CAFR Comprehensive Annual Financial Report · NASACT continues to aid states as they implement OMB’s Uniform Guidance and GASB’s pension standards. NASACT provided input to the

CAFR

Comprehensive Annual Financial ReportFISCAL YEAR ENDED JUNE 2016

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National Association of State Auditors, Comptrollers and Treasurers

Comprehensive Annual Financial Report For the Fiscal Year Ended June 30, 2016

INTRODUCTORY SECTION ........................................................................................................................ 1

Letter of Transmittal ................................................................................................................................ 3

List of Officers and Members of the Executive Committee .................................................................... 7

List of Staff Members .............................................................................................................................. 8

FINANCIAL SECTION .................................................................................................................................. 9

Independent Auditor’s Report on Basic Financial Statements ............................................................. 11

Management’s Discussion and Analysis .............................................................................................. 13

Basic Financial Statements:

Statement of Net Position .............................................................................................................. 18

Statement of Revenues, Expenses and Changes in Fund Net Position ....................................... 19

Statement of Cash Flows ............................................................................................................... 20

Notes to the Financial Statements ................................................................................................. 21

OTHER INFORMATION ............................................................................................................................. 27

Budgetary Comparison Schedule ......................................................................................................... 29

Statistical Information ........................................................................................................................... 31

Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance with Government Auditing Standards ................................................................................................................................................... 41

Introductory Section

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September 26, 2016 To the Executive Committee and Members of the National Association of State Auditors, Comptrollers and Treasurers: I am pleased to submit the Comprehensive Annual Financial Report of the National Association of State Auditors, Comptrollers and Treasurers for the fiscal year ended June 30, 2016. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the Association. To the best of our knowledge, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations of the Association. All disclosures necessary to enable the reader to gain an understanding of the Association’s financial activities have been included. Management of the Association is responsible for establishing and maintaining internal control designed to provide reasonable, but not absolute, assurance regarding the safeguarding of assets against loss from unauthorized use or disposition and the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived, and that the evaluation of costs and benefits requires estimates and judgments by management. Article VI of the Association’s Constitution and Bylaws requires that an annual audit be conducted of the Association’s financial statements. NASACT’s Audit Committee appointed a team of three auditors who conducted the audit of the FY 2016 financial statements in September 2016. The independent auditor’s report is at the beginning of the financial section of this report. The Comprehensive Annual Financial Report is presented in three sections: the introductory section, the financial section and the statistical section. The introductory section includes this transmittal letter, a list of the Association’s officers and Executive Committee for 2015-2016 and a list of staff in the Lexington and Washington offices at September 26, 2016. The financial section includes the independent auditor’s report, management’s discussion and analysis, the basic financial statements and notes to the financial statements. Other information includes the budgetary comparison schedule and the statistical section. The statistical section contains trend information about NASACT’s financial position, revenues and debt, as well as demographic and operating information. Overall, NASACT’s total net position decreased in FY 2016 by $149,775. This decrease is strategic as the Executive Committee lowers the unrestricted net assets to a target level, primarily through the travel assistance program. The Executive Committee is monitoring the association’s financial position closely, and will make the necessary changes to ensure financial stability as the target reserve level is met. Profile of NASACT NASACT was founded in 1915 to allow principal state officials concerned with state financial management to gather annually to discuss issues of mutual interest. Over the years, as state financial management became increasingly complex, NASACT expanded its services and offerings to members. With the establishment of the Governmental Accounting Standards Board in 1984

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came the need for technical services as members became involved in the process of setting accounting and financial reporting standards. Now, the Association engages in a wide variety of activities to enhance the professionalism of its members and to foster accountability, efficiency and effectiveness in state government. Among these activities are the following:

Organize conferences and webinars. Offer training seminars on a variety of finance and audit-related topics. Provide weekly email updates to members. Communicate regularly with standards-setting bodies regarding matters related to

governmental accounting, financial reporting and auditing. Serve as an advocate for states’ interests in Washington, DC. Conduct research on a variety of topics of interest to members. Work cooperatively with peer organizations of state government officials on topics and

projects of mutual interest. Major Projects and Initiatives Fiscal year 2016 has been an active year for NASACT and its members. Listed below are some of the activities focused on during the year: NASACT - NAST Workgroup developed best practices for the management of stable net asset value (NAV) local government investment pools (LGIPs). NASACT partnered with the National Association of State Treasurers to develop voluntary guidelines to assist state leaders with guidance for managing investment pools in a manner that provides both state and local government participants with investment options that, when prudently managed, provide safety of principal and liquidity. NASACT continues to aid states as they implement OMB’s Uniform Guidance and GASB’s pension standards. NASACT provided input to the U.S. Office of Management and Budget on an implementation issue pertaining to section 200.431(g)(3) of the Uniform Guidance issued by OMB on December 26, 2013. This issue, as contained in the current guidance, will create uncertainty and volatility pertaining to the allowability of pension costs in cost allocation plans. NASACT’s Pension Standards Implementation Group held its last call in December 2015. The group continues to circulate questions states may have as they implement pension standards from the Governmental Accounting Standards Board. NASACT continued to promote transparency and monitor DATA Act Progress. NASACT continues to monitor the progress of the Section 5 Grants Pilot related to the implementation of the Digital Accountability and Transparency (DATA) Act. NASACT continues to aid states on new information reporting requirements related to the Affordable Care Act. NASACT provides a forum for members to share information on the reporting provisions required by the Affordable Care Act and has provided input to the commissioner of the Internal Revenue Service on implementation concerns. NASACT continues to join other state and local government organizations in educating members of Congress on the importance of the tax exemption for municipal bonds. Over the past several years there have been proposals both in Congress and the Administration which would limit or eliminate the tax exemption for municipal bonds. If such proposals were enacted, state and

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local governments would face a decrease in the demand for municipal bonds which would ultimately result in higher costs to build and maintain infrastructure. NASACT continues to support the treatment of certain municipal securities as high-quality liquid assets. Through the Public Finance Network, NASACT has urged Congress to support the passage of H.R. 2209, which would require appropriate federal banking agencies to treat certain municipal obligations as level 2A liquid assets. NASACT worked with The Big 7 and other groups to educate those on Capitol Hill about misinformation related to public pension systems and government bankruptcies. NASACT participated with The Big 7 and other national peer associations to update a fact sheet to help allay attacks on public pensions and to help educate members of Congress. NASACT testified at the following GASB hearings: Fiduciary Activities on April 1. Leases on June 29. NASACT responded to the following due process documents from GASB:

ED on Leases ED on Fiduciary Activities ED on Certain Asset Retirement Obligations ED on Pension Issues ED on Implementation Guide No. 20XX-X ED on Pensions Provided through Certain Multiple-Employer Defined Benefit Pension

Plans ED on Blending Requirements for Certain Component Units ED on Irrevocable Split-Interest Agreements ED on Certain External Investment Pools

NASACT provided multiple training opportunities and technical resources for members.

2015 NASACT Annual Conference – August 2015 2015 NSAA IT Workshop and Conference – September 2015 2016 NASC Annual Conference – March 2016 2016 Middle Management Conference – April 2016 2016 NSAA Annual Conference – June 2016 Webinars featuring the following topics:

- GASB Review (July 2015) - NSAA Excellence Award Winners (October 2015) - Data Act Implications (November 2015) - Digital Trends in Government Finance (January 2015) - The War for Talent (February 2016) - Benford’s Law and Fraud Detection (March 2016) - Uniform Guidelines/Implementation Issues (May 2016)

Technical response networks for state auditors and state comptrollers (ongoing) NASACT continues to offer travel assistance to members to attend the annual conferences. In FY 2016, NASACT offered up to $2,000 for all members or new officials to attend the NASACT annual conference and up to $1,000 for comptrollers and auditors to attend their annual conferences.

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Past financial reports about the Association can be found online at www.nasact.org. Questions about this report may be directed to NASACT’s headquarters office.

Respectfully submitted,

R. Kinney PoynterExecutive Director

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NATIONAL ASSOCIATION OF STATE AUDITORS, COMPTROLLERS AND TREASURERS

EXECUTIVE COMMITTEE 2015-2016

OFFICERS

President First Vice President Calvin McKelvogue David H. Lillard, Jr.

Chief Operating Officer State Treasurer Iowa Tennessee

Second Vice President Secretary Debbie Davenport D. Clark Partridge Auditor General State Comptroller Arizona Arizona

Treasurer

Beth Pearce State Treasurer Vermont

OTHER MEMBERS

Immediate Past President Ronald L. Jones Dianne E. Ray Chief Examiner State Auditor Alabama Colorado Manju Ganeriwala Stacey Pickering State Treasurer State Auditor Virginia Mississippi Anna Maria Kiehl John C. Reidhead State Comptroller/ Director Chief Accounting Officer Division of Finance Pennsylvania Utah Stephen M. Eells Thomas L. White, Jr. State Auditor State Comptroller New Jersey Alabama Mike Frerichs Steve McCoy State Treasurer State Treasurer Illinois Georgia

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NATIONAL ASSOCIATION OF STATE AUDITORS, COMPTROLLERS AND TREASURERS

STAFF

(September 26, 2016)

In Lexington

R. Kinney Poynter, CPA, Executive Director Patsy Hackney, Administrative Assistant Glenda Johnson, Communications Manager Donna Maloy, Conference Manager Kimberly O’Ryan, CPA, NASC Association Director Rebecca Parmley, Bookkeeper Anna Peniston, Professional Education Coordinator Sherri Rowland, CPA, NSAA Association Director Lori Slagle, Finance Manager Kathleen Young, Peer Review Coordinator

In Washington

Cornelia Chebinou, J.D., Washington Director Tanya Grayson, Administrative Assistant Neal Hutchko, Policy Analyst

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Financial Section

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MANAGEMENT’S DISCUSSION AND ANALYSIS The following discussion about the financial performance of NASACT provides a narrative overview and analysis of the financial activities for the fiscal year ended June 30, 2016. Readers are encouraged to consider this narrative in conjunction with the information that is furnished in the letter of transmittal, which can be found preceding this analysis, and with the basic financial statements that follow. Activities that are normally intended to recover all or a significant portion of their costs through user fees and charges to external users of goods and services are required to report as business-type activities. Since NASACT’s activities are expected to recover their costs, the Association reports as a business-type activity. HIGHLIGHTS Net Position The assets of NASACT exceeded liabilities at fiscal year-end by $2,277,536 (presented as “Total net position”). Of this amount $1,707,411 was reported as “Unrestricted.” In FY 2015, net position exceeded liabilities by $2,427,311 and unrestricted net position was $1,850,381. The unrestricted net position represents the amount available to meet ongoing obligations. Change in Net Position In FY 2016, NASACT’s total net position decreased by $149,775. OVERVIEW OF THE FINANCIAL STATEMENTS This overview and analysis is intended to serve as an introduction to the Association’s basic financial statements, which include two components: (1) the financial statements and (2) notes to the financial statements. This report also contains other information, such as the budgetary and statistical sections. These components are described below. Financial Statements Because NASACT reports as a business-type activity, it presents the statements required for that type of entity. The statements provide both short-term and long-term information about the Association’s financial position. These statements are prepared using the flow of economic resources measurement focus and the accrual basis of accounting, the same measurement focus and basis of accounting that is used in the private sector. These financial statements take into account all revenues and expenses related to the fiscal year regardless of whether the cash involved has been received or disbursed. The financial statements include three statements:

1. The Statement of Net Position (page 18) presents the Association’s assets and liabilities, with the difference between the two reported as “Total net position.” Over time, increases or decreases in the Association’s net position serve as an indicator of whether the financial position of NASACT is improving or deteriorating.

2. The Statement of Revenues, Expenses and Changes in Fund Net Position (page 19) presents

information regarding how net position changed during the fiscal year. All changes in net position are reported when the underlying event occurs, regardless of the timing of the related cash flow. Thus, revenues and expenses are reported in this statement for items that will not result in cash transactions until future fiscal periods (such as uncollected contract revenues and earned, but not used, personal leave).

3. The Statement of Cash Flows (page 20) presents the cash receipts and cash payments occurring

during the fiscal year. In this statement, changes in net cash are reported when the cash transaction occurs, regardless of the timing of the underlying events. This report provides users

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with the information needed to assess the Association’s ability to generate future cash flows and meet obligations as they come due and to assess operating versus investing activities.

Notes to the Financial Statements The Notes to the Financial Statements provide additional information that is essential to a full understanding of the data provided in the financial statements. The notes to the financial statements may be found immediately following the financial statements, pages 21 through 25. Other Information Following the Basic Financial Statements is other information which further explains and supports the information in the financial statements. FINANCIAL ANALYSIS OF NASACT The condensed information below was derived from NASACT’s Statement of Net Position at June 30, 2016, and June 30, 2015. The net position at June 30, 2016, is $2,277,536 a decrease of $149,775 from fiscal year 2015’s net position of $2,427,311.

AmountJune 30, 2016 June 30, 2015 Change % Change

Current assets 1,173,322$ 1,175,931$ (2,609)$ 0%Capital assets 570,125 576,930 (6,805) -1%Other assets 2,475,000 2,475,000 - 0%

Total assets 4,218,447 4,227,861 (9,414) 0%

Current liabilities 1,780,872 1,662,674 118,198 7%Noncurrent liabilities 160,039 137,876 22,163 16%

Total liabilities 1,940,911 1,800,550 140,361 8%

Investment in capital assets 570,125 576,930 (6,805) -1%Unrestricted net position 1,707,411 1,850,381 (142,970) -8%

Total net position 2,277,536$ 2,427,311$ (149,775) -6%

Net Position as of

Current assets include cash, investments, deposits, accounts receivable, accrued interest receivable, employee cafeteria plan receivable, prepaid expenses and restricted cash. As shown above, current assets decreased slightly from June 30, 2015. Capital assets decreased about one percent due to depreciation. Other assets, which are investments, remained unchanged. Current liabilities include accounts payable, capital lease payable, salaries payable, unearned income and the current portion of compensated absences. Current liabilities increased seven percent mainly due to an increase in payables owed to vendors. Noncurrent liabilities consist of the long-term portion of compensated absences. Total liabilities increased eight percent compared to FY 2015. The larger component of NASACT’s net position (75 percent) is the unrestricted portion, which is resources that may be used at the Association’s discretion to meet ongoing obligations. Unrestricted net position was 76 percent at June 30, 2015. The remaining portion of net position represents NASACT’s investment in capital assets, such as an office building, office equipment, furniture and software applications. The Association uses these assets to provide services to members; these assets are not available for future spending. After netting capital asset acquisitions, net investment in capital assets decreased by approximately one percent. The decrease is due to depreciation.

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The following condensed financial information was derived from NASACT’s Statement of Revenues, Expenses and Changes in Net Position for the years ended June 30, 2016, and June 30, 2015.

Statement of Changes in Net PositionAmount

2016 2015 Change % ChangeRevenues

State dues 632,700$ 602,264$ 30,436$ 5%Technical service fees 236,000 236,000 - 0%Corporate associates 452,500 399,500 53,000 13%Sponsor fees 140,500 124,500 16,000 13%Registration fees 581,546 556,537 25,009 4%Contract revenue 263,719 225,585 38,134 17%Admin service reimbursements 409,710 446,115 (36,405) -8%Admin service fees 73,340 60,833 12,507 21%Interest revenue 57,081 48,135 8,946 19%Miscellaneous revenue 13,538 24,777 (11,239) -45%

Total revenues 2,860,634 2,724,246 136,388 5%

ExpensesSalaries and employee benefits 1,364,260 1,307,011 57,249 4%Meeting expense 601,547 449,138 152,409 34%Admin service expense 409,287 445,545 (36,258) -8%Travel reimbursements 189,244 156,110 33,134 21%Consultant services 80,025 89,477 (9,452) -11%Rent expense 67,440 63,858 3,582 6%Travel expense 45,670 48,486 (2,816) -6%Supplies expense 38,749 37,285 1,464 4%Consultant expense 29,557 37,350 (7,793) -21%Other expenses 184,630 183,492 1,138 1%

Total expenses 3,010,409 2,817,752 192,657 7%

Increase (decrease) in net position (149,775) (93,506) (56,269) 60%

Net position - beginning 2,427,311 2,520,817 (93,506) -4%Net position - ending 2,277,536$ 2,427,311$ (149,775)$ -6%

for the Fiscal Year Ended June 30,

State dues are payments from states in support of NASACT. State dues increased by $30,000, or five percent, compared to FY 2015. The NASACT Executive Committee previously voted to increase members’ annual dues by 3.5 percent each year. Technical service fees are funds received from states in support of NASC and NSAA. The amount of fees received remained the same for FY 2016 and 2015. Corporate associates are receipts from NASACT’s private sector partners in support of the NASACT annual conference. The FY 2016 and FY 2015 conferences were held in Chicago, IL, and Santa Fe, NM, respectively. The amount of funds collected from corporate associates increased by $53,000 in 2016 compared to 2015 mainly due to an increase in the number of associates contributing at the silver and bronze levels. Corporate associate levels are shown on page 37 in the supplemental information of this report. Sponsor fees are payments from NASACT’s private sector partners in support of the NASC and NSAA annual conferences. Total sponsor fees increased by $16,000 from 2015 attributable to the NASC conference. Registration fees for the organization increased by four percent, or $25,000, compared to FY 2015. Registrations for all conferences increased by $56,000; however, fees collected for webinars and training seminars decreased by $31,000.

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Contract revenue is a combination of payments on contracts for state training seminars and for association management services provided to the Association of Local Government Auditors, the National Association of State Retirement Administrators and the National Association of State Treasurers. Contracts with these associations increased revenue by $58,000. Most of the increase came from a change in the contract with NAST. Revenue from state training seminars decreased by $20,000 in 2016 due to less activity. The administrative services program is comprised of two activities, NSAA’s peer review program and the benchmarking program. It has two sources of revenue, administrative fees and reimbursements, the latter of which is offset by administrative service expense. Both the revenues and expenses for these activities vary based on program participation during the fiscal year. Administrative service reimbursements for peer review and benchmarking totaled $409,000 for FY 2016 compared to $446,000 for FY 2015. The organization scheduled 19 peer reviews in FY 2016 and collected $66,500 in administrative fees. In 2015, team members performed 15 peer reviews. The service fees for benchmarking amounted to $6,800 in 2016 compared to $8,000 in FY 2015. Interest revenue is generated on the Association’s investments in savings and certificates of deposit. Interest revenue increased $9,000 from FY 2015 due to laddering of certificates of deposit for longer terms with higher interest rates. The majority of miscellaneous revenue comes from the recognition of unearned income used to cover the costs of NASACT representatives attending meetings in support of GASB-related activities. The amount of the funds used each year varies. Miscellaneous revenue decreased by $11,000 from FY 2015. Salaries and employee benefits expenses include salaries, insurance, retirement, etc. These amounts increased by $57,000 from FY 2015. The majority of the increase stems from additional salaries expense and changes in cost of insurance. Meeting expenses are associated with the annual conferences held throughout the year. This cost increased in 2016 by $152,000 from FY 2015. The majority of the increase is attributed to the location of the NASACT annual conference held in Chicago, IL. This annual conference coincided with NASACT’s 100th year in existence. Meeting expense for this conference increased by $117,000. Expenses for the NASC and NSAA annual conferences increased by $13,000 and $17,000, respectively. Meeting expense for these conferences is also driven by location. As discussed above, administrative service expense is a combination of expense relating to peer review and the benchmarking program. These expenses are reimbursed by states for participation in these programs. Travel reimbursements are funds returned to attendees of the NASACT, NASC and NSAA annual conferences. The expense increased by $33,000 from FY 2015. The increase came from the NASACT annual conference in Chicago. As part of the 100-year celebration, NASACT reimbursed up to $1,500 in travel for each past president to attend. The combination of reimbursement for the past presidents and an increase in attendees created the additional $33,000. The number of attendees requesting reimbursement for the NASC and NSAA conferences remained the same in both 2016 and 2015. Consultant services are fees charged by professionals to perform specific services for NASACT. The fees for these services decreased by about $9,000 from FY 2015. During FY 2015, NASACT had contracted services for the coordination of educational activities and replacement of the IT manager. These expenses were not necessary in FY 2016. Rent expense is for the staff offices at NASACT’s Washington, D.C. location. This expense increased slightly per the contract with the lessor. Travel expense is derived from staff travel to conferences. This expense decreased slightly from FY 2015. Supplies remained relatively the same from FY 2015. Supplies include paper, toner, cables, folders, etc., and numerous other items that aid in the everyday functions of both offices and for conferences. The purchase of new computers below the capitalization threshold are also included in this line item.

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Consultant expenses decreased by $8,000 from FY 2015 mainly due to a drop in the number of state training seminars. Other expenses include office condo association fees, postage, telephone, printing, bank fees, copier rental, etc. These expenses remained about the same between the two years. BUDGETARY HIGHLIGHTS NASACT’s Executive Committee approves the Association’s annual budget prior to the beginning of the fiscal year. NASACT’s actual financial performance for FY 2016 finished above the approved budget as shown in the other information on page 29. Corporate associates were $52,000 above budget due to additional funds contributed for the NASACT annual conference. Contract revenue came in $65,000 above budget due to changes in contract amounts for NAST and NASRA. Administrative service reimbursements were $72,000 higher than anticipated; the corresponding expense was also higher. This is due to additional benchmarking activity. Supplies and meeting expense were higher than budgeted due to the NASACT annual conference. NASACT’s management is aware of the importance of reducing expenses and pursuing cost-saving techniques. During the past years, staff have aggressively pursued these initiatives. Recently, staff either initiated or continued the following cost-saving and revenue generating techniques:

Invested excess reserves in financial instruments yielding higher returns than the operating account.

Utilized email to distribute information (including electronic publication of the NASACT News), resulting in postage savings.

Utilized frequent flyer miles to the extent possible, reducing travel expenses. Utilized hotel point programs to the extent possible, reducing hotel expenses. Produced and printed conference-related materials in-house, resulting in significant savings in

printing costs. ECONOMIC CONDITION AND OUTLOOK Despite the current economic conditions, the Association experienced a positive financial year due to continued support from members. For FY 2016, NASACT’s budget projected a decrease in net position of $274,000; however, total revenues were somewhat higher than anticipated which allowed the Association to finish the year with a deficit of $150,000. NASACT expects to meet budget in FY 2017. REQUESTS FOR INFORMATION This financial report is designed to provide a general overview of the finances of the National Association of State Auditors, Comptrollers and Treasurers to interested individuals. Questions concerning any of the information provided in this report or requests for additional information should be addressed to NASACT, 449 Lewis Hargett Circle, Suite 290, Lexington, KY 40503, (859) 276-1147.

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National Association of State Auditors, Comptrollers and Treasurers Statement of Net Position

June 30, 2016

The notes to the financial statements are an integral part of this statement.

ASSETSCurrent assets:

Cash and cash equivalents 338,804$ Investments 500,000Deposits held in custody by others 4,700Accounts receivable 144,931Accrued interest receivable 20,372Employee cafeteria plan 1,083Prepaid expenses 32,025Restricted cash 131,407

Total current assets 1,173,322

Noncurrent assets:Investments 1,725,000Restricted investments 750,000Capital assets - building, net of accumulated depreciation 545,519Capital assets - equipment, net of accumulated depreciation 24,606

Total noncurrent assets 3,045,125

Total assets 4,218,447$

LIABILITIESCurrent liabilities:

Accounts payable 182,257$ Salaries payable 42,421Capital lease payable 9,648Unearned income 1,520,666Compensated absences 25,880

Total current liabilities 1,780,872

Noncurrent liabilities:Compensated absences 160,039

Total noncurrent liabilities 160,039Total liabilities 1,940,911

NET POSITIONInvestment in capital assets 570,125Unrestricted 1,707,411

Total net position 2,277,536

Total liabilities and net position 4,218,447$

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National Association of State Auditors, Comptrollers and Treasurers Statement of Revenues, Expenses and Changes in Fund Net Position

For the Period Ended June 30, 2016


OPERATING REVENUES:State dues 632,700$ Technical service fees 236,000Corporate associates 452,500Sponsor fees 140,500Registration fees 581,546Contract revenue 263,719Administrative service reimbursements 409,710Administrative service fees 73,340Miscellaneous revenue 13,538

Total operating revenues 2,803,553

OPERATING EXPENSES:Salaries 1,078,940Employee benefits 285,320Supplies 38,749Postage and handling 6,795Communication services 17,760Copying 3,391Repairs and maintenance 753Continuing education 1,238Consultant services 80,025Consultant expenses 29,557Staff travel 45,670Executive committee/president expense 15,750Meeting expense 601,547Travel reimbursement 189,742Administrative service expense 409,287Printing 31,796Books and periodicals 694Credit card fees 26,807Miscellaneous 1,881Professional membership dues 2,432 Banking service fees 872Rent 67,440Office condo association fees 10,600Utilities 5,328Janitorial services 2,556Copier rental 5,361Software support 17,115Insurance 4,530Auditing 3,693Depreciation - building 19,197Depreciation - equipment 5,583

Total operating expenses 3,010,409Operating income (loss) (206,856)

Nonoperating revenues (expenses)Interest and investment revenue 57,081Interest expense

Total nonoperating revenues (expenses) 57,081

Change in net position (149,775)

Total net position - beginning 2,427,311Total net position - ending 2,277,536$

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National Association of State Auditors, Comptrollers and TreasurersStatement of Cash Flows

For the Year Ended June 30, 2016

Other Cash GASB Cash Total CashCASH FLOWS FROM OPERATING ACTIVITIESReceipts from members 919,800$ $ 919,800$ Receipts from corporate associates 454,000 454,000Receipts from sponsors 140,500 140,500Receipts from participants 561,312 561,312Receipts from contractors 293,141 293,141Receipts from administrative service reimbursements 431,630 431,630Receipts from administrative service fees 73,340 73,340Receipts for cafeteria plan 8,688 - 8,688Other receipts 14,358 - 14,358Payments to vendors (1,504,008) (12,839) (1,516,847)Payments to employees (1,341,291) - (1,341,291)Payments to cafeteria plan participants (10,279) - (10,279)

Net cash provided by operating activities 41,191 (12,839) 28,352

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIESPrincipal paid on capital lease (8,330) - (8,330)

Net cash used by capital and related financing activities (8,330) - (8,330)

CASH FLOWS FROM INVESTING ACTIVITIESProceeds from the sale and maturity of investments 500,000 500,000Purchase of investments and securities (500,000) - (500,000)Interest and dividends 51,526 51,526

Net cash provided by investing activities 51,526 - 51,526Net increase (decrease) in cash and cash equivalents 84,387 (12,839) 71,548

Balances - beginning of the year 254,417 144,246 398,663Balances - end of the year 338,804$ 131,407$ 470,211$

Reconciliation of operating income to net cash provided by operating activities:Operating income (206,856)$ Adjustments to reconcile operating income to net cash provided

by operating activities:Depreciation 24,780

Change in assets and liabilities:Decrease in accounts receivable 46,508Decrease in prepaid expenses 34,290Increase in employee café plan receivable (1,083) Increase in accounts payable 83,071Decrease in employee café plan payable (508)Decrease in salaries payable (958)Increase in unearned income 25,181Increase in compensated absences 23,927

Net cash provided by operating activities 28,352$


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National Association of State Auditors, Comptrollers and Treasurers Notes to the Financial Statements

June 30, 2016

Note 1 Summary of Significant Accounting Policies The accompanying financial statements have been prepared in conformity with generally accepted accounting principles as prescribed by the Governmental Accounting Standards Board. The Association has prepared required supplementary information titled Management’s Discussion and Analysis, which precedes the basic financial statements, and other information, which includes the Budgetary Comparison Schedule, which follows these footnotes.

a. Reporting Entity

The National Association of State Auditors, Comptrollers and Treasurers, an unincorporated association, is an instrumentality of the states. Its mission, as set forth in its constitution, is to assist state leaders to enhance and promote effective and efficient management of government resources. Because of the Association’s standing as an instrumentality of the states, its financial statements have been prepared in accordance with generally accepted accounting principles as prescribed by the GASB.

b. Measurement Focus, Basis of Accounting and Basis of Presentation

The Association is considered a special purpose government and reports as a business-type activity, using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Operating revenues and expenses are distinguished from non-operating items. Operating revenues and expenses result from providing services in connection with ongoing operations. Items not meeting the criteria of operating transactions are recorded as non-operating.

c. Budgetary Data The annual budget for FY 2016 was prepared using the full accrual basis of accounting. The Association’s budget and any subsequent revisions are approved by the Executive Committee.

d. Capital Assets

Capital assets, which include an office building, office equipment, furniture and software, are reported on the Statement of Net Position. The Association defines capital assets as assets that have a cost of $2,000 or more at the date of acquisition and have an expected useful life of more than one year. Capital assets are depreciated using the straight-line method over the assets’ estimated useful lives. Estimated useful lives generally are assigned as follows: building, 39 years; equipment, 2-10 years; furniture, 5-10 years; software, 2-10 years.

e. Business-Type Activity Accounting and Financial Reporting

The Association applies all applicable GASB pronouncements including GASB Statement No. 62, Codification of Accounting and Financial Reporting Guidance contained in Pre-November 30, 1989 FASB and AICPA Pronouncements.

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June 30, 2016

f. Basis for Cash Restriction

NASACT classifies cash into two categories, restricted and unrestricted. Restricted cash balances are cash amounts administered by NASACT, but imposed by law through enabling legislation, which in NASACT’s case is the Executive Committee. Restricted cash balances reported in the financial statements include the balance of the past collections from the states for GASB funding and the employee cafeteria plan. As stated in Note 6, the Financial Accounting Foundation changed the funding mechanism for the GASB in FY 2012 and the NASACT Executive Committee determined that any remaining GASB funds collected by NASACT should be retained by the Association for GASB-related activities. The Executive Committee established a policy in August 2012 specifying the appropriate uses of these funds. All other cash held by the Association is considered unrestricted for reporting purposes.

Note 2 Cash and Cash Equivalents, Restricted Cash and Investments As of June 30, 2016, the Association had the following investments and securities:

Deposit Type Fair Value

Cash: Demand 495,551$ Investments: Certificates of deposit 2,975,000

Total 3,470,551

Net withdrawals and deposits in transit (25,353)

Total cash and investments in bank 3,445,198$

Custodial Credit Risk. Custodial credit risk is the risk that in the event of a bank failure, the Association’s deposits may not be returned to it. The Association’s policy requires bank institutions to provide collateralization in excess of the FDIC limit. As of June 30, 2016, none of the Association’s total bank deposits were exposed to custodial credit risk. Interest Rate Risk. Managing interest rate risk limits NASACT’s exposure to fair value losses arising from changes in interest rates. According to the Association’s investment policy, at least one third of the net financial assets of the Association may be invested in instruments with a maturity of no more than 13 months. The remainder of the assets may be invested in financial instruments with a maturity of no more than five years with adequate laddering to ensure that the average life shall be no greater than two and a half years. As of June 30, 2016, the Association had ten investments with a maturity greater than one year.

22


June 30, 2016

Note 3 Accounts Receivable Accounts receivable have been aggregated and presented in the financial statements. Detailed information is presented below:

Benchmarking 67,980$ Contracts 61,754 Other 6,239 Registrations 5,380 Peer Review 3,578

Accounts receivable, June 30, 2016 144,931$

Note 4 Capital Assets The Association’s investment in capital assets as of June 30, 2016, totals $570,125 (net of accumulated depreciation). This investment in capital assets includes the headquarters office, furniture, equipment and software. Capital asset activity for the year ended June 30, 2016, is summarized below:

Beginning EndingBalance Increases Decreases Balance

Capital assetsBuilding 748,689$ -$ -$ 748,689$ Furniture 27,051 12,806 14,245 Equipment 44,582 17,978 17,264 45,296 Software 25,171 5,899 19,272

Total capital assets 845,493 17,978 35,969 827,502

Less accumulated depreciationBuilding 183,973 19,197 203,170 Furniture 22,947 931 12,806 11,072 Equipment 36,472 4,654 17,263 23,863 Software 25,172 5,900 19,272

Total accumulated depreciation 268,564 24,782 35,969 257,377

Capital assets, net 576,929$ (6,804)$ -$ 570,125$

Note 5 Accounts Payable Accounts payable have been aggregated and presented in the financial statements. Detailed information is presented below:

Vendors 102,463$ Benchmarking 66,000 Payroll Taxes 7,579 Retirement 6,215

Accounts payable, June 30, 2015 182,257$

23


June 30, 2016

Note 6 Unearned Income As stated in Note 1, amounts collected by NASACT for the GASB are considered restricted cash. During FY 2012, the Financial Accounting Foundation changed the method of collecting funds in support of the GASB. At June 30, 2012, the remaining funds were set aside to be used for GASB-related activities such as travel by members to GASB hearings. The balance of the account at June 30, 2015, was $894,000. During FY 2016, the association used approximately $13,000. The balance at June 30, 2016 is $881,000. The remaining $639,000 in unearned income consists of dues, technical assessments, registrations and corporate associates relating to FY 2017. Note 7 Compensated Absences Compensated absences activity for the year ended June 30, 2016, is summarized below. Of this amount, $25,880 is considered a current liability.

Compensated absences, July 1, 2016 161,992$ Additions 24,971 Deletions 1,044 Compensated absences, June 30, 2016 185,919$

Note 8 Leases The following is a schedule of future minimum rental payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of June 30, 2016:

Year Ending June 30 Office Space Copier Total 2017 56,665 5,196 61,861 2018 56,916 5,196 62,112 2019 57,131 5,196 62,327

2020 and thereafter 33,380 5,196 38,576

Total future minimum lease payments 204,092$ 20,784$ 224,876$

The following schedule shows the composition of total rental expenditures for all operating leases:

For the Year Ended

June 30, 2016Minimum rentals:

Office space 67,440$ Copier 5,361

Total 72,801$

24


June 30, 2016

Note 9 Retirement Plan Generally, all employees are eligible to participate in the Teachers’ Insurance and Annuity Association/College Retirement Equities Fund, a privately administered, defined contribution retirement plan. Participant eligibility and contributory requirements are established in the Retirement Resolution. Employees contribute five percent of gross wages and the Association contributes ten percent of gross wages. The Association will match additional employee contributions up to five percent. After an employee completes 25 years of service and reaches age 60, or after completing 30 years of service and reaching age 55, the Association contributes an additional ten percent of gross wages, for a total employer contribution of 20 percent. The Association assumes no liability other than its contributions. The plan administrator’s annual report may be obtained by writing to: TIAA-CREF, 730 Third Avenue, New York, NY 10017. For the year ended June 30, 2016, the Association had a total payroll of $1,078,940 of which $1,063,197 was covered by the plan. Employee contributions for the plan years ending June 30, 2016, 2015, and 2014, were $118,079, $114,952, and $109,929, respectively. Employer contributions for the plan years ending June 30, 2016, 2015, and 2014 were $153,771, $149,924, and $138,973, respectively. Note 10 Risk Management and Insurance Coverage Association employee benefits for health, dental, long-term disability and life insurance coverage are fully insured through commercial carriers. A commercial insurance carrier provides coverage for property exposure. There were no reductions in commercial insurance coverage during the fiscal year ended June 30, 2016. The Association does not participate in any risk pools. Note 11 Disposition of NSAA Portion of Unrestricted Net Position In fiscal year 2001, the National State Auditors Association eliminated support for the training packages component of the State Auditor Training Program and designated the remaining balance of $139,547 at June 30, 2001, until further study and analysis could be performed regarding the appropriate distribution of the training packages balance. After applying the provisions of GASB 34, the designated balance was reduced to $134,884 and is reflected as a component of Unrestricted Net Position. On March 24, 2003, the NSAA Executive Committee approved a scholarship program to assist members/speakers in attending NSAA conferences. The scholarships are funded by the interest earned on the training fund; the principal will remain intact.

25


26

Other Information

27


28

National Association of State Auditors, Comptrollers and TreasurersBudgetary Comparison Schedule

For the Period Ended June 30, 2016

VarianceFavorable

Original Final Actual (Unfavorable)Operating Revenues:

State dues 617,000$ 617,000$ 632,700$ 15,700$ Technical Assessments 236,000 236,000 236,000 Corporate associates 400,000 400,000 452,500 52,500 Sponsor fees 129,500 129,500 140,500 11,000 Registration fees 548,200 548,200 581,546 33,346 Contract revenue 198,250 198,250 263,719 65,469 State Reimbursement 338,000 338,000 409,710 71,710 Administrative Fees 67,740 67,740 73,340 5,600 Sale of publications Miscellaneous revenue 17,300 17,300 13,538 (3,762)

Total operating revenues 2,551,990 2,551,990 2,803,553 251,563

Operating Expenses:Salaries 1,079,078 1,079,078 1,078,940 138 Fringe Benefits 274,509 274,509 285,320 (10,811) Supplies 23,225 23,225 38,749 (15,524) Postage and Handling 6,700 6,700 6,795 (95) Communication services 20,270 20,270 17,760 2,510 Copying 10,300 10,300 3,391 6,909 Equipment Repairs/Maintenance 500 500 753 (253) Continuing Education 1,500 1,500 1,238 262 Consultant Services 77,600 77,600 80,025 (2,425) Consultant Expenses 38,400 38,400 29,557 8,843 Staff Travel 45,300 45,300 45,670 (370) President/Executive Ctte Expense 12,300 12,300 15,750 (3,450) Meeting expense 559,570 559,570 601,547 (41,977) Travel reimbursement 197,500 197,500 189,742 7,758 Administrative service expense 338,000 338,000 409,287 (71,287) Printing 24,100 24,100 31,796 (7,696) Books and periodicals 2,450 2,450 694 1,756 Credit card fees 24,050 24,050 26,807 (2,757) Miscellaneous 2,300 2,300 1,881 419 Professional membership dues 200 200 2,432 (2,232) Banking service fees 4,000 4,000 872 3,128 Rent 65,600 65,600 67,440 (1,840) Condominium association fees 12,500 12,500 10,600 1,900 Utilities 3,900 3,900 5,328 (1,428) Janitorial services 2,500 2,500 2,556 (56) Copier rental 5,200 5,200 5,361 (161) Software support 15,600 15,600 17,115 (1,515) Insurance 4,000 4,000 4,530 (530) Auditing 4,000 4,000 3,693 307 Depreciation - Building 19,197 19,197 19,197 Depreciation - Equipment 8,500 8,500 5,583 2,917

Total operating expenses 2,882,849 2,882,849 3,010,409 (127,560) Operating income (loss) (330,859)$ (330,859)$ (206,856)$ 124,003$

Nonoperating revenues (expenses)Interest and investment revenue 57,300 57,300 57,081 (219) Interest expense

Total nonoperating revenues (expenses) 57,300 57,300 57,081 (219)

Change in net assets (273,559) (273,559) (149,775) 123,784 Total net assets - beginning 2,427,311 2,427,311 2,427,311 Total net assets - ending 2,153,752$ 2,153,752$ 2,277,536$ 123,784$

Budgeted Amounts

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30

National Association of State Auditors, Comptrollers and Treasurers Statistical Section

For the Fiscal Year Ended June 30, 2016

This part of NASACT’s Comprehensive Annual Financial Report presents detailed information in the areas listed below to provide a context for understanding what the information in the financial statements and notes says about the Association’s overall financial health. CONTENT Financial Trend Information………………………………………………………………………………………………… 32 These schedules contain trend information to help the reader understand how the Association’s financial performance and fiscal well-being have changed over time. Revenue Information…………………………………………………………………………………………………………. 34 These schedules present information to help the reader evaluate NASACT’s most significant revenue sources: membership dues, registration fees, contract revenue and the corporate associates program. Debt Information………………………………………………………………………………………………………………. 38 These schedules present information to help the reader appraise the Association’s current levels of outstanding debt and the ability to incur debt in the future. Demographic Information…………………………………………………………………………………………………… 39 These schedules offer demographic and economic indicators to help the reader understand the environment within which the Association’s financial activities take place. Operating Information………………………………………………………………………………………………………... 40 These schedules contain operating data to help the reader understand how the information in the Association’s financial report relates to the services it provides and activities it performs. SOURCES Financial information is derived from the financial statements presented in the comprehensive annual financial reports for the relevant years. Non-financial information is derived from various internal sources including, but not limited to, conference databases, source documents, and historical membership files. NOTE Due to the reporting format and definition changes prescribed by GASB Statement No. 34, information for fiscal years 2007-2016 is provided.

31



Financial Trend Information - Net PositionLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Investment in capital assets 570,125$ 576,930$ 602,376$ 622,920$ 641,048$ 656,481$ 685,173$ 557,510$ 587,342$ 598,231$

Unrestricted 1,707,411 1,850,381 1,918,441 1,794,055 1,744,553 1,589,040 1,390,734 1,381,001 1,338,762 1,072,087

Total net position 2,277,536$ 2,427,311$ 2,520,817$ 2,416,975$ 2,385,601$ 2,245,521$ 2,075,907$ 1,938,511$ 1,926,104$ 1,670,318$

32



Financial Trend Information - Changes in Net PositionLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Operating RevenuesNASACT operating 645,788$ 618,699$ 613,056$ 592,655$ 571,698$ 558,051$ 538,925$ 543,925$ 551,825$ 540,151$

Conferences 965,845 840,790 963,508 813,150 726,675 701,378 634,560 663,815 796,655 735,900

Training seminars 172,890 189,691 187,500 195,510 179,925 133,698 162,600 147,480 236,124 148,435

Technical services 236,000 236,000 233,315 233,213 228,208 228,700 218,531 195,500 192,000 188,600

Administrative services 483,050 506,948 652,958 720,409 1,173,120 743,780 248,153 635,407 1,630,812 1,313,699

Cooperative efforts 66,061 100,556 99,479 73,371 46,569 73,621 78,038 52,174 55,723 70,430

Contracts 233,669 175,085 130,677 130,913 90,940 86,695 73,160 69,081 114,597 125,322

Miscellaneous 250 8,342 79,361 450 15,428 11,596 12,027 11,848 12,332 12,589

Total operating revenues 2,803,553 2,676,111 2,959,854 2,759,671 3,032,563 2,537,519 1,965,994 2,319,230 3,590,068 3,135,126

Operating ExpensesNASACT operating 1,103,178 1,130,616 950,971 875,014 702,433 671,679 685,697 676,267 672,173 632,023

Conferences 805,837 591,598 814,764 678,948 568,354 522,060 451,013 578,722 583,759 447,869

Training seminars 149,176 157,166 142,793 143,934 125,052 111,257 114,645 103,770 173,222 113,667

Technical services 233,650 248,022 219,929 204,029 234,512 245,023 238,959 263,913 223,522 196,627

Administrative services 482,333 499,252 630,141 722,623 1,174,419 729,727 263,785 649,627 1,612,061 1,291,079

Cooperative efforts 19,820 19,463 21,915 14,680 10,555 29,097 32,109 25,673 19,626 12,150

Contracts 216,415 171,635 116,494 131,014 109,004 112,209 103,672 88,102 147,641 161,875

Total operating expenses 3,010,409 2,817,752 2,897,007 2,770,242 2,924,329 2,421,052 1,889,880 2,386,074 3,432,004 2,855,290

Operating income (loss) (206,856) (141,641) 62,847 (10,571) 108,234 116,467 76,114 (66,844) 158,064 279,836

Nonoperating Revenues (Expenses)Interest and investment revenue 57,081 48,135 40,995 41,945 31,846 53,147 62,989 88,153 106,648 90,733

Interest expense (1,707) (8,902) (8,926) (8,901)

Loss on disposal of assetsNonoperating income (loss) 57,081 48,135 40,995 41,945 31,846 53,147 61,282 79,251 97,722 81,832

Change in net position (149,775)$ (93,506)$ 103,842$ 31,374$ 140,080$ 169,614$ 137,396$ 12,407$ 255,786$ 361,668$

33



Revenue Information - Membership DuesLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Dues billed 811,700$ 766,600$ 741,450$ 721,000$ 726,000$ 730,500$ 702,000$ 697,000$ 692,000$ 691,500$

Dues paid by members 632,500 602,264 583,050 552,500 560,500 552,625 538,625 543,625 551,625 540,125

Membership dues per tier1 (staff > 500) 5,600$ 5,400$ 5,200$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$

2 (staff 300 - 499) 5,000 4,800 4,700 4,500 4,500 4,500 4,500 4,500 4,500 4,500

3 (staff 175 - 299) 4,500 4,300 4,100 4,000 4,000 4,000 4,000 4,000 4,000 4,000

4 (staff 100 - 174) 3,900 3,700 3,600 3,500 3,500 3,500 3,500 3,500 3,500 3,500

5 (staff < 100) 3,400 3,200 3,100 3,000 3,000 3,000 3,000 3,000 3,000 3,000

NOTE The current dues structure was instituted in fiscal year 2012.

34



Revenue Information - Registration FeesLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Registration revenueAudio conferences/webinars 65,861$ 100,556$ 99,219$ 72,571$ 46,129$ 73,027$ 77,291$ 50,539$ 54,134$ 53,188$

NASACT 176,340 143,880 172,290 120,225 79,525 87,830 82,875 121,100 136,750 98,825

NASC 30,950 25,650 31,150 35,050 26,400 31,900 20,950 16,400 26,500 26,100

NSAA 118,805 109,435 101,318 88,100 89,525 87,100 69,975 76,220 115,100 102,730

NSAA/NASC Middle Management 46,750 37,825 42,500 43,775 32,725 27,650 36,260 31,595 46,805 64,995

Tennessee training seminars 142,840 139,191 157,500 151,010 143,175 121,700 130,600 132,480 113,875 113,435

Total registration revenue 581,546$ 556,537$ 603,977$ 510,731$ 417,479$ 429,207$ 417,951$ 428,334$ 493,164$ 459,273$

Number of conferences heldAudio conferences/webinars 7 7 9 6 4 6 5 4 4 4

NASACT 1 1 1 1 1 1 1 2 2 2

NASC 1 1 1 1 1 1 1 1 2 2

NSAA 2 2 2 2 2 2 2 2 3 4

NSAA/NASC Middle Management 1 1 1 1 1 1 1 1 1 1

Tennessee training seminars 4 4 4 4 4 4 4 4 4 4

Total number of conferences held 16 16 18 15 13 15 14 14 16 17

Number of attendees

Audio conferences/webinars a 368 626 451 283 198 328 282 231 196 200

NASACT 393 320 364 290 251 285 259 297 301 316

NASC 157 134 151 170 147 135 102 115 147 164

NSAA 146 253 244 104 178 189 189 257 372 317

NSAA/NASC Middle Management 129 115 118 118 91 84 108 92 135 186

State and local conferencesTennessee training seminars 612 628 663 632 615 552 558 539 491 518

Total number of attendees 1,805 2,076 1,991 1,597 1,480 1,573 1,498 1,531 1,642 1,701

CPE credits issuedAudio conferences/webinars 5,692 8,663 8,597 6,546 6,351 6,600 7,330 4,878 5,792 6,170

NASACT 2,299 1,599 1,898 1,702 1,264 927 992 1,630 1,581 1,711

NASC 1,099 789 1,110 1,247 1,090 981 855 565 889 907

NSAA 1,595 3,874 3,140 1,144 2,780 1,125 2,318 3,493 4,860 4,010

NSAA/NASC Middle Management 1,880 1,500 1,710 1,836 1,344 1,102 1,590 1,433 1,989 2,886

Tennessee training seminars 8,660 8,586 9,161 9,074 8,353 7,861 7,342 8,066 7,425 7,540

Total CPE credits issued 21,225 25,011 25,616 21,547 21,182 18,596 20,427 20,065 22,536 23,224

NOTES a Registrations for webinars are by site, not by individual attendee.

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Revenue Information - Contract Revenue

Last Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008

Contract revenue

ALGA 116,710$ 110,125$ 99,008$ 100,844$ 90,940$ 86,695$ 73,160$ 69,081$ 61,380$

eC3 53,217

NASRA 30,459 28,210 31,669 30,069

NAST 86,500 36,750

Training seminars 30,050 50,500 30,000 45,100 36,750 11,988 32,000 15,000 122,249

U.S. Department of State 6,029 20,742

Total contract revenue 263,719$ 225,585$ 166,706$ 196,755$ 127,690$ 98,683$ 105,160$ 84,081$ 236,846$

Types of services contracted

ALGA A, C, F A, C, F A, C, F A, C, F A, C, F A, C, F A, C, F A, C, F A,C,F

eC3 A, C, F, I

NASRA A, F A, F A, F A, F

NAST C, F C, F

Training seminars T T T T T T T T T

U.S. Department of State A, F, T A, F, T

Number of contracts

ALGA 1 1 1 1 1 1 1 1 1

eC3 2

NASRA 1 1 1 1

NAST 1 1

Training seminars 6 9 8 7 7 7 11 6 18

U.S. Department of State 1 1

Total number of contracts 9 12 11 10 8 8 12 7 21

KEY A Administrative C Conference F Financial I Information technology T Technical

36



Revenue Information - Corporate Associates ProgramLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Corporate associates revenue per level

Bronze 48,000$ 60,000$ 66,000$ 50,000$ 50,000$ 55,000$ 72,500$ 65,000$ 70,000$ 95,000$

Silver 162,500 122,500 163,000 137,500 137,500 100,000 114,500 112,500 125,000 112,500

Gold 50,000 25,000 75,000 100,000 25,000 100,000 50,000 75,000 75,000 75,000

Platinum 180,000 180,000 165,000 90,000 170,000 145,000 130,000 90,000 90,000 80,000

Other 12,000 12,000 3,000 3,500 9,500 3,000 3,500 11,500 57,000 10,750

Total corporate associates revenue 452,500$ 399,500$ 472,000$ 381,000$ 392,000$ 403,000$ 370,500$ 354,000$ 417,000$ 373,250$

Corporate associates levels

Bronze 6,000$ 6,000$ 6,000$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$ 5,000$

Silver 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500

Gold 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000

Platinum a 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000 40,000

Corporate associates per level

Bronze 8 11 11 10 10 11 14 13 14 19

Silver 13 9 13 11 11 8 9 9 10 9

Gold 2 1 3 4 1 4 2 3 3 3

Platinum 3 4 3 2 4 3 3 2 2 2

Other 4 4 1 2 3 1 3 4 5 7

Total number of corporate associates 30 29 31 29 29 27 31 31 34 40

NOTES a Platinum level is $40,000 and above. This level was established in 2005.

37



Debt Information Last Nine Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Capital debt, beginning balance -$ -$ -$ -$ -$ -$ 159,625$ 159,625$ 159,625$ 159,625$

Capital debt incurredCapital debt principal payments 159,625

Capital debt, ending balance -$ -$ -$ -$ -$ -$ -$ 159,625$ 159,625$ 159,625$

Capital debt per dues paying member -$ -$ -$ -$ -$ -$ -$ 1,200$ 1,174$ 1,183$

Capital debt incurredCapital debt principal payments

Capital debt per dues paying member -$ -$ -$ -$ -$ -$ -$ 1,200$ 1,174$ 1,183$

38



Demographic InformationLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Membership by category Auditor 56 57 57 56 54 53 55 56 53 55 Comptroller 53 51 51 54 53 55 55 50 52 51 Treasurer 31 31 32 30 31 29 24 27 30 28Total membership 140 139 140 140 138 137 134 133 135 134

Operating Information - Full-Time EquivalentsLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

NASACT operating 5.81 6.40 6.77 6.61 6.86 7.07 7.13 7.27 6.69 6.82

Conferences 1.25 1.00 1.60 1.11 1.22 1.09 1.08 1.44 1.46 1.43

Training seminars 0.18 0.17 0.16 0.16 0.14 0.16 0.21 0.10 0.23 0.23

Technical services 1.51 1.57 1.62 1.53 1.54 1.72 1.70 1.81 1.44 1.34

Administrative services 0.67 0.56 0.74 0.82 0.97 0.71 0.76 0.68 0.57 0.77

Cooperative efforts 0.10 0.07 0.12 0.09 0.06 0.07 0.10 0.10 0.07 0.02

Contracts 1.84 1.47 1.39 1.56 1.09 1.22 1.11 1.00 1.42 1.42

Total full-time equivalents 11.36 11.24 12.40 11.88 11.88 12.04 12.09 12.40 11.88 12.03

39



Operating Information - Employee Count

Last Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Total employee count 15 14 13 15 13 13 13 13 13 13

Operating Information - Capital AssetsLast Ten Fiscal Years 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Capital assets by classificationBuilding 545,519$ 564,715$ 583,913$ 603,111$ 622,309$ 641,505$ 660,703$ 679,900$ 699,097$ 718,294$

Furniture 3,173 4,104 5,528 3,054 5,029 7,006 9,274 11,543 13,811 16,080

Equipment 21,433 8,111 11,937 13,759 13,710 7,970 12,650 17,392 16,512 10,272

Software 998 2,996 2,546 8,300 17,547 13,210

Total capital assets by classification 570,125$ 576,930$ 602,376$ 622,920$ 641,048$ 656,481$ 685,173$ 717,135$ 746,967$ 757,856$

BuildingSquare footage 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200 5,200

EquipmentLaptops 3 13 16 11 11 10 10 9 10 8

Desktops 1 2 2 2 2 3 3 4 5 7

Servers 2 2 1 1 1 1 1 1 1 1

Software applications 1 9 9 9 8 8 8 8 8 7

40

41

42

Headquarters Office449 Lewis Hargett Circle, Suite 290Lexington, KY 40503-3590P (859) 276-1147, F (859) 278-0507

Washington OfficeThe Hall of the States444 N. Capitol Street, NW, Suite 234Washington, DC 20001P (202) 624-5451, F (202) 624-5473

www.nasact.org

The National Association of State Auditors, Comptrollers and

Treasurers is an organization for state officials responsible for

the financial management of state government.

Documents

CAFR Comprehensive Annual Financial Report · NASACT continues to aid states as they implement OMB’s Uniform Guidance and GASB’s pension standards. NASACT provided input to the