Audit - 2003 Horizons Program
SALINA ARTS AND HUMANITIES COMMISSION
HORIZONS PROGRAM
Salina, Kansas
AUDITED FINANCIAL STATEMENTS
December 31,2003
WOODS & DURHAM
Certified Public Accountants
Salina, Kansas
~~t¡(;Cd
LJUl.. }Jublic
C H ART ERE D accountants
INDEPENDENT AUDITOR'S REPORT
Salina Arts and Humanities Commission
Horizons Program
Salina, Kansas
We have audited the accompanying statement of assets, liabilities, and net assets - cash
basis, of the Horizons Program of the Salina Arts and Humanities Commission (a nonprofit
organization), as of December 31, 2003, and the related statement of support, revenue, and
expenses - cash basis, for the year then ended. These financial statements are the
responsibility of the Commission's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the
United States of America. 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.
As described in Note 1, these financial statements were prepared on the cash basis of
accounting, which is a comprehensive basis of accounting other than generally accepted
accounting principles.
In our opinion, the financial statements referred to above present fairly, in all material respects,
the assets, liabilities, and net assets of Salina Arts and Humanities Commission as of
December 31, 2003, and its support, revenue, and expenses for the year then ended, on the
basis of accounting described in Note 1.
'WoodS (£ (j)urfzaTT; Cliti
WOODS & DURHAM
Certified Public Accountants
Janüary 22, 2004
1619 E. Iron Avenue. 1'.0. Box 1516 .. Salina, K,ln:"l:, b7402-1516 . I'hunt' 785-825-5494
Fax 7R5-R25-4450 . \vww. woudsandd LI rhcllll.cOlll
SALINA ARTS AND HUMANITIES COMMISSION
HORIZONS PROGRAM
Salina, Kansas
STATEMENT OF ASSETS, LIABILITIES, AND NET ASSETS
CASH BASIS
December 31, 2003
ASSETS
Current Assets
Unrestricted
Cash
Investments
Restricted
Investments
Total Current Assets
Property and Equipment
TOTAL ASSETS
LIABILITIES AND NET ASSETS
Net Assets
Investment in equipment
Restricted
Unrestricted
TOTAL LIABILITIES AND NET ASSETS
See Notes to Financial Statements.
$ 14,534
115,652
4,223
134,409
3,975
$ 138,384
$ 3,975
4,223
130,186
$ 138,384
SALINA ARTS AND HUMANITIES COMMISSION
HORIZONS PROGRAM
Salina, Kansas
STATEMENT OF SUPPORT, REVENUE, AND EXPENSES
CASH BASIS
Year Ended December 31, 2003
PUBLIC SUPPORT AND REVENUE
Public Support
Transfer from Salina Arts and Humanities Commission
City of Salina support
Private Charitable Contributions
Total Public Support
Revenue
Investment Return
TOTAL PUBLIC SUPPORT AND REVENUE
EXPENSES
Program Services
Evaluator
Horizons Grants - 2000
Horizons Grants - 2001
Horizons Grants - 2002
Horizons Grants - 2003
Sudden Opportunity Grants/Training and Development
Fund Planning
Total Program Services
$
40,000
25,0?3
3,830
(2,000)
677
3,658
40,8913
1,211
6!3
Supporting Services
General administration
Fundraising
Total Supporting Services
TOTAL EXPENSES
TOTAL PUBLIC SUPPORT AND REVENUE
NET ASSETS - January 1, 2003
NET ASSETS - December 31, 2003
See Notes to Financial Statements
$ 65,073
8,559
73,632
48,341
8,301
1,90B
10,210
58,551
15,081
123,303
$ 138,384
SALINA ARTS AND HUMANITIES COMMISSION
HORIZONS PROGRAM
Salina, Kansas
NOTES TO FINANCIAL STATEMENTS
December 31,2003
The Horizons Program was created by the Salina Arts and Humanities Commission in 1986 as a
continuing grant program to provide support to the cultural life of the community. Initial funding was
provided by the Artist in Residence Program, which was terminated December 31, 1985. The Horizons
Program, as a project of the Salina Arts and Humanities Commission, is exempt From federal income
tax under Section 501 of the Internal Revenue Code, and is not considered a private foundation.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Basis of Presentation
The accompanying financial statements are presented on the cash basis; consequently, revenue is
recorded as received and expenditures are recorded as disbursed.
B. The Horizons Program is a project of the Salina Arts and Humanities Commission. Separate
accounting records are maintained, and separate audit reports have been issued for both entities.
C. The Horizons Program considers all highly liquid investments available for current use with an initial
maturity of three months or less to be cash equivalents.
D. Investments
The Organization has adopted SFAS No. 124, "Accounting for Certain InvestmE~nts Held by Not-for-
Profit Organizations." Under SFAS No. 124, 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 financial position. Unrealized gains and losses are included in the change in net
assets. Investment income and gains restricted by a donor are reported as increases in
unrestricted net assets if the restrictions are met (either by passage of time or by use) in the
reporting period in which the income and gains are recognized.
E. Financial statement 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.
F. No amounts have been reported in the financial statements for donated services because no
objective basis is available to measure the value of such services.
Go The amount recorded as property and equipment represents equipment purchased with
undesignated funds held in the Horizons accounts. Such assets are recorded at cost. Depreciation
has not been provided on these assets.
H. The preparation of financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect certain reported amounts and
disclosures. Accordingly, actual results could differ from these estimates.
SALINA ARTS AND HUMANITIES COMMISSION
HORIZONS PROGRAM
Salina, Kansas
NOTES TO FINANCIAL STATEMENTS
December 31,2003
NOTE 2 - RESTRICTED NET ASSETS
The restricted net assets of the Horizons Program consist of unpaid balances of
Horizons grants.
NOTE 3 - INVESTMENTS
Investments are stated at fair value and consist of:
Money Market Funds
Certificates of Deposit
Mutual Fund
Cost
$ 9,720
69,917
40,427
Market
$ 9,720
69,91 ¡r
40,23B
Total
$ 120,064
$ 119,87Ei
Investment return is summarized as follows:
Interest Income
Dividend Income
Unrealized Gain on Investment
$ 2,816
821
4,922
$ 8,559
Net Investment Return