Audit - 1978
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
REPORT ON EXAMINATION
December 31, 1978
WOODS & DURHAM
Certified Public Accountants
Salina, Kansas
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
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OFFICERS AND REPRESENTATIVES
1978
President:
Thomas C. Girard
Vice President:
Gail Aills
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Secretary-Treasurer:
James H. Young
Representatives
Thomas W. Wright
James Weese
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I Exhibit "A"
Exhibit "B"
Exhibit "c"
I Schedule 1
Schedule 2
I Schedule 3
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
INDEX
Ac countant 's Report. . . . . . . . . . . . . . . . . .
Balance Sheet. . . . . . . . . . . . . . . . . .
Revenues, Expenditures and Changes in Fund Balance
Note to Financial Statements. . . . . . . . . . . . .
Supplemental Information
Investments. . . . . . . . . . . . . . . . . .
Comparison of Depository Security with Balances
on Deposit. . . . . . . . . . . . . . . . . . . .
Treasurer's Fidelity Bond. . . . . . . . . . .
Compliance Questionnaire
Page
Number
1
2
3
4
5
6
7
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WOODS
,r/I"~",(,. ,J{/jl
,YJ('~,"I. .'J( If
((I~(y ([>(1,,1('1, ,:It/f
.:I(ÓM~(;<J(" ./1 t
/I'a~il((, ,Y(:J'
&
DURHAM
(//ir'r,) it¡
f.(.ied¡,¿ .fJuUr,< . r1aounlan/4
605 W. NORTH STREET
P.O. BOX 1324
SALINA, KANSAS 67401
TELEPHONE - AREA 913 - 825-5494
Board of Directors
Salina Firemen's Relief Association
Salina, Kansas
We have examined the balance sheet of the Salina Firemen's Relief Association at
December 31, 1977 and 1978, and the related statements of revenue, expenditures
and changes in fund balance, for the years then ended. Our examination was made
in accordance with generally accepted auditing standards and the Minimum Standard
Audit Program approved by the State Municipal Accounting Board March 19,1976,
and accordingly included such tests of the accounting records and such other au-
diting procedures as we considered necessary in the circumstances.
In our opinion, the aforementioned financial statements present fairly the fi-
nancial position of the various funds and account groups of the Salina Firemen's
Relief Association at December 31,1977 and 1978, and the results of operations
of such funds for the years then ended, in conformity with generally accepted
accounting principles applied on a consistent basis.
The accompanying supplemental schedules and related information listed in the
table of contents are not necessary for a fair presentation of the financial
statements, but are presented as additional analytical data. This information
has been subjected to the tests and other auditing procedures applied in the ex-
amination of the financial statements mentioned above and, in our opinion, is
fairly stated in all material respects in relation to the financial statements
taken as a whole.
August 27, 1979
WOODS & DURHAM
James L. Durham, CPA
In Charge Of and Actively
Engaged On This Audit
1.
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
Cash
Savings Account
Certificates of Deposit
Treasury Bill
TOTAL ASSETS
BALANCE SHEET
December 31,
1977
ASSETS
$ 3,209
17,151
112,266
$132,626
Fund Balance
LIABILITIES, RESERVES AND FUND BALANCES
TOTAL LIABILITIES, RESERVES
AND FUND BALAN CES
$132,626
$132,626
Exhibit "A"
1978
$ 1,657
21,505
60,000
46,757
$129,919
$129,919
$129,919
2.
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
For The Years Ended December 31,
1977
REVENUES
Kansas Commissioner of Insurance
Insurance Premium Refunds
Interest
Benefits Received From Insurance Policies
$ 32,207
282
8,982
3,032
44,503
TOTAL REVENUES
EXPENDITURES
Funeral Expenses of Deceased Firemen
Medical and Other Payments to Injured Firemen
Life and Disability Insurance Premiums
Blue Cross-Blue Shield
Refund to Firemen's Benefit Fund of Overpayment
to Blue Cross-Blue Shield
Insurance Benefits Paid Out
Other
Treasurer's Bond
1,636
78
18,066
26,858
3,032
375
30
TOTAL EXPENDITURES AND ENCUMBRANCES
50,075
(5,572)
REVENUES OVER (UNDER) EXPENDITURES
FUND BALANCE - January 1,
138,198
FUND BALANCE - December 31,
$132,626
Exhibit "B"
1978
$ 41,358
467
9,181
2,464
53,470
22
20,516
33,416
122
2,071
30
56,177
(2,707)
132,626
$129,919
3.
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I NOTE I-
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
NOTE TO FINANCIAL STATEMENTS
For The Year Ended December 31,1978
Exhibit "c"
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting policies of the Salina Firemen's Relief Association
conform to generally accepted accounting principles.
BASIS OF ACCOUNTING
The modified accrual basis of accounting is used. Modifications in
such method from the accrual basis follow:
1. Revenues are recorded as received in cash except for:
a. revenues susceptible to accrual.
b. material revenues that are not received at the normal time
of receipt.
2. Expenditures are recorded on an
a. disbursements for inventory
expenditures at the time of
items are used.
b. prepaid expenses which normally are not recorded.
c. interest on long-term debt which is normally an expenditure
when due and paid.
d. the encumbrance method of accounting which is adopted as an
additional modification.
accrual basis except for:
type items which are considered
purchase or at the time the
INVESTMENTS
Investments are stated at cost.
FIXED ASSETS
Firemen's Relief Association has no fixed assets.
4.
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Certificate of Deposit
Certificate of Deposit
U.S. Treasury Bill
SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
INVESTMENTS
December 31, 1978
Issue Maturity
Date Date
7-16-75 7-16-79
8-24- 76 8-24-80
Maturity
Rate Cost Value
7.25% $ 50,000 $ 50,000
7. 25% 10,000 10,000
46,757 46,757
$106,757 $106,757
Number
10777
12974
Schedule 1
5.
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
COMPARISON OF DEPOSITORY SECURITY WT,TH BALANCES ON DEPOSIT Schedule 2
December 31, 1978
Balance Bank
F.D.loC. Bank Unsecured Security Balance
Bank Coverage Balance By Bank Pledged Unsecured
First National Bank and
Trust Company
Demand Deposits $ 40,000 $ 23,162 $ $
Investments 100,000 106,757 6,757 10,000
TOTALS $140,000 $129,919 $6,757 $10,000 $
6.
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SALINA FIREMEN'S RELIEF ASSOCIATION
Salina, Kansas
TREASURER'S FIDELITY BOND
December 31, 1978
Date
Effective
Treasurer, Salina Firemen's Relief
Association
9-10- 78
Date of
Expiration
9-10-79
Schedule 3
Amount
$10,000
7.
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STATE OF KANSAS
STATUTORY COMPLIANCE QUESTIONNAIRE
Firemen's Relief Association
City of Salina, Kansas
For the year ended
12- 31- 78
Director of Accounts and Reports
Prescribed By
March 19, 1976
THIS QUESTIONNAIRE SHALL BE MADE A PART OF THE AUDITED FINANCIAL STATEMENT
Instructions
If the answer to any question indicates statutory violation,
the matter should be fully discussed in the comments section.
Questions are designed to be answered yes or no. "Not
Applicable" is not a useful answer. Independent auditors should
amend questions which do not exactly fit a particular city so
that substitute or supplementary provisions of the statutes or
local regulations are reflected in the question and answered by
the auditor. See Part V, Section C, Paragraph 2 of the Minimum
Standard Audit Program.
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GENERAL
----
1.
Was there an adequate system of internal control,
properly maintained (K.S.A.
12-101)?
2.
Were liquid assets accounted for properly
(K.S.A.
21-3701 and 21-3703)?
3.
Were fixed assets accountea for properly
(K.S.A.
12-101)?
4.
Did the district or county attorney's copy of the
audited financial statement include a copy of this
audit questionnaire
(K.S.A.75-1126)?
5.
Were audit adjustments to correct erroneous or un-
lawful transactions placed on the books of account
during the course of the examination, whenever
possible
(~Val1ey Drainage District v.
Zimmer,
141 Kan.
623)7
6.
Was income from investments accounted for and
credited to proper funds
(K .S.A.
10-131 and 12-1675)7
7.
Were all boards, commissions, departments, or sub-
divisions of City audited7
(If not, give reason for
their omission, K.S.A. 75-11177)
This report covers only the Salina Firemen's
Relief Association, which comes as a result of
a separate en~a~ement.
8.
Were expenditures for the library made on order of
the library board (K.S.A.
12-1225)7
9.
Were funds of the firemen's relief association
invested
(K. S.A.
40-1706)
or disbursed as authorized
(K. S.A.
40-1707) 7
10.
Were disbursements from the band fund made in
accordance with the terms of a written contract
with the band
(K.S .A.
12-14a04) 7
11.
Were interfund transactions made upon legislative
authority
(K.S.A.79-2934)7
12.
Do the minutes contain an adequate record of the
proceedings of the governing body
(K.S.A.13-518,
13-2106, etc.)7
1.
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ŒJ Q
No Fixed Assets
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00
Not covered in
this report.
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Not covered in
this report.
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None.
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13 .
Were the minutes properly approved by the governing
body
13-518, 13-2106,'etc.)7
(K.S.A.
14,
Were the directives of the governing body w~th fi-
nancial import carried out
(K.S.A.12-101)7
15.
Were depositories designated for all city officials
receiving public moneys
(K. S .A.
9-1401)7
16.
Were all public moneys deposited in designated de-
positories
(K.S.A.9-1401)7
17.
Are bank deposits of all city officials adequately
secured
(K.S.A.9-1402)7
18.
Did the governing body approve collateral security
and personal bonds furnished to secure deposits
(K. S.A.
9-1402)7
19.
Are fidelity bonds and insurance policies properly
filed
13-518,13-2106, etc.)?
(K. S. A.
20.
Were investments made in accordance with statutory
provisions?
21.
Were proceeds from city obligations expended for
authorized purposes
(K.S.A. 10-117, etc.)?
22.
Were sinking or reserve funds created and used in
accordance with statutory p~ovisions
(K. S .A.
10-113,
etc)?
23.
Were claims itemized, internally audited and approved
as provided by law
(K.S.A. 12-105b)7
24.
Did the governing body approve a budget appropriating
by funds as required by the budget law
(K. S. A.
79-
2925 et.
~.)?
25.
Were expenditures from city funds made in compliance
with the budget law (K.S.A.
79-2935)?
26.
Were expenditures from city funds made in compliance
with the cash~basis law
(K.S.A. 10-1113)?
CITY CLERK
27.
10-1117)?
Did Clerk maintain a fund ledger
(K.S. A.
28.
Does clerk maintain required fund encumbrance re-
cords
(K.S.A. 10-1117)?
2.
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[XI 0
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None
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None
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¿fonD
None Budgeted
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None
DO
None
no
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29.
Did Clerk open and keep an account of each fund
showing the unencumbered budget balance as required
(K.S.A. 79-2934)?
30.
Was the fiscal agency balance reconciled with out-
standing matured bonds and coupons
(K.S.A.13-518,
13-2106, etc.)?
31.
Were unpaid special assessments certified to the
County Clerk to be placed on tax roll
(K'.S.A. 12-
608, 12-6alO, etc.)?
CITY TREASURER
32.
Were City funds disbursed as provided by K.S.A.
12-105a, lO5b and 10-801 ~ seq?
33.
Did the City Treasurer maintain records independently
of those maintained by the City Clerk (K.S.A. 10-1118)?
34.
Were there frequent reconciliations between the
City Treasurer and the City Clerk (K.S.A. 13-518;
13-526; etc.)?
35.
Did the Treasurer maintain a chronological record
of collateral securities pledged to secure deposits
(K. S. A.
9-1405)1
36.
Did the City Treasurer pay over to Library Treasurer
the funds appropriated and collected for maintenance
of such public library
(K.S.A. 12-1226)?
37.
Did the City Treasurer publish quarterly reports as
required
(K.S.A. 12-1608)?
ENTERPRISE (UTILITY) FUNDS
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None
DO
None
DO
None
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None
DO
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Not covered in
thèJrtroít.
None
DO
(Not applicable to this report.)
38.
Were operations of these funds budgeted (K.S.A.
79-2925)?
39.
Were transfers of utility "surpluses" anticipated
in the current budget
(K.S.A. 12-825d)?
40.
Were utility fund transfers made in compliance with
statutory provisions
(K.S.A. 10-1204, 12-825d and
K.S.A.79-2935)?
3.
DO
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41.
Was petty cash fund confined to statutory use
(K.S.A.
12-825a) or as provided by local home rule?
42.
W~re charges for utility services in accordance with
rates fixed by ordinance (K.S.A. 10-1202, 12-829, etc.)?
43.
Did the balance in the customers' deposit fund equal
the ~mount of deposits in effect (K.S.A. 12-822)7
44.
Was interest credited on
œposits annually as re-
quired by statute (K.S.A. 12-822)7
COMMENTS
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