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Fiscal Year 2024 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT FINANCIAL STATEMENTS, REQUIRED SUPPLEMENTARY INFORMATION AND OTHER REPORTS For the Fiscal Year Ended September 30, 2024 And Reports of Independent Auditor MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT TABLE OF CONTENTS INDEPENDENT AUDITOR REPORT 1-3 ---------------------------------------------------------------------------------------------- FINANCIAL STATEMENTS Balance Sheet-Governmental Funds 4 Statement of Revenues, Expenditures and Changes in Fund Balance-Governmental Funds------------------------------------------------------------------------------- 5 Statement of Fiduciary Net Position - Custodial Fund 6 Statement of Changes in Fiduciary Net Position - Custodial Fund 7 Notes to Financial Statements 8-17 ---------------------------------------------------------------------------------------------------------- REQUIRED SUPPLEMENTARY INFORMATION (UNAUDITED) Schedule of Revenues and Expenditures - Budget to Actual -General Fund.......................................................................................................18 Schedule of Revenues and Expenditures— Budget to Actual—Special Revenue Court Related Fund....................................................................19 Schedule of Revenues and Expenditures— Budget to Actual—Special Revenue Records Modernization Fund......................................................20 OTHER REPORTS Report of Independent Auditor on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed In Accordance with Government Auditing Standards---------------------------------- 21-22 Management Letter in Accordance with Chapter 10.550, Rules of Auditor General of the State of Florida 23 ----------------------------------------------------------------------------------------------- Report of Independent Accountant on Compliance with Local Government Investment Policies, Article V Requirements and Depository Requirements of Sections 218.415, 28.35, 28.36 and 61.181, Florida Statutes-------------------------------------------------------- 25 1,11'sim IRS111A US III..JII..J11P Independent Auditor's Report To the Honorable Kevin Madok Clerk of the Circuit Court of Monroe County, Florida Report on the Audit of the Financial Statements Opinions We have audited the financial statements of each major fund and the aggregate remaining fund information of the Monroe County, Florida Clerk of the Circuit Court (the Clerk), as of and for the year ended September 30, 2024, and the related notes to the financial statements, which collectively comprise the Clerk's financial statements as listed in the table of contents. In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the respective financial position of each major fund and the aggregate remaining fund information of the Clerk as of September 30, 2024, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States (Government Auditing Standards). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Clerk and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Emphasis of Matter As discussed in Note 1, the accompanying financial statements of the Clerk were prepared for the purpose of complying with Section 218.39, Florida Statutes, and Section 10.557(3), Rules of the Auditor General for Local Government Entity Audits. They do not purport to, and do not, present fairly the financial position of Monroe County, Florida as of September 30, 2024, and the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinions are not modified with respect to this matter. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. IIIIIIII ow IIIIIIII III'Z O III'° IIIIII IIIIIIII III 4 G IU 4 III': IIIIIIII IIIZ S"'"'O O ASS VJIIZW III AX CD SVJ 1 k"M 0',1 1 P vHill0`amemlIqtoIIII,fk"MIII(IqIIA!(IIAII Is�lihkilIliwirkofaIrka(�IulenkI IIIII +x'gIll ony Ili ar�(urns, V'I51(I`,I11i v, I11/,Ih(I I III"i n I 111 11I'II11oI I"n,I(I(1)I I'",31:11I Ifs 1t`aM I I"I I I III I!I I II Ik l l iIiOnl I ........ ......... ..... ,,,,, ,,,,, ..... ...... ...... ..... ...... ...... ....,. Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS and Government Auditing Standards, we • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Clerk's internal control. Accordingly, no such opinion is expressed. • Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings and certain internal control-related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that budgetary comparison schedules be presented to supplement the financial statements. Such information is the responsibility of management and, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the financial statements and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Management has omitted the management's discussion and analysis that accounting principles generally accepted in the United States of America require to be presented to supplement the financial statements. Such missing information, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. Our opinions on the financial statements are not affected by the missing information. 2 Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 27, 2025, on our consideration of the Clerk's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance, and the results of that testing, and not to provide an opinion on the effectiveness of the Clerk's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Clerk's internal control over financial reporting and compliance. Fort Lauderdale, Florida March 27, 2025 3 FINANCIAL STATEMENTS MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT BALANCE SHEET GOVERNMENTAL FUNDS SEPTEMBER 30, 2024 Major Funds Court Records General Related Modernization Fund Fund Fund Totals ASSETS Assets: Cash and cash equivalents $ 1,717,554 $ 2,603,647 $ 3,495,863 $ 7,817,064 Due from other governmental agencies 1,120 35,215 - 36,335 Due from Board of County Commissioners 2,523 796 - 3,319 Due from others - 480 - 480 Due from other funds 79,975 - - 79,975 Total assets $ 1,801,172 $ 2,640,138 $ 3,495,863 $ 7,937,173 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable and accrued liabilities $ 756,037 $ 35,644 $ - $ 791,681 Due to other governmental agencies - 996,199 - 996,199 Due to Board of County Commissioners 1,045,135 1,535,213 185 2,580,533 Due to other funds - 73,082 6,893 79,975 Total liabilities 1,801,172 2,640,138 7,078 4,448,388 Fund Balances: Restricted - - 3,488,785 3,488,785 Total liabilities and fund balances $ 1,801,172 $ 2,640,138 $ 3,495,863 $ 7,937,173 See notes to financial statements. 4 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - GOVERNMENTAL FUNDS FISCAL YEAR ENDED SEPTEMBER 30, 2024 Major Funds Court Records General Related Modernization Fund Fund Fund Totals Revenues: Intergovernmental-Other $ 9,810 $ 1,940,922 $ $ 1,950,732 Intergovernmental-Board of County Commissioners 6,264,500 2,791,315 9,055,815 Charges for services 734,379 934,871 239,592 1,908,842 Fines and forfeitures - 2,331,340 - 2,331,340 Interest income 103,015 92,175 210,187 405,377 Miscellaneous 585 - - 585 Total revenues 7,112,289 8,090,623 449,779 15,652,691 Expenditures: Current: General government: Salaries and benefits 3,862,734 3,862,734 Operating 749,353 - - 749,353 Court related: Salaries and benefits - 4,666,323 353,229 5,019,552 Operating - 580,732 117,094 697,826 Capital outlay 7,775 315,578 - 323,353 Debt Service Principal 460,024 734 460,758 Interest 78,658 5 - 78,663 Total expenditures 5,158,544 5,563,372 470,323 11,192,239 Excess of revenues over(under)expenditures 1,953,745 2,527,251 (20,544) 4,460,452 Other financing sources(uses): Transfer to Board of County Commissioners (1,953,745) (1,531,052) (3,484,797) Transfer to Florida Department of Revenue (996,199) (996,199) Total other financing sources(uses) (1,953,745) (2,527,251) (4,480,996) Net change in fund balances (20,544) (20,544) Fund balances,beginning of year 3,509,329 3,509,329 Fund balances,end of year $ $ $ 3,488,785 $ 3,488,785 See notes to financial statements. 5 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT STATEMENT OF FIDUCIARY NET POSITION CUSTODIAL FUND SEPTEMBER 30, 2024 Assets: Cash and cash equivalents $ 4,722,750 Due from other governmental agencies 9,092 Due from others 3,033,682 Total assets $ 7,765,524 Liabilities: Due to others $ 228,691 Due to other governmental agencies 1,519,319 Due to Board of County Commissioners 114,313 Total liabilities $ 1,862,323 Net Position: Restricted for: Court Registry $ 4,676,779 Cash Bonds 569,948 Tax Deeds 656,474 Total net position $ 5,903,201 See notes to financial statements. 6 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT STATEMENT OF CHANGES IN FIDUCIARY NET POSITION - CUSTODIAL FUND FISCAL YEAR ENDED SEPTEMBER 30, 2024 Additions: Payments made by litigants $ 40,720,935 Charges for services 1,447,993 Fines and forfeitures 94,662 Total additions 42,263,590 Deductions: Funds returned to litigants 42,865,012 Total deductions 42,865,012 Net increase(decrease)in fiduciary net position (601,422) Net position,beginning of year 6,504,623 Net position,end of year $ 5,903,201 See notes to financial statements. 7 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 1—Summary of significant accounting policies Reporting Entity—The Monroe County, Florida Clerk of the Circuit Court (Clerk) is a separately elected county official established pursuant to the Constitution of the State of Florida. The Clerk's financial statements do not purport to reflect the financial position or the results of operations of Monroe County, Florida (County)taken as a whole.The financial statements of the Clerk have been prepared in accordance with the accounting principles and reporting guidelines established by the Governmental Accounting Standards Board (GASB). Entity status for financial reporting purposes is governed by GASB Statement No. 14, as amended. Although the Clerk's Office is operationally autonomous and legally separate from the Board of County Commissioners (Board), it does not hold sufficient corporate powers of its own to be considered a legally separate entity for financial reporting purposes. Therefore, under GASB guidelines, the Clerk is reported as a part of the primary government of the County. The financial activities of the Clerk, as a constitutional officer, are included in the Monroe County, Florida Annual Comprehensive Annual Report (ACFR). Description of Funds— The accounting records are organized for reporting purposes as three governmental funds and a fiduciary fund. General Fund—The General Fund is used to account for all revenues and expenditures applicable to the general operations of the Clerk. Court Related Fund—A Special Revenue Fund is used to account for and report the proceeds of specific revenue sources that are restricted or committed to expenditures for specified purposes other than debt service or capital projects. The Court Related Fund is a special revenue fund created to account for and report State and local funding restricted for the expenditure of court functions as mandated by Section 28.37, Florida Statutes. Any excess funding over actual expenditures is returned to either the Florida Department of Revenue (DOR)or the Board, depending on where funding originated. Records Modernization Fund—The Records Modernization Fund is a special revenue fund used to account for and report recording fees restricted for records modernization and court technology as specified in Florida Statutes 28.24(13)(d)and (e). Fiduciary Fund—The Fiduciary Fund of the Clerk is a custodial fund,which is used to account for the receipt and disbursement of assets held for other agencies, governments, or individuals. Measurement Focus, Basis of Accounting and Financial Statement Presentation — The Clerk's financial statements are prepared for the purpose of complying with Florida Statute 218.39(2), and Chapter 10.550, Rules of the Auditor General, which require the Clerk to only present fund financial statements. The General Fund and the Special Revenue Funds are governmental funds which use the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized when measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the Clerk considers revenues to be available if they are collected within 60 days of the end of the current fiscal period,to be available and thus recognizes them as revenues of the current year. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, expenditures related to compensated absences, claims and judgments, debt service, pensions, and other post-employment benefits are recorded when they are due and payable. The Clerk reports the General Fund, Court Related Fund and the Records Modernization Fund as major governmental funds and the Custodial Fund as a fiduciary fund type.The fiduciary fund uses a flow of economic resources measurement focus to determine net position. 8 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 1—Summary of significant accounting policies (continued) The Clerk's operations are segregated between court-related and non-court-related activities as defined by Article V of the Florida Constitution. Any excess of court-related revenue over court-related expenditures as of September 30 each year is paid to the DOR's Clerks'Trust Fund.The Board provides non-court-related revenue to both the Clerk's General Fund and Court-Related fund. Any excess of non-court related revenue over non- court related expenditures is reflected as a liability to the Board in the respective fund at fiscal year-end. Fund Balances Presentation—The Records Modernization Fund balance of the governmental funds is classified as restricted. This classification includes amounts that can be spent only for specific purposes because of constitutional provisions or enabling legislation or because of constraints that are externally imposed by creditors, grantors, contributors or the laws or regulations of other governments. Budgetary Requirements — Expenditures are controlled by appropriations in accordance with the budgetary requirements set forth in the Florida Statutes. The budget is prepared on a basis consistent with generally accepted accounting principles. The Florida Clerks of Court Operations Corporation (CCOC) approves only the budget for the Clerk's court- related activities for the twelve-months ended September 30, 2024. The non-court-related budget is the Clerk's General Fund budget and is approved by the Board. Cash—The Clerk's cash consist of demand deposits and cash on hand for operations. All cash is insured by the Federal Deposit Insurance Corporation (FDIC)or covered by the State of Florida collateral pool, a multiple financial institution pool with the ability to assess its members for collateral shortfalls if a member institution fails. Capital Assets — Tangible and intangible personal property used by the Clerk's operations are recorded in governmental fund types as expenditures at the time assets are received and a liability is incurred. Purchased assets are capitalized at historical cost and reported in the Monroe County ACFR government-wide financial statements. Leases and Subscription-Based Software — The Clerk is a lessee for equipment. In the government-wide financial statements in the Monroe County ACFR, the County recognizes the Clerk's leases as a lease liability and as a right-to-use leased asset (leased asset). Similarly, the Clerk has subscription-based information technology arrangements (SBITA) for the right-to-use various information technology software. At the commencement of a lease or a SBITA, the Clerk and the County initially measures the lease or subscription liability at the present value of payments expected to be made during the lease or subscription term. Subsequently, the leased asset or SBITA is amortized on a straight-line basis over its useful life. At the fund level,the Clerk recognizes an expenditure and other financing source in the period the lease or SBITA is initially recognized. Key estimates and judgments related to leases and SBITAs include how the Clerk and County determines: (1) the discount rate it uses to discount the expected lease or subscription payment to present value; (2) lease or subscription term; and (3) lease or subscription payments. • The Clerk and the County uses the interest rate charged by the lessor as the discount rate. When the interest rate charged by the lessor is not provided, the Clerk uses the County's estimated incremental borrowing rate as the discount rate for the leases. 9 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 1—Summary of significant accounting policies (continued) • The lease term includes the noncancellable period of the lease or subscription. Lease or subscription payments include the measurement of the lease liability or subscription liability and are composed of the fixed payments and purchase option price that the Clerk and the County is reasonably certain to exercise. The Clerk monitors changes in circumstances that would require a remeasurement of its lease or subscription and will remeasure the leased asset or SBITA and the related liability if certain changes occur that are expected to significantly affect the amount of respective liability. In the government-wide statements of the Monroe County ACFR,the Clerk's leased assets and SBITAs are reported with other capital assets and the lease liabilities and subscription liabilities are reported with long-term debt in the statement of net position as part of the governmental activities. The leases and SBITAs state they may be canceled in the event budget appropriations are not sufficient to meet the Clerk's obligations under the leases. The Clerk maintains custodial responsibility for the capital assets used by the Clerk's offices. In addition, the Board provides administrative office space and certain other expenditures used by the Clerk at no charge. Compensated Absences—The Clerk of Courts permits employees to accumulate earned but unused vacation and sick benefits. The Clerk is not legally required to and does not accumulate expendable available financial resources to liquidate this obligation. The obligation for compensated abscesses is accrued in the government- wide financial statements of the County's Annual Financial Report. A summary of activity for the Clerk's compensated absences obligation is as follows: Balance, October 1, 2023 $ 517,070 Earned 658,636 Used (508,720) Balance, September 30, 2024 $666,986 Use of Estimates— The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from estimates. Subsequent Events—The Clerk has evaluated subsequent events through March 27, 2025, in connection with the preparation of these financial statements, which is the date the financial statements were available to be issued. New Accounting Pronouncement — Effective October 1, 2023, the Clerk adopted the provisions of GASB Statement No. 101, Compensated Absences. The objective of this Statement is to better meet the information needs of financial statement users by updating the recognition and measurement guidance for compensated absences. That objective is achieved by aligning the recognition and measurement guidance under a unified model and by amending certain previously required disclosures. The following are new accounting pronouncements that have been issued but are not yet effective: 10 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 1—Summary of significant accounting policies (continued) GASB Statement No. 102, Certain Risk Disclosures-The State and local governments face a variety of risks that could negatively affect the level of service they provide or their ability to meet obligations as they come due. Although governments are required to disclose information about their exposure to some of those risks, essential information about other risks that are prevalent among state and local governments is not routinely disclosed because it is not explicitly required. The objective of this Statement is to provide users of government financial statements with essential information about risks related to a government's vulnerabilities due to certain concentrations or constraints. This Statement defines a concentration as a lack of diversity related to an aspect of a significant inflow of resources or outflow of resources. A constraint is a limitation imposed on a government by an external party or by formal action of the government's highest level of decision-making authority. Concentrations and constraints may limit a government's ability to acquire resources or control spending. The requirements of this Statement are effective for the Clerk beginning with its year ending September 30, 2025. GASB Statement No. 103, Financial Reporting Model Improvements-The requirements of GASB 103 should improve the effectiveness of the financial statements in communicating essential information to financial statement users. The new definition of nonoperating revenues and expenses, for example, will greatly reduce diversity in practice among governments and enable users to better evaluate the results from operations for proprietary funds.The replacing of extraordinary items and special items with unusual or infrequent items should provide more value to stakeholders as the definition of "unusual in nature" and "infrequent in occurrence" is consistent with GASB 62. Changes to management's discussion and analysis will benefit users through the avoidance of unnecessary duplication and "boilerplate"discussion and placing a greater emphasis on providing a detailed analysis of a government's financial activities. The requirements of this Statement are effective for the Clerk beginning with its year ending September 30, 2026. GASB Statement No. 104, Disclosure of Certain Capital Assets - State and local governments are required to provide detailed information about capital assets in notes to financial statements. Statement No. 34, Basic Financial Statements—and Management's Discussion and Analysis—for State and Local Governments, requires certain information regarding capital assets to be presented by major class. The objective of this Statement is to provide users of government financial statements with essential information about certain types of capital assets. This Statement also requires additional disclosures for capital assets held for sale. A capital asset is a capital asset held for sale if(a) the government has decided to pursue the sale of the capital asset and (b) it is probable that the sale will be finalized within one year of the financial statement date. Governments should consider relevant factors to evaluate the likelihood of the capital asset being sold within the established time frame. This Statement requires that capital assets held for sale be evaluated each reporting period. The requirements of this Statement are effective for the Clerk beginning with its year ending September 30, 2026. Management is in the process of determining the impact, if any, implementation of the above statements may have on the financial statements of the Clerk. 11 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 2—Deposits The Clerk follows Florida Statutes for its investment policy, which authorizes investments in certificates of deposit, savings accounts, repurchase agreements, the Local Government Surplus Funds Trust Fund administered by the Florida State Board of Administration, and obligations of the U.S. Government. The total bank balances as of September 30, 2024 were $12,928,324. Cash and cash equivalents on September 30, 2024, consist of the following: Fund Type Fair Value Governmental Funds: $7,813,314 Demand Deposits 3,750 Cash on Hand $7,817,064 Total governmental funds Custodial Funds: Demand Deposits $4,720,350 Cash on Hand 2,400 Total custodial funds $4,722,750 Total $12,539,814 Note 3—Interfund receivables and payables Interfund receivables and payables at September 30, 2024 consist of the following: Due From Due To Other Other Funds Funds Court Related Fund $ - $ 73,082 General Fund 79,975 - Records Modernization Fund - 6,893 $ 79,975 $ 79,975 The amounts are the result of year-end payroll transactions that were paid from the General Fund, but the related expenses were charged to the Court Related Fund. 12 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 4—Fund balance presentation The restrictions on the Court-Related fund balance are due to the initial lease obligations for mail machines in the Marathon and Plantation Key Clerk Offices. The restrictions placed on Clerk Records Modernization fund balance are described as follows: Public Records Modernization Trust— Florida Statute 28.24(13)(d) requires the collection of an additional service charge to be paid to the Clerk to be used exclusively for equipment, maintenance of equipment, personnel training, and technical assistance in modernizing the public records system of the Clerk's Office. Public Records Court Technology Trust — Florida Statute 28.24(13)(e)(1) requires the collection of an additional service charge to be paid to the Clerk to be used exclusively for the operation and support of an integrated computer system for the judicial agencies and to support the operations and maintenance of the state court system. Records Modernization restricted fund balances are as follows: Public Records Modernization Trust $1,046,292 Public Records Court Technology $2,442,493 Restricted Fund Balance $3,488,785 Note 5—Retirement plans Florida Retirement System Plan description—The Clerk's employees participate in the Florida Retirement System(FRS). As provided by Chapters 121 and 112, Florida Statutes, the FRS provides two cost sharing, multiple employer defined benefit plans administered by the Florida Department of Management Services, Division of Retirement, including the FRS Pension Plan (Pension Plan) and the Retiree Health Insurance Subsidy (HIS Plan). Under Section 121.4501, Florida Statutes, the FRS also provides a defined contribution plan (Investment Plan) alternative to the FRS Pension Plan, which is administered by the State Board of Administration. As a general rule, membership in the FRS is compulsory for all employees working in a regularly established position for a state agency, county government, district school board, state university, community college, or a participating city or special district within the State of Florida. The FRS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. Benefits are established by Chapter 121, Florida Statutes, and Chapter 60S, Florida Administrative Code. Amendments to the law can be made only by an act of the Florida Legislature. Benefits under the Pension Plan are computed on the basis of age, average final compensation, and service credit. For Pension Plan members enrolled before July 1, 2011, Regular class members who retire at or after age 62 with at least six years of credited service, or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 1.6%of their final average compensation based on the five highest years of salary, for each year of credited service. Vested members with less than 30 years of service may retire before age 62 and receive reduced retirement benefits. Senior Management Service class members who retire at or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 2.0% of their final average compensation based on the five highest years of salary for each year of credited service. Elected Officers' class members who retire at or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 3.0% of their final average compensation based on the five highest years of salary for each year of credited service. 13 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 5—Retirement plans (continued) Substantial changes were made to the Pension Plan during fiscal year 2011, affecting new members enrolled on or after July 1, 2011 by extending the vesting requirement to eight years of credited service and increasing normal retirement to age 65 or 33 years of service regardless of age. Also, the final average compensation for these members is based on the eight highest years of salary. The HIS Plan provides a monthly benefit to assist retirees in paying their health insurance costs and is administered by the Florida Department of Management Services, Division of Retirement. Eligible retirees and beneficiaries receive a monthly health insurance subsidy payment of$7.50 for each year of creditable service, with a minimum payment of $45 and a maximum payment of $225 per month. The HIS Plan is funded by required contributions from FRS participating employees as set forth by the Florida Legislature, based on a percentage of gross compensation for all active FRS members. In addition to the above benefits, the FRS administers a Deferred Retirement Option Program (DROP). This program allows eligible members to defer receipt of monthly retirement benefit payments while continuing employment with a FRS employer for a period not to exceed 96 months after electing to participate. Deferred monthly benefits are held in the FRS Trust Fund and accrue interest. There are no required contributions by DROP participants. For those members who elect participation in the Investment Plan, rather than the Pension Plan, vesting occurs at one year of service. These participants receive a contribution for self-direction in an investment product with a third-party administrator selected by the State Board of Administration. Employer and employee contributions, including amounts contributed to individual member's accounts, are defined by law, but the ultimate benefit depends in part on the performance of investment funds. Benefit terms, including contribution requirements, for the Investment Plan are established and may be amended by the Florida Legislature. The Investment Plan is funded with the same employer and employee contribution rates that are based on salary and membership class(Regular Class, Elected County Officers, etc.), as the FRS defined benefit plan. Contributions are directed to individual member accounts, and the individual members allocate contributions and account balances among various approved investment choices. Costs of administering the plan, including the FRS Financial Guidance Program, are funded through an employer contribution of 0.06 percent of payroll and by forfeited benefits of plan members. The Clerk recognizes pension expenditures in an amount equal to amounts paid to the Pension Plan, the HIS Plan and the defined contribution plan, amounting to $647,672, $202,976, and $120,835 respectively, for the fiscal year ended September 30, 2024. The Clerk's payments for the Pension Plan and the HIS Plan after June 30, 2024, the measurement date used to determine the net pension liability associated with the Pension Plan and the HIS Plan, amounted to $192,001 and $33,154, respectively. The Clerk is not legally required to and does not accumulate expendable available resources to liquidate the retirement obligation related to its employees. Accordingly, the net pension liability and associated deferred outflows and deferred inflows are presented on the government-wide financial statements of the County, following requirements of GASB Statement No. 68, Accounting and Financial Reporting for Pensions—an amendment of GASB Statement No. 27, and GASB Statement No. 71, Pension Transition for Contributions Made Subsequent to the Measurement Date—an amendment of GASB Statement No. 68. Funding policy—All enrolled members of the FRS Pension Plan are required to contribute 3.0%of their salary to the FRS. In addition to member contributions, governmental employers are required to make contributions to the FRS based on state-wide contribution rates. The employer contribution rates by job class for the periods from October 1, 2023 through June 30, 2024 and July 1, 2024 through September 30, 2024, respectively, were as follows: regular- 13.57% and 13.63%; county elected officers- 58.68% and 58.68%; senior management- 34.52% and 34.52%; and DROP participants- 21.13% and 21.13%. During the fiscal year ended September 30, 2024, the Clerk contributed to the plan an amount equal to 16.08% of covered payroll of$6,041,762. 14 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 5—Retirement plans (continued) The state of Florida annually issues a publicly available financial report that includes financial statements and required supplementary information for the FRS. The latest available report may be obtained by writing to the state of Florida Division of Retirement, Department of Management Services, P.O. Box 9000, Tallahassee, Florida 32315-9000. That report may be viewed on the Florida Department of Management Services website located at www.dms.myflorida.com/workforce operations/retirement/publications. Note 6—Other postemployment benefits plan (the OPEB Plan) In addition to the pension benefits described in Note 4, the Clerk offers to its employees a single-employer defined benefit healthcare plan, which is administered by the Board. Florida Statute 112.0801 requires the County to provide retirees and their eligible dependents with the option to participate in the OPEB Plan if the County provides health insurance to its active employees and their eligible dependents. The OPEB Plan provides medical coverage, prescription drug benefits, and life insurance to both active and eligible retired employees. The OPEB Plan does not issue a publicly available financial report. No assets are accumulated in a trust that meets the criteria as set forth in GASB Statement No. 75, Accounting and Financial Reporting for Postemployment Benefit Plans Other Than Pensions. The Board may amend the OPEB Plan design, with changes to the benefits, premiums and/or levels of participant contribution at any time. On at least an annual basis, in an open session, and prior to the annual enrollment process, the Board approves the rates for the coming calendar year for the retiree and County contributions. Eligibility for postemployment participation in the OPEB Plan is limited to full-time employees of the County, and the Constitutional Officers. An employee who retires as an active participant in the OPEB Plan and was hired on or after October 1, 2001 may continue to participate in the OPEB Plan by paying the monthly premium established annually by the Board.An employee who retires as an active participant in the plan,was hired prior to October 1, 2001, has at least ten years of full-time service with the County, and meets the retirement criteria of the FRS but is not eligible for Medicare, may maintain group health insurance benefits with the County following retirement, provided that the retiring employee pays the retiree contributions based on their years of service with the County. Pre-Medicare retirees with at least 25 years of service who satisfy the rule of 70 pay the FRS subsidy for coverage, which is $7.50 per year of service month with a maximum of$225 per month. For those with 10 or more years of service, the retirees will pay flat amounts based on their respective medical plan election as shown in the following table. Pre-Medicare Retiree Contribution Years of Traditional High Deductible Service Health Plan Health Plan 10-19 $517 $433 20-24 259 216 25+ FRS Subsidy 56 Retirees who have met the requirements for early retirement, have not achieved age 60 and whose age and years of service do not equal 70 (rule of 70) must pay the standard monthly premium until the age criteria or the rule of 70 is met.At that time,the retiree's cost of participation will be based on the preceding table.Surviving spouses and dependents of participating retirees may continue in the Plan if eligibility criteria specific to those classes are met. 15 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 6—Other postemployment benefits plan (the OPEB Plan) An employee who retires as an active participant in the plan, was hired prior to October 1, 2001, has at least ten years of full-time service with the County, and meets the retirement criteria of the FRS and is eligible for Medicare at the time of retirement or becomes eligible for Medicare following retirement, may maintain group health insurance benefits with the County following retirement, provided the retiring employee contributes the Actuarial Rate for Medicare retirees as determined by the actuarial firm engaged by the County, less a $250 per month County subsidy. Alternatively,the retirees meeting these criteria may elect to leave the County health plan and receive a $250 per month payment from the County, payable for the lifetime of the retiree. Spouses and retirees who do not have at least ten years of service with the County or whose age at retirement plus years of service do not equal at least 70 must pay the full monthly premium for coverage. The Board engages an actuarial firm on a biannual basis to determine the County's total OPEB liability. The Clerk has no responsibility to the OPEB Plan other than to make the periodic payments determined by the Board, which are presented as expenditures when made and amounted to $93,324 or should be for the year ended September 30, 2024. Further information about the OPEB Plan is available in the County's ACFR which is published on the Clerk's website at www.monroe-clerk.com . Note 7—Risk management The Clerk is exposed to various risks of loss related to tort;theft of,damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The Clerk participates in the coverage provided by the Board for Workers' Compensation, Group Insurance, and Risk Management Internal Service Funds. Under these programs, Workers' Compensation provides $500,000 coverage per claim for regular employees. Workers' Compensation claims in excess of the self-insured coverage are covered by an excess insurance policy. Risk Management has a $5,000,000 excess insurance policy for general liability claims with a $200,000 self-insured retention, and building property damage is covered for the actual value of the building with a deductible of $50,000. Deductibles for windstorm and flood vary by location. Monroe County purchases commercial insurance for claims in excess of coverage provided by the funds and for all other risks of loss. Settled claims have not exceeded this commercial coverage in any of the past three years. The Clerk makes payments to the Workers' Compensation, Group Insurance and Risk Management Funds based on estimates of the amounts needed to pay prior and current year claims. Note 8—Lease and SBITA Obligations The County updated its lease and SBITA policy effective October 1, 2023, requiring capitalization of leases or SBITAs in accordance with GASB Statements Nos. 87 and 96 only if annual payments are $50,000 or more and the lease term is more than 12 months. The Clerk has entered into noncancelable agreements that qualify as subscription-based information technology arrangements (SBITA) under GASB Statement No. 96 and, therefore, have been recorded at the present value of the future minimum lease payments as of the date of their inception. 16 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT&COMPTROLLER NOTESTO FINANCIAL STATEMENTS SEPTEMBER 30, 2024 Note 8—Lease and SBITA Obligations (continued) The Clerk has four SBITAs for the year ended September 30, 2024. The future minimum SBITA obligations and the net present value of these minimum SBITA payments as of September 30, 2024, were as follows: Total Lease SBITA Lease &SBITA Liability Liability Liability Balance October 1, 2023 $ 26,641 $ 2,466,498 $ 2,493,139 Additions - - - Deductions (26,641) (536,280) (562,921) Balance September 30, 2024 $ - $ 1,930,218 $ 1,930,218 Year Ending September 30 Principal Interest Total 2025 $ 494,067 $ 75,828 $ 569,895 2026 453,796 47,854 501,650 2027 475,500 38,500 514,000 2028 506,855 19,864 526,719 Totals $ 1,930,218 $ 182,046 $ 2,112,264 Note 9—Litigation The Clerk is a party from time to time in various lawsuits and other claims incidental to the ordinary course of its operation, some of which are covered by the Board's self-insurance program. While the results of litigation cannot be predicted with certainty, management believes the final outcome of such litigation will not have a material adverse effect on the Clerk's financial position. 17 REQUIRED SUPPLEMENTARY INFORMATION (Unaudited) MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET TO ACTUAL GENERAL FUND FISCAL YEAR ENDED SEPTEMBER 30,2024 General Fund Variance Original Final With Budget Budget Actual Final Budget Revenues: Intergovernmental-Other $ 7,000 $ 7,000 $ 9,810 $ 2,810 Intergovernmental-Board of County Commissioners 6,264,500 6,264,500 6,264,500 - Charges for services 882,900 882,900 734,379 (148,521) Interest income 10,000 10,000 103,015 93,015 Miscellaneous 100 100 585 485 Total revenues 7,164,500 7,164,500 7,112,289 (52,211) Expenditures: Current: General government: Clerk recording 651,822 651,822 447,022 204,800 Clerk information systems 1,025,352 1,025,352 820,627 204,725 Clerk finance 4,631,336 4,631,336 3,322,853 1,308,483 Internal audit 708,925 708,925 558,848 150,077 Non-court records management 147,065 147,065 9,194 137,871 Total expenditures 7,164,500 7,164,500 5,158,544 2,005,956 Excess of revenues over expenditures - - 1,953,745 1,953,745 Other financing(uses): Transfer to Board of County Commissioners (1,953,745) (1,953,745) Total other financing uses (1,953,745) (1,953,745) Net change in fund balance Fund balance,beginning of year Fund balance,end of year $ $ $ $ 18 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET TO ACTUAL SPECIAL REVENUE COURT RELATED FUND FISCAL YEAR ENDED SEPTEMBER 30,2024 Special Revenue Court Related Fund Variance Original Final With Budget Budget Actual Final Budget Revenues: Intergovernmental-Other $ 1,617,489 $ 1,617,489 $ 1,940,922 $ 323,433 Intergovernmental-Board of County Commissioners 2,791,315 2,791,315 2,791,315 - Charges for services 938,547 938,547 934,871 (3,676) Fines and forfeitures 1,461,951 1,461,951 2,331,340 869,389 Interest income 25,000 25,000 92,175 67,175 Total revenues 6,834,302 6,834,302 8,090,623 1,256,321 Expenditures: Current: Court related: Clerk administration 1,909,545 1,857,045 870,163 986,882 Clerk records management 6,750 46,750 40,065 6,685 Clerk jury management 160,314 215,314 210,562 4,752 Clerk circuit court criminal 637,745 645,245 642,387 2,858 Clerk circuit court civil 510,626 410,626 358,931 51,695 Clerk court information systems 777,870 852,870 849,828 3,042 Clerk circuit court family 176,345 174,845 169,816 5,029 Clerk circuit court juvenile 156,240 165,240 164,172 1,068 Clerk circuit court probate 410,498 407,998 366,044 41,954 Clerk county court criminal 880,182 630,182 475,462 154,720 Clerk county court civil 318,370 378,370 368,508 9,862 Clerk county court traffic 889,817 1,049,817 1,047,434 2,383 Total expenditures 6,834,302 6,834,302 5,563,372 1,270,930 Excess of revenues over expenditures - - 2,527,251 2,527,251 Other financing(uses): Transfer to Board of County Commissioners (1,531,052) (1,531,052) Transfer to Florida Department of Revenue (996,199) (996,199) Total other financing sources and uses (2,527,251) (2,527,251) Net change in fund balance Fund balance,beginning of year Fund balance,end of year $ $ $ $ 19 MONROE COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT SCHEDULE OF REVENUES AND EXPENDITURES- BUDGET TO ACTUAL SPECIAL REVENUE RECORDS MODERNIZATION FUND FISCAL YEAR ENDED SEPTEMBER 30, 2024 Special Revenue Records Modernization Fund Variance Original Final With Budget Budget Actual Final Budget Revenues: Charges for services $ 220,254 $ 220,254 $ 239,592 $ 19,338 Interest income 15,000 15,000 210,187 195,187 Total revenues 235,254 235,254 449,779 214,525 Expenditures: Current: Modernization trust 2,040,456 2,040,456 470,323 1,570,133 2,040,456 2,040,456 470,323 1,570,133 Total expenditures 2,040,456 2,040,456 470,323 1,570,133 Excess of revenues(under)expenditures (1,805,202) (1,805,202) (20,544) 1,784,658 Net change in fund balance (1,805,202) (1,805,202) (20,544) 1,784,658 Fund balance, beginning of year 1,805,202 1,805,202 3,509,329 1,704,127 Fund balance,end of year $ - $ - $ 3,488,785 $ 3,488,785 20 OTHER REPORTS 1,11'sim IRS111A US III..JII..J11P Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed In Accordance with Government Auditing Standards Independent Auditor's Report To the Honorable Kevin Madok Clerk of the Circuit Court of Monroe County, Florida We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States (Government Auditing Standards), the financial statements of each major fund and the aggregate remaining fund information of the Monroe County, Florida Clerk of the Circuit Court (the Clerk) as of and for the year ended September 30, 2024, and the related notes to the financial statements, which collectively comprise the Clerk's financial statements, and have issued our report thereon dated March 27, 2025. Our report included an emphasis of matter paragraph to reflect that these financial statements were prepared to comply with Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General for Local Governmental Entity Audits and are intended to present the financial position and the changes in financial position of the Clerk and do not represent a complete presentation of the financial statements of Monroe County, Florida. Report on Internal Control over Financial Reporting In planning and performing our audit of the financial statements, we considered the Clerk's internal control over financial reporting (internal control) as a basis for designing the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Clerk's internal control. Accordingly, we do not express an opinion on the effectiveness of the Clerk's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exisPt that were not identified. IIIIIIII ow IIIIIIII III'Z O III'° IIIIII IIIIIIII III 4 G I II4 III': IIIIIIII IIIZ S"'"'O O k"M0',111 ivHi��0`ameml gtoiii('Ik"MIi)((qniA!(iiA �s�lihkiliwiwirkofairkan�iulen( f 'iu�I +X'gIll ony Ili ar�(urns, V'IS I(1,;li n v, rn/,fhnII inrmn(�in to rrn,f(I(n 1���',3 rr 1111 It`aIV111"I II l I I iiia I 1, ........ ......... ..... ,,,,, ,,,,, ..... ...... ...... ..... ...... ...... ....,. Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the Clerk's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Clerk's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. ILO S Fort Lauderdale, Florida March 27, 2025 22 1,11'sim IRS111A US III..JII..J11P Management Letter in Accordance with Chapter 10.550, Rules of the Auditor General of the State of Florida To the Honorable Kevin Madok Clerk of the Circuit Court of Monroe County, Florida Report on the Financial Statements We have audited the financial statements of each major fund and the aggregate remaining fund information of the Monroe County, Florida, Clerk of the Circuit Court (the Clerk), as of and for the fiscal year ended September 30, 2024, and have issued our report thereon dated March 27, 2025. Auditor's Responsibility We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the Florida Auditor General. Other Reporting Requirements We have issued our Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards and our Independent Accountant's Report on an examination conducted in accordance with AICPA Professional Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated March 27, 2025, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)l., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no findings or recommendations made in the preceding annual financial audit report. Official Title and Legal Authority Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in the management letter, unless disclosed in the notes to the financial statements. The legal authority is disclosed in Note 1 to the financial statements. IIIIIIII ow IIIIIIII III'Z O III'° IIIIII IIIIIIII III 4 G I II4 III': IIIIIIII IIIZ S"'"'O O ASS VJIIZW III i..AX 0I�SVJ 23 k"M0',111 ivHi��0`ameml gtoiii('Ik"MIi)((qniA!(iiA �s�lihkiliwiwirkofairkan�iulen( f 'iu�I +X'gIll ony Ili ar�(urns, V'IS I(1,;li n v, rn/,fhnII inrmn(�in to rrn,f(I(n 1���',3 rr 1111 It`aIV111"I II l I I iiia I 1, ........ ......... ..... ,,,,, ,,,,, ..... ...... ...... ..... ...... ...... ....,. Financial Management Section 10.554(1)(i)2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations. Additional Matters Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or fraud, waste, or abuse, that have occurred, or is likely to have occurred, that have an effect on the financial statements that is less than material but warrants the attention of those charged with governance. In connection with our audit, we did not note any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, Monroe County, the Clerk, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties. s Fort Lauderdale, Florida March 27, 2025 24 1,11'sim IRS111A US III..JII..J11P Report of Independent Accountant on Compliance With Section 218.415, Florida Statutes, Local Government Investment Policies, and Florida Statutes 28.35, 28.36, and 61.181 To the Honorable Kevin Madok Clerk of the Circuit Court of Monroe County, Florida We have examined the Monroe County, Florida, Clerk of the Circuit Court's (the Clerk)compliance with the local government investment policy requirements of Section 218.415, Florida Statutes and Sections 28.35, 28.36 and 61.181, Florida Statutes (the specified requirements), during the period October 1, 2023 to September 30, 2024. Management of the Clerk is responsible for the Clerk's compliance with the specified requirements. Our responsibility is to express an opinion on the Clerk's compliance with the specified requirements based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the Clerk complied, in all material respects, with the specified requirements referenced above. An examination involves performing procedures to obtain evidence about whether the Clerk complied with the specified requirements. The nature, timing and extent of the procedures selected depend on our judgment, including an assessment of the risks of material noncompliance, whether due to fraud or error. We believe that the evidence obtained is sufficient and appropriate to provide a reasonable basis for our opinion. We are required to be independent and to meet our other ethical responsibilities in accordance with relevant ethical requirements relating to the engagement. Our examination does not provide a legal determination of the Clerk's compliance with the specified requirements. In our opinion, the Clerk complied, in all material respects, with the aforementioned requirements of Section 218.415, Florida Statutes, and Sections 28.35, 28.36 and 61.181, Florida Statutes, during the period October 1, 2023 to September 30, 2024. This report is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, Monroe County, the Clerk, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties. s Fort Lauderdale, Florida March 27, 2025 IIIIIIII ow IIIIIIII III'Z 0III'° IIIIII IIIIIIII III 4 G III4 III': IIIIIIII IIIZ S"'"'0 0III': ASS UIIrAI III i..AX UNSU NG 25 k"M0',111IvHill0`,memlIqtoIIII,fk"MIII(IqIIA!(II,II Is�lihkilIIliwirkofaIrka(�Iulen(,f','IIIII +X,liIll ony Ili ar�(urns, V'I51(I`,I11i I,t:o I11/,Ih(I I III"i n I 111 11I'II11oI I"n,l(I(1)I I'",31:11I Ifs 1t`,M I I"I I I ,II I!I I II Ik l l iIiOnl I ........ ......... ..... ,,,,, ,,,,, ..... ...... ...... ..... ...... ...... ....,.