1989Brooks
EEII'tUr CertifiedPublic ubl c Accountants
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH
LAWS AND REGULATIONS BASED ON AN AUDIT WITH
_ "GOVERNMENT AUDITING STANDARDS" ISSUED BY
THE GAO
To the Honorable. Mayor, City Council
i and City Manager
City of Bangor, Maine
i We have auditedthe general purpose financial statements of the City of
Bangor, Maine, as of and for the year ended June 30, 1989, and have issued
our report thereon dated November 21, 1989.
We conducted our audit in accordance with generally accepted auditing
standards and Government Auditing Standards, issued by the Comptroller
General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the general
purpose financial statements are free of material misstatement. .
Compliance with laws, regulations, contracts, and grants applicable to
the City of Bangor, Maine, is the responsibility of the City of Bangor,
Maine's, management. As part of obtaining reasonable assurance about
whether the general purpose financial statements are free of material
_ misstatement, we performed tests of the City's compliance with certain
provisions of laws, regulations, contracts, and grants. However, our
objective was not to provide an opinion on overall compliance with such
provisions.
The results of our tests indicate that, with respect to the items _
tested, the City of Bangor, Maine, complied, in all material respects,
with the provisions referred to in the preceding paragraph. .With respect
to items not tested, nothing came to our attention that caused us to
believe that the City had not complied, in all material respects, with
those provisions.
This report is intended for the information of the audit committee,
management, the U.S. Department of Education, Transportation, Human
- Services, Housing and Urban Development, and the Federal Aviation
Administration. This restriction is not intended to limit the
distribution of this report, which is a matter of public record.
01 1 M��E �
November 21, 1989
P.O. Box 1167, 84 Harlow Street, Bangor, Maine 04401 (207) 947-8568
CITY OF BANGOR, MAINE
REPORTS REQUIRED BY SINGLE AUDIT ACT
OF NINETEEN EIGHTY FOUR
June 30, 1989
(ovoe T T S 1:2.,o 1119
Brooks
and
Carter Certified Public Accountants
REPORT ON COMPLIANCE WITH LAWS AND REGULATIONS
RELATED TO MAJOR AND NONMAJOR FEDERAL FINANCIAL
ASSISTANCE PROGRAMS
To the Honorable Mayor, City Council
and City Manager
City of Bangor, Maine
We have audited the City of Bangor, Maine's, compliance with the requirements
governing types of services allowed or unallowed; eligibility; matching
level of effort, or earmarking; reporting; claims for advances and reimburse-
ments; and amounts claimed or used for matching that are applicable to each
of its major federal financial assistance programs, which are identified in
the accompanying schedule of federal financial assistance, for the year
ended June 30, 1989. The management of the City of Bangor, Maine, is
responsible for the City of Bangor, Maine's, compliance with those require-
ments. Our responsibility is to express an opinion on compliance with
those requirements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards,
Government Auditing Standards, issued by the Comptroller General of the United
States, and Office of Management and Budget Circular A-128, "Audits of State
and Local Governments". Those standards and OMB Circular A-128 require that
we plan and perform the audit to obtain reasonable assurance about whether
material noncompliance with the requirements referred to above occurred. An
audit includes examining, on a test basis, evidence about the City of Bangor,
Maine's compliance with those requirements. We believe that our audit provides
a reasonable basis for our opinion.
With respect to the items tested, the results of those procedures disclosed
no material instances of noncompliance with the requirements listed in the
preceding paragraph. With respect to items not tested, nothing came to our
attention that caused us to believe that the City of Bangor, Maine had not
complied, in all material respects, with those requirements.
In our. opinion, the City of Bangor, Maine, complied, in all material respects,
with the requirements governing types of services allowed or unallowed;
eligibility; matching, level of effort, or earmarking; reporting; claims
for advances and reimbursements; and amounts claimed or used for matching
that are applicable to each of its major federal financial assistance pro-
grams for the year ended June 30, 1989.
November 21, 1989
— P.O. Box 1167, 84 Harlow Street, Bangor, Maine 04401 (207) 947-8568
CITY OF BANGOR, MAINE
REPORTS ON SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE,
COMPLIANCE AND INTERNAL CONTROL
JUNE 30, 1989
TABLE OF CONTENTS
Auditor's Report on Supplementary Information -
Schedule of Federal Financial Assistance
Schedule of'Federal Financial Assistance
Auditor's Single Audit Report on Compliance With
Requirements Applicable to Major Federal
Financial Assistance Program Transactions
Auditor's Report on Internal Controls (Accounting and
Administrative) -Based on a Study and Evaluation Made
as a Part of an Audit of the General Purpose or Basic
Financial Statements and the Additional Tests Required
by the Single Audit Act
Brooks
and
Earter, Certified Public Accountants
AUDITOR'S REPORT ON SUPPLEMENTARY INFORMATION
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
To the Honorable Mayor, City Council
and City Manager
City of Bangor, Maine
Independent Auditor's Report
We have audited the general purpose financial statements of the City of
Bangor, Maine, for the year ended June 30, 1989, and have issued our report
thereon dated November 21, 1989. These general purpose financial statements
are the responsibility of the City of Bangor, Maine, management. Our re—
sponsibility is to express an opinion on these general purpose financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing
standards and Government Auditing Standards, issued by the Comptroller
General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the general
purpose financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the general purpose 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 opinion.
Our audit was made for the purpose of forming an opinion on the general
purpose financial statements of the City of Bangor, Maine, taken as a
whole. The accompanying schedule of federal financial assistance is
presented for purposes of additional analysis and is not a required part
of the general purpose financial statements. The information in that
schedule has been subjected to the auditing procedures applied in the audit
of the general purpose financial statements and, in our opinion, is fairly
presented in all material respects in relation to the general purpose
financial statements taken as a whole.
November 21, 1989
P.O. Box 1167, 84 Harlow Street, Bangor, Maine 04401 (207) 947-8568
CITY OF BANGOR MAINE
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
FOR THE YEAR ENDED JUNE 30, 1989
Federal Grants
Reference
Catalogue
of Federal
Grant
Local
Grant
Domestic
Balance
Received
Through
State
Other
Partici-
Disburse-
Balance
Assistance
07/01/88
Directly
State
Grants
Income
pation
Transfers
Total
ments
06/30/89
Department of Agriculture
WIC
10.577
$
50,921
$ -
$185,308
$ -
$ -
$
$ -
$236,229
$207,637
$ 28,592
Department of Health b Services
Venereal Disease Clinics
$
4,487
$ -
$ -
$ 53,230
$ 25,135
$ -
$ -
$ 82,852
$ 74,410
$ 8,442
Childhood Immunization
18,927
-
-
33,162
-
-
-
52,089
34,135
17,954
Public Health Nurse
-
-
-
60,000
1,866
82,740
-
144,606
144,606
-
Dental Clinic
-
-
-
24,535
52,026
21,729
-
98,290
98,290
-
Total
$
23,414
$ -
$ -
$170,927
$ 79,027
$104,469
$
$377,837
$351,441
$ 26,396
Other Federal Assistance
Kenduskeag Stream
Recreation NPS 23-00528
($
9,825)
$ -
$ -
$ -
$ 9,825
$ -
$ -
$ -
$ -
$ -
Penobscot River Park
3024-1016-6401 WFA
(
52,268)
-
74,031
-
-
-
-
21,763
21,763
-
Garland Street Field
NPS 23-00612
(
8,240)
-
13,932
-
-
-
-
5,692
5,692
-
Total - Cash Basis
(
70,333)
-
87,963
-
9,825
-
-
27,455
27,455
-
Receivables
24,410
-
( 21,613)
-
-
-
-
2,797
-
2,797
Total - Accrual Basis
($
45,923)
$ -
$ 66,350
$ -
$ 9,825
$ -
$ -
$ 30,252
$ 27,455
$ 2,797
I
CITY OF BANGOR MAINE
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
FOR THE YEAR ENDED JUNE 30, 1989
Reference
Catalogue
of Federal
Grant
Local
Grant
Domestic
Balance
Received
Through
State
Other
Partici-
Disburse-
Balance
Assistance
07/01/88
Directly
State
Grants
Income
pation Transfers
Total
ments
06/30/89
Department of Transportation
Urban Mass Transportation
Capital and Operating
Assistance
20.507
Operating
($113,364)
$ -
$168,026
$33,605
$267,135
$58,044 $ -
$413,446
$532,838
($119,392)
Capital
53,947
-
-
-
-
- -
53,947
-
53,947
Total - Cash Basis
( 59,417)
-
168,026
33,605
267,135
58,044 -
467,393
532,838
( 65,445)
Receivables
52,346
-
( 28,439)
( 5,687)
-
- -
18,220
-
18,220
Total - Accrual Basis
($ 7,071)
$ -
$139,587
$27,918
$267,135
$58,044 $ -
$485,613
$532,838
($ 47,225)
Environmental Protection Agency
Facility Planning Grant
C23-0154-01
Cash Basis
$ 67,850
$ -
$ 9,710
$ -
$ -
$ - $ -
$ 77,560
$ 77,560
$ -
Receivables
9,710
-
( 9,710)
-
-
- -
-
-
-
Total - Accrual Basis
$ 77,560
$ -
$ -
$ -
$ -
$ - $ -
$ 77,560
$ 77,560
$ -
Department of Education
Adult Basic Education
84.002
($ 320)
$ -
$ 34,307
$ -
$ -
$ - $ -
$ 33,987
$ 34,307
($ 320)
Indo-Chinese Bilingual
84.146
969
-
1,113
-
-
- -
2,082
1,113
969
E.S.E.A. Chapter I
84.010
79,739
-
401,433
-
-
- -
481,172
379,596
101,576
Local Entitlement
84.027
36,336
-
126,750
-
-
- -
163,086
131,079
32,007
Special Education
84.009
( 7,919)
-
9,652
-
-
- -
1,733
9,652
( 7,919)
E.S.E.A. Chapter II
84.151
5,705
-
55,439
-
-
-. -
61,144
47,295
13,849
Innovative Grant
5,003
-
-
-
3,716
- -
8,719
6,659
2,060
Arts & Humanities
347
-
-
-
-
- -
347
684
( 337)
Teacher Recertification
35,837
-
-
33,465
-
- -
69,302
14,332
54,970
Wellspring
10,047
-
-
48,670
-
- -
58,717
55,724
2,993
Title II Follow -Che -Child
84.164
6,751
-
6,567
-
-
- -
13,318
4,156
9,162
Drug Free Schools
84.186
( 568)
-
13,612
-
-
- -
13,044
5,660
7,384
Bangor Symphony
-
-
-
-
2,600
- -
2,600
3,255
( 655)
Project Dare
-
-
-
-
1,870
- -
1,870
1,871
( 1)
Aids Grant
13.118
-
-
2,000
-
-
- -
2,000
-
2,000
Total - Accrual Basis
$171,927
$ -
$650,873
$82,135
$ 8,186
$ - $ -
$913,121
$695,383
$217,738
Urban Development
Action Grants 14.221
$ 81,529 $ -
$ - $ -
$ - $ - $
Program Income
39,200 - - - 9,170 -
- 48,370 -
48,370
Total - Cash Basis
( 700,896) 1,456,685 - - 227,114 -
- 982,903 1,846,709
( 863,806)
Receivables
232,220 ( 126,000) - - - -
C IF B! MAI
106,220
Total - Accrual Basis
($ 468,676) $1,330,685 - - $227,114 -
- $1,089,123 $1,846,709
$ 757,586
84,217)
-
(
SCHEDULE
OF FEDERAL FINANCIAL ASSISTANCE
- -
- -
- 187,367
122,987
122,987
-
FOR
THE YEAR ENDED JUNE
30,1989
- - (
60,000)
-
(
60,000)
( 73,811)
- -
- -
Federal Grants
73,811)
-
(
73,811)
( 101,735)
- -
Reference
- - (
101,735)
-
(
101,735)
( 44,340)
- -
- -
- - (
Catalogue
-
(
44,340)
( 139,996)
- -
- -
- - (
139,996)
-
of Federal
Grant
( 180,653)
219,257 -
Local
- ( 187,367) (
138,303)
26,552
Grant
164,855)
Domestic
Balance
Received
Through State
Other Partici-
202,957
(
Disburse-
Balance
68,120 -
Assistance
07/01/88
Directly
State Grants
Income pation
Transfers
Total
meets
06/30/89
Department of Housing and
642,708
830,876
(
188,168)
-
- -
- -
- -
-
Urban Development
(
45,861)
-
- -
- -
- -
-
20,797
(
20,797)
Community Development
1,249,034 -
44,287 -
- - (
33,840)
1,250,091
(
1,283,931)
( 1,071)
- -
Block Grants/Entitle-
- - (
1,071)
-
(
1,071)
( 1,328,232)
1,249,034 -
44,287 -
- - (
ment Grants
14.218
(
1,285,002)
1,024,755
( 192,813) -
17,485 -
- -
849,427
-
B -83 -MC -23-0004
$
106,349
$ -
$ - $ - $
- $ -
($106,349)
$ - $
-
$ -
B -85 -MC -23-0004
78,807
-
- -
- -
( 78,807)
-
-
-
B -86 -MC -23-0004
(
447,117)
725,259
- -
- -
( 278,142)
-
-
-
B -87 -MC -23-0004
(
679,832)
731,426
- -
- -
185,156
236,750
685,523
( 448,773)
B -88 -MC -23-0004
-
-
- -
- -
278,142
278,142
805,333
( 527,191)
Program Income
201,697
-
- -
217,944 -
-
419,641
355,853
63,788
Urban Development
Action Grants 14.221
$ 81,529 $ -
$ - $ -
$ - $ - $
Program Income
39,200 - - - 9,170 -
- 48,370 -
48,370
Total - Cash Basis
( 700,896) 1,456,685 - - 227,114 -
- 982,903 1,846,709
( 863,806)
Receivables
232,220 ( 126,000) - - - -
- 106,220 -
106,220
Total - Accrual Basis
($ 468,676) $1,330,685 - - $227,114 -
- $1,089,123 $1,846,709
$ 757,586
Department of Transportation
Airport Development Aid Pro-
gram/Airport Imprv. Prog. 20.201
6-23-0005-06
6-23-0005-06 Amendment
6-23-0005-07
6-23-0005-09
6-23-0005-10
6-23-0005-11
3-23-0005-01
3-23-0005-02
3-23-0005-03
3-23-0005-04
3-23-0005-05
3-23-0005-06
3-23-0005-07 20.106
3-23-0005-0889 20.106
3-23-0005-09 20.106
Subtotal
Other Airport Projects
Total - Cash Basis
Receivables
Total - Accrual Basis
($ 81,529)
$ 81,529 $ -
$ - $ -
$ - $ - $
-
$ -
$
-
-
6,023 -
- -
- -
6,023
-
6,023
( 84,217)
- -
- -
- - (
84,217)
-
(
84,217)
( 64,380)
- -
- -
- 187,367
122,987
122,987
-
( 60,000)
- -
- -
- - (
60,000)
-
(
60,000)
( 73,811)
- -
- -
- - (
73,811)
-
(
73,811)
( 101,735)
- -
- -
- - (
101,735)
-
(
101,735)
( 44,340)
- -
- -
- - (
44,340)
-
(
44,340)
( 139,996)
- -
- -
- - (
139,996)
-
(
139,996)
( 180,653)
219,257 -
10,460 -
- ( 187,367) (
138,303)
26,552
(
164,855)
( 393,066)
265,224 -
- -
-. - (
127,842)
202,957
(
330,799)
( 103,434)
68,120 -
- -
- - (
35,314)
61
(
35,375)
-
608,881 -
33,827 -
- -
642,708
830,876
(
188,168)
-
- -
- -
- -
-
45,861
(
45,861)
-
- -
- -
- -
-
20,797
(
20,797)
( 1,327,161)
1,249,034 -
44,287 -
- - (
33,840)
1,250,091
(
1,283,931)
( 1,071)
- -
- -
- - (
1,071)
-
(
1,071)
( 1,328,232)
1,249,034 -
44,287 -
- - (
34,911)
1,250,091
(
1,285,002)
1,024,755
( 192,813) -
17,485 -
- -
849,427
-
849,427•-
($ 303,477)
$1,056,221 $ -
$ 61,772 $ -
$ - $ - ($
814,516)
$1,250,091
($
435,575)
Brooks
and �
EarterCertified Public Accountants
REPORT ON INTERNAL CONTROLS (ACCOUNTING AND ADMINISTRATIVE) -
BASED ON A STUDY AND EVALUATION MADE AS A PART OF AN
EXAMINATION OF THE GENERAL PURPOSE FINANCIAL STATEMENTS
AND THE ADDITIONAL TESTS REQUIRED BY THE SINGLE AUDIT ACT
To the Honorable Mayor, City Council
and City Manager
City of Bangor, Maine
We have audited the general purpose financial statements of the City of
Bangor, Maine, for the year ended June. 30, 1989, and have issued our report
thereon dated November 21, 1989. As part of our audit, we made a study and
evaluation of the internal control systems, including applicable internal
administrative controls, used in administering federal financial assistance
programs to the extent we considered necessary to evaluate the systems as
required by generally accepted auditing standards, Government Auditing
Standards, issued by the Comptroller General of the United States, the Single
Audit Act of 1984, and the provisions of Office of Management and Budget
Circular A-128, "Audits of State and Local Governments". For the purpose
of this report, we have classified the significant internal accounting and
_ administrative controls used in administering federal financial assistance
programs in the following categories:
Accounting Controls:
* Treasury or financing
* Revenue/receipts
* Purchase/disbursements
* External financials reporting
Administrative Controls:
General Requirements -
* Political Activity
* Davis -Bacon Act
* Civil Rights .
* Cash Management
* Relocation assistance and
* Federal Financial Reports
Specific Requirements:
real property acquisition
* Types of services
* Eligibility
* Matching level of effort
* Reporting
* Special requirements, if any
P.O. Box 1167, 84 Harlow Street, Bangor, Maine 04401
(207) 947-8568
-Z -
The management of the City of Bangor, Maine, is responsible for establishing
and maintaining internal control systems used in administering federal
financial assistance programs. In fulfilling that responsibility, estimates
and judgments by management are required to assess the expected benefits
and related costs of control procedures. The objectives of internal control
systems used in administering federal financial assistance programs are to
provide management with reasonable, but not absolute, assurance that, with
respect to federal financial assistance programs, resource use is consistent
with laws, regulations, and policies; resources are safeguarded against
waste, loss and misuse; and reliable data are obtained, maintained and
fairly disclosed in reports.
Because of inherent limitations in any system of internal accounting and
administrative controls'used in administering federal financial assistance
programs, errors or irregularities may nevertheless occur and not be detected.
Also, projection of any evaluation of the systems to future periods is subject
to the risk that procedures may become inadequate because of changes in con-
ditions or that the degree of compliance with the procedures may deteriorate.
Our study included all of the applicable control categories listed above.
During the year ended June 30, 1989, the City of Bangor, Maine, expended
81% of its total federal financial assistance under major federal financial
assistance programs. With respect to internal control systems used in
administering major federal financial assistance programs, our study and
evaluation included considering the types of errors and irregularities that
could occur, determining the internal control procedures that should prevent
or detect such errors and irregularities, determining whether the necessary
procedures are prescribed and are being followed satisfactorily, and
evaluating any weaknesses.
With respect to the internal control systems used solely in administering
the nonmajor federal financial assistance programs of the City of Bangor,
Maine, our study and evaluation was limited to a preliminary review of the
systems to obtain an understanding of the control environment and the flow of
transactions through the accounting system. Our study and evaluation of the
internal control systems used solely in administering the nonmajor federal
financial assistance programs of the City of Bangor, Maine, did not extend
beyond this preliminary review phase.
Our study and evaluation was more limited than would be necessary to express
an opinion on the internal control systems used in administering the federal
financial assistance programs of the City of Bangor, Maine. Accordingly, we
do not express an opinion on the internal control systems used in administering
the federal financial assistance programs of the City of Bangor, Maine.
Further, we do not express an opinion on the internal control systems used in
administering the major federal financial assistance programs of the City of
Bangor, Maine.
V_
-3 -
Also, our audit, made in accordance with the standards mentioned above, would
not necessarily disclose material weaknesses in the internal control systems
used solely in administering nonmajor federal financial assistance programs.
However, our study and evaluation and our audit disclosed no condition that we
believe to be a material weakness in relation to federal financial assistance
programs of the City of Bangor, Maine.
This report is intended solely for the use of management and Federal and state
audit agencies. This restriction is not intended to limit the distribution of
this report, which, upon acceptance by the City of Bangor, Maine, is a matter
of public record.
November 21, 1989