Audit Report for Redwood Empire Dispatch Communications Authority

Sonoma County Auditor Controller Treasurer Tax Collector Office [phone]

Informations

• Publié par: Erzo
• Nombre de lectures: 31
• Langue: English

Extrait

REDWOOD EMPIRE DISPATCH COMMUNICATIONS AUTHORITY

ANNUAL REPORT
FOR THE FISCAL YEARS ENDED
JUNE 30, 2008
















RODNEY A. DOLE
SONOMA COUNTY
AUDITOR-CONTROLLER
TREASURER-TAX COLLECTOR

REDWOOD EMPIRE DISPATCH COMMUNICATIONS AUTHORITY

Annual Report
For the Fiscal Years Ended
June 30, 2008


TABLE OF CONTENTS


. Page


Auditor-Controller’s Report..................................................................................................

Management’s Discussion and Analysis .............................................................................. 1 - 5

Basic Financial Statements:
Statement of Fund Net Assets................................................................................... 6
ent of Revenues, Expenses, and
Changes in Fund Net Assets .................................................................................. 7
Statement of Cash Flows........................................................................................... 8

Notes to the Basic Financial Statements ........................................................................ 9 – 16

Board of Directors................................................................................................................. 17


















Auditor-Controller’s Report

The Board of Directors
Redwood Empire Dispatch Communications Authority

We have audited the accompanying financial statements of the Redwood Empire Dispatch
Communications Authority, (REDCOM) as of and for the year ended June 30, 2008, as listed in
the table of contents. These basic financial statements are the responsibility of the management
of REDCOM. Our responsibility is to express an opinion on these basic financial statements
based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in the United
States of America. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the basic financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts
and disclosures in the basic 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 our audit provides a reasonable basis for our
opinion.

As discussed in Note I.A, the basic financial statements of REDCOM are intended to present
only the financial position and results of operations of REDCOM. They do not purport to, and
do not, present fairly the financial position of American Medical Response (AMR), the County
of Sonoma or member agencies as of June 30, 2008, and the respective changes in their financial
position for the years then ended, in conformity with accounting principles generally accepted in
the United States of America.

As described in Note III.D of the Notes to the Basic Financial Statements, the Auditor-Controller
is mandated by various statutes within the California Government Code to perform certain
accounting, auditing and financial reporting functions. These activities, in themselves,
necessarily impair the auditor's independence. However, we believe adequate safeguards and
divisions of responsibility exist.

In our opinion, except for the effects, if any, of the impairment to auditor independence, the
basic financial statements referred to above present fairly, in all material respects, the financial
position of REDCOM as of June 30, 2008 and the respective changes in its financial position for

the year then ended, in conformity with accounting principles generally accepted in the United
States of America.

The Management’s Discussion and Analysis (MD&A) on pages 1 through 5 is not a required
part of the basic financial statements but is supplementary information required by the
Government Accounting Standards Board. We have applied certain limited procedures, which
consisted principally of inquiries of management regarding the methods of measurement and
presentation of the MD&A. However, we did not audit the information and express no opinion
on it.




April 20, 2009
Redwood Empire Dispatch Communications Authority
Management’s Discussion and Analysis
For the Year Ended June 30, 2008




As management of the Redwood Empire Dispatch Communications Authority (REDCOM) we
offer readers of REDCOM’s financial statements this narrative overview and analysis of the
financial activities of REDCOM for the fiscal year ended June 30, 2008. We encourage readers
to consider the information presented here in conjunction with REDCOM’s financial statements
and the accompanying notes to the basic financial statements.

REDCOM operates under a joint powers agreement between various fire protection districts,
ambulance service providers, cities and the County of Sonoma. The primary mission of
REDCOM is to provide dispatch and emergency communications functions for emergency
response agencies in the County of Sonoma. In addition, REDCOM will perform as backup for
LIFECOM (located in Salida, California), in emergency situations, such as communications
failures, building facility failures, and evacuation requirements.

Financial Highlights

• The assets of REDCOM exceeded its liabilities at the close of the most recent fiscal year
June 30, 2008 by $654,225 (net assets) of which $579,153 is unrestricted net assets and may
be used to meet REDCOM’s ongoing obligations to citizens and creditors.
• REDCOM’s total net assets increased by $343,421 compared to the prior year. This increase
is a result of revenues exceeding expenses in REDCOM’s activities.

Overview of the Basic Financial Statements

This discussion and analysis is intended to serve as an introduction to REDCOM’s basic
financial statements. REDCOM’s basic financial statements are comprised of two components:
1) basic financial statements and 2) notes to the basic financial statements.


Proprietary fund basic financial statements. Proprietary fund reporting focuses on the
determination of operating income, changes in net assets (or cost recovery), financial position,
and cash flows. The proprietary fund category includes enterprise funds, which are used to
account for business type activities. REDCOM follows the provisions of GASB Statement No.
34, “Basic Financial Statements – and Management’s Discussion and Analysis – for State and
Local Governments.” GASB 34 requires the use of enterprise funds when the pricing policies of
the activity establish fees and charges designed to recover its costs, including capital costs.
REDCOM recovers its costs by charging members an annual fee based on estimated annual
operating costs.
1
Redwood Empire Dispatch Communications Authority
Management’s Discussion and Analysis
For the Year Ended June 30, 2008



REDCOM records its activities in an enterprise fund; all activities are presented in the following
three basic financial statements:

• Statement of Net Assets
• ent of Revenues, Expenses and Changes in Fund Net Assets
• Statement of Cash Flows

Notes to the basic financial statements. The notes provide additional information that is
essential to a full understanding of the fund financial statements.


Financial Analysis

Net Assets. Over time, increases or decreases in net assets may indicate whether the financial
position of REDCOM is improving or deteriorating. Net assets increased to $654,225 for June
30, 2008 from $310,804 for June 30, 2007. The following is a table summarizing the net assets
for REDCOM’s activities:

Net Assets
As of June 30,
2008 2007
Current and other assets $ 766,190 $ 464,934
Capital assets 75,072 -
Total assets 841,262 464,934
Liabilities outstanding 187,037 154,130
Net assets:
Invested in capital assets, net of related debt 75,072 -
Unrestricted 579,153 310,804
Total net assets 654,225
Total liabilities and net assets $ 841,262 $ 464,934

2
Redwood Empire Dispatch Communications Authority
Management’s Discussion and Analysis
For the Year Ended June 30, 2008


Change in Net Assets. Total revenues for the year ended June 30, 2008 were $3,091,006
compared with expenses of $2,747,585. The following table summarizes the changes in net
assets for each year.

Changes in Net Assets
for the Fiscal Years Ended June 30,
2008 2007
Revenues:
Program Revenues:
Charges for services $ 3,032,053 $ 2,585,801
General Revenues:
Contributions from other governments - 4,935
Grants 26,785 -
Investment earnings 32,168 26,723
Total r