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Audit Report - 1967 SALINA AIRPORT AUTHORITY Salina, Kansas AUDIT REPORT Year 1967 A. H. LECKBAND & CO. Certified Public Accountant Salina, Kansas EXHIBIT A EXHIBIT B EXHIBIT C EXHIBIT D EXHIBIT E EXHIBIT F SALINA AIRPORT AUTHORITY Table of Contents Audi tor IS Report Page 1 Comments 2 Statement of Receipts, Disbursements, and Composition of Ending Cash Balance Airport Revolving Fund Bond and Interest Fund No-Fund Warrants Fund 3-4 5 6 Statement of Bonds of Indebtedness 7 Statement of No-Fund Warrants 8 Insurance in Force 9 June 12, 1968 To the Directors Salina Airport Authority Salina, Kansas 67401 Gentlemen: We have examined the financial and related general records of the Salina Airport Authority for the year ended December 31, 1967. Our examination was performed Minimum Standard Audit Program Board, September 28, 1963, and sary in the circumstances. in accordance with the provisions of the approved by the State Municipal Accounting included such tests as we considered neces- In our opinion, the accompanying schedules reflect the cash position of the Salina Airport Authority at December 31, 1967, and the results of its cash transactions for the year then ended. ') d/1r -,rf&. CERTIFIED ,PUBLIC ACCOUNTANT L7,- dl ;&< . '¿:;;~! /~ A. H. Leckblnd, Licensed Municipal Public Accountant, #57 in charge of and actively engaged on this audit. 1 COMt-1ENTS 1. The Salina Airport Authority is governed by a board of five directors appointed by the City Commission of the City of Salina, Kansas. The following directors served during the period of our examination: M. J. Kennedy, Chairman C. J. Wertz, Vice-Chairman W. W. Yost, Secretary-Treasurer - Resigned from Edward H. Bell - Appointed Secretary-Treasurer, Allen R. Dodge Dale Lyon - Appointed to Board, May 16, 1967 Board, April 18, 1967 April 18, 1967 2. All cash receipts and disbursements appear to have been properly made and accounted for. 3. The Salina Airport Authority believes it is not subject to the cash basis law of K.S.A. lO-ll16 or the jura.t requirements of K.S.A. 10-802 as stated in the Audit Report for the year 1966. 4. We recommend that a determination of the values of the plant and property assets be recorded on the books and that a realistic depreciation charge be computed and recorded annually. 5. General obligation bonds of the Salina Airport Authority were issued in 1967 as authorized by K.S.A. 27-315 to 27-326 inclusive. The bonds were issued for the purpose of acquiring surplus United States properties which were a part of the former Schilling Air Force Base, and to purchase aircraft rangars which were formerly leased from private individuals. No remittances to the State Fiscal Agency were required in 1967. A Bond and Interest Fund was established during the year for setting aside the net income from all properties acquired by the bond proceeds; said fund to be used for paJ~ent of bond principal and interest. 2 SALINA AIRPORT AUTHORITY Airport Revolving Fund EXHBIT A Statement of Receipts, Disbursements, and Composition of Ending Cash Balance January 1 to December 31, 1967 Cash Balance - January 1, 1967 Receipts Building rents Agricultural land rents Fixed base operator Landing fees Commiss ions Sale of no-fund warrants Ad valorem tax Interest on investments Reimbursement of expenditures Misc~llaneous income Total Receipts Receipts and Beginning Balance Disbursements Office and Administrative Expenses: Office salaries Office supplies Postage Car expense Travel expense Legal and auditing Insurance Property tax Interest Engineering Office equipment rental Social security tax Employees retirement Telephone Other office and administrative Maintenance Expenses: Building maintenance Runways, taxiways and ramps Equipment gas, oil and repairs Utilities Grounds maintenance J~nitor supplies Y,'lin tf'nance salaries 'C",]"" ~C:;1Oval . 'c' lighting Other maintenance expense $ 17,504.04 395.21 82.40 200.00 482.31 650.00 10,571.47 8,557.73 l,839.43 ll5.34 169.44 1 , 50 6 . 22 375.81 1,064.86 expense 1,589.68 $ 6,427.26 6,178.00 5,470.23 II ,429.34 971 .96 526.87 27,958.07 112 .50 3,656.90 866.46 474.88 Control Tower Maintenance and Operation $ll7 ,654 .35 4,860.00 l8,708.E;0 10,963.25 1,031.27 43,040.01 90,066.26 2,688.03 l4J9 3,794.00 $ 45,103.94 64,072.!j7 71,151.43 $ 3,456.98 292,820.46 $296,277 .44 3 SALINA AIRPORT AUTHORITY Airport Revolving Fund EXHIBIT A Statement of Receipts, Disbursements, and Composition of Ending Cash Balance January 1 to December 31, 1967 Capital Expenditures: Adding machine Hangar lease Trouble lamp Radio equipment IHC utility tractor Riding mower with snow Office furniture $ 337.50 554.40 7.54 400.30 1,515.00 1,365.00 285.25 blower 4,464.99 Total Disbursements Cash and Investments - December 31, 1967 Available Cash and Investments - December 31, 1967 First National Bank and Trust Company - Checking Planters State Bank - Checking account U. S. Treasury Bills Purchased - Year 1967 Sold - Year 1967 account $395,851.02 272,311.97 Total Deduct - Anlounts withheld from payroll Due to Bond and Interest Fund $ 1,150.32 15,730.50 Total Cash and Investments - December 31, 1967 184,792.83 $111,484.61 $ 87.37 4,739.0l 123,539.05 $128,365.43 16,880.82 $111.484.61 4 SALINA AIRPORT AUTHORITY Bond and Interest Fund EXHIBIT B Statement of Receipts, Disbursements, and Composition of Ending Cash Balance January 1 to December 31, 1967 Cash and Investments - January 1, 1967 Receipts Building rents Agricultural land rents Hangar rents Other rents Sale of property Sale of general obligation bonds Accrued interest on general obligation Interest on investments $ 5,442.50 10,006.00 12,000.00 2,390..50 73,000.00 790,000.00 2,816.25 2,160.99 bonds Total Receipts Receipts and Beginning Balance Disbursements Bond issuance and sale expense Land and buildings Hangar contract payments Hangar contract interest $ 4,930.54 728,000.00 48,763.25 809.10 Total Disbursements Cash and Investments - December 31, 1967 Available Cash and Investments - December 31, 1967 National Bank of America - Checking account U. S. Treasury Bills Purchased - Year 1967 Sold - Year 1967 Due from Airport Revolving Fund $981,896.96 902,839.01 Total Cash and Investments - December 31, 1967 $ 897,816.24 $897,816.24 782,502.89 $115,313.35 $ 20,524.90 79,057.95 15,730.50 $ll5.313 .35 5 SALINA AIRPORT AUTHORITY No-Fund Warrants Fund EXHIBIT C Statement of Receipts, Disbursements, and Composition of Ending Cash Balance January 1 to December 31, 1967 Cash Balance - January 1, 1967 Receipts Ad valorem tax Sale of no-fund warrants $ 88,040.01 1,959.99 Total Receipts Receipts and Beginning Balance Disbursements Redemption of no-fund warrants Cash Balance - December 31, 1967 $ 90,000.00 $ 90,000.00 90,000.00 $ 6 SALINA AIRPORT AUTHORITY Bonds of Indebtedness December 3l, 1967 General Obligation Bonds dated February 1, 1967, issued for the purpose of acquiring surplus property from the United States. Total Bonds Outstanding - December 31, 1967 Maturity Date 2-1-69 2-1-70 2-1-71 2-1-72 2-1-73 2-1-74 2-1-75 2-1-76 2-1-77 2-1-78 2-1-79 2-1-80 2-1-81 2-1-82 2-1-83 2 -1-84 2-1-85 2-1-86 2-1-87 2-1-88 Inte::est Date -- 4.25 4.25 4.25 4.25 4.25 3.375 3.375 3.375 3.375 3.375 3.375 3.375 3.375 3.375 3.375 3.4 3.4 3.4 3.4 3.4 ¡~X: II -', l'[ _._" Total $ 30,000.00 30,000.00 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 40,000.00 40,000.00 40,000.00 40,000.00 45,000.00 45,000.00 45,000.00 45,000.00 45,000.00 45,000.00 45,000.00 45,000.00 $790,000.00 7 SALINA AIRPORT AUTHORITY No-Fund Warrants EXHIBIT E December 31, 1967 Interest Date Date Outstanding Year 1967 Outstanding Sold To Series No. Rate Issued Redeemed 1-1-67 Issued Redeemed 12-31-67 - Planters State Bank A 1 3 .75/0 8-19-66 1-26-67 $10,000.00 $ -- $10,000.00 $ Planters State Bank A 2 3.75% 8-19-66 1-26-67 10,000.00 -- 10,000.00 Planters State Bank A 3 3.75% 9-13-66 1-26-67 10,000.00 -- 10,000.00 Planters State Bank A 4 3.75% 9-13-66 1-26-67 10,000.00 -- 10,000.00 Planters State Bank A 5 3.75% 10-14-66 1-26-67 5,000.00 -- 5,000.00 Planters State Bank B 1 3.75% 1-26-67 1-26-67 -- 10,000.00 10,000.00 Planters State Bank B 2 3.75% 2-20-67 7 -20 -67 -- 10,000.00 10,000.00 Planters State Bank B 3 3.75% 7-20-67 7 -20 -67 -- 10,000.00 10,000.00 Planters State Bank B 4 3.75% 7-20-67 7-20-67 -- 10,000.00 10,000.00 Planters State Bank B 5 3.75% 2-20-67 5-18-67 -- 5,000.00 ~OO.OO $45,000.00 $45.000.00 $90n,QQO.OQ $ Authority for No-Fund Warrants granted by Orders No. 899 and 900, November 10, 1965, of the Board of Té1 Appeals of the State of Kansas. co Workman's Compensation Comprehensive General Liability Aircraft Hangar Aircraft Hangar Aircraft Hangar Rental Buildings - Industrial Rental Buildings - Dwellings Airport Terminal and Rental Buildings SALINA AIRPORT AUTHORITY Insurance in Force December 31, 1967 Type of Coverage Fire and Lightning, Ex- tended Coverage, Vandalism and Malicious Mischief Fire and Lightning, Ex- tended Coverage, Vandalism and Malicious Mischief Fire and Lightning, Ex- tended Coverage, Vandalism and Malicious Mischief Fire and Lightning, Ex- tended Coverage, Rental Value Insurance Fire and Lightning, Ex- tended Coverage $ Amount of Coverage 25,000.00 1,000,000.00 40,000.00 40,000.00 20,000.00 145,865.00 37,000.00 Fire, Lightning, Windstorm and Hail, Explosion, Riot, Aircraft and Vehicles, Smoke 1,500,000.00 Bodily Injury 1/1,000,000.00 Property Damage 1,000,000.00 EXHIETT' -----.- Co-Insurance Percentage 80 90 80 9