Fiscal Year 1986 MONROE COUNTY, FLORIDA
STATEMENTSFINANCIAL
SEPTEMBER , 1986
1
C"TIT ,TRIE"D PT.JBLIC C,C OI,.,JNT N'T
MONROE COUNTY, FLORIDA
FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
KEW & ROSASCO
CERTIFIED PUBLIC ACCOUNTANTS
CONTENTS
Independent Auditors' Opinion l
Qonore| Purpose Financial Statements:
Combined Balance Sheet - A| / Fund Types and Account Groups 2-3
Combined Statement of Revenues, Expenditures and Changes
in Fund Balances - All Governmental Fund Types 4
Combined Statement of Revenues, Expenditures and Changes
in Fund Balances - Budget and Actual - General and
Special Revenue Fund Types 5
Combined Statement of Revenues, Expenses and Changes in
Fund Equity - Al Proprietary Fund Types 6
Combined Statement of Changes in Financial Position - All
Proprietary Fund Types 7
Notes to Combined Financial Statements 8-20
Supplemental Statements:
Clerk of the Circuit Court:
Balance Sheet 21
Statements of Revenues and Expenditures -
Governmental Fund Type and Receipts and Disbursements -
Fiduciary Fund Type 22
Property Appraiser-
Balance Sheet 23
Statement of Revenues and Expenditures 24
Supervisor of Elections:
Statement of Revenues and Expenditures 25
Sheri ff:
Balance Sheets - A | | F'/nd Types and Account Groups 26
Statements of Revenues and Expenditures - Governmental
Fund Types and Receipts and Disbursements - Fiduciary
Fund Types 27
Tax Collector:
Balance Sheets - All Fund Types 28
Statements of 9evcnues and Expenditures - Governmental
Fund Type and Receipts and Disbursements - Fiduciary
Fund Types 29
Management Letters 30-51
Single Audit Act Compliance Letter 52-53
Schedule of Findinqs nnd Questioned Costs 54
KEMP �6 ROSASCO
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Wm o. xemp. c.p.A AND FLORIDA INSTITUTE OF
psTsn L. nCsASco' Jr., cpx. CERTIFIED pVeL|C ACCOUNTANTS
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Honorable �Ienbers of the
Board of County Commissioners
'Honroe County, Florida:
We have examined the general purpose financial statements of Monroe County,
Florida (the "County") as of September 30" 1986 and for the year then ended,
listed in the accompanying table of contents. Our examination was made in
accordance with generally accepted auditing standards and, accordingly,
included such tests of the accounting records and such other auditing proce-
dures as we considered necessary in the circumstances.
In our opinion, such general purpose financial statements present fairly the
financial position of the combined funds and account groups of the County at
September 30, 1986 and the results of operations of such combined funds and
changes in financial position of the proprietary fund types for the year then
ended in conformity with generally accepted accounting principles applied on a
basis consistent with that of the preceding year.
Our examination was made for the purpose of forming an opinion on the general
purpose financial sfafemenfs taken as a who|o. The supplemental statements
listed in the accompanying table of contents are presented for purposes of
additional analysis and are not e required part of the general purpose finan-
cia| statements. Such information has been subjected to the auditing proce-
dures applied in the examination of the general purpose financial statements
and, in our opinion* is fairly stated in all material respects in relation to
the general purpose finoncio| sfafemenfs taken as o whole.
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Certified Public Accountants
March Q° 1987
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�OMROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
3EPTEMBER 30 1986
NOTE 1 - �ENERAL INFORMATION
Description - Monroe County, Florida (the "County") is a non-chartered
political subdivision of the State of Florida and is authorized the power
of self-government by the Constitution of the State of Florida and Florida
Statutes. The Board of County Commissioners (the "Board") is the legisla-
tive and governing body of the County. A County Administrator is appointed
by the Board and is responsible for administrative and budgetary control of
the resources of the County maintained in the funds and account groups
listed be |ow.
The Constitution of the State of Florida also provides for five
Constitutional Officers with specific duties and reporting responsibilities
prescribed by the Statute. The Officers are:
Clerk of the Circuit Court
County Property Appraiser
Supervisor of Elections
County Sheriff
County Tax Collector
Annual mperaf | ng budgets of these Officers are submitted to the Board for
approval . Funding for the operations of these Officers is provided pri-
mari |y from general revenues of the County and supplemented by fees charged
by the Officers pursuant to Statute.
The financial statements included in this Annual Report represent all of
the funds and account groups of the County as o single unit of |mco |
government over which the Board exercises fiscal confrm| .
Basis of Presentation - The Counfyrs accounting system is organized and
operated on a fund and account group basis. A fund is defined as o fiscal
and accounting entity with o self-balancing set of accounts which is segre-
gated for the purpose of carrying on specific activities or attaining cer-
tain objectives. Account groups are used to establish accounting control
and accountability for the Cmunfy/s general fixed assets and the unnafured
principal of its general long-ferm debt.
Under Statutes of the State of Florida, the five Constitutional Officers
report their annual receipts and disbursements to the appropriate division
of State Government. For reporting purposes herein, the operations of the
Constitutional Officers have been combined with the appropriate, funds and
account groups and the individual operofions and financin| positions of the
Clerk of the Circuit Courfr the Supervisor of Elections, the County
Property Appra ( ser, County Sheriff and Tax Collector have been reflected in
separate suop| enento | sfafananfs to the financia | statements.
-O-
1110NROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPT[MBER .30 1986
NOTE I - GENERAL INFORMATION (Continued)
The accounting policies of the County conform to generally accepted
accounting principles as applicable to government units. This report, the
accounting systems, and classification of accounts conform to standards of
Governmental
Accounting Standards Board (GASB) .
The County maintains the three categories of fund types and certain account
groups recommended in Statement I as described below:
Governmental Fund Types:
Qenera| Fund - Used to account for general operations of the County and
all transactions which are not accounted for in other funds or account
groups. The General Fund includes the operations of the five
Constitutional Officers.
S ecl | Revenue Funds - Used to account for the proceeds of specific
revenue sources (other than special assessments) or to finance specified
activities as required by |ow-
Debf Service Funds - Used to account for the payment of interest and
principal on outstanding general obligation debt. Debt of the
Enterprise Funds are reported under that fund heading.
S2L,cial Assessment Funds - Used to account for the construction of
improvements or provision of services which are to be paid for wholly or
in part from special assessments levied against benefited property.
lf | P - Used to account for the purchase or construction
of major capital facilities which are not financed by proprietary funds~
Proprietary Fund Types:
Enterprise Funds - Used to account for the financing of services to the
general public where all or most of the costs involved are paid in the
form of charges to users of such services. Enterprise operations of the
County are the operations of the Card Sound Road and Bridge Toll
Foci | /fy (the '`8ridgan) and the Municipal Services District (the `'MSD'') .
-9-
MONRDE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTG
SEPTEMBER 30 1986
NOTE l - GENERAL INFORMATION (Continued)
Internal-Service Fund - Used to account for services and commodities fur-
nished by a designated activity of the County to other departments of the
County. Internal service operations are those of the Counfy's Workmen's
Compensation Self-Insurance Fund and Group Health Self- insurance Fund.
Fiduciary Fund Types:
A F d - Used to account for assets held in a trustee or agency
capacity for other funds, governmental units and individuals. These funds
include certain fiduciary operations of the Clerk of the Circuit Court,
Tax Collector, and Sheriff.
A summary of the cash transactions of such fiduciary operations for the
year is as follows:
Collections pending future distribution:
Taxes $ 58°622,484
Bonds and other 1 ,410,705
Collections pursuant to court order 1 ,351 ,630
Fines and forfeits 1 ,482°752
Charges for services 1 °367»917
Licenses 551,635
State jury 8 witness fees 68,474
Interest 105,930
Mortgage bids 667 637
Total Collections 65°609, 764
Distribution of collections 65 772 8753
Net Collections ( 163,669)
Cash and investments, September 30, 1985 2 798 362
Cash and investments, September 58, 1986 $ 2, 734"693
Account Groups:
General Fixed A ef 33 f Accounts - Used to account for fixed assets
owned by the County which ore not accounted for in the enterprise funds.
Seneral Lonq-Term Debt Group of Accounts - Used to account for the !ong-
fenn indebfnass of _the County ofher than those which are ob| igof|cms of
the enterprise or special assessment funds.
-10-
�fON��E COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE 1 - GENERAL |NFORlAT|ON (Continued)
Bud ef R i f - Pursuant to Florida Statutes, the County is required
to establish budgetary systems and approve annual budgets. The Oounfyvs
budgeting process, which complies with State Statutes, is based on estima-
tes of cash receipts, cash disbursements and encumbrances which are
approved by the Board. Beginning funds, available for financing current
appropriations, are considered in the budgetary process but are not
included in the financial statements of the governmental fund types as
budgeted revenues. Adjustments necessary to convert the estimated cash
receipts and disbursements basis of budgeting to the accrual or modified
accrual basis of accounting are immaterial and have not been reflected in
the budget amounts in the accompanying financial statements. Unencumbered
appropriations lapse at year end.
For comparative purposes, portions of the budget in the financial state-
ments have been reclassified to conform with reporting classifications of
actual revenues and expenditures.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of 8cuounfin - The governmental fund and fiduciary fund types use
the modified accrua ! basis of accounting. Under the modified accrual
basis, revenues are recorded as received in cash except for revenues
susceptible to accrual and revenues of a material amount that have not
been received at the normal time of receipt. Expenditures are recorded
when obligations are incurred or when benefits are received, except for
interest on general obligation bonds which is recorded in the accounting
period in which payment becomes due_
The proprietary fund types use the accrual basis of accounting whereby
revenues are recorded when earned and expenditures are recorded when obli-
gations are incurred or when benefits are received.
Investments - The Counfy' s investments include certificates of deposit,
U.S. Treasury bi | Is and U.S. Government obligations. Investments are
recorded at cost or amortized cost which approximates market va | ue~
Restricted Assets and Reserves - Assets required to be segregated pursuant
fo o bond indenture are idenfified as restricted assets. Off-setting
reserves are established by uharOes to retained earnings.
MONRDE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBBR 30 1986
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Crants fro Government Agencies - Certain grants under various Federal and
State programs are included in the General Fund~ Grant monies received
are disbursed for goods and services as prescribed under the respective
grant program or transferred to other County funds or government entities
for ultimate distribution under the terms of the grants.
In addition, the County receives certain monies under revenue shoring and
other Federal and State programs~ These programs, as well as those grant
programs discussed above, are dependent on financial assistance by the
Federal and State Government.
Pension Costs - The County participates in the noncontributory Florida
Retirement System (the "System") which covers substantially all of the
Counfyrs full-time employees, without contribution from them. The County's
rate of contribution, based upon total salaries, is defined by the System
and pension costs are recorded in the period that salaries are earned.
Sea Note 6~
pr - All property of the County is recorded in the
General Fixed Assets Group of Accounts, with the exception of property of
the enterprise funds which are recorded in those funds' accounts.
Improvements, other than buildings, including roods, bridges, curbs, gut-
ters, streets and sidewalks are not reported in the General Fixed Assets
Group of Accounts since these assets are normally immovable and of value
only to the County. �
Property is recorded at cost, except for contributed property which is
recorded at fair market value at the dofo of contribution. Expenditures
for maintenance, repairs and minor renewals and betterments are expen�,ed
as incurred. Major renewals and betterments are treated as property
acquisitions.
Depreciation and depletion expense is provided on property and sanitary
landfill sites recorded in the enterprise funds using the straight-line
method over the estimated useful lives of the assets. Depreciation is not
provided on the General Fixed Assets "roup of Accounts. Ranges of depre-
ciable lives are as fo| |mws:
Years
Sanitary landfill sites \-\O
Buildings and other improvements 10-20
Bridges and improvements other than buildings 50
�4achinery and equipment 3-10
- 12-
MONROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Upon the disposition of property, the related cost and accumulated depre-
ciation is removed from the accounts with a gain or loss on disposition
reflected in net income.
8 summary of proprietary fund type fixed assets for the year ended September
30, 1988 fo| |ows:
Enterprise
Funds
Land $ 214, 105
Buildings & other
Improvements 154, 181
Construction in process 192,405
Roads & bridges 2,512,879
Equipment 9 7080,956
Total Property 12,782,328
Less accumulated depreciation 4 518 590
Net Property $ 8,383 738
A summary of changes in General Fixed Assets follows:
Balance Balance
Sa t ]O 19B5 Additions Deletions S t ]D 1088
Land 8,845,280 $ 8,845,280
Buildings & other
improvements 14,548, 123 1 ,403,873 - 15,839,798
Equipment lO 140 094 2,480,387 418 882 12 203 879
Total $ 3l 151 497 1p- 3,974,060 $ 416,802 $ 34,688,755
Discounts on fonds Discounts on bonds payable are amortized
using the straight- line method over the maturities of the related bonds.
Combined Financial Information - Total columns in combined financial sta-
tements which are noted "Memorandum Dn |yn aggregate fha columnar amounts
presented by fund type and account group. These total columns do not pre-
sent consolidated financial information.
-13-
P0NRDE C0UNTY FLDR|DA
NOTES TO COMBINED FINANCIAL STATEMENTS
5EPTEMBER 30 1986
NOTE 3 - LONG-TB(M DEBT
Long-tern debt consists of the following:
Additions
1985 (Reductions) 1986
Payab|e fron restricted ossefs:
Revenue Bonds' secured by reve-
nues of the Bridge wh [ch are
obligations solely of that fund,
payable September 1 ° 1997'
bearing interest at 5.75%
payable semi-annually $ 825^000 $ (600,000) $ 225°000
Less unamorfized discount
and issue costs 10 243 8 300 1 943
814 757 (591 700) 223 O57
Ref undin8 |mprovomenf Bunds,
secured by revenues of M5D
which are obligations solely
of V5D» payable in installments
of various amounts from October
1 ^ 1086 through October 1 ' 2011 ^
bearing interest at 5°25% to
9.01c" 11 ,870^000 11 °870°000
Less unearned interest on
capital appreciation bonds (2,559,592) 2^559°592
Less unamorfized discount
and issue costs (426 663) 426 663
- 8,883 745 8 883 745
Improvement Bonds, secured by
revenues of MSD which are obli-
gations solely of that fund,
payable in installments of
various amounts each October 1
unti | 2001 ° the remainder due
October l , 2011 ° bearing in-
terest at 9.80 to 11 .25�,
payable sani -annua | |y° refunded
by Refunding Improvement Bonds 7°810,000 (7,810,000)
Less unanortizod discount
and issue costs 169 444 169 444
7,640,556 (7,640 556) -
Tofu | payab|e from restricted
assets O 455 313 651 ,489 B 9 106 802
-14-
M0NROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE J - LONG-TERM DEBT (Continued)
Other long-term debt.
Additions
1985 (Reductions) 1988
Refunding Improvements Revenue
Bonds, secured by Race Track
and Jai Alai Fronton Revenues
received by the County under
Florida Statutes, payable in
installments of various
amounts from July | , 1984
until July | , 2011 , bearing
interest at rates from 7.40
to 9.25% payable semiannually 2, 105,000 (25,000) 2,080'000
Lesse ob| i gat iunsr secured by
equipment with purchase costs
of $17,356, payable in
monthly installments
totaling $285, including
interest imputed at 10.75%. 10,567 (3n427) 7n140
Lease obligation, secured by equip-
ment with purchase cost of
$233,800, payable in semi -annual
installments of $13, 187r includ-
ing interest imputed at 70%,
retired in advance of due date 150,000 ( 150v000) -
Lease obligation, secured by equip-
ment with purchase cost of $72°674'
payable in quarterly installments
of $4, 136.49 including interest at
8.2%' due February, 1990 - 49°234 49,234
Loase obligation, secured by equip-
ment with purchase cost of $28°800,
payable in quarterly installments
of $2,864.00 including interest at
11 .75%, due April , 1989 - 25,936 25,936
Leasa obligation, secured by equip-
ment with purchase cost of $153,700
payable in quarterly lnsfa| |menfs
of $21 ,038. 11 including interest at
8.25%r due April , 1987 - 119 544 119 544
2 265 567 16 287 2 281 854
-15-
N0NROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE 3 - LONG-TERM DEBT (Continued)
Additions
1986 (Reductions) 1985
Balance Brought Forward 2,265,567 $ 16,287 $ 2»281 ,854
Lease obligation, secured by equip-
ment with purchase cost of $362,691
payable in quarterly installments
of $6,709-80 including interest at
10.0%, due January, 1991 - 154,044 734°044
Note payable to bank, unsecured,
Payable in monthly installments
of $4,533 including interest at
6.9%° due May, 1986. Total a-
mount of borrowing was $120,018 80,926 (80,926) -
Accrued annual leave 446 Q58 188 385 635 243
Total other long-term debt 2 L193 451 257,690 5 O51 14?
Tax anticipation notes:
Note payable to bank, secured
by fax anticipation warrant,
payable in installments of
$20'000 due September 12,
1986 - 1993 from special
assessment funds' bearing in-
terest at 7% 160,000 (20°000) 140,000
Note payable to bank, secured
by fax anticipation warrant,
payable on July 10' 1987 from
special assessment funds,
bearing interest at 7% - 23,000 28°000
Notes payable to bank, secured
by fax anticipation warrants,
payable on or before July 10,
1986 from special assessment
funds, bearing interest at
7.5% 144 500 ( 144 500) -
Total fox anticipation
notes 304 500 ( 1]6 500) 168 OOO
Total long-term debt, net
of related discounts $ 11 ,553'264 772'679 12,325,943
-16-
yfDNR0E COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER ]O 1986
NOTE 3 - LONG-TERH DEBT (Continued)
The annual requirements to amortize outstanding bonded debt is as follows:
Payable from
September Restricted Tex 8nfici-
30 Total Assets Other fi N t
1987 2r143,859 $ 1 ,078°880 $ 1 °016°999 $ 48,000
1988 1 ,276,389 911r584 344°805 20°000
1989 1 , 198r279 911 ,658 266°621 20,000
19901 1 °165, 187 904r219 240°968 20,000
1991 1r136°426 899°593 216°833 20r000
1992-1996 6,068,540 4°g83,558 1 ,064,984 40r000
1997-2081 5,578,850 4°515r906 1 °062°944 -
2002-2008 5°000°723 3,942, 125 1 °058,598 -
2007-2011 5 995 4bG 4 g42 35O 1 O53 1l8 -
29,563,727 23r069,851 6p325°870 168,000
Less:
Unonnrfized
discount and
issue cost 428r606 428r608 - -
Interest including
amounts unearned
on capital apprec-
iation bonds ] 274 72� -
Total at present
value 12,325,943 $ 9, 106,BO2 $ 3,051 , 141 $ 168,000
Under the terms of the revenue bond issues, the Card Sound Bridge and MSO are
required among other things, to establish rates and collect fees and charges
which will be sufficient at all times to pay the cost of maintaining and
operating related assets, pay the principal and interest requirements of the
outstanding revenue bonds and create and maintain specified reserves for such
purpnses.
NOTE 4 - EXTRAORDINARY ITEM, LOSS ON ADVANCE REFUNO |WG OF LONG-TERM DEBT
By resolution adopted December 6, 1985, the County provided for the
advance refunding of the MSO Improvement Bonds in the aggregate principal
amount of $7,810r000 by the sale of Monroe County "uniuipa| Service
District Service Refunding Improvement Bonds, Series 1985. All of the
$9,211 ,774 principal amount of the Series 1985 issue will be used to
advance refund the refunded bonds.
-17-
MONR0E COUNTY, FLORIDA.
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE 4 - EXTRAORDINARY ITEM, LOSS ADVANCE REFUNDING OF LONG-TERM DEBT (Cont. )
The proceeds of the Series 1985 refunding bonds were invested in United
States obligations and placed in an irrevocable Deposit Trust Fund. Such
United States obligations wi | | mature at such times and in such amounts so
as to provide sufficient funds for the payment of interest and maturing
principal of the refunded bonds- The refunded bonds are considered
extinguished debt in the accompanying financial statements in accordance
with the defeasance provisions of the refunding bond agreement. As a
result of the advance refunding, e loss was recognized in accordance with
generally accepted accounting principles as follows:
Refunded Debt - MSD Improvement Bonds,
Series 198O $ 7,810°000
Less Unamorflzed Discount and Issue
Costs 167 754
Net Carrying Value of Refunded Debt 7 642 246
investment in Refunding:
Refunding Bonds Issued 9,211 °774
Less Unamorfized Financing Costs 446,663
Interest on Refunded Bonds at
Refunding Date 232 605
Net Reacquisition Price 8 532 506
Loss on Advance Refunding of
Long-Tern Debt $ 890,260
NOTE 5 - SELF INSURANCE PROGRAM
The Counfy is self- insured for Workmen's Compansafion claims up to
$ 200,000 for each occurence° and maintains coverage for claims in excess
of those amounts to a limit of $ 5°000,000 per occurence with independent
insurance carriers. The liability for Norknen/s Compensation claims,
which is considered adequate by management, represents the estimate for
all claims .
The County is also self-insured for health 'insurance claims up to $ 25,000
for each occurence and maintains coverage for claims in excess of those
amounts to a limit of $1 ,000,000 per occurenca with independent insurance
carriers. The liability for Croup Insurance claims, which is considered
adequate by management, represents the estimate for all claims.
-18-
MONROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
3EPTEMBER 30 1986
NOTE 6 - PENSION PLAN
The County participates in the Florida Retirement System (the "System") which
covers substantially all of the Counfy's full-time employees~ Presently, the
System does not require contributions from covered emp |myees. Pension costs for
County employees for the year ended September 30^ 1986, as required and defined
by the System, approximated $ 1 ,888,000.
Contributions of all participating agencies throughout the State of Florida are
pooled to fund accrued benefits under the System. System officials have
reported that the System has on actuarially computed unfunded past service liability
of approximately $7.4 bi | | |cm as of July 1 , 1985, the latest valuation date of
the plan (o plan valuation is performed every two years). This amount repre-
sents an obligation of the System and not of the participating agencies. The
most recent actuarial study indicates that, if certain actuarial assumptions are
realized and certain increases to the contribution rates are made, this unfunded
past service liability will be liquidated within 30 years.
NOTE 7 - CONTINGENCIES AND COMMITMENTS
All expenditures financed by Federal and State of Florida grants are subject to
audit by the granting agencies to determine if such expenditures comply with
conditions of the grant. The County believes that no material liability wi | |
arise from any such audits.
A number of claims and lawsuits are pending against the County. However, based
on knowledge of facts and advice of the County attorney and outside counsel ,
County officials believe that the outcome of these actions will not have o
material adverse effect on the Counfy's financial position or results of opera-
tions.
NOTE 8 - SCHEDULE OF FEDERAL ASSISTANCE
Federal Grantor/Pass Through Federal CFDA Revenue
�ra for/pr Title Number Raco i � d Ex e dlf re
De f f f T rt ti
Direct Program - Airport
Improvement 20. 101 957r406 $ 935,749
P rtment of fh T
Direct Program Federal
Revenue Sharing 21 .300 870'073 $ 870,073
-lg-
M0NROE COUNTY FLORIDA
NOTES TO COMBINED FINANCIAL STATEMENTS
SEPTEMBER 30 1986
NOTE R - SCHEDULE OF FEDERAL ASSISTANCE (Continued)
Federal Grantor/Pass Through Federal CFDA Revenue
Grantor/Pro Title Number Reco / d Lx e n dlf
22p,�_rtment of Health and
Human Services
Passed Through State Department of
Health and Rohabi |afive Services:
Transportation, CST - Title | | | 13°633 $ 740345 $ 740345
Special Programs for the Aging,
Title | | | , parts A 8 B -
Supportive Services and Senior
Centers: 13~633
Homemakers 60,572 60,572
Community Care for the Elderly 331 ,988 331 '988
Special Programs for the Aging -
Title | | ! , Part C - Nutrition 13.635 226,000 226,000
$ 692,905 $ 692,905
2.��2artment of Labor
Passed Through State Department of
Health and Rohabi |afive Services:
Senior Community Service Employment 17.235 $ 170,205 $ 170,230
Employment and Training Assistance -
Dislocated Workers 17°246 37.537 37 537
$ 207,742 $ 207,767
NOTE 9 - CASH AND INVESTMENTS
Cash and investments consist of the following at September 30, 1986:
State of FL
Pooled Cast) Other
Cash Investments Investments Total
General $ 283,711 $ 8,458,723 $ 1 ,518,663 $ 10,261 ,097
Special Revenue 620,374 6,024'725 377,000 7,022,099
Debt Service 57,845 621 ,993 22,201 696,039
Special Assessment 801 °685 3'873,833 300»000 4°975,318
Capifa| Projects 99,361 2,500,513 - 2,399,874
Enterprise 281 °405 3"851 ,507 - 4° 132'912
! nferna | Service 215,526 373,853 - 589,359
Fiduciary Fund
Types Agency 1 ,576 293 - 558 400 2 134 693
$ 3°950,200 25,504'927 $ 2»7769264 $ 32'211 ,391
-20-
MONRDE COUNTY FLORIDA
CLERK OF THE CIRCUIT COURT
SUPPLEMENTAL B&LANCE SHEET - AGENCY FUND
SEPTEMBER 30 1986
Assets:
Cash $ 807,242
Accounts receivable 13,870
Total Assets 821 , 112
Liabi | ifies;
Due to Board of County Commissioners $ 269,034
Due to other governments 125,404
Due to others 426 874
Total Liabilities $ 821 ,112
`
-21-
M0NRUE COUNTY, FLORIDA
CLERK OF THE CIRCUIT COURT
SUPPLEMENTAL.
FOR THE YEAR ENDED SEPTEMBER 30 1986
GOVERNMENTAL FIDUCIARY
FUND TYPE FUND TYPE
TRUST AND
GENERAL AGENCY
Revenues/Receipts:
Taxes $ 3,764,746
Court orders - 1 °351 ,630
Fines and forfeitures - 1 ,462,752
Mortgage bids - 667,637
Charges for services - 711 ,869
Other - 164,461
State of Florida - 68,474
Interest - 33,078
Licenses - 27,985
Board of County Commissioners Y 910 191 -
Total Revenues/Receipts 1 918 191 8 252 632
Expenditures/Disbursements:
Personal services 1 ,453, 128 -
Equipment rental 33»082 -
Operating expenditures 363, 118 -
Capital outlay 68,863 -
Trust and agency disbursements - 8.729.254
Total Expenditures/Disbursements 1 918 191 8 729 254
Excess of Revenues/Receipts over
Expenditures/Disbursements $ -O- (476,622)
-22-
MONR0E COUNTY, FLORIDA
PROPERTY APPRAISER
SUPPLEMENTAL BALANCE SHEET
SEPTEM8ER ]O l986
GOVERNMENTAL ACCOUNT
FUND TYPE GROUP
GENERAL LONG-TERM
FUND DEBT
Assets:
Cash $ 35°282 $ -
Investments 50^000 -
Amount to be Provided - 134,044
Total Assets $ 85,282 $ 134 O44
Liabilities:
Due to other governments $ 50,903 $
Long-fern debt - 134,044
Fund Balance 34 379 -
Total Liabilities and Fund Balance $ 85^282 $ 134,044
-2�-
MONROE COUNTY FLORIDA
PROPERTY APPRAISER
SUPPLEMENTAL STATEMENT OF REVENUES AND EXPENDITURES - GENERAL FUND
FOR THE YEAR ENDED SEPTEMBER 30 1986
Revenues:
Board of County Commissioners $ 884,050
Other faxing districts 241 ,745
Miscellaneous 4 782
Total Revenues 1 . 130.577
Expenditures:
Personal services 795,929
Data processing services 13,668
Rental 19» 117
Operating expenditures 220,348
Capital Outlay 85.684
Total Expenditures 1 , 134,746
Excess Of Revenues Over (Under) Expenditures % (4, 169)
-24-
�ONROE ��UNTY FLOR|DA
SUPERVISOR OF ELECTIONS
SUPPLB4ENTAL STATEMENT OF REVENUES AND EXPENDITURES - GENERAL FUND
FOR THE YEAR ENDED SEPTEM8ER 30 1986
Revenues - Board of County Commissioners $ 278 154
Expenditures:
Personal services 175,524
Operating expenditures 42P630
Capital outlay -
Total Expenditures 218. 154
Excess of Revenues Over (Under) Expenditures IL -O~
NOTE: All assets and | \ ab| | if\es are accounted for by the Board of County
Commissioners within the General Fund. Accordingly, a balance sheet is
not presented.
-25-
MONROE COUNTY FIOR: �DA
.............
SHER�.,FF
SUPPLEMENTAL BALANCE SHEETS
.....................
SOxrEMBER 30 1986
FIDUCNARY
GOVERN MEN'l AL F:'UND TYPES F:'UND TYPES ACCOUNT GROUPS
SPEC NAN TRUST GENERAN LONG-
(31ENERAL REVENUE AND AGENCY F::1 XED ASSEI'S TERM DEBT'
.................
Assets—
C'a s h $ 443P567 $ 13,0724 $ 4.05PO84 $ $
362 Due f rom other f unds - I P,
Other, Cur-rent Assets - 2,284.
Property - - 3P629V735
Arnount to be Provided - - 399
.......... . ...........
"I ota� Assets 443#567 $ 17P370 $ 4050,084. $ 3,629,735 $ 39910399
LlabiNiiies:
Accr tied L i a b i 1 11,i es $ 3040861
Due to the B(-,)ard of
t "
,,oun y Cammsskmiers 124P209 34PI50
Due to oiher funds 1 ,362
Lonqterim Debt - 399P399
Due to Others 3 691 569 712
............................... ........... . .......
I otau Llabi F 1 t 1 es 429 070 3 (5 9 1 405
............. ...... ..................
..........
F"und ',Eqtjify-
hvestment in Genera
F"ixed Asseis 3P629P735
F"und BaNance 14 497 13 6-79
........... ........................................ .................
TcttaN Fund Equiiy 7 13 6-79 3 6291 '735
................... ........................................ .. .........
Tota� Liabi � i ties and
F"und Equity $ 443,567 $ 173,370 4,05,084 $ 3,629,735 399P399
MONROE COUNTY FLORIDA
5HER|FF
FOR THE YEAR ENDED SEPTBMBER 30 1gLA
GOVERNMENTAL FIDUCIARY
FUND TYPES FUND TYPE
SPECIAL
GENERAL REVENUE AGENCY
Revenues/Receipts:
Board of County
Cmmmissl one rs $10»337^600 $ - $ -
Charges for services - -
Cash bonds - - 900,492
Interest 124»209 ~ 1 »661
Other 25 690 - 345j.752
Total Revenues/Receipts 10 487 4g9 1 ,247
qO5
Expenditures/Disbursements:
Personal services 5^965»721 -
Rental and leases 53»079 - -
Operating expenditures 2^367^540 -
Capital outlay 1 »032*877 -
Trust and agency distributions - - 1 252 527
Total Expenditures/Disbursements y 4l9 217 1 252 527
Excess of Revenues/Receipts Over (Under)
Expenditures/Disbursements 1 *068^228 (4»622)
Other Financing Uses -
Operating transfers out ( l 067 58l ) - ~
Excess of Revenues/Receipts Over (Under)
Expendifures/Disbursenenfs and
Other Uses $ 647 $ (4°622)
-27-
MDNR0E COUNTY, FLORIDA
TAX COLLECTOR
SUPPLEMENTAL RALANCE SHEETS
SEPTEMBER 30 lg86
GOVERNMENTAL FIDUCIARY
FUND TYPE FUND TYPE
Assets:
Cash $ 21 *467 $ 3630967
Investments 786 525 558 400
Total Assets $ 8070,992 $ 922,367
Liabilities:
Accounts Payable $ 23,384 $ -
Accrued Expenses 43,667 -
Due to Other Governments 740*941 900,902
Due to Others - 21 465
Total Liabi | ifies $ 807 gg2 $ 922.9367
FLORIDA
MONROE C
TAX COLLECTOR
SUPPLEMENTAL STATEMENTS OF R- .,yEygEQ1RECEjPTQ AND EXPENDITURES DISBURSEMENTS
...................... ..................
FOR THE YEAR ENDED SEPTEMBER . 6
12L.198Ugs
GOVERNMENTAL FIDUCIARY
FUND TYPE FUND TYPE
.....................-
GENERAL AGENCY
FUND FUNDS
Revenues/Receipts:
Board of County Commissioners $ 1P093V721 $ -
Taxes 5204732)857
Tax sale redemptions 2083P881
Licenses and permits - 523P650
Charges for services 746,841 656,048
Interesl 32016 71PI91
Other ...............IL..6 5 1 ..........
Total Revenues/Receipts 1422146 2 _26,j20LQ7
Expenditures/Disbursements:
Personal services 776S563 -
Contractual services 130,172 -
Equipment rentai 4,293 -
Cap ital outlay 52,048 -
Operating expenditures 1700612
Trust and agency J disbursements 052 91L_
Total Expenditures/Disbursements _j 33
Excess of Revenues/Receipts Over (Under)
Expenditures/Disbursements 740*941 317Y575
Other Financing Uses - Transfer of excess fee y4,9 ...L1
Excess of Revenues/Receipts Over (Under)
Expenditures/Disbursements and Other Uses -0- 317,575
KEMP 8 ROSASCO
('cwifkd Public Accountants
1438 KENNEDv DR.
#/2 LUAN| PLAZA w P. 0. BOX 1529
KEY WEST, FL 33041 /52n
ORv|S /m. uExxP' C.P,x. (305) 294-2581 AAeAA8ER OF AAAER|CAN INSTITUTE
vvm. O. KE/mP' C.P.A. AND FLORIDA INSTITUTE OF
PETER i, nOoASCO' Jr., C.P.A. CERTIFIED PW8i|C ACCOUNTANTS
xxARvA E. GREEN, CP,A.
March 9, 1987
Mr. Donny L. Ko|hage
Clerk Ex 0ffio|o
Board of County Commissioners
Nonrne County, Florida
Key West, Florida 33040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 30, 1986, and have issued our report
thereon dated March 9, 1987° As part of our examination, we mode o study and
evaluation of the internal controls, including applicable internal administra-
tive controls, used in administering federal financial assistance programs to
the extent we considered necessary to evaluate the systems as required by
generally accepted auditing standards, the standards for financial and
compliance audits contained in the Standards for Audit of Governmental
Organizations, P o oms Activities d Functions, issued by the U.S. General
Accounting Office, the Single Audit Act of 1984, and the provisions of OMB
Circular A-128, Audits of State and Lnoo| Governments. For the purpose of
this report, we have classified -the significant internal accounting and admi-
nistrative controls used in administering federal financial assistance
programs in the following categories:
- External financial reporting
- Cost allocations and matching level of effort
- Cash and Cosh Equivalents
- Cash Disbursements, Purchases, Payob|as and Accrued Liabilities
- Cosh Receipts, Revenues, and Accounts Receivable
- Investments
- Property and Equipment
- | nferfund and Intergovernmental Transfers
- Payrolls
- Debt
- Fund Balance
- Surety Bonds and Insurance
The management of Monroe County, Florida, is responsible for establishing and
maintaining internal control systems used in administering federal financial
assistance programs. In fulfilling that responsibility, estimates and judge-
ments by management are required to assess the expected benefits and related
-30-
Mr. Danny L. Kolhage
Clerk Ex Officio
Board of County Commissioners
Page 2
costs of control procedures. The objectives of Internal control systems used
in administering federal financial assistance programs are to provide manage-
ment with reasonable, but not absolute, assurance that, with respect to
federal financial assistance programs, resource use is consistent with laws,
regulations, and policies; resources are safeguarded against waste, loss, and
misuse; and reliable data are obtained, maintained, and fairly disclosed in
reports.
Because of inherent limitations in any system of internal accounting and admi-
nistrative controls used in administering federal financial assistance
programs, errors or irregularities may nevertheless occur and not be detected.
Also, projection of any evaluation of the systems to future periods is subject
to the risk that procedures may become inadequate because of changes in con-
ditions or that the degree of compliance with the procedures may deteriorate.
Our study included all of the applicable control categories listed above®
During the year ended September 30, 1986, Monroe County, Florida, expended
84% of its total federal financial assistance under major federal financial
assistance programs. With respect to internal control systems used in admi-
nistering major federal financial assistance programs, our study and eva-
luation included considering the types of errors and irregularities that could
occur, determining the internal control procedures that should prevent or
detect such errors and irregularities, determining whether the necessary pro-
cedures are prescribed and are being followed satisfactorily, and evaluating
any weaknesses.
With respect to the internal control systems used solely in administering the
nonmajor federal financial assistance programs of Monroe County, Florida, our
study and evaluation was limited to a preliminary review of the systems to
obtain an understanding of the control environment and the flow of transac-
tions through the accounting system. Our study and evaluation of the internal
control systems used solely in administering the nonmajor federal financial
assistance programs of Monroe County, Florida, did not extend beyond this pre-
liminary review phase.
Our study and evaluation was more limited than would be necessary to express
an opinion on the internal control systems used in administering the federal
financial assistance programs of Monroe County, Florida. Accordingly, we do
not express an opinion on the internal control systems used in administering
the federal financial assistance programs of Monroe County, Florida. Further,
we do not express an opinion on the internal control systems used in admi-
nistering the major federal financial assistance programs of Monroe County,
Florida.
Also, our examination, made in accordance with the standards mentioned above,
would not necessarily disclose material weaknesses in the internal control
systems used solely in administering nonmajor federal financial assistance
programs.
Our study and evaluation and our examination disclosed no condition that we
believe to be a material weakness in relation to a federal financial
-31-
'Ir. Donny L. Ko|hage
Clerk Ex Officio
Board of County Commissioners
Page 3
assistance program of Monroe County, or its general purpose financial
statements.
Our examination did, however, disclose the following conditions that, although
not considered by us to be material weaknesses, are weaknesses in internal
accounting control for which corrective action might be taken.
Tourist Dev | n�n ) |
Pa f tLo ContracLors
Observation: The County employed an advertising agency which appears not to
have paid its subcontractors for services rendered on behalf of Monroe County,
although the agency received payment relative to those services. At that
time, the County received no assurance that such payments to third parties had
been made.
Recommendation: The County should obtain proof that any subcontractor claims
have been satisfied. The present system is such that the new advertising
agency must submit a certification of cash disbursements to subcontractors or
agree that payment will be made to the subcontractors directly before any
further payments are made.
Board of Counf
Old Outstandjnq Checks
Observation: Old outstanding checks are not removed from the bank recon-
ciliations to make reconciliation procedures more efficient. Procedures
should be implemented to remove such checks on a routine basis.
Recommendation: The payees of these checks should be contacted when possible
to determine why the check has not been cashed. If necessary, the old check
should be voided and a new check issued° if this procedure does not resolve
the problem, the old outstanding checks should be treated as unclaimed funds
and recorded as a liability. Records should be maintained such that there is
a detail of to whom and what amount is owed. In order to relieve the liabi-
lity, you should consult with your attorney as to the proper legal Procedures.
Account__AElq_|Y 5 i
Observation: Various balance sheet and revenue accounts which are susceptible
to analysis and cross check are reconciled to details or other supporting
documentation on an annual basis.
Recommendation: The appropriate level of management should periodically
review or prepare sufficient workpapers to determine that account balances
are correctly stated on e routine basis, preferably monthly.
Deposit of Funds
Observation: Although most County funds are handled at the three County
offices, there are some locations which receive funds and prepare deposits
independently of the County finance department. Ouring the year, there was no
-32-
'1r. Danny L. Ko|hage
Clerk Ex Officio
Board of County Commissioners
page 4
De o it of Funds (Continued)
policy as -to -the frequency, preparation and reconciliation procedures to guide
-the personnel at -these locations. The lack of direction resulted in one
instance in the accumulation of receipts for two weeks without deposit. The
amount of cash involved was such that it should have been deposited on a daily
basis.
Recommendation: The County should and has developed a policy regarding the
collection and deposit of County funds not handled by the Finance deportment.
In addition, the appropriate level of management should be made specifically
responsible for monitoring compliance with the policy.
We have reviewed the financial report filed with the Department of Banking and
Finance for the year ended September 30, 1986, pursuant to Section 218°36v
Florida Statutes, and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March g, 1987.
The Rules of -the Auditor General, State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management, the Auditor General ,
the cognizant audit agency and any other federal audit agencies and should not
be used for any other purpose. This restriction is not intended to limit the
distribution of this report, which, upon acceptance by the Board of County
Commissioners is u matter of public record.
* * * * * *
We appreciate -the cooperation extended to us during the course of our examina-
tion. We would be pleased to discuss -these natters further with you at your
convenience.
Sincerely,
Kemp & Rosascd
Certified Public Accountants
-33-
KEMP V� ROSASCO
('n-t//icv/ /`nbGt Accountants
1438 KENNEDv DR,
#12 LUAN| PLAZA a P. 0. BOX 1529
KEY VvE3r' FL 33041 /529
()Rv/Sm. KEx^p. [.P.A, (305) 294-2581 MEMBER OF AK8EQ|CAN INSTITUTE
VvM O. Kswp' [p,x. AND FLORIDA INSTITUTE OF
pBsnL eCS*3[O' /' ' [ pA CERTIFIED PUBLIC ACCOUNTANTS
^8Amv* E. GREEN, [ p,*
March g, 1987
Mr- Danny L. Ko|hage
Clerk of the Circuit Court
Monroe County, F |orida
Key West, Florida 33040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 30^ 1986, and have issued our report
thereon dated March q^ 1987° As part of our mxam/ nafion^ we made a study
and evaluation of the Counfyvs system of internal accounting control to the
extent we considered necessary to evaluate the system as required by generally
accepted auditing standards and the standards for financial compliance audits
contained in the U.S. General Accounting Office Standards for Audit of
Governn� or The purpose
of our study and evaluation was to determine the nature, timing, and extent of
the auditing procedures necessary for expressing an opinion on the Counfyvs
financial statements. Our study and evaluation was more limited than would be
necessary to express an opinion on the system of internal accounting control
taken as a who|e.
The observations reported herein should be considered in the context of the
responsibility of management for establishing and maintaining a system of
internal accounting control , the objectives of and inherent limitations on
such a system, and the definition of a material weakness for purposes of -this
report, which are described in the Appendix to this report.
Our study and evaluation made for the limited purpose described in the first
paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of Monroe County, Florida taken as a whole. However, our
study and evaluation disclosed no condition that we believe is a material
weakness.
Our examination did disclose the following conditions that, although not con-
sidered by us to be material weaknesses, are weaknesses in internal accounting
control for which corrective action might be taken.
Oid Oufstandin Checks
Observation: O ------fanding checks are not removed from the bank recon-
ciliations to nohe reconciliation procedures more efficient. Procedures
should be implemented to remove such checks on a routine basis.
-34-
Mr. Danny L. Ko|hage
Clerk of the Circuit Court
Page 2
Old Oufsfandin Ch k (Continued)
Recommendation: The payees of these checks should be contacted when possible
to defennine why the check has not been rashed° If necessary, the old check
should be voided and o new check issued. If this procedure does not resolve
the problem, the old outstanding checks should be treated as unclaimed funds
and recorded as o liability. Records should be maintained such that there is
a detail of to whom and what amount is owed. In order to relieve the liabi-
lity, you should consult with your attorney as to the proper legal procedures.
De osif f M R i d
Observation: We noted delays in the deposit of certain trust and agency funds
in excess of what would normally be expected in the ordinary course of
business.
Recommendation: Deposits should be made as quickly as possible to prevent
loss.
We have reviewed the finonclal report filed with the Department of Banking and
Finance for the year ended September 30° 1986, pursuant to Section 218.36,
Florida Statutes, and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March 0Y 1987.
The rules of the Auditor General , State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management and the Auditor
General and should not be used for any other purpose. This restriction is not
intended to limit the distribution of this report which, upon acceptance by
the Board of County Commissioners, is a natter of public record.
* * * * * *
We appreciate the cooperation extended to us during the course of our examina-
tion. We would be pleased to discuss these matters further with you of your
convenience.
Kemp � R ascc�
Certified Public Accountants
-35-
APPENDIX
MANAGEMENI 'S RESPONSIBILITY FOR, AHID THE OBJECTIVES AND LIMITATIONS OF,
INTERNAL ACCOUNTING CONTROL AND THE DEFINITION OF A MATERIAL WEAKNESS
The following comments concerning management's responsibility for internal
accounting control , the objectives of and the inherent limitations on a system
of internal accounting control , and the definition of a material weakness are
excerpts from Statements on Auditing Standards of the American Institute of
Certified Public Accountants.
Management's Responsibility
Management . . . is responsible for establishing and maintaining a system of
internal accounting control . In fulfilling this responsibility, estimates and
judgements by management are required to assess the expected benefits and
related costs of control procedures.
Objectives
The objectives of a system are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized
use or disposition, and that transactions are executed in accordance with
management 's authorization and recorded properly to permit the preparation of
financial statements in accordance with generally accepted accounting
principles.
Limitations
Becausc} of inherent limitations in any system of internal accounting control ,
errors or irregularities nevertheless May occur and not be detected. Also,
projection of any evaluation of the system to future periods is subject to the
risk that procedures may become inadequate
uate because of changes in conditions or
that the degree of compliance with procedures may deteriorate.
Material Weakness
A material weakness (for the auditor's purpose) is a condition in which the
specific control procedures, or the degree of compliance with them, do not ( in
the auditor's judgement) reduce to a relatively low level the risk that errors
or irregularities in amounts that would be material in relation to the finan-
cial statements being audited may occur and not be detected within a timely
period by employees in the normal course of performing their assigned func-
tions. These criteria may be broader than those that may be appropriate for
evaluating weaknesses in accounting control for management or other purposes.
KEMP 8 ROSASCO
('(�rtified Public Act,ozentants
1438 KENNEDY DR.
#12 LLJANI PLAZA ® P. O. BOX 1529
KEY WEST, FL 33041-1529
ORVIS M. KEMP, C.P.A. (305) 294-258 1 MEMBER OF AMERICAN INSTITUTE
WM. O. KEMP, C.P.A. AND FLORIDA INSTITUTE OF
PETER L. RCSASCO, Ji., C.P.A. CERTIFIED PUBLIC ACCOUNTANTS
MARVA E. GREEN, C.P.A.
March 9, 1987
firm Harry F. Knight
Tax Collector
Monroe County, Florida
Key West, Florida 33040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 30, 1986, and have issued our report
thereon dated March 9, 1987. As part of our examination, we made a study
and evaluation of the County's system of internal accounting control to the
extent we considered necessary to evaluate the system as required by generally
accepted auditing standards and the standards for financial compliance audits
contained in the U.S. General Accounting Office Standards for Audit of
Governmental Organizations, Programs, Activities and Functions® The purpose
of our study and evaluation was to determine the nature, Timing, and extent of
the auditing procedures necessary for expressing an opinion on the County's
financial statements. Our study and evaluation was more limited than would be
necessary to express an opinion on the system of internal accounting control
taken as a whole.
The observations reported herein should be considered in the context of the
responsibility of management for establishing and maintaining a system of
internal accounting control, the objectives of and inherent limitations on
such a system, and the definition of a material weakness for purposes of this
report, which are described in the Appendix to this report®
Our study and evaluation made for the limited purpose described in the first
paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of flonroe County, Florida taken as a whole. However, our
study and evaluation disclosed no condition that we believe is a material
weakness®
Our examination did disclose the following conditions that, although not con-
sidered by us to be material weaknesses, are weaknesses in internal accounting
control for which corrective action might be taken.
-37-
Harry F. Knight
Tax Collector
Page 2
Observation: We noted a delay in the deposit of money received /n the
Marathon office~
Recommendation: Deposits should be made in o timely manner to prevent loss.
f_22u |af R rfl R | f
We have reviewed the financial report filed with the Department of Banking and
Finance for the year ended September 30° 7986, pursuant to Section 2l8.38°
Florida Statutes, and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March 0. 1987.
The rules of the Auditor General , State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management and the Auditor
General and should not be used for any other purpose. This restriction is not
intended to limit the distribution of this report, which, upon acceptance by
the Board of County Commissioners, is a matter of public record.
* * * * * *
We appreciate the cooperation extended to us during the course of our examina-
tion. We would be pleased to discuss these matters further with you of your
convenience.
Sincerely,
Ik
Kemp & Rosasco
Certified Public Accountants
-38-
APPEND(X
MANAQEY4ENT�� RESPONSIBILITY FOR, AND THE OBJECTIVES AND LIMITATIONS OF,
INTERNAL ACCOUNTING CONTROL AND THE DEFINITION OF A MATERIAL WEAKNESS
The following comments concerning management's responsibility for internal
accounting control , the objectives of and the inherent limitations on a system
of internal accounting confro| , and the definition of o material weakness are
excerpts from Statements on Auditing Standards of the American Institute of
Certified Public Accountants.
Management's Responsibility
Management ° ° . is responsible for establishing and maintaining a system of
internal accounting control . In fulfilling this responsibility, estimates and
judgements by management are required to assess the expected benefits and
related costs of control procedures.
Objectives
The objectives of m system are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized
use or disposition, and that transactions are executed in accordance with
management's authorization and recorded properly to permit the preparation of
financial statements in accordance with generally accepted accounting
principles.
Limitations
Because of inherent limitations in any system of internal accounting confnm| v
errors or irregularities nevertheless may occur and not be detected. Also,
projection of any evaluation of the system to future periods is sub 'ecf. fo the
risk that procedures may become inadequate because of changes in conditions or
that the degree of compliance with procedures may deteriorate.
Material Weakness
A material weakness (for the auditor's purpose) is a condition in which the
specific control procedures, or the degree of compliance with them, do not ( )n
the auditor's judgement) reduce to a relatively low level the risk that errors
or irregularities in amounts that would be material in relation to the finan-
cial statements being audited msy occur and not be detected within a timely
period by employees in the normal course of performing their assigned func-
'lions. These criteria may be broader than those that may be appropriate for
evaluating weaknesses in accounting control for management or other purposes.
-39-
KEMP 16 ROSASCO
Nfblic° Ac(,ountants
1438 KENNEDY DR.
#1 2 LUANI PLAZA * P. 0. BOX 1529
KEY WEST, FL 33041-1529
ORVIS M. KEMP, C.P.A. (305) 294-2581 MEMBER OF AMERICAN INSTITUTE
WM. O. KEMP, C.P.A. AND FLORIDA INSTITUTE OF
PETER L. RCSASCO, Jr., C P.A. CERTIFIED PUBLIC ACCOUNTANTS
MARVA E. GREEN, C.P.A.
March 9, 1987
Honorable William A. Freeman, Jr.
Sheriff
Monroe County, Florida
Key Nest, Florida 33040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 30, 1986, and have issued our report
thereon dated March 9, 1987. As part of our examination, we made a study
and evaluation of the County's system of internal accounting control to the
extent we considered necessary to evaluate the system as required by generally
accepted auditing standards and the standards for financial compliance audits
contained in the U.S. General Accounting Office Standards for Audit of
Governmental OragLizations. Programs, Activities and Functions. The purpose
of our study and evaluation was to determine the nature, timing, and extent of
the auditing procedures necessary for expressing an opinion on the County's
financial statements. Our study and evaluation was more limited than would be
necessary to express an opinion on the system of internal accounting control
taken as a whole.
The observations reported herein should be considered in the context of the
responsibility of management for establishing and maintaining a system of
internal accounting control , the objectives of and inherent limitations on
such a system, and the definition of a material weakness for purposes of this
report, which are described in the Appendix to this report®
Our study and evaluation made for the limited purpose described in the first
paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of Monroe County, Florida taken as a whole. However, our
study and evaluation disclosed no condition that we believe is a material
weakness®
Our examination did disclose the following conditions that, although not con-
sidered by us to be material weaknesses, are weaknesses in internal accounting
control for which corrective action night be taken®
-40®
Honorab|s Wi | | |am A. Freeman, Jr.
Sheri ff
Page 2
Fixed Assets
ObservAfion� The reports available from the current fixed asset program are
limited to certain formats which do not satisfy all management or accounting
needs.
Recommendation: New software should be implemented which would provide
reports in conformance with State of Florida accounting requirements and
management needs.
Inmate Comni o
Observafion: Responsibility and control over this area has not been assigned
as the duty of any one individual . As a result, the records and files are not
maintained in on organized, orderly fashion, refunds are issued without
reference to updated liability records, and reconciling procedures for the
liability to inmates are not performed.
Recommendation: One full-time person should be made responsible for the
accounting records in this area. Access to the checkbook should be limited
accordingly. The appropriafe level of management should review the work per-
formed on a monthly basis to insure that if is done /n an accurate and con-
sistent manner.
De if f R i f
Observation: ',�le noted delays in the deposit of money received, ranging in
some instances from five to fifteen days~
Recommendation: Deposits should be made as quickly as possible to prevent
loss.
9ank Reconciliation Procedures
Observation: The reconciliations contain numerous old outstanding checks.
Procedures should be implemented to remove such checks on a routine basis.
Recommendation: The payees of these checks should be contracted when possible
to determine why the check has not been cashed. If necessary, the old check
should be voided and a new check issued. If this procedure does not resolve
the problem, the old outstanding checks should be treated as unclaimed funds
and recorded as a liability. Records should be maintained such that that
there is a detail of to whom and what amount is owed. In order to relieve the
liability, you should consult with your attorney as to the proper legal proce-
dures.
-41-
Honorable NH | iam A. Freeman, Jr~
Sheriff
Page ]
Bank Reconciliation Procedures (Continued)
bs Oervafion: Interest income is carried as a negative reconciling item on the
bank reconciliations and not recorded in the accounting records, thereby
understating cash and revenues.
Recommendation: Interest should be recorded appropriately as a revenue and an
addition to cash.
Trust and A
Observation: Although differences have, been identified between cash on hand,
the general ledger liability and the detail of that liability, the differences
have not been resolved or adjusted such that these items are in balance as
they should be.
Recommendation: The correct amount should be determined and appropriate
action taken to resolve any differences.
pa | | Files
Dbservafion: The Sheriff uses a "member status form" to document promotions
and pay raises. In some instances, we found forms which were not dated or
signed.
Recommendation: All such forms should be dated and signed by the appropriate
level of management to document the affective date of such change and to
insure that such changes are in accordance with managements ' intent.
We have reviewed the financial report filed with the Department of Banking and
Finance for the year ended September ]O, 1986, pursuant to Section 116,03,
Florida Statutes, and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March g� 1987.
-42-
Honorable 'William A. Freeman, Jr.
Sheriff
Page 4
The rules of the Auditor General , State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management and the Auditor
General and should not be used for any other purpose® This restriction is not
intended to limit the distribution of this report which, upon acceptance by
the Board of County Commissioners, is a matter of public record.
We appreciate the cooperation extended to us during the course of our examina-
tion® We would be pleased to discuss these matters further with you at your
convenience®
Kemp & Rosas
Certified Public Accountants
-43-
APPEND!X
MANAGEMENT'S RESPONSIBILITY FOR, AND THE OBJECTIVES AND LIMITATIONS OF,
INTERNAL ACCOUNTING CONTROL AND THE DEFINITION OF A MATERIAL WEAKNESS
The following comments concerning management's responsibility for internal
accounting control , the objectives of and the inherent limitations on o system
of internal accounting cmnfrm|, and the definition of o material weakness are
excerpts from Statements on Auditing Standards of the American Institute of
Certified Public Accountants.
Management's Responsibility
Management . , ° is responsible for establishing and maintaining a system of
internal accounting control . In fulfilling this responsibility, estimates and
judgements by nonagemenf are required to assess the expected benefits and
related costs of control procedures.
Objectives
The objectives of a system are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized
use or disposition, and that transactions are executed in accordance with
management's authorization and recorded properly to permit the preparation of
financial statements in accordance with generally accepted accounting
principles.
Limitations
Because of inherent limitations in any system of internal accounting control ,
errors or irregularities nevertheless may occur and not be detected. Also,
projection of any evaluation of the system to future periods is subject to the
risk that procedures may become inadequate because of changes in conditions or
that the degree of compliance with procedures may deteriorate.
Material Weakness
A material weakness (for the auditor's purpose) is a condition in which the
specific control procedures, or the degree of compliance with them, do not ( in
the auditor's judgement) reduce to a relatively low level the risk that errors
or irregularities in amounts that would be material in relation to the finan-
cial statements being audited may occur and not be detected within a timely
period by employees in the normal course of performing their assigned func-
tions. These criteria may be broader than those that may be appropriate for
evaluating weaknesses in accounting control for management or other purposes.
-44-
KEMP �5 ROSASCO
('vrlified pn@ic Accountants
1438 KENNEDY DR.
#/2 LUAN| PLAZA * P. O. BOX 1529
KEY vvESJ' FL 33041-1529
0RV|3 /*. KEAxP' C.P.A. (305) 294-2581 /NBN8ER OF AMER|CAM INSTITUTE
vvM. D. KEmP, [.P A. AND FLORIDA INSTITUTE OF
PETER L. uC3^SCO' Jr., C P.A. CERTIFIED pU8L|[ ACCOUNTANTS
mARV^ E. GREEN, C.P.A.
March y, 1987
Mr. Ervin A. Higgs
Property Appraiser
Monroe County, Florida
Key West, Florida 33040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 30, 1986, and have issued our report
thereon dated March y, 1987. As part of our examination, we made a study
and evaluation of the Counfy/s system of internal accounting control to the
extent we considered necessary to evaluate the system as required by generally
accepted auditing standards and the standards for financial compliance audits
contained in the U.S. General Accounting Office Standards for Audit of
Governmental Orqanizations, Programs Activities and Functions. The purpose
of our study and evaluation was to determine the nature, timing, and extent of
the auditing procedures necessary for expressing an opinion on the Counfyvs
financial statements. Our study and evaluation was more limited than would be
necessary to express an opinion on the system of internal accounting control
taken as a whole.
The observations reported herein should be considered in the context of the
responsibility of management for establishing and maintaining a system of
internal accounting control , the objectives of and inherent limitations on
such a system, and the definition of a material weakness for purposes of this
report, which are described in the Appendix to this report.
Our study and evaluation made for the limited purpose described in the first
paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of Monroe County, Florida taken as a whole. However, our
study and evaluation disclosed no condition that we believe is a material
weakness.
Our axaninafion did disclose the following conditions that, although not con-
sidered by us to be material weaknesses, are weaknesses in internal accounting
control for which corrective action might be taken.
-45-
5r. Ervin A. Higgs
Property Appraiser
Page 2
Supervjso A |
Observation: Supervisors are required to review and approve employee time
cards. We found no evidence that this procedure is performed.
Recommendation: Supervisors should initial or sign time cards to document
their review and approval .
Observation: Supervisors are required to review and approve reimbursements
for travel . In some instances, the travel forms were not signed by the super-
visor to document that this procedure was done.
Recommendation: Travel reimbursements should nof be paid unless the super-
visor signs the travel voucher.
Authorization for Lay R f
Ubservafion/ There is nothing in the employee personnel file which indicates
authorization to hire, initial pay rate or changes in pay rates.
Recommendation: The files should contain management's authorization to hire,
including the initial pay rate. Any changes in pay should be indicated in the
employee file with the proper documentation of management approval .
Old Outstandinq Checks
Observation: Old outstanding checks are not removed from the bank recon-
ciliations to make reconciliation procedures more efficienf, Procedures
should be implemented to remove such checks on a routine basis~
Recommendation: The payees of these checks should be contacted when possible
to determine why the check has not been cashed. If necessary, the old check
should be voided and a new check issued. If this procedure does not resolve
the problem, the old outstanding checks should be treated as unclaimed funds
and recorded as a liability. Records should be maintained such that there is
a detail of to whom and what amount is owed. In order to relieve the liabi-
lity, you should consult with your attorney as to the proper legal procedures.
8a |ance Sheet Items
Observation: A cerfificafe of deposit and liabilities for lease purchases
were not recorded in the general ledger or the reports filed with the Clerk
of the Court.
Recommendation: All significant assets and ! iabi ! ifies of the Property
Appraiser should be recorded in the books of account.
-46-
111r. Ervin A. Higgs
Property Appraiser
Page 3
Purchase Orders
Observation: The system requires that purchase orders be completed and
approved for purchases that are nonromf|ne° This policy is not consistently
fo| |o*ed.
Recommendation: This policy should be consistently enforced to maintain mana-
gement oznfno| over expenditures.
Com f i
Observation: Fees for the use of the property appraiser's computer have pre-
viously been netted against the cost of the related computer expenses. The
anount of the fees has become large enough thof they should be recorded
separately to provide more informative disclosure of activities.
Recommendation: These fees should be budgeted and recorded as income.
Correspondingly, the amount of computer expenses budgeted and recorded should
be the amount expended for this purpose.
R | f R rfl R l f
We have reviewed the financial report filed with the Department of Banking and
Finance for the year ended September 30^ 1986' pursuant to Section 218.36,
Florida Statutes., and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March g^ 1987.
The rules of the Auditor General , State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management and the Auditor
General and should not be used for any other purpose. This restriction is not
intended to limit the distribution of this report, which, upon acceptance by
the Board of County Commissioners, is a matter of public record.
* * * * * *
We appreciate the cooperation extended to us during the course of our examina-
tion. We would be pleased to discuss these matters further with you at your
convenience.
Sincerely,
Kemp & Rmsasco
Cerfified Public Accountants
-47-
APPENDIX
MANACEy1ENT"S RESPONS191L1TY FOR, AND THE OBJECTIVES AND LIMITATIONS OF,
INTERNAL ACCOUNTING CONTROL AND THE DEFINITION OF A MATERIAL WEAKNESS
The following comments concerning management's responsibility for internal
accounting control , the objectives of and the inherent limitations on a system
of internal accounting control , and the definition of a material weakness are
excerpts from Statements on Auditing Standards of the American Institute of
Certified Public Accountants.
Management's Responslbi | ify
Management . . . is responsible for establishing and maintaining o system of
internal accounting control . In fulfilling this responsibility, estimates and
judgements by management are required to assess the expected benefits and
related costs of control procedures.
Objectives
The objectives of a system are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized
use or disposition, and that transactions are executed in accordance with
management's authorization and recorded properly to permit the preparation of
financial statements in accordance with generally accepted accounting
principles.
Limitations
Because of inherent limitations in any system of internal accounting control ,
errors or irregularities nevertheless may occur and not be detected. Also,
projection of any evaluation of the system to future periods is subject to the
risk that procedures may become inadequate because of changes in conditions or
that the degree of compliance with procedures may defer/orate.
Material Weakness
A material weakness (for the auditor's purpose) is a condition in which the
specific control procedures, or the degree of compliance with them, do not ( in
the auditor's judgement) reduce to a ns|af)ve|y low level the risk that errors
or irregularities in amounts that would be material in relation to the finan-
cial statements being audited may occur and not be detected within a timely
period by enp |oyees in the normal course of performing their assigned func-
tions. These criteria may be broader than those that may be appropriate for
evaluating weaknesses in accounting control for management or other purposes.
-48-
KEMp8 ROS/\SCO
('/'//ifkel Public Arcuawmxm
/438 KENNEDv De.
#12 LU*m| PLAZA e P. o� BOX 1529
xcv WEST, FL 33041 7n29
VRV|3k8. KEmP' [P.A. (305) 294'2581 MEMBER OF Ak8ER|[#N INSTITUTE
mxN. Q. nEmP' [,9,*. AND FLORIDA |mST|rWT5 OF
PETER L. RCSA3[Q' /' ' [ p * CERTIFIED PUBLIC ACCOUNTANTS
k8Amvx E. GREEN, C.P.A.
March 9, 1987
Mr. Peter | |chuk
Supervisor of Elections
l',lonroe County, Florida
Key West, Florida 35040
Dear Sir:
We have examined the general purpose financial statements of Monroe County,
Florida for the year ended September 50° 1986° and have issued our report
thereon dated March g° 1987. As part of our oxaminaf |on, we made a study
and evaluation of the Counfy's system of internal accounting control to the
extent we considered necessary to evaluate the system as required by generally
accepted auditing standards and the standards for financial compliance audits
contained in the U.S. General Accounting Office Standards for Audit of
Covernmenta| Orcianizations Prc
�2� � f ivities and Functions. The purpose
of our study and evaluation was to determine the nature, timing, and extent of
the auditing procedures necessary for expressing an opinion on the Counfy's
financial statements. Our study and evaluation was more limited than would be
necessary to express an opinion on the system of internal accounting control
taken as a whole.
The observations reported herein should be considered in the context of the
responsibl | ify of management for establishing and maintaining a system of
internal accounting control , the objectives of and inherent limitations on
such a system, and the definition of a material weakness for purposes of -this
report, which are described in the Appendix to this report.
Our study and evaluation made for the limited purpose described in the first
paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of Monroe County, Florida taken as a whole. However, our
study and evaluation disclosed no condition that we believe is a material
weakness.
-49-
�Ir. Peter | |chuck
Supervisor
of Elections
PnOe 2
We have reviewed the financial report filed with the Department of Banking and
Finance for the year ended September 50° 1986» pursuant to Section 218.36»
Florida Statutes, and have found the amounts reported therein to be in
agreement with the amounts included in the financial statements on which we
have issued our report dated March g» 1987°
The rules of the Auditor General , State of Florida, require that this letter
be filed with the Auditor General along with audited financial statements.
This report is intended solely for the use of management and the Auditor
General and should not be used for any other purpose. This restriction is not
intended to limit the distribution of this report which, upon acceptance by
the 8ourd of Counfy Commissioners, is a matter of public record.
* * * * * *
vie appreciate the cooperation extended to us during the course of our examina-
tion. We would be pleased to discuss these matters further with you at your
convenience.
r 6-��
ot� /�?
Kemp & Rosasco
Certified Public Accountants
XIIPEND|X
MANAGEMENT'S RESPONSIBILITY FOR, AND THE OBJECTIVES AND LIMITATIONS OF,
INTERNAL ACCOUNTING CONTROL AND THE DEFINITION OF A MATERIAL WEAKNESS
The following comments concerning management's responsibility for internal
accounting control , the objectives of and the inherent limitations on a system
of internal accounting control , and the definition of a material weakness are
excerpts from Statements on Auditing Standards of the American Institute of
Certified Public Accountants.
Managemenfvs Responsibility
!`-lonogenenf . . . is responsible for establishing and maintaining a system of
lnfarno ) accounting control . In fulfilling this responsibility, estimates and
judgements by management are required to assess the expected benefits and
related costs of control procedures.
Objectives
The objectives of a system are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized
use or disposition, and that transactions are executed in accordance with
management's authorization and recorded properly to permit the preparation of
financial statements in accordance with generally accepted accounting
principles.
Limitations
�acause of inherent limitations in any system of internal accounting confro| ,
errors or irregularities nevertheless may occur and not be defected. Also,
projection of any evaluation of the system to future periods is subject to the
risk that procedures may become inadequate because of changes in conditions or
that the degree of compliance with procedures may deteriorate.
�1ateria | Weakness
A material weakness ( for the auditor's purpose) is a condition in which the
specific control procedures, or the degree of compliance with them, do not ( in
the auditor's judgement) reduce to a relatively low level the risk that errors
or irregularities in amounts that would be material in relation to the finan-
cial statements being audited may occur and not be defected within a timely
period by employees in the normal course of performing their assigned func-
tions. These criteria may be broader than those that may be appropriate for
evaluating weaknesses in accounting control for management or other purposes.
-51-
KEMP & ROSASCO
Certified Public Accountants
1438 KENNEDY DR.
#12 LUANI PLAZA ® P. 0. BOX 1529
KEY WEST, FL 33041-1529
ORVIS M. KEMP, C.P.A. (305) 294-2581 MEMBER OF AMERICAN INSTITUTE
WM. 0. KEMP, C.P.A. AND FLORIDA INSTITUTE OF
PETER L. ROSASCO, Jr., C.P.A. CERTIFIED PUBLIC ACCOUNTANTS
MA VA E. GREEN, C.P.A.
March 99 1987
Mr. Danny L. Kolhage
Clerk Ex Off icio
Board of County Commissioners
Monroe County, Florida
Key West, Florida 33040
Dear Sir:
We have examined the general purpose statements of Monroe County, Florida for
the year ended September 30, 1986, and have issued our report thereon dated
March 9, 1987. Our examination was made in accordance with generally
accepted auditing standards; the standards for financial and compliance audits
contained in the Standards for Audit of Governmental Organizations,
Activities and Functions issued by the U.S. General Accounting Office; the
Single Audit Act of 1984; and the provisions of OMB Circular A-128, Audits of
State and Local Governments, and accordingly, Included such tests of the
accounting records and such other auditing procedures as we considered
necessary in the circumstances®
The management of Monroe County, Florida, is responsible for the County's
compliance with laws and regulations. In connection with the examination
referred to above, we selected and tested transactions and records from each
major federal financial assistance program and certain nonmajor federal finan-
cial assistance programs® The purpose of our testing of transactions and
records from those federal financial assistance programs was to obtain reaso-
nable assurance that Monroe County, Florida, had, in all material respects
administered major programs, and executed the tested nonmajor program, transac-
tions in compliance with laws and regulations, including those pertaining to
financial reports and claims for advances and reimbursements, noncompliance
with which we believe could have a material effect on the allowability of
program expenditures.
Our testing of transactions and records selected from major federal financial
assistance programs disclosed instances of noncompliance with those laws and
regulations® All instances of noncompliance that we found and the programs to
which they relate are identified in the accompanying schedule of findings and
questioned costs®
In our opinion, subject to the effect of the ultimate resolution of those
instances of noncompliance referred to in the preceding paragraph, for the
-52-
'Ir. Donny L. Ko|hoge
Clerk Ex Off icio
Board of County Commissioners
Page 2
year ended September 30° 1986° Monroe County, Florida, administered each of
its major federal financial assistance programs in compliance, in all material
respects, with laws and regulations, including those pertaining to financial
reports and claims for advances and reimbursements, noncompliance with which
we believe could have o material effect on the o| |*wobi | \fy of program expen-
ditures.
The results of our testing of transactions and records selected from n*nmo 'or
federal financial assistance programs indicate that for the transactions and
records tested I'l*nrme County, Florida, complied with the laws and regulations
referred to in the second paragraph of our report, except as noted in the
accompanying schedule of findings and questioned costs. Our testing was more
limited than would be necessary to express an opinion on whether Monroe
County, Florida, administered those programs in compliance in all material
respects with those laws and regulations noncompliance with which we believe
could have a material effect on the a | |*wahi | lfy of program expenditures;
however, with respect to the transactions and records that were not tested by
us, nothing came to our attention to indicate that Monroe County, Florida,
had not complied with laws and regulations other than those laws and regula-
tions for which we noted violations in our testing referred to ab*ws~
I K_t�
Kemp & Rosasco
Certified Public Accountants
MONROE COUNTY, FLORIDA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE YEAR ENDED SEPTEMBER 30 1986
Questioned
Pr Costs
Airport Improvement, The final financial report as
Qrant No. 3-12-0044-05 orgina| |y filed did not agree
with the Cnunfy's records. $ 1 ,638
Community Core for The final financial report
the E |der|yr Contract did not agree with the
Ho. 86-5-878 Countyrs records. (84)
-54-