SCHOOL DISTRICT OF UPPER FREEHOLD REGIONAL Allentown, New Jersey County of Monmouth COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2015 COMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE UPPER FREEHOLD REGIONAL BOARD OF EDUCATION ALLENTOWN, NEW JERSEY FOR THE FISCAL YEAR ENDED JUNE 30, 2015 Prepared by Upper Freehold Regional School District Finance Department OUTLINE OF CAFR - GASB #34 PAGE INTRODUCTORY SECTION Letter of Transmittal 1 Organizational Chart 7 Roster of Officials 8 Consultants and Advisors 9 FINANCIAL SECTION Independent Auditor's Report 15 REQUIRED SUPPLEMENTARY INFORMATION - PART I Management's Discussion & Analysis 21 BASIC FINANCIAL STATEMENTS A. Government-Wide Financial Statements: A-1 Statement of Net Position 37 A-2 Statement of Activities 38 B. Fund Financial Statements: Governmental Funds: B-1 Balance Sheet 45 B-2 Statement of Revenues, Expenditures & Changes in Fund Balance 46 B-3 Reconciliation of the Statement of Revenues, Expenditures & Changes in Fund Balance of Governmental Funds to the Statement of Activities 47 Proprietary Funds: B-4 Statement of Net Position 51 B-5 Statement of Revenues, Expenditures & Changes in Fund Net Position 52 B-6 Statement of Cash Flows 53 Fiduciary Funds: B-7 Statement of Fiduciary Net Position 57 B-8 Statement of Changes in Fiduciary Net Position 58 Notes to Financial Statements 61 REQUIRED SUPPLEMENTARY INFORMATION - PART II C. Budgetary Comparison Schedules: C-1 Budgetary Comparison Schedule - General Fund 97 C-2 Budgetary Comparison Schedule - Special Revenue Fund 107 Notes to the Required Supplementary Information: C-3 Budget-to-GAAP Reconciliation 111 REQUIRED SUPPLEMENTARY INFORMATION - PART III L. Schedules Related to Accounting and Reporting for Pensions (GASB 68) L-1 Schedule of the District’s Proportionate Share of the Net Pension Liability – PERS 117 L-2 Schedule of the District Contributions – PERS 118 L-3 State's Proportionate Share of the Net Pension Liability Associated with the District's – TPAF 119 Notes to the Required Supplementary Information - Part III 123 Other Supplementary Information D. School Based Budget Schedules Fund: D-1 Combining Balance Sheet N/A D-2 Blended Resource Fund - Schedule of Expenditures Allocated by Resource Type - Actual N/A D-3 Blended Resource Fund - Schedule of Blended Expenditures - Budget & Actual N/A E. Special Revenue Fund: E-1 Combining Schedule of Revenues & Expenditures - Special Revenue Fund - 131 Budgetary Basis E-2 Preschool Education Aid Schedule(s) of Expenditures - Budgetary Basis N/A F. Capital Projects Fund: F-1 Summary Statement of Project Expenditures N/A F-2 Summary Schedule of Revenues, Expenditures and Changes in Fund Balance - Budgetary Basis N/A F-2a Schedule of Revenues, Expenditures, Project Balance & Project Status - Budgetary Basis N/A G. Proprietary Funds: Enterprise Funds: G-1 Combining Statement of Net Position 141 G-2 Combining Statement of Revenues, Expenses & Changes in Fund Net Position 142 G-3 Combining Statement of Cash Flows 143 Internal Service Funds: G-4 Combining Statement of Net Position N/A G-5 Combining Statement of Revenues, Expenses & Changes in Fund Net Position N/A G-6 Combining Statement of Cash Flows N/A H. Fiduciary Funds: H-1 Combining Statement of Fiduciary Net Position 149 H-2 Combining Statement of Changes in Fiduciary Net Position 150 H-3 Student Activity Agency Fund Schedule of Receipts & Disbursements 151 H-4 Payroll & Payroll Agency Fund Schedule of Receipts & Disbursements 151 I. Long-Term Debt: I-1 Schedule of Serial Bonds 155 I-2 Schedule of Obligations Under Capital Leases 157 I-3 Debt Service Fund Budgetary Comparison Schedule 158 STATISTICAL SECTION (unaudited) Financial Trends: J-1 Net Position by Component 163 J-2 Changes in Net Position 164 J-3 Fund Balances - Governmental Funds 166 J-4 Changes in Fund Balance - Governmental Funds 167 J-5 Other Local Revenue by Source - General Fund 169 Revenue Capacity: J-6 Assessed Value & Estimated Actual Value of Taxable Property 173 J-7 Direct & Overlapping Property Tax Rates 174 J-8 Principal Property Taxpayers 175 J-9 Property Tax Levies & Collections 176 Debt Capacity: J-10 Ratios of Outstanding Debt by Type 179 J-11 Ratios of General Bonded Debt Outstanding 180 J-12 Direct & Overlapping Governmental Activities Debt 181 J-13 Legal Debt Margin Information 182 Demographic & Economic Information: J-14 Demographic & Economic Statistics 185 J-15 Principal Employers 186 Operating Information: J-16 Full-Time Equivalent District Employees by Function/Program 189 J-17 Operating Statistics 190 J-18 School Building Information 191 J-19 Schedule of Required Maintenance 192 J-20 Insurance Schedule 193 SINGLE AUDIT SECTION K-1 Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 197 K-2 Independent Auditor's Report on Compliance for Each Major Program And on Internal Control Over Compliance Required by OMB Circular A-133 and New Jersey OMB Circular 04-04 and/or 15-08 199 K-3 Schedule of Expenditures of Federal Awards, Schedule A 203 K-4 Schedule of Expenditures of State Financial Assistance, Schedule B 204 K-5 Notes to Schedules of Awards and Financial Assistance 205 K-6 Schedule of Findings & Questioned Costs 207 K-7 Summary Schedule of Prior Audit Findings 209 This page intentionally left blank INTRODUCTORY SECTION This page intentionally left blank