Town of Winthrop Town of Winthrop 1 Financial Overview Presented by: Greg Chabot RUNYON KERSTEEN OUELLETTE Recently, the Town of Winthrop completed the financial audit process. The Town received an unqualified opinion for fiscal year Our report on internal controls discloses two significant deficiencies, none of which were deemed to be material weaknesses. The remainder of this publication is dedicated to providing you with the financial results for fiscal year 2008 as well as trend information for certain areas. We hope you find this information useful and understandable. Finally, we wish to express our appreciation to Jan and Elaine and all the members of the Town’s finance staff who were so helpful to us during the audit process. FINANCIAL STATEMENT PRESENTATION June INSIDE. 1. Assets 2. Liabilities And Fund Equity 3. Revenues And Expenditures Tables 5. Revenues And Expenditures - School 6. Revenues And Expenditures Charts 7. Property Tax Collections 8. Fund Balance Analysis 11. Other Funds and Conclusion SUMMARY OF SIGNIFICANT CHANGES Cash and investment decreased $300,755 as expenditures and transfers exceeded revenues in the current year. Accounts receivable increased $41,916 due to timing differences. Key Performance Indicators GENERAL FUND ASSETS

Town of Winthrop Town of Winthrop 2 GENERAL FUND LIABILITIES SUMMARY OF SIGNIFICANT CHANGES  The most significant liability, accrued wages represents payroll earned prior to June 30th but not yet paid. The majority ($741,792) consists of teachers summer pay.  Deferred revenue represents taxes still unpaid 60 days after the end of the year. These amounts are not recognized as revenues in the current year. SUMMARY OF SIGNIFICANT CHANGES Detail for designated balances is on page 27 of the financials. Town undesignated fund balance decreased by $822,318 as a result of utilization of prior year fund balance ($451,802) and additional designations at year end for ambulance service building renovation ($334,933) and toward subsequent budget ($110,000). GENERAL FUND EQUITY

Town of Winthrop Town of Winthrop 3 SUMMARY OF SIGNIFICANT CHANGES  Taxes was under budget due to the increase in deferred tax revenue.  Excise decreased $29,285 from GENERAL FUND REVENUES

Town of Winthrop Town of Winthrop 4 SUMMARY OF SIGNIFICANT CHANGES  The School Department was under budget by $146,000. See Exhibit A-3 for a more detailed breakdown of Education expenditures.  Public works was over budget by $80,000 mostly due to the increase in winter storms and related plowing, salt & sand and oil expenditures.  Transfers was over budget due to closing out PW Mechanic Fund. GENERAL FUND EXPENDITURES

Town of Winthrop Town of Winthrop 5 SCHOOL DEPARTMENT REVENUES SCHOOL DEPARTMENT EXPENDITURES

Town of Winthrop Town of Winthrop REVENUES – GENERAL FUND 2008 EXPENDITURES – GENERAL FUND

Town of Winthrop Town of Winthrop 7 PROPERTY TAX COLLECTION RATES

Town of Winthrop Town of Winthrop 8 FUND BALANCE ANALYSIS FY OBSERVATION Designated fund balance increased by $798,983 from 2007 due to $334,933 designated toward ambulance service building renovation as well as $491,117 of the education budget budgeted toward subsequent year budget.

Town of Winthrop Town of Winthrop 9 UNDESIGNATED FUND BALANCE AS A % OF BUDGET

Town of Winthrop Town of Winthrop 10 UNDESIGNATED FUND BALANCE - TOWN AND SCHOOL

Town of Winthrop Town of Winthrop 11 FINAL WORDS This presentation is intended as a tool to assist the Town Council, Board of Education and management in understanding its financial operating results. The information contained in this publication should be read in conjunction with the audited financial statements and related disclosures and should not be used for any other purposes without the expressed consent of RUNYON KERSTEEN OUELLETTE Please contact us at or Long Creek Drive, South Portland, ME FINAL WORDS This presentation is intended as a tool to assist the Town Council, Board of Education and management in understanding its financial operating results. The information contained in this publication should be read in conjunction with the audited financial statements and related disclosures and should not be used for any other purposes without the expressed consent of RUNYON KERSTEEN OUELLETTE Please contact us at or Long Creek Drive, South Portland, ME SCHOOL NUTRITION FUND BALANCE