Audit Report - 1966
SALINA AIRPORT AUTHORITY
Salina, Kansas
AUDIT REPORT
Year 1966
A. H. LECKBfu~D & CO.
Certified Public Accountant
Salina, Kansas
Hay 1, 1967
To the Directors
Salina Airport Authority
Salina, Kansas
Gentlemen:
We have examined the financial and related general records of the
Salina Airport Authority for the year ended December 31, 1966.
Our examination was made in accordance with the provisions of the
minimum standard audit program approved by the State Hunicipal
Accounting Board, September 28, 1963, and included such tests as we
considered necessary in the circumstances.
In our opinion, the accompanying schedules reflect the cash position
of the Salina Airport Authority at December 31, 1966, and the results
of its cash transactions for the year then ended.
7
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CERTIFIED æUBLIC ACCOUNTANT
t? V"~£,,¿
A. H. LeckJand, Licensed
Hunicipal Public Accountant, #79,
in charge of and actively engaged
on this audit.
GENERAL CJMl-IENTS
1.
All cash receipts and disbursements appear to have been properly
made and accounted for.
2.
The Salina Airport Authority believes it is not subject to the cash
basis law of K.S .A. 10-1116. The exemption created therein is as
follows: liThe provisions of this Act shall not apply --- to a
revolving fund set up as an operating fund for the operation of
any municipal airport and the receipts from the operation of such
airport in any case where provision has been made by any city, or
board of park commissioners, or other agency designated and authorized
to operate a municipal airport for a revolving fund to be set up
either out of its budget or by accumulation of receipts collected
from the operation of such airport as an operating fund for the
operation of such airport when such operating fund and the receipts
collected from the operation of such airport are essential to the
more efficient operation or greater use of such airport and in which
the operating expenditures of said airport are financed and sustained
partially or wholly by fees, rentals, proceeds from the sale of
merchandise, or charges for rendering services, received from the
users of such airport ___".
3.
The Salina Airport Authority believes it is not subject to the
jurat requirements of K.S.A. 10-802 regarding purchases made by
the Authority. The Salina Airport Authority is not specificallv
named as an organization or division of government, and is there-
fore considered exempt from the jurat requirement in the statute
as follows: "__- No \Varrants shall be issued or authorized by any
board of county commissioners, city council, township board, school
district board, or board of education, except on an itemized
account certified by the claimant to be true and correct and that
the same is due and unpaid ---."
4.
We recommend that a determination of the values of the pla::J.t and
property assets be recorded on the books and that a realistic de-
preciation charge be computed and recorded annually.
5.
The Salina Airport Authority is governed by a board of fiv,¡è directors
appointed by the City Commission of the City of Salina, Kansas. The
follo\Ving directors served during the period of our examination:
H. J. Kennedy, Chairman W. W. Yost, Secretary
C. J. Wertz, Vice Chairman Allen R. Dodge, Director
Ed\Vard H. Bell, Director
In vie\V of the fact that the Authority \Vas a new municipal entity
\Vhich was formed after January 1, 1965, a state la\V prohibited the
Authority from levying funds until August, 1966. Because of this
limitation of funds and particularly in vie\V of the fact that the
Salina Airport Authority is an arm of the City of Salina, Kansas,
the expenses necessary to carryon the activity of the Authority
during the period prior to its ability to obtain funds \Vas borne
by the City of Salina, Kansas, through its Airport Revolving Fund.
SCHEDULE A
SALINA AIR?CRT AUTHORITY
STATEMENT OF RECEIPTS, DISBURSnIENTS, AND COHPOSITION OF ENDING CASH BALANCE
January 1 to December 31, 1966
Cash Balance - January 1, 1966
Receiots
Building rents
Hangar rent
Fixed base operator
Landing fees
Commissions
Sale of no-fund warrants
Received from City of Salina
Reimbursement of expenditures
Hiscellaneous income
Total Receipts
Receipts and Beginning Balance
Expenditures
Office and Administrative Expenses:
Office salaries $
Office supplies
Postage
Car expense
Legal services
Insurance
Property tax
Interest
Engineering
Office equipment rental
Telephone
Other office and administrative
expense
Haintenance Expenses:
Building maintenance
Runways, taxiways and ramps
Equipment gas, oil and repairs
Utilities
Grounds maintenance
Janitor supplies
Maintenance salaries
Airfield lighting equipment
Signs
Other maintenance expense
Control Tower Maintenance and Operation
2,800.00
161.20
20.00
400.00
2,097.36
4l4.00
116.71
993.62
1,170.01
84.72
131.81
75.63
$
3,378.37
6,639.84
566.90
3,447.37
73 .60
173 .07
3,215.55
387.33
523.48
174.92
$ 51,122.26
3,000.00
5,l87.66
912.75
l50.l5
45,000.00
31,296.39
536.31
213.00
$
8,465.06
l8,580.43
10,055.81
$
137,418.52
$137,418.52
SCHEDULE A
SALINA AIRPORT AUTHORITY
STATEMENT OF RECEIPTS, DISBURSEMENTS AND COMPOSITION OF ENDING CASH BALANCE
January 1 to December 31, 1966
Capital Expenditures:
Hangars - ne\V and relocated
Renovation of buildings
Air conditioner
Hangar lease
Architect fees
$ 75,370.00
18,786.83
150.00
543.46
2,009.95
Total Expenditures
Cash Balance - December 31, 1966
Available Cash - December 31, 1966
First National Bank and Trust Company
The Planters State Bank
Total Available Cash
96,860.24
133,961.54
$
3,456.98
$
2,598.77
858.21
$
3.456.98
SCHEDULE B
SALINA AIRPORT AUTHORITY
NO-FUND WARRANTS
December 31, 1966
Date Interest
Issued Sold To Rate Series No. Amount
8-19-66 Planters State Bank 3.75% A 1 $10,000.00
8-19-66 Planters State Bank 3.75% A 2 10,000.00
9-13-66 Planters State Bank 3 .75/0 A 3 10,000.00
9-13-66 Planters State Bank 3 .75/0 A 4 10,000.00
10 -14 -66 Planters State Bank 3.75% A 5 5,000.00
Total Outstanding at December 31, 1966 $45.000.00
Authority for No-Fund Warrants granted by Order No. 899, dated
November 10, 1965, of the Board of Tax Appeals of the State of
Kansas.