Florida, as of and for the year ended September 30, 1999,
and have issued our report thereon dated January 14,2000.
We conducted our audit in accordance with generally accepted auditing standards and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller
General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the DDB' s financial statements are free of material
misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts
and grants applicable to federal awards; and grants, including those applicable to grants and aids
appropriations identified in the Schedule of Expenditures of State of Florida Financial Assistance pursuant
to Section 216.349, Florida Statutes and Chapter 10.550, Rules of the Auditor General, noncompliance with
which could have a direct and material effect on the determination of financial statement amounts. However,
providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly,
we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are
required to be reported under Government Auditing Standards.
22
1000 PineUas Street, Clearwater, fL 33756-3433
Website: www.bollenback.com
(727) 446-5858 Fax (727) 443.3389
EMAIL: cpas@bollenback.com
I
The Board of Trustees
Clearwater Downtown Development Board
(a component unit of the City of Clearwater, Florida)
Clearwater, Florida
I
I
I
Internal Control Over Financial Reoorting
I
I
I
In planning and performing our audit, we considered the DDB's internal control over financial reporting in
order to determine our auditing procedures for the purpose of expressing our opinion on the
financial statements and not to provide assurance on the internal control over financial reporting. Our
consideration ofthe internal control over financial reporting would not necessarily disclose all matters in the
internal control over financial reporting that might be material weaknesses. A material weakness is a
condition in which the design or operation of one or more of the internal control components does not reduce
to a relatively low level the risk that misstatements in amounts that would be material in relation to the
[mancial statements being audited may occur and not be detected within a timely period by employees in the
normal course of performing their assigned function. W'e noted no matters involving the internal control over
financial reporting and its operation that we consider to be material weaknesses.
23
I
I
I
I
I
I
I
I
I
I
I
However, we noted other matters involving the internal control over financial reporting that we have reported
to management of the DDB in a separate memorandum dated January 14,2000.
This report is intended for the information of the Pinellas County, Florida Board of County Commissioners,
management, City of Clearwater Commission and the Florida Auditor General.
t~ Ij~tfl.
January 14,2000
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
MEMORANDUM ON REVIEW
OF INTERNAL CONTROL STRUCTURE
September 30, 1999
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
~~.m~
CERTIFIED PUBLIC ACCOUNTANTS
AND CONSULTANTS
George ~ Bollenback, CPA,*AEP
Peter B. Forret, CPA,*PFS, CFP
Michael D. Bollenback, CPA *
Richard A. Cristini, CPA,*CGFM
J.PatTick Callan, CPA *
Janet K. Rosenquist, CPA *
Roderick B. Stuart, CPA,*CFP
* Regulated by the State of Rorida
January 14,2000
The Board of Trustees
Clearwater Downtown Development Board
(a component unit of The City of Clearwater, Florida)
Clearwater, Florida
We have audited the general purpose fmancial statements and the combining, individual fund and account
group financial statements and schedules of the Clearwater Downtown Development Board, (a component
unit of the City of Clearwater, Florida) (DDB), as of and for the year ended September 30, 1999, and have
issued our report thereon dated January 14,2000.
We have issued our Independent Auditor's Report on Compliance an~ Internal Accounting Controls in
Accordance with Government Auditing Standards dated January 14,2000. Disclosures in this report, if any,
should be considered in conjunction with this management memorandum.
We conducted our audit in accordance with generally accepted auditing standards, and Government Auditing
Standards issued by the Comptroller General of the United States. Additionally, our audit was conducted
in accordance with the provisions of Chapter 10.550, Rules of the Auditor General, which govern the conduct
of local governmental entity audits performed in the State of Florida and require that certain items be
addressed in this memorandum.
In planning and performing our audit of the financial statements of the Clearwater Downtown Development
Board, (a component unit of the City of Clearwater, Florida), we considered the DDB's internal control
structure to determine our auditing procedures for the purpose of expressing our opinion on the financial
statements and not to provide assurance on the internal control structure.
24
1000 Pinellas Street, Clearwater, FL 33756-3433
Website: www.bollenback.com
(727) 446-5858 Fax (727) 443.3389
EMAlL: cpas@boUenback.com
25
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
The Board of Trustees
Clearwater Downtown Development Board
(a component unit of The City of Clearwater, Florida)
Clearwater, Florida
However, during our audit we observed several matters that are opportunities for strengthening internal
control and operating efficiency.
We present our observations and recommendations under the following captions for your consideration:
CURRENT YEAR
Budget Amendments and Transfers
Revision Dates
Fidelity Bond
Investment Policy
Travel Policy
Administrative Services
Comments Required by Section 11.45(3)(a)4 of the Florida Statutes and
Rule 10.554(1) of the Florida Auditor General
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CURRENT YEAR
Budget Amendments and Transfers
During the audit we observed that all of the required budget amendments and transfers were approved by the
Board. This was documented in the board meeting minutes. To facilitate the process of recording these
budgetary changes, we recommend that an actual budget resolution be prepared and attached to the minutes.
The resolution should reflect the budget journal entry that is required for the adjustment. This document will
enable the City's accounting staff to properly identify the amendments and transfers that are being adopted
by the Board.
Revision Dates
We recommend that all documents prepared by the DDB contain the date that the document was revised.
The DDB's bylaws were amended during the fiscal year. When staff located what appeared to be the latest
version of these bylaws, we noted that the copy did not have a revision date.
Fidelity Bond
Our review of the insurance coverage confirmation indicated that the Board is currently insured for $20,000
for employee dishonesty. We recommend that the Board perform periodic studies to determine the adequacy
of the insurance coverage. In addition the Board needs to inquire as to whether this policy provides
protection to the members pertaining to their own exposure.
Investment Policy
As of September 30,1999, the DDB had assets of$86,708 which were held by the City of Clearwater as part
of the City's equity in pooled cash. Since the DDB's funds are subject to the City's investment decisions,
we recommend that the Board review and formally adopt the City's investment policy.
26
I
CURRENT YEAR (CONTINUED)
I
I
Travel Policy
I
I
I
I
It is our understanding that Board members travel to attend relevant educational conferences. During the
audit we examined the supporting documentation that was submitted for travel reimbursement. We
recommend thatthe Board adopt a form for travel/expense reimbursement reports. A sample form is attached
to this memorandum for the Board's consideration.
Since the DDB is a special taxing district, travel is subject to the limitations outlined within Chapter 112 of
the State of Florida Statutes.
I
Administrative Services
I
I
In accordance with the interlocal agreement adopted by the Board in April of 1999 the Community
Redevelopment Agency provides the DDB with administrative services for an established fee for
compensation. The scope of duties to be performed are enumerated in the agreement.
27
I
I
I
I
I
I
I
I
I
We were unable to determine from the agreement whether or not leave-time (i.e., vacation, sick, holidays,
or personal days) are accrued compensated absences. Compensated absences are any unused leave time
payable at the time of an employee's retirement. It is our recommendation that the Board request written
indemnification from these costs.
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
CURRENT YEAR (CONTINUED)
Comments Required by Section l1.45(3)(a)4 of the
Florida Statutes and Rule 10.554(1) or the Florida Auditor General
The Rules of the Auditor General (Section 10.554(1)(e)1.) require that we comment as to whether or not
irregularities reported in the preceding annual financial audit report have been corrected. There were no
irregularities disclosed in the preceding annual financial audit report.
The Rules of the Auditor General (Section 10.554(1)(e)2.) require that we comment as to whether or not
recommendations made in the preceding annllal financial audit report have been followed. There were no
recommendations made in the preceding annual financial audit report.
As required by the Rules ofthe Auditor General (Section 10.554(1)(e)3.), the scope of our audit included
a review ofthe provisions of Section 218.503( 1), Florida Statutes, "Determination of Financial Emergency."
In connection with our audit, we determined that the Clearwater Downtown Development Board (a
component unit of the City of Clearwater, Florida), is not in a state of financial emergency as a consequence
of the condition described by Section 218.503(1), Florida Statutes.
As required by the Rules of the Auditor General (Section 10.554(1)(e)4.), we determined that the annual
financial report for the Clearwater Downtown Development Board (a component unit of the City of
Clearwater, Florida) for the fiscal year ended September 30, 1998, was filed with the Department of Banking
and Finance pursuant to Section 218.32, Florida Statutes, and is in agreement with the annual financial audit
report for the fiscal year ended September 30, 1998.
The Rules of the Auditor General (Section 10.554(1)(e)6.,7.,8.,9.) require disclosure in the management
memorandum of the following matters if not already addressed in the auditor's report on the internal control
structure or compliance: recommendations to improve financial management, accounting procedures, and
internal controls; violations of laws, rules, and regulations which mayor may not materially affect the
statements; illegal or improper expenditures which mayor may not materially affect the financial statements;
improper or inadequate accounting procedures; failures to properly record financial transactions; and other
inaccuracies, irregularities, shortage and defalcations discovered by the auditor. Our recommendations are
presented under the heading current year.
28
29
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
********
This memorandum is intended solely for the use of management, City of Clearwater Board of
Commissioners, the Pinellas County, Florida Board of County Commissioners and the State of Florida,
Office of the Auditor General.
We appreciate the courtesy and assistance provided to us by the DDB' s personnel during our audit. We will
review the status of the above comments during our next audit engagement. We have already discussed many
of these comments and suggestions with DDB personnel, and we will be pleased to discuss them in further
detail at your convenience, to perform any additional study of these matters, or to assist you in implementing
the recommendations.
BOLLENBACK & FORRET, P.A.
F:I WPlAuditI08073mgmtmem099.aud,wpd
1
TRAVEL EXPENSE VOUCHER
1
THIS VOUCHER IS FOR:
I
DEXPENSES IN CONNECTION WITH ATTENDANCE AT THE MEETING AT
ON
(Location)
(Date( s))
1
SPONSORED BY
(Meeting Sponsor)
o OTHER
1
1
(Describe Reason for Incurring Expenses)
TRANSPORTATION:
o PRIVATE AUTOMOBILE
MILES AT
PER MILE
$
$
$
$
DATE OF DEPARTURE
DATE OF RETURN
1
o AIRFARE
o TRAIN
o BUS (ATTACH COPY OF TICKED
'I
o RENTACARAT MEETING LOCATION (ATTACH COPY OF BILL)
HOTEL OR MOTEL:
1
o HOTEL OR MOTEL EXPENSE (ATTACH COPY OF BILL)
MEETING REGISTRATION FEE:
$
1
o MEETING REGISTRATION FEE EXPENSE (ATTACH RECEIPT)
DAILY EXPENSES:
$
o NUMBER OF DAYS
X PER DIEM AMOUNT
$
$
I
TOTAL EXPENSES
SETTLEMENT
TOTAL EXPENSES WHICH I INCURRED
$
1
I
LESS THE AMOUNT I RECEIVED AS AN ADVANCE $
(IF ANY)
EQUALS
o REFUND WHICH lOWE, MY CHECK IS ATTACHED $
OR
I
o AMOUNT OWED TO ME. I REQUEST A
REIMBURSEMENT
$
I
I HEREBY CERTIFY THAT THE EXPENSES ON THIS VOUCHER ARE THE PROPER AND ACTUAL EXPENSES WHICH I INCURRED
IN CONNECTION WITH THE TRUST FUND ACTIVITY NOTED ABOVE.
I
DATED THIS
DAY OF
20
1
(Signature of Board Member)
(Address and City)
1
APPROVAL OF VOUCHER:
NAME
SIGNATURE
1
I
I
I
I
I
I
I
I
I
I
I
I
II
I
I
I
I
I
I
MANAGEMENT'S RESPONSE
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
.1
D"
TO:
Glenn Warren, Chairperson
Les Spits, Vice-Chairperson
Dwight Matheny, Treasurer
AI Bitman, Member
Walt Powell, Member
Scott Spencer, Member
Lillian Trickel, Member
Commissioner Ed Hooper, Ex-officio Member
Commissioner J.B. Johnson, Ex-officio Member
Anne Green, DDB Administrato~
April 24, 2000
FROM:
DATE:
RE:
Response to auditor's report and management letter 1998-1999 fiscal year
City Staff has reviewed the auditor's report and management letter for the fiscal year
ending on September 30, 1999. We offer the following comments in response to their
recommendations and observations:
Budaet Amendments and Transfers
During the course of the next fiscal year, we will prepare a budget resolution for the
Chairperson's signature for all budgetary changes.
Revision Dates
Future documents prepared by the DDB will include the date the document was revised.
Fidelitv Bond
The current fidelity bond includes an endorsement that changes the policy and includes
specified non-compensated officers as employees. The schedule identifies all officers
and directors as those covered by the bond.
30
31
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
I
Response to auditor's report and management letter 1998-1999 fiscal year
April 20, 2000
Page Two
Investment Policy
Staff will provide the DDS with the City of Clearwater's investment policy and recommend
they formally adopt this policy.
Travel Policy
Staff will provide the DDS with a travel form for travel/expense reimbursement for their use
and will recommend they formally adopt this form and the limitations outlined within
Chapter 112 of the State of Florida statutes regarding per diem and travel expenditures.
Administrative Services
The staff providing administrative services to the DDS are City of Clearwater employees.
Therefore, the City of Clearwater pays for all compensated absences.
Staff will ensure that the nextk1terlocal agreement will include indemnification language
that explains that the compensateciabsences for those employees performing
administrative services are the responsLbility of the City of Clearwater.