Our Children’s Academy

Audit Committee Meeting

November 15, 2016

Committee Members: Marshall Whidden, Rusty Ingley (by phone)

Other: Steve Whitaker, Steve Nolen, Donna Nobles, George Miarecki, Stacy McCrady, Amanda Larson

TOPIC /

DISCUSSION

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Call to Order /

The meeting was called to order at 2:23

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2015-2016 Audit /

Stacy McCrady presented the OCA Audit from 2015-2016. She explained the compliance and financial statement audit to Marshall. She said that she submits an opinion. She said that books and records were in shape and there were no negative findings. She explained the balance sheet. Amanda explained procedures dealing with the Pension and how it impacts the balance sheet but the likelihood of paying it was basically zero due to the strength of the Florida Retirement System. Stacy presented a positive Statement of Activity with a positive balance that was much healthier than the year before. She also presented the Fund Balance of $509,186. Stacy said the overall net change was a positive $205,032. Stacy explained the different revenue sources. Stacy explained the significance in the improvement of the Medicaid revenue. Stacy talked about the Capital Assets and said that there was not a lot of OCA Capital Assets but instead was in OCCF which is a related company and the only related party now is OCCF. Stacy said in regards to Legal Matters there was some pending things with OCRC and OCA. Stacy said that on the Budget Comparisons that the persons who budgeted were only $86,000 off which was great. Stacy explained the report on Internal Controls and found nothing of significance along with a great separation of duties.

Steve Nolen asked about one time Construction costs, how that should be reported for the 2016-17 audit. Stacy said we would have an expense which would have a negative fund balance and we would receive a call that we then could explain that these were one-time construction costs which would not be reflected as a negative opinion. Steve asked about the loan that we took out during 2015-16 year but was spent after June 30, 2016. George said that there is no way financially that you can get it off financials one year to another because of when it was received and spent and that modified accrual does not allow for you to do that due to fund basis accounting. /
Adjourn /

The meeting was adjourned at 2:51pm.

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Respectfully Submitted,

Donna Nobles