HomeMy WebLinkAboutAgenda - 12-12-2006-7aORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: December 12, 2006
Action Agenda
Item No. 7•Q
SUBJECT: 2005-2006 Comprehensive Annual Financial Report (CAFR)
DEPARTMENT: Finance PUBLIC HEARING: (Y/N) No
ATTACHMENT(S): (Under Separate INFORMATION CONTACT:
Cover) Ken Chavious, 245-2453
CAFR
SportsPlex Audit Report
PURPOSE: To receive the Comprehensive Annual Financial Report (CAFR) including the
Single Audit Report and the audit report for the SportsPlex for the fiscal year ended June 30,
2006.
BACKGROUND: The CAFR covers all financial activity, of the County for the 2005-2006 fiscal
year. In the past, the County has issued both a CAFR and a separate Single Audit Report that
focused on grant compliance. This year's CAFR has a compliance section that includes all of
the Single Audit information. In addition, a separate audit report of the SportsPlex was
performed for the year as requested by the Board. The presentation of these reports results
from an annual audit of the County's financial ,records and those of the SportsPlex, which
occurred during the past several months. The audit was performed by Cherry Bekaert &
Holland, the firm of independent Certified Public Accountants. Presentation of the CAFR reports
is necessary in order to fulfill the requirements set forth in Chapter 159-34 of the North Carolina
General Statutes.
The results of the 2006 audit were very good. The auditors found no instances of material
weakness in the County's internal control structure and have issued an "unqualified" (good)
opinion on the County's financial statements. In fact, there were only minor audit findings
related to the audit of the CAFR and single audit of grants. A letter is included •that outlines
recommendations made by the auditor along with a letter of response from the County Finance
Director. The SportsPlex financials also received a positive audit. The County Finance Director
will cover in more detail some of the highlights of the reports and will be available to answer any
questions along with representatives of the County's certified public accounts, Cherry, Bekaert &
Holland.
FINANCIAL IMPACT: The County maintained sound financial condition at year end
experiencing an increase in available fund balance. It will be important to maintain this upward
trend in the upcoming fiscal year. In addition, the SportsPlex financial operating results
exceeded staff expectations. .
RECOMMENDATION(S): The Manager recommends that the Board receive the report for
information only.