Bond Bank Financial Statement Audit 2019
Government Auditing Standards
Independent Auditors' Report
Management’s Responsibility for the Financial Statements
Auditors’ Responsibility
Government Auditing Standards
Uniform ComplianceGuidelines for
Audit of Hospitals and State and Local Governments by Authorized Independent Public Accountants,
Opinion
Government Auditing Standards
Government Auditing Standards
Government
Auditing Standards
statements of net position
statements of revenues, expenses and changes in net position
statements of cash flows
notes to the financial statements
Long-term Debt:
THE CITY OF CARMEL LOCAL PUBLIC IMPROVEMENT BOND BANK
STATEMENTS OF NET POSITION
December 31, 2019 and 2018
20192018
ASSETS
Current Assets:
Cash
$ 75,188 $ 94,560
Interest receivable
5,313,631 5,425,346
Investments held by trustees, at fair value
2,342,861 3,531,107
Loans receivable, current
9,864,555 7,337,900
Total Current Assets
17,596,235 16,388,913
Noncurrent Assets:
Loans receivable, net
393,056,266 408,220,898
Total Noncurrent Assets
393,056,266 408,220,898
Total Assets
410,652,501 424,609,811
LIABILITIES
Current Liabilities:
Interest payable
6,390,869 6,527,616
Funds held for qualified entities
125,661 1,461,812
Bonds payable - current
10,455,000 7,910,000
Total Current Liabilities
16,971,530 15,899,428
Noncurrent Liabilities:
Bonds payable, net
393,175,120 408,323,459
Total Noncurrent Liabilities
393,175,120 408,323,459
Total Liabilities
410,146,650 424,222,887
NET POSITION
$ 505,851 $ 386,924
See accompanying notes.
8
THE CITY OF CARMEL LOCAL PUBLIC IMPROVEMENT BOND BANK
STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET POSITION
Years Ended December 31, 2019 and 2018
20192018
OPERATING REVENUES
Interest
$ 20,849,397 $ 21,214,376
Total Operating Revenues
20,849,397 21,214,376
OPERATING EXPENSES
Interest
20,695,460 21,140,810
Administrative costs
35,010 15,690
Total Operating Expenses
20,730,470 21,156,500
INCREASE IN NET POSITION
118,927 57,876
NET POSITION
Beginning of Year
386,924 329,048
End of Year
$ 505,851 $ 386,924
See accompanying notes.
9
THE CITY OF CARMEL LOCAL PUBLIC IMPROVEMENT BOND BANK
STATEMENTS OF CASH FLOWS
Years Ended December 31, 2019 and 2018
20192018
OPERATING ACTIVITIES
Cash received from interest and administrative fees
$ 16,267,773 $ 15,076,143
Cash payments for interest, administrative and other expenses
(16,222,585) (15,330,956)
Net Cash Provided (Used) by Operating Activities
45,188 (254,813)
INVESTING ACTIVITIES
Maturities of loans to qualified entities
7,993,345 5,211,540
Maturities of investments
958,000 958,000
Net Cash Provided by Investing Activities
8,951,345 6,169,540
NON-CAPITAL FINANCING ACTIVITIES
Principal payments to reduce indebtedness
(7,910,000) (4,925,000)
Payments related to funds held for qualified entities
(1,336,151) (2,449,276)
Net Cash Used by Non-Capital Financing Activities
(9,246,151) (7,374,276)
NET DECREASE IN CASH AND SHORT-TERM INVESTMENTS
(249,618) (1,459,549)
CASH AND SHORT-TERM INVESTMENTS
Beginning of Year
2,667,667 4,127,216
End of Year
$ 2,418,049 $ 2,667,667
CASH AND SHORT-TERM INVESTMENTS
Cash
$ 75,188 $ 94,560
Short-term investments
2,342,861 2,573,107
$ 2,418,049 $ 2,667,667
RECONCILIATION OF INCREASE IN NET POSITION TO NET
CASH PROVIDED (USED) BY OPERATING ACTIVITIES:
Increase in net position
$ 118,927 $ 57,876
Adjustments to reconcile increase in net position to net cash
provided (used) by operating activities:
Loan premium amortization
4,644,632 4,771,592
Bond premium amortization
(4,693,339) (4,821,276)
Changes in certain assets and liabilities:
Interest receivable
111,715 (1,316,958)
Interest payable
(136,747) 1,053,953
Net Cash Provided (Used) by Operating Activities
$ 45,188 $ (254,813)
See accompanying notes.
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Nature of Operations:
Basis of Presentation:
Estimates:
Cash and Equivalents
Investments:
Loans Receivable:
Original Issue Premiums and Discounts:
Bond Issuance Costs:
Income Taxes:
Subsequent Events:
Level 1
Level 2
Level 3
Money Market Fund Shares:
Certificates of Deposit:
Independent Auditors' Report on Internal Control over
Financial Reporting and on Compliance and Other Matters
Based on an Audit of Financial Statements Performed
in Accordance with Government Auditing Standards
Government Auditing Standards,
Uniform ComplianceGuidelines for
Audit of Hospitals and State and Local Governments by Authorized Independent Public Accountants,
deficiency in internal control
material weakness
significant deficiency
Government Auditing Standards
Government Auditing Standards