HomeMy WebLinkAbout1980 04 30 Other - Clear woods Improvement District II
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CLEARWOODS IMPROVEMENT DISTRICT
COMPLETED QUESTIONNAIRE REQUIRED BY
TEXAS WATER RIGHTS COMMISSION
YEAR ENDED APRIL 30, 1980
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BREEDLOVE & CO.
ICERTIFIED PUBLIC ACCOUNTANTS
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TABLE OF CONTENTS
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11 Auditors' Letter 1
11 Completed Questionnaire Required by
: Texas Water Rights Commission 2-5
11 Certificate of Board of Directors 6
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BREEDLOVE & CO. 8780 . .. ..1t 1.960 O//eet, ,W,i4100
3 CERTIFIED PUBLIC ACCOUNTANTS Yeu4Can, Yeaati 77068
(7f9 J.440-8547
RICHARD W.BREEDLOVE
DONN A.LAND
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11 August 22, 1980
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Board of Directors
Clearwoods Improvement District
Harris County, Texas
The enclosed completed questionnaire required by the Texas Water
Rights Commission was completed in connection with our audit of
Clearwoods Improvement District financial statements for the
year ended April 30, 1980.
1/1) The audit report filed under separate cover was reviewed and
approved in accordance with the enclosed Certificate of the Board
of Directors on October , 1980.
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QUESTIONNAIRE TO BE COMPLETED BY AUDITOR
FOR THE YEAR ENDED APRIL 30, 1980
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CLEARWOODS IMPROVEMENT DISTRICT HARRIS
11 Name of Water District County
1. At the time that you were engaged by the Board of Directors of the
1 above named water district to perform this audit, was a copy of the
Water Disrtict Accounting Manual made available to you? X
Yes No
1! 2. The Water District Accounting Manual prescribes accounting prin-
ciples and policies. After taking these into consideration, did
the local water district:
a. Maintain a proper classification of expenses and revenues? X
Yes No
b. Record expenses and revenues on the basis of full accrual
accounting except for the specific revenue and expense items
required to be maintained on the cash basis by the Water
11 District Accounting Manual? X
Yes No
!I c. Maintain the double-entry system of accounting? X
Yes No
d. Keep a general ledger in accordance with the uniform
11 classification of general ledger accounts prescribed in
the Water District Accounting Manual? X
Yes No
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e. Adhere to other provisions of the Water District Accounting
Manual? X
Yes No
3. Did the Board of Directors of the water district impose on you
!I any audit requirements in addition to those minimum audit re-
quirements of the Water District Accounting Manual? X
Yes No
4. Did you identify, during the course of your examination of
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the financial statements of the water district, any areas
pertaining to accounting matters in which action should be
!I taken by the Board of Directors of the water district? X
Yes No
11 5. Did you obtain representation from the Board of Directors
of the water district that all records of the water district
were made available to you for your examination? X
11 Yes No
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6. Did the water district:
a. Use the construction fund, tax fund and debt service fund
only for purposes authorized by the Board of Directors of
the water district and/or within the provisions of appli-
cable bond resolutions? X
Yes No
b. Do business only with firms of corporations in which
members of the Board of Directors had no pecuniary
11 interest? X
Yes No
c. Observe the conditions for obtaining grants, gifts,
etc. , or observe agreements with governmental agencies
for the purpose of securing funds or services? X
Yes No
d. Have a contract for Social Security coverage for its
41 employees with the Texas Department of Public Welfare,
Social Security Division? X*
Yes No
e. Make remittances of Social Security taxes according to
the terms of the contract for Social Security coverage
with the Social Security Division of the Texas Department
of Public Welfare? X*
!I Yes No
f. Deposit receipts to the proper funds kept by the ap-
proved depository bank? X
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Yes No
g. Draw checks only on funds approved by the Board of
Directors and signed by authorized personnel? X
Yes No
7. Do you issue a management letter to administrative officials
of the water district at least annually which sets forth
your comments (based on matters which came to your attention
during your examination) for strengthening internal account-
ing controls and improving administrative efficiency and
!! procedures? X
Yes No
Has a copy of the management letter been filed with the
Texas Water Rights Commission? X**
Yes No
*The District has no paid employees.
**No major internal control weaknesses were noted
during the April 30, 1980 examination of Clearwoods
Improvement District financial statements for the
!I period then ended. All items of significance were
discussed with members of the board.
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8. The Texas Water Code makes specific provisions relating to
security provided by depository banks. After consideration
of the applicable laws pertaining to the specific water
II district, did the depository bank provide adequate security
of the correct type? X
Yes No
9. The water district's taxes were collected by (check one) :
a. An employee of the district / /
71 b. The county tax assessor-collector / /
c. A city or other tax assessor-collector / X /
d. More than one of the above / /
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10. Was the tax assessor-collector bonded as required by law? X
Yes No
1 11. What was:
a. The Tax-assessor-collector bonded for? $ 5,000
!I b. The greatest amount of the district's taxes in the tax
assessor-collector's possession at any one time? $135,106
c. The frequency of tax receipts deposits with the bonded
depository?
(1) Daily (December & January) / X /
11 (2) Weekly (Balance of Year) / X /
(3) Monthly /
d. The percent of the assessed valuation to fair market
!I value? 100.0 %
12. We (check one) :
!I a. Actually examined the records of the tax assessor-
collector. / X /
11 b. Received written confirmation for 'tax data from the
tax assessor-collector. / /
c. Accepted tax data furnished by the district's
lioffices. / /
13. As a result, were local tax revenues (including delinquent
III taxes and interest and penalties on taxes) properly separated
for debt service? X
Yes No
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14. Was the water district in compliance with applicable bond
resolutions, with the general or special legislation under
!! which the district was created and with specific statutes
excerpted and included in the Legal Compliance Guidelines
in Section 70-03-1 of the Water District Accounting Manual?
(Attach a continuation page if necessary) X*
!I Yes No
*The District's bond resolutions require a complete
!I engineering inspection report annually. A complete
inspection report has not been made, however,
specific engineering reports are made and the
Engineer is consulted for all additions and
expansions.
The provisions of the bond resolutions relating to
debt service requirements have not been met and the
cash allocated for these purposes is not sufficient
to meet upcoming debt service requirements. However,
11 the ad valorem tax levied by the District has been
sufficient to meet the annual bond principal and
interest payments not provided by funds from the
!I bond sales.
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!I CERTIFICATE OF THE BOARD OF DIRECTORS
11 CLEARWOODS IMPROVEMENT DISTRICT Harris
Name of Water District County
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11 We, the undersigned, do hereby certify that the audit report of the above
named Water District for the fiscalztar ended April 30, 1980 was received
by the Board of Directors on the ay of October, 1980 and was reviewed
and 1,7 a roved / / disapproved at a meeting of the Board of Directors
11 on the Mtober, 1980.
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liignature of Board Secreta Signature of oar Presi
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!I (If the audit report was disapproved, as checked above, the reasons
therefore must be listed below or on an attachment hereto.)