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12/19/1994 Audit MONROE COUNTY FINE ARTS COUNCIL AUDIT REPORT RESPONSE December 19, 1994 CD r_73 -T1 c) GI rri ---• CD(-;• m- 3= ._ cA5CD 7.7.) • MONROE COUNTY FINE ARTS COUNCIL (if) OF THE FLORIDA KEYS Parvan Bakardjiev Executive Director Margaret Pent Deputy Director December 19, 1994 _- Comm.W.Harvey BOCC Appointee The Honorable Danny L. Kolhage OFFICERS Clerk of the Circuit Court Michael Payton Monroe County, Florida Chairman 500 Whitehead Street Jane M.Pangborn Key West, FL 33040 Vice-Chairman Neta L.Seiber Secretary Eliza-Ann Warren Dear Mr. Kolhage: Treasurer COUNCILORS Joel B.Day prelim. I fiery h) arA R.A."Dick"Drake,Jr. Enclosed is the/tresponse to the Preliminary Audit Report of Bob Ebert Dianne Elges the Monroe County Fine Arts Council, prepared by the Elaine Hirsch Internal Audit Department, Clerk of the Circuit Court, Peter Horton M.Ann Lynch Monroe County, dated November 29, 1994 . Beverly L.Middleton Jane M.Pangborn Michael Payton Neta L.Seiber Sincerely, Tom Vellanti Eliza-Ann Warren Jerry Williams I `�2 EX-OFFICIOS $77�����1a1 Ralph Cunningham Arline Rieser M. Ann Lynch Herman Stein Treasurer NOOL COUNTY ' ft ( C OUNCIL L 0 RID ♦ N L • 3 95360 Overseas Hwy. Suite 5 Key Largo,Florida 33037 Pax:(305)853-0400 (305)852-6116 ROBERT F. MAHONEY, P.A. Certified Public Accountants 757 N.W. 41st Terrace Deerfield Beach, FL 33442 305-421-8369 December 19, 1994 Mrs. M. Ann Lynch Treasurer Monroe County Fine Arts Council 95360 Overseas Highway, Suite 5 Key Largo, FL 33307 Dear Mrs. Lynch: We have examined the Preliminary Audit Report of the Monroe County Fine Arts Council, prepared by the Internal Audit Department, Clerk of the Circuit Court, Monroe County, dated November 29, 1994 . Our examination focused on preparing the Auditee's Response to the audit report. Enclosed are the written responses to the specific findings and conditions stated in the audit report. We have not performed an audit of the financial statements, the objective of which is the expression of an opinion regarding the financial statements taken as a whole, and, accordingly we will not express such an opinion on them. We have not performed a review or compilation of the financial statements. Our engagement cannot be relied upon to disclose errors, irregularities, or illegal acts, including fraud or defalcations, that may exist. We appreciate the opportunity to be of service to the Council. Sincerely, Robert F. Maho , CPA CC: Mr. Nathan Eden, Esq. MCFAC Board MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report SUMMARY The Monroe County Fine Arts Council (MCFAC) has reviewed the Preliminary Audit Report prepared by the Internal Audit Department, Clerk of the Circuit Court, Monroe County, Florida. We have examined many of the records listed in the report as noted in the Methodology section of the report. However, some limitations were encountered due to the subpoena that was served on the records of both the MCFAC and the former accountants. The preparation of this response made it clear to the MCFAC Board that policies and procedures need to be established and formalized in writing. These procedures should facilitate the efficiency and effectiveness of the internal controls of MCFAC. We have learned that there was no contract between Monroe County and MCFAC with respect to the grant money and that there were limited written guidelines with respect to the processing of reimbursements. We realize that this is not an excuse for the actions that have transpired, however, and accept the fact that communications, dialogue and information sharing between MCFAC and Monroe County need to improve. There are many matters of a legal nature that are being referred to the MCFAC attorney for review, information and appropriate action(s) . Examination of American Express documentation, as well as discussions with the Executive Director, revealed that $634 .29 in personal expenditures may have been charged on the Executive Director's American Express card. In addition, personal phone calls totalling $282.50 and $49.94 were made on MCFAC phone lines. We reviewed documentation relating to the American Express charges at Eckerd Drugs totalling $1, 156.35. Our examination of these charges revealed that 25 of 33 receipts were on hand. The receipts indicated expenditures for film, frames and photographs which the Executive Director stated relate to MCFAC. We were provided documentation that the Executive Director and the Deputy Director have incurred expenses, on behalf of the MCFAC, that may not have not been reimbursed. Our responses to the conditions and recommendations are indicated in the attached pages. 1 MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 2 A. MCFAC Checks Reimbursed by the BOCC Were Voided and Not Reissued for the Same Amount Condition "The MCFAC improperly obtained funds in the amount of $4,383.36 from the BOCC by requesting reimbursement for MCFAC check # 1187, - I voiding the check after reimbursement by the BOCC, and not issuing a replacement. The MCFAC requested BOCC reimbursement for MCFAC check # 1187 dated October 1, 1992 and made payable to Luz Morales Productions in the amount of $6,000. " Response it We were advised by the Executive Director as follows: Check # 1187 was voided in order that performers for the Luz Morales Productions company could be paid. The performers were paid by check with the social security numbers reflected in the check voucher section. Subsequently, Form 1099 was issued to each of these individuals with copies furnished to the IRS via Form 1096 transmittal. Listed in Exhibit 1, is a listing of replacement checks totalling $10,999.92 . These checks represent items issued and paid in October, November and December 1992 . In addition, also included in the replacement total are unfunded amounts from reimbursement requests in the months of May and August 1993. As noted in Exhibit 12, the May 1993 reimbursement request was submitted in the amount of $13,942.27 . However, since the balance of funding remaining for the year was only $9,706.78, check number 191141 was issued for the amount of $9,706.78. Consequently, $4,235.49 was not reimbursed. These represent expenses of MCFAC. As noted in Exhibit 13, the July 1993 reimbursement request was submitted in the amount of $4,497 .79. However, since the grant for the year was fully disbursed, check number 200764 was issued for the amount of $3000. Consequently, $1,497.79 was not reimbursed. These represent expenses of MCFAC. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 3 B. MCFAC Checks Reimbursed by the BOCC Were Voided and Not Immediately Reissued Condition "The MCFAC improperly obtained funds in the amount of $5,000 from the BOCC by requesting reimbursement for three checks that were never actually issued by the MCFAC. " Response We were advised by the Executive Director as follows: ; Two of the three checks were voided and later reissued because of { a change in programming which occurred after the BOCC check was deposited. We believe that MCFAC and/or Monroe County needs to develop policies and procedures in the event of such programming changes. For example the Florida Department of State, Division of Cultural Affairs, utilizes a Grant Award Agreement Amendment Request Form (see Exhibit 21) , to facilitate changes in grant funding. Establishment of such a procedure will formally document change of a grant. This will improve communication and authorize such change. The Board of MCFAC will ensure that written policies and procedures are established to address check disbursement procedures, including voided checks, to prevent future occurrences as described in this section. It is our understanding that the County does not have a formalized, written procedure for this matter. The Board of MCFAC will address the issue of separate bank accounts for each funding source (i.e. - Monroe County, State of Florida, Private Contributions) , and establish a formal written procedure. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 4 C. Various MCFAC Checks Reimbursed by the BOCC Were Invalid Condition 1. "The MCFAC requested reimbursement for payment to Scott Flavin (MCFAC check #1637 ) in the amount of $400. . . . The MCFAC director has stated that he believes that he paid Scott Flavin with his personal check" . . . Response The Executive Director furnished certain documents. Enclosed for your information and review, at Exhibit 5, is a copy of a counter check payable to Scott Flavin, in the amount of $400, dated 10/2/93, drawn on an account owned by Parvan Bakardjiev at Barnett Bank. Also, is a copy of the applicable bank statement indicating the owner of the account and the payment of the check. In addition, copies of letters signed by Mr. Flavin are attached. Consequently, an expense was incurred. MCFAC did request duplicate funds in the amount of $200.00 and $84 .00, with respect to Berkley Stutts and the Islamorada Free Press, respectively. Please refer to Exhibit 1 and consider funds indicated therein to be applicable replacement for each of these items and therefore additional reimbursement by MCFAC is not necessary. MCFAC requested reimbursement in the amount of $117 .00 with respect to the Islamorada Free Press. This item was listed in the March 1993 reimbursement, however, the item was not paid. Subsequently, the item was submitted for reimbursement on April 21, 1993 and was paid. Consequently, there was not a duplicate reimbursement. '-4 MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 5 D. Misuse of MCFAC American Express Cards Condition . . . "Personal items have been charged to this American Express charge account. Subsequently, these American Express charges were paid out of the MCFAC bank account. " . . . "An invoice from Key Largo Honda indicates that $360.70 was paid for repairs to a 1991 Mazda on December 16, 1993, using the MCFAC American Express card. " . . . "An invoice from Sanibel Harbour Resort and Spa located in Fort Myers, in the amount of $193.47 was paid using the MCFAC American Express card. " . . . "An invoice from Natureland of Miami, Florida indicates that $303.53 was paid for three palled of sod on March 1, 1993, using the MCFAC American Express card. " . . . "An invoice from Scott's indicates that twenty-four (24) ten- gallon palm trees were charged to the MCFAC American Express card in the amount of $330.76 on March 5, 1993. This purchase was delivered to the Executive Director's personal residence, appears to be personal in nature, and should not have been charged to the MCFAC. " . . . "A total of thirty-three charges . . . totalling $1, 156.35 were made by the Executive Director and the Deputy Director at Eckerd Drugs during the period from October 1992 to June 1994. The American Express statements indicate that many of the charges were for "Personal and Healthcare" items. " . . . Response Currently, Jane Pangborn, of the Executive Committee of the MCFAC, has possession of the American Express cards and the American Express cards have been cancelled. The Executive Director of MCFAC has an employment contract that states "shall be reimbursed yearly for all expenses (not to exceed $10,000) incurred by the Executive Director while acting in such capacity" . . . The Executive Director responded to this issue as follows: The Key Largo Honda expenditure represents automobile/travel expenses incurred by the Executive Director. The Executive Director stated that the Mazda was utilized for business purposes on numerous occasions. Monroe County represents an area of approximately 130 miles in length. It is estimated by the Executive Director that he travels approximately 35,000 miles via automobile annually. In that regard, these may be considered normal business expenses. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 6 The Executive Director responded to this issue as follows: The Sanibel Harbour invoice was paid via the American Express card since it represents expenses incurred by the Executive Director while on business for the Monroe County Fine Arts Council. Review of the invoice indicates that there was no expense for a room charge. This was due to the fact that the room was provided on a complimentary basis. The Executive Director stated that he was the guest of Mr. Bob Moceri, Managing Director of the resort and that the purpose of the trip was to determine if the site was satisfactory for future MCFAC performances. The Natureland invoice represents personal expenses in the amount of $303.53. The Scotty's invoice represents personal expenses in the amount of $330.76. The auditors asked the Executive Director if there were any personal charges on the American Express Card. The Executive Director informed them that there were two personal charges made. These two personal expenditures that occurred on the March 1994, statement were reimbursements to the Executive Director for the more than $1, 135 expenditures that were incurred by the Executive Director on behalf of MCFAC that have not been reimbursed. This was intended as a reimbursement. We reviewed thirty one charges, on the American Express card, during the period October 1, 1992 through June 30, 1994, totalling $1, 156.35 (See Exhibit 6) . The October 1992 statement was not available for review since the records were removed from the office by the State Attorneys Office. Of these expenditures, receipts for photographs, film and frames for photos were provided by the Executive Director for 24 of the 33 charges totalling $945.51 (82%) . The Executive Director stated that several councilors of MCFAC have signed checks relating to payments to American Express over the last nine years. The Executive Director has prepared summaries of American Express activity, for the Executive Director and Deputy Director, at Exhibits 2 and 3. 1 The Board of MCFAC should establish a policy and procedure whereby the Treasurer approves all invoices prior to issuance of any check. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 7 Un-reimbursed Expenses The Executive Director advised the Council as follows: The Executive Director and the Deputy Director have incurred expenses on behalf of the MCFAC. Due to the lack of funding sources, either government support and/or private support, these expenses have never been reimbursed. Expenses relating to the Executive Director included the following: o Donations payable to MCFAC totalling $525. See Exhibit 4 . o The Executive Director provided documentation for expenses totalling $1,486.06, see Exhibit 5. o The Executive Director stated that MCFAC business phone calls were made on his personal residence phone (305-852- 8209) , totalling $63.91 and $82 .26, during FYE 9/30/94 and FYE 9/30/93, respectively. See Exhibits 10 and 11. o The Executive Director stated that expenditures were incurred and payments were made directly to vendors for automobile/travel related matters totalling $8,804. 13. See Exhibit 7 . o The Executive Director stated that he utilized a room in his home for seven years as a home office for MCFAC. We have not associated a dollar value with this item. o The Executive Director stated that he has permitted MCFAC to utilize personal property (i.e.- computer, office supplies, etc. ) . We have not associated a dollar value to such at this time. Expenses included the following for the Deputy Director: o The Deputy Director stated that expenditures were incurred and payments were made directly to vendors on behalf of MCFAC totalling $922.76. See Exhibits 8 and 9. E. Personal Long Distance Phone Calls Were Not Reimbursed to the MCFAC Condition 1. "An Audit review of the southern Bell telephone bills indicated that numerous personal long distance telephone calls were placed on the MCFAC telephone lines and subsequently paid out of MCFAC funds. Audit Examination of long distance calls identified $447.63 in personal calls. " MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 8 2. "During audit review of Southern Bell telephone bills for the audit period from October 1992 to June 1994, payment out of MCFAC funds were found totalling $1,587 .78 for a personal phone line (Phone # 305-294-3848) connected to the Executive Director's former personal residence at 2601 South Roosevelt Boulevard, in Key West, Florida. . . . in addition, payments to the Reach were found for telephone expenses for phone number (305) 296-5000. " . . . Response 1. The Executive Director reviewed the MCFAC phone bills for the period October 1992 through September 1994, indicating that personal calls totalling $282.50 (see Exhibit 22 & 23) were made. Telephone calls to Argentina, Italy, and Bulgaria were made to negotiate contracts relating to Carlos Acha, Vittoria Terranova and Michael Svetlev, who performed in MCFAC performances. In addition, he also stated that numerous business calls, totalling $146. 17, were made on the personal phone line (305-852-8209) of the Executive Director, as noted at Exhibit 10 & 11. MCFAC has not reimbursed the Executive Director for these calls at this time. 2. Phone number 305-294-3848 was previously connected to the Executive Director's former residence at the above noted address. In June 1992, the Executive Director relocated his personal residence to Key Largo, FL, as evidenced by the letter at Exhibit 14 . The phone line was subsequently connected to the MCFAC office in Key West that was located in the Reach Resort, Key West, Florida. The phone line was disconnected in June 1993 as evidenced by the Southern Bell invoice dated June 22, 1993, stating "This is your final bill. " Review of the phone bills by the Executive Director resulted in apparent personal calls totalling $49.98 (see Exhibit 15 summarizing such personal calls) . Also, according to the Executive Director, payments to the Reach for telephone expenses relating to number 305-296-5000 represents reimbursement for expenses incurred by MCFAC of use of this phone line. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 9 F. Undocumented Travel Expenses Condition "During the period from October 1992 through June 1994, the Executive Director and the Deputy Director of the MCFAC used corporate American Express cards issued to the MCFAC to charge travel and entertainment expenses rather than obtain reimbursement for official travel expenses, documented and paid in accordance with Florida Statutes, 112 .061. Monthly American Express statements were fully paid by MCFAC with no reimbursement to the MCFAC for personal expenses. During the period from October 1993 through June 1994 the American Express charges were inconsistently classified and allocated between various expense accounts and performances. " Response MCFAC's Board will establish policies and procedures relating to travel expenses as well as the reporting of such expenses. Please see Exhibit 16, from the Assistant County Attorney, with respect to the determination of independent contractor. G. Employment Agreement Provisions for Reimbursement of Expenses are Ambiguous Condition The current employment agreements for the Executive Director and Deputy Director do not provide a clear definition of what types of . . . expenses are allowable for reimbursement. . . . Response The Employment agreement of the Executive Director was written and approved by the County Attorney, the MCFAC Attorney, voted on by the BOCC and signed by the Mayor and MCFAC Chairman. Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 10 H. Loss of Control over ticket sales for Rigoletto Opera Sponsored by MCFAC Condition "The revenues for the performance of Rigoletto, held at Ocean Reef, could not be adequately verified and traced to the bank deposits. " Response The Executive Director entered into a contract with Ocean Reef regarding the performances. The contract was one of the documents taken via the subpoena. However, we were advised the contract stated that Ocean Reef was responsible for collecting funds, tickets, and documenting the results of the performance (i.e. - revenue and expenses) . The board of MCFAC should establish a policy regarding such. I. IRS Liability for Payment of Awards Out of Cash Receipts Condition "Our audit of the MCFAC noted weakness in internal controls over the handling of cash receipts and IRS Form 1099 reporting requirements. " . . . Recommendations: 1. The MCFAC should issue checks for prizes awarded in golf tournaments or other benefit activities instead of using cash receipts to award these prizes. 2 . Cash receipts should be deposited daily. 3. IRS Form 1099s should be issued to all individuals who have been awarded cash prizes over $600. Response The chairman of this event was the current MCFAC Treasurer, Ann Lynch. As chairman of this event, she was responsible for the accounting of the event, the payment of gifts to participants, etc. The Board will establish a policy requiring issuance of a check when awarding of prizes. In addition, the Board will establish a policy relating to cash deposits. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 11 As noted in Exhibit 17, there were no prizes in excess of $600. Consequently, there is no exposure for penalties from the IRS. The Board of MCFAC is aware of the importance of financial record keeping and considers such to be a priority. J. Erroneous Accrual of county Funds overstated FY 92/93 Revenues Condition "BOCC reimbursement check #190366 issued on March 31, 1993 in the amount of $8,569.21, was misclassified in the MCFAC general ledger to account #4022-003 as benefits Sponsors. Check #190366 should have been recorded to account #4032-000 as Monroe County - General Revenue. " Response As noted in the attached Exhibit 18, a letter dated November 4, 1994, from Ms. Marva Green, CPA, the accrual seems to be made correctly. The subpoena of records from the office of Kemp & Green, P.A. as well as MCFAC has prevented resolution of this item. K. MCFAC Treasurer and Budget & Finance Committee do not exercise adequate oversight authority over MCFAC Finances Condition "The irregularities in the financial practices of the MCFAC indicate that the responsibilities of the Treasurer and the Budget and Finance Committee have not been met. " "The Treasurer of the MCFAC and the Budget and Finance Committee appear to only exercise a cursory oversight authority over the finances of the MCFAC. " Response We agree that the Treasurer and/or other individual should review the adequacy and business purpose of supporting invoices prior to co-signing any checks and that such invoices should be initialed and dated as evidence of such receipt. The Board will ensure that written policies and procedures relating to check disbursements are established to require such. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 12 L. Provision of Gifts Through MCFAC to Monroe County Officials { Condition "An audit review of the revenues and expenditures for the Mayor's Ball of 1993, the Opera Ball of 1994, the Opera Ball of 1993, The Rigoletto Opera of 1994, The FIU Jazz Band Concert of 1994, and the Celebrity Tournament, indicated that several County officials were offered and/or received complimentary tickets and lodging. " Response Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. M. Nepotism Condition "The Director of the MCFAC has hired his wife as the Deputy Director of the MCFAC. Florida Statutes, 112 .3135 prohibits the hiring of relatives (nepotism) . " Response The Executive Director responded as follows: he hired an extremely qualified person to be the Deputy Director in 1986. From 1986 through October 1994, the Director has been classified as an independent contractor. Recently, legal opinions have been issued regarding this topic. In February 1994, the Executive Director negotiated a new contract for the Deputy Director as a full time employee. The previous contract was as a part-time employee with a compensation package totalling $24,000. The Deputy Director was not promoted. Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. N. MCFAC Executive Director and Dependents should not be on the County's Group Insurance Plan Condition "The Monroe County Attorney has stated that Monroe County Fine Arts Council is not a county agency; therefore, the Executive Director of the MCFAC and his dependents are not eligible for Monroe County's health insurance benefit program. " MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 13 Recommendations 1. The County Attorney should redraft the appropriate Monroe County ordinance to clarify that the MCFAC is not a part of it the Monroe County government. 2 . The employees of the MCFAC should be eliminated from coverage in the Monroe County employees' health insurance program. Response There appears to be significant controversy regarding the status of the entity named the Monroe County Fine Arts Council. We, as well as many others, have operated for nine (9) years under the belief and assumption that we were a part of the county. It should be noted that the Executive Director did not obtain the health insurance directly. However, insurance was a result of a letter received from the State, as noted in Exhibit 19. The county enrolled the employees of MCFAC and allocated a portion of the MCFAC's budget. As noted at Exhibit 19, the State of Florida, Department of Administration, Division of Retirement, as noted in a letter dated August 3, 1990, from the Retirement Administrator, Carolyn M. McGlamery, has stated: o "The Division of Retirement advised Ms. Joan Adkins, by letter dated March 28, 1990, that Monroe County Fine Arts Council is a dependent entity of Monroe County. As such, membership in the Florida Retirement System (FRS) is compulsory for all employees filling regularly established positions. " . . . "Based upon our review of the Employment Agreement between you and the Council for the period of time from January 8, 1990 until January 7, 1992, we determine that you are an employee rather than an independent contractor. " We will request that our attorney review the situation and contact your office for resolution of this matter. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 14 0. MCFAC temporary workers and performers are not covered for , workers's compensation Condition , "Temporary workers and performers hired by the MCFAC may have a valid claim against the MCFAC in the event of an accident resulting in injuries, according to the criteria established by section 440.02 ( 13) (d) ( 1) (b) , F.S. " Li Response Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. P. Uninsured Liability for Personal Injury or Loss of Property "The MCFAC has sponsored performances of local artists and artists from outside of Monroe County. The MCFAC has provided transportation for these artists, performers, and their instruments; however, the MCFAC has no insurance has no insurance policy that would provide indemnification to these performers for personal injury or loss of their equipment. " Response Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. Q. An IRS Determination of Employment Status for temporary workers is needed Condition "Agreements were executed between MCFAC and temporary workers that may be considered by the IRS to be employment agreements. An outstanding tax liability, including penalties and interest may exist as a result of executing contract agreements that appear to be employment agreements. " Recommendation —' 1. The MCFAC should obtain an official IRS determination of employment status by filing an IRS Form SS-8 for each type of contract and agreement used by the MCFAC. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 15 Response The primary issue that concerns the IRS with respect to temporary workers is their status with respect to payroll taxes and which party is responsible for such. The temporary workers hired by MCFAC signed agreements to document the responsibilities of the workers. Workers were generally paid by check and Form 1099 was issued, at year end, to report the workers responsibility to file an income tax return. We have considered many• of the twenty points that relate to the Form SS-8 and consider that since these performers were only hired for a very temporary period, they were able to perform elsewhere during the remainder of the tax year, that they were independent contractors. The fact that a contract was executed is not evidence that a worker is an employee. Typically, performers are paid in this fashion both in South Florida and Nationally. However, we will have our attorney review our contracts/agreements and determine if such are satisfactory. R. Limited Access of General Public to MCFAC Sponsored Events Condition "The MCFAC sponsored six events held at the Ocean Reef Club facilities during the 1993/1994 winter season. Ocean Reef appeared to control the sale of tickets. Subsequently, the Ocean Reef Club made payments to the MCFAC for the sale of tickets and subscriptions. " Response Ticket holders for Ocean Reef performances were admitted similar to other events. Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 16 S. Executive Director Negotiated for Financing for Performance of an Out of County Opera Condition "On March 11, 1994 the Executive Director of MCFAC executed and sent a letter of agreement on MCFAC letterhead to a financial institution seeking $6,000 in funding for the performance of Rigoletto at an exclusive condominium development in North Miami Beach on May 13, 1994 and $6,000 for the same performance at Golf and Racquet Club in Pompano Beach on May 15, 1994. " Response The Executive Director responded as follows: A Corporate sponsor, Citibank, was considering underwriting performances of the Florida Keys Symphony in three different locations throughout South Florida. The county was not requested to subsidize this tour. MCFAC is a member of the South Florida Cultural Consortium, consisting of Palm Beach, Broward, Dade, Monroe and Martin counties, which promotes cooperation and coordination of arts between the counties. The Consortium provided regional planning for the arts, development of new projects, information-sharing, and joint marketing. The Executive Director was encouraged to seek corporate sponsors to underwrite arts groups in Monroe County as noted in Exhibit 20. Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. T. Limited Access of General Public to MCFAC Sponsored Associate Trips to Out of County Events Condition "The MCFAC sponsored a trip to Theater of Performing Arts to see the performance of "Les Miseables" on May 26, 1994. This event included a theater ticket, transportation and a meal. This event was only for MCFAC associates. " . . . "The MCFAC sponsored trips to cultural events outside Monroe County do not appear to be activities that are authorized under the ten objectives as cited in the Monroe County # 6-1980. " . . . MONROE COUNTY FINE ARTS COUNCIL Response to Preliminary Audit Report Page 17 Response The two bus trips organized by MCFAC were for associate members and the public at large. The events were advertised in the beginning of the year as well as on Channel 16 on a daily basis. U. Unacceptable Level of Missing Documentation "A statistically random selection of check numbers was made for the initial audit test of disbursement records. Out of the sixty-eight (68) checks selected for review , supporting documentation consisting of receipts, invoices, contacts, etc. could be located for only twelve ( 12) checks ( 18% of the sample) during the initial field audit review. After the necessity for obtaining the supporting documentation was explained to the Deputy Director of the MCFAC, the MCFAC personnel began to obtain replacement documentation from various vendors. " Response The Executive Director responded as follows: MCFAC documents were lost in the office move from Key West to the Key Largo. Many of the missing documents were replaced. The Board of MCFAC should establish a policy for records retention. V. An Annual Certified Audit of the MCFAC Should be Required Condition "The financial records, as noted previously in this audit, revealed serious irregularities that indicate the necessity of annual audits to protect the public interests and ensure that Monroe County funds, State funds, and donations form individuals are expended for only MCFAC business purposes and properly documented. " Response The Office of Auditor General will be contacted for a determination regarding the financial and auditing responsibilities under state law. Since this is a legal issue we will request that our attorney review the situation and contact your office for resolution of this matter. EXHIBIT 1 MONROE COUNTY FINE ARTS COUNCIL I REPLACEMENT CHECKS DATE CHECK # PAYEE AMOUNT NOTE 10/01/92 1168 TENNESSEE WILLIAMS 2, 100.00 <A> 10/01/92 1175 SIEGEL 1,000.00 <A> 10/01/92 1189 ALBERTSON 200.00 <A> 10/01/92 1201 CLEVELAND 50.00 <A> 10/04/92 1228 OBERN 300.00 <A> 10/06/92 1229 SPANO 200.00 <A> 10/05/92 1231 ZITO 500.00 <A> 10/06/92 1233 VEITCH 100.00 <A> 10/06/92 1234 SMITH 100.00 <A> 10/06/92 1248 SMITH 50.00 <A> 11/05/92 1288 FRISHMAN 166.66 <A> 11/05/92 1289 DOERFFELL 166.66 <A> 11/05/92 1290 DOERFFELL 166.66 <A> 12/15/92 1325 KINKELAAR 166.66 <A> MAY 1993 N/A N/A 4,235.49 <B> AUGUST 1993 N/A N/A 1,497 .79 <C> TOTAL OF REIMBURSEMENT CHECKS 10,999.92 NOTE: <A> REPLACEMENT CHECKS TOTALLING $5,266.64 <B> REPLACEMENT AMOUNT REPRESENTS UNFUNDED MONEY FROM THE MAY 20, 1993 REQUEST FOR REIMBURSEMENT. <C> REPLACEMENT AMOUNT REPRESENTS UNFUNDED MONEY FROM THE AUGUST 1993 REQUEST FOR REIMBURSEMENT. MCFACRE3.WS 1 EXHIBIT 2 MONROE COUNTY FINE ARTS COUNCIL AMERICAN EXPRESS EXECUTIVE DIRECTOR 10/1/92 - 6/30/94 ********************************CLASSIFICATION MCFAC MCFAC *******EXPENSE ACCOUNT ITEMS****** MCFAC STATEMENT PROGRAM OFFICE AUTO/ HOTEL ENTERTAIMENT OTHER DATE EXPENSES EXPENSES TRAVEL EXPENSES & FUNDRAISING EXPENSES TOTAL 10/27/92 432.00 46.66 234.73 379.48 16.00 1,108.87 11/25/92 203.86 564.23 768.09 12/26/92 27.13 135.25 42.11 204.49 01/26/93 22.74 360.18 137.52 520.44 02/25/93 154.48 205.09 359.57 03/27/93 42.21 30.98 105.79 87.21 34.18 300.37 04/26/93 225.61 208.02 223.10 656.73 05/27/93 20.50 180.37 76.99 218.59 55.00 551.45 06/26/93 42.42 137.76 47.15 227.33 07/27/93 30.24 13.99 186.70 15.81 246.74 08/27/93 6.88 148.67 290.02 2.02 447.59 09/26/93 35.21 115.99 74.95 195.68 3.15 424.98 10/26/93 108.34 94.33 29.55 232.22 11/26/93 745.55 268.56 320.58 1,334.69 12/27/93 25.99 497.45 175.36 17.81 716.61 01/26/94 80.08 129.98 210.06 02/25/94 290.11 123.04 209.92 623.07 03/27/94 420.00 163.18 153.86 634.29 1,371.33 04/26/94 107.39 135.69 244.88 487.96 05/26/94 36.83 114.63 239.92 55.00 446.38 06/26/94 67.74 178.58 118.60 364.92 2,214.83 367.50 3,721.18 359.96 4,093.42 847.00 11,603.89 NOTE: THIS REPRESENTS AMERICAN EXPRESS CHARGES FOR THE PERIOD OCTOBER 1, 1992 THROUGH JUNE 30, 1994. PLEASE NOTE THAT CHARGES ON THIS ACCOUNT REFLECT EXPENSES INCURRED FOR MCFAC PROGRAMS SUCH AS LIGHTING AND SOUND EQUIPMENT. IN ADDITION, AUTO, TRAVEL, HOTEL, ENTERTAINMENT AND FUND RAISING EXPENSES REPRESENT EXPENSES RELATING TO THE EXECUTIVE DIRECTOR'S EXPENSE ACCOUNT. MCFACAMX.WS EXHIBIT 3 MONROE COUNTY FINE ARTS COUNCIL AMERICAN EXPRESS DEPUTY DIRECTOR 10/1/92 - 6/30/94 CLASSIFICATION MCFAC MCFAC *******EXPENSE ACCOUNT ITEMS****** MCFAC STATEMENT PROGRAM OFFICE AUTO/ HOTEL ENTERTAIMENT OTHER DATE EXPENSES EXPENSES TRAVEL EXPENSES & FUNDRAISING EXPENSES TOTAL 10/27/92 0.00 11/25/92 0.00 12/26/92 29.88 29.85 59.73 01/26/93 25.55 33.88 59.43 02/25/93 14.46 14.46 03/27/93 116.91 398.30 60.79 18.45 55.00 649.45 04/26/93 104.55 11.03 111.19 226.77 05/27/93 198.27 20.80 13.89 232.96 06/26/93 80.77 75.51 156.28 07/27/93 13.41 13.41 08/27/93 0.00 09/26/93 12.80 12.80 10/26/93 49.88 13.59 63.47 11/26/93 7.65 55.00 62.65 12/27/93 0.00 01/26/94 63.93 1,816.39 24.67 1,904.99 02/25/94 750.34 442.43 23.80 68.15 1,284.72 03/27/94 343.77 41.34 16.90 402.01 04/26/94 6.38 45.91 52.29 05/26/94 315.82 10.25 326.07 06/26/94 21.97 13.68 35.65 2,085.79 2,688.95 539.05 0.00 48.30 195.05 5,557.14 NOTE: THIS REPRESENTS AMERICAN EXPRESS CHARGES FOR THE PERIOD OCTOBER 1, 1992 THROUGH JUNE 30, 1994. PLEASE NOTE THAT CHARGES ON THIS ACCOUNT REFLECT EXPENSES INCURRED FOR MCFAC PROGRAMS SUCH AS LIGHTING AND SOUND EQUIPMENT. IN ADDITION, AUTO, TRAVEL, ENTERTAINMENT AND FUNDRAISING EXPENSES REPRESENT EXPENSES RELATING TO THE DEPUTY DIRECTOR'S EXPENSE ACCOUNT. MCFACAM1.WS EXHIBIT 4 MONROE COUNTY FINE ARTS COUNCIL PERSONAL EXPENDITURES 10/1/92-09/30/94 DATE VENDOR AMOUNT • 2/11/92 MCFAC 200.00 04/13/92 MCFAC 175.00 9/17/92 MCFAC 120.00 12/07/92 MCFAC 30.00 525.00 NOTE: REPRESENTS DONATIONS MADE DIRECTLY TO MCFAC BY THE EXECUTIVE DIRECTOR MCFAC2.WS EXHIBIT 5 MONROE COUNTY FINE ARTS COUNCIL PERSONAL EXPENDITURES 10/1/92-09/30/94 DATE VENDOR AMOUNT COMMENTS 05/31/92 PARADISE MOVERS 200.00 03/10/93 US POSTAL SERVICE 28.60 10/19/93 SCOTT FLAVIN 400.00 12/15/93 ROTARY CLUB 215.00 03/08/94 GARY LINDSEY 200.00 03/09/94 RAY DI MARCO 128.90 <A> 05/27/94 ARUGULA GRILL 110.57 09/05/94 SOUTHERN BELL 202.99 <B> 1,486.06 NOTES: REPRESENTS DONATIONS MADE DIRECTLY TO MCFAC BY THE EXECUTIVE DIRECTOR <A> REPRESENTS REIMBURSMENT TO MR. DIMARCO FOR DINNER EXPENSES INCURRED FOR MARATHON COMMUNITY THEATRE CREW, LONDON BALLET. <B> DISPUTED AMOUNT FROM PHONE BILL. MCFAC10.WS v/ �. .. .. •. -•.. ..e 1 �.e ..=!a+,if,11: ' ':i.• t,.A7i•i4t1T Yrit.i.,i i..2diat,.t'.'tarr.::.;_. :/-( Tien i.. No. !y , p'% 1117i5/E?0 Ac .tMo_..._._.. ...._. _._�.._._ tt • Qltt ffj\Iq // .t7 /.,00 , . t. " .„,,„.1‘.ri/• • (/r' I[c/ .:../...."V _ ...D O 1 L A R S .c. w.It.t • ICU a. . _,�i f li4-...4 .p44.c„w._. _____'_.,. ...��c..n.'- .. �:06 oo7758'. 00 '� �s.); ., S fr • :; w •. T. I 1• N i A i iI / . r •. G • : . ... �l-:Fi'... • 1 • Ir I -- ' •- EXHIBIT 5 ltll'll f�` iiti'I( 14 I{'H1 14 f)zirik, i TOT R ICE TO PAGEy 3ppee 1 STATIU-Z6-93TE L flq• 3304 PARVARGNNA��LAKARRiT VQ AiK RDJ IEV • $u i¢xLA j Y LARGO, FL 3017- 345 MIMER Na • HONEY MARKET INVESTMENT ACCOUNT TRANSACTIONS ACS 166N1 ER S pR9eAQH F • DATE AMOUNT DESCRIPTION DATE BALANCE COMBINED CURRI 09-27 200.00 P TR N F RR3+1 . 09-27 I ECKIr pp- 77 55 P T�R�A �R FEE il QQ'-�j 11,176.45 S/ ING 09 50.88 P }406 f F ur y ns TRA ER EE �- • A inn 10 . UPCRT ER WITHDRAWAL 7�i-u• mill; TAL AXy RN R OFFFL RgLAZONPHIP 10-04 100.00 �DP TR F�R344 10-04• M NI M ALA 1 - 4 aODP TRANSFER FEE '�' 1St 1 - $ CHECi*i . ! 1 - 6 4,0 . S HR AWALIME WITHDRAWAL ' � 4I THRUI 2 1 YE A FL 1 _12 5,0A6 I RSA 1 1 H K 1:fli: K ga - 1 ' DE OSIT N T1 - 4 T PAID 9/24 THRU 10/263CU N 1 - 1 . REGULATORY ACTIVITY FEE - ANNUAL ggTE ARN.t - ACCCOpUNT SERVI CHARGNTHLY MAINTENANCE FEE 10-26 350.31 AV A E E LAN( 10 26 ��. U NU ER DA``��S Ir INTEREST PAID CHECKING ACCOI SERVICESITHABTACANTHLPAMLfILLBYOUIA RBF NC IALWiQAL�tANGE OF DATE Atv 5 10-04 1- 10-12 1( 18:1 t if 10-22 1C 10-25 1C 13-25 1C ! l ) _ To Whom It May Concern: For the appearance of my quartet on October 2, 1993. I received $400 from Parvan BakardJlev on behalf of the Monroe County Fine Arts Council . The original check from MCFAC was mistakenly mailed rather than brought to the performance. The musicians required payment for their performance at the end of the evening. Scott Flavin &753 N /Ida1/ Jl rcve. apt. /3/10 Alcorn(' , FL. 33/5 (os) 66,3-iqs%, • 98,64iRei9,9"G 0 .................................... Z913E•969•LI9 NOiSO8 .......................... .............. : .......................... • .......................................... ............................................................... I-- (. S"W).=;.:•;. .• „ ao647 rz.):=-91st rak4'54 7k1 64-44 • . 1 No-v-7a 11/gLi 1,--&-7 V c7A- 07*N3 OP- i4,N\ 1.7 1 El e/tA /")),JP 03 SI) -( / 3N AzIt - cAA oo4 Cora •9- I -21 7 7- •00), 17. --)V1 NOS--OG /\ ) 0-?:3-4i/117,1 .z,ou 1mu., J.,\ u; L, A-E9-7dQLA-=5,1tC) V )IVEI M4J) kg a-TA sAps iveugos\e) Avvy w ts,1-1 p/\ t:31 c I tititVi 14/ !s•20-77-vor/-4).1 •— iv Yti , 1„ ,cti-73 •s• EXHIBIT 6 MONROE COUNTY FINE ARTS COUNCIL ECKERD DRUGS 10/01/92 - 6/30/94 RECEIPT DATE NATURE OF EXPENSE AMOUNT ON HAND 09/26/92 N/A 26.24 NO 03/10/93 N/A 8. 14 YES 03/02/93 FILM FOR CONCERTS 10. 10 YES 03/10/93 ENLARGEMENTS - YOUTH ARTS 31.81 YES 03/14/93 N/A 34. 18 NO 04/09/93 PHOTOS-GERMAN YOUTH ORCHESTRA 8.77 YES 04/27/93 FRAMES - YOUTH AWARDS 150.84 YES 05/05/93 YOUTH ARTS COMPETITION 15.57 YES 05/05/93 PHOTOS-YOUTH ARTS COMPETITION 31.86 YES 05/28/93 FRAMES - YOUTH ARTS 49.90 YES 06/02/93 YOUTH ARTS COMPETITION 18.20 YES 06/03/93 YOUTH ARTS COMPETITION 12.67 YES 06/28/93 N/A 30.24 NO 10/06/93 PHOTOS MAYOR'S BALL 49.88 NO 11/07/93 PHOTO ELECTED OFFICERS 7 .65 YES 12/02/93 N/A 17 .81 NO 12/24/93 DECORATIONS FOR NYE FUNDRAISE 16.00 NO 12/24/93 DECORATIONS FOR NYE FUNDRAISE 9.99 NO 01/13/94 GALA CONCERT OCEAN REEF 19.51 NO 02/01/94 LONDON BALLET PHOTOS 29. 19 YES 02/09/94 PROFESSIONAL PHOTOS 68. 15 YES 02/15/94 ARTS DAY, FIU JAZZ BAND 126.25 YES 02/19/94 ARTS DAY PHOTOS 45.49 YES 02/25/94 PROFESSIONAL PHOTOS 16.90 YES 02/27/94 PHOTOS-HOLLYWOOD SINGS 11.23 YES 03/17/94 FRAMES-SPONSORS AWARDS 9.63 YES 03/18/94 OPERA BALL PHOTOS 12 .67 YES 04/04/94 OPERA BALL PHOTOS 6.38 YES 04/23/94 BEVERAGES FOR JUDGES-YAC 6.99 NO 04/28/94 PHOTOS-YOUTH ARTS COMPETITION 102.81 YES 05/11/94 FRAMES-YOUTH ARTS COMPETITION 149.33 YES 05/25/94 PHOTOS-YOUGH ARTS COMPETITION 11.36 YES 06/15/94 OFFICE SUPPLIES 10.61 YES 1, 156.35 MCFAC5.WS i 1 EXHIBIT 7 MONROE COUNTY FINE ARTS COUNCIL PERSONAL EXPENDITURES-AUTO 10/1/92-09/30/94 DATE VENDOR AMOUNT COMMENTS 01/31/92 GEICO 479.06 05/14/92 GEICO 453.64 06/02/92 H. KNIGHT-REGISTRATI 52.65 06/15/92 CATES AUTOMOTIVE 256. 13 06/17/92 COOPERS 681.63 06/21/92 COOPERS 174 .26 10/16/93 IMPORT AUTO 15.00 11/30/93 INSTANT INSURANCE 1,036.00 01/14/93 IMPORT AUTO 20.00 02/03/93 THOMAS BAPITSE 350.00 <A> 04/14/93 FINCO FINANCE 302.03 06/11/93 FINCO FINANCE 302.03 07/14/93 FINCO FINANCE 302.03 07/31/93 FINCO FINANCE 302.06 08/15/93 VOLVO FINANCE 407.25 09/16/93 COLONIAL INSURANCE 130.00 09/17/93 ROBERT'S PAINT 1,202.38 11/23/93 COLONIAL INSURANCE 88.00 12/08/93 LOWER KEYS HEALTH 590. 16 12/15/93 COLONIAL INSURANCE 176.00 01/16/94 COLONIAL INSURANCE 88.00 02/19/94 COLONIAL INSURANCE 88.00 04/14/94 ALL KEYS INSURANCE 190.00 07/05/94 THRIFTY CAR RENTAL 119.69 08/04/94 THRIFTY CAR RENTAL 214. 19 09/01/94 BLAKE CHEVY 529.94 09/07/94 ALL KEYS INSURANCE 254 .00 8,804 . 13 NOTES: REPRESENTS PAYMENT MADE FOR ACCIDENT WHILE ON MCFAC BUSINESS. MCFAC12 .WS EXHIBIT 8 MONROE COUNTY FINE ARTS COUNCIL PERSONAL EXPENDITURES-DEPUTY DIR. 10/1/92-09/30/93 DATE VENDOR AMOUNT COMMENTS 02/06/92 RITE AIDE 12 .42 03/14/92 BUDDE'S ART & CRAFT 17 .76 04/01/92 RESTAURANT STORE 39.95 04/01/92 AAA MODERNIZING 6.00 04/20/92 RITE AIDE 10.21 04/28/92 BUDDE'S ART & CRAFT 12 .00 04/30/92 BARBARA ANDERSON 50.00 09/02/92 K.W. COMPUTER CTR. 40.60 09/10/92 ACCURATE FRAMING 9.85 09/18/92 HOLIDAY INN 36.61 10/06/92 PUBLIX 8.86 10/29/92 BUDDE'S ART & CRAFT 9.30 12/09/92 POST OFFICE 58.00 01/17/93 POST OFFICE 3.34 02/03/93 POST OFFICE 1.44 03/02/93 ACCURATE FRAMING 4 .05 03/15/93 ACCURATE FRAMING 14 .84 03/26/93 POST OFFICE 1.44 05/14/93 POST OFFICE 11.06 05/27/93 ACCURATE FRAMING 12 .00 05/28/94 K-MART 12 .44 07/01/93 POST OFFICE 29.00 09/08/93 POST OFFICE 29.00 430. 17 NOTES: REPRESENTS PAYMENT MADE FOR ACCIDENT WHILE ON MCFAC BUSINESS. MCFAC13.WS EXHIBIT 9 MONROE COUNTY FINE ARTS COUNCIL PERSONAL EXPENDITURES-DEPUTY DIR. 10/1/92-09/30/93 DATE VENDOR AMOUNT COMMENTS 10/17/93 ECKERD DRUGS 7 .51 10/31/93 K-MART 33.99 11/24/93 ACCURATE FRAMING 4.60 11/30/93 FKEC 5.00 12/03/93 ACE HARDWARE 1.49 12/03/93 MASON'S LOCKS 2 .68 12/09/93 POST OFFICE 13.95 12/09/93 POST OFFICE 9.95 12/12/93 K-MART 24 . 94 12/12/93 PUBLIX 11.27 12/27/93 ECKERD DRUGS 7 .22 12/27/93 MCCRORY'S 6.38 12/30/93 K-MART 11.02 01/03/94 ECKERD 8.09 01/08/94 K-MART 7 .22 01/08/94 K-MART 17 .44 01/03/94 K-MART 6.41 01/03/94 POST OFFICE 9.95 01/03/94 POST OFFICE 9.95 01/27/94 KEY LARGO SHOPPER 17 .28 02/04/94 PUBLIX 4 .98 02/04/94 K-MART 6.33 02/04/94 PUBLIX 23.50 02/26/94 SPECS MUSIC 31.29 03/01/94 POST OFFICE 14 .50 03/01/94 WAYNE LARSON 135.00 03/09/94 PARADISE CAFE 37 .50 03/16/94 K-MART 3.79 05/18/94 POST OFFICE 9.95 06/02/94 POST OFFICE 7 .29 06/20/94 MCCRORY 6.42 07/01/94 ECKERD 1.25 07/12/94 PACKAGE DEPOT 14 .50 08/03/94 POST OFFICE 9. 95 TOTAL 522 .59 MCFAC13.WS EXHIBIT 10 MONROE COUNTY FINE ARTS COUNCIL SOUTHERN BELL 305-852-8209 BUSINESS CALLS OCTOBER 1, 1993 - SEPTEMBER 30, 1994 DATE VENDOR AMOUNT 10/25/93 SOUTHERN BELL 5.00 11/25/93 SOUTHERN BELL 1.30 12/25/93 SOUTHERN BELL 10.38 01/25/94 SOUTHERN BELL 5.76 02/25/94 SOUTHERN BELL 12 .32 03/25/94 SOUTHERN BELL 5.99 04/25/94 SOUTHERN BELL 2.66 05/25/94 SOUTHERN BELL 2.22 06/25/94 SOUTHERN BELL 0.00 07/25/94 SOUTHERN BELL 0.00 08/25/94 SOUTHERN BELL 6. 00 09/25/94 SOUTHERN BELL 12 .28 63.91 EXHIBIT 11 MONROE COUNTY FINE ARTS COUNCIL SOUTHERN BELL 305-852-8209 BUSINESS CALLS OCTOBER 1, 1992 - SEPTEMBER 30, 1993 DATE VENDOR AMOUNT 10/25/92 SOUTHERN BELL 29. 85 11/25/92 SOUTHERN BELL 2 .88 12/25/92 SOUTHERN BELL 9.74 01/25/93 SOUTHERN BELL 6. 19 02/25/93 SOUTHERN BELL 4 .33 03/25/93 SOUTHERN BELL 12 . 12 04/25/93 SOUTHERN BELL 1.58 05/25/93 SOUTHERN BELL 4.53 06/25/93 SOUTHERN BELL 3.06 07/25/93 SOUTHERN BELL 3.77 08/25/93 SOUTHERN BELL 1.66 09/25/93 SOUTHERN BELL 2 .55 82 .26 \....., 1,0 CO �NCIL Of The Florida Keys 0._.i. to r 9) 7.0 May 20. 1993 • MAY 2 4 1993 :4 • O c) itigt 1 a* .. IS 46* ',!.jr Melonie Bryant 6. � ,+ Office of Management & Budget , ,` • �• Room 200, PSB, Wing 2 ri4.% • 5100 College Road Key Westici , FL 33040 4-4 Dear Melonie: _ • This ltter will serve as a request for reimbursement for the checks listed below. I certify these checks hove been issued: PAYEE. _ CHECK NUM$ER AMOUNT • Sinfonia Virtuosi 1514 $2,000.00 Sinfonia Virtuosi 1515 2,000.00 ' 0 Sinfonia Virtuosi 1515 2,500.00 Parvan Bakardjiev 1561 3,333.03 :4 Margaret Pent 1562 1,669.00 Paul Lindstrom 1563 564.70 First Union National Bank 1564 1,875.54 Total: • $13,942,27 - :; Please make check payable to the Monroe COW, y Fine Arts Counc l tom. 41...,,i and thank you for expediting this request. Si• nc ( • •rs, ///bi van Baker/ut.y' � r Signed before me this 20th day of May, 1993 by Parvan bakardjiev, personally known to We. J . sty8/pl State of Florida - .s OOiaCTANCS W'' I.$)S+xw«ton Si.,Strife 362 k °,"1 lifammo(IGoMOM WON Kry wear.Florida 33040 . Warring IL 111K (VS)=%s000,an 362 ® - -- —-- ''*-,a';' 1Wc�0 Hall TIt0y'Ptiir tt49t001004 • Key Lego(305)1316116 ., I . 'ni • Fax.(305)2%6-2t70 EXHIBIT 12 TELEX 522540 — — . • _______ r., ..T nC.:.T lbL•1/7.T. .. BOARD OF COUNTY COMMISSIONERS:: KgY WEST, FL. 19 4 1 4 1 .r 7. . • :.--.... •.... .,.,„;..,L::,,•;,,' • to•1 s,'•-,: ••• •••,i7,•,••,•.-•.•:•• .1,•:7:7:1',••• •, VOUCHER' .,• Mi •i. ,! (e., • •.•' AM OE RIPTI*: NUMBER •,,. ..., • '•• (-•;-' OUNT• i• ....q. • .',. .;,,,,,,': .f. .••. •--- . • '.. '.1 •. ...::,'.',':':•i: . ' APP.I L P.E1413. . 111211 0010/0100 :5731i.,001,000 • 9706.78 ...i: . ' . • . . --..; ; . • .1A. : -.', • ...• • '.., . • • . • --'• •;:.:. I .444. • ••• I .1 • :•••• . . •••••• .• .2....;'.• ;;;. r,,,,•'•• ,_,1 ' . •,. • ..:•. . ....;•,..,-;.••••.i:7 ...• • •• . . :,. • ,. • • . • . • I , .. • .• .. .* , • • 1 • .. . . , • •• . . . ) ..,,.. • .. ...,--..--- . '._, ••" . — . • ..•.. ' . . •.. .• _ 06 02 93 ...194141e.:•::':• '• 97064.78 . • ,;(-...,:(...st .:, ,,..-,'•. ..., •; ,'.;i i,F.F '..•I,.:fe !..n. '••11'....:,-,:.';••., ; •-•,i : 4 I, )ARD OF COUNTY COMMISSIONERS . . . 63-776 - 1 • : hro . OE COUNTY KEY WEST, FLORIDA . • . 670 • . . . . . •• ... • .: . ._ • . . ;:, *'''':`%•" "'.' f,ii HE THOUSAND 5 EWEN HUNDRED SIX DOLLARS' AND 70 A'Arl.0441*no= . ,',..,.;6ari:''..::::,••:;., .. . . .• • :. PAY TO THE ORDER OF .....,.*:,-, ••'• . 1- .DATE AMOUNT :: ..,.• 41 .:.,. , .. .• aebotto- 3 .****40 9,7 0 6• 78 ..-,..i?.,1%;.i' ..,,i ''','• 1;. :. .,:;-•*:',,.:. • . .- .. . . . '• ArM 44. r• .•....: COUNTY FINE ARTS COUN7•..m.•,; • '•:ii..1- • • . ... . , :-. :- • :• . ..,:y....:4••••: . " •:: ... I Df' ..AHONTON ST STE 362 •'..' ..-tit.,,- :It'..-• ,..... • • ....4*,4,„,,,..t.,... : ..,.. ...4,... • .. . . ...,:,;11-:4::.,4.• „. Y A}'ST, FL ---:, • 33040 : •••:: . . •••, '.•;:2-',;...,:i,•• .y. • 7. . .. ,.. •• ••- • COPY.NC)T NECIOTIASLE ......1...11.;,.;...k...);,,., ---,' Ira 3..0.Nofrmi Aoosavos BLVD, . . , KEYWEST,FLORODA 3:3040 .• . •• • .• ,.: ink: ., . • . ..:••••••••:::: i:i.'...;„::y.'-'...-, . ... . . . ''''''. t 1• lEk'r;<;•••••:.•••..1.* ...-•:• • •••• ',.' :. .'?•:. . . :;•Z,:kte.;:;.•,, .. .(eF;"•••••."•• . . ••••••• .• •• • .Y •• . .. .. . i4lTilil?;;i:k.g.I•iii•Vi ;'- ; " '-f ;-" .•,'- "'•.:•". •••''••••••'. .•••• '• ..:•'-• ''. ; •''''•'':''.. .'• ::.1: '..1,• .... ;%14,-.' .•,'''';••'•:.,:,y... i...:`!2.-.1.:4;. i.';'!;;"' • i......... . , , . •...... .. :.• , ... . . • . ' :'. • . '-'.i.; . • • ••••C:fe...,.. • : .•• . • 2:1.. .,..... •r .., • • ./.- .. .4: . . . • 4:•,..,• .... . i '•#•••• •. . . . . . . •. ... ,.. , . . .._,. . . . • ••••. •N. ' - .. • ...... .1. . . . ... .: .•':. f•• . . . . , '...;• . • . • • .:..:!.F.„41..,...''...'..:• . 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E4 1b:38 3058530400 Mu-p - • :: UN CIL OThe Florida .Faye �) ,a, ,�y ' . r _ 1 ,',z S] 1't 1• ., rp �1 �s•j v .' Sf J "•,(t t' ''t4-* t '..0}al i4 ,(' LYE,j l} �tl y 4 Y_— l�' 4, t , t fi it 6 7,,c, r v :t ¢ r i ,11i? r-tt `tPY-.r • '44s I siv�l'[i s }turn U )l ,v �� 1,,(,,f.' ,1 W -: t d k Yf 4 ., •.,.• ,. .....„....,...., :„,,..,,,,,.....„,.. .....„.: . 1.1 M1 r'_ r 1 i;-1 a t k'l A e FaJ 1 2� r T1 ' '' h k t ti t i r r;'h, iS.i<( r., S 1.. ,-3 f (. `I \y i` r? I,;,. \ tat+].; ik,,"� ,.{- , t "- 1 v f(' °1 i t: r i 9 r ,,, t p t<< �tS f 4. ((;t a} rI`,,= +4r'rtis1 1 t tl, { '�r�'•'1"e,t !Z!; ae1 ,{i' , '. _�' r 4' 4 i'3 J +1 )1 t y r t; . }i �, raj 1 - ;'a i 5 .1. t r i,f( ' ')I I f`it.ak-�, I'k' r ,VI �.i t 1t t � aJ zd ( T,i 4t y�� g� r �t ',4� of�,z.fit*.r. ,,,; �"' ; is y`o.,°. *�fiN t`Te,..3'S,.y:1'i a _ '1) ) 'r i,` i y y �h} }t)1 i y1 i a r(t z f4„;:v.,- „.' 4 {z '`i I.rt �l'.t yC ,1'?: -lif til:@1is., y\5T}� r�'„�,"� '^ o Sl t e i,,5, r 1 .'c`' ,a ''S'a7z ; r}" 'r.�' • 40"0 ATTN; Melonie y:(t drtrA}r ii( tr 1" '�i3 3' t`�•1. t ;tit ' t is.i.43. r �y�> �T1 i(`-.iti : 4.' •4- t10nroe County Finance Department i r �. 'rti'v'� h a t 1�t�} ��tw;"�a� �.�y`v Public Service Building , t.r, ,' x a,(r 11, .> ,.J,,,,, r�,s r 4 t4 1,:r s }•. �4'cf✓1 a r r';r°'t' +teisl4P�'z �j LL A. -. Stock Island ,, S �t 'rfy fi fi 'dJ t r'''�(Fi'r� s41(X .,-t t t t i „ ,4i'it.Y`tit �: )'z r' t•' i>.101r,�14. ,� F.1,'A;•- I Key West. FL 33040 �,1� ,4':.,, t ' if ' ,Lt t„ '..e=-k�4:t s +t R" r if e r,iy ra A,r r is.11 ,i,.� Deer Melanie: ,'+ ' ,r This letter is a request for reimbursement for.the checks listed below. I certify that these checks have been issuedi 1 - PAYEE --- CUM. 10. AUNT • The Reach 1607 $2,000,00 - The Reach • 1395 110. 70 Internal Revenue Service 1600 $228,99 First National Bank 1589 1 ,696.48 Paul__ Lindstrom 1579 461 .62/,: Total: 4,4 • 9 t Please make check for 4,497.79 payable to the Honroe County Fine is 4` _ __ Council, and thank you for expediting this request. �` viz Sincerely • tt,; Iiii A. ?a l f- 95 1241 y� h P ' jiev • __,I . ‘ 5..ii{ 1 r F J NIE3 ''`j AUG 21993 oo�wrt rrr = /: TT!', "` •• M1 - w wgsts Ico,sa expires �►- s41 _ Moawnb,K 19.1996 . 4 '1 0 t WA,IWO WOW FAN OnIVIP htitCf-we, r • S)&mouton 51..Sails 342 .1 - ' — Key Wei,AlKi1a 3%4I . -•*049360,FII.342 EXHIBIT 13 ts24t u - — 12;1,14/1994 16:38 3058530480 MCFAC BOARD OF'COUNTY C lMI$$IONER$ . K - ---.__ _._ . • ,<_ �� KEY WEST FL. 1 1 t. . ,- �' �•��y>y�'.w�� r •,.'r vt , r'I,fik• a• .' r0jyt xc. `,r • r A Wfl' �'• i r(Ur. If )`5' � L.Yn+R if s ( '1 • J••1'Rt+ c_'.''J7�T'•Y kIlitl. 5/7-9/93 ; x•t9Oo , :001010 `bo. 57334i00000o 3000.00 • • • 09 1'S 93 2• 07a6� — > .,. r 3000.00 D�• D y'7�`�[1�) J _ '�;.•'� ':,' • � 1 J c f ,r ', tlr S+ ?t.'`ry•,T ai*:�. •'�N� •1!V!,�V;L.l,�y .�,�p•', � I:r'�y7V �.'•".p�'t,� +�{'i%xf�•�'rP'�•�•ll':�\'K� c �'.a'14?„"`,,/.,; � n:...•��la, � r. . .� t,•a,•.r."c !��• w it • �•t ♦1.,i;bff• i.,,:a..���1'i,T e. ';.,...,, I.,•y. 1,,. 1 r C .4k.,•; V 1•4,,` , .- .ij i :tat . .::.:.: /'/-• r?: 5,�•t': ,r.f {. fi. rl;, iY- ) t • 1,'*' ,Yari,. .,. IV� '�'��!•f 'I .1' � •r.1(', ' : d 3 , .F':\ ,tt.M����f K l�r;•�r '��•.,'`' �`;.a�, F lr. 1�''�{ •.� c sp. aaa )�' fit:�.''/" • ,A .,:1.•t �` .;` ..•f: Vt :1 :,1.:,, v:r 'v•"✓��OP,...•. \;.... ,,':1'.,�:��"V 1��• ��1• (':� i, �?r�. � 1I' •'�•::!� ./ '�.':l I7,M1;�•� It..�"„ ir,M1. . 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(�, 1.<••n 1.. ... -. ,fwl• ypr 'l• ,,�'� �. •`,�•r7 c )i.r "/ .�, ..�.p. '\�:'{,�'�,y�•:.? :�;,' J •f.IIl,llt•t �•;i•.,,. il,? 4;4• �t.,. t...c•x( � '•.e�1.14,,• 'µ:n...:e,!. mil 4, )•r... : I •�lt1lfL. r�..t.. .�A '.1, f ..!'S cnd"';,•.'•L,•rte%14;2'. '.V ',• ( v`.p' ..1 '1 .{;n.t'.ltin.'t .. . • " :' i'.•orC/t .5,:r'1.4..M�:. •,e;,,y!,.A i Ft..: a . ••l,p,.+ .li.514,4 4.� lh•. ;:'• 'yslii:.'F'�.,•' ,re▪ ' �r rr I �,, 'V':c.1, ':;i.•1`' rr,.,4'.4 1%4,"•: ••``$;.?.. r�:•.•• ,rs•..:1:.s..•4,2,;V„ G�►•�t vt�a.•a '`: ' t . 5.,� �;� :1,•••f `i:- I ,,y� :2 '✓t .,':t,9•t;� . ,t1• 1 •k 'C • :;. �S' y��a'�;� � t �':Y'�� � rro •IR tt b R µ o- tt 5"<N•,k r /iy p.'�•P;', r ym 4y�l: ��+7 a.. . r...1 : : . __ .,. . • . , t•' ' • .f..yy 1� r , .• `.f It %iY • d•• . • , e . A V • j EXHIBIT 13 — �1 j; :i 12i'L1711994 16: 26 '305-293-0074k� KEY WEST BY THE SEA PAGE 1 tLYWri5 : ' te) • ... I DECEMBER 7 , 1994 To Whom it may concern: This is to confirm that Mr . and Mrs , Paan Bakaev we tenants living here at Key West by the 5 arV A-205 from]Januaryre 1986 to June 1992 . Although the property was managed by Bender-mania Real Estate, which is no longer in busines, we can acknowledge his residency . Sincerely, Becky Ludacer Rental Agent Ai 111111111111mmia EXHIBIT 14 2601 S. Roosevelt Blvd. . Key West. Florid', RRndn . - - EXHIBIT 15 MONROE COUNTY FINE ARTS COUNCIL SOUTHERN BELL 305-294-3848 PERSONAL CALLS DATE VENDOR AMOUNT 10/22/92 SOUTHERN BELL 1.78 11/22/92 SOUTHERN BELL 0.69 12/22/92 SOUTHERN BELL 0.00 01/22/93 SOUTHERN BELL 20.68 02/22/93 SOUTHERN BELL 26.83 03/22/93 SOUTHERN BELL 0.00 04/22/93 SOUTHERN BELL 0.00 05/22/93 SOUTHERN BELL 0.49 06/22/93 SOUTHERN BELL 0.00 49.98 12/03/1994 13:30 3050530400 MCFAC PAGE 01 1 —01-1994 09:39AM FROM TO 172,058530400 F.01 Post-itTM brand fax trari$mitta memo 7511 =MEM �j�iiiim.:„./...,...,im. s i f_a �• 1 iamm lnmamweamml County Attorney 111.111.11.111.116111.111.11. 310 Fleming Street VieraMENIMIIIIIIIIIIIIII Second Floor Key•West, FL 33040 (305)292-3470 . 1VIORANtUM H DATE: October 20, 1994 • TO: Charles Mansen, Internal Audit -, FROM: Suzanne A. Hutton,Assistant County Attorney /14 RE: Fine Arts Council You have, by conversation on October 19, 1994, requested a clarification bf item 8 in the October 7th memorandum sent to you and Mr. Koihage. 1 More ' specifically, you have requested whether' there is any' ethics violation or Mr. -_ , Bakardjlev, es executive director of the Monroe County SAC, to employ and/or promote his wife, the Deputy Director of the FAC, 1 The FAC is subject to Sec. 112,3135. • However, Mr. Bakardjiev ; is an independent contractor with the FAC. Although there are no cases or 1AGOs cited under Sec. 112.3135 with respect to nepotism by an indep ndent . contractor, this situation is somewhat similar to that addressed in AGO 071-264,. In that instance, the Attorney General opined that there was no prohibition against a contract between a city housing authority and a construction firm whose president is the son-in.law of the director of the city housing authority. The Antinepotism law "contains nothing that either expressly or im liedly prohibits business transactions between relatives" but only uprohibi s the appointment, or promotion or recommendation, of a relative by the appointing ---I officer." Since Mr. Bakardjlev is an Independent contract and not an officer of ' the FAC, the Antinepotism law would not apply. • 1 This situation is similar to the contractiriy by the County with conatructioA firms who employ husband and wife or father and 'son, and there is no statutory prohibition against contracting with such firms, • If you have any questions,.please call, SAH/jeh ` 1 EXHIBIT 16' Enclosure I . EXHIBIT 17 MONROE COUNTY FINE ARTS COUNCIL GOLF TOURNAMENT PRIZES APRIL 9, 1994 NAME OF WINNER AMOUNT PAUL M. 120.00 KEN BOEHM 120.00 GERRY COURNEVA 110.00 G. ROCKETT 110.00 BILL DANIELS 90.00 JIM LEWIS 90.00 J. KLASSEN 120.00 ROBIN PELIGRINI 120.00 D. MINERS 110.00 SANDY BROWN 110.00 GUY KENNAN 50.00 K. SUELCH 50.00 TOM BAHR 25.00 TED MURRAY 25.00 STEVE ROUGHEY 25.00 TONY MULLRNE 25.00 TOTAL $1,300.00 11_5.rl. , KEMPi GREEN, F.A. h a g\J 1 ��i Certified Public Accountants f' 1438 KENNEDY DRIVE P. O. BOX 1529 r r_✓ KEY WEST, FLORIDA 33041.1529 ..MrO BfR CyF~AMPRICAN INSTITUTE WM. 0, KEMP, C.P.A. (305) 294-2581 AND FLORIDA INSTITUTE OF MARVA E. GREEN, C.P.A. 'FAX # (305) 294-4778 CERTIFIED PUBLIC ACCOUNTANTS November 4 , 1994 Mr. Parvan Bakardjiev Monroe County Fine Arts Council 95360 Overseas Highway, Ste 5 Key Largo, Florida 33037 Dear Mr. Bakardjiev, I have reviewed certain items of Mr. Charles J. Mansen, Jr. ' s letter of October 21, 1994 relative to the County' s audit of your books and records. I have the following comments as follows : Item 9 , "County Reimbursement Check #190366 Was Miscoded" . This check was posted to Account #4022-003 "Benefits Sponsors" rather than Account #4052-000 "Monroe County - General Revenue" . This irregularity led to. an erroneous accrual of BOCC check #202590 in the amount of $9308 . 92, overstating total revenues by $9308 . 92 . I have enclosed a copy of the general ledger detail for account 4022-003 for the year ended September 30, 1993 . The detail reflects one entry in April which does not match the amount to which Mr. Mansen refers. The check was not received until October, 1993 per copies of deposit slips we have in your work file. Accordingly, it appears that the accrual of the County check was appropriate. Item ii, "Why does the June 30, 1994 bank reconciliation contain 3 to 4 checks as outstanding when these checks have been voided according to the G/L and voided check copies?" I have enclosed a copy of the general ledger detail for October 1, 1993 through September 30, 1994 which demonstrates that only check #2239 from that reconciliation has been voided. None of the other checks have been voided and are still included as outstanding on the September 30, 1994 bank reconciliation. We received a notice of stop payment in the bank statement relative to check #2239 and have not received any information from you as to whether the other checks should be voided. Item 11, "Check #1435 payable to the IRS cleared bank (sic) as $24 . 43 . The general ledger recorded the check amount as $424 . 43 . Please provide a copy of the canceled check. " .11 ^i EXHIBIT 18 11,7 1_14/1994 1 7:2 i.JJOJu-tuu • The bank made an encoding error when it processed the check. The general ledger recorded the correct amount. The canceled check should prove that the bank encoded amount does not agree which the check as written. Item 11, "Check 1629, dated 10/01/93 cleared the bank 10/26/93 - First Union Nat Bank (IRS taxes) IRS rules require deposit of employment taxes by the fifteenth of the following month: i . e . , by October 15, 1993 . Otherwise IRS penalties and interest accrue . Check 1630 dated 9/?/93 cleared the bank 9/24/93 - First Union Nat Bank (IRS taxes) This check would probably be considered late if issued on 9/1/93 . Mr. Mansen is correct. I have enclosed a copy of an IRS notice received by MCFAC for the third quarter of 1993 which details the deposits and the dates the deposits were credited by the IRS . Item 12 "Salary Advance to the Executive Director: MCFAC Salary check #2003 payable to Parvan Bakardjiev contains a deduction for a salary advance. Please explain the adjustment on this check and the reason for the original advance. " The office clerk erroneously issued you a check for the cost of living adjustment relative to your contract for personal services without deducting payroll taxes. This check did not constitute an advance for services to be rendered. It was described as an advance on our recommendation for convenience in handling the bookkeeping for payroll taxes. The amount of the "advance" check was added to your regular salary check and all necessary taxes deducted. This entire transaction was the correction of a clerical error relative to payroll taxes and not a personal loan to you. • I hope you find this information helpful. Please do not hesitate to contact me if you have any questions . S ' ncerely, Marva Green Kemp & Green, P.A. Certified Public Accountants Enclosures --1 - EXHIBIT 18 12-09-1994 10:41AM FROM I U Y Q WHi t Vr- 1-WRIDA „ Department of Administration `fob Martinez Division of Retirement Aletta L. Shutes Governor Cedars Executive Center, Building C Secretary 2639 North Monroe Street' - Tallahassee, Florida 32399-1560 • • • August 3, 1990 Mr. Parvan Bakardj'iev General Director Monroe County Fine Arts Council 1435 Simonton Street, Suite 362 Key West, Florida 33040 ' • Dear Mr. Bakardjiev: This is in response to your letter of July 25, 1990 concerning the eligibility of the Monroe County Fine Arts Council to participate in the Florida Retire- ment System. The Division of Retirement advised Ms. Joan Adkins, by letter dated March 28, . , 1990, that the Monroe County Fine Arts Council is a dependent entity of Monroe .County. As such, membership in the Florida Retirement System (FRS) is compul- sory for all employees filling regularly established positions. A regularly established position in a local agency is an employment position which will be in existence beyond four consecutive months [Rule 22B-1.004(4)j. An employee filling a temporary position is not eligible for membership in the FRS (Rule 22B-1.004(5)j. If the worker is a consultant or independent contractor, he cannot participate in the FRS. Based upon our review of the Employment Agreement between you and the Council for the period of time from January 8, 1990 until January 7, 1992, we deter-- mined that you are an employee rather than an independent contractor. In order to deterMine if you have been an employee with the Council prior to January 1990, copies of your Employment Agreements must be provided. We also need copies of th'e Employment Agreements for Margaret Pent and Paul Lindstrom. The enclosed Employment Relationship Questionnaires should be completed for you, Ms. Pent, and Mr. Lindstrom and returned to the Division of Retirement for review. "Helping Government Serve Florida" E4uIl Opportunity Employer MI MI , Affirmative Action Err- I.I. EXHIBIT '19 Ti iTr i.-•1 Mr. parvan Bakardjiev August 3, 1990 • Page 2 We were recently advised by the Clerk of the Circuit Court that you must• ; request approval from the Board of County Commissioners to report retirement and social security contributions on the county payroll. Since the Couneil is a dependent entity of Monroe County, the County is ultimately responsible for the payment of contributions. • If you have any questions concerning the above, please call me at (904) . 488-8837. Sincerely, Carolyn M. McGlamery Retirement Administrator CMM/j s Enclosures cc: Mr. Danny L. Kolhage Clerk of Circuit Court • • ilt - EXHIBIT 19 • • I . Nov 2 3 1(3` 1 J MORANDTJA4 • Date: 5/16/94 -------------- TO: Parvan FROM: MAYOR FEINER I thought you might be interested in this article on grants in Vue Magazine . Particularly that Barnett , ATgT , Southern Bell and Knight Ridder were supporters of South Florida Cultural organizations . These same companies do business in the Keys and I wonder if they have been approached for support to the Fine Arts Council? Sincerely , cc Mayor London Commissioner Cheal • • 1" :® EXHIBIT 20. SUPPORTING T H E ARTS Corporate Angels THE SQUEEZE IS 0 N.As the 1993-94 Philharmonic, the Greater Miami Opera, the season gets underway, a serious challenge awaits Miami City Ballet, the Coconut Grove Play- cultural organizations in South Florida. Finding house, and many other institutions are among new sources of revenue has never been easy,but the very best in their fields in the nation. And with Florida still reeling in the wake of Hurricane corporations like to support the best. Andrew and the loss of several large companies (Eastern Airlines and Southeast Bank, to give O U T H F L O R I D A ' S corpora- just two examples),this year was predicted to be tions and professional associations, large an especially difficult one for garnering corporate and small,continue to show a strong corn- support for the arts. mitment to the support of cultural activities.At In spite of the fact that 1992 (the latest a time when corporate and personal resources are year for which there are statistics on charitable stretched to the limit,companies such as Knight- contributions)was still mired In recession,chari- Ridder,Inc.,Ryder System,Inc.,AT&T,Barnett table giving rose almost six and a half percent to Bank, Southern Bell, Holland & Knight, and approximately $124.3 billion nationwide. Cul- Burdines continue to make considerable contri- tural organizations received about$9 billion(less butions to the arts organizations that make the than seven and a half percent) of the total, and quality of life here so rich. most of that money went to museums. Barnett Bank supports institutions and According to the American Association groups of all sizes. Bill Meyers, President and ofFund-Raising Counsel's Trust for Philanthropy, CEO of Barnett/South Florida says: `Barnett is the largest percentage of givers continues to be committed to the organizations that make South Florida a great Cultural institutions depend on charitable contributions to keep place to live and work. We con- them active and solvent. In an era bedeviled by recession, corporate tribute to social service organiza- donations have flattened out nationwide. But in South Florida, Jac sksoon Traummuchas a Jackson ROBIN REITER finds businesses who believe that togive is divine. U Unit e r a n d Unn ited Way, and,of course,to individual contributors. Foundations increased cultural institutions, such as the Miami City their giving in 1992 to more than$8 billion(over Ballet and various arts festivals and special events. the past two years, the John S. and James L. We believe in supporting those whose activities Knight Foundation, headquartered here in Mi- have a direct effect on quality of life, those who ami, has awarded $12 million in new cultural make it happen and make it happen well." grants),but corporate contributions remained at The list of corporate "angels" has in- • 1991 levels of some$6 billion. Fiscal support for cluded Knight-Ridder, Inc.and the Miami Her- the arts has remained fairly constant in the last aid for some time now.Both of these corporations few years, making it more difficult for cultural provide numerous contributions and in-kind ser- organizations to keep up with inflation,much less vices to cultural organizations of all kinds and increase their financial bases to pay for expanding sizes. Knight-Ridder CEO Jim Batten has been activities or physical plants. quietly strengthening his corporation's involve- Arts organizations in South Florida,how- ment in community cultural affairs at all levels. ever, have reason to be optimistic. The Florida In the same spirit, the Ryder System 38 VUE I ARTS SEASON , V9 9}3 - 9 4 j EXHIBIT 20 Charitable Foundation has helped keep cultural . organizations alive—and on the road. With a � l , .-, i • Making It Happen combination of cash contributions from the Foun- dation and in-kind contributions of trucks,as well The new Medicis:some representatives of major as marketing advice through the corporation, .- ' corporations and foundations which give Ryder System has taken a holistic approach to • substantial financial and in-kind support to supporting the arts. The Foundation's Director, cultural institutions and groups Ross Roadman,is never too busy to answer ques- • I j';f tions or find alternative sources of support when • in South Florida. • the Ryder Foundation can't help. And Tony Above:TheBrothersKnightoftheJohnS.(left)and James L(right)Knight Foundation. Burns—Chairman,President,and CEO of Ryder . System,Inc.—has set a new standard in corporate responsibility and involvement in the commu- nity,and now heads the Performing Arts Center OA �x. , Trust, Inc. — — -- �� �,r V'P''' ili {� Southern Bell has a fostering attitude ` "�' if toward all non-profit organizations."We want to ,LL ; improve the quality of life in the community we �.; serve,"says Don Sadler,Area Director of Corpo- Bill Meyers,President&CEO,Barnett Bank/South Florida;Peggy Hurst,Dir.of Public rate and External Affairs."Supporting the arts is Affairs,Burdines;Ross Bondman,Exec.Dir.,Ryder System Charitable Foundation. one of the best ways to improve a community." T1 • --r7 =1 Southern Bell's wide net of support includes the _, • Concert Association, the Center for the Fine ,a"::« ! 0k, ‘ •' :'•..- ' Arts,the Greater Miami Opera,the Miami City '' ,, V 4' Ballet,the Miami Film Festival,Inner City Dance, and the Museum of Science in Miami. "wh=-•ti," - ` Even in the most difficult of times, _ �, Burdines,Florida's department store,has contin- . ued to maintain its connection to the community Barry Johnson,Vice President of Public Affairs,AT&T; �I an,iPresrs,s i*tem CEO &CEO of Knight-Ridder,Inc.;Don Sadler,Area Dir.of Corp• through its support of art museums and statewide educational recognition programs."We are pleased to be able to continue with our support for the tural Action Committee helps find roles for enter- arts.We think they are fundamental to the qual- prises to play in supporting the arts. ity of life," says Peggy Hurst, Director of Public• ,This will be a challenging year for both Affairs. arts organizations and their corporate sponsors.In AT&T has long been one of the nation's spite of the recent stabilization of the economy, leaders in support of the arts,and has helped fund many businesses will be too occupied with current many Florida organizations,such as Acme Acting exigencies to do much planning for the future.But Company,Miami Light Project,the Greater Mi- cultural groups must continually plan for the fu- ami Opera, Coconut Grove Playhouse, Teatro ture, since only their permanent presence can Avante,Actors Playhouse,and the Science Mu- enrich South Florida's life.Cultural organizations seum in Palm Beach. and corporations are an integral part of this com- Many small and mid-sized companies munity, and have a vested interest in working have also played a role in assisting cultural groups. together.■ Holland &Knight, Steel, Hector&Davis, and Thomson, Muraro&Razook are three law firms To find out what you and your company can do to that stand out as long-time supporters of cultural support the arts,call your local Arts Council or Business institutions. Volunteers for the Arts: (305)375-4634 in Dade;(305) The Greater Miami Chamber of 357-7513 in Broward;(305)296-5000 in Monroe; (407) Commerce's Cultural Action Committee,chaired 471-2901 in Palm Beach. by Dick Thomas of Strategy Research,has worked hard to develop business support for the arts,and ROBIN RE!T E R is well-known in South Florida for the committee's work is paying off.Small compa- organizing corporate support for arts and social service Hies and professional associations make up the groups. She now does consulting work for the Greater bulk of South Florida's businesses, and the Cul- Miami Chamber of Commerce. • ■' 1 9 9 -_, ARTS SEASON I V U E 39 EXHIBIT 20 1 LI IL/ 1 j74 II; IL JU:JOUJU-UU i'ivi n -- - - ``; `; it ` �� GRANT AWARD AGREEMENT AMENDMENT REQUEST FORM ,itere. SEND TWO COMPLETED FORMS TO THE DVISION iliepacimmit D °"nobC aplifoi GRANT NUMBER: tatioNanio.a $a$nmso tosti417-1+'W Wit: --- ----� - - Propct T 1o: --- Address:Ctf - - y, —- State: , ._ ZIP Cade! _ Teiep►cr»; Dates: Pem iarl k heWOby tOCKNOSted tp make the fol wing chop o(s)In the grant referenced WOW SECTION A: PROGRAM CHANGE CHANGE PROM:(Use specific wording as stated In anginal proposal doscrtptlon or a previously approved amontiameft raqu st) CHANGE TO: EFFECT ON PROGRAM GOAD: REASON FOR CHANGE: (PRASE COMPUTE SIGNATURE ON REVERSE SIDE) I. �. CA27C717.•ff.ar44 EXHIBIT 21 12/12 '1994 11:12 3058530400 MCFAC f=' 'aE 06 SECTION$: $UDGET CHANGE CorryIete each the In It*'change From'calunn.t* Nur**as stertsd h original grant prepaid budget forma the most recent.approved amended budget, IN-KINDMt ITTLa CNANC1 TO:GIIH QMAIICL NIN: CASH IN•KIND Parson el—Admtr strative - --ter Personrwl—Matte - - Personnel—Technical/Production �.. -- -. — Outride Artistic Fees&Services — Wilda Other Fee It SeMCes ~- __ Space Rentd - Travel — - Marken - Remaining OperotknD E e ens $—. �� SUSTOTAL CASH EXPENSES S - — TOTAL IN-KIND coNTIttstnONs S S . � � TOTAL CASH EXPENSES+IN-KIND 8 cuivies mom UNL ITEMS P TO: CAIN Admissions ContwO0411d Sevtcas Revenue Other Revenue _• Corporate suaPort — FoundCltorl support Otter Private Support — Govemrnent Support—Federal Government a4port—State/Reglonal - — T (Do Not IncIude DCA Award) —, Government Support—Local Apploord Cash DCA Grunt Request/Award __, S. TOTAL CASH INCOME S. 8 TOTAL IN•KIN)CONTRIBUTIONS $ S _ TOTAL INCOME $ REASON FOR EUDGETCHANGES -- . SECTION C: OTHER CHANGES O.e.—Pro)ect totes.Grant Extension Rogues*Otc) CHANGE FROM; • -.—.. . CHANGE TO; -._-_ .-. _ - --- ---— REASON($)FOR CHANGE: - slprnaRxe (Authorizing Otnctd Orly) ` Typed Name — Dole mmosingammemonsmill FOR DIVISION OF CULTURAL AFFAIRS US Cfiango No. Approved Yea o No r Approved: Yes el No O Data; _ - Date: Grants(Maur - Division Director EXHIBIT 22 MONROE COUNTY FINE ARTS COUNCIL SOUTHERN BELL 305-852-6116 PERSONAL CALLS OCTOBER 1, 1992 - SEPTEMBER 30, 1993 DATE VENDOR AMOUNT 10/25/92 SOUTHERN BELL 0 .00 11/25/92 SOUTHERN BELL 8. 18 12/25/92 SOUTHERN BELL 0.00 01/25/93 SOUTHERN BELL 4 .52 02/25/93 SOUTHERN BELL 16.96 03/25/93 SOUTHERN BELL 10.55 04/25/93 SOUTHERN BELL 0.00 05/25/93 SOUTHERN BELL 14.05 06/25/93 SOUTHERN BELL 27 .75 07/25/93 SOUTHERN BELL 48.37 08/25/93 SOUTHERN BELL 54. 11 09/25/93 SOUTHERN BELL 0.00 184.49 EXHIBIT 23 MONROE COUNTY FINE ARTS COUNCIL SOUTHERN BELL 305-852-6116 PERSONAL CALLS OCTOBER 1, 1993 - SEPTEMBER 30, 1994 DATE VENDOR AMOUNT 10/25/93 SOUTHERN BELL 10.75 11/25/93 SOUTHERN BELL 14.90 12/25/93 SOUTHERN BELL 6.94 01/25/94 SOUTHERN BELL 4.09 02/25/94 SOUTHERN BELL 6.41 03/25/94 SOUTHERN BELL 11.62 04/25/94 SOUTHERN BELL 5.60 05/25/94 SOUTHERN BELL 25. 14 06/25/94 SOUTHERN BELL 10.52 07/25/94 SOUTHERN BELL 2 .04 08/25/94 SOUTHERN BELL 0.00 09/25/94 SOUTHERN BELL 0.00 98.01