plaquemines parish school board - louisiana · 2020-03-29 · management of plaquemines parish...

RECEIVEDi FHK< *T|ur .".n

Q6FEBII* PM3=37

R E P O R T

PLAQUEMINES PARISH SCHOOL BOARD

JUNE 30, 2005

Under provisions of state law, this report is a publicdocument Acopy of the report has been submitted tothe entity and other appropriate public officials. Thereport is available for public inspection at the BatonRouge office of the Leg islativeAuditorand, whereappropriate, at the office of the parish clerk of court.

Release Date -^-X-O^


INDEX TO REPORT

JUNE 30, 2005

PAGE

INDEPENDENT AUDITOR'S REPORT 1 - 2

REQUIRED SUPPLEMENTARY INFORMATION - Part I:

Management's Discussion and Analysis 3 - 9

BASIC FINANCIAL STATEMENTS:

Government-wide Financial Statements:

Statement of Net Assets 10

Statement of Activities 11

Fund Financial Statements:

Balance Sheet - Governmental Funds 12

Reconciliation of the Governmental Funds Balance Sheetto the Statement of Net Assets 13

Statement of Revenues, Expenditures and Changes inFund Balances-Governmental Funds 14-15

Reconciliation of the Governmental Funds Statement of Revenues,Expenditures and Changes in Fund Balances to the Statement of Activities 16

Statement of Fiduciary Net Assets 17

Notes to the Financial Statements 18 - 41

REQUIRED SUPPLEMENTARY INFORMATION - Part II:

Budgetary Comparison Schedules:

General Fund 42-43

OTHER SUPPLEMENTAL INFORMATION SCHEDULES:

Nonmajor Governmental Funds:

Nonmajor Fund Descriptions 44-47

Combining Balance Sheet 48

Combining Statement of Revenues, Expenditures andChanges in Fund Balance 49

OTHER SUPPLEMENTAL INFORMATION SCHEDULES: (Continued)

Fiduciary Funds:

Schedule of Changes in Assets and Liabilities - School Activity Agency Fund 50

Schedule of Compensation Paid Board Members 51

REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTINGAND ON COMPLIANCE AND OTHER MATTERS BASED ON ANAUDIT OF FINANCIAL STATEMENTS PERFORMEDIN ACCORDANCE WITH GOVERNMENTAUDITING STANDARDS 52-53

REPORT ON COMPLIANCE WITH REQUIREMENTSAPPLICABLE TO EACH MAJOR PROGRAMAND INTERNAL CONTROL OVER COMPLIANCE INACCORDANCE WITH OMB CIRCULAR A-133 54 - 55

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 56 - 57

NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 58

SCHEDULE OF FINDINGS AND QUESTIONED COSTS 59 - 60

SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS 61

SCHEDULES REQUIRED BY STATE LAW:

Independent Accountant's Report on Applying Agreed Upon Procedures 62 - 66

Schedule 1 - General Fund Instructional and SupportExpenditures and Certain Local Revenue Sources 67 - 68

Schedule 2 - Education Levels of Public School Staff 69

Schedule 3-Number and Type of Public Schools 70

Schedule 4 - Experience of Public School Principals andFull-Time Classroom Teachers 71

Schedule 5 - Public School Staff Data 72

Schedule 6 - Class Size Characteristics 73

Schedule 7 - Louisiana Educational Assessment Program for the 21st Century 74

Schedule 8-The Graduate Exit Exam for the 21st Century 75

Schedule 9 - The Iowa Tests 76

DUPLANTIER, HRAPMANN,HOGAN & MAHER, L.L.P.

MICHAEL J.O'ROURKE,CP.A.WILLIAM G. STAMM, C.P.A.CLIFFORD J. GIFFIN, JR., C.P.A.DAVID A. BURGARD, C.P.A.LINDSAY J.CALUB,C.P.A.,L.L.C.GUY L. DUPLANTIER, C.P.A.MICHELLE H. CUNNINGHAM, C.P.A.DENNIS W.DILLON, C.P.A.

ANN M. HARGES, C.P.A.ROBIN A. STROHMEYER, C.P.A.

m CERTIFIED PUBLIC ACCOUNTANTS

1340 Povdras St., Suite 2000 • New Orleans, LA 70112J

(oU4J DoD-OOOD

FAX 525_5888

[email protected] r

A.J. DUPLANTIER, JR., CP.A.(1919-1985)

FELIX J. HRAPMANN, JR., C.P.A.(1919-1990)

WILLIAM R. HOGAN, JR., C.P.A.(1920-1996)

JAMES MAKER, JR C P.A

<1921-1999)

KENNETH J. BROOKS, C.P.A., ASSOCIATE

MEMBERSAMERICAN INSTITUTE OF

CERTIFIED PUBLIC ACCOUNTANTSSOCIETY OF LA. C.P.A.s

INDEPENDENT AUDITOR'S REPORT

January 20, 2006

Plaquemines Parish School BoardP. O. Box 69Belle Chasse, LA 70037

We have audited the accompanying financial statements of the governmental activities, eachmajor fund and the aggregate remaining fund information of the Plaquemines Parish School Board as ofJune 30, 2005 and for the year then ended, which collectively comprise the school board's basic financialstatements as listed in the index to the report. These financial statements are the responsibility of themanagement of Plaquemines Parish School Board. Our responsibility is to express an opinion on thesefinancial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in the UnitedStates of America, Government Auditing Standards, issued by the Comptroller General of the UnitedStates, and the provisions of Office of Management and Budget Circular A-133, Audits of States, LocalGovernments and Nonprofit Organizations. Those standards and OMB Circular A-133 require that weplan and perform the audit to obtain reasonable assurance about whether the financial statements are freeof material misstatement. An audit includes examining, on a test basis, evidence supporting the amountsand disclosures in the financial statements. An audit also includes assessing the accounting principlesused and significant estimates made by management, as well as evaluating the overall financial statementpresentation. We believe that our audit provides a reasonable basis for our opinions.

In our opinion, the financial statements referred to above present fairly, in all material respects,the financial position of the governmental activities, each major fund and the aggregate remaining fundinformation of the Plaquemines Parish School Board as of June 30, 2005, and the respective changes infinancial position thereof for the year then ended, in conformity with accounting principles generallyaccepted in the United States of America.

The management's discussion and analysis and budgetary comparison information on pages 3through 9 and 42 through 43 are not a required part of the basic financial statements but aresupplementary information required by accounting principles generally accepted in the United States ofAmerica. We have applied certain limited procedures, which consisted principally of inquiries ofmanagement regarding the methods of measurement and presentation of the supplementary information.However, we did not audit the information and express no opinion on it.

Our audit was made for the purpose of forming opinions on the financial statements thatcollectively comprise Plaquemines Parish School Board's basic financial statements. The accompanyingother supplemental information schedules listed in the index to the report are presented for the purpose ofadditional analysis and are not a part of the financial statements of the Plaquemines Parish School Board.The other supplemental information schedules on pages 44-51 have been subjected to the auditingprocedures applied in the audit of the financial statements and, in our opinion, are fairly stated in allmaterial respects in relation to the financial statements taken as a whole. The supplemental schedules onpages 62 - 75 have not been subjected to the auditing procedures applied in the audit of the financialstatements, and, accordingly, we express no opinion on the schedules.

Our audit was made for the purpose of forming opinions on the financial statements thatcollectively comprise Plaquemines Parish School Board's basic financial statements. The accompanyingschedule of expenditures of federal awards is presented for purposes of additional analysis as required byU.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, andNonprofit Organizations, and is also not a required part of the financial statements. The information inthat schedule has been subjected to the auditing procedures applied in the audit of the financialstatements and, in our opinion, is fairly presented in all material respects in relation to the financialstatements taken as a whole.

In accordance with Government Auditing Standards, we have also issued a report dated January20, 2006 on our consideration of the Plaquemines Parish School Board's internal control over financialreporting and our tests of its compliance with certain provisions of laws, regulations, contracts, grantagreements and other matters. The purpose of that report is to describe the scope of our testing ofinternal control over financial reporting and compliance and the results of that testing and not to providean opinion on the internal control over financial reporting or on compliance. That report is an integralpart of an audit performed in accordance with Government Auditing Standards and should be consideredin conjunction with this report in considering the results of our audit.

£/w*/ UP

PLAQUEMINES PARISH SCHOOL BOARDMANAGEMENT'S DISCUSSION AND ANALYSIS

AS OF JUNE 30. 2005

The Management's Discussion and Analysis (MD&A) of the Plaquemines Parish School Board'sfinancial performance presents a narrative overview and analysis of the school board's financialactivities for the year ended June 30, 2005. This document focuses on the current year's activities,resulting changes, and currently known facts in comparison with the prior year's information.

Financial Highlights

• The Plaquemines Parish School Board's assets exceeded its liabilities at June 30, 2005 by$25,587,222.

• Net assets increased by $1,374,241 for the year ended June 30, 2005.

• At June 30, 2005, the school board's governmental funds reported ending fund balances of$13,027,357, an increase of $1,958,661 from the prior year.

• The school board's total liabilities at June 30, 2005 were $18,332,818 in comparison to$15,471,199 at June 30, 2004.

The following graphic illustrates the minimum requirements for school districts established byGovernmental Accounting Standards Board Statement 34, Basic Financial Statements—andManagement's Discussion and Analysis—for State and Local Governments.

Management's Discussion and Analysis

Basic Financial Statements

Required supplementary information(other than MD&A)

These financial statements consist of three sections - Management's Discussion and Analysis (thissection), the basic financial statements (including the notes to the financial statements), and requiredsupplementary information.


AS OF JUNE 30, 2005

Government-Wide Financial Statements

The government-wide financial statements are designed to provide readers with a broad overview ofthe school board's finances, in a manner similar to private-sector business.

The statement of net assets presents information on all of the school board's assets and liabilities, withthe difference between the two reported as net assets. Over time, increases or decreases in net assetsmay serve as a useful indicator of whether the financial position of the school board is improving ordeteriorating.

The statement of activities presents information showing how the school board's net assets changedduring the most recent fiscal year. All changes in net assets are reported as soon as the underlyingevent giving rise to the change occurs, regardless of the timing of the cash flows. Thus, revenues andexpenses reported in this statement for some items will only result in cash flows in future periods (e.g.uncollected taxes and earned but unused sick leave).

Both of the government-wide financial statements present functions of the school board that areprincipally supported by taxes and intergovernmental revenues (governmental activities). The schoolboard has no functions or activities which are business-like in nature, meaning that they are primarilysupported by user fees and charges for services, such as a municipally owned utility system. Thegovernmental activities of the school board include regular and special education programs, supportservices, administration, maintenance, student transportation, and school food services. The schoolboard contains no other units of government (component units) nor is it contained as a component unitof any other level of local or state government.

Fund Financial Statements

A fund is a grouping of related accounts that are used to maintain control over resources that have beensegregated for specific activities or objectives. The school board, like other state and localgovernments, uses fund accounting to ensure and demonstrate compliance with finance-related legalrequirements. All of the funds of the school board can be divided into two categories: governmentalfunds and fiduciary funds.

Governmental funds are used to account for essentially the same functions as governmental activitiesin the government-wide financial statements. However, unlike the government-wide financialstatements, governmental fund financial statements focus on the near-term inflows and outflows ofspendable resources, as well as on balances of spendable resources available at the end of the fiscalyear. Such information may be useful in evaluating a government's near-term financing requirements.

PAGES


AS OF JUNE 30. 2005

Because the focus of governmental funds is narrower than that of the government-wide financialstatements, it is useful to compare the information presented for governmental funds with similarinformation presented for governmental activities in the government-wide financial statements. Bydoing so, readers may better understand the long-term impact of the school board's near-termfinancing decisions. Both the governmental fund balance sheet and the governmental fund statementof revenues, expenditures and changes in fund balances provide a reconciliation to facilitate thiscomparison between governmental funds and governmental activities.

The school board maintains many individual governmental funds. Information is presented separatelyin the governmental fund balance sheet and in the governmental fund statement of revenues,expenditures and changes in fund balances for the General Fund and Title I which are consideredmajor funds. The remaining funds are combined into a single, aggregated presentation under the labelof other governmental funds, which contains all non-major funds. Individual fund data for each ofthese non-major funds is provided in the form of combining statements elsewhere in this report.

Fiduciary funds are used to account for resources held for the benefit of outside parties such asstudents. Fiduciary funds are not reflected in the government-wide financial statements because theresources of those funds are not available to support the school board's programs. The sole fiduciaryfund of the school board is the School Activity Fund, which contains monies belonging to the schools,their students, and clubs and other activities.

Notes To The Financial Statements

The notes provide additional information that is essential to a full understanding of the data provided inthe government-wide and fund financial statements.


AS OF JUNE 30. 2005

Financial Analysis of the Entity

Statement of Net Assetsas of June 30. 2005 and 2004

2005 2004

Current and other assets $9,469,106 $ 10,401,205Investments 8,187,262 4,341,780Capital assets 26.263.672 24.941.195

Total assets 43.920.040 39.684.180

Other liabilities 4,779,097 3,807,130Compensated absences payable 1,984,644 2,012,565Loan payable 481,091 526,909Bonds payable 11,080,000 9,110,000Capital leases payable 7,986 14.595

Total liabilities 18.332.818 15.471.199

Net assets:Invested in capital assets, net of debt 14,694,595 15,289,691Restricted for Debt Service 2,266,964 2,067,734Unrestricted 8.625.663 6.855.556

Total net assets S 25.587.222 S 24.212.981

Capital assets, which are reported net of accumulated depreciation, account for 60% of totalassets.

Bonds payable account for 60% of total liabilities.

Net assets invested in capital assets, net of debt, account for 57% of total net assets.

Total net assets have increased 6% from the prior year.

PAGE?PLAQUEMINES PARISH SCHOOL BOARD

MANAGEMENT'S DISCUSSION AND ANALYSISAS OF JUNE 30. 2005

Changes in Net AssetsFor the Years Ended June 30, 2005 and 2004

2005 2004

$ 425,4116,373,283

13,634,55912,340,253

560,78411,682,968

107,6293.248.486

48,373.373

$ 425,1967,102,096

13,123,30012,862,065

69,22611,333,603

104,702377.198

45.397.386

REVENUE:Program revenues:

Charges for servicesOperating grants and contributions

General revenues:Ad Valorem taxesSales taxesInterest and investment earningsMinimum Foundation ProgramState revenue sharingOther

Total revenue

EXPENDITURES:Regular educationSpecial educationOther educationPupil supportInstructional staff supportGeneral administrationSchool administrationBusiness servicesOperations and maintenanceStudent transportationCentral servicesFood serviceCommunity service programsCapital outlayInterest on long-term debtOther

Total expendituresExcess of revenues over expenses

Change in Net Assets• There was a 10% decrease in operating grants due to tobacco settlement grant funds received

from the state in the prior year.• There was a 710% increase in interest and investment earnings due to improving market

conditions and a larger amount of funds available for investment.• Other revenues increased 761% due to the receipt of an approximately $3 million judgment for

disputed oil royalties.• General and administration expenditures increased 44% due to the attorney fees paid as a result

of the oil royalty judgment.• Operations and maintenance expenditures increased 54% due to payments to Johnson Controls

for a performance contract.

16,777,2046,736,492699,801

1,777,6501,880,1182,195,8671,919,083580,484

7,277,3193,114,846627,119

2,666,00613,47599,874433,292200.502

46,999,132$ 1.374.241

15,989,8516,113,526494,944

1,635,3511,888,4251,529,3762,002,383572,656

4,727,9092,955,130489,646

2,356,83011,86220,210427,45578,073

41.293,627S 4.103.759

PAGES


AS OF JUNE 30. 2005

Capital Assets and Debt Administration

Capital Assets

At June 30, 2005, the Plaquemines Parish School Board had $47,870,714 invested in a broad range ofcapital assets, including land, buildings and improvements, equipment and vehicles.

This amount represents a net increase (including additions and deductions) of $2,306,328, 5% over theprior year. The major additions for the year were computers, projectors, buses and roof replacements.

Capital Assets(Net of Depreciation)

June 30, June 30,2005 2004

Land $ 1,928,874 $ 1,911,249Buildings and improvements 19,757,043 20,182,151Furniture and equipment 2,435,896 1,905,854Transportation equipment 1,653,414 770,079Construction in progress 488,445 171,862

Totals S 26,263,672 $24,941,195

Long Term Debt

The school board had $11,080,000 in bonded debt outstanding at June 30, 2005, compared to$9,110,000 at June 30, 2004, an increase of $1,970,000, or 22%. The net increase results from theissuance of $2,800,000 in Certificates of Indebtedness, Series 2004 and the payment of $910,348 ofprincipal on outstanding bonds.

The school board had $481,091 in loans outstanding at June 30, 2005, compared to $526,909 at June30, 2004, a decrease of $45,818 or 9%.

Variations Between Original and Final Budgets

• Actual receipts of local revenues exceeded budget due to conservative budgeting and slightincrease to both tax bases.

• Unknown settlement with Hunt Petroleum of $3,000,000+ impacted receipts and transfers outto other funds along with an increase to capital expenditures.


AS OF JUNE 30. 2005

Variations Between Original and Final Budgets (Continued)

• With a portion of unanticipated revenues from Hunt settlement, the School Board opted tospend $1,000,000+ on the capital purchase of new buses for transportation.

• The sale of certificates of indebtedness in the amount of $2,800,000 was added to fundrenovations and improvements through a performance contract with Johnson Controls.

Economic Factors and Next Year's Budget

The Plaquernines Parish School Board's elected officials and management considered the followingfactors and indicators when setting the budget for the year ended June 30, 2006:

• In the original budgeting for the 2006 fiscal year, it was anticipated to have a slight increase tolocal revenues due to increased property values and the sales tax base.

• With the event of Hurricane Katrina, drastic adjustments to the 2006 budget will be necessaryto reflect the decrease of personnel and school facilities.

• The unknown changes to revenues from local, state and federal sources due to the storm willsubstantially change the final 2006 budget.

Contacting the Plaquemines Parish School Board's Management

This financial report is designed to provide a general overview of the Plaquemines Parish SchoolBoard's finances for those with an interest in the school board's financial position and operations.Questions concerning any of the information provided in this report or requests for additional financialinformation should be addressed to Benja Fussell, Director of Finance and Management, PlaqueminesParish School Board, P. O. Box 69, Belle Chasse, LA 70037.

PLAQUEMINES PARISH SCHOOL BOARDSTATEMENT OF NET ASSETS

JUNE 30. 2005

ASSETS:Cash and cash equivalents $ 4,798,239Investments 7,066,209Prepaid insurance 286,016Accounts receivable 3,376,385Accrued interest receivable 2^> 1 °8

Inventory 46,703Restricted assets:Cash and cash equivalents 938,992Investments 1,121,053

Accrued interest receivable 2,663Capital assets (Net of accumulated depreciation) 26,263,672

TOTAL ASSETS 43?920?040

LIABILITIES:Accounts payable 917,287Cash overdraft 99'046

Deferred revenue *"* »4"Salaries/deductions payable 3,451,221Interest payable 150,086Long-term liabilities:Due within one year 1,050,370Due in more than one year —12,503,351

TOTAL LIABILITIES 18,332,818

NET ASSETS:Invested in capital assets, net of related debt 14,694,595Restricted for:Debt Service 2,266,964

Unrestricted 8?625?663

TOTAL NET ASSETS $ —25,587,222

See accompanying notes.

PLAQUEMINES PARISH SCHOOL BOARDSTATEMENT OF ACTIVITIES

FOR THE YEAR ENDED JUNE 30, 2005

FUNCTIONS/PROGRAMSGovernmental activities:

Instruction:Regular programsSpecial programsVocational educationAdult educationOther instructional programs

Support services:Pupil supportInstructional staff supportGeneral administrationSchool administrationBusiness servicesOperations and maintenanceStudent transportationCentral servicesFood service programCommunity service program

Capital outlayMiscellaneousInterest on long-term debt

Total Governmental Activities $

Program RevenuesOperating Capital

Charges for Grants and Grants andExpenses Services Contributions Contributions

$ 16,777,204 $ - $ 343,189 $ - $6,736,492 - 2,914,533

56,780 - 64,08544,242 - 43,267

598,779 - 221,554

1,777,650 - 412,9551,880,118 - 713,9572,195,867 - 113,8441,919,083

580,4847,277,319 - 18,5693, J 14,846 - 65,622

627,1192,666,006 425,41 1 1,428,483

13,47599,874

200,502 - 33,225433,292

$ 46,999,132 $ 425,411 $ 6,373,283 $

Taxes:Property taxes, levied for general purposesSales and use taxes, levied for general purposesState revenue sharing

Grants and contributions not restricted to specific purposes:Minimum Foundation Program

Interest and investment earningsMiscellaneousLoss on disposal of assets

Total general revenues

Excess of revenues over expenses

Net assets at beginning of year

Net assets at end of year $

Net (Expense)Revenue andChanges inNet Assets

(16,434,015)(3,821,959)

7,305(975)

(377,225)

(1,364,695)(1,166,161)(2,082,023)(1,919,083)

(580,484)(7,258,750)(3,049,224)

(627,119)(812,112)(13,475)(99,874)

(167,277)(433,292)

(40,200,438)

13,634,55912,340,253

107,629

11,682,968560,784

3,265,477(16,991)

41,574,679

1,374,241

24,212,981

25,587,222


PLAQUEMINES PARISH SCHOOL BOARDGOVERNMENTAL FUNDS

BALANCE SHEETJUNE 30. 2005

ASSETS:Cash (Note 13)Cash equivalents (Note 13)Investments (Note 13)Prepaid insuranceAccounts receivable (Note 4)Interfund receivables (Notes 1 and 8)Accrued interest receivableAdvances to Special Revenue Funds (Notes 1 and 8)Inventory (Note 1)

TOTAL ASSETS

LIABILITIES AND FUND BALANCES:LIABILITIES:

Accounts payable (Note 7)Cash overdraftSalaries/deductions payable (Note 7)Interfund payables (Notes 1 and 8)Advances from General Fund (Notes 1 and 8)Deferred revenue

Total liabilities

FUND BALANCES: (Note 1)Reserved - General Fund:

Encumbrances (Note 12)Tobacco Settlement (Note 12)Scholarships (Note 12)Protested Taxes (Note 12)Energy Performance (Note 12)

Reserved - Debt Service Funds:Debt Service (Note 12)

Reserved - Capital Projects Funds:Construction (Note 12)

Unreserved - designated - General Fund:Capital Improvements (Note 12)Insurance Deductibles (Note 12)

Unreserved - designated - Special Revenue Funds:Construction (Note 12)

Unreserved - undesignated - General FundUnreserved - undesignated - Special Revenue Funds

Total fund balances

TOTAL LIABILITIES AND FUND BALANCES

GeneralFund

$ 1,391,0271,506,9596,348,673

286,0162,168,0991,131,426

17,663d8) 135,700

-

S 12.985.563

$ 509,764-

3,451,221287,856

-161,457

4,410,298

98,549727,757

14,494419,031248,491

-

-

1,453,4994,906,337

>:

707,107ids

8,575,265

ES $ 12.985.563

OtherGovernmental

$ 2,779,01960,226

1,838,589-

1,208,286287,856

5,108.

46,703

$ 6.225.787

$ 407,52399,046

-1,131,426

135,700-

1,773,695

----

2,266,964

1,114,560

.-

250,000-

820,5684,452,092

$ 6.225.787

Total

$ 4,170,0461,567,1858,187,262

286,0163,376,3851,419,282

22,771135,70046,703

$ 19.211.350

917,28799,046

3,451,2211,419,282

135,700161,457

6,183,993

98,549727,757

14,494419,031248,491

2,266,964

1,114,560

1,453,4994,906,337

250,000707,107820,568

13,027,357

S 19.211.350


PLAQUEMINES PARISH SCHOOL BOARDRECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET

TO THE STATEMENT OF NET ASSETSJUNE 30. 2005

Total Fund Balances of Governmental Funds at June 30, 2005

Cost of capital assets at June 30, 2005Less: accumulated depreciation as of June 30, 2005:Buildings and improvementsEquipment, furniture and vehicles

$ 47,870,714

(15,651,516)(5,955,526)

$ 1 3,027,357

26,263,672

Long-term liabilities at June 30, 2005:Bonds payable (1 1,080,000)Loans payable (481,091)Capital leases payable (7,986)Compensated absences ( 1 ,984,644)Accrued interest payable (150,086)

Total Net Assets of Governmental Activities at June 30, 2005

(13,703,807)

$ 25,587,222



STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCESFOR THE YEAR ENDED JUNE 30, 2005

REVENUES: (Note!)Local Sources:

Ad valorem taxes (Note 3)1% collection by Sheriff on taxesother than school taxes

Sales taxesSpecial appropriation from ParishGovernment/General Fund

Tuition - summer school/driverInterest earningsRent lease - 16th Section and 01Food service incomeCommunity service incomeApartment rentsContributions and donationsOtherRevenue on behalf of LEA

Restricted Funds:State sourcesFederal sources - through StateFederal sources - commoditiesFederal sources - direct

Unrestricted Funds:State sourcesFederal sources - through stateFederal sources - directRevenue sharingTotal revenues

EXPENDITURES: (Note 1)Instruction:

Regular programsSpecial programsVocational educationAdult educationOther instructional programs

Support Service Programs:Pupil supportInstructional staff supportGeneral administrationSchool administration

GeneralFund

$ 13,634,559*o*>&

388,45310,725,769

;h511

16,7815 education 42,822

328,093her school lands 3,059, 1 1 5

-20,00079,81833,22537,202

9,639

606,460---

11,423,81651,91197,443

107,62940,662,735

16,924,9844,043,105

--

700,640

1,326,9301,110,0542,071,7871,917,326

OtherGovernmental

$_

1,226,031_

-129,180

-425,411

--

4,997101

-

27,8684,575,395

103,283872,701

259,152---

7,624,119

2,662,50564,08543,267

5,999

410,455714,395

1,900-

Total

$ 13,634,559

388,45311,951,800

16,78142,822

457,2733,059,115

425,41120,00079,81838,22237,3039,639

634,3284,575,395

103,283872,701

11,682,96851,91197,443

107,62948,286,854

16,924,9846,705,610

64,08543,267

706,639

1,737,3851,824,4492,073,6871,917,326


STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCESFOR THE YEAR ENDED JUNE 30. 2005

EXPENDITURES: (Note 1) (Continued)Support Service Programs: (Continued)Business servicesOperations and maintenanceStudent transportationCentral services

Food Service ProgramCommunity Service ProgramCapital outlay

Debt Service:Principal retirementInterest payment

Miscellaneous:Bank, legal fees and otherOther - insurance claims, scholarship

Total expenditures

EXCESS (DEFICIENCY) OF REVENUESOVER EXPENDITURES

OTHER FINANCING SOURCES(USES): (Notel)Transfers of indirect costOperating transfers inCertificate of indebtness issuedGain (loss) on investmentsOperating transfers out

Total other financing sources (uses)

EXCESS OF REVENUES ANDOTHER FINANCING SOURCESOVER EXPENDITURES AND OTHERFINANCING USES

Fund balances - beginning of year

GeneralFund

$ 570,2167,479,8073,921,621

692,274

592,54213,178

52,427328

198,16041,615,379

(952,644)

111,944

2,800,00072,263

(140,179)2,844,028

1,891,384

6,683,881

OtherGovernmental

$19,0066,912

2,109,664

330,076

830,000415,719

2,342

7,616,325

7,794

(111,944)140,179

31,248

59,483

67,277

4,384,815

Total

$ 570,2167,498,8133,928,533

692,274

2,702,20613,178

330,076

882,427416,047

2,342198,160

49,231,704

(944,850)

140,1792,800,000

103,511(140,179)

2,903,511

1,958,661

11,068,696

FUND BALANCES - END OF YEAR $ 8,575.265 $ 4.452,092 $ 13.027.357


PLAQUEMINES PARISH SCHOOL BOARDRECONCILIATION OF THE GOVERNMENTAL FUNDS

STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES INFUND BALANCES TO THE STATEMENT OF ACTIVITIES

FOR THE YEAR ENDED JUNE 30. 2005

Total net change in fund balances - governmental funds $ 1,958,661

Amounts reported for governmental activities in the Statementof Activities are different because:

Capital outlays are reported in governmental funds as expenditures. However,in the Statement of Activities, the cost of those assets is allocated overtheir estimated useful lives as depreciation expense. This is the amount bywhich capital outlays exceed depreciation in the period:

Capital outlays $ 2,716,285Depreciation expense (1,376,817) 1,339,468

Add accumulated depreciation on capital assets retired during the year 393,429Less cost basis of capital assets retired during the year (410,420) (16,991)

Repayment of bond and loan principal and capital leases is an expenditure inthe governmental funds, but the repayment reduces long-term liabilities in 882,427the Statement of Net Assets.

Proceeds from the sale of bonds is revenue in the governmental funds, butthe proceeds increase long-term liabilities in the Statement of Net Assets. (2,800,000)

In the Statement of Activities, certain operating expenses - compensatedabsences (vacation and sick leave) - are measured by the amounts earnedduring the year. In the governmental funds, however, expenditures for theseitems are measured by the amount of financial resources used (essentially,the amounts actually paid). This year, vacation and sick time usedexceeded the amounts earned by $27,921. 27,921

Interest on long-term debt in the Statement of Activities differs from theamount reported in the governmental funds because interest is recognizedas an expenditure in the funds when it is due, and thus requires the use ofcurrent financial resources. In the Statement of Activities, however, interestexpense is recognized as the interest accrues, regardless of when it is due. (17,245)

Change in net assets of governmental activities $ 1,374.241

See acccompanying notes.

PLAQUEMINES PARISH SCHOOL BOARDSTATEMENT OF FIDUCIARY NET ASSETS

JUNE 30. 2005

ASSETS

CASH $ 581,138

TOTAL ASSETS $ 581,138

LIABILITIES

DUE TO OTHERS - SCHOOL ACTIVITY FUNDS $ 581,138

TOTAL LIABILITIES $ 581,138


PLAQUEMINES PARISH SCHOOL BOARDNOTES TO THE FINANCIAL STATEMENTS

JUNE 30.2005

INTRODUCTION

The Plaquemines Parish School Board was created by Louisiana Revised Statute (LSA-R.S.) 17:51to provide public education for the children within Plaquemines Parish. The school board is authorizedby LSA-R.S. 17:81 to establish policies and regulations for its own government consistent with the lawsof the State of Louisiana and the regulations of the Louisiana Board of Elementary and SecondaryEducation. The school board is comprised of nine members who are elected from nine districts for termsof four years.

The school board operates nine schools within the parish with a total enrollment of 4,802 pupils. Inconjunction with the regular educational programs, some of these schools offer head start, specialeducation and/or adult education programs. In addition, the school board provides transportation andschool food services for the students.

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

REPORTING ENTITY:

Governmental Accounting Standards Board (GASB) Statement No. 14, The Reporting Entity,established criteria for determining the governmental reporting entity and component units thatshould be included within the reporting entity. Under provisions of this Statement, the school boardis considered a primary government, since it is a special purpose government that has a separatelyelected governing body, is legally separate and is fiscally independent of other state or localgovernments. As used in GASB Statement No. 14, fiscally independent means that the schoolboard may, without the approval or consent of another governmental entity, determine or modify itsown budget, levy its own taxes or set rates or charges, and issue bonded debt. The school boardalso has no component units, defined by GASB Statement No. 14 as other legally separateorganizations for which the elected school board members are financially accountable. There are noother primary governments with which the school board has a significant relationship.

BASIS OF PRESENTATION:

The accompanying financial statements of the Plaquemines Parish School Board have beenprepared in conformity with generally accepted accounting principles (GAAP) of the United Statesof America as applied to governmental units. The Governmental Accounting Standards Board(GASB) is the accepted standard-setting body for establishing governmental accounting andfinancial reporting principles.

This financial report has been prepared in conformity with GASB Statement No. 34, BasicFinancial Statements - and Management's Discussion and Analysis - for State and LocalGovernments.


JUNE 30, 2005

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: (Continued)

FUNDS:

The school board uses funds to maintain its financial records during the year. Fundaccounting is designed to demonstrate legal compliance and to aid in financial management bysegregating transactions relating to certain school board functions or activities. A fund is a separatefiscal and accounting entity with a self-balancing set of accounts.

Funds of the school board are classified into two categories: governmental and fiduciary, asfollows:

GOVERNMENTAL FUNDS:

Governmental funds account for all or most of the school board's general activities. Thesefunds focus on the sources, uses and balances of current financial resources. Expendable assets areassigned to the various governmental funds according to the purposes for which they may be used.Current liabilities are assigned to the fund from which they will be paid. The difference between agovernmental fund's assets and liabilities is reported as fund balance. In general, fund balancerepresents the accumulated expendable resources which may be used to finance future periodprograms or operations of the school board. The following are the school board's primarygovernmental funds:

General Fund:

The General Fund is the primary operating fund of the school board and it accounts for allfinancial resources, except those required to be accounted for in other funds. The General Fund isavailable for any purpose provided it is expended or transferred in accordance with state and federallaws and in accordance with school board policy.

Special Revenue Funds:

Special revenue funds are used to account for the proceeds of specific revenue sources thatare legally restricted to expenditures for specified purposes, or designated by the school board to beaccounted for separately.

Debt Service Funds:

Debt service funds are established to meet requirements of bond ordinances and to accountfor transactions relating to resources retained and used for the payment of principal and interest ongeneral long-term debt.


JUNE 30, 2005


GOVERNMENTAL FUNDS: (Continued)

Capital Project Funds:

Capital project funds account for financial resources received and used for the acquisition,construction, or improvement of major capital facilities not reported in the other governmentalfunds.

FIDUCIARY FUND:

Fiduciary fund reporting focuses on net assets and changes in net assets. The only fundaccounted for in this category by the school board is the school activities agency fund. The agencyfund accounts for assets held by the school board as an agent for schools and school organizations.These funds are custodial in nature (assets equal liabilities) and do not involve measurement ofresults of operations. Consequently, the agency fund has no measurement focus but does use themodified accrual basis of accounting.

MEASUREMENT FOCUS/BASIS OF ACCOUNTING:

Government-Wide Financial Statements:

The Statement of Net Assets and the Statement of Activities display information about thereporting government as a whole. These statements include all the financial activities of the schoolboard, except for the fiduciary fund. Fiduciary funds are reported only in the Statement ofFiduciary Net Assets at the fund financial statement level.

The Government-Wide Financial Statements were prepared using the economic resourcesmeasurement focus and the accrual basis of accounting. Revenues, expenses, gains, losses, assetsand liabilities resulting from exchange or exchange-like transactions are recognized when theexchange occurs (regardless of when cash is received or disbursed). Revenues, expenses, gains,losses, assets and liabilities resulting from nonexchange transactions are recognized in accordancewith the requirements of GASB Statement No. 33, Accounting and Financial Reporting forNonexchange Transactions. The school board first utilizes restricted resources to finance qualifyingactivities.

Program Revenues:

Program revenues included in the Statement of Activities are derived directly fromparties outside of the school board's taxpayers or citizenry, as a whole; program revenuesreduce the cost of the function to be financed from the school board's general revenues.


JUNE 30. 2005


MEASUREMENT FOCUS/BASIS OF ACCOUNTING: (Continued)

Government-Wide Financial Statements: (Continued)

Allocation of Indirect Expenses:

The school board reports all direct expenses by function in the Statement of Activities.Direct expenses are those that are clearly identifiable by function. Indirect expenses of otherfunctions are not allocated to those functions but are reported separately in the Statement ofActivities. Interest on long-term debt is considered an indirect expense and is reportedseparately on the Statement of Activities.

Fund Financial Statements:

Governmental funds are accounted for using a current financial resources measurement focus.With this measurement focus, only current assets and current liabilities are generally included on thebalance sheet. The Statement of Revenues, Expenditures, and Changes in Fund Balances reports onthe sources (i.e., revenues and other financing sources) and uses (i.e., expenditures and otherfinancing uses) of current financial resources. This approach differs from the manner in which thegovernmental activities of the Government-Wide Financial Statements are prepared. GovernmentalFund Financial Statements therefore include a reconciliation with brief explanations to betteridentify the relationship between the Government-Wide Statements and the statements forgovernmental funds.

Fund Financial Statements report detailed information about the school board. The focus ofgovernmental Fund Financial Statements is on major funds rather than reporting funds by type.Each major fund is presented in a separate column.

Governmental funds and the agency fund use the modified accrual basis of accounting.Under the modified accrual basis of accounting, revenues are recognized when susceptible toaccrual (i.e., when they become both measurable and available). Measurable means the amount ofthe transaction can be determined and available means collectible within the current period or soonenough thereafter to pay liabilities of the current period. The school board considers all revenuesavailable if they are collected within 60 days after the fiscal year end. Expenditures are recordedwhen the related fund liability is incurred, except for interest and principal payments on generallong-term debt which is recognized when due, and certain compensated absences and claims andjudgments which are recognized when the obligations are expected to be liquidated with expendableavailable financial resources. The governmental funds use the following practices in recordingrevenues and expenditures:

Revenues:

Federal and state entitlements are recorded as unrestricted grants-in-aid when available andmeasurable. Expenditure-driven federal and state grants are recorded as restricted grants-in-aid when the reimbursable expenditures have been incurred.


JUNE 30. 2005


MEASUREMENT FOCUS/BASIS OF ACCOUNTING:

Fund Financial Statements: (Continued)

Revenues: (Continued)

Ad valorem taxes and the related state revenue sharing are recorded in the year the taxes aredue and payable. Ad valorem taxes are assessed on a calendar year basis, become due onNovember 15 of each year, and become delinquent on December 31. The taxes are generallycollected in December, January and February of the fiscal year.

Sales and use taxes are recorded as revenue in the month collected by the merchants.

Income on deposits, cash equivalents and investments is recorded when measurable andavailable.

Revenues from rentals, leases and royalties are recorded when earned.

Substantially all other revenues are recorded when received.

Expenditures:

Salaries are recorded as expenditures when earned. Nine-month employees' salaries areearned over a nine-month period but are paid over a twelve-month period.

Purchases of various operating supplies are recorded as expenditures in the accounting periodpurchased.

Compensated absences are recognized as expenditures when leave is actually taken or whenemployees (or heirs) are paid for accrued leave upon retirement or death.

Commitments under construction contracts are recognized as expenditures when earned bythe contractors.

Principal and interest on general long-term debt are recognized when due.

Substantially all other expenditures are generally recognized when the related fund liability isincurred.


JUNE 30.2005


MEASUREMENT FOCUS/BASIS OF ACCOUNTING: (Continued)

Fund Financial Statements: (Continued)

Other Financing Sources (Uses):

Transfers between funds that are not expected to be repaid (or any other types, such as capitallease transactions, sale of capital assets, debt extinguishments, long-term debt proceeds) areaccounted for as other financing sources (uses). These other financing sources (uses) arerecognized at the time the underlying events occur.

BUDGETS:

The following summarizes the budget activities of the school board for the year ended June30,2005:

2004-2005 Budget YearCompleted & Available for Public Inspection June 7, 2004Public Notices June 11,18 and 25,2004Public Hearing July 12,2004Board Adoption August 2, 2004

The school board adopted annual budgets for the General Fund and all Special RevenueFunds. Budgetary comparisons for the General Fund and the major Special Revenue Funds areincluded as required supplementary information.

The budget is prepared on the modified accrual basis of accounting. AH appropriations lapseat year end. Encumbrances are recognized within the accounting records for budgetary controlpurposes. Formal budget integration (within the accounting records) is employed as a managementcontrol device. The Superintendent of Schools is authorized to transfer amounts between line itemswithin any fund. However, when actual revenues within a fund fail to meet budgeted revenues by5% or more and/or actual expenditures within a fund exceed budgeted expenditures by 5% or more,a budget revision is adopted by the school board in an open meeting. Budget amounts included inrequired supplementary information include the original adopted budget and the final revisedbudget.

INTERFUND RECEIVABLES/PAYABLES:

During the course of operations, numerous transactions occur between individual funds forgoods provided or services rendered. These receivables and payables and short-term interfimd loansare classified as interfund receivables/payables on the balance sheet in the Fund FinancialStatements.


JUNE 30.2005


ADVANCES TO OTHER FUNDS:

Non-current portions of long-term interfund loan receivables and payables are reported asadvances.

INVENTORIES:

Inventory of the Food Service Fund consists of commodities granted by the United StatesDepartment of Agriculture through the Louisiana Department of Agriculture and Forestry. Thecommodities are recorded as revenues when received and as expenses when consumed.Commodities are assigned values based on information provided by the United States Departmentof Agriculture on a first-in, first-out method.

Food purchased by the school board is expensed at the time of purchase.

CAPITAL ASSETS:

Capital assets are valued at historical cost, estimated cost, or fair value if donated. The schoolboard maintains a threshold level of $1,000 or more for capitalizing assets.

Capital assets are recorded in the Government-Wide Financial Statements but are not reportedin the Fund Financial Statements, Since surplus assets are sold for an immaterial amount whendeclared as no longer needed for public school purposes by the school board, no salvage value istaken into consideration for depreciation purposes. All capital assets, other than land, aredepreciated using the straight-line method over the following useful lives:

EstimatedDescription Lives

Buildings and building improvements 25 - 40 yearsFurniture and fixtures 5 yearsVehicles 5-10 yearsEquipment 5-20 years

COMPENSATED ABSENCES:

The school board has two types of compensated absences which accumulate or vest asfollows:


JUNE 30, 2005


COMPENSATED ABSENCES: (Continued)

Vacation and Sick Leave:

Under the terms of state law and school board policy, teachers and other nine-monthemployees accrue 10 days of sick leave each school year, which can be accumulated withoutlimitation. Upon retirement or death prior to retirement, unused accumulated sick leave of up to 25days is paid to the employee or the employee's beneficiary at the employee's current rate of pay.Upon retirement, sick leave is used in the retirement benefit computation as earned service. Underthe Louisiana Teachers' Retirement System, the total unused accumulated sick leave, including the25 days paid, is used in the retirement benefit computation as earned service for leave earned priorto July 1,1988. For sick leave earned after July 1, 1988, under the Louisiana Teachers' RetirementSystem, all unpaid sick leave, which excludes the 25 days paid, is used in the retirement benefitcomputation as earned service. Under reduction in force, a laid-off employee may choose to be paidfor his accumulated sick leave.

All 12-month employees accrue from 5 to 20 days vacation leave each year depending onlength of service with the school board. Vacation leave can be accumulated up to 50 days. Upontermination, retirement, or death prior to retirement, unused accumulated vacation is paid at theemployee's current rate of pay. In addition, these employees accrue from 10 to 18 days of sick leaveeach year depending on length of service with the school board. Unused accumulated sick leave for12-month employees is paid in the manner described above for teachers and nine-month employees.

Sabbatical Leave:

Any employee with a teaching certificate is entitled, subject to approval by the school board,to one semester of sabbatical leave after three years of continuous service, or two semesters ofsabbatical leave after six years of continuous service. Leave may be granted for medical leave orfor professional and cultural improvement.

The cost of leave privileges are recorded as an expenditure of the period in which paid in theFund Financial Statements. The entire compensated absences liability is reported in theGovernment-Wide Financial Statements.

RESTRICTED NET ASSETS:

For the Government-Wide Statement of Net Assets, net assets are reported as restricted whenconstraints placed on net asset use are either:

1. externally imposed by creditors (such as debt covenants), grantors, contributors, or lawsor regulations of other governments; or

2. imposed by law through constitutional provisions or enabling legislation.


JUNE 30, 2005


FUND EQUITY:

In the Fund Financial Statements, governmental funds report reservations of fund balance foramounts that are not available for appropriation or are legally restricted by outside parties for use fora specific purpose. Designations of fund balance represent tentative management plans that aresubject to change.

INTERFUND TRANSACTIONS:

Transactions that constitute reimbursements to a fund for expenditures initially made from itthat are properly applicable to another fund are recorded as expenditures in the reimbursing fundand as reductions of expenditures in the fund that is reimbursed. Nonrecurring or nonroutingpermanent transfers of equity are reported as residual equity transfers. All other interfundtransactions are reported as operating transfers.

SALES AND USE TAXES:

The school board levies one percent sales and use tax with receipts deposited in the GeneralFund. The school board levies an additional one percent sales and use tax with receipts deposited tothe Sales Tax Sinking Fund. The proceeds of this tax are dedicated and used for any lawful schoolpurpose, including payments of salaries and fringe benefits, building operations and maintenance,and instructional programs, with any excess transferred to the General Fund. The tax is collected bythe Sales Tax Department of the Plaquemines Parish Government.

FUND DESCRIPTIONS - MAJOR FUND:

Following is the description of the major fund reported in the Fund Financial Statements forthe year ended June 30, 2005:

General Fund:

The General Fund is the primary operating fund of the school board and it accounts for allfinancial resources, except those required to be accounted for in other funds. The General Fund isavailable for any purpose provided it is expended or transferred in accordance with state and federallaws and in accordance with school board policy.

2. FUND DEFICITS:

There are no deficits in any individual funds at June 30, 2005.


JUNE 30, 2005

3. LEVIED TAXES:

Property taxes are levied each November 1st on assessed value listed as of the prior January1st for all real property, merchandise and movable property located in the parish. Taxes areassessed on a calendar year basis, become due on November 15 of each year and become delinquenton December 31. Assessed values are established by the Plaquemines Parish Assessor's Office andthe State Tax Commission of actual value as specified by Louisiana Law. Property taxes arerecorded as revenue by the school board in the year the taxes are received. A portion of exempttaxes due to homestead exemptions relating to constitutional special school taxes are reimbursed tothe school board through state revenue sharing.

As required by the State of Louisiana Statute, prescribed deductions are made from the schoolboard's property tax receipts for contributions to cover costs of various pension funds. For the yearended June 30, 2005, $424,848 has been deducted from property tax receipts for amounts due tovarious pension funds.

The following is a summary of parish wide authorized and levied ad valorem taxes for thefiscal year ended June 30, 2005:

Authorized LeviedMillage Millage

Regular School TaxEmployee Health BenefitsSalaries #1Maintenance and OperationsSalaries #2TechnologyCapital Improvements and Maintenance

5.701.612.404.787.08

.94

.94

6.031,702.404.787.501.001.00

The differences between authorized and levied millages are the result of the reassessment oftaxable property required by Article 7, Section 23 of the Louisiana Constitution of 1974.

4. ACCOUNTS RECEIVABLE:

The accounts receivable at June 30, 2005 are as follows:

GeneralFund

$ 1,886,384TAXES:Sales

GRANTS:State 276,791Federal - received through the State

OTHER 4,924

NonmajorGovernmental

Funds$ 204,256

12,353991,677

Total$ 2,090,640

289,144991,677

4.924

TOTALS $ 3.376.385


JUNE 30. 2005

5. EMPLOYEE RETIREMENT SYSTEMS:

Substantially all employees of the school board are members of two statewide retirementsystems, both of which are cost-sharing multiple-employer public employee retirement systems(PERS). In general, professional employees (such as teachers and principals) and lunchroomworkers are members of the Louisiana Teachers' Retirement System (TRS); and other employees,such as custodial personnel and bus drivers, are members of the Louisiana School Employees'Retirement System (LSERS). Generally, all full-time employees are eligible to participate in thesystems, with employee benefits vesting after 10 years of service.

Under LSERS, employees are eligible to retire after attaining age 60 and 10 years ofaccredited service, age 55 and 25 years of accredited service, or any age with 30 years of accreditedservice. The retirement benefit will be paid monthly based on 2.5% of average final compensationtimes the years of creditable service (including creditable unused sick and annual leave), plus anadditional .5% of average final compensation times the years of creditable service in excess of 20years, plus two dollars per month for each year of creditable service supplemental benefit, not toexceed average final compensation. The plan also includes disability retirement benefits.

The formula for annual maximum retirement benefits under TRS is 2 or 2.5% (Regular Plan)or 1 or 3% (Plan A) of final average salary for each year of credited service. Final average salary isbased upon the member's highest successive thirty-six months of salary. Benefits are paid monthlyfor life.

Benefits of the systems are funded by employee and employer contributions. Thecontribution rates (as a percentage of covered salaries) are established by state law as follows:

Employee Employer

Louisiana School Employees' Retirement System 7.50% 14.8%Louisiana Teachers' Retirement System - Regular 8.0% 15.5%Louisiana Teachers' Retirement System - Plan A 9.1% 15.5%

The school board's employer contribution for the TRS, as provided by state law, is funded bythe State of Louisiana through annual appropriations, by deductions from local ad valorem taxes,and by remittances from the school board. For the year ended June 30, 2005, $388,453 wasremitted to the TRS by the Plaquemines Parish Sheriff for the school board from ad valorem tax andrevenue sharing deductions. For the LSERS, the school board's employer contribution was fundedby the State of Louisiana through annual appropriations. Benefits granted by the retirement systemare guaranteed by the State of Louisiana under provisions of the Louisiana Constitution of 1974.


JUNE 30. 2005

5. EMPLOYEE RETIREMENT SYSTEMS: (Continued)

The school board's required contributions to the system and the percentage contributed are asfollows:

Required PercentContribution Contributed

Louisiana School Employees' Retirement System:

Year EndedJune 30,2005 $422,485 96.51%June 30,2004 318,532 99.35June 30,2003 328,149 100.00

Louisiana Teachers' Retirement System:

Regular:Year EndedJune 30,2005 $3,188,455 100.27%June 30,2004 2,701,713 100.32June 30,2003 2,522,814 101.45

Louisiana Teachers' Retirement System:

Plan A: Year EndedJune 30,2005 $26,508 100.00%June 30,2004 22,440 100.00June 30,2003 22,391 100.00

Both systems issue publicly available financial reports that include financial statements andrequired supplementary information for each system. The LSERS report may be obtained bywriting to the system at P.O. Box 44516, Baton Rouge, Louisiana 70804-4516. The TRS reportmay be obtained by writing to the system at P.O. Box 94123, Baton Rouge, Louisiana 70804-9123.

6. OTHER POST-EMPLOYMENT BENEFITS:

The Plaquemines Parish School Board provides certain continuing health care and lifeinsurance benefits for its retired employees as required by state law. Substantially all of the schoolboard's employees become eligible for these benefits if they reach normal retirement age whileworking for the school board. These benefits for retirees and similar benefits for active employeesare provided through an insurance company, whose monthly premiums are paid jointly by theemployee and by the school board. The school board recognizes the cost of providing these benefits(the board's portion of premiums) as an expenditure when the monthly premiums are paid. For theyear ended June 30, 2005, the school board's portion of the premiums was $528,211 for 170retirees.


JUNE 30. 2005

PAGE 30

7. ACCOUNTS. SALARIES/DEDUCTIONS AND OTHER PAYABLES:

The payables at June 30,2005 are as follows:

Salaries/deductionsAccounts payable

TOTAL

GeneralFund

$3,451,221509,764

$^>M>

NonmajorGovernmental

Funds

$407.523

$ 407.523

Total

$3,451,221917,287

$4.368.508

8. INTERFUND PAYABLES/RECEIVABLES AND ADVANCES:

Individual balances due from/to other funds at June 30, 2005 are as follows:

Due To Due From

General FundSpecial Revenue Fund:Adult EducationDrug-FreeEnhancing Education Through TechnologyFood ServiceMigrant EducationSpecial EducationTeaching, Learning Technology CenterTechnical PreparationTitle ITitle IITitle VVocational Education

$ 1,131,426

218,647

69,209

$ 287,856

41,57331,881

654182,58226,928

291,6924,9853,509

446,698100,813

6105

TOTAL


JUNE 30. 2005

8. INTERFUND PAYABLES/RECEIVABLES AND ADVANCES: (Continued)

Individual balances of advances to/from other funds at June 30, 2005 are as follows:

Advances To Advances From

General Fund $ - $ 135,700Special Revenue Fund:Adult Education 10,800Drug-Free 7,000Migrant Education 5,000School to Work 5,000Special Education 10,000Title I 15,000Title II 5,000Title V 12,900Vocational Education 65.000 -

TOTAL

9. LEASES:

Operating:

The school board has recorded operating leases for office and computer equipment asexpenses in the accompanying financial statements. For the year ended June 30, 2005, principal inthe amount of $192,152 was paid on the leases. For the year ended June 30, 2005, interest in theamount of $35,186 was paid on the leases. The school board's policy is to expense lease paymentsin the year paid. The following is a schedule of future minimum lease payments under operatinglease agreements as of June 30, 2005:

Year EndedJune 30 Amount

2006 $ 78,4542007 34,0562008 23,1682009 2,070

Total minimum lease payments


NOTES TO THE FINANCIAL STATEMENTSJUNE 30. 2005

9. LEASES: (Continued)

The school board has recorded capital leases for office equipment as assets and obligationsin the accompanying Government-Wide Financial Statements. For the year ended June 30, 2005,principal in the amount of $6,609 was paid on capital leases. For the year ended June 30, 2005,interest in the amount of $328 was paid on capital leases. The following is a schedule of futureminimum lease payments under capital lease agreements as of June 30, 2005:

Amount

$ 6,9371,170

_Q21)

Year EndedJune 30

20062007Less: Amount representing interest

Present value of net minimum lease payment

The gross amount of assets recorded as capital assets acquired under capital leases is$32,200 at June 30, 2005. Accumulated depreciation on these assets was $25,760 at June 30,2005.

10. CHANGES IN AGENCY FUND DEPOSITS DUE OTHERS:

A summary of changes in agency fund deposits due others follows:

BalanceJuly 1.2004 Additions Reductions

BalanceJune 30.2005

School ActivityAccounts

11. GENERAL LONG-TERM OBLIGATIONS:

The following is a summary of the long-term obligation transactions for the year ended June30,2005:

AmountsBalance Balance Due Within

July 1.2004 Additions Payments June 30.2005 One Year

$ 9,110,000 $2,800,00014,595

Bonded debtCapital leasesLoan payableCompensated absencespayable

Total

526,909

2.012.565

SI 1.664.069

$ 830,0006,609

45,818

$11,080,0007,986

481,091

$ 931,0006,816

45,818

27,921 1.984.644

£13.553.721

66.736


JUNE 30.2005

11. GENERAL LONG-TERM OBLIGATIONS: (Continued)

Capital Leases:

Capital leases represent obligations that are to be financed with future General Fundresources.

Compensated Absences:

Compensated absences payable will be liquidated by the fund where the salary costsoriginated. The deletions for the year ended June 30, 2005 represent the net changes during theyear. The records are maintained in such a manner that the additions and deletions could not readilybe determined; therefore, the net change is reflected as deletions in the year ended June 30,2005.

Loan Payable:

The school board has an outstanding loan with the Louisiana Local GovernmentEnvironmental Facilities and Community Development Authority for the purchase of computerequipment and a lighting project. The loan's original principal balance was $630,000. The loanbears no interest and is payable in quarterly payments of $11,455 ending November 1,2015. Futureloan payments are as follows:

Year EndedJune 30 Amount

2006 $ 45,8182007 45,8182008 45,8182009 45,8182010 45,818Thereafter 252.001

S 481.091


JUNE 30. 2005

PAGE 34

11. GENERAL LONG-TERM OBLIGATIONS: (Continued)

Bonds and Certificates:

All principal and interest requirements are funded in accordance with Louisiana law by theannual ad valorem tax levy on taxable property within the parish. At June 30, 2005, the schoolboard had accumulated $2,266,964 in the debt service funds for future debt requirements.

The following is a schedule of the outstanding bonds of the school board as of June 30, 2005:

Date ofIssue

OriginalIssue

InterestRate Maturities

Sales Tax SchoolBonds, Series1998

Sales Tax SchoolBonds, Series1998B

Sales Tax SchoolBonds, Series 2003

Certificates ofIndebtedness,Series 2004

03/01/98 $ 8,115,000 3,65 - 4.65% 03/01/1999-2012

04/01/98

06/01/03

1,800,000

1,300,000

4.45-7.00%

3.00-7.00%

03/01/1999-2018

03/01/2004-2018

12/22/04 2,800,000 0.00 - 3.77% 09/01/2005 - 2015

The annual requirements to amortize principal and interest on bonds outstanding at June 30,2005 are as follows:

YearEndingJune 30

200620072008200920102011-2018

PrincipalPayments

$ 931,0001,129,0001,176,0001,232,0001,286,0005.326,000

InterestPayments

$ 449,203406,372359,772311,735261,312645,428

Total

$ 1,380,2031,535,3721,535,7721,543,7351,547,3125,971.428

$11.080.000


JUNE 3(X2005

12. RESERVED AND DESIGNATED FUND BALANCES:

Following are the details of reserved and designated fund balances which are reported in theFund Financial Statements:

Designated for Capital Improvements:

The School Board passed a resolution on April 8, 1998 to establish a Capital ImprovementFund for building/facility construction and improvements. Deposits are made of revenues from16th section lands, any unexpected excess settlement funds as designated by the board, and endingGeneral Fund Balance in excess of 5% of the following year's proposed budget. The balance of thisaccount at June 30, 2005 is $1,453,499.

Designated for Insurance Deductibles:

The settlement of back sales and use taxes, certain refunds of insurance premiums, and aportion of the special appropriation from the parish government have been designated to fund thedeductible amount on insurance policies. At June 30, 2005, the balance of this account is$4,906,337.

Designated for Construction:

Monies in the Special Revenue Funds which are designated for future construction projectsequaled $250,000 at June 30,2005.

Reserved for Debt Service:

Monies are reserved in the Debt Service Funds to pay the principal and interest maturing infuture years on bonded debts and certificates of indebtedness. At June 30, 2005, the balance of thereserve is $2,266,964.

Reserved for Encumbrances:

The amount of $98,549 has been reserved for outstanding requisitions and purchase ordersas of June 30, 2005.

Reserved for Tobacco Settlement:

Monies received from the Tobacco Settlement are reserved in the General Fund fortechnological advancement. At June 30, 2005, the balance of the reserve is $727,757.


JUNE 30. 2005

12. RESERVED AND DESIGNATED FUND BALANCES: (Continued

Reserved for Scholarship:

Monies donated by various organizations are reserved for scholarships to qualified studentsof the Plaquemines Parish Schools. At June 30,2005 the balance of the reserve is $14,494,

Reserved for Protested Taxes:

Monies are reserved for property taxes paid in protest. At June 30, 2005, the balance in thereserve is $419,031.

Reserved for Energy Performance:

Monies are reserved in the General Fund for the consolidated energy performance contract,At June 30, 2005, the balance of the reserve is $248,491.

Reserved for Construction:

Monies in the Capital Projects Fund are reserved for current projects at June 30, 2005 in theamount of $1,114,560.

13. CASH. CASH EQUIVALENTS AND INVESTMENTS:

Following are the components of the school board's cash, cash equivalents and investmentsat June 30, 2005:

Governmental FiduciaryFunds Funds

Cash $ 4,170,046 $581,138Cash equivalents 1,567,185Investments 8,187,262 ~

TOTAL $13,924,493


JUNE 30.2005

13. CASH, CASH EQUIVALENTS AND INVESTMENTS: (Continued)

Cash:

The school board is authorized under state law to deposit funds within a bank organizedunder the laws of the State of Louisiana, the laws of any other state in the United States, or lawsof the United States. Under state laws, these deposits must be secured by federal depositinsurance or the pledge of securities owned by the bank. State Law R.S. 39:1225 provides thatthe amount of the security shall at all times be equal to 100% of the amount on deposit to thecredit of each depositing authority, except that portion of the deposits insured by anygovernmental agency insuring bank deposits, which is organized under the laws of the UnitedStates.

Custodial credit risk is the risk that, in the event of a bank failure, the school board'sdeposits might not be recovered. The school board's deposit policy for custodial credit riskconforms to state law, as described above. At June 30, 2005, the school board's demand depositbank balances of $6,631,327 were entirely secured by federal deposit insurance and pledgedsecurities held at the Federal Reserve Bank in the name of the school board.

Cash Equivalents:

The school board considers all highly-liquid debt instruments with a maturity of one year orless to be cash equivalents. The school board's cash equivalents include money market demanddeposit accounts held with financial institutions, certificates of deposit, government moneymarket funds and funds invested through the State Treasury. All cash equivalents are stated atcost.

AmountMoney market demand accounts were entirely coveredby federal depository insurance and pledged securitiesheld at the Federal Reserve Bank in the name of theschool board. As of June 30, 2005 bank balances ofmoney market demand accounts were $258,631. $ 261,528

Certificates of deposit were entirely covered byfederal depository insurance and pledged securitiesheld at the Federal Reserve Bank in the name of theschool board. 100,000


JUNE 30.20Q5

13. CASH, CASH EQUIVALENTS AND INVESTMENTS: (Continued)

Cash Equivalents: (Continued)

Cash equivalents of government money market fundsconsist of short-term government securities. Thefunds are held by a sub-custodian, managed and heldin the name of the school board's broker-dealer. 477,900

Cash equivalents of pooled funds invested undercontract with the State of Louisiana State Treasury.The funds are held in the name of the school board. 727.757

TOTAL CASH EQUIVALENTS S 1.567.185

Investments:

State Law allows the investment in direct United States Treasury obligations; bonds,debentures, notes or other evidence of indebtedness issued or guaranteed by federal agencies orU.S. Government instrumentalities, which are federally sponsored; direct security repurchaseagreements of any federal book entry only securities guaranteed by the U.S. government; timecertificates of deposit of any bank domiciled or having a branch office in the State of Louisiana;savings account or shares of certain savings and loan associations and savings banks; certainaccounts of federally or state chartered credit unions; certain mutual or trust fund institutions;certain guaranteed investment contracts; and investment grade commercial paper of domesticUnited States corporations.

Custodial credit risk is defined as the risk that, in the event of failure of the counterparty, theschool board will not be able to recover the value of its investment. The school board'sinvestment policy conforms to state law, as described above, which has no provision for custodialcredit risk. The school board's investments are held by the Federal Reserve Bank in the name ofthe school board's broker-dealer. The investments are managed by the school board's broker-dealer, but are restricted by the bond indenture.

Concentration of credit risk relates to the amount of investments in any one entity. At June30, 2005, the school board had no investments in any one entity which exceeded 5% of totalinvestments, except obligations of federally sponsored entities, which are implicitly guaranteedby the federal government, and obligations of Federal agencies.

Interest rate risk is defined as the risk that changes in interest rates will adversely affect thefair value of an investment. The school board's investment policy conforms to state law, whichdoes not include a policy that limits investment maturities as a means of managing its exposure tofair value losses arising from increasing interest rates.


JUNE 30,2005

PAGE 39

13. CASH. CASH EQUIVALENTS AND INVESTMENTS: (Continued)

Investments: (Continued)

As of June 30, 2005, the school board had the following investment in debt securities:

Investment Type

Federal AgenciesObligations of Federally

Sponsored Entities

Fair Value

$ 1,447,415

6.739.847$ 8.187262

LessThanl

$

496.750

1-5

$

1.246.348S 1.246.348

Greater6-10 Than 10

$ - $ 1,447,415

4.996,749$ - $6.444.164

Credit risk is defined as the risk that an insurer or other counterparty to an investment willnot fulfill its obligations. The school board invested only in obligations of federal agencies orfederally sponsored entities in the amount of $8,187,262 which are not rated. The type ofinvestment allowed by state law ensures that the school board is not exposed to credit risk.

14. CAPITAL ASSETS:

A summary of changes in capital assets is as follows:

Cpital assets not being depreciated:LandConstruction in progress

Total capital assets notbeing depreciated

Capital assets being depreciated:Buildings and improvementsFurniture and equipmentTransportation equipment

Total capital assetsbeing depreciated

Less accumulated depreciation for:Buildings and improvementsFurniture and equipmentTransportation equipment

Total accumulated depreciation

Total capital assets beingdepreciated, net

Capital assets, net

BalanceJuly 1.2004

I 1,911,249171.862

2,083.111

35,129,8034,622,1703.732.095

43.484.068

14,947,6512,713,9872.962,016

20.623.654

22.860.414

Additions

$ 17,625603.680

621,305

278,7561,009,5451,091,446

2,379,747

703,865464,841208.111

1,376,817

1,002.930

Retirements

$287,097

287.097

148,420262.000

410.420

131,429262.000393.429

16.991

BalanceJune 30. 2005

$ 1,928,874488.445

2.417,319

35,408,5595,483,2954,561,541

45.453.395

15,651,5163,047,3992.908.127

21.607.042

23.846.35324.943.525 $_L624J05_ $ 304.088 $ 26.263.672


JUNE 30. 2005

14. CAPITAL ASSETS: (Continued)

Depreciation expense of $1,376,817 for the year ended June 30, 2005 was charged to thefollowing governmental functions:

Instruction:Regular programs $ 381,530Special programs 151,119Vocational education 1,444Adult education 975Other instructional programs 15,925

Support Service Programs:Pupil support services 39,154Instructional staff services 41,116General administration 122,016School administration 43,209Business services 12,850Operation and maintenance of plant 169,154Student transportation 274,381Central services 15,601

Food Service Program 108,045

Community Service Program 298

Total

15. ESTIMATES:

The preparation of financial statements in conformity with accounting principlesgenerally accepted in the United States of America requires management to make estimates andassumptions that affect certain reported amounts and disclosures. Actual results could differ fromthose estimates.

16. SELF INSURANCE:

The school board is self-insured for workman's compensation in the amount of $275,000per accident. The excess is insured under an insurance policy. The fund is administered by anindependent insurance service company.


JUNE 30.2005

16. SELF INSURANCE: (Continued)

The estimated claims liability is computed based on information received from theadministrator of the plan. The following represents a reconciliation of total claims liability:

2005 2004

Claims liability at July 1 $ 58,841 $ 6,878Less: Claims paid during the year (113,342) (82,898)Plus: Claims incurred 99,752 134.861Claims liability at June 30 £ 45.251 S 58.841

The claims liability at June 30, 2005 is presented at current value and has not beendiscounted.

17. LOSS CONTINGENCY:

The school board is a defendant in lawsuits filed by various parties. For one lawsuit, thetotal loss is estimated by the school board's attorneys to be $475,000. The loss will be coveredby insurance but the school board's $100,000 deductible has been accrued in the financialstatements in a prior year based on information available at that time. For the other lawsuits, theschool board's attorneys have evaluated the likelihood of an unfavorable outcome to be remote orare unable to predict the outcome.

18. SUBSEQUENT EVENT:

On August 29, 2005, Hurricane Katrina struck the State of Louisiana, causing significantdamage to administrative offices and many school buildings of the school board. The lossesresulting from this damage are expected to be covered by insurance. The school board iscurrently operating three of its nine schools.

The school board has revised its budget for the next fiscal year for the General Fund toinclude a decrease in revenues and a decrease in expenditures of approximately $7 million. It isexpected that reductions in ad valorem tax revenue and property tax revenue will contribute to thetotal decrease in revenue; however, the Minimum Foundation Program revenue is expected toincrease. Due to the reduction in the school population, expenses such as salaries and relatedbenefits for teachers and other personnel, instructional materials and supplies and utilities areexpected to decrease significantly. The school board has received a $4 million CommunityDisaster Loan and may receive an additional $1 million loan per quarter until the total loanbalances reaches $11 million. The school board is also currently pursuing various federal grantsto provide additional assistance.

PLAQUEMINES PARISH SCHOOL BOARDBUDGETARY COMPARISON SCHEDULE

GENERAL FUNDFOR THE YEAR ENDED JUNE 30, 2005

PAGE 42

GENERAL FUND

REVENUES:Local Sources:

Ad valorem taxes1% collection by Sheriff ontaxes other than school taxes

Sales taxesSpecial appropriation from Parish

Government/General FundTuition - summer school/

driver's educationInterest earningsRent lease - 16th Section and

other school landsCommunity service incomeApartment rentsContributions and donationsOtherRevenue for/on behalf of LEA

Restricted Funds:State sourcesFederal sources - through StateFederal sources - commoditiesFederal sources - indirect

Unrestricted Funds:State sourcesFederal sources - through StateFederal sources - directRevenue sharing

Total revenues

EXPENDITURES:Instruction:Regular programsSpecial programsVocational educationAdult educationOther instructional programs

Support Service Programs:Pupil supportInstructional staff supportGeneral administration

OriginalBudget

$ 12,585,000

300,0009,950,000

-

65,00030,000

3,00020,000

5,00074,000

764,83484,500

11,215,000

83,500100,000

35,279,834

16,403,3903,890,513

555,553

1,479,9201,077,1921,319,626

FinalBudget

$ 13,088,000

350,00010,450,000

-

50,000210,400

3,059,79720,00080,00027,00073,000

8,651

841,89447,168

11,215,000

73,500100,000

39,694,410

16,848,3004,124,475

730,893

1,511,4841,116,2841,990,188

Actual

$ 13,634,559

388,45310,725,769

16,781

42,822328,093

3,059,11520,00079,81833,22537,2029,639

606,460

11,423,81651,91197,443

107,62940,662.735

16,924,9844,043,105

700,640

1,326,9301,110,0542,071,787

Variance withFinal Budget

Positive(Negative)

$ 546,559

38,453275,769

16,781

(7,178)117,693

(682)

(182)6,225

(35,798)988

(235,434)(47,168)

208,81651,91123,9437,629

968,325

(76,684)81,370

30,253

184,5546,230

(81,599)

Continued

PLAQUEMINES PARISH SCHOOL BOARDBUDGETARY COMPARISON SCHEDULE

GENERAL FUNDFOR THE YEAR ENDED JUNE 30. 2005

EXPENDITURES: (Continued)Support Service Programs: (Continued)

School administrationBusiness servicesOperations and maintenanceStudent transportationCentral services

Food Service ProgramCommunity Service ProgramCapital Outlay


Miscellaneous:Bank, legal fees and otherOther - insurance claims, scholarship

Total expenditures

EXCESS (DEFICIENCY) OFREVENUES OVER EXPENDITURES

OTHER FINANCING SOURCES(USES):Transfers of indirect costsOperating transfers inSale of capital assetsCertificates of indebtedness issuedMiscellaneousGain (loss) on investmentsOperating transfers outTotal other financing sources (uses)

EXCESS (DEFICIENCY) OFREVENUES AND OTHERFINANCING SOURCES OVEREXPENDITURES AND OTHERFINANCING USES

Fund balances - beginning of year

FUND BALANCES - END OF YEAR

GENERAL FUND

OriginalBudget

$ 2,011,425588,525

4,458,0482,595,430

498,650

572,50013,725

40,000

35,504,497

(224,663)

110,000

500

400

(3,500)107,400

(117,263)

6,683,881

$ 6.566.618

FinalBudget

$ 1,935,225565,996

4,444,4203,735,397

717,677

545,80013,725

47,418

120,00038,447,282

1,247,128

116,9543,227,000

5002,800,000

400

(6,167,217)(22,363)

1,224,765

6,683,881

S 7.9Q8.646

Actual

$ 1,917,326570,216

7,479,8073,921,621

692,274

592,54213,178

52,427328

198,16041,615,379

(952,644)

111,944

2,800,000

72,263(140,179)

2,844,028

1,891,384

6,683,881

$ 8.575.265

Variance withFinal Budget

Positive(Negative)

$ 17,899(4,220)

(3,035,387)(186,224)

25,403

(46,742)547

(5,009)(328)

(78,160)(3,168.097)

(2,199.772)

(5,010)(3,227,000)

(500)

(400)72,263

6,027,0382,866.391

666,619

$ 666.619


PLAQUEMINES PARISH SCHOOL BOARDSUPPLEMENTARY INFORMATIONNONMAJOR FUND DESCRIPTIONS

JUNE 30. 2005

SPECIAL REVENUE FUNDS:

No Child Left Behind - Title I:

This Special Revenue Fund is a program for economically and educationally deprived schoolchildren which is federally financed, state-administered and locally operated by the school board.The services are provided through various projects which are designated to meet the special needsof educationally deprived children. The activities supplement rather than replace state and localmandated activities. Program funds are obtained from federal grants through the State Departmentof Education.

No Child Left Behind - Title I Migrant Education:

The Title I Migrant Education Funds are used to provide additional instruction in reading andmath to identified students through an individualized instruction program. The Title I MigrantEducation Recruiter Program is used to enlist the cooperation of school systems in the multi-parishrecruiting area, identify migrant children, establish contacts with migrant families, and assist inplanning educational, health and social services for migrant children. Program funds are obtainedfrom Federal grants through the State Department of Education.

No Child Left Behind - Title II:

The program funds are used to promote professional growth leading to improving certi-fication in math and science.

No Child Left Behind - Title V:

This is a program by which the Federal government provides funds to the school board foraudio-visual materials, equipment, and library resources.

Drug-Free Schools Program:

This program establishes and implements drug abuse education and prevention programs, andenforces drug-related rules and regulations of student conduct in the schools.

Title XIX:

This program's purpose is to improve the health status of eligible children by assuring theprovision of preventive services, health assessment, and the necessary diagnosis, treatment andfollow-up care in the context of an ongoing relationship between the patient and other health caregivers.


JUNE 30. 2005

SPECIAL REVENUE FUNDS: (Continued)

Head Start Program:

This is a federally funded educational, social and health program for economicallydisadvantage^ three to four-year old children.

Food Service:

The Food Service program provides nourishing meals for students in all grades. Thisprogram is supplemented by both Federal and State funds that are based on reimbursement andparticipation.

Adult Education:

The Adult Education Fund accounts for Federal and State grants received through the StateDepartment of Education.

The Adult Education Program offers a basic and remedial academic curriculum to individualsat least 16 years of age or emancipated minors who have not obtained a high school diploma. Thecurriculum offered is intended to prepare the student for the high school equivalency examination.Students successfully completing the examination are awarded the High School EquivalencyExamination Diploma.

Vocational Education:

Students in grades 9 through 12 have the opportunity to participate in vocational educationthrough the state and federally funded programs. Courses in home economics, industrial arts, andbusiness education offer training in job entry skills. Several co-op programs offer practicalexperiences in the job market.

Special Education Fund:

The Special Education Fund is a state and federally financed program of free education in theleast restricted environment to children with exceptionalities.

Technical Preparation:

This federally-funded program is for the development and administration of TechnicalPreparation activities.


JUNE 30, 2005

SPECIAL REVENUE FUNDS: (Continued)

Teaching Learning Technology Center:

The purpose of this grant is to support the integration of educational technology intoclassrooms to improve teaching and learning.

Enhancing Education Through Technology:

The purpose of this grant is to enhance ongoing efforts to improve teaching and learningthrough the use of technology.

School to Work:

The Regional Council on School to Work (STW), an initiative of the Metrovision EconomicDevelopment Partnership, involves a broad coalition of representatives from business, labor,education, and government. It serves as a catalyst to create an effective STW system in GreaterNew Orleans and the River Region that better prepares students for careers and life-long learning. Itconnects school-based learning to the workplace through structured internship in local businesses.

Emergency Response and Crisis Management Plan:

This funding is used to strengthen the emergency preparedness of the school board incollaboration with the different agencies of the Plaquemines Parish Government.

DEBT SERVICE FUNDS:

General Obligation Sinking Fund:

The General Obligation Sinking Fund accounts for the proceeds of property taxes that arededicated for debt service.

Sales Tax Bond Fund:

The Sales Tax Bond Fund accounts for the proceeds of a one percent sales and use tax leviedand collected by the collecting agency.

Sales Tax Reserve Fund:

This Debt Service Fund accounts for the establishment of a reserve in the amount of$1,100,000, or the highest combined principal and interest requirements for any succeeding bondyear, ending March 1, which equaled $1,232,453 as of June 30,2005.


JUNE 30. 2005

CAPITAL PROJECTS FUNDS:

1992 Sales Tax Construction Fund:

The Plaquemines Parish School Board issued $11,000,000 of Sales Tax School Bonds, Series1992, for the purpose of making capital improvements to the public school system of the Parish(including, but not limited to constructing, acquiring, erecting, improving, and repairing schools andschool related facilities), payable solely from and secured by an irrevocable pledge and dedicationof the avails or proceeds of the special one percent sales and use tax. On March 2,1998, the schoolboard adopted a resolution to refinance $7,220,000 of the Series 1992 Bonds and authorized theissuance of $8,115,000 of its Sales Tax Refunding Bonds, Series 1998.

The School Board authorized the issuance of $1,800,000 of Sales Tax Bonds, Series 1998Bpursuant to a resolution adopted on April 20, 1998 for the purpose of making capital improvementsto the public school system of Plaquemines Parish.

2003 Sales Tax Construction Fund:

The School Board authorized the issuance of $1,300,000 of Sales Tax Bonds, Series 2003pursuant to a resolution adopted on April 14, 2003 for the purpose of making capital improvementsto the public school system of Plaquemines Parish (including, but not limited to, constructing,acquiring, erecting, improving and repairing schools and school related facilities).

PLAQUEMINES PARISH SCHOOL BOARDSUPPLEMENTARY INFORMATION

NONMAJOR GOVERNMENTAL FUNDSCOMBINING BALANCE SHEET

JUNE 30. 2005

Special Revenue Funds

ASSETS:CashCash equivalentsInvestmentsAccounts receivableInterfund receivableAccrued interest receivableInventoryTOTAL ASSETS

LIABILITIES:Accounts payableCash overdraftInterfund payablesAdvances fromGeneral FundTotal liabilities

MigrantEducation

$ 26,165 S--

5,763---

$ 3L£28 S

$ - $-

26,928

5,00031,928

TitleI

105,287 $--

449,932---

555,219 $

93,521 $-

446,698

15,000555,219

Title

II

- $--

1 19,82469,209

--

189,033 $

- $83,220

100,813

5,000189,033

TitleV

12,537 $--

369---

12,906 $

- S-6

12.90012,906

Drug- Title HeadFree XIX Start

22,365 $ 348 $ - $-.

17,466 - 91,567...

39,831 J 348 $ 91^67 $

- $ - $ 91,567 $.

31,881

7,00038.881 - 91,567

FoodService

1,153,043-----

46,7031.199,746

60,387-

182,582

.242,969

AdultEducation

$ 44,471--

7,902--.

S 52.373

$-

41,573

10,80052,373

VocationalEducation

$ 43,094 $--

22,011--.

$ 65,105 $

S - S-

105

65,00065,105

SpecialEducation

30.959•-

164,636218,647

--

414,242

57-

291,692

10,000301,749

FUND EQUITY:Unreserved fund balanceReserved for debt serviceReserved for constructionDesignated for constructionTotal fund equity

TOTAL LIABILITIESAND FUND EQUITY

950

950

348

348

706,777

250.000956,777

112,493

112,493

31.928 S 555.219_ S 189.033 $ 12,906 S 39.831 $ 348 S 91,567 S 1.199,746 S 52.373 S 65,105 S 414,242

Special Revenue Funds Capital Projects Funds Debt Service FundsTeachingLearning

Technical TechnologyPffiEiDiiion Centei

$ - S - S..

5.999 110,621.-.

$ 5,999 $ 110.621 $

$ - S 99,586 $2,490 6,0503,509 4,985

_

5,999 110,621

--.

-

EnhancingEducation 1992 SalesThrough School Emergency Tax

Technology To Work Response Construction

- $ 5,000 $ - S - S..

7,940,-.

7,940 $ 5,000 $ - $ - $

- S - S - $ - S7,286

654 - -

5.0007.940 5.000

.

.

.

-

2003 SalesTax

Construction

419,99536,989

717,536--

2,445-

1.176,965

62,405--

.

62,405

-1,114,560

-1.114,560

GeneralObligation Sales Tax Sales Tax

Sinking Bond ReserveFund Fund Fund

$ 120.447 $ 742,926 S 52,38223,237

1,121,053204.256

.2,663

.

$ 1 20j447 $ 947, 1 82 $ 1 .199,335

$ - S - S--

.

.

120.447 947,182 1.199,335..

120,447 947.182 1,199,335

lea!

S 2,779.01960,226

1.838,5891,208,286

287,8565,108

46,703$ 6.225.787

J 407,52399,046

1.131,426

135,7001,773.695

820,5682,266,9641,114.560

250.0004,452,092

5,999 $ IIO,62J_ S 7,940 $_ 5.000 $_ S 1.176.965 S 120.447 S 947.182 S 1.199.335 S 6.225.767


NONMAJOR GOVERNMENTAL FUNDSCOMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCEFOR THE YEAR ENDED JUNE 30, 2005

Special Revenue Funds

REVENUES:Local sources:Interest earningsAd valorem taxesSales taxesFood service incomeContributions and

donationsOther

Restricted Funds:State sourcesFederal sources -through StateFederal sources »commoditiesFederal sources -direct

Unrestricted Funds:State sourcesTotal revenues

EXPENDITURES:Instruction:Special programsVocational educationAdult educationOther instructional

programsSupport Service Programs:Pupil supportInstructional staffsupport

General administrationOperations andmaintenance


Bank, legal fees and otherStudent transportationFood service programCapital outlay

Total expenditures

EXCESS (DEFICIENCY)OF REVENUES OVEREXPENDITURES

OTHER FINANCINGSOURCES(USES):Transfer of indirect costsGain (loss) on investmentsOperating transfers in (out)

Total otherfinancing sources (uses)

EXCESS (DEFICIENCY) OFREVENUES AND OTHERFINANCING SOURCES OVEREXPENDITURES ANDOTHER FINANCING USES

Fund balance -beginning of year

FUND BALANCE - ENDOF YEAR

Migrant Title

2,837

336

Title

UTitle

VDrug-Era

TideXIX

HeadSlap

9 $

3,897

Food

18,564 S

425,411

101

Adult Vocationalilon

Specialducati

36,294 1.239,415 365.940 23.851 37,953

33,121 1.088,672 283,598 22,887 12,124

87,618919

15,491

67,184252

26.267

55 855,610 2,131,711

479,127

33,971

242,512

43.267

43,26764,085

2,109,664100,000

36,294 1,192,700 351.034 22,887 38,391 855,610 2,109.664 43.267 64.085

46.715 14.906 964 (438) 55 22.047

(46.715) (14,906) (964)

(46.715) (14.906) (964)

22.047

1,388 293 934,730

1,100

-

36,294 U39.4I5 365,940 23.85i 34,056

-

-

.

9,009

46 - 1,325,200 34,258

103.283

855,610

259,152

18,859

64,085 1,152,464

-

17,091

.

64.085 1,189.514

688.347

376,484

63,399729

6.912

,135,871

53.643

(37,521)

3,000

19,122

93.371

- S 950 S 348 S 956.777 S S 112,493

Special Revenge Funds Capital j*rojects Funds Debt Service FundsTeaching Enhancing GeneralLearning Education 1992 Sales 2003 Sale; Obligation Sales Tax Sales Tax

Technical Technology Through School Emergency Tax Tax Sinking Bond ReservePreparation Center Tjcfoioioev To Work Response Cpnjtniclion Construction Fund Fyttd Fund Tog!

- S

5.999 185463

5,999 185.363

- S - S - S 13 $ 45,761 $ 465 S 15,924 S 48,444 S 129.180

30,609

30,609

77.815

77,815

1,226,031

13 45,761

1,226,031425,411

4.997101

27,868

4,575.395

103.283

872,701

259.15246j 1.241.955 48,444 7.624.119

54,629

5,999

2,662,50564.08543,267

5,999

4(0,455

175,166 29,363 - 20,049_

2,742

.

•---.

5,999 177,908 29,363 - 74,678

--

437

.--•-

230,076230,513

--

-

830,00017,197 398,522

2,342--.

17,197 1,230.864

714.3951.900

19.006

830.000415.719

2.3426.912

2.109,664330.076

7,616,325

7.455 1.246 3,137 13 (184.753) (16.732) 11.091 48.444 7.794

(7.455) (1.246)

(7.455) (1.2461

(3,137)12.000

(2,975) 2.975 137.179

(3.137) (2.975) 14.97 S 137.179

(111.944)19,248 31,248

-_ 140.179

19.248 59.483

(2.962) (169.777) 120.447 11.091 67.692 67,277

2,962 1.284.337 936.091 1.131.643 4,384.815

- S 1.114,560 $ 120.447 $_947.1S2 S 1.199,335 J 4.452.092


SCHOOL ACTIVITY AGENCY FUNDSCHEDULE OF CHANGES IN ASSETS AND LIABILITIES


SCHOOL

Alternative School

Belle Chasse High School

Belle Chasse Middle School

Belle Chasse Primary School

Boothville-Venice High School

Buras High School

Buras Middle School

Phoenix High School

Port Sulphur High School

TOTALS

BalanceJuly 1.2004

$ 1,040

147,151

89,446

94,742

1 58,927

98,398

14,562

22,754

49,150

$ 576,170

Additions

$ 4,000

575,397

243,712

328,801

158,901

284,848

87,491

103,774

159,157

$ 1,946,081

Deletions

$ 2,755

570,861

227,037

339,983

171,468

280,732

90,093

103,047

155,137

$ 1,941,113

BalanceJune 30. 2005

$ 2,285

151,687

106,121

83,560

46,360

102,514

11,960

23,481

53,170

$ 581,138


SCHEDULE OF COMPENSATION PAID BOARD MEMBERSFOR THE YEAR ENDED JUNE 30.2005

PAGE 51

Board Member

Bobby Benefield

Sharon Branan (President 07/04 - 06/05)

Betty Dinette

Joyce Lamkin

Carlton LaFrance

Nancy Lahaye

Paul Lemaire

Anthony St. Philip

Byron Williams

TOTAL

Amount

COMPENSATION PAID BOARD MEMBERS

The schedule of compensation paid to the school board members was prepared in compliancewith House Concurrent Resolution No. 54 of the 1979 Session of the Louisiana Legislature.

The compensation of the school board members is included in the general administrativeexpenditures of the General Fund. In accordance with Louisiana Revised Statute 17:56, the school boardmembers have elected the monthly payment method of compensation. Under this method, each memberof the school board receives $800 per month and the president receives $900 per month for performingthe duties of this office.

DUPLANTIER, HRAPMANN,HOGAN & MAHER, L.L.P.

MICHAEL J. CKROURKE, C.P.A.WILLIAM G. STAMM, C.P.A.CLIFFORD J. GIFFIN, JR., C.P.A.DAVID A. BURGARD, C.P.A.LINDSAY j. CALUB, C.P.A., L.L.CGUY L. DUPLANTIER, C.P.A.MICHELLE H. CUNNINGHAM, C.P.A.DENNIS W. DILLON, C.P.A.

ANN M. HARGES, C.P.A.ROBIN A. STROHMEYER, C.P.A.

m CERTIFIED PUBLIC ACCOUNTANTS

1340 Poydras St., Suite 2000 • New Orleans, LA 70112(504) 586-8866

FAX (504) 525-5888cpa@dhhmcpa. com


A.J. DUPLANTIER, JR., C.P.A.(1919-1985)



JAMES MAHER, JR., C.P.A.(1921-1999)



REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTINGAND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTSPERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

January 20, 2006

Plaquemines Parish School BoardBelle Chasse, Louisiana

We have audited the financial statements of the governmental activities, each major fund and theaggregate remaining fund information of the Plaquemines Parish School Board as of and for the yearended June 30, 2005 which collectively comprise the school board's basic financial statements and haveissued our report thereon dated January 20, 2006. We conducted our audit in accordance with auditingstandards generally accepted in the United States of America and the standards applicable to financialaudits contained in Government Auditing Standards, issued by the Comptroller General of the UnitedStates.

Internal Control Over Financial Reporting

In planning and performing our audit, we considered the school board's internal control overfinancial reporting in order to determine our auditing procedures for the purpose of expressing ouropinions on the financial statements and not to provide an opinion on the internal control over financialreporting. However, we noted a matter involving the internal control over financial reporting and itsoperation that we consider to be a reportable condition. Reportable conditions involve matters coming toour attention relating to significant deficiencies in the design or operation of the internal control overfinancial reporting that, in our judgment, could adversely affect Plaquemines Parish School Board'sability to record, process, summarize and report financial data consistent with the assertions ofmanagement in the financial statements. The reportable condition is described in the accompanyingschedule of findings and questioned costs as item 2005-01.

A material weakness is a condition in which the design or operation of one or more of the internalcontrol components does not reduce to a relatively low level the risk that misstatements caused by erroror fraud in amounts that would be material in relation to the financial statements being audited may occurand not be detected within a timely period by employees in the normal course of performing theirassigned functions. Our consideration of the internal control over financial reporting would notnecessarily disclose all matters in the internal control that might be reportable conditions, andaccordingly, would not necessarily disclose all reportable conditions that are also considered to bematerial weaknesses. However, we believe the reportable condition described above is not a materialweakness.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether the school board's financial statementsare free of material misstatement, we performed tests of its compliance with certain provisions of laws,regulations, contracts and grants, noncompliance with which could have a direct and material effect onthe determination of financial statement amounts. However, providing an opinion on compliance withthose 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 that are required to be reported underGovernment Auditing Standards. However, we noted a certain matter that we reported to management ofPlaquemines Parish School Board in a separate letter dated January 20,2006.

This report is intended solely for the information and use of the school board, its management, theState of Louisiana and the Legislative Auditor for the State of Louisiana and is not intended to be andshould not be used by anyone other than these specified parties. Under Louisiana Revised Statute24:513, this report is distributed by the Legislative Auditor as a public document.

MICHAEL ,. o-RouRKE, c.RA.WILLIAM G. STAMM, C.P.A.CLIFFORD J. GIFFIN, JR., C.P.A.DAVID A. BURGARD, C.P.A.LINDSAY J.CALUB, C.P.A., L.L.C.GUV L. DUPLANTIER, C.P.A.MICHELLE H. CUNNINGHAM, C.P.A.DENNISW.DILLON.CP.A.

hmDUPLANTIER, HRAPMANN,

HOGAN & MAHER, L.L.P.

CERTIFIED PUBLIC ACCOUNTANTS

134Q Poydras St., Suite 2000 • New Orleans, LA 70112(504) 586-8866

ANN M. MARGES, CP.A.ROBIN A.STROHMEYER, C.P.A.


DUPLANTIER, JR., C.P.A.,1919 1985)

FELIX j, HRAPMANN, JR., C.P.A.(1919-1990)

WILUAMR. HOGAN, JR., C.P.A.(1920-19961

JAMES MAKER, I R CP.A„„„„,) .....



REPORT ON COMPLIANCE WITH REQUIREMENTSAPPLICABLE TO EACH MAJOR PROGRAM AND INTERNAL CONTROL OVER

COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133

January 20,2006


Compliance

We have audited the compliance of Plaquemines Parish School Board, with the types ofcompliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement that are applicable to each of its major federal programs for the year endedJune 30, 2005. The school board's major federal programs are identified in the summary of auditor'sresults section of the accompanying schedule of findings and questioned costs. Compliance with therequirements of laws, regulations, contracts and grants applicable to each of its major federal programs isthe responsibility of the school board's management. Our responsibility is to express an opinion on theschool board's compliance based on our audit.

We conducted our audit of compliance in accordance with auditing standards generally accepted inthe United States of America; the standards applicable to financial audits contained in GovernmentAuditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133,Audits of States, Local Governments, and Non-profit Organizations. Those standards and OMB CircularA-133 require that we plan and perform the audit to obtain reasonable assurance about whethernoncompliance with the types of compliance requirements referred to above that could have a direct andmaterial effect on a major federal program occurred. An audit includes examining, on a test basis,evidence about the school board's compliance with those requirements and performing such otherprocedures as we considered necessary in the circumstances. We believe that our audit provides areasonable basis for our opinion. Our audit does not provide a legal determination on the school board'scompliance with those requirements.

In our opinion, the school board complied, in all material respects, with the requirements referredto above that are applicable to each of its major federal programs for the year ended June 30, 2005.

Internal Control Over Compliance

The management of the school board is responsible for establishing and maintaining effectiveinternal control over compliance with requirements of laws, regulations, contracts and grants applicableto federal programs. In planning and performing our audit, we considered the school board's internalcontrol over compliance with requirements that could have a direct and material effect on a major federalprogram in order to determine our auditing procedures for the purpose of expressing our opinion oncompliance and to test and report on internal control over compliance in accordance with OMB CircularA-133.

Our consideration of the internal control over compliance would not necessarily disclose allmatters in the internal control that might be material weaknesses. A material weakness is a condition inwhich the design or operation of one or more of the internal control components does not reduce to arelatively low level the risk that noncompliance with applicable requirements of laws, regulations,contracts and grants caused by error or fraud that would be material in relation to a major federalprogram being audited may occur and not be detected within a timely period by employees in the normalcourse of performing their assigned functions. We noted no matters involving the internal control overcompliance and its operation that we consider to be material weaknesses.

This report is intended solely for the information and use of the school board, its management, theState of Louisiana and the Legislative Auditor for the State of Louisiana and is not intended to be andshould not be used by anyone other than these specified parties. Under Louisiana Revised Statute24:513, this report is distributed by the Legislative Auditor as a public document.

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS


FederalCFDA GrantNumber Number Expenditures

Passed through the State of Louisiana:

10.550

10.55510.553

None

NoneNone

Department of Agriculture

Food Distribution

Child Nutrition Cluster:National School Lunch ProgramNational School Breakfast Program

Total Department of Agriculture

$ 103,283

994,627330.573

1.428.483

Department of Education

84.367A 2805-50-38 Title II Part A, Teacher and Principal Trainingand Recruiting Fund ** 365,940

84.010A 2805-T1-38 Title I Grants to Local Education Agencies(Educationally Deprived Children - Part A Basic)** 1,239,415

Special Education Cluster:84.027A 2805-B1-38 Special Education-Grants to States (IDEA, Pan B) 901,41084.173A 2805-PI-38 Special Education-Preschool Grants (IDEA Preschool) 22,28384.002A 2805-44-38 Adult Education - State Grant Program 34,25884.011 04-M1-26 Migrant Education - Basic State Grant Program 36,29484.048 2805-02-38 Vocational Education - Basic Grants to State 64,08584.298A 2805-80-38 Innovative Education Program Strategies - Title V 23,85184.186A 2805-70-38 Safe and Drug-Free Schools and Communities -

State Grants - Title IV 34,05684.278E 1224/04-05TP Technology Preparation 5,99984.318X 2805-14-38 Teaching, Learning Technology Center 185,36384.318X 2805-49-38 Enhancing Education Through Technology 30,60984.276A 2801LI38C Systematic Improvement Grants - Learn 69,49584.184E Q184E030471 Emergency Response and Crisis Management Plan 77,81513.714 None Title XIX - Health Care Services 4684.363 2705SI38 School Improvement 102,440

Total Department of Education 3,193.359

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS


PAGE 57

(Continued)

FederalCFDANumber

93.575

GrantNumber

2804-38

Department of Health and Human Services

U.S. Child Care and Development Block Grant

Total Federal Awards Passed Throughthe State of Louisiana

Received directly from the federal government:

Department of Agriculture

84.041 None Impact Aid

Department of Health and Human Services

93.600 06CH0423/12 Head Start Program

Total Federal Awards ReceivedDirectly from the Federal Government

TOTAL PROGRAM EXPENDITURES

Expenditures

47,168

4.669.010

114,534

855.610

970.144

** Denotes major program.

PLAQUEMINES PARISH SCHOOL BOARDNOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

FOR THE YEAR ENDED JUNE 30,2005

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:

The Schedule of Expenditures of Federal Awards of the Plaquemines Parish School Boardhas been prepared in conformity with accounting principles generally accepted in the United Statesof America as applied to governmental units. Expenditures are recognized when incurred.

2. DETERMINATION OF TYPE A AND B PROGRAMS:

Federal awards programs are classified as either Type A or Type B programs. For theperiod ending June 30, 2005, Type A programs consist of the federal programs that expended over$300,000 and Type B programs are the programs that expended under $300,000.

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE OF FINDINGS AND QUESTIONED COSTS


PAGE 59

SECTION I - SUMMARY OF AUDITOR'S RESULTS:

Financial Statements

Type of auditor's report issued: unqualified

Internal control over financial reporting:

* Material weakness(es) identified?

* Reportable conditions) identified that are notconsidered to be material weaknesses?

Noncompliance material to financial statements noted?

Federal Awards:

Internal control over major programs:

* Material weakness(es) identified?

* Reportable conditions) identified that are notconsidered to be material weaknesses?

yes

X yes

yes

yes

yes

Type of auditor's report issued on compliance for major programs: unqualified

Any audit findings disclosed that are required to be reported inaccordance with section 510(a) of Circular A-133: yes

Identification of major programs:

X no

none reported

X no

X no

X none reported

X no

Name of Program

Title I Grants to Local Education AgenciesTitle II Part A Teacher and PrincipalTraining and Recruiting Fund

CFDANo.

84.010A

84.367A

Dollar threshold used to distinguish between Type A and Type B programs:

Auditee qualified as low-risk auditee?

Expenditures

$ 1,239,415

365.940S 1.605.355

$300,000

X yes no

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE OF FINDINGS AND QUESTIONED COSTS


SECTION II - FINDINGS REQUIRED TO BE REPORTED UNDER GENERALLY ACCEPTEDGOVERNMENTAL AUDITING STANDARDS:

CAPITAL ASSETS: (2005-01)

Louisiana Revised Statute 24:515 (B) requires every public entity to maintain records of allcapital assets purchased or otherwise acquired for which the entity is accountable, and states that therecords shall include information as to the acquisition date, cost, disposition, purpose of disposition,and recipients of disposed assets. The School Board took a physical inventory of all capital assets asof June 30, 2005.

It was noted that some asset additions were not recorded in the capital asset computerized systembecause asset additions were not reconciled to capital asset expenditures in all funds in the generalledger.

We recommend that the school board reconcile asset additions in the capital asset computerizedsystem to the general ledger expenditures in all funds on a quarterly basis.

SECTION III - FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS:

None

PLAQUEMINES PARISH SCHOOL BOARDSUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS

FOR THE YEAR ENDED JUNE 30, 20Q5

Findings Required To Be Reported Under Generally Accepted Governmental Auditing Standards:


Louisiana Revised Statute 24:515 (B) requires every public entity to maintain records of all capitalassets purchased or otherwise acquired for which the entity is accountable, and states that the recordsshall include information as to the acquisition date, cost, disposition, purpose of disposition, andrecipients of disposed assets.

The school board took a physical inventory of all capital assets as of June 30, 2004 but a numberof assets including equipment, land and buildings acquired in previous years were not included in theinventory. The land and buildings were properly accounted for and insured by the school board.However, the assets inadvertently were not included on the inventory. An adjustment was made to addthe assets to the inventory. The final inventory includes all assets.

We recommended that management of the school board continue improving the review of theinventory of assets on a regular basis to ensure that all assets acquired in current and previous years areproperly included.

A similar finding on capital assets is included in the current year findings.

MICHAEL,. O'ROURKE, c.RA.WILLIAM G. STAMM, C.P.A.CLIFFORD J. GIFFIN, JR., C.P.A.DAVID A. BURGARD, C.P.A.LINDSAYJ. CALUB, C.P.A., L.L.C.GUY L. DUPLANTIER, C.P.A.MICHELLE H. CUNNINGHAM, C.P.A.DENMSW. DILLON, C.P.A.

bM

mDUPLANTIER, HRAPMANN,

HQGAN & MAHER, L.L.P.

CERTIFIED PUBLIC ACCOUNTANTS

134Q Povdras St., Suite 2000 • New Orleans, LA 70112J

(304) OOO-OOOO

FAX 525_5888

A , DUPLANTIER, JR., C.P.A.(1919-1985)



JAMES MAHER, JR., C.P.A.

ANN M. HARGES, C.P.A.ROBIN A. STROHMEVER, C.P.A. [email protected]

r r




INDEPENDENT ACCOUNTANT'S REPORTON APPLYING AGREED-UPON PROCEDURES


January 20, 2006

We have performed the procedures included in the Louisiana Governmental Audit Guide andenumerated below, which were agreed to by the management of Plaquemines Parish School Board andthe Legislative Auditor, State of Louisiana, solely to assist users in evaluating management'sassertions about the performance and statistical data accompanying the annual financial statements ofPlaquemines Parish School Board and to determine whether the specified schedules are free of obviouserrors and omissions as provided by the Board of Elementary and Secondary Education. This agreed-upon procedures engagement was performed in accordance with standards established by the AmericanInstitute of Certified Public Accountants and applicable standards of Government Auditing Standards.The sufficiency of these procedures is solely the responsibility of the specified users of the report.Consequently, we make no representation regarding the sufficiency of the procedures described beloweither for the purpose for which this report has been requested or for any other purpose.

Our procedures and findings relate to the accompanying schedules of supplemental informationand are as follows:

General Fund Instructional and Support Expenditures and Certain Local Revenue Sources (Schedule 1)

1. We selected a random sample of 25 transactions and reviewed supporting documentation todetermine if the sampled expenditures/revenues are classified correctly and are reported in the properamounts for each of the following amounts reported on the schedule:

• Total General Fund Instructional Expenditures,• Total General Fund Equipment Expenditures,• Total Local Taxation Revenue,• Total Local Earnings on Investment in Real Property,• Total State Revenue in Lieu of Taxes,• Nonpublic Textbook Revenue, and• Nonpublic Transportation Revenue.

No exceptions were noted.

Education Levels of Public School Staff (Schedule 2)

2. We reconciled the total number of full-time classroom teachers per the schedule "Experience ofPublic Principals and Full-time Classroom Teachers" (Schedule 4) to the combined total number offull-time classroom teachers per this schedule and to school board supporting payroll records as ofOctober 1st.


3. We reconciled the combined total of principals and assistant principals per the schedule"Experience of Public Principals and Full-time Classroom Teachers" (Schedule 4) to the combinedtotal of principals and assistant principals per this schedule.


4. We obtained a list of full-time teachers, principals, and assistant principals by classification as ofOctober 1st and as reported on the schedule. We traced a random sample of 25 teachers to theindividual's personnel file and determined if the individual's education level was properlyclassified on the schedule.

It was noted that the original list of full-time teachers, principals, and assistant principals that wasprovided contained eight individuals that should not have been included and was missing twelveindividuals that should have been included. The list was returned to school board personnel andthese items were corrected.

The corrected list was used for testing and no exceptions were noted.

Management's Response:

Prior to the October 1 PEP Report submission, backup information for the schedule will beprepared and reviewed by the personnel department for accuracy.

Number and Type of Public Schools (Schedule 3)

5. We obtained a list of schools by type as reported on the schedule. We compared the list to theschools and grade levels as reported on the Title I Grants to Local Educational Agencies (CFDA84.010) application and/or the National School Lunch Program (CFDA 10.555) application.

The list of schools by type as reported on Schedule 3 did not agree to the schools and grade levelsreported on the National School Lunch Program grant application for one school. It wasdetermined that the National School Lunch Program grant application was incorrect and thatSchedule 3 as presented is correct.


All special programs will have the application information reviewed by the appropriate authorityfor accuracy.

Experience of Public Principals and Full-time Classroom Teachers (Schedule 4^

6. We obtained a list of full-time teachers, principals, and assistant principals by classification as ofOctober 1 and as reported on the schedule and traced the same sample used in procedure 4 to theindividual's personnel file and determined if the individual's experience was properly classified onthe schedule.

It was noted that the original list of full-time teachers, principals, and assistant principals that wasprovided contained eight individuals that should not have been included and was missing twelveindividuals that should have been included. It was also noted that the years of experience on theoriginal list provided were not correct for the majority of the individuals. The list was returned toschool board personnel and these items were corrected.

The corrected list was used for testing and no exceptions were noted.


Prior to the October 1 PEP Report submission, information for the schedule 4 will be prepared andreviewed by the personnel department for accuracy.

Public Staff Data (Schedule 5)

7. We obtained a list of all classroom teachers including their base salary, extra compensation, andROTC or rehired retiree status as well as full-time equivalent as reported on the schedule andtraced a random sample of 25 teachers to the individual's personnel file and determined if theindividual's salary, extra compensation, and full-time equivalents were properly included on theschedule.

It was noted that the original list of classroom teachers that was provided contained seventeenindividuals that should not have been included and was missing seventeen individuals that shouldhave been included. It was also noted that thirty one teachers had the incorrect number of daysworked on the list. The list was returned to school board personnel and these items were corrected.

The corrected list was used for testing and it was noted that the individual's salary and extracompensation for twenty-five out of twenty-five selected were not properly included on theschedule.


Data processing is taking the necessary steps to ensure that extra compensation is properly codedand separate from base pay. Backup documentation used to prepare this schedule will be reviewedprior to submission of the final PEP.

8. We recalculated the average salaries and full-time equivalents reported in the schedule.

No exceptions were noted for the recalculation of the amounts reported in the schedule for averageclassroom teacher's salary including extra compensation and full-time equivalents; however, theschedule as reported was not corrected for the exceptions noted in item 7 above. Also, extracompensation was not detailed in a separate column on the list of classroom teachers. Therefore,average classroom teacher's salary excluding extra compensation could not be calculated. It isreported in Schedule 5 as the same number for average classroom teacher's salary including extracompensation,


As stated in the response to Item 7, the proper coding of extra compensation is necessary to providethe requested comparison. PEP information for base and extra pay will be separated and reviewedprior to submission.

Class Size Characteristics (Schedule 6)

9. We obtained a supporting schedule by school, school type, and class size as reported on theschedule and reconciled school type classifications to Schedule 3 data, as obtained in procedure 5.We chose a random sample of 10 classes from the Louisiana State Department of EducationAnnual School Report System (as directed by the Louisiana State Department of Education) andthen traced the sample to the October 1 st roll books for those classes and determined if the classwas properly classified in the Annual School Report System.

Due to Hurricane Katrina, the roll books of seven of the nine schools were destroyed. The randomsample was chosen from the two schools which had roll books available. No exceptions werenoted.

Louisiana Educational Assessment Program (LEAP) for the 21st Century (Schedule 7)

10. We obtained test scores as provided by the testing authority and reconciled scores as reported bythe testing authority to scores reported in the schedule by Plaquemines Parish School Board.


The Graduation Exit Exam for the 21st Century (Schedule S')



The Iowa Tests (Schedule 9)



We were not engaged to, and did not, perform an examination, the objective of which would bethe expression of an opinion on management's assertions. Accordingly, we do not express such anopinion. Had we performed additional procedures, other matters might have come to our attention thatwould have been reported to you.

This report is intended solely for the use of management of Plaquemines Parish School Board,the Louisiana Department of Education, the Louisiana Legislature, and the Legislative Auditor, Stateof Louisiana, and should not be used by those who have not agreed to the procedures and takenresponsibility for the sufficiency of the procedures for their purposes. Under Louisiana RevisedStatute 24:513, this report is distributed by the Legislative Auditor as a public document.

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE I

GENERAL FUND INSTRUCTIONAL AND SUPPORT EXPENDITURESAND CERTAIN LOCAL REVENUE SOURCES

JUNE 30. 2005

PAGE 67

GENERAL FUND INSTRUCTIONAL ANDAND EQUIPMENT EXPENDITURES

General Fund Instructional Expenditures:Teacher and Student Interaction Activities:Classroom Teacher SalariesOther Instructional Staff ActivitiesEmployee BenefitsPurchased Professional and Technical ServicesInstructional Materials and SuppliesInstructional Equipment

Total Teacher and Student Interaction Activities

$ 13,157,5741,952,5124,548,402

42,6511,416,117

540,418$ 21,657,674

Other Instructional Activities

Pupil Support ActivitiesLess: Equipment for Pupil Support Activities

Net Pupil Support Activities

Instructional Staff ServicesLess: Equipment for Instructional Staff Services

Net Instructional Staff Services

Total General Fund Instructional Expenditures

Total General Fund Equipment Expenditures

1,326,930

1,110,054

48,213

1,326,930

1,110,054

$ 24.142.871^ =^==! ^ ^=

S 1.791.517

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE I (CONTINUED)

GENERAL FUND INSTRUCTIONAL AND SUPPORT EXPENDITURESAND CERTAIN LOCAL REVENUE SOURCES

JUNE 30, 2005

CERTAIN LOCAL REVENUE SERVICES:Local Taxation Revenue:

Constitutional Ad Valorem Taxes $ 3,390,478Renewable Ad Valorem Tax 10,244,081Debt Service Ad Valorem TaxUp to 1% of Collections by the Sheriff on Taxes 388,453

Other than School Taxes 11,951,800Sales and Use Taxes

Total Local Taxation Revenue $ 25.974,812

Local Earnings on Investment in Real Property:Earnings from 16th Section Property $ 3,059,115Earnings from Other Real Property -_

Total Local Earnings on Investment in Real Property

State Revenue in Lieu of Taxes:Revenue Sharing - Constitutional TaxRevenue Sharing - Other TaxesRevenue Sharing - Excess PortionOther Revenue in Lieu of Taxes

Total State Revenue In Lieu of Taxes

Nonpublic Textbooks Revenue

Nonpublic Transportation Revenue

CO 00

o;.£'u

OH-4-1

K• i—

13

•— "

.2

•cOH

1

'IU

SogOTCOITtSiV

GU.11

• 1^3

"8sc

1C

1UcD

-a<upjU

Isu

•O(U^^tau

'•685

u*Jtsu

tuU

bwOH

11

^

*-•

Sg

OH

n

|

3

-4-«cVau

OH

,_

*C

•52

-saJ

§OH

U-

*a

o00

tsU

g

o

o

oo

o

o

CO

^

ro

OO

O

0)t-l

QwV.

^

1CQrt

SJ3

wa>

g

O

o

od

o

s*

(N

O\

\f*l

^D

NP

csf^

*^*

p^^

(N

&<D

Qw

•—-

pcd

PQ

oo

o

CN

"i

ON

Q

*\

1-H

^_

^P

001-H

i-H

VI

§&a

TsQj

S

bo

o

ocrr"

^

o

Od

o

ro

2

Oro

u

00

&wV1

to

1

gO

O

Od

o

o

bd

o

0s

d

-

co•3u

a*->(A

Is

§aC/3

bd

o

bd

o

abd

o

bd

o

dv.O

QJ5OH

bd

o

bdo

S

o1*odot-H

S

s?

bdoI-H

ooCM

3o

PLAQUEMINES PARISH SCHOOL BOARDSCHEDULE 3

NUMBER AND TYPE OF PUBLIC SCHOOLSFOR THE YEAR ENDED JUNE 30, 2005

PAGE 70

TypeElementaryMiddle/Jr. HighSecondaryCombinationTotal

Number12249


PUBLIC SCHOOL STAFF DATAFOR THE YEAR ENDED JUNE 30. 2Q05

All ClassroomTeachers

Classroom TeachersExcluding ROTC

and Rehired Retirees

Average ClassroomTeacher's SalaryIncluding Extra Compensation

$36,082.68 $35,883.22

Average ClassroomTeacher's SalaryExcluding Extra Compensation

$36,082.68 $35,883.22

Number of Teacher Full-timeEquivalents (FTEs) used inComputation of Average Salaries

359.92 352.94

<UtJJ

piUN

W

Ju

m

nt

tN

(Ni

T— I

o

-

1-OJ

|

^

V

PH

|

^

•*•*fl<U

PH

kHu•g§

•*-»

o§w

PH

ID

*e

*

u

uPH

(Ds"oo43O

on

O

Oo

o

oo

(N

i-H

CO*tJ

in

ON

m

[Ele

men

tary

o

oo

o

oo

o

oo

o

oo

§Jnu

1 Ele

men

tary

Act

iv

o

oo

^

06

s1-1

CO•— <V j

s

OsONfS

|Mid

dle/

Jr. H

igh

SO

oo

oo

socs

ON

oofM

r-

en

CN

1

0^*••H

O**

|Mid

dle/

Jr.H

ighy

o

oo

m

B

oo1— 1

t

so^T

moo

moo

•a• fH

X

O

oo

o

oo

m

^^

f^^

<n(NON

Cfl(Uto

u

!Sts

S

o

oo

VO

(N

in

ON

-^•H

CS<N

O;

CO

| Com

bina

tion

l-H

n-j

O

OOo

in

^O

^^f"^

in<NON

w

CO

U

| Com

bina

tion

Act

w

oo*—<DO

en_c.

Keu*B1?

en•H5<D00rt3GO

SijX(A

• i—;

"obcw

HIOOCN

«3-

OCN

inoo(N

ftOOCN

v^TOOv)Ol

inooCN

t=<L>

S wu ;S> 3U en

••— tu•S rt

< 13•4- >o o

'<S Jeo• TH

c<u(.a

OH

VHu

JD

£

55

"c<L>

g<iy

OH

(_,U4t

1

•t-tc<U£<L

OH

|_!

5-cE3Z

1Obi/

OH

)_,

0-0S3Z

1OlHO

A

JH

ITSQJ

13

fc

•*->CellM/

artiMriT

OH

IHU

»D

S3Z

| Stu

dent

s

r-

inCN

m

m

^

'O

•<t

>n

ON

*O

<NCN

T3_j. u

•^t uQJ S

115^

TTCN

CNON

«tfN

ONOO

*v'C^

r^r-

r~~T-H

\o\D

\OCN

rÔN

V)CN

CNON

&•T-*

U«S

>n^

CNt--

t-^C<1

OTf

OIf*V j

ô00T-H

in^

(*-OCN

CN^"

VDVIv

^

minH

o•_<en«3

CQ

fO

ON^J-

ON

Or--

m1—1

t^-<n

r-T-H

ôyD

<nf-H

r~»n

l-H

cs

Ooo

oenol

CQ00Soed2CL

^

"— '

^

r^-

CNô

o

ONf")

ON

voCO

CN^H

<nTf

r-

00CN

>!-.O

*— *Ocd

|Uns

atis

f

ONr--rr l\ 1

•*r^m

inor i

ONr-^r*i

sf^\~i

»nr-ro

13•4-1

O

en<D

• -HT33

-4— t

00

"3'oow

1>

1ew'o00

moo<N

^«OOCN

tnooCN

C lOOf^l\ V

^tOoCN

inoo(N

1S en<L> «> 3U en

S #73 05< 13•»-> >u 53' C jen• i— iQ

S<U

£H(U

OH

1-H8.0

Z

1u(HU

PH

IM<L>

12

4->cu8uy

Cu

1-1ni4x

X!

|

Z

1

gU^

OH

I-H<u

13Z

•4—1

Cua<uOH

u-(U

132

<Do(-HnÛx

OH

V-U

X>

S1

Stu

dent

s

o

o

T-H

CN

T-H

• r

^

(N

CN

t^-

m

Gra

de 8

Adv

ance

d

oo

r-CN

i— i

ONc^

CN

m•

T-H

oom

001-H

«— (

Ô

r-1—1

ONin

£>u-4-JcnP32

ON

-*

CN\o

\o•*t

\oT-H

oin

r-r^-r*H

r^• r

m• r

ONr^

•«n

o• J"

CN

i— •

O

'iCQ

ONCN

*OON

ONCN

CNO

CNCN

OO["-

1 -m

r i•—i

NOCN

CNON

CNrO

in

.TH"'enmCQ00£2

App

roac

h!

v>

ON

-*

CNI-H

fl

^t

inT-H

flin

-

\oc*t

VO

^ttn

o*—

\Dm

?^0W

[Uns

atis

fac

TTCOfO

l -^tf)

<ninrn

^t<nm

oo• rro

<ninm

I-H

rt•4-1

O

H

c'^c3

CD

«

CD

1onrtji— i

4n.22*ooC3w

oCN

•*tOOCN

OCN

enooCN

ooCN

OCN

CD

£ wCD *> 3

< 73.ts c5•i— 'Q

"c«;

CDPH

(HQJ

1=

-*->C

eCD

PHN

umbe

r

og

cS^1z1s

PH

1CD

|

*->

CD

aCD

PH

t-iCD

-2E3Z•a<ug

PH

U

J

1 Stu

dent

s

VO

CNCN

CO

CN

r.

inCN

O

—

cs

r-

CN

CO

Gra

de 1

0A

dvan

ced

ON

ON

inCN

inoo

CN

OCO

o

s

CNCN

P

CN

en

ID*->

l>

^

P

\c^^

in

\^5

^^

^^

m

in•n

m

CNin1—4

in

ONr-

'wa

CQ

• t

oin

ON

Oen

O

X

CN

CNOO

oCN

G

ON

^O10

o'wrt

CQonc33So.<?

m

in

^

CO

1-H

CO

CNCN

r-

^

~

CO

CN

>.

| Uns

atis

fact

or

o

X

m

Oen

menen

eninen

"rt•4—1

OH

CACD

355

'oow

CDys*2-o^o

en

oCN

Tf-ooCN

inoCN

enooCN

^fooCN

•noCN

•4—1

CD

£ CACD ±2> 3<U W

"§ OH

Dis

tric

t A

iLe

vel

-4-*GCD(j(-

PH

V-

j•4— >

6po3

PH

1-1

*§

zi1

PHi_

•SE3Z

CD

(X

IM<UXI

E1

CD

§PH

1-V

•SE3

*C

aoPH

I-HCD

|

Stu

dent

s

-

o

-

o

l—«

en

CO

CN

in

en

ON

Gra

de 1

1A

dvan

ced

ff\

•— '

r-en

O

.— H

en

(-

CN

r— 1

CO

^

»n

s

o

CD•*->(A

1

•n

CN

^^^D

oCN

Or-

CN

CN

o

r-

^

in*""*

In

£

'wca

CQ

CN

CNvo

r--

CNin

i-H

^

O

COin

CN

|Q

oCN

T— 4

."wBJ

CQOfl

IS

so.o.

CN

OCN

CO

CN

_

CN

t— i

en

O

T— 1

O

lUns

atis

fact

ONCN

2

u-iO

ONCN

• j-

'— 'en

Oen

«j•4-'

OH


THE IOWA TESTSFOR THE YEAR ENDED JUNE 30, 2005

PAGE 76

Test of Basic Skills (ITBS)Grade 3Grade 5Grade 6Grade 7

Tests of Educational Development (ITED)Grade 9

Composite2005

65645254

53

2004

62634749

53

2003

64644452

52

Scores are reported by National Percentile Rank. A student's National Percentile Rankshows the student's relative position or rank as compared to a large, representative sampleof students in the same grade from the entire nation. A student with a score of 72 indicatesthat the student scored the same or better than 72 percent of the students in the norm group.

a DUPLANTIER,HOGAN & MAHER, L.

MICHAEL ,. o-RouRKE, C.P.A. ^^ I ftfl CERTIFIED PUBLIC ACCOUNTANTS ^ Af&^NTiER, JR., c PAWILLIAM G. STAMM, C.P.A. •••••• W* ^0919-1985)CLIFFORD J. GIFFIN, JR., C.P.A. puJW HRAPMANN, JR., C.P.A.DAVID A. BURGARD, C.P.A. * (mg 1WO)

LINDSAY J.CALUB,C.P.A.,L.L.C 1340 Poydras St., Suite 2000 • New Orleans, LA 70112 WILLIAM R. HOGAN, JR., C.P.A.GUY L. DUPLANTIER, C.P.A. J /c (1920-1996)MICHELLE H. CUNNINGHAM, C.P.A. (504)586-8866 JAMES MAHER JR CPADENNISW.DILLON.C.P.A. FAX (^^ ^^^ ,1921-1999. "

ANN M. HARGES, C.P.A. [email protected] A. STROHMEYER, C.P.A. r ^ MEMBERS

AMERICAN INSTITUTE OFKENNETH J. BROOKS, C.P.A., ASSOCIATE CERTIFIED PUBLIC ACCOUNTANTS

SOCIETY OF LA. C.P.A.s

January 20, 2006

Plaquemines Parish School Board557 F. Edward Hebert Blvd.Belle Chasse, LA 70037

In planning and performing our audit of the financial statements of the Plaquemines Parish SchoolBoard for the year ended June 30, 2005, we considered its internal control in order to determine ourauditing procedures for the purpose of expressing our opinion on the financial statements and not toprovide assurance on the internal control. However, we noted a certain matter involving the internalcontrol and its operation that we consider to be a reportable condition under standards established by theAmerican Institute of Certified Public Accountants. Reportable conditions involve matters coming to ourattention relating to significant deficiencies in the design or operation of the internal control that, in ourjudgment, could adversely affect Plaquemines Parish School Board's ability to record, process,summarize, and report financial data consistent with the assertions of management in the financialstatements.

A material weakness is a reportable condition in which the design or operation of one or more of theinternal control components does not reduce to a relatively low level the risk that errors or fraud inamounts that would be material in relation to the financial statements being audited may occur and not bedetected within a timely period by employees in the normal course of performing their assigned functions.

Our consideration of internal control would not necessarily disclose all matters in internal controlthat might be reportable conditions and, accordingly, would not necessarily disclose all reportableconditions that are also considered to be material weaknesses as defined above. However, the followingreportable condition is not believed to be a material weakness:



Plaquemines Parish School Board -2- January 20, 2006

The School Board took a physical inventory of all capital assets as of June 30, 2005, but it wasnoted that some assets additions were not recorded in the capital asset computerized system becauseassets acquired during fiscal year 2005 were not properly reconciled to capital asset expenditures in allfunds in the general ledger. These assets were added to the inventory during the audit. The finalinventory includes all assets.

We recommend that the school board properly perform procedures to reconcile asset additions inthe capital asset computerized system to the expenditures in all funds in the general ledger on a quarterlybasis.

We noted the following instance of immaterial noncompliance:

BUDGET ACT: (2005-02)

During the audit, the school board's compliance with the Louisiana Budget Act was tested. As aresult of our testing, it was discovered that the school board did not revise the budget in accordance withthe Louisiana Budget Act for the Title II fund. Per LRS #39:1311 A, the school board is required toamend its budget when expenditures increase above 5% of the amounts budgeted for the general andspecial revenue funds. As a result, the school board is not in compliance with the Louisiana Budget Actfor the Title II fund.

We recommend that the budget be reviewed periodically and amended when required by state law.

STATUS OF PRIOR YEAR FINDINGS:

Following is the status of items reported in the management comment letter for the year ended June30, 2004:



The school board took a physical inventory of all capital assets as of June 30, 2004 but a numberof assets including equipment, land and buildings acquired in previous years were not included in theinventory. The land and buildings were properly accounted for and insured by the school board.However, the assets inadvertently were not included on the inventory. An adjustment was made to addthe assets to the inventory. The final inventory included all assets.

This finding was resolved during the year ended June 30, 2005; however, a finding related tocapital assets was included in the current year findings.

Plaquemines Parish School Board -3- January 20, 2006

BUDGET ACT: (2004-02)

During the audit, the school board's compliance with the Louisiana Budget Act was tested. As aresult of our testing, it was discovered that the school board did not revise the budget in accordance withthe Louisiana Budget Act for the Title I fund. Per LRS #39:1311 A, the school board is required toamend its budget when revenues and other financing sources fall below 5% of the amounts budgeted forthe general and special revenue funds. As a result, the school board is not in compliance with theLouisiana Budget Act for the Title I fund.

A similar finding related to budget amendments was included in the current year findings.

This report is intended for the information and use of the school board, its management, the Stateof Louisiana and the Legislative Auditor for the State of Louisiana and is not intended to be and shouldnot be used by anyone other than these specified parties.

Sincerely,

DUPLANTIER, HRAPMANN, HOGAN, & MAKER, L.L.P.

William G. Stamm, CPAPartner

WGS/ct

February 9, 2006.-nf*^VP

P.O. Box 69557 F. Edward Hebert Blvd.Belle Chasse, IA 70037Phone (504) 392-4970FAX (504) 392-4973

Legislative Audit Advisory CouncilState of LouisianaP.O. Box 94397

JAMES C.HOYLESuperintendent

MEMBERS:

BYRON V.WILLIAMS, JR.District 1

NANCY LaHAYEDistrict 2

ANTHONY ST. PHILIPDistrict 3

JOYCE C. LAMKINDistrict 4

SHARON BRANANDistrict 5

CARLTON M. LAFRANCE, SR.District 6

PAUIW.LEMAIRE.JR.District 7

BOBBY L. BENEFIELDDistrict 8

BETTY A. DINETTEDistrict 9

Gentlemen:

Following is the Corrective Action Plan for Audit Findings 2005-01 and 2005-02reported in our audit report and management letter for the year ended June 30, 2005:

2005-01Capital Assets - The Title II Director, Carol Roberts, the Federal Funds Accountant,Carla Newman, and other federal funds staff will perform a more comprehensive budgetreview. Instead of using a spreadsheet, the budget will be entered into our accountingsystem where it will be compared to actual expenditures to date. This will ensure amore accurate review of the budget status.

2005-02Budget Act — Last year a more comprehensive review process of capital assets wasimplemented, however, some expenses were coded to the wrong account and notcompared for proper inclusion to the fixed asset inventory. An expanded review will bepreformed by Benja Fussell, Finance Director, Sharon Zilucca, Purchasing Director, andManual Urzabia, Chief Accountant to include the proper coding of expenses foraddition to inventory.

Sincerely yours,

Benja R. Fussell, DirectorFINANCE & MANAGEMENT

AN EQUAL OPPORTUNITY AGENCY

plaquemines parish school board - louisiana · 2020-03-29 · management of plaquemines parish...

Documents