(^jygi - Louisianaapp1.lla.la.gov/PublicReports.nsf/C0F6A4C7AFCA2C5C862575...m412 439.539 215.510 50.985 7.854 713.888 529.636 50.000 579.636 134.252 CAPITAL ASSETS At the end of 2(X)8

^ 0 ^ ^

RUSTON-LINCX)LN CONVENTION AND

VISITORS BUREAU

RUSTON, LOUISIANA

DECEMBER 31,2008

/.cier provisions of state law, this report is a pubnc document. Acopy of the report has been submitted Xo the entity and other appropriate public officials. The report is available for public inspection at the Baton Rouge office of the Legislative Auditor and, where appropriate, at the office of the parish clerk of court

Release Date (^jygi

RUSTQN-LINCOLN CONVENTION AND VISITORS BUREAU

RUSTON. LOUISIANA

TABLE OF CONTENTS

Page

RcQoired Supplemental Infomiation (Part A>

Managements Discussion and Analysis (Unaudited) i-iii

AUDITED FINANCIAL STATEMENTS

Independent Auditor's Report 1-2

Govemmental Activities

Gov»nment-Wide Financial Statements: Statement of Net Assets 3 Statement of Activities 4

Fund Financial Statements: Balance Sheet-Goveramental Funds 5 Reconciliation of Total Govemmental Fund Balances to Net Assets of

Governmental Activities 6 Statement of Revenues, Expenditures, and Changes in FUnd Balance-

Governmental Funds 7-8 Reconciliation of Net Change in Fund Balances-Governmental Funds

to the Statement of Activities 9 Balance Sheet-Proprietary Fund 10 Statement of Revenues, Expenses, and Changes in Fund Net Assets-

Proprietary Fund 11 Statement of Cash Flows-Proprietary Fund 12

Notes to Financial Statements 13-16

Required Supplemental Information fPartB> Budgetary Comparison Schedule-General Fund 17-18 Notes to Budgetary Comparison Schedule 19

OTHER SUPPLEMENTAL INFORMATION

Report on Interna] Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Govemment Auditing Standards 20-21

Schedule of Findings and Questioned Costs 22

Schedule of Prior Year Findings 23

REQUIRED SUPPLEMENTAL INFORMATION (FART A) MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)

Our discussion and analysis of the financial performance of Ruston-Lincoln Convention and Visitors Bureau provides an overview of the Bureau's financial activities for the fiscal years ended December 31, 2008 and 2007. Please read it in conjunction with the Bureau's fmancial statements.

USING THIS ANNUAL REPORT

This annual report consists of a series of financial statements. The Statement of Net Assets and the Statement of Activities provide information about the activities of the Bureau as a whole. Fund financial statements start on Page 5. For govemmental activities, these statements tell how these services weie financed in the short-term as well as what remains for future spending. Fund financial statements also report the Bureau's operations in more detail than the govemment-wide statements by providing information about the Bureau's most significant funds. The accompanying financial statements present information only on the funds maintained by the Bureau.

Reporting the Funds Maintained by Uie Bureau as a Whole

The Statement of Net Assets and the Statement of Activities

Our analysis of the fimds maintained by the Bureau as a whole begins on Page 3. The Statement of Net Assets and the Statement of Activities report information about the funds maintained by the Bureau as a whole and about its activities. These statements include all assets and liabilities using the accraal basis of accounting.

These two statements report the Bureau's net assets and changes in them. The Bureau's net assets - the difference between assets and liabilities - is one way to measure the Bureau's financial health, or financial position. Over time, increases or decreases in the Bureau's net assets are one indicator of whether its financial health is in^>roving or deteriorating.

In the Statement of Net Assets and the Statement of Activities, we record the activities in the funds maintained by the Bureau as govemmental activities:

Govemmental activities - expenses related to, and resources provided for, the solicitation and servicing of conventions and visitor activities.

Proprietary Fund - is used to account for operations (a) that are financed and operated in a manner similar to private business enterprises - where the intent of the goveming body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or (b) where the goveming body has decided the periodic determination of revenue eamed, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability, or other purposes.

Reporting the Most Significant Funds Maintained by the Bureau

Our analysis of the major funds maintained by the Bureau begins on Page S. The fund financial statements provide detailed information about the most significant fimds maintained by the Bureau - not necessarily the Bureau as a whole. The Bureau's funds use the following accounting approaches.

Govemmental fund - All of the Bureau's expenses are reported in a govenmiental fund, which focuses on how money flows into and out of this fund and the balances left at year-end that arc available for spending.

This fund is reported using an accounting metiiod called modified accrual basis. The govemmental fund statentents provide a detailed short-term view of the Bureau's operations and the expenses paid from the fund. Govemmental fund information helps you determine whether there are more or fewer financial resources that can be spent in the near future to finance certain Bureau expenses.

THE FUNDS MAINTAINED BY THE BUREAU AS A WHOLE

The Bureau's total net assets changed from a year ago, increasing from $490,675 to $6(X),087. This increase anoounted to $109,412, or 22.3%.

Oirrent assets Other assets Capital assets, net

Total assets

Current liabilities Long-term liabilities

Total liabilities

Net assets: Unreserved and undesignated

Total net assets

Revenues Government Business-type Interest Other

Total revenues

Expenses Govemment Business-type

Increase in net assets

Table 1 Net Assets

Govenmient-Wide Activities 2008 2007

265.851 22,129

^169,883 2,457.863

187,776 1,670,000, 1,857.776

600.087 600.087

Table 2 Changes in Net Assets

1,554,683 24.682

912.£52 2.491,417

160,742 1.840,000 2,000,742

4?0,675 490.675

Govemment-Wide Activities 2008 2007

476,458 244.116

17.126 44,028

781.728

632.372 39,944

672,316

m 4 1 2

439.539 215.510 50.985 7.854

713.888

529.636 50.000

579.636

134.252

CAPITAL ASSETS

At the end of 2(X)8. the Bureau had invested $2,169,883 in capital assets from those funds maintained by the Bureau.

Tables Capital Assets At Year End

Building Constmction in progress Land Fumiture and equipment Less-accumulated depreciation

Govemment-Wide Activities 2008

1.636,569 -

414.576 174.089 (55,351)

2007

_

490.742 414.575

35,663 (28,928)

The years* major additions included:

Building 1-169-9^9 z ^

Constmction in progress - 490.742

Land ^ 414.575

Fumiture and equipment 128.Q^g -

FUTURE OPERATIONS

The Bureau derives the majority of its revenue from two main sources. At the local level, the Bureau receives revenue through the Lincoln Parish Police Jury on the Lodging Tax assessed and collected on hotel/motel revenue. On the state level, the Bureau receives revenue from the State of Louisiana as an allocation of the state sales tax allocated to Dncoln Parish. The Bureau does not expect any major fluctuations in these revenues in the succeeding year. In 2007, the Bureau began the acquisition of financing and plaiming the construction of a new Convention and Visitor's Center. The commencement of constmction and placement in service of the Convention and Visitor's Center was completed in the spring of 2008. The conq>letion of the new fiicility substantially increased the capital assets of the Bureau, while providing a new and spacious facility for the Bureau to operate on a daily basis, as well as providing a venue for convention and visitors to the area.

CONTACTING THE BUREAU'S FINANCIAL MANAGEMENT

This financial report is designed to provide our readers with a general overview of the finances for tiiose funds maintamed by the Bureau and to show the Bureau's accountability for the money it receives. If you have questions about this report or need additional fmancial information, please contact Ruston-Lincoln Convention and Visitors Bureau, 2111 North Trenton Street, Ruston, Louisiana 71270.

ui

AUDITED FINANCIAL STATEMENTS

H E A R D M C E L R O Y & V E S T A L

LLP CERTinED PuBuc ACCOUNTANTS

333 TEXAS STRRET

15TH FLOOR

SHREVEFORT, LA 71101

318 429-1523 318 429-2070 FAX POSTOFHCE BOX 1607

SHREVEPORT, LA

71165-1607

PARTCERS

SPKNCER BERNARD, JH., a%

H.Q. GAHACAN, JR., CPA, APC

GERALD W . H E I X X X X K , J R . , CFA, APC

TIM B . NIELSEN, CTA, APC

J O H N W . DEAM, CPA, APC

MARK D . ELDREOCE, CPA

ROBERT L . D E A N , CPA

STEPHEN W . CRAIG, CPA

R O Y E . PRESTWOOD. CPA

A. D . JOHNSON, JR . , CPA

BENJAMIN C . WOODS, CPA/AB\ ' , CVA

ALICE V. FRAZIER, CPA

MELISSA D . MITCHAM, CPA, CPP

OH COUNSEL

GILBERT R. SHANLEY,JR., CPA

C. CODY WHITE, JR., CPA, APC

RON W. STEWART, CPA, APC

March 15,2009

T o the Board of Directors Ruston-Lincoln Convention and Visitors Boieau Ruston, Louisiana

Independent Audi tor ' s Repor t

W e have audited the accoiiq)anying financial statements of the governmental activities, business-type activities of the Ruston-Lincoln Convention and Visitors Buteau, as of and for the year ended December 3 1 , 2008, wtuch collectively con^jtise the basic financial statements of the Ruston-Lincoln Convention and Visitors Bureau as listed in the table of contents. These financial statements are the responsibility of the Ruston-Lincoln Convention and Visitors Bureau's management. Our responsibility is to express opinions on these financial statements based on our audi t

We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained m Govemment Auditing Standards issued by the Comptroller General of the United States. Those standards require tiiat we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. 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 respective financial position of the governmental activities, business-type activities for the Ruston-Lincoln ConventioQ and Visitors Bureau, as of December 31 ,2008, and the respective changes in financial position and cash fiows thereof, for the year then ended, in conformity with accounting principles generally accepted in the United States of America.

In accordance with Government Auditing Standards, we have also issued our report dated March IS, 2009, on our consideration of the Ruston-Lincoln Convention and Visitors Bureau's intemal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. Tlie purpose of that report is to describe the scope of our testing of intemal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the intemal control over financial repottmg on on compliance. That report is an integral part of an audit performed in accordance with Govemment Auditing Standards and should be ccmsidered in assessing the results of our aud i t

¥Msr A PKOPESSIONAL SERVICES FIR.M

SHREVEPORT • W E S T MONROE

hniv®hmvcp3.cotn E-MAIL

www.hmvcpa .com Wwi ADDRKSS

http://www.hmvcpa.com

The acconqwnymg required supplemental infomnation, consisting of management's discussion and analysis and budgetary comparison information on Pages 17 through 19, are not a required part of the basic financial statements but are supplemental information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquuries of management regarding the methods of measurement and presentation of the required supplemental information. However, we did not audit the inforafiation and express no opinion on it.

He«.^. yri%\ry,f Vis^\ . ^

GOVERNMENT-WIDE FINANCUL STATEMENTS

RUSTON-LINCOLN CONVENTION AND VISITORS BUREAU

STATEMENT OF NET ASSETS

DECEMBER 31.2008

Assets; Cash and cash equivalents Certificates of deposit Accounts receivable Prepaid expenses Bond issue costs-net Fixed assets, net of accumulated depreciation

Total assets

Liabilities and net assets: Liabilities:

Accounts payable Accrued payroll liabilities Bonds payable

Total liabilities

Net assets: Unrestricted/undesignated Investment in general fixed assets

Total net assets

Total liabilities and net assets

Governmental Activities

89,293 100,000 75.023

1,535 22,129

2.169.883

Business-Type Activities . Total

89,293 100.000 75.023

1.535 22,129

2.169.883

2.457.863

2 saML

IMLSSi.

10,981 6,795

1.840.000 1,857,776

(1,569.796) 2,169,883

600,087

10,981 6,795

1.840.000 1,857,776

(1,569,796) 2,169,883

600.087

2457.863

The accompanying notes are an integral part of the financial statements.


STATEMENT OF ACnVlTIES

FOR THE YEAR ENDED DECEMBER 31.2008

Ptoeram Revenues

Function/Program Activities Govemmental Activities:

Operating expenditures

Business-Type Activities: Enterprise Fund

Expenses

632,372

39.944

672.316

Charges for Services

44,028

244,116

288.144

Operating Grants and Contributions

Capital Grants and Contributions

General Revenues: Lodging Tax Collections Interest Eamed Transfers

Total General Revenues

Changes in Net Assets

Net Assets-Beginning

Net Assets-Ending


Net (Expense! Revenue and Changes in Net Assets Govemmental Business-Type

Activities Activities Total

(588,344) - (588.344)

204.172 204.172

(588.344) 204,172 (384,172)

476,458

227.105 703,563

115,219

4?4,868

600.087

17.126 (227,1053 f209.979>

(5,807)

5.807

_

476.458 17,126

493.584

109,412

490,675

W9.087

FUND FINANCIAL STATEMENTS


RAT ANPR 5iHPPT-GOVERNMENTAL FUNDS

DECEMBER 31.2008

A S S E T S

Cash and cash equivalents Certificates of deposit Accounts receivable Prepaid expenses Bond issue costs-net

Total assets

LL\BIL1T1ES AND FUND BALANCE

Liabilities: Accounts payable Accrued payroll liabilities

Total liabilities

Fund balance: Unrestricted

Total Liabilities and fund balance

General Fund

89,293 100,000 75,023

1.535 22.129

287.980

10,981 6.795

17,776

270.204

287.980



RECONCILIATION OF TOTAL GOVERNMENTAL FUND BALANCES

TO NET ASSETS OF GOVERNMENTAL ACTIVmES

DECEMBER 31.2008

Total Govemmental Fund Balances 270,204

Amounts reported for govemmental activities in the statement of net assets are different because:

Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds. 2,169,883

Obligations in govemmental activities that do not require current financial resources and are not reported in tiie funds (1.840.000^

Net assets of Govemmental Activities 600.087


RUSTON-UNCQLN CONVENTION AND VISITORS BUREAU

STATEMENT OF REVENUES. EXPENDITURES. AND CHANGES IN FUND BALANCE-

GOVERNMENTAL FUNDS


General Fund

Revenues: Lodging tax collections Other revenues

Total revenues

Exiaenditures: . Accounting/audit Advertising Auto expense Bond principal and interest Brochure distribution Collection administration Dues and subscriptions Grants Hospitality and tourism awareness Miscellaneous expenses OfSce supplies and expense Operating expenses Parish park contributions Payroll expense Payroll taxes Postage Promotional fees Retirement match Showcase Staff training Telephone Travel-air Travel-lodging Travel-meals and entertainment Utilities Acquisitions of fixed assets

Total expenditures

(Deficiency) of revenues over expenditures

476.458 44.028

520.486

7,930 98,684 10,038

236,992 2,000 2,874 6,157

34,335 4,309

12,552 9,970

11,530 80,000

140,138 3,013 2,893 7.133

14,126 26,236 2,040 6,530 3.532 7,627 4,905 9,173

1.244.188 1.988.905

(1,468,419)


RUSTON-LINCOLN CONVENTION AND VISITORS BUfREAU

STATEMENT OF REVENUES. EXPENDITURES. AND CHANGES IN FUND BALANCE-

GOVERNMENTAL FUNDS


General Fund

Other financing somces (usesi: Operating transfers in 5,807 Debt service transfers in 160.000

(Deficiencv') of revenues and other sources over expenditures and other uses (1.302,612)

Fund balances, beginning 1.572.816

Fund balances-ending 270.204



RECONClLL\TION OF NET CHANGE IN FUND BALANCES-GOVERNMENTAL

FUNDS TO THE STATEMENT OF AdTVITIES


Net Change m Fund Balances - Total Govemmental Funds (1,302.612)

Amounts reported for govemmental activities in the statements of activities are different because:

Govemmental funds report capital outlays as expenditures while govemmental activities report depreciation expense to allocate those expenditures over the life of the assets:

Capital assets purchases capitalized 1,244,188 Depreciaticxi expense (47,655) Otiier (9.140)

Change in Net assets in Govemmental Activities 115.219

The acconq)anying notes are an integral part of the fmancial statements.


BALANCE SHEET-PROPRIETARY FUND

DECEMBER 31.2008

Business-Type Activities Enterprise

Fund

Assets: Cash and cash equivalents Certificates of deposit

Total assets

Liabilities and fund balance: Liabilities

Net assets: Accumulated eamings

Total liabilities and net assets


10


STATEMENT OF REVENUES. EXPENSES. AND CHANGES IN FUND NET ASSETS-

PROPRIETARY FUND

FOR THE YEAR ENDED DECEMBER 3 L 2008

Revenues: Enterprise revenue

Expenditures: Special appropriations

Operating income

Nonoperating revenues: Interest income

Other financing resources (uses): Operating transfers out

Change in net assets

Net assets, beginning

Net assets, ending


Fund

244,116

(39,944)

204,172

17.126

(227.105)

(5.807)

5.807


11


STATEMENT OF CASH FLOWS-

PROPRIETARY FUND


Increase In cash and cash equivalents;

Cash floys from operations; Sales taxes received from state Payments to provide services

Net cash provided by operating activities

Cash flows from JnvcstiM activities; Interest income

Net cash provided by investing activities

Cash fflovs tôm noncapital financing activities; Transfer to General Fund

Net cash (used) by noncapital financing activities

Net (decrease) in cash and cash equivalents

Cash and cash equivalents, beginning of year

Cash and cash equivalents, end of year


Fund

244,116 (39.944) 204.172

17.126 17,126

(227.105) (227.105)

(5,807)

5.807

Rccondliation of operating income to net cash provided by operating activities;

Operating income

Net cash provided by operating activities

204.172

^ - n i


12


NOTES TO FINANCIAL STATEMENTS

DECEMBER 31.2008

Summary of Significant Accounting Polidcs The Ruston-Lincoln Convention and Visitors Bureau (the Bureau) was created by the Lincoln Parish Police Jury for the purpose of representing the business and civic community on an organized and nonprofit basis for the solicitation and servicing of conventions and for the promotion of visitor activity within Lincoln Parish.

The Bureau complies with accounting principles generaUy accepted in the United States of America (GAAP). GAAP includes all relevant Govemment Accounting Standards Board (GASB) pronouncements. In the govemment-wide financial statements, Financial Accounting Standards Board (FASB) pronouncements and Accounting Principles Board (APB) opinions issued on or before November 30,1989 have been applied unless those pronouncements conflict with or contradict GASB pronouncements, in which case, GASB prevails. The accounting and reporting framework and the more significant accounting policies are discussed in subsequent sections of this note.

Basis of Presentation In June 1999, the GASB unanimously approved Statement No. 34, Basic Financial Statements • and Management's Discussion and Analysis - for State and Local Govemments. Certain of the ^gnificant changes in the presentation of its funds financial information include, for the first time a Management Discussion and Analysis (MD&A) section providing an analysis of the Bureau's overall financial position and results of operations and financial statements prepared using full accrual accounting for all fund activities. These and other clianges are reflected in the accompanying financial statements including the notes to the financial statements.

Measurement Focus. Basis of Accounting and Financial Statement Presentation

Govemment-Wide Financitd Statements - The govemment-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when eamed and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows.

Govemmental Fund Financial Statements - The govemmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period. The Bureau considers revenues to be available if they are collected within 60 days of the end of the current fiscal year end.

Principal revenue sources considered susceptible to accrual include hotel and motel taxes levied by the Lincoln Parish Police Jury and state sales tax allocated to Lincoln Parish by the State of Louisiana. Some revenue items that are considered measurable and available to finance operations during the year from an accounting perspective are not available for expenditure due to the Bureau's present appropriation system. These revenues have been accrued in accordance with accounting principles generally accepted in the United States of America since they have been eamed and are expected to be collected within sixty days of the end of the period.

13

1. Summary of Significant Accounting Policies (Continued) >

Other revenues are considered to be meastu'able and available only when cash is received by the Bureau. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. A fund is considered major if it is the primaiy operating fund of the Bureau or if its total assets, liabilities, revenues, or expenditures are at least 10% of the corresponding total for all funds of that category or type.

Proprietary Fund Financial Statements - The financial statements of the proprietary funds are reported using the economic resources measurement focus and the accrual basis of accounting, similar to the govemment-wide financial statements described above.

Each proprietary fund has the option under Govemmental Accounting Standards Board (GASB), Statement 20. Accounting and Financial Reporting for Proprietary Funds and Other Govemmental Entities that Use Proprietary Fund Accountings to elect to apply all Financial Accounting Standards Board (FASB) pronouncements issued after November 30,1989, unless FASB conflicts with GASB. The Bureau's enterprise fund has elected not to apply FASB issued after the applicable date.

Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in coiuiection with a proprietary fund's principal ongoing operations. Revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses.

Fund Accounting The financial activities of the Bureau are recorded in individual funds, each of which is deemed to be a separate accounting entity. The Bureau uses fiind accounting to report on its financial position and results of operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain govemment functions or activities. A fiind is a separate accounting entity with a self-balancing set of accounts.

Governmental Funds

General Fund - This fiind accounts for all activities of the Bureau not specifically required to be accounted for in other funds.

Proorietarv Funds

Enterprise Fund - The Enterprise Fund is used for tourism purposes, including the promotion of fairs and festivals in Lincoln parish, and for economic development in Lincoln Parish as provided by Act 983 of the 1992 Regular Legislative Session.

Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contirigent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ firom those estimates.

BudeeHns Procedures Budgets for the Ruston-Lincoln Convention and Visitors Bureau are prepared by the Executive Director and his staff as part of the Bureau's annual planning and budgeting process. The budget is then adopted by the Board of Commissioners. The planning and budgeting process activities encompass a time frame of twelve (12) months to coincide with each fiscal year.

14

1. Summary of Significant Accounting Policies (Continued)

Unexpended budget balances lapse at year end. The Bureau's Board of Commissioners has the authority to nâke changes or amendments within various budget classifications. Budgeted amounts are presented in the financial statements as originally adopted and as amended by the Board.

Cash and Cask Equivalents Cash includes demand deposits, money market accounts and certificates of deposit with maturity dates of three months or less from the end of the year. Und» state law, the Bureau may deposit funds within a fiscal agent bank organized under the laws of the State of Louisiana, the laws of any other state in the Union or the laws of the United States. Further, the Bureau may invest in tiie time deposits or certificates of deposit of state banks organized under Louisiana law and national banks having principal offices in Louisiana.

Valuation of Carrvine Amounts of Deposits Cash is reported at net book value - the year end bank balance plus any deposits in transit and less any outstanding checks that have not cleared the banlcs as of that date.

Fund Equity Equity is classified as net assets and displayed in three components:

a. Invested in capital assets, net of related debt ^ Consists of capital assets including restricted capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes, or other borrowings that are attributable to the acquisition, construction or improvement of those assets.

b. Restricted net assets - Consists of net assets with constraints placed on the use either by (1) extemal groups, such as creditors, grantors, contributors, or laws or regulations of other govemments; or (2) law through constitutional provisions or enabling legislation. There were no restricted net assets at December 31, 2008.

c. Unrestricted net assets - All other net assets that do not meet the definition of' Vestricted" or "invested in capital assets, net of related debt."

2. Cash At year end, the carrying amount (book amount) of the Bureau's cash and cash equivalents was $89,293. Not mcluded in cash equivalents are certificates of deposit held at a local financial institution, with a total value of $100,000.

3. Property and Equipment Capital asset activity for the year ended December 31,2008 is as follows:

Depreciable assets: Building Land Machinery and equipment Construction in progress

Balance 12-31-07

-414,576

35.663 490.742 940,981

Additions

1,169,959 -

128,089 .

1.298.048 Less-accumulated depreciation

Net fixed assets

Disposals

13,795

13,795

Transfers

466,610

24,132 (490,742)

Balance 12-31-08

1,636,569 414,576 174,089

2.225,234 (55.351)

15

Property and Equipment (Continued)

Depreciation expense for the year ended December 31,2(X)8 was $47,655.

Investments The Bureau had no investments at December 31,2008.

Accounts Receivable The accounts receivable at December 31,2(X)8 is as follows:

Lodging tax collections 74,206 Accrued interest 817

Total 75.023

Based on prior experience, the uncollectible receivables are considered immaterial, thus no provision has been made for such loss in these financial statements.

Litigation and Ciainris The Lincoln Parish Convention and Visitors Bureau had no pending or threatened litigation as of December 31.2008.

Bond Payable As of June 28,2007, the Board of Directors of the Ruston-Lincoln Convention and Visitors Bureau issued Revenue Bonds, Series 2(X)7 for the purposes of providing funds to pay for the construction of a Visitors Center and Office Complex. The Con:q)lex will be occupied by the Ruston-Lincoln Convention and Visitors Bureau and the Ruston-Liru;oln Chamber of Commerce staff. The following is a sunutiary of bond payable at December 31,2(X)8.

Ruston-Lincoln Convention and Visitors Bureau, Revenue Bonds Series 2007, bearing interest at 4.10%» principal payments begin July 1,2008 and final maturity July 1,2017 2,000,000

Less: Original issue discount Principal payments (160.000)

Total bonds payable 1.840.000

The annual debt service requirement to maturity, including principal only, for bonds payable as of December 31,2008 are as follows:

2009 170.000 2010 180.000 2011 185.000 2012 195,000 2013 205,000 2014 215.000 2015 220,000 2016 230,000 2017 240.000

16

RRQIiniFn SUPPLEMENTAL INFORMATION (PART B) BUDGETARY COMPARISON SCHEDULES


BUDGETARY COMPARISON SCHEDULE-GENERAL FUND

FOR THE YEAR ENDED DECEMBER 31.

Revenues: Lodging tax collections OUier revenues Interest income

Total revenues

Expenditures: Accounting/audit Advertising Auto expense Board retreat Bond principal and interest Brochure distribution Collection administration Community support Dues and subscriptions Grants Hospitality and tourism awareness Miscellaneous expenses Office supplies and expenses Operating expenses Parish park contributions Payroll expense Postage Promotional fees Registration fees Research Retirement match Showcase Staff training Telephone Travel-air Travel-lodging Travel-meals and entertainment Utilities Acquisitions of fixed assets

Total expenditures

Budgeted Amounts

Original 5%

480,000 40.500

1.000 521.500

5,000 109,700 12.000 1.000

200.100 4,000 3,000 3.500 6.000

35.000 2.500 1.500 9.500 9,000

-155.000

6.000 10,000 5.200 1.500

-40,000

-4.000 5.750 4,500 4.750 3,000

. 641.500

Final

463.000 47.000

1,000 511.000

8,000 102,800 10,500

-?mioo

2.000 3.000 3,000 6.000

32,000 4,300 1,500

10,000 19,000

-155,000

3,000 7,200 2,000 1.800

-26.000

-6.500 3.500 7,500 4.750 9,100

_ 628.550

2008

Variance Witii Final Budget

Actual Amounts

476.458 44.028

. 520.486

7.930 98.684 10,038

-236,992

2.000 2.874

-6,157

34.335 4.309

12.552 9,970

11,530 80,000

143.151 2.893 7.133

--

14.126 26.236 2,040 6,530 3,532 7.627 4,905 9.173

1.244.188 1,988,905

Favorable (Unfevorable)

13.458 (2,972) (1.000) 9.486

70 4,116

462 -

(36,892) -126

3,000 (157)

(2,335) (9)

(11,052) 30

7,470 (80,000) 11,849

107 67

2,000 1,800

(14.126) (236)

(2,040) (30) (32)

(127) (155) (73)

(1.244.188) (1,360.355)

The acconânying notes are an integral part of the financial statements.

17


BUDGETARY COMPARISON SCHEDULEÊNERAL FUND


(Deficiencv) of revenues over expenditures

Other financing sources: Operating transfers in

(Deficiencv) of revenues and other sources over expenditures

Fund balance at begirming of year

Fund balance at end of year

Budgeted Avosm^

Original Final

(120,000) (117,550)

120,000 117,550

-

_

Variance With Final Budget

Actual Amounts

(1,468.419)

165,807

(1.302.612)

1,572,816

Favorable (Unfavorable)

(1,350.869)

(48,257)

(1,302.612)

1.572.816

270.204

The accompanying notes are an integral part of the fmancial statements.

18


NOTES TO BUDGETARY COMPARISON SCHEDULE


Bud2eting Procedures

Budgets for the Ruston-Lincoln Convention and Visitors Bureau are prepared by the President and his staff as part of the Bureau's annual planning and budgeting process. The budget is then adopted by the Board of Directors. The planning and budgeting process activities encompass a time frame of twelve (12) months to coincide with each fiscal year.

Unexpended budget balances lapse at year end. The Bureau's Board of Directors has the authority to make changes or amendments within various budget classifications. Budgeted amounts are presented in the financial statements as originally adopted and as amended by the Board.

19

OTHER SUPPLEMENTAL INFORMATION

H E A R D M C E L R O Y & V E S T A L

LLP CERTIFIED PUBUC AccouNTAhrrs

333 TEXAS STRF.KT

15TH FLOOR

SHREVEt'ORT, LA 7 1 1 0 1

318 429-1525 318 429-2070 FAX POST OFFICE BOX 1607

SHREVEPORT, LA

71165-1607

PARTNERS SPEXCEK BERNARD, JR., CPA H.Q. GAHACANjR.r CPA, APC GERALD W. HEDCCOCK, JR., CPA, TLM B . NlElSBN, CPA, APC JOHN W. DEAN, CPA, APC MARK D. ELDREDGE, CPA ROBERT L. DBAN, CPA STEPHEN W. CRAIG, CPA ROY E. PRES-PFOOD, CPA

A. D . JOHNSON,JR . ,CPA

BENJAMIN C . W O O D S , CPA/AHV, CVA

AUCE V. FHAZIER, CPA MEUSSA D . MITCHAM, CPA, CFP

OF CoiwsEL GiiBERT R. SHANIEY, JR., CPA C. CODY WHITE, JR., CPA, APC RON W. STEWART, CPA, APC

March 15,2009

T o the Board of Directors Ruston-Lincohi Convention and Visitors Bureau Ruston, Louisiana

Report on Internal Control Over Financial Reporting and on Comiriiancc and Other Matters

Based <m an Audit of Financial Statements Perfomicd in Accordance with Govemment AudUine Standards

We have audited the accompanying fmancial statements <tf the Ruston-Lincohi Convention and Visitors Bureau, as of and for the year ended December 31, 2008, and have issued our report thereon dated March 15,2009. We conducted our audit in accordance with auditing standards generally accq)ted in the United States of America and the standards a{)plicabie to financial audits contained in Govemment Auditing Standards, issued by the Coinptroller General of the United States.

Internal Control Over Financial Reporting

In planning and performing our audit, we considoed Ruston-Lincoln Cravention and Visitors Bureau's intemal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinions on Che financial statements, but not for the puipose of expressing an opinion on the effectiveness of Ruston-Lincoln Convention and Visitors Bureau's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of Ruston-Lincoln Convention and Visitors Bureau's intemal control over financial reporting.

A control deficiency exists when the design or (^ration of a control does not allow management or employees, in the normal course of performing their assigned functions, to pcevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects Ruston-Lincoln Convention and Visitors Bureau's ability to initiate, authorize, recocd, process, or report financial data reliably in accordance with generally accepted accounting principles such that there is mote than a remote likelihood that a ndsstatement of the Ruston-Lincoln Convention and Visitors Bureau's financial statements tliat is more than inconsequential will not be prevented or detected by Ruston-Lincoln Convention and Visitors Bureau's intranal control.

A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by Ruston-Lincoln Convention and Visitors Bureau's intemal control.

¥Msl A. PROFESSIONAL 5ERVicr.s FIRM

SHREVEPORT • WKST MONROE

hinvOhmvcpa.cam ?.-\tM\. www.hmvcpji .com WEB ADDRKK

20

http://www.hmvcpji.com

Our consideration of intemal control over financial reporting was for the limited purpose described in the fint paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in intemal control over financial reporting that we consider to be material weaknesses, as defined above.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Ruston-Lincoln Convention and Visitors Bureau's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on con^liance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Govemment Auditing Standards.

This report is intended solely for the information and use of the board of directors, management, the State of Louisiana Legislative Auditor, and others within the organization, and is not intended to be and should not be used by anyone other than these specified parties.

Vi^«.^^, V>iêw«^ >l^9^t^,\^^

21


SrHRniTT.R OFFINniNGS AND OUESTIONED COSTS


A. SUMMARY OF AUDIT RESULTS

L The auditor's report expresses an unqualified opinion on the basic financial statements of Ruston-Lincohi Convention and Visitors Bureau.

2. No significant deficiencies relating to the audit of the basic fmancial statements are reported; no material weaknesses are reported.

3. No instance of noncompliance material to the basic financial statements of Ruston-Lincoln Convention and Visitors Bureau was disclosed during the audit.

4. Ruston-Lincobi Convention and Visitors Bureau was not subject to a Federal Single Audit for the year ended December 31,2008.

B. HNDINGS - FINANOAL STATEMENT AUDIT

No findings were reported for the current year.

C. FINDINGS AND QUESTIONED COSTS - MAJOR FEDERAL AWARD PROGRAMS

Not applicable

22


SCHEDULE OF PRIOR YEAR FINDINGS


No findings were reported for the prior year.

23

Documents

(^jygi - Louisianaapp1.lla.la.gov/PublicReports.nsf/C0F6A4C7AFCA2C5C862575...m412 439.539 215.510 50.985 7.854 713.888 529.636 50.000 579.636 134.252 CAPITAL ASSETS At the end of 2(X)8