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Audit Community Art 2008 I I I I I I I I I I I I I I I I I I I SALINA ARTS AND HUMANITIES COMMISSION COMMUNITY ART & DESIGN PROGRAM Salina, Kansas COMPILED FINANCIAL STATEMENTS December 31, 2008 WOODS & DURHAM, CHARTERED Certified Public Accountants Salina, Kansas I I I I I I I I I I I I I I I I I I I certified public C H ART ERE D accountants Salina Arts and Humanities Commission Community Art & Design Program Salina, Kansas We have compiled the accompanying statement of assets, liabilities and net assets - cash basis, of the Salina Arts and Humanities Commission - Community Art & Design Program (a nonprofit organization), as of December 31, 2008, and the related statement of revenue and expenses - cash basis, for the year then ended, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. These financial statements were prepared on the cash basis of accounting, which is a comprehensive basis of accounting other than generally accepted accounting principles. A compilation is limited to presenting in the form of financial statements information that is the representation of management. We have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or any other form of assurance on them. 'WoodS dt})urlia~ Clitt! February 11, 2009 WOODS & DURHAM, CHTD. Certified Public Accountants 1619 E. Iron Avenue · P.O. Box 1516 · Salina, Kansas 67402-1516 · Phone 785-825-5494 Fax 785-825-4450 · www.woodsanddurham.com I I I I I I I I I I I I I I I I I I I Current Assets Cash Investments TOTAL ASSETS Net Assets Unrestricted SALINA ARTS AND HUMANITIES COMMISSION COMMUNITY ART & DESIGN PROGRAM Salina, Kansas STATEMENT OF ASSETS, LIABILITIES, AND NET ASSETS CASH BASIS December 31, 2008 ASSETS $ $ LIABILITIES AND NET ASSETS $ The accompanying notes are an integral part of these financial statements. 385 10,037 10,422 10,422 I I I I I I I I I I I I I I I I I I I SALINA ARTS AND HUMANITIES COMMISSION COMMUNITY ART & DESIGN PROGRAM Salina,Kansas STATEMENT OF REVENUE AND EXPENSES CASH BASIS Year Ended December 31,2008 PUBLIC SUPPORT AND REVENUE Revenue Investment return (Note 2) $ EXPENSES Program Services Special Projects Community Projects DEFICIENCY OF REVENUE OVER EXPENSES NET ASSETS - January 1, 2008 NET ASSETS - December 31, 2008 $ The accompanying notes are an integral part of these financial statements. (6,455) 359 (6,814) 17,236 10,422 I I I I I I I I I I I I I I I I I I I SALINA ARTS AND HUMANITIES COMMISSION COMMUNITY ART & DESIGN PROGRAM Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 2008 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations - The Community Art & Design Program was created in 2001 by the Salina Arts and Humanities Commission as a program to promote and support the integration of art in public spaces within the community. Initial funding came through various programs within the Commission. The Community Art & Design Program is a project of the Salina Arts and Humanities Commission. As such, it is exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code, and is not identified as a private foundation within the Code. Basis of Accounting - The organization prepares its financial statements on the cash basis of accounting, which is a comprehensive basis of accounting other than generally accepted accounting principles. Under this basis, revenue is recognized when received and expenses are recorded as disbursed. Cash and Cash Equivalents - Cash and cash equivalents include all monies in banks and highly liquid investments with maturity dates of three months or less. Fair market value equals carrying amounts. Investments - The Organization has adopted SFAS No. 124, "Accounting for Certain Investments Held by Not-for-Profit Organizations." Investments in marketable securities with readily determinable fair values and all investments in debt securities are reported at their fair values in the statement of assets, liabilities and net assets. Unrealized gains and losses are reported in the statement of revenue and expenses as increases or decreases in net assets. Basis of Presentation - Financial statements presentation follows the recommendations of the Financial Accounting Standards Board in its Statement of Financial Accounting Standards (SFAS) No. 117, Financial Statements of Not-for-Profit Organizations. Under SFAS No. 117, the Organization is required to report information regarding its financial position and activities according to three classes of net assets: unrestricted net assets, temporarily restricted net assets, and permanently restricted net assets. As of December 31,2008, there were no donor-imposed restrictions on net assets. Contributed Services - No amounts have been reported in the financial statements for donated services because no objective basis is available to measure the value of such service. Estimates - The preparation of financial statements requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. I I I I I I I I I I I I I I I I I I I SALINA ARTS AND HUMANITIES COMMISSION COMMUNITY ART & DESIGN PROGRAM Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31,2008 NOTE 2 - DEPOSITS AND INVESTMENTS As of December 31, 2008, the cash balance of the Commission was adequately secured by FDIC Insurance. A portion of the Foundation's investments are held at a brokerage firm and are not collateralized by the Federal government. It is the opinion of management that the solvency of the referenced financial institution is not of concern at this time. These funds are insured with SIPC. These investments are exposed to various risks such as interest rate, market and credit risks. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in values of investment securities will occur in the near term. Investments are stated at fair value and consist of: Money Market Mutual Fund Cost $ 577 18,178 Market $ 577 9,460 (Loss) $ (8,718) Investment return is summarized as follows: Interest and Dividend Income Net Unrealized Loss on Investments $ 646 (7,101)