Office of Operations 2009 Fall Conference Navigating Uncertain Times October 21-22, 2009 NYS Financial, Economic, and Demographic Reporting Suzette Baker, CPA, CGFM Assistant Director Jennifer Hallanan Associate Accountant Maria Moran, CPAAssociate Accountant Sandi Trzcinski, CGAP, APMSenior Accountant

Office of Operations 2009 Fall ConferenceOverview General Background General Background State’s GAAP Financial Statements State’s GAAP Financial Statements State’s Financial Condition State’s Financial Condition Agency Financial Reporting Package Agency Financial Reporting Package Current GASB Statements Current GASB Statements Summary/Questions/Comments Summary/Questions/Comments

Office of Operations 2009 Fall Conference General Background Financial Reporting Comprehensive Annual Financial Report Comprehensive Annual Financial Report Financial Condition Report Financial Condition Report Interim GAAP Financial Statements Interim GAAP Financial Statements Chapter 551 Functional Reporting Chapter 551 Functional Reporting Five Year Comparative Financial Statements Five Year Comparative Financial Statements Schedule of Expenditures of Federal Awards Schedule of Expenditures of Federal Awards Citizens’ Guide and Citizen-Centric Report Citizens’ Guide and Citizen-Centric Report Certification of Tax Revenues Certification of Tax Revenues LGAC & Oil Spill Fund Financial Statements LGAC & Oil Spill Fund Financial Statements Implementation of GASB Standards Implementation of GASB Standards

Office of Operations 2009 Fall Conference Financial Reports

Office of Operations 2009 Fall Conference General Background What is GAAP Financial Reporting and why is it important? Generally Accepted Accounting Principles (GAAP) Generally Accepted Accounting Principles (GAAP) Chapter 405 of the Laws of 1981 Chapter 405 of the Laws of 1981 Report to Legislature MUST be completed by July 29 th Report to Legislature MUST be completed by July 29 th Accounting Bases Accounting Bases Cash Basis Reporting (pre-1982) Cash Basis Reporting (pre-1982) Modified Accrual (Fund Accounting) Modified Accrual (Fund Accounting) Full Accrual (GASB 34) Full Accrual (GASB 34)

Office of Operations 2009 Fall Conference CAFR Comprehensive Annual Financial Report

Office of Operations 2009 Fall ConferenceCAFR Statistics for 2009 CAFR: 1. $210 billion in entries entries 3. 7,634 entry lines

Office of Operations 2009 Fall ConferenceCAFR Three Major Sections: 1. Introductory 2. Financial 3. Statistical

Office of Operations 2009 Fall ConferenceCAFR Introductory Section 1. Comptroller’s Letter 2. Financial Overview 3. Certificate of Achievement 4. Organization Chart and State Officials

Office of Operations 2009 Fall ConferenceCAFR Financial Section 1. Management’s Discussion and Analysis 2. Basic Financial Statements Entity-wide Financial Statements Entity-wide Financial Statements Governmental Funds Governmental Funds Enterprise Funds Enterprise Funds Fiduciary Funds Fiduciary Funds Discretely Presented Component Units Discretely Presented Component Units

Office of Operations 2009 Fall ConferenceCAFR Financial Section 3. Required Supplementary Information (RSI) 4. Other Supplementary Information Financial Statements by Fund Financial Statements by Fund Non-Major Discretely Presented Component Units Non-Major Discretely Presented Component Units

Office of Operations 2009 Fall ConferenceCAFR Statistical Section 1. Demographic 2. Economic 3. Miscellaneous 4. Ten year presentation, when available

Office of Operations 2009 Fall Conference State’s Financial Condition

Office of Operations 2009 Fall Conference Financial Condition Report:   Provides citizens with an overview of the financial condition of the State.   Illustrates the future trends in the State.   Discusses the State’s ability to meet current and future financial and service obligations.

Office of Operations 2009 Fall Conference General Fund Change in Fund Balance Cash vs. GAAP Reporting General Fund Change in Fund Balance Cash vs. GAAP Reporting (amounts in millions of dollars) YEARCASHGAAP 2009(805)(6,895) 2008(291)1, (212) ,

Office of Operations 2009 Fall Conference Total Receipts

Office of Operations 2009 Fall Conference Total Receipts *Estimated ** Projected

Office of Operations 2009 Fall Conference Total Receipts (amounts in billions)

Office of Operations 2009 Fall Conference Total Spending ** Projected

Office of Operations 2009 Fall Conference Total Spending

Office of Operations 2009 Fall Conference Federal Stimulus (amounts in millions) * Total does not include approximately $90 billion in other federal spending items included in the Act which do not impact NY or cannot be quantified. * Reflects revised figures March 2009.

Office of Operations 2009 Fall Conference Federal Stimulus (amounts in millions) Spending as of August 2009

Office of Operations 2009 Fall Conference Public Health (amounts in billions)

Office of Operations 2009 Fall Conference Public Welfare (amounts in thousands)

Office of Operations 2009 Fall Conference Education (amounts in billions)

Office of Operations 2009 Fall Conference Local Government (amounts in millions)

Office of Operations 2009 Fall Conference Capital (amounts in billions)

Office of Operations 2009 Fall ConferenceDebt

Debt * Actual ** Projected

Office of Operations 2009 Fall Conference Economic and Demographic Trends

Office of Operations 2009 Fall Conference Economic and Demographic Trends

Office of Operations 2009 Fall Conference All Government Funds Projected Growth (amounts in billions)

Office of Operations 2009 Fall Conference Agency Financial Reporting Package On-Line System Agency Financial Reporting Package  Collects information from approximately 215 State agencies  Used for annual and interim reporting

Office of Operations 2009 Fall Conference Agency Financial Reporting Package Gross Accounts Receivable  Approximately 50 agencies and $590 million Gross Miscellaneous Liabilities  Approximately 20 agencies and $90 million Compensated Absences  Over 4,000 employees and $2.4 billion

Office of Operations 2009 Fall Conference Current GASB Statements GASB 51- Accounting and Financial Reporting for Intangible Assets GASB 53- Accounting and Financial Reporting for Derivative Instruments GASB 54- Fund Balance Reporting and Governmental Fund Type Definitions

Office of Operations 2009 Fall ConferenceSummary Financial Reporting is required to:   Recognize the true financial position and condition of the State, and reports the condition to the taxpayers.   Prepare GAAP financial statements presenting timely modified accrual and full accrual-based financial statements to the public, bond rating agencies, investment banks, etc.   Enable comparability with other states, and over a period of time.

Office of Operations 2009 Fall ConferenceQuestions/Comments? Suzette Baker (518) Jennifer Hallanan (518) Maria Moran (518) Sandi Trzcinski (518)