HomeMy WebLinkAbout911228.tiff GREELEY-WELD COUNTY AIRPORT AUTHORITY
Greeley, Colorado
Annual Financial Report
December 31 , 1990
911228
AP0003
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Annual Financial Report
For The Year Ended December 31 , 1990
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Table of Contents
Page
INDEPENDENT AUDITOR'S OPINION ON GENERAL PURPOSE FINANCIAL STATEMENTS 1
GENERAL PURPOSE FINANCIAL STATEMENTS
- ALL PROPRIETARY FUND TYPES - ENTERPRISE
Combined balance sheet 2
Combined statement of revenues, expenses and changes in
retained earnings 3
Combined statement of cash flows 4
Footnotes to financial statements 5-10
INDEPENDENT AUDITOR'S OPINION ON INDIVIDUAL FUND
FINANCIAL STATEMENTS, SCHEDULES AND STATISTICAL DATA 11
INDIVIDUAL FUND FINANCIAL STATEMENTS,
SCHEDULES AND STATISTICAL DATA
ENTERPRISE FUNDS
AIRPORT FUND
Balance sheet 12
Schedule of financial resources provided,
applied and changes in working capital - budget and actual 13
Schedule of financial resources provided - budget and actual 14
Schedule of current operating expenses - budget and actual 15
TERMINAL FUND
Schedule of financial resources provided,
applied and changes in working capital - budget and actual 16
Schedule of current operating expenses - budget and actual 17
STATISTICAL DATA 18
SINGLE AUDIT REPORTS AND SCHEDULES
Independent auditor's report on schedule of federal
financial assistance 19
Schedule of federal financial assistance 20
Notes to schedule of federal financial assistance 21
INDEPENDENT AUDITOR'S REPORT ON INTERNAL ACCOUNTING CONTROL
General purpose financial statements 22
Federal financial assistance programs 23
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE
General purpose financial statements 24
Federal financial assistance programs 25
COLE AND CROSIER, P.C. INDEPENDENT AUDITOR'S REPORT ON
GENERAL PURPOSE FINANCIAL STATEMENTS
CERTIFIED
PUBLIC
._ ACCOUNTANTS
�_
'4a� Board of Commissioners
Greeley-Weld County Airport Authority
Greeley, Colorado
^ac_
We have audited the accompanying general purpose financial
statements of the Greeley-Weld County Airport Authority as of and
for the year ended December 31 , 1990, as listed in the table of
_ contents. These financial statements are the responsibility of the
Airport'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 financial
position of the Greeley-Weld County Airport Authority as of December
31 , 1990, and the results of its operations and its cash flows for
the year then ended in conformity with generally accepted accounting
principles.
Cole and Crosier, P.C.
Certified Public Accountants
MEMBER OF LaSalle, Colorado
AMERICAN
INSTITUTE OF June 5, 1991
CERTIFIED
PUBLIC
ACCOUNTANTS
3032845545
111 MAIN STREET
PO BOX 718
LA SALLE,COLORADO 80645 '-1-
,
GENERAL PURPOSE
FINANCIAL STATEMENTS
These basic financial statements provide a summary overview and broad perspective
of the financial position of all funds and of the operating results of all funds.
They also serve as an introduction to the more detailed statements and schedules
that follow.
GREELEY-WELD COUNTY AIRPORT AUTHORITY
All Proprietary Fund Types - Enterprise
Combined Balance Sheet
December 31 , 1990
(Memo
Only)
1989
ASSETS
Cash (Note 12) $ 89,955 $ 121 ,849
Receivables
Accounts 69,633 72,325
Farm commodities 4,410 -
Due from local governments - 500
Accrued interest 303 389
Fuel tax refunds 5,086 5,854
Due from airport fund - 72,553
Note (Note 4) 33,977 43,580
FAA grant (Note 2) 391 ,010 9,936
Inventories (Note 3) 29,223 25,165
Prepaid expenses 10,844 11 ,416
Fixed assets - net of accumulated depreciation (Note 11) 5,698,475 5,415,085
Master plan (Note 5) 33,120 33,120
TOTAL ASSETS $6,366,036 $5,811 ,772
LIABILITIES
Accounts payable $ 412,683 $ 89,652 —
Retainage payable 41 ,701 -
Due to terminal fund - 72,553
Accrued interest payable 5,356 2,023 -
Compensated absences payable 2,714 4,254
Deposits 10,240 9,360
Payroll and other taxes payable 1 ,414 -
Accrued wages 4,444 5,357
Notes payable (Note 6) 489,996 525,930
Bond payable (Note 6) 31 ,220 41 ,082
Deferred revenue
Grant and local government contributions (Note 2) 12,401 11 ,040
Gain from sale and leaseback (Note 7) 21 ,225 23,217
Leases (Note 14) 18,683 19, 114
Total liabilities 1 ,052,077 803,582
FUND EQUITY
Contributed capital (Notes 9 and 14) 5, 191 ,966 4,893,367
Retained earnings - unreserved 121 ,993 114,823
Total fund equity 5,313,959 5,008, 190
TOTAL LIABILITIES AND FUND EQUITY $6,366,036 $5,811 ,772
The accompanying footnotes are an integral part of this report. -
-2-
GktELEY-WELD COUNTY AIRPORT AUTMORaiY
All Proprietary Fund Types - Enterprise
Combined Statement of Revenues, Expenses and Changes
in Retained Earnings
For the Year Ended December 31 , 1990
(Memo
Only)
1989
OPERATING REVENUES
Net sales $ 525,381 $ 476,973
Cost of sales 349, 139 289,928
Gross margin 176,242 187,045
Leases and rentals (Note 8) 207,464 220,776
Charges for services 15, 121 24,848
Operators licenses 2,900 3,900
Farm revenue 79,466 97,907
Other operating revenues 23,589 27,820
Total operating revenues 504,782 562,296
OPERATING EXPENSES
Personnel services 159,722 149,047
Contractual services 83,492 87,308
Supplies 21 ,727 18,314
Repairs and maintenance 28,448 59,369
Utilities 33,639 28,556
Other operating expenses 79,871 65,993
Total operating expenses 406,899 408,587
OPERATING INCOME BEFORE DEPRECIATION 97,883 153,709
Depreciation 212,696 205,544
OPERATING LOSS (114,813) (51 ,835)
NONOPERATING REVENUES (EXPENSES)
Gain on sale and leaseback of hangars (Note 7) 1,992 1 ,992
Interest expense (42,834) (52,011 )
Earnings on investments 5,988 7,556
Oil and gas lease revenue 6,286 4,930
_ Local government operating subsidies - 37, 123
Loss on disposal of assets - (6,096)
Total nonoperating revenues (expenses) (28,568) (6,506)
NET LOSS (143,381 ) (58,341 )
Depreciation on fixed assets acquired by grants,
entitlements, and shared revenues externally
restricted for capital acquisitions and
construction that reduces contributed
capital (Note 9) 150,551 141 , 129
INCREASE IN RETAINED EARNINGS 7, 170 82,788
RETAINED EARNINGS
Beginning of year (Note 14) 114,823 32,035
Residual equity transfers in (Note 13) 190,070
Residual equity transfers out (Note 13) (190,070) -
End of Year $ 121 ,993 $ 114,823
The accompanying footnotes are an integral part of this report.
-3-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
All Proprietary Fund Types - Enterprise _
Combined Statement of Cash Flows
For the Year Ended December 31 , 1990
(Memo -
Only)
1989
CASH FLOWS FROM OPERATING ACTIVITIES $ (114,813) $ (51 ,635)
Operating loss
Adjustments to reconcile operating loss
to net cash from operating activities 2,696 205,544
Depreciation and amortization 213, 193 5,345
Interest on operating loans (450) (7,964) -
Increase in accounts receivable (4,058) (7,096)
Increase in inventories
Decrease in prepaid expenses (66,775) (4 572 2,31,811
1
Decrease in accounts payable 382
Increase (decrease) in accrued expenses (1 ,039)
Increase (decrease) in deferred lease revenue 143(708 192,489)
1 ,780
Total adjustments —
Net cash from operating activities 28,895 140,654
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES 880 332
Net increase in deposits (45) (2,345)
Interest paid on operating loans
Net principal received (paid) 21 ,700 (76,090)
on operating loans _ 37, 123
Local government appropriations received g 286 4,930
Oil and gas royalties
Net cash from (used in) noncapital 28,851 (36,050)
financing activities
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES 58,666
Proceeds from issuance of long-term debt 67,496) (50,009)
Principal payments on long-term debt (44,437 37,721
Grants received from the FAA
Appropriations received from local governments 25,000 12, 116
42,649) (51 ,983)
Interest paid on long-term debt (64,579) (45,211 )
Acquisitions of property and equipment (64,579)
(52,080)
Master plan update
Net cash used in capital and (105 287) (60,780)
related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES 603 7,946
Payments on note receivable g6,074 7, 167
Interest on investments and note receivable 15,677 15, 113
Net cash from investing activities
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (31 ,894) 58,937
CASH AND CASH EQUIVALENTS 151 ,849 62,912
Beginning of year
End of year $ 89,955 $ 121 .849
The accompanying footnotes are an integral part of this report.
-4-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Footnotes to Financial Statements
December 31 . 1990
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNT POLICIES
The Authority follows generally accepted accounting principles applicable to
governmental entities as defined by the Governmental Accounting Standard Board and
the Financial Accounting Standards Board, as applicable.
General
The Greeley-Weld County Airport Authority is a political subdivision of the State
of Colorado. The Authority currently operates as the Greeley-Weld County Airport.
The Authority was created on August 11 , 1978 by joint action of the City of
Greeley, Colorado and the County of Weld, Colorado. Prior to 1978, the Weld
County Municipal Airport was jointly operated by Weld County and the City of
Greeley. The Authority is administered by a seven member board of commissioners
appointed by the governmental units that established the entity.
The mission of the Authority is to operate and maintain a safe, efficient and
fiscally responsible aviation gateway to the National Aviation System in support
_ of the economic development of the airport service area.
Reporting entity
The financial report of the Authority includes all of the integral parts of the
Authority's operations. The Authority has determined that it has no oversight
responsibility for any other agency which would require it to be in the reporting
entity. Oversight responsibility is determined based on consideration of
financial interdependency, selection of governing authority, designation of
management, ability to significantly influence management and accountability for
fiscal affairs.
Fund accounting
The accounts of the Authority are organized on the basis of funds, each of which
is considered a separate accounting entity. Resources are allocated to and
accounted for in individual funds based upon the purposes for which they are to be
spent and the means by which spending activities are controlled. The Authority
currently accounts for all operations in Enterprise Funds, which are Proprietary
Fund types, described as follows:
PROPRIETARY FUNDS
Enterprise Funds - Enterprise funds are used to account for operations (a) that
are financed and operated in a manner similar to private business enterprises -
where the intent of the governing body and/or regulatory agencies is to provide
goods and services on a continuing basis, the costs associated with these to be
recovered primarily through user charges; or (b) where the governing body and/or
regulatory agencies have decided that periodic determination of revenues earned,
expenses incurred, and/or net income is appropriate for capital maintenance,
public policy, management control , accountability, other purposes. The Authority
has maintained two such funds - the Airport and Terminal Funds.
•
-5-
NOTE 1 - continued
Basis of Accounting
Enterprise fund revenues and expenses are recognized on the accrual basis of
accounting. Revenues are recognized when they are earned and expenses are
recognized when liabilities are incurred.
Grant awards for capital purposes are recognized as contributed capital to the
extent of costs incurred for capital acquisitions. The portion of the grant award
which has been earned but not yet received is reflected as a receivable from the
grantor.
Local governmental appropriations to the Airport which are restricted for the
acquisition or construction of capital assets are recorded as contributed
capital .
Accounts Receivable
Accounts receivable are stated at management's estimate of the net realizable
amount. Accounts not considered collectible have been charged to current
operations.
Inventories
Inventories are stated at the lower of cost or market. Cost is determined using
the first-in, first-out method.
Fixed assets accounting
Fixed assets are recorded at acquisition cost or estimated historical cost.
The Authority capitalizes fixed assets with a minimum acquisition unit value of
$500. Depreciation and amortization are computed using the straight-line method
over the estimated useful lives of the assets, as follows: —
Description Life
Buildings 3-30 years _
Vehicles, equipment and furniture 3-20 years
Farm buildings and improvements 10-30 years
Property under capital lease 19 years
An amount equal to depreciation of property and equipment acquired with grants and
restricted local governmental appropriations (contributed assets) is transferred
from contributed capital to retained earnings.
Compensated absences
All vested or accumulated vacation leave is reported as a current expense. _
Liability for accumulated vacation leave is recorded at the end of the fiscal
year.
Budget information and control
The annual budget of the Authority is prepared on the basis of the flow of
financial resources or working capital .
The Authority is subject to the Colorado Local Government Budget Law beginning
with the 1990 budget year. Budgetary controls are established annually by law
over all funds. Appropriations for each fund lapse at the end of the budget year.
The Authority must appropriate monies not greater than the budgeted total
expenditures of each fund, at which level actual expenditures may not exceed
appropriations for the year. Generally, additional appropriations may be
authorized by law during the year in cases of emergency caused by the act of God, —
a public enemy or some contingency which could not have been reasonably foreseen
at the time of adoption of the budget.
-6-
NOTE 1 - continued
A supplementary appropriation was adopted for 1990, increasing appropriations for
the Terminal Fund from $128,950 to $202 ,765 to authorize a residual equity
transfer to the Airport Fund.
The following calendar includes various deadlines for the budget process set by
state statute.
October 15 Submission of proposed budget to Board of Commissioners. "Notice of
Budget" is published setting public hearing date.
December 31 Budget must be adopted . Certified copy of budget is sent to the
Division of Local Government within 30 days of adoption. Board of
Commissioners appropriates funds for the budget year.
_ Total columns on general purpose financial statements
Total columns on the general purpose financial statements are captioned "Memo
Only" to indicate that they are presented only to facilitate financial analysis.
Data in those columns do not present financial position or results of operations
in conformity with generally accepted accounting principles. Neither are such
data comparable to a consolidation.
NOTE 2 - FEDERAL AVIATION ADMINISTRATION GRANTS
In 1988 the Federal Aviation Administration awarded the Airport a $39,744 grant to
pay 90% of the allowable costs to update the Airport's Master Plan. The 10%
matching requirement was met by contributions from the City of Greeley and Weld
County. At December 31 , 1990, $29,808 of the grant had been expended and the
remainder is classified as deferred revenue.
Another FAA award was made to the Authority for pavement rehabilitation in the
amount of $461 ,835, with the FAA paying 90% of allowable costs. The Authority
will match its 10% share through contributions from the City of Greeley and Weld
County. At December 31 , 1990, $425,510 has been expended with $381 ,074 recorded
as a receivable for reimbursement from the FAA.
NOTE 3 - INVENTORIES
A summary of inventory components follows:
Aviation gas $ 17,881
Jet fuel 7,846
Auto fuel 214
Oil 701
Pilot supplies 2,551
Vending supplies 30
Total $ 29,223
NOTE 4 - NOTE RECEIVABLE
A promissory note was received on November 1 , 1987 in the amount of $66,079 for
the sale of a hangar. Beginning December 1 , 1987 monthly payments of $1 , 151 are
due, with payments first credited to interest at an annual rate of 10.86%. The
maturity date of the note is October 1 , 1993. Prepayments may be made without
premium at any time prior to maturity. The balance of the note at December 31 ,
1990 is $33,977.
-7-
NOTE 5 - MASTER PLAN
A plan for future airport expansion prepared in 1977 was modified and officially
adopted in 1980. The plan was again modified in 1984 and $5,869 of costs were -
capitalized. The plan was updated in 1988 and an additional $33, 120 was
capitalized as of December 31 , 1990. The 1988 plan has not been officially
adopted as of December 31 , 1990 and therefore no amortization of the costs have
been recorded.
NOTE 6 - BOND AND NOTES PAYABLE
A single 7 1/2% facilities acquisition bond was issued on October 28, 1983 in the
amount of $88,500 for the purchase of a hangar. Beginning November 1 , 1983
monthly payments of $1 ,051 are due, with payments first credited to interest. The
maturity date of the bond is October 1 , 1993. Prepayments may be made without
premium at any time prior to maturity. The balance of the bond at December 31 ,
1990 is $31 ,220.
At December 31 , 1990 notes payable consisted of the following:
Monthly -
Payments Interest Issue Date of Original Balance
Required _ Collateral Rate Date Maturity Amount 12/31/90
$ 3,600 T-Hangars 8.00% 10/13/87 10/15/92 $363,238 $312,564
$ 1 ,208 Hangar #44 7.50% 5/21/79 10/15/99 $150,000 97,890
$ 1 ,650 T-Hangars 7.50% 3/07/89 3/15/94 $ 80,693 56,842
$ - None 8. 75% 8/15/90 4/02/91 $15,OOOLOC 12,700
$ - Farm Products 8.75% 4/02/90 4/02/91 $65,OOOLOC 10,000
$489,996
Annual maturities of debt for each of the next five years are as follows:
Year ending December 31 :
1991 $ 75,690
1992 330,451
1993 36,417
1994 14,021
1995 9,987
Later years 54,650 —
Total $ 521 ,216
NOTE 7 - DEFERRED REVENUE - GAIN FROM SALE AND LEASEBACK OF HANGARS
The Airport constructed four hangars in 1981 at a cost of $415,406. On December
3, 1982 the Airport entered into a sale-leaseback agreement under which the --
hangars were sold to a third party for $423,000. Gain on the sale of $36,998 was
deferred to be amortized over the life of the hangars. During 1987 the Airport
exercised an option to reacquire the hangars from the lessor for a stipulated —
price of $239,000. The portion of the gain recognized for 1990 was $1 ,992.
-8-
NOTE 8 - OPERATING LEASES
The Airport has nine hangars and three T-sheds in which space is leased to users
of the Airport. Cost of the hangars and T-sheds, built between 1948 and 1981 , was
$887,828 with accumulated depreciation at December 31 , 1990 of $438,527. There
are 100 hangar units and 14 T-shed rental units. In 1990 monthly rental rates
ranged from $82 to $335 for each hangar unit and $44 to $110 for each T-shed unit.
Lease terms range from month to month up to one year but are generally cancelable
at any time at the lessee's option.
NOTE 9 - CHANGES IN CONTRIBUTED CAPITAL
Changes in contributed capital for the Airport Fund fiscal year ended December 31 ,
1990, are summarized by source as follows:
Contributed capital , January 1 , 1990 $4,893,367
Add current contributions: 425,510
Federal Aviation Administration 23,640
County of Weld, Colorado
Total current contributions 449, 150
Less depreciation on grants and local government appropriations (150,551 )
Contributed capital , December 31 , 1990 $5, 191 ,966
NOTE 10 - SEGMENT INFORMATION FOR ENTERPRISE FUNDS
Beginning January 1 , 1990, the Authority maintains one enterprise fund which is
intended to be self-supporting through fees charged for services and sales to the
public. To assure that the financial statements are not misleading, certain
segment information for the year ended December 31 , 1990, is as follows:
FINANCIAL POSITION INFORMATION
Net working capital $ 24,070
Property, plant and equipment: $ 496,086
Additions - at cost _
Deletions - at cost
NOTE 11 - FIXED ASSETS
A summary of enterprise fund fixed assets at December 31 , 1990 follows:
Land $1 ,555,301
Land improvements 5,211 ,046
Buildings and improvements 817,814
Vehicles, equipment and furniture 194,265
Construction in progress 4,377
Total 7,782,803
Less accumulated depreciation 2,084,328
Total $5,698,475
NOTE 12 - CASH
The Authority invests temporarily idle funds throughout the year. All such
deposited funds are fully covered by federal depository insurance.
-9-
NOTE 12 - Continued •
At December 31 , 1990, cash is summarized as follows:
Carrying Amount
and Market
Description Rate Value
Checking accounts N/A $ 9,635
Money market account 5.50% 35,942
Cash on hand N/A 350
Cash with county treasurer N/A 44,028
$ 89,955
NOTE 13 - RESIDUAL EQUITY TRANSFER
On January 1 , 1990, the net assets of the Terminal Fund was transferred to the
Airport Fund. The transfer reflects a change in how the Authority accounts for
its activities. Therefore, the transfer ($190,070) , was recorded to the retained
earnings of the Airport Fund and all the assets and liabilities of the Terminal
Fund are now those of the Airport Fund.
NOTE 14 - PRIOR PERIOD ADJUSTMENTS
The retained earnings of the Airport Fund as of December 31 , 1989 has been
restated for corrections of certain prior period items, as follows:
Airport Fund
Retained Earnings
Balance as originally stated $ (55, 133)
Additional outstanding operating loan (1 ,000)
Recognize deferred lease revenue (19, 114)
Balance as restated $ (75,247)
The 1989 amounts on the accompanying financial statements have been adjusted for
the effects of these corrections.
-10-
- COLE AND CROSIER, P.C.
INDEPENDENT AUDITOR'S OPINION ON INDIVIDUAL
CERTIFIED FUND FINANCIAL STATEMENTS, SCHEDULES AND STATISTICAL DATA
PUBLIC
ACCOUNTANTS
The Board of Commissioners
Greeley-Weld County Airport Authority
Greeley, Colorado
Our audit was made for the purpose of forming an opinion on the general
purpose financial statements taken as a whole. The combining and
individual fund financial statements, schedules and statistical data
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 Greeley-Weld County Airport Authority. Such
information has been subjected to the auditing procedures applied in the
audit of the general purpose financial statements. In our opinion, the
accompanying information is fairly stated in all material respects in
relation to the general purpose financial statements taken as a whole
for the year ended December 31 , 1990.
We have also previously audited, in accordance with generally accepted
auditing standards, the general purpose financial statements of the
Greeley-Weld County Airport Authority for the year ended December 31 ,
1989 (none of which are presented herein). In our opinion, the
individual fund financial statements, schedules and statistical data,
listed in the table of contents related to the 1989 financial statements
are fairly stated in all material respects in relation to the basic
financial statements from which it has been derived.
The statistical data for the years ended December 31 , 1986-1988 are
presented for the purpose of additional analysis and have not been
subjected to the same inquiries and analytical procedures applied in the
audit of the basic financial statements, but have been compiled from
information that is the representation of the management of Greeley-Weld
County Airport Authority without audit or review. Accordingly, we do
not express an opinion or any other form of assurance on these data.
MEMBER OF. .
AMERICAN ���--00II"��� VVV___"""Itfl++..-gVV...1..��� •^
INSTITUTE OF
CERTIFIED Cole and Crosier, P.C.
PUBLIC Certified Public Accountants
ACCOUNTANTS _
LaSalle, Colorado
303-284-5545June 5, 1991
111 MAIN STREET
PO BOX]18
LA SALLE,COLORADO 80645
-11-
- INDIVIDUAL FUND FINANCIAL STATEMENTS,
SCHEDULES AND STATISTICAL DATA
The individual fund financial statements present a summary of the financial
position of all funds of a given fund type and of the operating results of the
same funds. Schedules are presented featuring data prepared on a legal compliance
basis or basis differing from generally accepted accounting principles.
Statistical data provide readers with a broader understanding of the government
and the trends in its financial affairs than is possible from the financial
statements and supporting schedules.
ENTERPRISE FUNDS
The Enterprise Funds account for those activities where measurement of net income
is of primary concern for the purpose of setting user rates or determining other
fees.
The Enterprise Funds consist of the following individual funds:
AIRPORT FUND
The Airport Fund accounts for assets, liabilities, revenues and expenses involved
in the general operations of the airport. The fund's principal source of revenue
is land and hangar leases charged to airport operations.
TERMINAL FUND
The Terminal Fund accounts for assets, liabilities, revenues and expenses involved
in operating the airport terminal . The fund's principal source of revenue is fuel
sales charged to general airport users.
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Airport Fund
Balance Sheet
December 31 , 1990
(With Comparative Proforma Amounts at December 31 ,
1989 Assuming Consolidation with Terminal Fund)
1990 1989
ASSETS
CURRENT ASSETS
Cash on hand $ 350 $ 350
Cash with County Treasurer 44,028 70,611
Cash in checking 9,635 16,288
Cash in money market account - (1990-5.50%; 1989-5.75%) 35,942 34,600
Receivables -
Accounts 69,633 72,325
Farm commodities 4,410
Current portion of note receivable 10,683 9,602
Due from FAA 391 ,010 9,936
Colorado fuel tax 5,086 5,854
Due from local governments - 500
Accrued interest 303 389
Inventories 29,223 25, 165
Prepaid expenses
Insurance 9,627 9,061
Other 1 ,217 2,355
Total current assets 611 , 147 257,036
PROPERTY AND EQUIPMENT
Land 1 ,555,301 1 ,555,301
Land improvements 5,211 ,046 4,738,257
Buildings and improvements 817,814 817,814
Vehicles, equipment and furniture 194,265 175,345
Construction in progress 4,377 -
7,782,803 7,286,717
Less accumulated depreciation 2,084,328 1 ,871 ,632
Property and equipment - net 5,698,475 5,415,085
OTHER ASSETS
Note receivable - net of portion due
within one year (1990-$10,683; 1989-$9,602) 23,294 33,978
Master plan 33, 120 33, 120
Total other assets 56,414 67,098
TOTAL ASSETS $6,366,036 $5,739,219
1990 1989
LIABILITIES AND FUND EQUITY
CURRENT LIABILITIES
Notes payable $ 22,700 $ 5,504
Current portion of long-term debt 52,749 58,780
Current portion of deferred gain 1 ,992 1 ,992
Accounts payable 412,683 89,652
Retainage payable 41 ,701 -
Keegard deposits 10,240 9,360
Accrued interest payable 5,356 2,023
Compensated absences 2,714 4,254
Accrued wages 4,444 5,357
Payroll and other taxes payable 1 ,414 -
Deferred revenue
Leases 18,683 19, 114
Grant and local government contributions 12,401 11 ,040
Total current liabilities 587 077 207,076
LONG-TERM LIABILITIES
Notes payable - banks 467,296 520,426
Bond payable 31 ,220 41 ,082
Deferred gain on sale and leaseback of hangers 21 ,225 23,217
519,741 584,725
Less portion due within one year 54,741 60,772
Total long-term liabilities 465,000 523 953
Total liabilities 1 ,052,077 731 ,029
FUND EQUITY
Contributed capital 5, 191 ,966 4,893,367
Retained earnings-unreserved 121 ,993 114,823
Total fund equity 5,313,959 5,008, 190
TOTAL LIABILITIES AND FUND EQUITY $6,366,036 $5,739,219
-12-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Airport Fund
Schedule of Financial Resources Provided,
Applied and Changes in Working Capital -
Budget and Actual
For the Year Ended December 31 , 1990
(With Comparative Proforma Amounts for the Year Ended
_ December 31 , 1989 Assuming Consolidation With Terminal Fund)
Variance
Favorable 1989
Budget Actual (Unfavorable) Actual
FINANCIAL RESOURCES PROVIDED $1 , 150,200 $1 , 178,574 $ 28,374 $ 703,430
FINANCIAL RESOURCES APPLIED
Current operating expenses 264,890 _ 406,899 (142,009) 408,587
Capital outlay
Property and equipment 869,500 496,086 373,414 47,370
Master plan update - - - 14,720
Total capital outlay 869,500 496,086 373,414 62,090
Debt service
Interest expense 45,000 42,834 2, 166 52,011
Principal 62,241 62,992 (751) 51 ,523
Total debt service 107,241 105,826 1 ,415 103,534
TOTAL RESOURCES APPLIED 1 ,241 ,631 1 ,008,811 232,820 574,211
INCREASE (DECREASE) IN
FINANCIAL RESOURCES $ (91 ,431) 169,763 $ 261 , 194 129,219
* WORKING CAPITAL (DEFICIT)
Beginning of year (101 ,635) (28,089)
End of year $ 68, 128 $ 101 , 130
* (Current assets less current portion of note receivable) minus (current liabilities
less current portion of long-term liabilities).
-13-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Airport Fund
Schedule of Financial Resources Provided -
Budget and Actual
For the Year Ended December 31 , 1990
(With Comparative Proforma Amounts for the Year Ended
December 31 , 1989 Assuming Consolidation with Terminal Fund)
Variance
Favorable 1989 -
Budget Actual (Unfavorable) Actual _._
Sales
Aviation gas - $ 253,232 $ 253,232 $ 232,679
Jet fuel - 338,253 338,253 296,448
Auto gas - 4,914 4,914 7,798
Oil - 1 , 117 1 , 117 1 ,257
Vending - 949 949 7,392
Pilot supplies - 12,211 12,211 9,607
Volume discounts - _ (85,.295) (85,295) (78,208) --
Total net sales - 525,381 525,381 476,973
Cost of sales
Aviation gas - 152,695 152,695 137,326
Jet fuel - 179,883 179,883 129,469
Auto gas - 4,298 4,298 5,552
Oil - 898 898 1 ,075 -
Vending - 764 764 6, 126
Pilot supplies - 10,601 10,601 10.380
Total cost of sales = 349, 139 349, 139 289,928 --
Gross margin - 176,242 176,242 187,045
Leases and rentals
Land rents $ 56,000 57,789 1 ,789 54,335
T-hanger rents 152,000 144, 105 (7,895) 152,396
Tiedown - 2,865 2,865 10,490
Building - 2,705 2,705 3,555
Total leases and rentals _208,000 207,464 (536) 220,776
Charges for services
Fuel flow fees 18,000 15, 121 (2,879) 24,848
Operators licenses 4,700 2,900 (1 ,800) 3,900
Other_gperating revenue
Colorado fuel tax 20,000 19,624 (376) 22,466 -
Finance charges 1 ,000 2, 123 1 , 123 2,316
Miscellaneous revenue 1 ,500 1 ,842 342 3,038
Total other operating revenue 22,500 23,589 1 ,089 27,820
Farm revenue
Crops 77,816 89,988
Government payments 1 ,370 7,639
Rents 280 280
Total farm revenue 120,000 79,466 (40,534) 97,907
Variance
Favorable 1989
Budget Actual (Unfavorable) Actual__
Other financial resources
provided
Grants from FAA 688,000 425,510 (262,490) 13,248
Local government appropriations 76,500 23,640 (52,860) 46,295
Earnings on investments 7,500 5,988 (1 ,512) 7,556
Oil and gas lease revenue 4,000 6,286 2,286 4,930
Proceeds of long-term debt - - - 58,666
Proceeds from sale of assets 1 ,000 - ( 1 ,000) 2,493
Principal on note receivable - 9,603 9,603 7,946
Residual equity transfer from
Terminal Fund - 202,765 202,765 N/A
Total other resources provided 777.000 673,792 (103,208) 141 .134
TOTAL RESOURCES PROVIDED $1 , 150,200 11 ,178,574 $ 28,,374 $ 703,430
N/A - Not applicable
-14-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Airport Fund
Schedule of Current Operating Expenses -
Budget and Actual
For the Year Ended December 31 , 1990
(With Comparative Proforma Amounts for the Year Ended
December 31 , 1989 Assuming Consolidation with Terminal Fund)
Variance
Favorable 1989
Budget Actual (Unfavorable) Actual
AIRPORT
Personnel services
Manager $ 30,048 $ 36,841
Other salaries and wages $ 70,000 43,576 $ (3,624) 36,827
FICA 5,600 6,097 (497) 5,256
Health and life insurance 3,400 6,707 (3,307) 3,496
Workmen's compensation 3,300 3, 113 187 2,743
Unemployment compensation 1 ,000 - 1 ,000 222
Retirement 4,000 - 4,000 -
Contractual services
Auditing 3,500 2,750 750 3,950 -
Security 350 383 (33) 328
Legal 3,000 1 ,555 1 ,445 3,698
Engineering - 300 (300) 400
Other contract work 1 ,000 - 1 ,000 -
Supplies
Office supplies 1 ,500 1 ,401 99 1 ,424 -
Other supplies 4,000 4,296 (296) 3,236
Uniforms and clothing 200 406 (206) -
Repairs and maintenance
Buildings 2,000 2,713 (713) 2,007
Equipment 6,000 6,550 (550) 5,930
Grounds 16,000 10,395 5,605 46, 160 _
Utilities
Telephone 3,800 5,292 (1 ,492) 4, 187 -
Electric 5,000 5,400 (400) 4,307
Water 800 869 (69) 853
Gas 2,000 3,336 (1 ,336) 1 ,860
Other
Insurance 9,000 11 ,580 (2,580) 13,235
Equipment rent 3,000 2,041 959 2,050
Dues and subscriptions 2,440 1 ,985 455 1 ,780
Miscellaneous 3,000 646 2,354 757
Bad debts 500 8, 169 (7,669) 567
Postage 1 ,200 811 389 971
Promotion and advertising 2,000 1 ,792 208 503
Fuel for equipment 2,800 6,383 (3,583) 3,229
Meetings and travel 4,500 2,057 2,443 4,030
Total airport 164 890 170 651 (5,761) 190,847
Variance
Favorable 1989
Budget Actual (Unfavorable- Actual
TERMINAL
Personnel services
Salaries - 58,451 (58,451) 55,708
FICA - 4,534 (4,534) 4,001
Health and life insurance - 2,478 (2,478) 1 ,210
Workmen's compensation - 1 ,623 (1 ,623) 2,743
Contractual services
Legal - 173 (173) 798
Auditing - 2,750 (2,750) 3,950
Tank testing - 3,800 (3,800) -
-- Security - 320 (320) 348
Supplies
Office supplies - 1 ,400 (1 ,400) 1 ,538
Uniforms and clothing - 1 ,063 (1 ,063) 2, 132
Consumable supplies and tools - 3,835 (3,835) 4,272
Repairs and maintenance
Buildings - 1 , 177 (1 , 177) 1 ,261
Equipment - 5,994 (5,994) 3,337
Grounds - 886 (886) 30
Utilities
Telephone - 4,322 (4,322) 3,591
Electric - 4,212 (4,212) 4, 111
Water - 435 (435) 367
Gas - 755 (755) 952
Other
Credit card process charges - 2,071 (2,071) 1 ,562
_ Insurance - 7,600 (7,600) 6,297
Equipment rent - 17,799 (17,799) 19,237
Fuel - 1 ,266 (1 ,266) 894
Postage - 883 (883) 696
Miscellaneous - 3, 126 (3,126) 2,682
Bad debts - 4, 123 (4, 123) 248
Promotion and advertising - 1 ,727 (1 ,727) 522
Travel and transportation - 719 (719) 1 ,561
Dues and subscriptions - 569 (569) 553
Total terminal - 138,091 (138,091) 124,601
Variance
Favorable 1989
Budget_ Actual (Unfavorable) Actual _
FARM
Personnel services
Salaries and wages 2,875 -
FICA 220 --
Contractual services
Chemical applications 34,991 31 ,095
Management fee - 15,455
Machine hire/contract work 36,470 26,757
Freight - 529
Supplies
Seed 6,991 5,712
Other supplies 2,335 -
Repairs and maintenance
Equipment - 112
Grounds 733 532
Utilities
Electric 4,537 4, 174
Water 3,527 3,357
Gas 954 797
Other
_ Interest 3, 193 3,345
Miscellaneous 179 5
Fuel for equipment 1 ,152 1 ,269
Total farm 100,000 98,157 1 ,843 93, 139
TOTAL CURRENT OPERATING
EXPENSES t 264,.890 $ 406 899 $ (142,009) 1_ 408.1587
-15-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Terminal Fund
Schedule of Financial Resources Provided _
Applied and Changes in Working Capital -
Budget and Actual
For the Year Ended December 31 , 1990
Variance
Favorable
Budget Actual (Unfavorable)
FINANCIAL RESOURCES PROVIDED
Sales
Aviation gas $ 232,000 $ - $ (232,000)
Jet fuel 290,000 - (290,000)
Auto gas 9,000 - (9,000)
Oil 1 ,300 - (1 ,300) -
Vending 7,000 - (7,000)
Pilot supplies 8,500 - (8,500)
Volume discounts (78,200) - 78,200
Total net sales 469,600 - (469,600)
Cost of sales 138,000
Aviation gas 138,000 -
Jet fuel 124,000 - 124,000
Auto gas 5,500 - 5,500
Oil 1 ,200 - 1 ,200
5,800 - 5,800
Vending 6,500 - 6,500
Pilot supplies 281 ,000
Total cost of sales 281 ,000 -
Gross margin 188,600 - (188,600)
Leases and rentals 10,200 - (10,200)
Building uin 4,500 - (4,500)
Buildi
Total leases and rentals 14,700 - (14,700)
Other financial resources provided 1 ,000 - (1 ,000)
Finance charges 1 ,000 - (1 ,000)
Miscellaneous 2,000 - (2,000)
Total other resources provided
TOTAL RESOURCES PROVIDED 205,300 - (205,300)
Variance
Favorable
Budget Actual (Unfavorable)
FINANCIAL RESOURCES APPLIED
Current operating expenses 124,950 - 124,950
Debt service
Interest expense 4,000 - 4,000
Residual equity transfer to Airport Fund 73,815 202,765 1128,950)
TOTAL RESOURCES APPLIED 202,765 202,765 -
- INCREASE IN FINANCIAL RESOURCES $ 2,535 (202,765) $ (205,300)
* WORKING CAPITAL
Beginning of year 202,765
End of year -
* Current assets minus (current liabilities less current portion of long-term
liabilities) .
-16-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
_ Terminal Fund
Schedule of Current Operating Expenses -
Budget and Actual
For the Year Ended December 31 , 1990
Variance
Favorable
Budget Actual (Unfavorable)
Personnel services
Salaries $ 57,800 $ - $ 57,800
FICA 4,300 - 4,300
Health and life insurance 1 ,400 - 1 ,400
Workmen's compensation 1 ,000 - 1 ,000
Contractual services
Legal 1 ,000 - 1 ,000
Auditing 3,000 - 3,000
Other 300 - 300
Supplies
Office supplies 1 ,600 - 1 ,600
Uniforms and clothing 1 ,000 - 1 ,000
Consumable supplies and tools 3,400 - 3,400
Repairs and maintenance
Equipment 5,000 - 5,000
•
Utilities
Telephone 3,600 - 3,600
Electric 4,000 - 4,000
Water 500 - 500
Gas 950 - 950
Other
Credit card process charges 1 ,600 - 1 ,600
Insurance 5,300 - 5,300
Equipment rent 19,600 - 19,600
- Fuel 1 ,000 - 1 ,000
Postage 800 - 800
Miscellaneous 3,000 - 3,000
Bad debts 50 - 50
Promotion and advertising 2,000 - 2,000
Travel and transportation 2,200 - 2,200
Dues and subscriptions 550 - 550
TOTAL CURRENT OPERATING EXPENSES $ 124,950 $ - $ 124,950
-17-
GREELEY-WELD COUNTY AIRPORT AUTUORITY
Statistical Data
Last Five Fiscal Years
1990 _ 1989 1988 _
Expenses_by_ type
Personnel expenses $ 156,627 $ 149,047 $ 155,074
Contractual services 12 ,031 13,472 14,093
Supplies 12,401 12,602 8,285
Repairs and maintenance 27,715 58,725 29,461
Utilities 24,621 20,228 20,490
Other operating expenses 75,347 61 ,374 52,480
Farm expenses _ 98, 157 93139 _ 102x474
Total operating expenses 406,899 408,587 382,357 _
Interest expense 42,834 52,011 55,924
Depreciation and amortization 212,696 205,544 210,783
Total expenses 1_ 662,429 $ 666,142 $ 649,064
Revenues by source
Sales $ 525,381 $ 476,973 $ 405,571 -
Cost of sales 349, 139 (289,928) (259,943)
Gross margin 176,242 187,045 145,628
Leases and rentals (3) 207,464 220,776 194,307 _
Charges for services 15, 121 24,848 17,855
Other operating revenue 23,589 27,820 7, 124
Operators licenses 2,900 3,900 -
Farm revenue 79,466 97,907 116,535
Total operating revenues 504,782 562,296 481 ,449
Interest income 5,988 7,556 9,857
Oil and gas lease revenue 6,286 4,930 5,241 -
Gain (loss) on disposal
of assets 1 ,992 (4, 104) 2,406
Miscellaneous revenue 37,123
Total revenues $ 519,048. $_ 607,801 $ 498,953
Operating income before
depreciation (3) $ 97,883 $ 153709 $ 99,092
Fund equity_ =_end of year
Contributed capital $5, 191 ,966 $4,893,367 $5,012,076
Retained earnings (3) 121 ,993 114,823 49y369
Total fund equity $5,313,959 15,006, 190 15a1)61,2,1_45
Net working capital (deficit) -
end of_year__(3j_ $__24_,070 $ 49,960 $ (75,685) -
Total out_standing_debt -_
end_of _year $ 521_,216 $ 567,012 1 635,959 _
Total liabilities to net
worth_ %)_(1 (31 19_,80% 14.60% 15.96%
Total liabilities_to_total
assets (%) _(21(41 16.53% 12.74% 13.76%
198.7 - 1986
$ 140, 722 $ 116,848
15, 190 12,243
10,644 12,999
27,241 23,409
21 ,803 18,678
75,659 46,883
92, 171 75,684
-- 383,430 297,744
54, 154 63, 158
206, 164 210, 175
1_643,748 $ 571 ,077
$ 384,397 $ 385, 151
(245, 156) (270,572)
139,241 114,579
-- 195,757 209,022
16,651 18,684
14,884 6,532
82,797 81 ,581
449,330 430,398
5,421 2,948
9,756 15,515
29,211 1 ,992
_ 4,133 _ -
$ 498,051 $ 450,853
$ 65_,900 $ 132,654
$5, 123,430 $4,840,983
51_,877 48_,570
15,17_5,307 $4,889,553
1_20,447) $_(330, 179)
$__700,619 $ 675,736
15,.65% 20. 10%
13.54% 16.74%
(1) Indicates degree of dependence on creditors.
(2) Reports extent to which authority is financed by debt and its financial risk.
(3) 1986 - 1988 not adjusted for effects of unrecorded deferred lease revenue at end
of each year.
-18-
COLE AND CROSIER, P.C.
CERTIFIED
PUBLIC INDEPENDENT AUDITOR'S REPORT ON SCHEDULE
ACCOUNTANTS
OF FEDERAL FINANCIAL ASSISTANCE
±L , .:�.�...."".cam
a n
'., ' board of Commissioners
�� Greeley-Weld County Airport Authority
Greeley, Colorado
We have audited the general purpose financial statements of the
Greeley-Weld County Airport Authority, for the year ended December 31 ,
1990, and have issued our report thereon dated June 5, 1991 . These
general purpose financial statements are the responsibility of the
Authority's management. Our responsibility is to express an opinion on
these general purpose financial statements based on our audit.
We conducted our audit in the accordance with generally accepted
auditing standards and 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.
Our audit was made for the purpose of forming an opinion on the general
- purpose financial statements of the Authority taken as a whole. The
accompanying schedule of federal financial assistance is presented for
purposes of additional analysis and is not a required part of the
_- general purpose financial statements. The information in that schedule
has been subjected to the auditing procedures appliea in the audit of
the general purpose financial statements, and, in our opinion, is
fairly presented in all material respects in relation to the general
purpose financial statements taken as a whole.
•�D. �`-�+ukl..
MEMBER OF: �.C •
AMERICAN
INSTITUTE OF Cole and Crosier, P.C.
CERTIF±ED
PUBLIC Certified Public Accountants
_ ACCOUNIANTS
LaSalle, Colorado
--- 303-284-5545 June 5, 1991
111 MAIN STREET
RO BOX 718
LA SALLE,COLORADO 80645
-19-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Schedule of Federal Financial Assistance
For the Year Ended December 31 , 1990
Federal
Federal Grantor/Pass-Through CFDA Award Revenue
Grantor/Program Title _Number Amount Recognized Expenditures
U.S. Department of Transportation/
Federal Aviation Administration
Airport Development Aid Program
(ADAP) 20. 102
Master Plan $ 44, 160 - -
Airport Rehabilitation $ 461 ,835 $ 425,511 $ 425,511
Total Federal Assistance $ 425,511 $ 425,511
See accompanying notes to schedule of federal financial assistance.
-20-
GREELEY-WELD COUNTY AIRPORT AUTHORITY
Notes to Schedule of Federal Financial Assistance
For the Year Ended December 31 , 1990 -
General
The accompanying Schedule of Federal Financial Assistance presents the activity of
all federal financial assistance programs of the Greeley-Weld County Airport -
Authority's reporting entity is defined in Note 1 of the Authority's general
purpose financial statements.
Basis of Accounting
The accompanying Schedule of Federal Financial Assistance is presented using the
accrual basis of accounting, which is described in Note 1 to the Authority's
general purpose financial statements.
Relationship to General Purpose Financial Statements -
Federal financial assistance revenues are reported in the Authority's general
purpose financial statements as capital contributions as described in Note 9 to _
the Authority's general purpose financial statements and expenditures are
capitalized as depreciable assets.
-21-
COLE AND CROSIER, P.C.
INDEPENDENT AUDITOR'S REPORT ON INTERNAL ACCOUNTING
CONTROL - GENERAL PURPOSE FINANCIAL STATEMENTS
CERTIFIED
PUBLIC Board of Commissioners
- ACCOUNTANTS
Greeley-Weld County Airport Authority
5i, V14 Greeley, Colorado
r4
a We have audited the general purpose financial statements of the Greeley-
Weld County Airport Authority as of and for the year ended December 31 ,
1990, and have issued our report thereon dated June 5. 1991 .
We conducted our audit in accordance with generally accepted auditing
standards and 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
financial statements are free of material misstatement.
In planning and performing our audit of the general purpose financial
statements of the Authority for the year ended December 31 , 1990, we
considered its internal control structure in order to determine our
auditing procedures for the purpose of expressing our opinion on general
purpose financial statements and not to provide assurance on the
internal control structure.
The management of the Authority is responsible for establishing and
— maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgements by management are required to
assess the expected benefits and related costs of internal control
structure policies and procedures. The objectives of an internal
control structure are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from
unauthorized use or disposition, and that transactions are executed in
accordance with management's authorization and recorded properly to
permit the preparation of general purpose financial statements in
accordance with generally accepted accounting principles. Because of
inherent limitations in any internal control structure, errors or
irregularities may nevertheless occur and not be detected. Also,
projection of any evaluation of the structure to future periods is
subject to the risk that procedures may become inadequate because of
changes in conditions or that the effectiveness of the design and
operation of policies and procedures may deteriorate.
- MEMBER OF, For the purpose of this report, we have classified the significant
AMERICAN internal control structure policies and procedures in the following
INSTITUTE OF
CERTIFIED categories:
PUBLIC
ACCOUNTANTS Accounting Controls
Accounting Applications
Cash Receipts
-. 303-264.5545 Cash Disbursements
11T MAIN STREET Payroll
PO Box-NB
LA SALLE,COLORADO 80645
Solely to assist us in planning and performing our audit, we made a study and
evaluation of the internal control structure of the Authority. That study and
evaluation was limited to a preliminary review of the structure to obtain an
understanding of the control environment and the flow of transactions through the
accounting system. Because it would not be efficient for us to obtain evidential
matter to evaluate the effectiveness of the Authority's policies and procedures,
our study and evaluation did not extend beyond this preliminary review phase.
Our consideration of the internal control structure would not necessarily disclose
all matters in the internal control structure that might be reportable conditions
and accordingly, would not necessarily disclose all reportable conditions that are
also considered to be material weaknesses as defined above. However, our study
- and evaluation disclosed no condition that we believe to be a material weakness.
This report is intended for the information of management and the U.S. Department
of Transportation, Federal Aviation Administration and should not be used for any
other purpose. This restriction is not intended to limit the distribution of this
report, which is a matter of public record.
r.,„„S) �. k._.
Cole and Crosier, P.C.
Certified Public Accountants
LaSalle, Colorado
June 5, 1991
-22-
COLE AND CROSIER, P.C.
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL -
FEDERAL FINANCIAL ASSISTANCE PROGRAMS
CERTIFIED
PUBLIC
ACCOUNTANTS Board of Commissioners
Greeley-Weld County Airport Authority
Greeley, Colorado
We have audited the general purpose financial statements of the Greeley-
Weld County Airport Authority, as of and for the year ended December 31 ,
1990, and have issued our report thereon datea June 5, 1991 .
We conducted our audit in accordance with generally accepted auditing
standards, Government Auditing Standards, issued by the Comptroller
General of the united States and Office of Management and Budget (OMB)
Circular A-128, "Audits of State and Local Governments" . Those
standards and OMB Circular A-128 require that we plan and perform the
audit to obtain reasonable assurance about whether the general purpose
financial statements are free of material misstatement.
In planning and performing our audit for the year ended December 31 .
1990, we considered the Authority's internal control structure in order
to determine our auditing procedures for the purpose of expressing our
opinion on the Authority's general purpose financial statements and on
its compliance with requirements applicable to major programs and not to
provide assurance on the internal control structure. This report
addresses our consideration of internal control structure policies and
procedures relevant to compliance with requirements applicable to
federal financial assistance programs. We have addressed policies and
_ procedures relevant to our audit of the general purpose financial
statements in a separate report dated June 5, 1991 .
The management of the Authority is responsible for establishing and
maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgements by management are required to
assess the expected benefits and related costs of internal control
- structure policies and procedures. The objectives of an internal
control structure are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from
unauthorized use or disposition, that transactions are executed in
accordance with generally accepted accounting principles, and that
federal financial assistance programs are managea in compliance with
applicable laws and regulations. Because of inherent limitations in any
MEMBER OF: internal control structure, errors, irregularities, or instances of
AMERICAN noncompliance may nevertheless occur and not be detected. Also,
INSTITUTE OF
CERTIFIED projection of any evaluation of the structure to future periods is
PUBLIC subject to the risk that procedures may become inadequate because of
ACCOUNTANTS
changes in conditions or that the effectiveness of the design and
operation of policies and procedures may deteriorate.
303-284-5545
111 MAIN STREET
P.O.BOX 718
LA SALLE.COLORADO 60645
For the purpose of this report, we have classified the significant internal
control structure policies and procedures used in administering federal financial
assistance programs in the following categories:
General Requirements
Davis-Bacon Act
Specific Requirements
Matching level of effort
Reporting
During the year ended December 31 , 1990, the Authority had expended 100% of its
total federal financial assistance under a major federal financial assistance
- program.
With respect to internal control systems used in administering the major federal
financial assistance program, our study and evaluation included considering the
types of errors and irregularities that could occur, determining the internal
control procedures that should prevent or detect such errors and irregularities,
determining whether the necessary procedures are prescribed and are being followed
- satisfactorily, and evaluating any weaknessess.
Our study and evaluation was more limited than would be necessary to express an
opinion on the internal control system used in administering the federal financial
assistance programs of the Greeley-Weld County Airport Authority. Accordingly, we
do not express an opinion on the internal control systems used in administering
the federal financial assistance programs of the Greeley-Weld County Airport
Authority. Further, we do not express an opinion on the internal control systems
used in administering the major federal financial assistance programs of the
Greeley-Weld County Airport Authority.
Our consideration of the internal control structure would not necessarily disclose
all matters in the internal control structure that might be reportable conditions
and, accordingly, would not necessarily disclose all reportable conditions that
are also considered to be material weaknesses as defined above. However, our
study and evaluation disclosed no condition that we believe to be a material
weakness in relation to a federal financial assistance program of Greeley-Weld
County Airport Authority.
This report is intended solely for the use of the management and the U.S.
Department of Transportation, Federal Aviation Administration and should not be
used for any other purpose. This restriction is not intended to limit the
distribution of this report, which is a matter of public record.
>.e_ .
Cole and Crosier, P.C.
Certified Public Accountants
LaSalle, Colorado
June 5, 1991
-23-
COLE AND CROSIER, RC. INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE -
GENERAL PURPOSE FINANCIAL STATEMENTS
CERTIFIED Board of Commissioners
PUBLIC
ACCOUNTANTS Greeley-Weld County Airport Authority
Greeley, Colorado
5 �
We have audited the general purpose financial statements of the Greeley-
. Weld County Airport Authority, as of and for the year ended December 31 ,
1990, and have issued our report thereon dated June 5, 1991 .
We conducted our audit in accordance with generally accepted auditing
- standards and Government Auditing Standards, issued by the Comptroller
General of the United States. Those standards reouire that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement.
Compliance with laws, regulations, contracts, and grants applicable to
the Authority is the responsibility of the Authority's management. As
part of obtaining reasonable assurance about whether the general purpose
financial statements are free of material misstatement, we performed
tests of the Authority's compliance with certain provisions of laws,
regulations, contracts, and grants. However, our objective was not to
provide an opinion on overall compliance with such provisions.
The results of our tests indicated that, with respect to the items
tested, the Authority complied, in all material respects, with the
provisions referred to in the preceding paragraph. Witn respect to
items not tested, nothing came to our attention tnat caused us to
believe that the Authority has not complied, in all material respects,
with those provisions.
This report is intended for the information of management and the U.S.
Department of Transportation, Federal Aviation Administration and should
not be used for any other purpose. This restriction is not intended to
_ limit the distribution of this report, which is a matter of public
record.
- . �,....� A_ .
Cole and Crosier, P.C.
MEMBER of AMERICAN Certified Public Accountants
INSTITUTE OF
CERTIFIED
PUBLIC
ACCOUNTANTS LaSalle, Colorado
June 5, 1991
303-2845545
111 MAIN STREET
PO BOX 718
LA SALLE.COLORADO 60645
- -24-
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE -
COLE AND CROSIER, P.C. FEDERAL FINANCIAL ASSISTANCE PROGRAMS
Board of Commissioners
Greeley-Weld County Airport Authority
CERTIFIED Greeley, Colorado
PUBLIC
ACCOUNTANTS
We have audited Greeley-Weld County Airport Authority in compliance with
5 the requirements governing matching, level of effort, or earmarking and
r
Ol
reporting that are applicable to its major federal financial assistance
, n program, which is identified in the accompanying schedule of federal
financial assistance, for the year ended December 31 , 1990. The
_- management of Greeley-Weld County Airport Authority is responsible for
the Authority's compliance with those requirements. Our responsibility
is to express an opinion on compliance with those requirements based on
our audit.
We conducted our audit in accordance with generally accepted auditing
standards and Government Auditing Standards, issued by the Comptroller
General of the United States and Budget (OMB) Circular A-128, "Audits of
State and Local Governments" . Those standaras and OMB Circular A-128
require that we plan and perform the audit to obtain reasonable
_ . assurance about whetner material noncompliance with the requirements
referred to above occurred. An audit includes examining, on a test
basis, evidence about the Authority compliance with those requirements.
We believe tnat our audit provides a reasonable basis for our opinion.
In our opinion, Greeley-Weld County Airport Authority complied, in all
material respects, with the requirements governing, matching, level of
- effort, or earmarking and reporting that are applicable to its major
federal financial assistance program for the year ended December 31 ,
1990.
In connection with our audit of the 1990 financial statements of
Greeley-Weld County Airport Authority, we have applied procedures to
test the Authority's compliance with the following requirements
applicable to its major federal financial assistance program, which are
identified in the accompanying schedule of federal financial assistance,
for the year enced December 31 , 1990:
Davis-Bacon Act
Federal financial reports
Our procedures for testing the requirements applicable to the major
programs, which are listed in the preceding paragraph, were limited to
the applicable procedures described in the Office of Management and
MEMBER OF Budget's "Compliance Supplement for Single Audits of State and Local
AMERICAN Governments" . Our procedures for testing compliance with the
INSTITUTE OF
CERTIFIED requirements applicable to the major program which is listed in the
PUBLIC preceding paragraph was substantially less in scope than an audit, the
ACCOUNTANTS
objective of which is the expression of an opinion on Greeley-Weld
County Airport Authority's compliance with the reauirements.
Accordingly, we do not express such an opinion.
303.284-5545
111 MAIN STREET
PO BOX 718
LA SALLE.COLORADO 80645
Witn respect to the items tested, the results of those procedures
disclosed no material instances of noncompliance with the requirements
-- listed in the fifth paragraph of this report. With respect to items not
tested, nothing came to our attention that caused us to believe that
Greeley-Weld County Airport Authority had not complied, in all material
respects, with those requirements.
This report is intended for the information of management and the U.S.
Department of Transportation, Federal Aviation Administration and should
not be used for any other purpose. This restriction is not intended to
limit the distribution of this report, which is a matter of public
record.
Cole and Crosier, P.C.
Certified Public Accountants
LaSalle, Colorado
June 5, 1991
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