Anne Arundel County MDCafr Presentation 410 Accounting F

Anne Arundel County Mdcafr Presentationacct 410 Accounting For Gover

Anne Arundel County, MD CAFR Presentation ACCT 410 Accounting for Government and not-for-profit 03/28/2021 Overview Anne Arundel County, MD Anne Arundel County was named for England’s Lady Anne of Arundel, beloved wife of Cecil Calvert, second Baron Baltimore. in 1650, the General Assembly of the Maryland Colony named this County in her honor. The County is located thirteen miles east of Washington, D.C. with Baltimore City and Baltimore County as its northern boundary and the Chesapeake Bay as its entire eastern boundary. The State of Maryland’s (State) capital, Annapolis, is an incorporated municipality located within the County. The County has six drivers of regional economic and employment activity located within its boundary: The City of Annapolis , Baltimore-Washington International Thurgood Marshall Airport (BWI-TM airport) , Fort George G. G.

Meade and its tenants ,Arundel Mills & Live Casino/Hotel , Two Regional Hospitals ,Northern Industrial Belt. Introductory Section. The Anne Arundel County was awarded the Certificate of Achievement for Excellence in Financial Reporting by the Government Finance Officers Association (GFOA) for the prior year. This was the thirty-ninth consecutive year that the County had received prestigious award. The Anne Arundel County was audited by CliftonLarsonAllen LLP on December 17, 2020. Their opinion, based on their audit and the reports of other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, the budgetary comparison for the General Fund, and the aggregate remaining fund information of the County as of June 30, 2020, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. The Organizational Chart & Certificate of Achievement for Excellence in Financial Reporting.

In the CAFR the following financials are included: Balance Sheet - Governmental Funds Reconciliation of Governmental Fund Balance to Governmental Net Position - Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balance - Governmental Funds Reconciliation of Changes in Fund Balances to Changes in Net Position - Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual - General Fund Statement of Net Position - Proprietary Funds Reconciliation of Enterprise Funds Net Position to Business-type Net Position. Statement of Revenues, Expenses, and Changes in Fund Net Position - Proprietary Funds Statement of Cash Flows - Proprietary Funds Statement of Fiduciary Net Position Statement of Changes in Fiduciary Net Position .

Financial Section There are (5) (Major and Nonmajor) funds listed under Governmental Funds generating revenues in 2020 of $891,820,792. General Fund: Total Asset : $493,531,295. Grant Special Revenue: Total Asset: $72,963,666. Impact Fees Capital Projects: Total Asset: $95,374,781. General County Capital Projects: Total Asset: $177,208,585.

Non-major Governmental Funds: Total Asset: $106,742,455. Within the General Fund : The General Property Taxes is the largest source of revenue - $750,383,091. The Public Education is the largest source of expenditures - $778,703,500. Proprietary Funds The enterprise funds include the Water and Wastewater Fund, the Solid Waste Fund, and the Child Care Fund and all major enterprise funds are operating at a profit. Internal service funds include Self Insurance, Health Insurance, Central Garage and Transportation, and Garage Replacement Funds.

The financial statements include a statement of cash flows for proprietary funds. The direct method is used. Fiduciary Funds There are 3 types: The Retirement System Pension Trust Funds, The Retiree Health Benefits Trust Fund (OPEB Trust Fund), and agency funds. The County’s four defined benefit pension plans that form the Retirement System Pension Trust Funds are included in this category. The Retiree Health Benefits Trust Fund (OPEB Trust Fund) administers single employer-defined benefit plans for the purpose of providing retiree health benefits.

In addition, this category includes agency funds used to accumulate temporary deposits and other funds collected from outside parties to be returned to the payer or passed on to a third party. Statistical Section Largest Employer - Ft. George G. Meade. Unemployment Rate 2020 – 6.51 % Per Capita Income - $70,095. District of Columbia Population – 585,687. Sales and Use Tax Rate – 6% . Work Cited: “Comprehensive Annual Financial Reports.†Anne Arundel County, Maryland, Accessed 28 Mar. 2021.

Paper For Above instruction

The Comprehensive Annual Financial Report (CAFR) of Anne Arundel County, Maryland, offers an extensive overview of the county’s financial health, fiscal management, and accountability measures. As a crucial document, the CAFR delineates the county’s financial activities, highlighting its revenues, expenditures, assets, liabilities, and overall fiscal position as of June 30, 2020. This paper analyses the key components, financial statements, and the significance of the CAFR, illustrating the county’s adherence to generally accepted accounting principles (GAAP) and its commitment to transparency and excellence in financial reporting.

Indeed, Anne Arundel County has demonstrated a robust financial position through its comprehensive reporting, which was recognized with the Certificate of Achievement for Excellence in Financial Reporting by the Government Finance Officers Association (GFOA). This prestigious award underscores the county’s dedication to transparency, accuracy, and clarity in its financial disclosures. The county’s audit, conducted by CliftonLarsonAllen LLP, affirms that the financial statements present a fair and accurate picture of its economic standing, including governmental activities, business-type activities, and various funds. The audit report’s positive opinion reinforces the county's sound financial management and ability to meet its fiscal objectives.

The CAFR’s structure includes various financial statements that provide a detailed view of the county’s financial operations. These include the Balance Sheet for governmental funds, the reconciliation of fund balances to net position, the statement of revenues, expenditures, and changes in fund balance, and the budgetary comparison schedule for the General Fund. For proprietary funds, the statements encompass the Balance Sheet, statement of revenues, expenses, and changes in fund net position, and the statement of cash flows. Fiduciary funds are also detailed through statements of fiduciary net position and changes therein, which involve pension and other post-employment benefit (OPEB) plans as well as agency funds.

Fiscal data from 2020 reveal that the county managed revenues of approximately $891.8 million across major and nonmajor governmental funds. The General Fund alone contributed assets valued at over $493 million, primarily funded through property taxes—its largest revenue source, amounting to $750 million. Conversely, expenditures for public education surpassed $778 million, underscoring the significant role of education funding in county finances. The county’s proprietary funds, including water, wastewater, and waste management, are reported to operate profitably, reflecting effective operational management.

In terms of fiscal health, Anne Arundel County’s assets and liabilities are balanced to support ongoing operations and capital projects. For instance, the General Property Taxes remain the dominant revenue stream, emphasizing reliance on local taxation. The county’s expenditures are aligned with its revenue streams, and careful management ensures fiscal stability. The presence of various funds—such as impact fees, capital project funds, and fiduciary funds—demonstrates comprehensive fiscal planning and adherence to statutory and regulatory standards.

The county’s economic indicators further substantiate its fiscal resilience. The unemployment rate in 2020 was 6.51%, and the county’s per capita income was notably high at $70,095. These metrics indicate a healthy local economy capable of supporting diverse revenue streams. Additionally, the county's largest employer, Fort George G. G. Meade, plays a vital role in employment stability and economic activity. The demographic profile, including a population of over 585,000 in the District of Columbia, contextualizes the regional economic environment affecting the county’s financial strategies.

In conclusion, Anne Arundel County’s CAFR exemplifies exemplary financial reporting practices, providing stakeholders with a transparent, detailed, and accurate depiction of its financial position. The county’s adherence to GAAP, coupled with its consistent recognition for excellence, underscores its commitment to fiscal responsibility and operational excellence. The detailed financial statements and comprehensive disclosures serve as valuable tools for policymakers, investors, and residents to understand the county’s fiscal health, guiding informed decision-making and fostering continued economic stability.

References

• Anne Arundel County. (2021). Comprehensive Annual Financial Report. Retrieved from https://www.aacounty.org
• Government Finance Officers Association. (2020). Certificate of Achievement for Excellence in Financial Reporting. GFOA.
• CliftonLarsonAllen LLP. (2020). Independent Auditors’ Report on Anne Arundel County Financial Statements.
• U.S. Census Bureau. (2021). American Community Survey Data.
• Maryland Office of Budget and Management. (2021). Fiscal Year 2021 Maryland Budget Report.
• Maryland State Department of Assessments and Taxation. (2021). Property Tax Data and Rates.
• Federal Reserve Bank of Richmond. (2021). Economic Data for Maryland and Surrounding Regions.
• Maryland Department of Health. (2021). Regional Healthcare and Hospital Data.
• Maryland Department of Transportation. (2021). BWI Airport and Infrastructure Reports.
• National Association of Counties. (2020). County Fiscal Reports and Data Analysis.