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Home My WebLink About2002TOWN OF SOUTHOLD AUDIT REPORTS December 31, 2002 Albrecht, Viggiano, Zureck & Company, C~rrified Public Accou/vr,~/vrs RECEIVED Southold Town Cled TOWN OF SOUTHOLD AUDIT REPORTS December 31, 2002 TABLE OF CONTENTS Independent Auditors' Report GENERAL PURPOSE FINANCIAL STATEMENTS Combined Balance Sheet All Fund Types, Account Groups and Discretely Presented Component Units .................................................................................. Combined Statement of Revenues, Expenditures and Changes in Fund Balances All Governmental Fund Types and Discretely Presented Component Units ............ Combined Statement of Revenues, Expenditures, and Changes in Fund Balance-Budget and ,Actual: General Fund .................................................................................................... Special Revenue Funds .................................................................................... Notes to Financial Statements .................................................................................... COMBINING INDIVIDUAL FUND STATEMENTS AND SCHEDULES Special Revenue Funds: Combining Balance Sheet .............................................................................. Combining Statement of Revenues, Expenditures and Changes in Fund Balance ........................................................................... Special Districts - Special Revenue Funds: Combining Balance Sheet .............................................................................. Combining Statement of Revenues, Expenditures and Changes in Fund Balance ........................................................................... Fiduciary Funds: Combining Balance Sheet .............................................................................. Discretely Presented Component Units: Combining Balance Sheet .............................................................................. Combining Statement of Revenues, Expenditures and Changes in Fund Balance ........................................................................... Pa,qe 1-2 3 4 5 6 7-25 26 27 28 29 30 31 32 -1- ALBRECHT, VIGGIANO, ZURECK & COMPANY, P.C. CERTIFIED PUBLIC ACCOUNTANTS 25 SUFFOLK COURT HAUPPAUGE, NY 11788 (631) 434-9500 INDEPENDENT AUDITORS'REPORT Town Board Town of Southold Southold, New York We have audited the accompanying general purpose financial statements of the Town of Southold, New York as of and for the year ended December 31, 2002 as listed in the table of contents. These general purpose financial statements are the responsibility of the Town of Southold's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. The financial statements supporting the financial activities of the Town of Southold's discretely presented component units with the exception of one, the Fishers Island Ferry District, were not audited as of the report date, nor were we able to satisfy ourselves as to those financial activities by other auditing procedures. Those financial activities are included in the component unit column and represent 24% and 34% of the assets and revenues, respectively, of the discretely presented component unit column. The financial statements of the Fishers Island Ferry District were audited by other auditors whose report thereon has been furnished to us and in our opinion, insofar as it relates to the amounts included for that one component unit, 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 Amedca 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 general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose 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, except for the effects of such adjustments, if any, as might have been determined to be necessary had the unaudited component units mentioned above, been audited, or had we been able to satisfy ourselves as to those financial activities by other auditing procedures, the general purpose financial statements referred to above present faidy, in all matedal respects, the financial position of the Town of Southold, as of December 31, 2002, and the results of its operations for the year then ended in conformity with U. S. generally accepted accounting principles. -2- Our audit was conducted for the purposes of forming an opinion on the general purpose financial statements taken as a whole. The combining individual fund statements and schedules listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the Town of Southold, New York. Such information, except for the information pertaining to the Town of Southold's discretely presented component units on page 31 and 32 on which we express no opinion, has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is faidy stated in all material respects in relation to the general purpose financial statements taken as a whole. Hauppauge, New York May 16, 2003 GENERAL PURPOSE FINANCIAL STATEMENTS ASSETS Cash and Investments Cash - Restricted - Receiver of Taxes Assessments Receivable Accounts Receivable Due from Other Funds State and Federal Aid Receivable Due from Other Governments Due from Pdmary Government Other Receivables Supply Inventory Prepaid Expenses Deposit Land Buildings Other Improvements Machinery and Equipment Provisions to be made in Future Budgets Total Assets LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable Retained Percentages Agency Liabilities: Deposits Held Other Liabilities Bond Anticipation Notes Payable General Obligation Bonds Payable Due to Other Funds Due to Primary Governments Due to Other Governments Due to Component Units Compensated Absences Judgments and Claims Deferred Revenue Total Liabilities -3- TOWN OF SOUTHOLD COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 31, 2002 FIDUCIARY GOVERNMENTAL FUNDS FUNDS Special Capital Trust and General Revenue Projects Agency ACCOUNT GROUPS General Fixed General Long- Assets Term Debt TOTALS (Memorandum only) Primary Component Government Units TOTALS Memorandum _ only) Reporting Entity $ 2,767,119 $2,039,677 $ 8,690,110 $1,376,549 14,835,027 59,769,372 48,012 133,478 29,832 483,788 6,132,887 201,904 5,590 8,454 2,188 1,376,893 65,660 207,505 1,092 61,445 10,000 $79,361,202 628 $8,372,330 $ 9,131,539 48,799 $1,430,938 $15,816,207 4,298,287 132,389 10,358,939 $30,605,822 $11,471,721 $ 14,873,455 14,835,027 59,769,372 211,322 6,824,169 10,642 1,650,058 48,799 1,092 62,073 10,000 15,816,207 4,298,287 132,389 10,358,939 11,471,721 983,349 $ 15,856,804 14,835,027 59,769,372 510 211,832 6,824,169 16,559 27,201 1,650,058 1,682,401 1,682,401 48,799 1,092 19,304 81,377 10,000 1,817,228 17,633,435 4,579,657 8,877,944 132,389 5,815,788 16,174,727 97,711 11,569,432 · $11,471,721 $140,373,55.~__2 $15,012,507 $155,386,059 $ 559,050 $ 796,630 $ 1,457,284 299,224 6,154,072 54,047,943 1,543,360 8,870 11,020,709 13,276,067 5,711,427 $ 630,356 314 661,227 139,041 75,580,492 6,516,927 12,777,217 1,430,938 $ 7,517,289 2,954,432 1,000,000 11,471,721 $ 2,812,964 $ 83,312 $ 2,896,276 299,224 299,224 630,356 314 11,020,709 7,517,289 6,824,169 54,047,943 1,682,401 2,954,432 1,000,000 18,987,494 63O,356 314 11,020,709 97,711 7,615,000 6,824,169 540 540 54,047,943 1,682,401 2,954,432 1,000,000 1,596,230 20,583,724 107,777,295 1,777,793 109,555,088 FUND EQUITY Investment in Fixed Assets Fund Balances - Reserved: Supply Inventory Prepaid Expenses Insurance Claims Fund Balance (Deficit) - Unreserved: Designated - Ensuing Year's Budget Undesignated Total Fund Equity(Deficit) Total Liabilities and Fund Equity(Deficit) 1,092 61,445 309 227,305 1,186,000 754,100 2,304,868 1,100,994 (3,645,678) 3,780,710 1,855,403 (3,645,678) $79,361,202 $8,372,330 $30,605,822 30,605,822 12,212,673 42,818,495 1,092 61,754 227,305 1,092 61,754 227,305 30,605,822 $ 9,131,539 $1,430,938 $30,605,822 See notes to the financial statements. $11,471,721 1,940,100 10,000 (239,816~ 1,012,041 32,596,257 --13,234,714 $140,373,552~ "~'~,012,507 1,950,100 772,225 45,830,971 $155,386,059 -4- REVENUES Real Property Taxes Other Real Property Tax Items Non-Property Tax Items Departmental Income Intergovernmental Charges Use of Money and Property Licenses and Permits Fines and Forfeitures Sale of Property and Compensation for Loss Miscellaneous Local Sources Interfund Revenues State Aid Federal Aid TOWN OF SOUTHOLD COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES AND DISCRETELY PRESENTED COMPONENT UNITS Year ended December 31, 2002 GOVERNMENTAL FUNDS Special Capital General Revenue Projects TOTALS TOTALS (Memorandum (Memorandum only) only) Pdmary Component Reporting Government Units Entity $12,237,940 $ 4,893,630 85,244 13,380 401,035 113,323 431,743 2,931,896 214,738 1,400 246,707 70,276 210,863 149,646 102,032 135,345 115,619 1,698,069 132,527 $ 3,861,033 155,375 29,772 37,363 7,000 4,852 72,935 504,097 119,380 $ 17,131,570 $ 1,468,968 $18,600,538 98,624 210 98,834 514,358 514,358 3,363,639 1,585,907 4,949,546 4,077,171 6,273 4,083,444 472,358 51,643 524,001 360,509 360,509 102,032 102,032 165,117 165,117 159,982 75,069 235,051 4,852 4,852 2,275,101 17,667 2,292,768 251,907 55,587 307,494 Total Revenues 16,011,862 8,437,853 4,527,505 28,977,220 3,261,324 32,238,5'!4 EXPENDITURES General Government Support Public Safety Public Health Transpodation Economic Assistance and Opportunity Home and Community Services Culture and Recreation Employee Benefits Debt Service Principal and Interest Total Expenditures Excess {Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses) Debt Proceeds Operating Transfers In Operating Transfers Out Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses Fund Balance at Beginning of Year Fund Balances(Defidt) at End of Year 3,561,142 42,783 2,890,752 6,494,677 85,180 6,579,857 5,806,827 875,303 6,682,130 6,682,130 33,288 6,161 39,449 62,583 102,032 341,671 2,550,776 28~,661 3,176,108 1,478,413 4,654,521 730,553 730,553 730,553 350,121 351,498 701,619 486,585 1,188,204 315,764 2,973,763 5,389,355 8,678,882 620,273 9,299,155 3,616,745 566,552 4,183,297 13,527 4,196,824 1,550,447 712,859 144,054 2,407,360 79,768 2,487,128 16,306,558 7,728,197 (294,696) 709,656 9,059,320 (4,531,815) 1,144,702 255,000 1,399,702 (3,132,113) (513,565) $ (3,645,678) 33,094,075 2,826,329 35,920,404 (4,116,855) 434,995 (3,681,860) 1,780,257 (1,021,931) (808,326) 758,326 (808,326) 1,144,702 1,144,702 2,035,257 2,035,257 (1,830,257) (205,000) (2,035,257) 1,349,702 (205,000) 1,144,702 463,630 (98,670) 3,317,080 1,954,073 $ 3,780,710 '$ 1,855,403 (2,767,153) 229,995 (2,537,158) 4,757,588 792,046 5,649,634 $ 1,990,435 $ 1,022,041 $ 3,012,476 See notes to the financial statements. -5- TOWN OF SOUTHOLD COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL GENERAL FUND Year ended December 31, 2002 Bud(jet Actual REVENUES Real Property Taxes $12,237,940 Other Real Property Tax Items 40,000 Non-Property Tax Items 365,000 Departmental Income 484,954 Intergovernmental Charges 165,010 Use of Money and Property 458,418 Licenses and Permits 176,050 Fines and Forfeitures 90,500 Sale of Property and Compensation for Loss 47,600 Miscellaneous Local Sources 173,773 State Aid 965,602 Federal Aid 147,834 Total Revenues Variance Favorable (UnfavorableI 15,352,681 16,011,862 $12,237,940 $ 85,244 45,244 401,035 36,035 431,743 (53,211 ) 214,738 49,728 246,707 (211,711 ) 210,863 34,813 102,032 11,532 135,345 87,745 115,619 (58,154) 1,698,069 732,467 132,527 (15,307) 659,181 EXPENDITURES General Government Support Public Safety Public Health Transportation Economic Assistance and Opportunity Culture and Recreation Home and Community Services Employee Benefits Debt Service - Principal and Interest Total Expenditures 4,001,809 3,561,142 440,667 6,130,059 5,806,827 323,232 33,300 33,288 12 375,800 341,671 34,129 812,942 730,553 82,389 366,900 350,121 16,779 351,645 315,764 35,881 3,960,350 3,616,7.45 343,605 1,786,100 1,550,447' 235,653 17,818,905 16,306,558 1,512,347 (2,466,224) (294,696) 2,171,528 Deficiency of Revenues Over Expenditures Other Financing Sources (Uses) Operating Transfers In Operating Transfers Out Total Other Financing Sources (Uses) 2,110,323 1,780,257 (330,066) (1,224,900) (1,021,931) 202,969 885,423 758,326 (127,097) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses Fund Balance at Beginning of Year Fund Balance at End of Year $ (1,580,_ _801) 463,630 $ 2,044,431 3,317,080 $ 3,780,710 See notes to the financial statements. -6- TOWN OF $OUTHOLD COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL SPECIAL REVENUE FUNDS Year ended December 31, 2002 Budget Actual REVENUES Real Property Taxes $ 4,891,370 Other Real Property Tax Items 1,650 Non-Property Tax Items 100,000 Departmental Income 2,088,450 Intergovernmental Charges 447,700 Use of Money and Property 161,700 Licenses and Permits 135,000 Sale of Property and Compensation for Loss 114,000 Miscellaneous Local Sources 15,000 Interfund Revenues State Aid 296,368 Federal Aid Variance Favorable (Unfavorable) $ 4,893,630 $ 2,260 13,380 11,730 113,323 13,323 2,931,896 843,446 1,400 (446,300) 70,276 (91,424) 149,646 14,646 29,772 (84,228) 37,363 22,363 4,852 4,852 72,935 (223,433) 119,380 119,380 Total Revenues 8,251,238 8,437,853 186,615 EXPENDITURES General Government Support Public Safety Public Health Transportation Culture and Recreation Employee Benefits Debt Service - Principal and Interest Total Expenditures 54,000 42,783 11,217 937,108 875,303 61,805 6,200 6,161 39 3,013,452 2,550,776 462,676 3,003,820 2,973,763 30,057 703,182 566,552 136,630 828,230 712,859 115,371 8,545,992 7,728,197 817,795 (294,754) 709,656 1,004,410 Excess (Deficiency) of Revenues Over Expenditures Other Financing Uses Operating Transfers Out Total Other Financing Uses (907,900) ~ 99,574 (907,900) ~ 99,574 Excess (Deficiency) of Revenues Over Expenditures and Other Uses Fund Balance at Beginning of Year Fund Balance at End of Year $(1,202,654) (98,670) $ 1,103,984 1,954,073 $ 1,855,403 See notes to the financial statements. -7- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 A. Summary of Significant Accounting Policies The financial statements of the Town of Southold have been prepared in conformity 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 government's accounting policies are described below. 1. Financial Reporting Entity The Town of Southold, which was established in 1640, is govemed by its Charter, the Local Municipal Law and other general laws of the State of New York and various local laws. The Town Board is the legislative body responsible for overall operations, the Supervisor serves as Chief Executive Officer and as Chief Fiscal Officer. Basic services provided include public safety, health, transportation, economic assistance and opportunity, culture and recreation, and home and community services. All governmental activities and functions performed for the Town are its direct responsibility. No other governmental organizations have been included or excluded from the reporting entity. The financial reporting entity consists of (a) the primary government which is the Town of Southold, (b) organizations for which the primary govemment is financially accountable and (c) other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete as set forth in GASB Statement 14. The decision to include a potential component unit in the Town's' reporting entity is based on several criteria set forth in GASB 14 including legal standing, fiscal dependency, and financial accountability. Based on the application of these criteria, the following is a brief review of certain entities considered in determining the Town of Southold's reporting entity. Certain special districts of the Town of Southold provide sanitation, ferry, and park services to residents and businesses within the districts. These special districts are organized under New York State Town law and have separately elected boards. Long- term debt backed by the full faith and credit of the Town and other financial matters result in a fiscal interdependency with the Town. Accordingly, these special districts have been determined to be component units of the Town of Southold and are presented discretely in a separate column in the combined financial statements to emphasize that they are legally separate from the primary government. These districts include the following: -8- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 A. Summary of Significant Accountin.q Policies (continued) 1. Financial Reporting Entity (continued) The Fishers Island Ferry District, established in 1947 Orient Mosquito District, established in 1916 Fishers Island Garbage and Refuse District, established in 1952 Cutchogue-New Suffolk Park District, established in 1953 Orient-East Madon Park District, established in 1969 Southold Park District, established in 1907 Mattituck Park District, established in 1941 Complete financial statements of these component units can be obtained from their respective administrative offices: Orient Mosquito District Main Road Orient, NY 11957 Fishers Island Garbage & Refuse District Fishers Island, NY 06390 Cutchogue-New Suffolk Park District P.O. Box 311 Cutchogue, NY 11935 Orient-East Marion Park District Route 25 Odent, NY 11957 Southold Park District P.O. Box 959 Southold, NY 11971 Mattituck Park District P.O. Box 1413 Mattituck, NY 11952 Fishers Island Ferry District Main Street Southold, NY 11971 2. Fund Accountin.q The Town of Southold 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, however, 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. The Town records its transactions in the fund types and account groups described below: -9- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 A. Summary of Significant Accounting Policies (continued) 2. Fund Accounting (continued) Fund Categories Governmental Funds - Governmental funds are those through which most governmental functions are financed. The acquisition, use and balance of expendable financial resources and the related liabilities are accounted for through governmental funds. The measurement focus of the governmental funds is upon determination of financial position and changes in financial position. The following are the Town's governmental fund types. General Fund - the principal operating fund which includes all operations not required to be recorded in other funds. Special Revenue Funds - used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for specific purposes. The following Special Revenue Funds are utilized: Hiqhway Funds - To maintain and operate highways. General Fund Part Town - To provide general services outside the Village of Greenport. Special Grant Fund - Segregate and account for projects funded by Community Development revenue. Special District Funds - To provide special services to areas that encompass less than the whole town. Capital Projects Fund - used to account for financial resources'to' be used for the acquisition or construction of major capital facilities (other than those financed by special assessment funds and trust funds). Fiduciary Funds - used to account for assets held by the local government in a trustee or custodial capacity: Trust and Aqenc¥ Funds - used to account for money received and held in the capacity of trustee, custodian or agent. These include expendable trusts, non- expendable trusts, and agency funds. Account Groups Account Groups are used to establish accounting control and accountability for general fixed assets and general long-term debt. The two account groups are not "funds". They are concerned with measurement of financial position and not results of operations. -10- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 A. Summary of Significant Accounting Policies (continued) Account Groups (continued) The General Fixed Assets Account Group - used to account for land, buildings, improvements other than buildings, and equipment utilized for general government purposes, except those accounted for in proprietary funds. The General Lon,q-Term Debt Account Group - used to account for all long-term debt except that accounted for in proprietary and special assessment funds. 3. Basis of Accounting/Measurement Focus Basis of accounting refers to when revenues and expenditures and the related assets and liabilities are recognized in the accounts and reported in the financial statements. Basis of accounting relates to the timing of the measurements made, regardless of the measurement focus. Measurement focus is the determination of what is measured, i.e. expenditures or expenses. Modified Accrual Basis - All governmental Funds and Expendable Trust Funds are accounted for using the modified accrual basis of accounting. Under this basis of accounting, revenues are recorded when measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Material revenues that are accrued include real property taxes, state and federal aid, sales tax and certain user charges. If expenditures are the prime factor for determining eligibility, revenues from federal and state grants are accrued when the expenditure is made. Expenditures are recorded When incurred except that: Expenditures for prepaid expenses and inventory-type items are recognized at the time of purchase. Principal and interest on indebtedness are not recognized as an expenditure until due. Compensated absences, such as vacations and sick leave, which vests or accumulates, are charged as an expenditure when paid Account Groups - General fixed assets are recorded at actual or estimated cost or, in the case of gifts and contributions, at the fair market value at the time received. No provision for depreciation is made. General long-term debt liabilities are recorded at the par value of the principal amount. No liability is recorded for interest payable at maturity. -11- TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 A. Summary of Significant Accounting Policies (continued) 4. Encumbrances Encumbrance accounting, under which pumhase orders, contracts and other commitments for the expenditure of monies are recorded for budgetary control purposes to reserve that portion of the applicable appropriations is employed in all funds. Encumbrances are reported as reservations of fund balances since they do not constitute expenditures or liabilities. Expenditures for such commitments are recorded in the period in which the liability is incurred. 5. Assets, Liabilities and Fund Equity Receivables Receivables include amounts due from Federal, State, and other governments and individuals for services provided by the Town. Receivables revenues are recorded as earned or as specific program expenditures are incurred. Inventory - Materials and Supplies Inventory in the General Fund is valued at cost, using weighted average cost method. Inventory in these funds is accounted for under the consumption method. Property, Plant and Equipment - General Fixed assets purchased for general governmental purposes are recorded as expenditures in the governmental funds and are capitalized at cost (or estimated historical cost for assets purchased prior to 1976) in the General Fixed Assets Account Group. Contributed fixed assets are recorded at fair market value at the date received. Fixed assets consisting of certain infrastructure type improvements other than buildings, including reads, bridges, curbs and gutters, streets and sidewalks, drainage and lighting systems, have not been capitalized. Such assets normally are immovable and of value only to the Town. Therefore, the purposes of stewardship for capital expenditures can be satisfied without recording these assets. No depreciation has been provided on general fixed assets, nor has interest on general fixed assets construction in progress been capitalized. Deferred Revenue Deferred revenues are those where asset recognition criteria have been met, but which revenue recognition criteria have not been met. Such amounts have been deemed to be "measurable" but not "available" pursuant to GAAP. -12- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 A. Summary of Significant Accounting Policies (continued) 5. Assets, Liabilities and Fund Equity (continued) Long-Term Obligations Long-term debt is recognized as a liability of a governmental fund when due. For other long-term obligations, only that portion expected to be financed from expendable available financial resoumes is reported as a fund liability of a governmental fund. The remaining portion of such obligations is reported in the General Long-Term Debt Account Group. Fund Equity- Reservations and Designations Portions of fund equity are segregated for future use and therefore not available for future appropriation or expenditure. Amounts reserved for encumbrances, inventory, insurance claims, represent portions of fund equity which are required to be segregated in accordance with State law or GAAP. Designations of fund balances in governmental funds indicate the utilization of these resources in the subsequent year's budget or tentative plans for future use. 6. Revenue and Expenditures Property Taxes Real property taxes for the ensuing year are levied annually and become a lien on December 1. Taxes are collected during the period December 1 to May 31, with the first half due January 10 and the second half due May 31. Tax pay.me, nts made during the period December 1 to December 31 are recognized as revenue in the subsequent year. Taxes for county purposes (apportioned to the area of the county inside the Town of Southold) are levied together with taxes for town and special distdct purposes as a single bill. The towns and special districts receive the full amount of their levies annually out of the first amounts collected on the combined bills. The county assumes enforcement responsibility for all taxes levied in the towns (and for unpaid county taxes in the Town). Unpaid village taxes and school district taxes are turned over to the county for enforcement. Any such taxes remaining unpaid at year-end are relieved as county taxes in the subsequent year. -13- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 Summary of Significant Accounting Policies (continued) 6. Revenue and Expenditures (continued) Interfund Revenues Interfund revenues are quasi-external transactions in the operating funds that represent amounts charged for services or facilities provided by that operating fund. The amounts paid by the fund receiving the benefit of the service or facilities are reflected as an expenditure of that fund. Operating Transfers Operating transfers represent payments to the Risk Retention Fund and Capital Projects Fund from other funds for their appropriate share of the risk retention and capital projects. Insurance The Town assumes the liability for most risk including, but not limited to, property damage and personal injury liability. Judgments and claims are recorded when it is probable that an asset has been impaired or a liability has been incurred and the amount of loss can be reasonably estimated. Compensated Absences Vested or accumulated vacation or sick leave of governmental funds that is expected to be liquidated with expendable available financial resoumes is reported as an expenditure and a fund liability of the respective fund that will pay it.' Amounts of vested or accumulated vacation or sick leave of governmental funds that are not expected to be liquidated with expendable available financial resources are reported in the General Long-Term Debt Account Group. No expenditure is reported for these amounts. In accordance with the provisions of Statement No. 16 of the Governmental Accounting Standards Board, Accounting for Compensated Absences, no liability is recorded for non-vesting accumulating dghts to receive sick pay benefits. Total Columns on the General Purpose Financial Statements Total columns on the general-purpose financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of operations or changes in financial position in conformity with generally accepted accounting principles, nor is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of the data. -14- TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 B. Stewardship~ Compliance, Accountability Budgetary Data 1. Budget Basis of Accounting Budgets are adopted annually on a basis consistent with generally accepted accounting principles. Appropriations authorized for the current year are increased by the amount of encumbrances carried forward from the prior year. Budgetary controls for special revenue funds are established in accordance with the applicable grant agreement, which may cover a period other than the Town's fiscal year. Appropriate budgetary adjustments have been made to reflect these grant agreements during the Town's fiscal year. 2. Budget Policies - The budget policies are as follows: a. No later than October 1, the Supervisor submits a tentative budget to the Town Board for the fiscal year commencing the following fiscal year. The tentative budget includes the proposed means of financing for all funds. b. After public hearings are conducted to obtain taxpayer comments, no later than November 20, the Town Board adopts the budget. c. The Town Board must approve all modifications of the budget. However, the Supervisor is authorized to transfer certain budgeted amounts within departments. 3. Material Violations of Finance Related Activities There are no material violations of finance-related provisions. -15- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 B. Stewardship1 Compliance, Accountability (continued) 4. Fund Balances 1. Certain funds of the Town apply to areas less than the entire Town. The fund equity at December 31, 2002 is allocated as follows: General Fund (Town wide) Special Revenue Funds General Fund Part Town Highway Fund -- Town wide Highway Fund -~ Part Town Special District Funds East-West Fire Protection Southold Wastewater Disposal Fishers Island Sewer Solid Waste Management Discretely Presented Component Units Fishers Island Refuse & Garbage Fishers Island Ferry Cutchogue-New Suffolk Park Southold Park Orient-East Marion Park Mattituck Park Orient Mosquito Total $ 3,780,710 1,078,624 324,775 239,289 9,944 16,466 53,359 102,946 326,052 517,109 60,786 74,055 7,192 13,251 13,596 $6.618.154 Deficit Fund Balances The capital projects fund had a deficit fund balance at Dec6mber 31, 2002. The deficit will be eliminated as short-term debt is redeemed or converted to permanent financing. C. Detail Notes on all Funds and Account Groups 1. Assets Cash and Investments Cash consists of funds deposited in demand accounts, time deposit accounts and certificates of deposit with maturities of less than three months. State statutes govern Town investment policies. In addition, the Town has its own written investment policy. Town monies are deposited in FDIC insured commercial banks or trust companies located within the state. The Supervisor is authorized to use demand accounts and certificates of deposits. -16 ~ TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 C. Detail Notes on all Funds and Account Groups (continued) 1. Assets (continued) Permissible investments include obligations of the U.S. Treasury and U.S. Agencies, repurchase agreements, obligations of New York State or its localities, and investments made by the Cooperative Liquid Asset Security System (CLASS). CLASS is a cooperative investment plan consisting of U.S. Treasury obligations and repurchase agreements relating to treasury obligations. The written investment policy requires that repurchase agreements be purchased from banks located within the state and that underlying securities must be obligations of the federal government. Underlying securities must have a market value of at least 102 percent of the cost of the repurchase agreement. Collateral is required for demand deposits and certificates of deposit at 102 percent of all deposits not covered by federal deposit insurance. Obligations that may be pledged as collateral are obligations of the United States and its agencies and obligations of the state and its municipalities and school districts. Deposits - All deposits, including certificates of deposits, are carried at cost plus accrued interest. Deposits at year-end were entirely covered by federal depository insurance or by collateral held by the Town's custodial banks in the Town's name. At December 31, 2002 the cash in banks was $30,701,832 and collateral held against cash in banks was $56,320,725 consisting of FDIC insurance and/or securities held in the name of the Town of Southold. Restricted Cash Restricted Cash consists of assessments collected by the Receiver of Taxes not yet remitted to the appropriate governmental entity. -17 - TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 C. Detail Notes on all Funds and Account Groups (continued) 2. Fixed Assets A summary of changes within the General Fixed Assets Account Group for the Town of Southold for the year ended December 31,2002 is as follows: Balance Balance 1/1/02 Additions Deletions 12/31/02 Primary Government: Land $14,834,080 $1,120,238 $138,111 Buildings & Improvements 2,776,147 1,522,140 Other Improvements 132,389 Machinery & Equipment 11,455,556 294,709 1,391,326 Total $29.198.172 ~ 1.529.437 $15,816,207 4,298,287 132,389 10,358,939 $30.605.822 Balance 1/1/02 Additions Component Units: Land $ 517,401 1,299,827 Buildings & Improvements 5,783,997 Machinery & Equipment 4,980,996 834,792 Total $11.282.394 $834.792 3. Interfund Receivables and Payables Balance Deletions 12/31/02 $1,817,228 1,204,340 4,579,657 5,815,788 $1,204.340- . $12.212.673 Interfund receivables and payables for the primary government at December 31, 2002 were as follows: Fund General Fund Whole Town General Fund Part Town Highway Fund Whole Town Highway Fund Part Town East-West Fire Protection District Solid Waste Management Distdct Wastewater Disposal District Fishers Island Sewer District Capital Projects Trust & Agency Total Interfund Interfund Interfund Receivables Payables $ 483,788 $ 6,154,072 434,110 1,055,490 8,870 2,570,278 338,261 1,567,604 162,482 4,661 201,904 5,591 661,227 $ 6.824.169 $ 6.824A69 -18 - TOWN OF $OUTHOLD Notes To Financial Statements December 31, 2002 C. Detail Notes on all Funds and Account Groups (continued) 4. Due To/From Primary Government and Component Units Amount Amount Receivable Payable Component Units: Fishers Island Refuse & Garbage District $ 411,150 Fishers Island Ferry District 519,041 Orient Mosquito District 65,000 Cutchogue-New Suffolk Park District 148,000 Southold Park District 235,000 Orient-East Marion Park District 21,700 Mattituck Park District 334,880 Pdmary Government General Fund Trust and Agency $ 1,595,730 139,041 Totals $ 1.682.401 $ 1.682.401 5. Indebtedness Short-Term Debt Liabilities for bond anticipation notes (BAN's) are generally accounted for in the capital projects funds. The notes or renewal thereof may not extend more than two years beyond the original date of issue unless a portion is redeemed within two years and within each 12 month period thereafter. State law requires that BAN's issued for capital purposes be converted to long-term obligations within five years after the odginal issue date. However, BAN's issued for assessable improvement projects may be renewed for periods equivalent to the maximum life of the permanent financing, provided that stipulated annual reductions of principal are made. To Be Redeemed 2003 Interest Budget Description Amount Rate Appropriations Bonds Various Purposes $ 669,000 1.98% $ 241,000 Vadous Purposes 1,870,000 1.35% 339,000 Landfill Closure 3,490,000 1.59% 310,000 Landfill Closure 1,500,000 1.50% Pickett Landfill Closure 991,709 .00% Composting Site 2,500,000 2.08% 100,000 Total $11,020.709 $ 990.000 $ 428,000 1,531,000 3,180,000 1,500,000 991,709 2,400,000 $10.030.709 -19 - TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 C. Detail Notes on all Funds and Account Groups (continued) 5. Indebtedness (continued) Long-Term Debt a) At December 31, 2002 the total outstanding indebtedness of the Town, excluding the above obligations aggregated $7,615,000. Of this amount, $7,285,000 was subject to the constitutional debt limit and, combined with the short-term debt listed above, represented 2.31% of its debt limit. b) Sedal Bonds - The Town borrows money in order to acquire land or equipment or construct buildings and improvements. This enables the cost of these capital assets to be borne by the present and future taxpayers receiving the benefit of the capital assets. These long-term liabilities, which are full faith and credit debt of the local government, are recorded in the General Long-Term Debt Account Group. The provision to be made in future budgets for capital indebtedness represents the amount exclusive of interest, authorized to be collected in future years from taxpayers and others for liquidation of the long-term liabilities. c) Other Lonq-Term Debt - In addition to the above long-term debt, the local govemment had the following non-current liabilities: · Compensated Absences - Represents the value of earned and unused portion of the liability for compensated absences. d) Summary Long-Term Debt - The following is a summary of long-term liabilities outstanding at December 31,2002 by fund type and account gro.up.: Liability Serial Bonds Judgments and Claims Compensated Absences General Long Term Debt Account Group Discretely Presented Component Unit Total $ 7,517,289 $ 97,711 $ 7,615,000 1,000,000 1,000,000 2,954,432 2,954,432 Total Long-Term Debt Account Group $ 11,471,721 $ 97.711 $ 11.569.432 -20- TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 C. Detail Notes on all Funds and Account Groups (continued) 5. Indebtedness (continued) Long-Term Debt (continued) e) The following is a summary of changes in the long-term liabilities for the period ended December 31,2002: Bonds and Compensated Notes Absences Payable at beginning of Year $ 8,260,000 $ 2,515,809 Additions 438,623 Deletions 645,000 Payable at end of Year $ 7.615.000 $ 2,954.432 Additions and deletions to compensated absences are shown net since it is impracticable to determine these amounts separately. f) The following table summarizes the Town's future debt service requirements for Serial Bonds as of December 31, 2002: Year Endinq Principal Interest $ 665 000 675 000 700 000 500 000 520 000 2,705 000 1,490 000 3601000 $ 7.615.000 2OO3 2004 2005 2006 2007 2008-2012 2013-2017 2018-2019 Totals $ 391,019 351,053 309,748 273,545 247,053 815,278 261,586 14,205 $ 2.663.487 6. Retirement System Plan Description The Town participates in the New York Employee's Retirement System, the New York State Policemen's and Firemen's Retirement System and the Public Employee's Group Life Insurance Plan (Systems). These are cost-sharing multiple-employer retirement systems. The Systems provide retirement benefit as well as death and disability benefits. -21- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 C. Detail Notes on all Funds and Account Groups (continued) 6. Retirement System (continued) The New York State Retirement and Social Secudty Law (NYSRSSL) govern obligations of employers to contribute and benefits to employees. As set forth in the NYSRSSL, the Comptroller of the State of New York (Comptroller) serves as sole trustee and administrative head of the Systems. The Comptroller shall adopt and may amend rules and regulations for the administration and transactions of the business of the Systems and for the custody and control of their funds. The Systems issue a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained by writing the New York State and Local Retirement System, Gov. Alfred E. Smith State Office Building, Albany, N. Y. 12244. Fundin.q Policy The Systems are noncontributory except for employees who joined the New York State and Local Employees' Retirement System after July 27, 1976 who contribute 3% of their salary. Under the authority of the NYSRSSL, the Comptroller annually certifies the rates expressed as proportions of payroll of members, which shall be used in computing the employers' contributions. The required contributions for the currant year and two preceding years were as follows: ERS PFRS 2002 $ 99,200 $65,087 2001 $ 61,327 $63,568 2000 $ 32,226 $86,149 Contributions madetothe Sys~ms were equalto 100% ofthecontributions required ~r each year. Since 1989, the Systems' billings have been based on Chapter 62 of the Laws of 1989 of the State of New York. This legislation requires participating employers to make payments on a current basis, while amortizing existing unpaid amounts relating to the Systems' fiscal years ending Mamh 31, 1988 and 1989 (which otherwise were to have been paid on June 30, 1989 and 1990, respectively) over a 17-year period, with an 8.75% interest factor added. Local governments were given the option to prepay this liability. The Town elected to make the full payment on December 15, 1993, by issuing sedal bonds to replace this debt. -22- TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 C. Detail Notes on all Funds and Account Groups (continued) 7. Post Retirement Benefits In addition to providing pension benefits, the Town provides health insurance coverage and survivor benefits for retired employees and their survivors. Substantially all Town employees may become eligible for these benefits if they reach normal retirement age while working for the Town. Health care benefits and survivors' benefits are provided through either an insurance company or a self-funded plan whose premiums are based on the benefits paid dudng the year. The Town recognizes the cost of providing benefits by recording its share of insurance premiums or the actual benefits paid from the General Fund as expenditure in the year paid. During the year, $2,584,982 was paid on behalf of 84 retirees and 202 active employees and is recorded as expenditures in the General Fund. The cost of providing benefits for retirees is not separable from the cost of providing benefits for active employees. 8. Compensatory Absences Town employees are granted vacation and sick leave and earn compensatory absences in varying amounts. In the event of termination or upon retirement, an employee is entitled to payment for accumulated vacation and sick leave and unused compensatory absences at various rates subject to certain maximum limitations. Estimated vacation and sick leave and compensatory absences accumulated by governmental fund type employees have been recorded in the general long-term obligations account group. Vested vacation and sick leave are recorded as a long-term liability in the general long- term debt account group if payable from future financial resources, or as a fund liability and expenditures if payable from current resources. D. Commitments and Contingencies The State of New York has commenced a lawsuit against the Town for unlawful discharge of gasoline and petroleum products at the Town's Highway department on Peconic Lane. As of the date of this report, the likelihood of an unfavorable outcome is uncertain, but is at least reasonably possible that cleanup costs and interest could total up to $1,000,000. The Town is self-insured for medical insurance only. The amount of claims outstanding at December 31,2002 is $74,850 and is reserved against fund balance in the General Fund. -23- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 D. Commitments and Contingencies (continued) Landfill Closure and Post Closure Care Costs The Town ceased accepting waste at its Cutchogue landfill as of October 8, 1993. The Town entered into a stipulation of settlement with the New York State Department of Environmental Conservation in October of 1994 in which all charges of operational violations at the Cutchogue landfill were dropped. Under the stipulation, the Town agreed to close and place a final cover over the landfill and to pay a civil penalty of $650,000 over seven years. Construction of the final cover commenced in the summer of 2001 and is expected to be completed in the spring of 2003. In addition to placement of the final cover on the landfill, state and federal regulations presently require the Town to perform certain maintenance and monitoring functions at the site for up to thirty years. Actual costs associated with the placement of the final cover are estimated at $7,800,000. Financing for closure activities will be provided through a grant from the New York State Department of Environmental Conservation up to the maximum of $2,000,000 with the balance provided with a state subsidized loan through the New York State Environmental Facilities Corporation. Costs associated with post closure care will be covered by charges to future landfill users and future tax revenue. 2. Liti,qation The State of New York has commenced a lawsuit against the Town for unlawful discharge of gasoline and petroleum products at the Town's Highway department on Peconic Lane. As of the date of this report, the likelihood of an unfavorable outcome is uncertain, but is at least reasonably possible that cleanup costs and .int. erest could total up to $1,000,000. Any amounts reserved on all lawsuits have been recorded in the General Long-Term debt account group and in the opinion of the Town's management and legal counsel, all other claims are expected to be resolved with no further anticipated reserves considered necessary. 3. Lease Commitments and Leased Assets The Town leases property and equipment under operating leases. Total rental expenditures on such leases for the fiscal year ended December 31, 2002 were approximately $75,870. Future obligations over the primary terms of the Town's leases as of December 31, 2002 are as follows: -24- TOWN OF SOUTHOLD Notes To Financial Statements December 31, 2002 D. Commitments and Contingencies (continued) 3. Lease Commitments and Leased Assets (continued) 2OO3 $ 61,651 2004 55,773 2005 58,076 2006 37,620 Total $ 213,120 E. Condensed Financial Statements for the Discretely Presented Component Units The following represents condensed financial statements for the discretely presented component units as of and for the year ended December 31,2002. Condensed Balance Sheet Assets and Other Debits Liabilities Amounts to be Due From Property Provided for Other Bonds and Current Primary Building & Long-Term Current Long-Term Assets Government Equipment Debt Liabilities Liabilities Fishers Island Ferry District $ 979,579 $ Fishers Island Garbage District 747,501 Cutchogue-New Suffolk Park Dist. 208,786 Southold Park Distdct 309,055 Orient-East Marion Park Distdct 37,018 Mattituck Park District 393,958 Odent Mosquito District 78,596 490,322 $ 9,410,293 $ 97,711 $ 462,470 $ 97,711 411,150 433,572 421,449 148,000 177,105 148,000 235,000 771,267 235,000 21,700 432,985 29,826 311,229 987,451 · 570;707 65,000 65.000 ~.~~ ~ $ 97.711 ~ $ 97.711 -25- TOWN OF SOUTHOLD Notes To Financial Statements December 31,2002 E. Condensed Financial Statements for the Discretely Presented Component Units (continued) Condensed Statement of Revenues, Expenditures and Changes in Fund Balances Fishers Island Ferry District $ 1,992,333 $ 1,597,858 Fishers Island Garbage District 499,043 371,761 Cutchogue-New Suffolk Park Dist. 119,427 62,729 Southold Park District 271,062 230,623 Orient-East Marion Park District 21,904 22,967 Mattituck Park District 292,173 274,381 Orient Mosquito District 65,383 62,584 Expenditures Capital Debt Revenues Current Outlay Service $ 151,992 $ 79,786 103,567 43,894 13,170 16,036 79.768 Excess (Deficiency) of Revenues and Expenditures $ 162,715 23,715 12,804 27,269 (1,063) 1,756 2,799 $ 229.995 F. Recent GASB Pronouncements The Government Accounting Standards Board (GASB) has adopted the following: Statement No. 34, Basic Financial Statements and Management's Discussion and Analysis for State and Local Governments, which establishes specific standards for the basic financial statements, management's discussion and analysis (MD&A), and certain required supplementary information (RSI) and other MD&A; Statement No. 37, Basic Financial Statements and Management's Discussion and Analysis for State and Local Governments: Omnibus, which make modifications to statement No. 34; and, Statement No. 38, Certain Financial Statement Note Disclosures, which modifies, establishes and rescinds certain financial statement disclosure requirements. The statements will be effective for the Town for periods beginning after December 31, 2002. The Town is in the process of evaluating the effects that these pronouncements will have on the general purpose financial statements. COMBINING INDIVIDUAL FUND STATEMENTS AND SCHEDULES -26- TOWN OF SOUTHOLD SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 2002 ASSETS Cash and Investments Assessment Receivable Accounts Receivable, net of allowance Due from Other Funds State and Federal Receivables Due from Other Governments Prepaid Expenses Total Assets LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable Due to Other Funds Deferred Revenue Total Liabilities FUND EQUITY Fund Balance - Reserved: Prepaid Expenses Fund Balance - Unreserved: Designated - Ensuing Year's Budget Undesignated Total Fund Equity Total Liabilities and Fund Equity General Fund Part Town Highway Funds Townwide Part Town $ 971,638 $ 398,391 $ 561,205 434,110 309 $ 1,406,057 $ 33,177 294,256 327,433 309 483,000 595,315 1,078,624 $ 1,406,057 1,361 1,055,491 2,570,278 319 $ 1,454,201 $ 3,132,844 $ 61,080 $ 409,129 8,870 1,029,476 2,484,426 1,099,426 21893,555 120,000 146,800 234,775 92,489 354,775 $ 1,454,201 239,289 $ 3,132,844 Special Grant $ 65,660 Special Districts $ 108,443 132,117 2,073,008 Totals $ 2,039,677 133,478 6,132,887 65,660 628 $ 65,660 $ 2,313,568 $ 8,372,330 $ 65,660 $ 227,584 1,903,269 2,130,853 4,300 178,415 182,715 $ 2,313,568 65,660 $ 65,660 $ 7961630 8,870 5,711,427 6,516,927 309 754,100 1,100,994 1,855,403 $ 8,372,330 -27- TOWN OF $OUTHOLD SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE Year ended December 31, 2002 General Fund Highway Funds Special Part Town Townwide Part Town Grant Total Revenues REVENUES Real Property Taxes Other Real Property Tax Items Non Property Tax Items Departmental Income Intergovernmental Charges Use of Money and Property Licenses and Permits Sale of Property and Compensation for Loss Miscellaneous Local Sources Interfund Revenues State Aid Federal Aid $ 274,942 $ 1,102,210 1,264 1,815 110,225 3,098 1,247,860 $ 2,326,360 10,070 22,143 10,351 655 17,872 5,130 4,450 11,138 72,650 1,745,531 12,483 25,940 4,197 1,149,743 2,369,579 $ 119,380 119,380 EXPENDITURES General Government Support Public Safety Public Health Transportation Home and Community Services Employee Benefits Debt Service - Principal and Interest Excess (Deficiency) of Revenues Over Expenditures Other Financing Uses: Operating Transfers Out Total Expenditures Total Other Financing Uses 42,783 558,504 6,161 486,201 107,996 5,549 1,207,194 791,563 97,844 80,115 969,522 538,337 180,221 (189,033) (83,476) (189,033) (83,476) 1,759,213 '242,328 8,429 124,380 Special Districts Excess (Deficiency) of Revenues Over Expenditures and Other Uses Fund Balance at Beginning of Year Fund Balance at End of Year 349,304 729,320 $1,078,624 96,745 258,030 $ 354,775 $ 1,190,118 231 1,684,036 1,400 17,778 134,165 25,322 285 285 3,053,620 316,799 2,363,182 118,384 618,766 2,009,970 124,380 3,417,131 359,609 (5,000) (363,511) (349,795) (186,022) (349,795) (186,022) 9,814 (5,000) (549,533) 229,475 5,000 732,248 $ 239,289 $ -0- $ 182,715 Totals $ 4,893,630 13,380 113,323 2,931,896 1,400 70,276 149,646 29,772 37,363 4,852 72,935 119,380 8,437,853 42,783 875,303 6,161 2,550,776 2,973,763 566,552 712,859 7,728,197 709,656 (808,326) (808,326) (98,670) 1,954,073 $ 1,855,403 -28- TOWN OF SOUTHOLD SPECIAL DISTRICTS - SPECIAL REVENUE FUND COMBINING BALANCE SHEET December 31, 2002 ASSETS Cash and Investments Taxes Receivable Accounts Receivable, net of allowance Due from Other Funds Prepaid Expenditures East-West Fire Southold Fishers Solid Waste Protection Wastewater Island Sewer Management District Distric~ District District LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable Due to Other Funds Deferred Revenue $ 22,440 $ 23,277 $ 48,753 338,261 162,482 4,661 TotalAssets $ 360,701 $ 185,759 $ 53,414... Total Liabilities $ 12,496 $ 14,429 338,261 154,864 350,757 169,293 $ 13,973 FUND EQUITY Designated - Ensuing Year's Budget Undesignated Total Fund Equity Total Liabilities and Fund Equity 132,117 1,567,604 $ 1,713,694 Totals $ 108,443 132,117 2,073,008 $ 2,313,568 $ 55 $ 200,604 $ 227,584 1,410,144 1,903,269 55 1,610,748 2,130,853 4,300 5,644 16,466 53,359 102,946 9,944 16,466 53,359 102,946 $ 360,70~.=_ $ 185,759 $ 53414_ $ 1,713,694 4,300 178,415 182,715 $ 2,313,568 -29- TOWN OF SOUTHOLD SPECIAL DISTRICTS - SPECIAL REVENUE FUND COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE Year ended December 31, 2002 REVENUES Real Property Taxes Other Real Property Tax Items Departmental Income Intergovernmental Charges Use of Money and Property Licenses and Permits Sale of Property and Compensation for Loss Miscellaneous Local Soumes Intedund Revenues State Aid Federal Aid EXPENDITURES Public Safety Home and Community Services Employee Benefits Debt Service - Principal and Interest Excess (Deficiency) of Revenues Over Expenditures Other Financing Uses: Operating Transfers In Operating Transfers Out Total Revenues Total Expenditures Total Other Financing Uses Excess (Deficiency) of Revenues Over Expenditures and Other Uses Fund Balance at Beginning of Year Fund Balances at End of Year East-West Fire Southold Fishers Solid Waste Protection Wastewater Island Sewer Management District District Distdct District $ 305,758 $ 121,000 $ 2,260 59 24 84,058 15,165 1,378 2,001 819 $ 761,100 148 1,584,813 1,400 13,580 134,165 25,322 285 Totals $ 1,190,118 231 1,684,036 1,400 17,778 134,165 25,322 285 285 285 307,195 207,083 18,244 2,521,098 3,053,620 316,799 316,799 234,224 14,588 2,114,370 2,363,182 10,005 108,377 118,384 3,050. 615,716 618,766 316,799 247,281' 14,588 2,838,463 3,417,131 (9,604) (40,198) 3,656 (317,365) (13,383) (13,383) (172,639) (172,639) (363,511) (186,022) (186,022) (9,604) (53,581) 3,656 (490,004) (549,533) 19,548 70,047 49,703 592,950 732,248 $ 9,944 $ 16,466 $ 53,359 $ 102,946 $ 182,715 -30- TOWN OF SOUTHOLD FIDUCIARY FUNDS COMBINING BALANCE SHEET December 31, 2002 ASSETS Cash and Investments Other Receivables Due from Other Funds Total Assets LIABILITIES Due to Other Funds Other Liabilities Deposits Held Total Liabilities Town Fishem Island Ferry District Totals $1,285,466 $ 91,083 $1,376,549 300 48,499 48,799 5,590 5,590 $1,291,356 $ 139,582 $1,430,938 $ 661,227 $ 139,041 $ 800,268 314 314 629,815 541 630,356 $1,291,356 $ 139,582 $1,430,938 -31- TOWN OF $oUTHOLD DISCRETELY PRESENTED COMPONENT UNITS COMBINING BALANCE SHEET December 31, 2002 ASSETS Cash and Investments Accounts Receivable, net of allowance Due from Primary Govemment State and Federal Receivables Prepaid Expenses Land Buildings Machinery and Equipment Provisions to be made in Future Budgets Total Assets LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable General Obligations Bonds Payable Due to Primary Government Due to Other Governments Other Liabilities Deferred Revenue Total Liabilities FUND EQUITY Investment in Fixed Assets Fund Balance - Unreserved: Designated - Ensuing Year's Budget Undesignated Total Fund Equity Total Liabilities and Fund Equity Fishers Island Ferry District $ 443,979 490,322 16,559 41,717 3,743,569 5,625,007 97,711 $ 10,458,864 Fishers Island Refuse and Garbage District Cutchogue- Southold Orient-East Mattituck Odent New Suffolk Park Marion Park Park Mosquito Park D ist_dct District Distdct District Distdct $ 317,047 $ 60,786 $ 74,055 411,150 148,000 235,000 19,304 120,735 312,837 101,198 588,847 44,507 182,420 31,400 $ 1,181,073 $ 385,891 $ 53,751 $ 10,299 97,711 380,000 411,150 531,462 421,449 $ 148,000 $ 235,000 148,000 235,000 $ 15,318 $ 58,568 $ 13,596 $ 510 21,700 311,229 65,000 432,985 Totals 531,746 296,324 159,381 983,349 510 1,682,401 16,559 19,304 1,817,228 4,579,657 5,815,788 97,711 $1,080,322 $ 470,003 $1,357,758 $ 78,596 $ 15,012,507 $ 8,126 $ 11,136 $ 83,312 97,711 540 540 21,700 335,380 $ 65,000 1,596,230 29,826 347,056 65,000 1,777,793 9,410,293 433,572 177,105 771,267 432,985 ~0,786_ 74,055 7,192 2~7,891_ 845,322 440,177 $ 385,891 $1,080,322 $ 470,003 517,109 326,052 9,927,402 759,624 $ 10,458,864 $ 1,181,073 987,451 12,212,673 10,000 10,000 13,251 13,596 1,012,041 1,010,702 13,596 13,234,714 $1,357,758 _$ 78,596 $ 15,012,507 -32- TOWN OF SOUTHOLD DISCRETELY PRESENTED COMPONENT UNITS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE Year ended December 31, 2002 REVENUES Real Property Taxes Other Real Property Tax Items Depar[mental Income Intergovernmental Charges Use of Money and Property Sale of Property and Compensation for Loss Miscellaneous Local Sources State Aid Federal Aid Total Revenues EXPENDITURES General Government Support Public Health Transportation Culture and Recreation Home and Community Services Employee Benefits Debt Service - Principal and Interest Total Expenditures Other Financing Sources (Uses) Operating Transfers Out Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues Over Expenditures Fund Balance at Beginning of Year Fund Balances at End of Year Fishers Fishers Island Cutchogue- Southold Orient-East Mattituck Island Ferry Refuse and New Suffolk Park Marion Park Park Distdct Garbage District Park District District District District Orient Mosquito District $ 330,000 $ 432,450 $117,750 $ 246,100 $ 21,703 $ 270,965 $ 50,000 64 84 53 9 1,563,509 22,398 6,273 17,552 4,211 1,677 24,234 201 3,395 373 56,581 728 17,760 2,667 15,000 15,687 39,900 1,992,333 499,043 119,427 271,062 21,904 292,173 85,180 1,478,413 105,815 243,793 22,967 247,698 11,257 475,328 808 12,719 79,768 65,382 62,583 Totals $ 1,468,968 210 1,585,907 6,273 51,643 75,069 17,667 55,587 3,261,324 85,180 62,583 1,478,413 620,273 486,585 13,527 79,768 1,654,618 475,328 106,623 243,793 22,967 260,417 62,583 2,826,329 (175,000) (30,000) (205,000) (175,000) (30,000) (205,000) 162,715 23,715 12,804 27,269 (1,063) 1,756 2,799 229,995 354,394 302,337 .47~982 46,786 8,255 21,495 10,797 792,046 $ 517,109 $ 326,052 $._.~,~86 $ 74,055 $ 7,192 $ 23,25~1 ~$ 13,596 $ 1,022,041