LAKE ZURICH COMMUNITY UNIT
SCHOOL DISTRICT NO. 95
STATE OF ILLINOIS
ANNUAL FINANCIAL REPORT
JUNE 30, 2015
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
TABLE OF CONTENTS
JUNE 30, 2015
PAGE
INDEPENDENT AUDITOR’S OPINION
1
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER
FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER
MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS
PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING
STANDARDS
4
REQUIRED SUPPLEMENTARY INFORMATION
Management’s Discussion and Analysis
6
BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements
Statement of Net Position
12
Statement of Activities
13
Fund Financial Statements
Balance Sheet – Governmental Funds
14
Reconciliation of the Balance Sheet to the Statement of
Net Position
15
Statement of Revenues, Expenditures, and Changes in
Fund Balances – Governmental Funds
16
Reconciliation of the Statement of Revenues, Expenditures,
and Changes in Fund Balances to the Statement of
Activities
18
Statement of Fiduciary Assets and Liabilities
19
Notes to Financial Statements
20
REQUIRED SUPPLEMENTARY INFORMATION
Illinois Municipal Retirement Fund – Schedule of Changes in the Employer’s
Net Pension Liability and Related Ratios
43
Illinois Municipal Retirement Fund – Schedule of Employer Contribution
44
Teachers’ Retirement System of the State of Illinois – Schedule of Changes in
Employer’s Proportionate Share of the Net Pension Liability
45
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
TABLE OF CONTENTS
JUNE 30, 2015
PAGE
REQUIRED SUPPLEMENTARY INFORMATION (Continued)
Teachers’ Retirement System of the State of Illinois – Schedule of
Employer Contribution
46
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – General Fund
47
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – Special Revenue Fund –
Operations and Maintenance Fund
53
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – Special Revenue Fund –
Transportation Fund
54
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – Special Revenue Fund –
Illinois Municipal Retirement/Social Security Fund
55
Notes to Required Supplementary Information
58
SUPPLEMENTAL FINANCIAL INFORMATION
Combining Balance Sheet – General Fund
59
Combining Schedule of Revenues, Expenditures, and Changes in
Fund Balances – General Fund
60
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – General Fund – Educational
Fund
61
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – General Fund – Working
Cash Fund
67
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – Debt Services Fund
68
Schedule of Revenues, Expenditures, and Changes in Fund
Balances – Budget and Actual – Capital Projects Fund
69
Schedule of Changes in Fiduciary Assets and Liabilities – Activity
Funds
70
Computation of Operating Expense Per Pupil and Per Capita
Tuition Charge
71
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
TABLE OF CONTENTS
JUNE 30, 2015
PAGE
ANNUAL FEDERAL FINANCIAL COMPLIANCE SECTION
Independent Auditor’s Report on Compliance for Each Major Program
and on Internal Control Over Compliance Required by OMB
Circular A-133
72
Schedule of Expenditures of Federal Awards
74
Notes to the Schedule of Expenditures of Federal Awards
77
Schedule of Findings and Questioned Costs
78
Summary Schedule of Prior Audit Findings
81
Corrective Action Plan for Current Year Audit Findings
82
INDEPENDENT AUDITOR’S OPINION
To the Board of Education
Lake Zurich Community Unit School District No. 95
Lake Zurich, Illinois
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, each major
fund, and the aggregate remaining fund information of
Lake Zurich Community Unit School District No. 95
as of and for the year ended June 30, 2015, and the related notes to the financial statements, which
collectively comprise the District’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements
in accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether due
to fraud or error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States
of America and the standards applicable to financial audits contained in 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 financial
statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor considers internal control
relevant to the District’s preparation and fair presentation of the financial statements in order to
design audit procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the District’s internal control. Accordingly, we express
no such opinion. An audit also includes evaluating the appropriateness of accounting policies used
and the reasonableness of significant accounting estimates made by management, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Page 1 Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, each major fund, and the aggregate
remaining fund information of Lake Zurich Community Unit School District No. 95 as of
June 30, 2015, and the respective changes in financial position thereof for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
Change in Accounting Principle
As discussed in Note 18 to the financial statements, the District implemented GASB Statement No.
68, Accounting and Financial Reporting for Pensions and GASB Statement No. 71, Pension
Transition for Contributions Made Subsequent to the Measurement Date. Our opinion is not
modified with respect to this matter.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis, schedule of changes in the employer’s net pension liability
and related ratios, schedules of employer contribution, schedule of the employer’s proportionate
share of the net pension liability, and budgetary comparison information on pages 6 through 11 and
43 through 58 be presented to supplement the basic financial statements. Such information,
although not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board, who considers it to be an essential part of financial reporting for placing the basic
financial statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the required supplementary information in accordance with auditing
standards generally accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing the information for
consistency with management’s responses to our inquiries, the basic financial statements, and
other knowledge we obtained during our audit of the basic financial statements. We do not express
an opinion or provide any assurance on the information because the limited procedures do not
provide us with sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise Lake Zurich Community Unit School District No. 95’s basic financial
statements. The supplemental information as listed in the table of contents is presented for
purposes of additional analysis and is not a required part of the financial statements. The Schedule
of Expenditures of Federal Awards is presented for purposes of additional analysis as required by
U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and
Non-Profit Organizations, and is also not a required part of the basic financial statements.
The supplemental information and the Schedule of Expenditures of Federal Awards are the
responsibility of management and were derived from and relate directly to the underlying accounting
and other records used to prepare the basic financial statements. Such information, except for the
average daily attendance figure included in the computation of operating expense per pupil and per
capita tuition charges, has been subjected to the auditing procedures applied in the audit of the
basic financial statements and certain additional procedures, including comparing and reconciling
such information directly to the underlying accounting and other records used to prepare the basic
financial statements or to the basic financial statements themselves, and other additional
procedures in accordance with auditing standards generally accepted in the United States of
America. In our opinion, the supplemental information and the Schedule of Expenditures of Federal
Awards are fairly stated in all material respects in relation to the basic financial statements as a
whole.
Page 2
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
October 20, 2015 on our consideration of Lake Zurich Community Unit School District No. 95’s
internal control over financial reporting and on our tests of its compliance with certain provisions of
laws, regulations, contracts, and grant agreements and other matters. The purpose of that report
is to describe the scope of our testing of internal control over financial reporting and compliance
and the results of that testing, and not to provide an opinion on internal control over financial
reporting or on compliance. That report is an integral part of an audit performed in accordance with
Government Auditing Standards in considering Lake Zurich Community Unit School District No.
95’s internal control over financial reporting and compliance.
EDER, CASELLA & CO.
Certified Public Accountants
McHenry, Illinois
October 20, 2015
Page 3
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN
AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE
WITH GOVERNMENT AUDITING STANDARDS
To the Board of Education
Lake Zurich Community Unit School District No. 95
Lake Zurich, Illinois
We have audited, in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing
Standards issued by the Comptroller General of the United States, the financial statements of the
governmental activities, each major fund, and the aggregate remaining fund information of
Lake Zurich Community Unit School District No. 95
as of and for the year ended June 30, 2015, and the related notes to the financial statements, which
collectively comprise Lake Zurich Community Unit School District No. 95’s basic financial
statements, and have issued our report thereon dated October 20, 2015.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered Lake Zurich
Community Unit School District No. 95’s internal control over financial reporting (internal control) to
determine the audit procedures that are appropriate in the circumstances for the purpose of
expressing our opinions on the financial statements, but not for the purpose of expressing an
opinion on the effectiveness of Lake Zurich Community Unit School District No. 95’s internal control.
Accordingly, we do not express an opinion on the effectiveness of Lake Zurich Community Unit
School District No. 95’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to prevent,
or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a
combination of deficiencies, in internal control such that there is a reasonable possibility that a
material misstatement of the entity’s financial statements will not be prevented, or detected and
corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies,
in internal control that is less severe than a material weakness, yet important enough to merit
attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of
this section and was not designed to identify all deficiencies in internal control that might be material
weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify
any deficiencies in internal control that we consider to be material weaknesses. However, material
weaknesses may exist that have not been identified.
Page 4 Compliance and Other Matters
As part of obtaining reasonable assurance about whether Lake Zurich Community Unit School
District No. 95’s financial statements are free from material misstatement, we performed tests of its
compliance with certain provisions of laws, regulations, contracts, and grant agreements,
noncompliance with which could have a direct and material effect on the determination of financial
statement amounts. However, providing an opinion on compliance with those provisions was not
an objective of our audit, and accordingly, we do not express such an opinion. The results of our
tests disclosed no instances of noncompliance or other matters that are required to be reported
under Government Auditing Standards.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and
compliance and the results of that testing, and not to provide an opinion on the effectiveness of the
entity’s internal control or on compliance. This report is an integral part of an audit performed in
accordance with Government Auditing Standards in considering the entity’s internal control and
compliance. Accordingly, this communication is not suitable for any other purpose.
EDER, CASELLA & CO.
Certified Public Accountants
McHenry, Illinois
October 20, 2015
Page 5
REQUIRED SUPPLEMENTARY INFORMATION
Lake Zurich Community Unit School District No. 95
MANAGEMENT’S DISCUSSION AND ANALYSIS
JUNE 30, 2015
The Management’s Discussion and Analysis of Lake Zurich Community Unit School District No. 95’s (the
District) financial performance provides an overall review of the District’s financial activities for the year
ended June 30, 2015. The management of the District encourages readers to consider the information
presented herein in conjunction with the basic financial statements to enhance their understanding of the
District’s financial performance.
Financial Highlights

The assets and deferred outflows of resources of the District exceeded its liabilities and deferred
inflows of resources at June 30, 2015 by $143,232,816 (net position).

The District’s total net position increased by $10,007,723. Substantially all of this increase
represents the degree to which increases in ongoing revenues exceeded similar increases in
ongoing expenses.

At June 30, 2015 the District’s governmental funds reported combined ending fund balances of
$67,135,400, an increase of $5,955,219 in comparison with the prior year.

At June 30, 2015 the unassigned fund balance for the General Fund was $38,319,194, or 48% of
total General Fund expenditures.

The District’s total long-term debt decreased by $5,272,552 during the year ended June 30, 2015
due to scheduled repayments and accreted interest on long-term debt.
Overview of the Financial Statements
This discussion and analysis are intended to serve as an introduction to the District’s basic financial
statements. The District’s basic financial statements comprise three components: 1) government-wide
financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report
also contains other supplementary information in addition to the basic financial statements.
Government-Wide Financial Statements. The government-wide financial statements are designed to
provide readers with a broad overview of the District’s finances, in a manner similar to a private-sector
business.
The Statement of Net Position presents information on all of the District’s assets and deferred outflows
of resources, less its liabilities and deferred inflows of resources, with the difference reported as net
position. Over time, increases or decreases in net position may serve as a useful indicator of whether
the financial position of the District is improving or deteriorating.
The Statement of Activities presents information showing how the District’s net position changed during
the most recent fiscal year. All changes in net position are reported as soon as the underlying event
giving rise to the change occurs, regardless of the timing of the related cash flows. Thus, revenues and
expenses are reported in this statement for some items that will only result in cash flows in future fiscal
periods (e.g., uncollected taxes).
Both of the government-wide financial statements distinguish functions of the District that are principally
supported by taxes and intergovernmental revenues (governmental activities). Governmental activities
include instruction, support services, operations and maintenance, transportation, food services, and
Page 6
certain other activities and expenses such as payments to other districts and governmental units and
interest and fees.
The government-wide financial statements can be found on pages 12 and 13 of this report.
Fund Financial Statements. A fund is a grouping of related accounts that is used to maintain control
over resources that have been segregated for specific activities or objectives. The District uses fund
accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the
funds of the District can be divided into two categories: governmental funds and fiduciary funds (the
District maintains no proprietary funds).
Governmental funds. Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike the
government-wide financial statements, governmental fund financial statements focus on near-term
inflows and outflows of spendable resources, as well as on balances of spendable resources available
at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term
financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By doing
so, readers may better understand the long-term impact of the District’s near-term financing decisions.
Both the governmental fund Balance Sheet and the governmental fund Statement of Revenues,
Expenditures, and Changes in Fund Balances provide a reconciliation to facilitate this comparison
between governmental funds and governmental activities.
The District maintains six individual governmental funds. Information is presented separately in the
governmental fund Balance Sheet and in the governmental fund Statement of Revenues, Expenditures,
and Changes in Fund Balances for the General, Operations and Maintenance, Debt Services,
Transportation, Illinois Municipal Retirement/Social Security, and Capital Projects Funds, all of which are
considered to be major funds.
The District adopts an annual budget for each of the funds listed above. A budgetary comparison
statement, which is required supplementary information, has been provided for the General Fund and
each major special revenue fund to demonstrate compliance with this budget.
The basic fund financial statements can be found on pages 14 through 18 and the required
supplementary information can be found on pages 47 through 57 of this report.
Fiduciary Funds - Fiduciary funds are used to account for assets held for others, such as student activity
funds. Fiduciary funds are not reflected in the government-wide financial statements because the assets
of these funds are not available to support the District’s operations.
The basic fiduciary fund financial statement can be found on page 19 of this report.
Notes to the Financial Statements - The notes provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The notes to
the financial statements can be found on pages 20 through 42 of this report.
Other Information - In addition to the basic financial statements, accompanying notes, and required
supplementary information, this report also presents certain supplementary information concerning the
District’s progress in meeting its obligation to provide fully adequate educational services and
extracurricular activities to all of its resident’s students.
Supplemental financial information can be found on pages 59 through 71 of this report.
Page 7
Government-Wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a government’s financial
position. In the case of the District, assets and deferred outflows of resources exceeded liabilities and
deferred inflows of resources by $143,232,816 at the close of the most recent fiscal year.
The following table presents a summary of the District’s net position for the years ended June 30, 2015
and 2014:
Lake Zurich Community Unit School District No. 95's Net Position at Year-End
Governmental Activities
FY 2015
FY 2014
Assets
Current and Other Assets
Capital Assets
Total Assets
Deferred Outflows of Resources
Deferred Pension Expense
Deferred Employer Pension Contributions
Total Deferred Outflows of Resources
Liabilities
Other Liabilities
Long-Term Liabilities Outstanding
Total Liabilities
Deferred Inflows of Resources
Unavailable Revenue - Property Taxes
Deferred Pension Revenue
Total Deferred Inflows of Resources
$
$
$
$
$
$
$
$
112,548,418
118,828,520
231,376,938
982,314
589,365
1,571,679
6,920,785
43,315,803
50,236,588
38,537,333
941,880
39,479,213
$
$
$
$
$
$
$
$
105,389,679
120,026,755
225,416,434
6,481,916
43,652,724
50,134,640
37,766,390
37,766,390
Net Position
Net Investment in Capital Assets
Restricted
Unrestricted
Total Net Position
$
97,723,734
25,427,170
20,081,912
$
95,749,947
24,782,823
16,982,634
$
143,232,816
$
137,515,404
The net investment in capital assets (68% of total net position) represents assets such as land, buildings,
and equipment less any related debt used to acquire those assets that is still outstanding. The District
uses its assets to provide educational services and extracurricular activities for the students of the local
community. Although the District’s investment in capital assets is reported net of related debt, it should
be noted that the resources needed to repay this debt must be provided from other sources, since the
capital assets themselves cannot be used to liquidate these liabilities.
An additional portion of the District’s net position (18%) represents resources that are subject to external
restrictions on how they may be used.
The District’s net position increased by $10,007,723. Substantially all of this increase represents the
degree to which increases in ongoing revenues exceeded similar increases in ongoing expenses.
Governmental Activities. Governmental activities increased the District’s net position by $10,007,723.
Key elements of this increase are as follows:
Page 8
Lake Zurich Community Unit School District No. 95's Change in Net Position
Governmental Activities
FY 2015
FY 2014
Revenues:
Program Revenues
Charges for Services
Operating Grants and Contributions
Capital Grants and Contributions
General Revenues:
Property Taxes
Other Payments in Lieu of Taxes
Grants and Contributions not Restricted
to Specific Activities
Unrestricted Investment Earnings
TIF Revenues
Legal Settlements
Gain/(Loss) on Sale of Capital Assets
Miscellaneous
Total Revenues
Expenses:
Instruction
Support Services
Community Services
Payments to Other Districts and Governmental Units
Interest and Fees on Long-Term Debt
On-Behalf Retirement Contributions
Depreciation - Unallocated
Total Expenses
$
$
$
$
3,888,954
25,663,308
33,769
$
4,339,350
20,243,717
294,784
76,141,252
263,034
74,679,307
244,578
2,026,709
129,189
306,631
126,948
254,258
108,834,052
2,000,454
113,294
339,236
79,541
331,168
10,867
102,676,296
41,103,908
31,556,808
76,710
1,045,507
2,314,769
19,229,859
3,498,768
98,826,329
$
$
$
40,962,796
28,980,433
71,475
1,127,429
2,818,329
13,777,997
3,253,554
90,992,013
Change in Net Position
Net Position - Beginning
Net Assets Adjustment
$
10,007,723
137,515,404
(4,290,311)
$
11,684,283
126,534,441
(703,320)
Net Position - Ending
$
143,232,816
$
137,515,404

Property Taxes increased by $1,461,945 over the prior year due to an overall increase in the tax
rate and the EVA for the District.

Operating Grants and Contributions increased by $5,419,591 primarily due to a $5,451,862
increase in On-Behalf Retirement Contributions of $5,451,862 due to a change in the calculation
by TRS related to requirements under GASB Statement No. 68.

The District’s total expenses increased $7,834,316 (9%). Significant expense increases include
Support Services which increased by $2,576,375 due to hiring assistant principals at all the
elementary schools and increased construction projects. On Behalf Retirement Contributions
which increased $5,451,862 due to a change in the calculation by TRS related to requirements
under GASB statement No. 68.
Financial Analysis of the District’s Funds
As noted earlier, the District uses fund accounting to ensure and demonstrate compliance with financerelated legal requirements.
Governmental funds. The focus of the District’s governmental funds is to provide information on nearterm inflows, outflows, and balances of spendable resources. Such information is useful in assessing
the District’s financing requirements. In particular, unassigned fund balance may serve as a useful
measure of the District’s net resources available for spending at the end of the fiscal year.
As of June 30, 2015, the District’s six governmental funds reported combined ending fund balances of
$67,135,400, an increase of $5,955,219.
Page 9
General Fund – The greatest variety and the largest volume of transactions shall be recorded in the
General Fund because the General Fund covers transactions that are not specifically covered in another
fund. Certain expenditures that must be charged to this fund include the direct costs of instructional,
health, and attendance services, lunch programs, all costs of administration, and related insurance costs.
Certain revenues that must be credited to this fund include educational and working cash tax levies,
tuition, and textbook rentals.
At June 30, 2015 the General Fund had an unassigned fund balance of $38,319,194. This unassigned
fund balance represents 48% of total General Fund expenditures.
The remaining five funds had a combined fund balance of $28,350,248. The significant transactions of
these funds for the year ended June 30, 2015 are summarized as follows:
Operations and
Maintenance
Fund
Debt
Services
Fund
Transportation
Fund
Illinois Municipal
Retirement/
Social Security
Fund
Capital
Projects
Fund
Beginning Fund Balance
Net Change in Fund Balance
$
9,996,985
(943,336)
$
6,990,400
18,489
$
8,885,884
157,753
$
903,912
440,139
$
69,714
1,830,308
Ending Fund Balance
$
9,053,649
$
7,008,889
$
9,043,637
$
1,344,051
$
1,900,022
General Fund Budgetary Highlights
The District did not amend its budget ordinance during the year ended June 30, 2015.
Significant differences between budgeted and actual revenues and expenditures are summarized as
follows:

The difference between budgeted revenues and actual revenues was $6,365,970 (favorable)
which is 7% of total revenues. The most significant factor was On-Behalf Retirement Contributions
($6,062,867) being higher than budgeted.

The difference between budgeted expenditures and actual expenditures was $3,662,116
(unfavorable) which is 5% of total expenditures. The most significant factor was On-Behalf
Retirement Contributions ($6,062,867) being higher than budgeted.
Capital Asset and Debt Administration
Capital Assets. At June 30, 2015 the District had invested $118,828,520 (net of depreciation) in a broad
range of capital assets, including land, building and building improvements, site improvements and
infrastructure, capitalized equipment, and construction in progress. Total depreciation expense for the
year was $4,120,738.
Major capital asset events during the current fiscal year included the following:

Purchase of copiers totaling $504,924

High School Stadium Improvements totaling $1,207,300
Page 10
Lake Zurich Community Unit School District No. 95's Capital Assets
(net of depreciation)
Governmental Activities
2015
2014
Land
Building and Building Improvements
Site Improvements and Infrastructure
Capitalized Equipment
Construction in Progress
$
11,953,158
96,173,685
4,984,909
5,458,576
258,192
$
11,953,158
99,685,087
2,744,029
5,404,603
239,878
$
118,828,520
$
120,026,755
Additional information on the District’s capital assets can be found in note 3 on pages 26 and 27 of this
report.
Long-Term Debt. At June 30, 2015 the District had $37,734,112 in long-term debt.
Lake Zurich Community Unit School District No. 95's Outstanding Debt
Governmental Activities
2015
2014
Bonds
Lease/Purchase Agreements
Total
$
37,334,121
399,991
$
43,006,664
-
$
37,734,112
$
43,006,664
Additional information on the District’s long-term debt can be found in note 4 on pages 27 and 28 of this
report.
Economic Factors and Next Year’s Budget
The District expects its 2016 revenues and expenses to be similar to the current year. The District is
expected to buy new buses and sell old buses during 2016.
Requests for Information
This financial report is designed to provide the District’s citizens, taxpayers, parents, students, investors,
and creditors with a general overview of the District’s finances and to demonstrate the District’s
accountability for the money it receives. If you have questions about this report, or need additional
financial information, contact the District at the following address:
Lake Zurich Community Unit School District No. 95
400 South Old Rand Road
Lake Zurich, IL 60047-2459
Page 11
BASIC FINANCIAL STATEMENTS
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
GOVERNMENT-WIDE FINANCIAL STATEMENTS
STATEMENT OF NET POSITION
JUNE 30, 2015
Governmental
Activities
ASSETS
Cash and Cash Equivalents
Investments, at Fair Value
Facility Rental Receivable, net of allowance of $0
Interest Receivable, net of allowance of $0
Taxes Receivable, net of allowance of $0
Due from Other Governments, net of allowance of $0
Prepaid Expenses
Capital Assets (Note 3):
Land
Construction in Progress
Depreciable Buildings, Property, and Equipment,
net of depreciation
Total Assets
$
23,380,370
48,433,153
53,120
72,987
38,641,552
1,493,729
473,507
11,953,158
258,192
$
106,617,170
231,376,938
DEFERRED OUTFLOWS OF RESOURCES
Deferred Pension Expense
Deferred Employer Pension Contributions
Total Deferred Outflows of Resources
$
982,314
589,365
1,571,679
Total Assets and Deferred Outflows of Resources
$
232,948,617
$
882,482
57,587
5,888,291
92,425
4,987,797
LIABILITIES
Accounts Payable
Accrued Expenses
Payroll Liabilities
Unearned Revenue
Net Pension Liability
Long-Term Liabilities
Due Within One Year
Due in More Than One Year
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable Revenue - Property Taxes
Deferred Pension Revenue
Total Deferred Inflows of Resources
Total Liabilities and Deferred Inflows of Resources
NET POSITION
Net Investment in Capital Assets
Restricted for:
Operations and Maintenance
Debt Service
Transportation
Retirement
Future Capital Projects
Unrestricted/(Deficit)
Total Net Position
$
$
$
6,117,416
32,210,590
50,236,588
$
38,537,333
941,880
39,479,213
$
89,715,801
$
97,723,734
6,820,892
7,008,204
8,419,591
1,328,518
1,849,965
20,081,912
$
143,232,816
The Notes to Financial Statements are an integral part of this statement.
Page 12
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
GOVERNMENT-WIDE FINANCIAL STATEMENTS
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2015
Charges for
Services
Expenses
Functions/Programs
Governmental Activities
Instruction
Regular Programs
Special Education Programs
Other Instructional Programs
Support Services
Pupils
Instructional Staff
General Administration
School Administration
Business
Facilities Acquisition and Construction
Operations and Maintenance
Transportation
Food Services
Central
Community Services
Payments to Other Districts and
Governmental Units
Interest and Fees on Long-Term Debt
On-Behalf Retirement Contributions
Depreciation - Unallocated
Total Governmental Activities
$
$
28,341,876
5,756,653
7,005,379
$
228,165
1,713,957
Program Revenues
Operating
Grants and
Contributions
$
319,024
2,851,223
98,641
Net (Expense)
Revenue and Changes
in Net Position
Capital
Grants and
Contributions
$
-
$ (27,794,687)
(2,905,430)
(5,192,781)
4,399,715
1,471,360
1,977,791
4,355,550
653,858
7,488,290
4,624,104
1,516,470
5,069,670
76,710
330,526
121,360
1,494,946
-
137,974
13,611
128,634
2,142,202
154,120
-
33,769
-
(4,261,741)
(1,457,749)
(1,977,791)
(4,355,550)
(653,858)
33,769
(7,029,130)
(2,360,542)
132,596
(5,069,670)
(76,710)
1,045,507
2,314,769
19,229,859
3,498,768
98,826,329
3,888,954
588,020
19,229,859
25,663,308
33,769
(457,487)
(2,314,769)
(3,498,768)
$ (69,240,298)
$
$
$
General Revenues
Taxes
Property Taxes, Levied for General Purposes
Property Taxes, Levied for Debt Service
Other Payments in Lieu of Taxes
Grants and Contributions not Restricted to Specific Activities
Unrestricted Investment Earnings
TIF Revenues
Gain/(Loss) on Sale of Capital Assets
Miscellaneous Income
Total General Revenues
$
68,349,080
7,792,172
263,034
2,026,709
129,189
306,631
126,948
254,258
79,248,021
Change in Net Position
$
10,007,723
Net Position - July 1, 2014
Net Position Adjustment (Note 18)
Net Position - June 30, 2015
The Notes to Financial Statements are an integral part of this statement.
Page 13
Governmental
Activities
$
137,515,404
(4,290,311)
$ 143,232,816
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2015
Operations and
Maintenance
Fund
General
Fund
ASSETS
Cash and Cash Equivalents
Investments, at Fair Value
Facility Rental Receivable, net of allowance of $0
Interest Receivable, net of allowance of $0
Taxes Receivable, net of allowance of $0
Due from Other Governments, net of allowance of $0
Prepaid Expenses
Total Assets
LIABILITIES
Accounts Payable
Accrued Expenses
Payroll Liabilities
Unearned Revenue
Total Liabilities
DEFERRED INFLOWS OF RESOURCES
Unavailable Revenue - Property Taxes
Total Deferred Inflows of Resources
FUND BALANCES
Nonspendable
Prepaid Expenses
Restricted
Operations and Maintenance
Debt Service
Transportation
Illinois Municipal Retirement
Social Security
SEDOL IMRF
Capital Projects
Assigned
Operations and Maintenance
Transportation
Illinois Municipal Retirement
Capital Projects
Unassigned
Total Fund Balances
Total Liabilities, Deferred Inflows of Resources,
and Fund Balances
Debt
Services Fund
Transportation
Fund
Capital
Projects
Fund
Total
Governmental
Funds
$
14,294,505
28,967,387
44,157
28,011,802
971,466
465,958
$
3,037,271
6,529,743
53,120
16,787
5,093,266
29
$
2,225,760
4,776,853
3,885,745
685
$
2,767,061
5,893,309
8,758
654,904
522,263
6,835
$
452,436
971,001
1,460
995,835
-
$
603,337
1,294,860
1,825
-
$
$
72,755,275
$
14,730,216
$
10,889,043
$
9,853,130
$
2,420,732
$
1,900,022
$ 112,548,418
$
$
$
$
84,343
84,343
$
$
83,129
71,863
154,992
$
$
556,345
36,078
592,423
$
$
243,008
12,487
5,696,007
92,425
6,043,927
$
$
27,926,196
27,926,196
$
$
5,084,144
5,084,144
$
$
3,880,154
3,880,154
$
$
654,501
654,501
$
$
992,338
992,338
$
465,958
$
29
$
685
$
6,835
$
-
$
-
-
23,380,370
48,433,153
53,120
72,987
38,641,552
1,493,729
473,507
$
$
-
$
882,482
12,487
5,888,291
92,425
6,875,685
$
$
-
$
$
38,537,333
38,537,333
$
-
$
473,507
6,820,892
-
7,008,204
-
8,419,591
-
1,100,650
223,328
4,540
-
1,849,965
6,820,892
7,008,204
8,419,591
1,100,650
223,328
4,540
1,849,965
$
7,008,889
$
617,211
9,043,637
$
15,533
1,344,051
$
50,057
1,900,022
$
2,232,728
617,211
15,533
50,057
38,319,194
67,135,400
$
10,889,043
$
9,853,130
$
2,420,732
$
1,900,022
$ 112,548,418
$
38,319,194
38,785,152
$
2,232,728
9,053,649
$
72,755,275
$
14,730,216
The Notes to Financial Statements are an integral part of this statement.
Page 14
Illinois Municipal
Retirement/
Social Security
Fund
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
RECONCILIATION OF THE BALANCE SHEET
TO THE STATEMENT OF NET POSITION
JUNE 30, 2015
Total Fund Balances - Governmental Funds
$
67,135,400
Amounts reported for governmental activities in the Statement of Net Position are
different because:
Deferred pension costs in governmental activities are not financial resources
and therefore are not reported in the funds.
Deferred Pension Costs
Deferred Employer Contributions to Pension
$
40,434
589,365
629,799
Capital assets used in governmental activities are not financial resources
and therefore are not reported in the funds.
Capital Assets
Accumulated Depreciation on Capital Assets
$
170,567,180
(51,738,660)
118,828,520
Deferred charges and credits for debt issue discounts or premiums are not
financial resources and therefore are not reported in the funds.
Bond Premiums, net of related amortization
(399,464)
Some liabilities are not due and payable in the current period and therefore
are not reported in the funds.
Bonds and Notes Payable
Accrued Interest on Long-Term Debt
Compensated Absences Payable
Net Pension (Liability)/Asset
$
(37,734,112)
(45,100)
(194,430)
(4,987,797)
(42,961,439)
Net Position of Governmental Activities
The Notes to Financial Statements are an integral part of this statement.
Page 15
$
143,232,816
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2015
General
Fund
REVENUES
Property Taxes
Payments in Lieu of Taxes
Tuition
Transportation Fees
Earnings on Investments
Food Service
District/School Activity Income
Textbooks
Other Local Sources
State Aid
Federal Aid
On-Behalf Payments
$
$
EXPENDITURES
Current
Instruction
Regular Programs
Special Education Programs
Other Instructional Programs
Support Services
Pupils
Instructional Staff
General Administration
School Administration
Business
Operations and Maintenance
Transportation
Food Services
Central
Community Services
Payments to Other Districts and Governmental Units
Debt Service
Principal
Interest and Fees
Capital Outlay
On-Behalf Payments
$
$
55,453,099
56,661
397,174
78,031
1,494,947
1,310,106
159,985
508,345
4,361,658
1,691,528
19,229,859
84,741,393
27,955,390
5,550,770
6,924,201
Operations and
Maintenance
Fund
$
$
$
9,359,821
106,373
22,574
576,996
9,321
10,075,085
-
4,231,522
1,434,955
1,951,371
4,216,065
622,933
17,084
1,496,696
4,790,846
73,434
1,045,507
7,224,463
-
888,074
19,229,859
80,428,707
3,800,931
11,025,394
$
Debt
Services Fund
$
$
$
7,792,172
3,430
7,795,602
-
Transportation
Fund
$
$
$
-
$
3,824,946
4,310,938
8,135,884
$
1,618,900
121,360
18,477
903
2,142,202
3,901,842
-
$
$
$
1,917,260
100,000
2,582
10,312
22
126,793
2,156,969
403,982
195,315
80,250
Capital
Projects
Fund
$
$
$
Total
Governmental
Funds
4,095
32,119
36,214
-
$
76,141,252
263,034
397,174
121,360
129,189
1,494,947
1,310,106
159,985
1,128,675
6,513,203
1,818,321
19,229,859
$ 108,707,105
$
28,359,372
5,746,085
7,004,451
3,744,089
-
158,572
34,339
32,953
135,170
31,752
146,073
233,483
261,794
3,147
-
-
4,390,094
1,469,294
1,984,324
4,351,235
654,685
7,370,536
3,994,656
1,496,696
5,052,640
76,581
1,045,507
3,744,089
1,716,830
-
3,824,946
4,310,938
4,689,005
19,229,859
$ 105,050,904
The Notes to Financial Statements are an integral part of this statement.
Page 16
Illinois Municipal
Retirement/
Social Security
Fund
$
$
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2015
General
Fund
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Interfund Transfers
Principal on Bonds Sold
Sale or Compensation for Fixed Assets
$
$
$
NET CHANGE IN FUND BALANCES
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
4,312,686
(365,744)
504,924
139,180
4,451,866
Operations and
Maintenance
Fund
$
$
$
$
34,333,286
$
38,785,152
(950,309)
6,973
6,973
(943,336)
Debt
Services Fund
$
(340,282)
$
$
$
$
358,771
358,771
$
$
18,489
$
9,996,985
$
9,053,649
Transportation
Fund
6,990,400
$
7,008,889
157,753
157,753
$
$
$
$
8,885,884
$
9,043,637
The Notes to Financial Statements are an integral part of this statement.
Page 17
Illinois Municipal
Retirement/
Social Security
Fund
440,139
440,139
Capital
Projects
Fund
$
36,214
$
3,656,201
$
$
$
1,794,094
1,794,094
$
504,924
1,794,094
2,299,018
$
1,830,308
$
5,955,219
903,912
$
1,344,051
Total
Governmental
Funds
69,714
$
1,900,022
61,180,181
$
67,135,400
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2015
Net Change in Fund Balances - Total Governmental Funds
$
5,955,219
Amounts reported for governmental activities in the Statement of Activities are different
because:
Governmental funds report capital outlays as expenditures. However, in the
Statement of Activities the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense. This is the amount by which
capital outlay exceeds depreciation expense in the current period.
Depreciation Expense
Capital Outlays
$ (4,120,738)
4,589,649
468,911
In the Statement of Activities, only the gain or loss on the sale of capital assets
is reported, whereas in the governmental funds, the proceeds from the sale
increase financial resources. Thus, the change in net position differs from the
change in fund balance by the undepreciated balance of the capital assets sold.
Gain/(Loss) on Sale of Capital Assets
Proceeds from Sale of Fixed Assets
$
126,948
(1,794,094)
(1,667,146)
Long-term debt proceeds provide current financial resources to governmental funds
and are therefore shown as revenue in the Statement of Revenues, Expenditures,
and Changes in Fund Balances, but issuing debt increases long-term liabilities in
the Statement of Net Assets and is therefore not reported in the Statement of
Activities.
Proceeds from Long-Term Debt
(504,924)
Some expenses reported in the Statement of Activities do not require the use of
current financial resources and therefore are not reported as expenditures in
governmental funds.
Amortization of Bond Premiums
Accrued Interest
Accreted Interest
Compensated Absences
Pension Expense
$
49,933
(6,292)
1,952,528
2,233
(959,104)
1,039,298
Employer Pension Contributions are expensed in the fund financial statements but
are treated as a reduction in the Net Pension Liability on the government-wide
financial statements.
891,419
Repayment of long-term debt requires the use of current financial resources of
governmental funds and is therefore shown as an expenditure in the Statement
of Revenues, Expenditures, and Changes in Fund Balances, but the repayment
reduces long-term liabilities in the Statement of Net Position and is therefore not
reported in the Statement of Activities
Repayment of Long-Term Debt
Change in Net Position of Governmental Activities
The Notes to Financial Statements are an integral part of this statement.
Page 18
3,824,946
$
10,007,723
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
FUND FINANCIAL STATEMENTS
STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES
FIDUCIARY FUNDS
JUNE 30, 2015
Agency Funds
ASSETS
Cash and Cash Equivalents
$
204,228
Total Assets
$
204,228
LIABILITIES
Due to Activity Fund Organizations
$
204,228
Total Liabilities
$
204,228
The Notes to Financial Statements are an integral part of this statement.
Page 19
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Lake Zurich Community Unit School District No. 95’s (District) accounting policies conform to
generally accepted accounting principles as applicable to local education agencies.
The District’s financial statements are prepared in accordance with generally accepted
accounting principles (GAAP) as applied to local governments. The Governmental
Accounting Standards Board (GASB) is the accepted standard-setting body for establishing
governmental accounting and financial reporting principles. The most significant accounting
policies established in GAAP and used by the District are discussed below.
A.
Reporting Entity
The accompanying financial statements comply with the provisions of GASB Statement
No. 14, The Financial Reporting Entity, in that the financial statements include all
organizations, activities, and functions that comprise the District. Component units are
legally separate entities for which the District (the primary entity) is financially
accountable. Financial accountability is defined as the ability to appoint a voting majority
of the organization’s governing body and either (1) the District’s ability to impose its will
over the organization or (2) the potential that the organization will provide a financial
benefit to, or impose a financial burden on, the District. Using these criteria, the District
has no component units. In addition, the District is not included as a component unit in
any other governmental reporting entity as defined by GASB pronouncements.
B.
Basic Financial Statements – Government-Wide Financial Statements
The District’s basic financial statements include both government-wide (reporting the
District as a whole) and fund (reporting the District’s major funds) financial statements.
Both the government-wide and fund financial statements categorize all of the primary
activities of the District as governmental activities. The District does not have any
business-type activities.
In the government-wide Statement of Net Position, the governmental activities column
(a) is presented on a consolidated basis, and (b) is reported on a full accrual, economic
resource basis, which recognizes all long-term assets and receivables as well as longterm debt and obligations. The District’s net position is reported in three parts – net
investment in capital assets; restricted net position; and unrestricted net position. The
District first utilizes restricted resources to finance qualifying activities.
The government-wide Statement of Activities reports both the gross and net cost of each
of the District’s functions. The functions are also supported by general government
revenues (property taxes, personal property replacement taxes, grants and contributions
not restricted to specific activities, unrestricted investment earnings, etc.). The
Statement of Activities reduces gross expenses (including depreciation) by related
program revenues, operating and capital grants. Program revenues must be directly
associated with the function (regular programs, special education programs, payments
to other districts and governmental units, etc.). Program revenues include charges to
those who purchase, use, or directly benefit from goods, services, or privileges provided
by a given function. Program revenues also include grants and contributions that are
Page 20
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
B.
Basic Financial Statements – Government-Wide Financial Statements (Continued)
restricted to meeting the operational or capital requirements of a particular function.
Operating grants include operating-specific and discretionary (either operating or capital)
grants while the capital grants column reflects capital-specific grants.
The net costs (by function) are normally covered by general revenue (property taxes,
personal property replacement taxes, grants and contributions not restricted to specific
activities, unrestricted investment earnings, etc.).
The District does not allocate indirect costs.
This government-wide focus is more on the sustainability of the District as an entity and the
change in the District’s net position resulting from the current year’s activities.
C.
Basic Financial Statements – Fund Financial Statements
The financial transactions of the District are reported in individual funds in the fund financial
statements. Each fund is accounted for by providing a separate set of self-balancing
accounts that comprise its assets, liabilities, reserves, fund equity, revenues and
expenditures/expenses. The various funds are reported by generic classification within the
financial statements.
The emphasis in fund financial statements is on the major funds. GASB Statement No. 34
sets forth minimum criteria (percentage of the assets, liabilities, revenues, or
expenditures/expenses of all governmental funds) for the determination of major funds.
The District electively made all governmental funds major funds.
The following fund types are used by the District:
1.
Governmental Fund Types
The focus of the governmental funds’ measurement (in the fund statements) is upon
determination of financial position and changes in financial position (sources, uses,
and balances of financial resources) rather than upon net income. The District reports
these major governmental funds and fund types:
General Fund – The General Fund is the general operating fund of the District. It
is used to account for all financial resources except those required to be
accounted for in another fund. Educational and Working Cash levies and included
in this fund.
Special Revenue Funds – The Special Revenue Funds (Operations and
Maintenance Fund, Transportation Fund, and Illinois Municipal Retirement/Social
Security Fund) are used to account for the proceeds of specific revenue sources
that are restricted, committed, or assigned to expenditures for specified purposes
other than debt service or capital projects.
Debt Services Fund – The Debt Services Fund is used to account for financial
resources that are restricted, committed, or assigned to expenditures for the
periodic payment of principal, interest, and related fees on general long-term debt.
Page 21
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
C.
Basic Financial Statements – Fund Financial Statements (Continued)
1.
Governmental Fund Types (Continued)
Capital Projects Fund – The Capital Projects Fund is used to account for financial
resources that are restricted, committed, or assigned to expenditures for the
acquisition or construction of major capital facilities.
2.
Fiduciary Funds
Fiduciary funds are used to report assets held in a trustee or agency capacity for
others and therefore are not available to support the District’s programs. The
reporting focus is on net position and is reported using generally accepted accounting
principles.
The District’s fiduciary fund is presented in the fiduciary fund financial statement by
type (agency). Since by definition these assets are being held for the benefit of a third
party (student organizations) and cannot be used to address activities or obligations
of the District, these funds are not incorporated into the government-wide statements.
The following is a description of the fiduciary fund of the District:
Agency Fund – The Agency Fund (Student Activity Fund) accounts for assets held
by the District as an agent for the student organizations. These funds are
custodial in nature and do not involve the measurement of the results of
operations. The amounts due to student organizations are equal to the assets.
D.
Basis of Accounting
Basis of accounting refers to the point at which revenues or expenditures/expenses are
recognized in the accounts and reported in the financial statements. It relates to the timing
of the measurements made regardless of the measurement focus applied.
1.
Accrual
The governmental activities in the government-wide financial statements and the
fiduciary fund financial statements are presented on the accrual basis of accounting.
Property taxes are reported in the period for which levied. Other nonexchange
revenues, including intergovernmental revenues and grants, are reported when all
eligibility requirements have been met. Fees and charges and other exchange
revenues are recognized when earned and expenses are recognized when incurred.
2.
Modified Accrual
The governmental fund financial statements are presented on the modified accrual
basis of accounting. Under the modified accrual basis of accounting, revenues are
recorded when susceptible to accrual; i.e., both measurable and available.
“Available” means collectible within the current period or within 60 days after yearend. An exception was made to the 60 day recognition period for State Aid revenues
due to delayed payments from the State of Illinois. The exception was made to
preserve the consistency of revenue recognition between years. Property tax
revenues are recognized in the period for which levied provided they are also
available. Intergovernmental revenues and grants are recognized when all eligibility
Page 22
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
D.
Basis of Accounting (Continued)
2.
Modified Accrual (Continued)
requirements are met and the revenues are available. Expenditures are recognized
when the related liability is incurred. Exceptions to this general rule include principal
and interest on general obligation long-term debt and employee vacation and sick
leave, which are recognized when due and payable.
E.
Cash and Cash Equivalents and Investments
Separate bank accounts are not maintained for all of the District’s funds. Instead, the funds
maintain their cash balances in common accounts, with accounting records being
maintained to show the portion of the common bank account balances attributable to each
participating fund.
Occasionally certain of the funds participating in the common bank account may incur
overdrafts (deficits) in the account. Such overdrafts in effect constitute cash borrowed from
other District funds and are, therefore, interfund loans that have not been authorized by
District Board action.
No District fund had a cash overdraft at June 30, 2015.
The District has defined cash and cash equivalents to include cash on hand, demand
deposits, and short-term investments with original maturities of three months or less from
the date of acquisition. Cash equivalents are accounted for at cost, which approximates
market.
Investments are stated at fair value. Fair value is determined by quoted market prices.
Gains or losses on the sale of investments are recognized as they are incurred.
F.
Receivables
All receivables are reported net of estimated uncollectible amounts.
G.
Prepaid Expenses
Prepaid expenses are for payments made by the District in the current year for goods and
services received in the subsequent fiscal year.
H.
Inventories
No inventory accounts are maintained to reflect the values of resale or supply items on
hand. Instead, the costs of such items are charged to expense when purchased. The value
of the District’s inventories is not deemed to be material.
I.
Interfund Activity
Interfund activity is reported either as loans, services provided, reimbursements, or
transfers. Loans are reported as interfund receivables and payables as appropriate and
are subject to elimination upon consolidation. All other interfund transactions are treated as
transfers. Transfers between governmental funds are netted as part of the reconciliation
to the government-wide financial statements.
Page 23
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
J.
Capital Assets
Capital assets purchased or acquired with an original cost of $5,000 or more are reported
at historical cost or estimated historical cost. Contributed assets are reported at fair market
value as of the date of donation. Additions, improvements and other capital outlays that
significantly extend the useful life of an asset are capitalized. Other costs incurred for
repairs and maintenance are expensed as incurred. Depreciation on all assets is provided
on the straight-line basis over the following estimated useful lives:
Building and Building Improvements
Site Improvements and Infrasturcture
Capitalized Equipment
K.
5 ‐ 50 years
20 years
5 ‐ 20 years
Deferred Outflows and Inflows of Resources
In addition to assets and liabilities, the Balance Sheets and Statements of Net Position will
sometimes report separate sections for deferred outflows of resources and deferred inflows
of resources. Deferred outflows of resources represent a consumption of net position that
applies to a future period and so will not be recognized as an outflow of resource until then.
Deferred inflows of resources represent an acquisition of net position that applies to a future
period and so will not be recognized as an inflow of resource until that time.
L.
Compensated Absences
Vacation benefits are granted to employees in varying amounts up to specified maximums
depending on tenure with the District. A portion of unused vacation time can accumulate
and carryover to the subsequent year depending upon which department the employee is
employed in.
M.
Long-Term Obligations
In the government-wide financial statements, long-term debt and other long-term
obligations are reported as liabilities in the Statement of Net Position. Bond premiums and
discounts are deferred and amortized over the life of the bonds on a straight-line basis.
Bonds payable are reported net of the applicable bond premium or discount. Bond
issuance costs are reported as debt service expenditure.
In the fund financial statements, governmental funds recognize bond premiums and
discounts, as well as bond issuance costs, during the current period. The face amount of
debt issued is reported as other financing sources. Premiums received on debt issuances
are reported as other financing sources while discounts on debt issuances are reported as
other financing uses. Issuance costs, whether or not withheld from the actual debt
proceeds received, are reported as debt service expenditures.
N.
Government-Wide Net Position
Net position is divided into three components:

Page 24
Net Investment in Capital Assets – consists of capital assets (net of accumulated
depreciation) reduced by the outstanding balances of bonds, mortgages, notes, or
other borrowings that are attributable to the acquisition, construction, or improvement
of those assets.
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
N.
O.
Government-Wide Net Position (Continued)

Restricted Net Position – consists of net position that is restricted by the District’s
creditors (for example, through debt covenants), by the state enabling legislation
(through restrictions on shared revenues), by grantors (both federal and state), and
by other contributors.

Unrestricted Net Position – the remaining net position is reported in this category.
Governmental Fund Balances
Governmental fund balances are divided between nonspendable and spendable.
Nonspendable fund balances are balances that cannot be spent because they are not
expected to be converted to cash or they are legally or contractually required to remain
intact.
The spendable fund balances are arranged in a hierarchy based on spending constraints.

Restricted – Restricted fund balances are restricted when constraints are placed on
the use by either (a) external creditors, grantors, contributors, or laws or regulations
of other governments or (b) law through constitutional provisions or enabling
legislation.

Committed – Committed fund balances are amounts that can only be used for specific
purposes as a result of a resolution of the Board of Education. Committed amounts
cannot be used for any other purpose unless the Board of Education removes those
constraints by way of resolution. Committed fund balances differ from restricted
balances because the constraints on their use do not come from outside parties,
constitutional provisions, or enabling legislation.

Assigned – Assigned fund balances are amounts that are constrained by the District’s
intent to be used for specific purposes, but are neither restricted nor committed. Intent
is expressed by an appointed body (e.g. a budget or finance committee) or official to
which the Board of Education has delegated the authority to assign, modify or rescind
amounts to be used for specific purposes. Pursuant to a resolution by the Board of
Education, the Assistant Superintendent of Business and Operations has been
delegated this authority.
Assigned fund balances also include (a) all remaining amounts that are reported in
governmental funds (other than the General Fund) that are not classified as
nonspendable, restricted or committed, and (b) amounts in the General Fund that are
intended to be used for a specific purpose. Specific amounts that are not restricted
or committed in a special revenue, capital projects or debt service fund are assigned
for purposes in accordance with the nature of their fund type. Assignment within the
General Fund conveys that the intended use of those amounts is for a specific
purpose that is narrower than the general purpose of the District itself.

Page 25
Unassigned – Unassigned fund balance is the residual classification for the General
Fund. This classification represents the General Fund balance that has not been
assigned to other funds, and that has not been restricted, committed, or assigned to
specific purposes within the General Fund. Unassigned fund balance in the General
Fund also includes amounts levied and/or borrowed for working cash. This
classification is also used to represent negative fund balances in special revenue,
debt services, and capital projects funds.
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
O.
Governmental Fund Balances (Continued)
The District permits funds to be expended in the following order: Restricted, Committed,
Assigned and Unassigned.
P.
Property Tax Calendar and Revenues
The District’s property tax is levied each calendar year on all taxable real property located
in the District’s district on or before the last Tuesday in December. The 2014 levy was
passed by the Board on December 18, 2014. Property taxes attach as an enforceable lien
on property as of January 1 of the calendar year they are for and are payable in two
installments early in June and early in September of the following calendar year. The
District receives significant distributions of tax receipts approximately one month after these
dates.
Q.
Estimates
The preparation of financial statements in conformity with generally accepted accounting
principles requires management to make estimates and assumptions that affect the
amounts reported in the financial statements and accompanying notes. Actual results may
differ from those estimates.
NOTE 2 - DEPOSITS AND INVESTMENTS
Deposits with financial institutions are fully insured or collateralized by securities held in the
District's name.
The District is allowed to invest in securities as authorized by the School Code of Illinois, Chapter
30, Section 235/2 and 6; and Chapter 105, Section 5/8-7.
The following table categorizes the investments according to levels of risk:
Investment
State Investment Pool
Fair Value
Less Than 1
$ 51,025,713
$ 51,025,713
Investment Maturities (in Years)
1-5
5 - 10
More Than 10
$
$
-
$
-
-
The fair value of investments in the State Investment Pool is the same as the value of pool
shares. The State Investment Pool is not SEC-registered, but does have regulatory oversight
through the State of Illinois.
Interest Rate Risk. The District does have a formal investment policy that limits investment
maturities as a means of managing its exposure to fair value losses arising from increasing
interest rates.
Credit Risk. State law limits investments based on credit risk. The District has an investment
policy that would further limit its investment choices. As of June 30, 2015, the District’s
investments were rated as follows:
Investment
Credit Rating
Rating Source
State Investment Pool
AAAm
Standard and Poor's
NOTE 3 - CAPITAL ASSETS
Capital asset activity for the year ended June 30, 2015 was as follows:
Page 26
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 3 - CAPITAL ASSETS (Continued)
Balance
July 1, 2014
Governmental Activities
Capital Assets not being depreciated
Land
Construction in Progress
Total Capital Assets not being depreciated
$
11,953,158
239,878
12,193,036
$
$ 144,333,219
5,239,771
8,219,324
$ 157,792,314
$
$
44,648,132
2,495,742
2,814,721
49,958,595
$
$ 107,833,719
$ 120,026,755
$
Other Capital Assets
Building and Building Improvements
Site Improvements and Infrastructure
Capitalized Equipment
Total Other Capital Assets at historical cost
Less Accumulated Depreciation for
Building and Building Improvements
Site Improvements and Infrastructure
Capitalized Equipment
Total Accumulated Depreciation
$
Other Capital Assets, Net
Governmental Activities Capital Assets, Net
Increases
Decreases
258,192
258,192
$
$
239,878
239,878
$
Balance
June 30, 2015
$
11,953,158
258,192
12,211,350
$
814,150
2,784,794
972,391
4,571,335
$ 2,973,399
707,420
327,000
$ 4,007,819
$ 142,173,970
7,317,145
8,864,715
$ 158,355,830
$ 1,661,400
394,876
284,397
$ 2,340,673
$
$
3,013,553
231,370
875,815
4,120,738
$
450,597
$ 1,667,146
$ 106,617,170
$
708,789
$ 1,907,024
$ 118,828,520
$
46,000,285
2,332,236
3,406,139
51,738,660
$
Depreciation expense was charged to functions as follows:
Governmental Activities
Transportation
Food Services
Unallocated
Total Governmental Activities Depreciation Expense
$
602,196
19,774
3,498,768
$
4,120,738
NOTE 4 - LONG-TERM LIABILITY ACTIVITY
Long-term liability activity for the year ended June 30, 2015 was as follows:
Balance
July 1, 2014
Page 27
Governmental Activities:
Long-Term Debt
Capital Appreciation
Bonds, 1998
Accreted Interest
1998 Bonds
Capital Appreciation
Bonds, 2000B
Accreted Interest
2000B Bonds
Refunding Bonds, 2004
Debt Certificates, 2007
Building Bonds, 2008A
Lease/Purchase Agreements
Total Long-Term Debt
$
16,236,149
6,480,000
52,071
1,080,521
43,006,664
Other Long-Term Liabilities
Compensated Absences
$
Total Other Long-Term
Liabilities
Governmental Activities
Long-Term Liabilities
$
1,601,503
Interest
Accretion
$
-
Additions
$
186,090
1,862,583
15,693,837
-
-
Retirement
$
435,541
Balance
June 30, 2015
$
1,165,962
Amounts Due
Within One Year
$
410,839
-
554,459
1,494,214
432,777
-
3,069,998
12,623,839
2,881,189
3,385,002
16,540
197,934
104,933
$ 7,764,407
$
14,651,988
6,480,000
35,531
882,587
399,991
37,734,112
$
2,024,561
17,153
204,423
96,541
6,067,483
504,924
504,924
1,800,841
$ 1,986,931
$
196,663
$
-
$
-
$
2,233
$
194,430
$
-
$
196,663
$
-
$
-
$
2,233
$
194,430
$
-
$
43,203,327
$ 7,766,640
$
37,928,542
$
$ 1,986,931
$
504,924
6,067,483
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 4 - LONG-TERM LIABILITY ACTIVITY (Continued)
Bonds and notes payable consisted of the following at June 30, 2015:
Capital Appreciation Bonds, 1998
Capital Appreciation Bonds, 2000B
Refunding Bonds, 2004
Debt Certificates, 2007
Building Bonds, 2008A
Copier Lease
Maturity
Dates
Interest
Rates
Face
Amount
1/1/2018
12/1/2020
12/1/2016
6/1/2017
10/1/2018
8/20/2018
3.70% - 5.15%
4.89% - 5.71%
2.05% - 5.00%
4.50%
3.00% - 5.00%
2.35%
Total
Carrying
Amount
$
4,098,043
28,852,880
13,020,000
149,474
1,755,440
504,924
$
2,660,176
27,275,827
6,480,000
35,531
882,587
399,991
$
48,380,761
$
37,734,112
In a prior year, the District defeased certain general obligation bonds by placing the proceeds of
new bonds in an irrevocable trust to provide for all future debt service payments of the old bonds.
Accordingly, the trust account assets and the liability for the defeased bonds are not included in
the District’s financial statements. At June 30, 2015, $6,620,000 of bonds is considered
defeased.
At June 30, 2015 the annual debt service requirements to service long-term debt are:
Year Ending June 30
2016
2017
2018
2019
2020
2021
Principal
Interest
Total
$
6,067,483
6,421,128
6,691,523
6,075,549
6,064,908
6,413,521
$
2,055,644
1,570,155
1,425,633
1,051,259
720,092
371,479
$
8,123,127
7,991,283
8,117,156
7,126,808
6,785,000
6,785,000
$
37,734,112
$
7,194,262
$
44,928,374
Payments for compensated absences are made from the fund(s) from which the salaries are paid
for each individual employee (i.e. General Fund or Transportation Fund).
Reconciliation to the Statement of Net Position
The following summarizes non-current liabilities as shown on the Statement of Net Position:
Due Within
One Year
Bonds and Notes Payable
Bond Premiums, net of amortization
Compensated Absences
Due in More
Than One Year
Total
$
6,067,483
49,933
-
$
31,666,629
349,531
194,430
$
37,734,112
399,464
194,430
$
6,117,416
$
32,210,590
$
38,328,006
NOTE 5 - DEFICIT FUND BALANCE
No fund had a deficit fund balance at June 30, 2015.
NOTE 6 - PROPERTY TAXES
Property taxes receivable and unavailable revenue recorded in these financial statements are
from the 2014 tax levy. The unavailable revenue is 50% of the 2014 tax levy. These taxes are
unavailable as only a portion of the taxes (approximately 50%) are collected before the end of
the fiscal year and the District does not consider the remaining amounts to be available and does
not budget for their use until the following fiscal year. The District has determined that 50% of
Page 28
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 6 - PROPERTY TAXES (Continued)
the 2014 tax levy ($38,537,333) and 50% of the 2013 tax levy, plus back taxes, less uncollectible
amounts ($37,603,919) are allocable for use in fiscal year 2015. Therefore, 50% of each of these
levies are recorded in these financial statements as property taxes revenue. A summary of tax
rates, assessed valuations, and extensions for tax years 2014, 2013, and 2012 is as follows:
TAX YEAR
ASSESSED VALUATION
2014
$1,456,760,267
Educational
Special Education
Operations and Maintenance
Debt Service
Transportation
Municipal Retirement
Social Security
Working Cash
2013
$1,440,915,313
2012
$1,507,629,055
Rate
Extension
Rate
Extension
Rate
Extension
3.7656
0.0584
0.6980
0.5327
0.0899
0.0606
0.0757
0.0100
$ 54,856,260
850,544
10,168,289
7,760,307
1,309,001
882,083
1,102,593
145,589
3.8330
0.5960
0.5450
0.1350
0.0570
0.0720
0.0040
$ 55,230,284
8,587,855
7,852,988
1,945,236
821,322
1,037,459
57,637
3.5290
0.5760
0.5120
0.1840
0.0450
0.0620
0.0060
$ 53,204,229
8,663,943
7,719,061
2,774,037
678,433
934,730
90,458
5.2909
$ 77,074,666
5.2420
$ 75,532,781
4.9140
$ 74,064,891
NOTE 7 - OVEREXPENDITURE OF BUDGET
For the year ended June 30, 2015, the expenditures of the following fund exceeded the budget:
Fund
General Fund
Budget
$
76,766,591
$
Actual
Excess of Actual
Over Budget
80,428,707
$
3,662,116
The excess of expenditures over budget in the General Fund resulted from an increase in OnBehalf Payments. This increase was due to a change in the calculation of On-Behalf Payments
by TRS related to requirements under GASB Statement No. 68. The new calculation was not
provided until after the end of the fiscal year.
NOTE 8 - OPERATING LEASES, AS LESSEE
The District has several lease agreements for copiers and postage machines, which ended
during the year.
Total rental expense for lease agreements for the year ended June 30, 2015 was $26,600.
NOTE 9 - RETIREMENT FUND COMMITMENTS
A.
Teachers’ Retirement System of the State of Illinois

General Information About the Pension Plan
o
Page 29
Plan Description
The District participates in the Teachers’ Retirement System of the State of
Illinois (TRS). TRS is a cost-sharing multiple-employer defined benefit pension
plan that was created by the Illinois legislature for the benefit of Illinois public
school teachers employed outside the city of Chicago. TRS members include
all active non-annuitants who are employed by a TRS-covered employer to
provide services for which teacher licensure is required. The Illinois Pension
Code outlines the benefit provisions of TRS, and amendments to the plan can
be made only by legislative action with the Governor’s approval. The TRS Board
of Trustees is responsible for the System’s administration.
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

General Information About the Pension Plan (Continued)
o
Plan Description (Continued)
TRS issues a publicly available financial report that can be obtained at
http://trs.illinois.gov/pubs/cafr; by writing to TRS at 2815 W. Washington, PO Box
19253, Springfield, IL 62794; or by calling (888) 877-0890, option 2.
o
Benefits Provided
TRS provides retirement, disability, and death benefits. Tier I members have
TRS or reciprocal system service prior to January 1, 2011. Tier I members
qualify for retirement benefits at age 62 with five years of service, at age 60 with
ten years, or age 55 with 20 years. The benefit is determined by the average of
the four highest years of creditable earnings within the last ten years of creditable
service and the percentage of average salary to which the member is entitled.
Most members retire under a formula that provides 2.2% of final average salary
up to a maximum of 75% with 34 years of service. Disability and death benefits
are also provided.
Tier II members qualify for retirement benefits at age 67 with ten years of service,
or a discounted annuity can be paid at age 62 with ten years of service.
Creditable earnings for retirement purposes are capped and the final average
salary is based on the highest consecutive eight years of creditable service
rather than the last four. Disability provisions for Tier II are identical to those of
Tier I. Death benefits are payable under a formula that is different from Tier I.
Essentially all Tier I retirees receive an annual 3% increase in the current
retirement benefit beginning January 1 following the attainment of age 61 or on
January 1 following the member’s first anniversary in retirement, whichever is
later. Tier II annual increases will be the lesser of 3% of the original benefit or
½% of the rate of inflation beginning January 1 following attainment of age 67 or
on January 1 following the member’s first anniversary in retirement, whichever
is later.
o
Contributions
The State of Illinois maintains the primary responsibility for funding TRS. The
Illinois Pension Code, as amended by Public Act 88-0593 and subsequent acts,
provides that for years 2010 through 2045, the minimum contribution to the
System for each fiscal year shall be an amount determined to be sufficient to
bring the total assets of the System up to 90% of the total actuarial liabilities of
the System by the end of fiscal year 2045.
Contributions from active members and TRS contributing employers are also
required by the Illinois Pension Code. The contribution rates are specified in the
pension code. The active member contribution rate for the year ended
June 30, 2015 was 9.4% of creditable earnings. The member contribution, which
may be paid on behalf of employees by the employer, is submitted to TRS by
the employer.
Page 30
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

General Information About the Pension Plan (Continued)
o
Contributions (Continued)

On-Behalf Contributions to TRS
The State of Illinois makes employer pension contributions on behalf of
the District. For the year ended June 30, 2015, State of Illinois
contributions recognized by the District were based on the State’s
proportionate share of the collective net pension liability associated with
the District, and the District recognized revenue and expenditures of
$18,832,626 in pension contributions from the State of Illinois.

2.2 Formula Contributions
Employers contribute 0.58% of total creditable earnings for the 2.2
formula change. The contribution rate is specified by statute.
Contributions for the year ended June 30, 2015 were $225,878, and are
deferred because they were paid after the June 30, 2014 measurement
date.

Federal and Special Trust Fund Contributions
When TRS members are paid from federal and special trust funds
administered by the employer, there is a statutory requirement for the
employer to pay an employer pension contribution from those funds.
Under a policy adopted by the TRS Board of Trustees that has been in
effect since the fiscal year ended June 30, 2006, employer contributions
for employees paid from federal and special trust funds will be the same
as the State contribution rate to TRS. Public Act 98-0674 now requires
the two rates to be the same.
For the year ended June 30, 2015, the District pension contribution was
33.00% of salaries paid from federal and special trust funds. For the year
ended June 30, 2015, salaries totaling $126,712 were paid from federal
and special trust funds that required District contributions of $41,815.
These contributions are deferred because they were paid after the
June 30, 2014 measurement date.

Employer Retirement Cost Contributions
Under GASB Statement No. 68, contributions that an employer is required
to pay because of a TRS member retiring are categorized as specific
liability payments. The employer is required to make a one-time
contribution to TRS for members retiring under the Early Retirement
Option (ERO). The payments vary depending on the member’s age and
salary. The maximum employer ERO contribution under the current
program is 146.5% and applies when the member is age 55 at retirement.
For the year ended June 30, 2015, the District paid $0 to TRS for employer
ERO contributions.
The employer is also required to make a one-time contribution to TRS for
members granted salary increases over 6% if those salaries are used to
calculate a retiree’s final average salary. A one-time contribution is also
Page 31
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

General Information About the Pension Plan (Continued)
o
Contributions (Continued)


Employer Retirement Cost Contributions (Continued)
required for members granted sick leave days in excess of the normal
annual allotment if those days are used as TRS service credit. For the
year ended June 30, 2015, the District paid $203 to TRS for employer
contributions due on salary increases in excess of 6% and $0 for sick
leave days granted in excess of the normal annual allotment.
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and
Deferred Inflows of Resources Related to Pensions
At June 30, 2015, the District reported a liability for its proportionate share of the net
pension liability (first amount shown below) that reflected a reduction for state pension
support provided to the District. The State’s support and total are for disclosure
purposes only. The amount recognized by the District as its proportionate share of
the net pension liability, the related State support, and the total portion of the net
pension liability that was associated with the District were as follows:
State's Proportionate Share of the Net Pension Liability
District's Proportionate Share of the Net Pension Liability
Total Net Pension Liability
$ 233,914,815
3,980,983
$ 237,895,798
The net pension liability was measured as of June 30, 2014, and the total pension
liability used to calculate the net pension liability was determined by an actuarial
valuation as of June 30, 2013 and rolled forward to June 30, 2014. The District’s
proportion of the net pension liability was based on the District’s share of contributions
to TRS for the measurement year ended June 30, 2014, relative to the projected
contributions of all participating TRS employers and the State during that period. At
June 30, 2014, the District’s proportion was 0.006541%.
The net pension liability as of the beginning of this first measurement period under
GASB Statement No. 68 was measured as of June 30, 2013, and the total pension
liability was based on the June 30, 2013 actuarial valuation without any roll-up. The
District’s proportion of the net pension liability as of June 30, 2013 was based on the
District’s share of contributions to TRS for the measurement year ended
June 30, 2013, relative to the projected contributions of all participating TRS
employers and the State during that period. At June 30, 2013, the District’s proportion
was 0.008013%.
For the year ended June 30, 2015, the District recognized pension expense of
$18,832,626 and revenue of $18,832,626 for support provided by the State. At
June 30, 2015, the District reported deferred outflows of resources and deferred
inflows of resources related to pensions from the following sources:
Page 32
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and
Deferred Inflows of Resources Related to Pensions (Continued)
Deferred
Outflows of
Resources
Differences between expected and actual
experience
Net difference between projected and actual
earnings on pension investments
Assumption changes
Changes in proportion and differences
between employer contributions and
proportionate share of contributions
Employer contributions subsequent to the
measurement date
$
2,103
Deferred
Inflows of
Resources
$
$
2,103
-
(200,075)
(200,075)
-
(741,806)
(741,806)
267,693
$
-
Net
Outflows of
Resources
269,796
$
(941,881)
267,693
(672,085)
$267,693 reported as deferred outflows of resources related to pensions resulting from
employer contributions subsequent to the measurement date will be recognized as a
reduction of the net pension liability in the reporting year ended June 30, 2016. Other
amounts reported as deferred outflows of resources and deferred inflows of resources
related to pensions will be recognized in pension expense as follows:
Year Ending
June 30
2016
2017
2018
2019
2020
o
$
229,558
229,558
229,558
229,558
21,545
$
939,777
Actuarial Assumptions
The total pension liability in the June 30, 2014 actuarial valuation was
determined using the following actuarial assumptions, applied to all periods
included in the measurement:
Inflation
Salary Increases
Investment Rate of Return
3.00%
5.75%, average including inflation
7.5%, net of pension plan investment
expenses, including inflation
Mortality rates were based on the RP-2000 White Collar Table with projections
using scale AA that vary by member group.
For GASB disclosure purposes, the actuarial assumptions for the years ended
June 30, 2014 and 2013 were assumed to be the same. However, for funding
purposes, the actuarial valuations for those two years were different. The
actuarial assumptions used in the June 30, 2014 valuation were based on
updates to economic assumptions adopted in 2014 which lowered the
investment return assumption from 8.0% to 7.5%. The salary increase and
inflation assumptions were also lowered. The actuarial assumptions used in the
June 30, 2013 valuation were based on the 2012 actuarial experience analysis
Page 33
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and
Deferred Inflows of Resources Related to Pensions (Continued)
o
Actuarial Assumptions (Continued)
and first adopted in the June 30, 2012 valuation. The investment return
assumption was lowered from 8.5% to 8.0% and the salary increase and inflation
assumptions were also lowered. Mortality assumptions were adjusted to
anticipate continued improvement in mortality.
The long-term expected rate of return on pension plan investments was
determined using a building-block method in which best-estimate ranges of
expected future real rates of return (expected returns, net of pension plan
investment expense and inflation) are developed for each major asset class.
These ranges are combined to produce the long-term expected rate of return by
weighting the expected future real rates of return by the target asset allocation
percentage and by adding expected inflation. The target allocation and best
estimates of arithmetic real rates of return for each major asset class that were
used by the actuary are summarized in the following table:
Asset Class
U.S. large cap
Global equity excluding U.S.
Aggregate bonds
U.S. TIPS
NCREIF
Opportunistic real estate
ARS
Risk Parity
Diversified inflation strategy
Private Equity
Total
o
Target
Allocation
18.0%
18.0%
16.0%
2.0%
11.0%
4.0%
8.0%
8.0%
1.0%
14.0%
100.0%
Long-Term Expected
Real Rate of Return
8.23%
8.58%
2.27%
3.52%
5.81%
9.79%
3.27%
5.57%
3.96%
13.03%
Discount Rate
The discount rate used to measure the total pension liability was 7.50%. The
projection of cash flows used to determine the discount rate assumed that
employee contributions, employer contributions, and State contributions will be
made at the current statutorily-required rates.
Based on those assumptions, TRS’s fiduciary net position was projected to be
available to make all projected future benefit payments of current active and
inactive members and all benefit recipients. Tier I’s liability is partially-funded by
Tier II members, as the Tier II member contribution is higher than the cost of Tier
II benefits. Due to this subsidy, contributions from future members in excess of
the service cost are also included in the determination of the discount rate.
Therefore, the long-term expected rate of return on TRS investments was
applied to all periods of projected benefit payments to determine the total
pension liability.
Page 34
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
A.
Teachers’ Retirement System of the State of Illinois (Continued)

Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and
Deferred Inflows of Resources Related to Pensions (Continued)
o
Sensitivity of the District’s Proportionate Share of the Net Pension
Liability to Changes in the Discount Rate
The following presents the District’s proportionate share of the net pension
liability calculated using the discount rate of 7.5%, as well as what the District’s
proportionate share of the net pension liability would be if it were calculated
using a discount rate that is 1-percentage-point lower (6.5%) or 1-percentagepoint-higher (8.5%) than the current rate.
1% Decrease
6.50%
Employer's proportionate share
of the net pension liability
o
B.
$
4,916,319
Current
Discount Rate
7.50%
$
3,980,983
1% Increase
8.50%
$
3,206,418
TRS Fiduciary Net Position
Detailed information about the TRS’s fiduciary net position as of June 30, 2014
is available in the separately issued TRS Comprehensive Annual Financial
Report.
Illinois Municipal Retirement Fund

Plan Description
The District’s defined benefit pension plan for Regular employees provides retirement
and disability benefits, post retirement increases, and death benefits to plan members
and beneficiaries. The District’s plan is managed by the Illinois Municipal Retirement
Fund (IMRF), the administrator of a multi-employer public pension fund. Benefit
provisions are established by statute and may only be changed by the General
Assembly of the State of Illinois. IMRF issues a publicly available Comprehensive
Annual Financial Report that includes financial statements, detailed information about
the pension plan’s fiduciary net position and required supplementary information.
That report may be obtained on-line at www.imrf.org.

Benefits Provided
IMRF has three benefit plans. The vast majority of IMRF members participate in the
Regular Plan (RP). The Sheriff’s Law Enforcement Personnel (SLEP) plan is for
sheriffs, deputy sheriffs, and selected police chiefs. Counties could adopt the Elected
County Official (ECO) plan for officials elected prior to August 8, 2011 (the ECO plan
was closed to new participants after that date).
All three IMRF benefit plans have two tiers. Employees hired before January 1, 2011
are eligible for Tier 1 benefits. Tier 1 employees are vested for pension benefits when
they have at least eight years of qualifying service credit. Tier 1 employees who retire
at age 55 (at reduced benefits) or after age 60 (at full benefits) with eight years of
service are entitled to an annual retirement benefit, payable monthly for life, in an
amount equal to 1-2/3% of the final rate of earnings for the first 15 years of service
credit, plus 2% for each year of service credit after 15 years to a maximum of 75% of
their final rate of earnings. Final rate of earnings is the highest total earnings during
Page 35
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
B.
Illinois Municipal Retirement Fund (Continued)

Benefits Provided (Continued)
any consecutive 48 months within the last ten years of service, divided by 48. Under
Tier 1, the pension is increased by 3% of the original amount on January 1 every year
after retirement.
Employees hired on or after January 1, 2011 are eligible for Tier 2 benefits. For Tier
2 employees, pension benefits vest after ten years of service. Participating employees
who retire at age 62 (at reduced benefits) or after age 67 (at full benefits) with ten
years of service are entitled to an annual retirement benefit, payable monthly for life,
in an amount equal to 1-2/3% of the final rate of earnings for the first 15 years of
service credit, plus 2% for each year of service credit after 15 years to a maximum of
75% of their final rate of earnings. Final rate of earnings is the highest total earnings
during any 96 consecutive months within the last ten years of service, divided by 96.
Under Tier 2, the pension is increased on January 1 every year after retirement, upon
reaching age 67, by the lesser of:


3% of the original pension amount, or

1/2 of the increase in the Consumer Price Index of the original pension amount.
Employees Covered by Benefit Terms
All appointed employees of a participating employer who are employed in a position
normally requiring 600 hours (1,000 hours for certain employees hired after 1981)
or more of work in a year are required to participate. At December 31, 2014, the
measurement date, the District’s membership consisted of:
Retirees and Beneficiaries
Inactive, Non-Retired Members
Active Members
Total

Contributions
As set by statute, the District’s Regular Plan Members are required to contribute 4.5%
of their annual covered salary. The statute requires employers to contribute the
amount necessary, in addition to member contributions, to finance the retirement
coverage of its own employees. The District’s annual contribution rate for calendar
year 2014 was 10.29%. For the fiscal year ended June 30, 2015, the District
contributed $664,838 to the Plan. The District also contributes for disability benefits,
death benefits, and supplemental retirement benefits, all of which are pooled at the
IMRF level. Contribution rates for disability and death benefits are set by IMRF’s
Board of Trustees, while the supplemental retirement benefits rate is set by statute.

Net Pension Liability
The components of the net pension liability of the IMRF as of December 31, 2014,
calculated in accordance with GASB Statement No. 68, were as follows:
Total Pension Liability
IMRF Fiduciary Net Pension
District's Net Pension Liability/(Asset)
IMRF Fiduciary Net Pension as a Percentage
of the Total Pension Liability
Page 36
123
202
213
538
$
$
21,505,502
20,498,689
1,006,813
95.32%
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
B.
Illinois Municipal Retirement Fund (Continued)

Net Pension Liability (Continued)
See the Schedule of Changes in the Employer’s Net Pension Liability and Related
Ratios in the Required Supplementary Information following the notes to the financial
statements for additional information related to the funded status of the Plan.

Actuarial Assumptions
The total pension liability above was determined by an actuarial valuation performed
as of December 31, 2014 using the following actuarial methods and assumptions.
Actuarial Cost Method
Assumptions
Inflation
Price Inflation
Salary Increases
Interest Rate
Asset Valuation Method
Entry Age Normal
3.50%
2.75%
3.75% to 14.50% including inflation
7.50%
Market value of assets
Projected Retirement Age
Experience-based Table of Rates,
specific to the type of eligibility
condition, last updated for the 2014
valuation according to an experience
study from years 2011 to 2013.
The IMRF-specific rates for Mortality (for non-disabled retirees) were developed from
the RP-2014 Blue Collar Health Annuitant Mortality Table with adjustments to match
current IMRF experience. For Disabled Retirees, an IMRF-specific mortality table was
used with fully generational projection scale MP-2014 (base year 2014). The IMRFspecific rates were developed from the RP-2014 Disabled Retirees Mortality Table,
applying the same adjustments that were applied for non-disabled lives. For active
members, an IMRF-specific mortality table was used with fully generational projection
scale MP-2014 (base year 2014). The IMRF-specific rates were developed from the
RP-2014 Employee Mortality Table with adjustments to match current IMRF
experience.

Long-Term Expected Rate of Return
The long-term expected rate of return on pension plan investments was determined
using a building-block method in which best-estimate ranges of expected future real
rates of return (expected returns, net of pension plan investment expense, and
inflation) are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighting the expected future real
rates of return to the target asset allocation percentage and adding expected inflation.
The target allocation and best estimates of geometric real rates of return for each
major asset class are summarized in the following table:
Asset Class
Equities
International Equities
Fixed Income
Real Estate
Alternatives
Private Equity
Hedge Funds
Commodities
Cash
Page 37
Target
Allocation
63.2%
2.6%
23.5%
4.3%
4.5%
1.9%
100.0%
Projected
Return
7.60%
7.80%
3.00%
6.15%
8.50%
5.25%
2.75%
2.25%
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 - RETIREMENT FUND COMMITMENTS (Continued)
B.
Illinois Municipal Retirement Fund (Continued)

Single Discount Rate
The projection of cash flow used to determine this Single Discount Rate assumed that
the Plan members’ contributions will be made at the current contribution rate, and that
employer contributions will be made at rates equal to the difference between
actuarially determined contribution rates and the member rate. The Single Discount
Rate reflects:
1.
The long-term expected rate of return on pension plan investments (during the
period in which the fiduciary net position is projected to be sufficient to pay
benefits), and
2.
The tax-exempt municipal bond rate based on an index of 20-year general
obligation bonds with an average AA credit rating (which is published by the
Federal Reserve) as of the measurement date (to the extent that the
contributions for use with the long-term expected rate of return are not met).
For the purpose of this discount rate, the expected rate of return on pension plan
investments is 7.50%; the municipal bond rate is 3.56%; and resulting single discount
rate is 7.50%.

Discount Rate Sensitivity
The following is a sensitive analysis of the net pension liability to changes in the
discount rate. The table below presents the pension liability of the District calculated
using the discount rate of 7.50% as well as what the District’s net pension liability
would be if it were calculated using a discount rate that is 1-percentage-point lower
(6.50%) or 1-percentage-point higher (8.50%) than the current rate:
1% Decrease
6.50%
Net Pension Liability/(Asset)

$
3,886,379
Current
Discount Rate
7.50%
$
1,006,813
$
(1,318,683)
Pension Expense and Deferred Outflows of Resources and Deferred Inflows of
Resources Related to Pensions
For the year ended June 30, 2015, the District recognized pension expense of
$824,936. At June 30, 2015, the District reported deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
Outflows of
Resources
Expense in Future Periods
Differences between expected
and actual experience
Assumption changes
Net difference between projected
and actual earnings on
pension investment
Total deferred amounts to be recognized in
pension expense in future periods
Pension contributions made subsequent to
the measurement date
Total deferred amounts related to pensions
Page 38
1% Increase
8.50%
$
89,056
675,704
Inflows of
Resources
$
215,451
Net Outflows
of Resources
-
$
-
$
980,211
$
$
321,673
1,301,884
$
215,451
-
-
89,056
675,704
$
980,211
$
321,673
1,301,884
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 9 -
RETIREMENT FUND COMMITMENTS (Continued)
B.
Illinois Municipal Retirement Fund (Continued)

Pension Expense and Deferred Outflows of Resources and Deferred Inflows
of Resources Related to Pensions (Continued)
Amounts reported as deferred outflows of resources and deferred inflows of
resources related to pensions will be recognized in pension expense as follows:
Year Ending December 31
2015
2016
2017
2018
2019
Thereafter
Net Deferred Outflows
of Resources
$
377,955
377,955
170,439
53,862
$
C.
980,211
Social Security
Employees not qualifying for coverage under the Teachers’ Retirement System of the
State of Illinois or the Illinois Municipal Retirement Fund are considered “non-participating
employees”. These employees and those qualifying for coverage under the Illinois
Municipal Retirement Fund are covered under Social Security. The District paid the total
required contribution for the current fiscal year.
NOTE 10 - POST EMPLOYMENT BENEFIT COMMITMENTS
Teacher Health Insurance Security Fund (THIS)
The District participates in the Teacher Health Insurance Security (THIS) Fund, a cost-sharing,
multiple-employer defined benefit post-employment healthcare plan that was established by the
Illinois legislature for the benefit of retired Illinois public school teachers employed outside the
city of Chicago. The THIS Fund provides medical, prescription, and behavioral health benefits,
but it does not provide vision, dental, or life insurance benefits to annuitants of the Teachers’
Retirement System (TRS). Annuitants not enrolled in Medicare may participate in the stateadministered participating provider option plan or choose from several managed care options.
Annuitants who are enrolled in Medicare Parts A and B may be eligible to enroll in a Medicare
Advantage plan.
The State Employees Group Insurance Act of 1971 (5 ILCS 375) outlines the benefit provisions
of the THIS Fund and amendments to the plan can be made only by legislative action with the
Governor’s approval. Effective July 1, 2012, in accordance with Executive Order 12-01, the
Plan is administered by the Illinois Department of Central Management Services (CMS) with
the cooperation of TRS. Section 6.6 of the State Employees Group Insurance Act of 1971
requires all active contributors to TRS who are not employees of the state to make a contribution
to the THIS Fund.
The percentage of employer required contributions in the future will not exceed 105% of the
percentage of salary actually required to be paid in the previous fiscal year.

Page 39
On behalf contributions to the THIS Fund
The State of Illinois makes employer retiree health insurance contributions on behalf of
the District. State contributions are intended to match contributions to the THIS Fund from
active members which were 1.02% of pay during the year ended June 30, 2015. State of
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 10 - POST EMPLOYMENT BENEFIT COMMITMENTS (Continued)
Teacher Health Insurance Security Fund (THIS) (Continued)

On behalf contributions to the THIS Fund (Continued)
Illinois contributions were $397,233, and the District recognized revenue and expenditures
of this amount during the year.

Employer contributions to the THIS Fund
The District also makes contributions to the THIS Fund. The District THIS Fund contribution
was 0.76% during the year ended June 30, 2015. For the year ended June 30, 2015, the
District paid $295,977 to the THIS Fund, which was 100% of the required contribution.
The publicly available financial report of the THIS Fund may be found on the website of the
Illinois Auditor General: http://www.auditor.illinois.gov/Audit-Reports/ABC-List.asp. The current
reports are listed under “Central Management Services.” Prior reports are available under
“Healthcare and Family Services.”
NOTE 11 - INTERFUND TRANSFERS
The following funds were transferred for the year ended June 30, 2015:
Transfer from
General Fund
Debt Services Fund
Transfer to
Amount
Debt Services Fund
Operations and Maintenance Fund
$
365,744
6,973
The transfer from the General Fund to the Debt Services Fund was made to pay principal and
interest on capital leases, debt certificates and SEDOL debt. The transfer from the Debt
Services Fund to the Operations and Maintenance Fund was made to transfer interest earned
in the Debt Services Fund.
NOTE 12 - JOINT VENTURE – LAKE COUNTY AREA VOCATIONAL SYSTEM (LCAVS)
The District and seventeen other districts within Lake and McHenry Counties have entered into
a joint agreement to provide vocational programs for member districts that are not offering
these services individually. Each member district has a financial responsibility for annual and
special assessments as established by the management council.
A summary of financial condition (cash basis) of LCAVS at June 30, 2014 (most recent
information available) is as follows:
Assets
$
29,924,671
Liabilities
Fund Equity
$
457,539
29,467,132
29,924,671
$
Revenues Received
Expenditures Disbursed
Net Increase/(Decrease) in Fund Balance
$
$
9,429,554
8,349,201
1,080,353
Complete financial statements for LCAVS can be obtained from the Administrative Offices at
19525 W. Washington Street, Grayslake, Illinois 60030.
NOTE 13 - RISK MANAGEMENT
The District is exposed to various risks of loss related to torts; theft of, damage to, and
destruction of assets; errors and omissions; and injuries to employees.
Page 40
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 13 - RISK MANAGEMENT (Continued)
The District is a member of the Collective Liability Insurance Cooperative (CLIC), a joint risk
management pool of school districts through which property, general liability, automobile
liability, crime, excess property, excess liability, and boiler and machinery coverage is provided
in excess of specified limits for the members, acting as a single insurable unit.
The relationship between the District and CLIC is governed by a contract and by-laws that have
been adopted by resolution of each unit’s governing body. The District is contractually
obligated to make all annual and supplementary contributions for CLIC, to report claims on a
timely basis, cooperate with CLIC, its claims administrator and attorneys in claims investigation
and settlement, and to follow risk management procedures as outlined by CLIC. Members
have a contractual obligation to fund any deficit of CLIC attributable to a membership year
during which they were a member.
CLIC is responsible for administering the self-insurance program and purchasing excess
insurance according to the direction of the Board of Directors. CLIC also provides its members
with risk management services, including the defense and settlement of claims, and
establishes reasonable and necessary loss of reduction and prevention procedures to be
followed by the members. As of June 30, 2015, there have been no settlement amounts which
have exceeded insurance coverage in the past three years.
The District is insured under a retrospectively-rated policy for workers’ compensation coverage.
Whereas, the initial premium may be adjusted based on actual experience. Adjustments in
premiums are recorded when paid or received. During the year ended June 30, 2015, there
were no significant adjustments in premiums based on actual experience.
NOTE 14 - CONSTRUCTION COMMITMENTS
The District has entered into contracts for building repairs at various schools. The total amount
of outstanding contracts is $2,376,944. As of June 30, 2015, $337,995 has been paid on these
contracts.
NOTE 15 - CONTINGENCIES
A former District employee has filed a claim with the Equal Employment Opportunity
Commission and the Illinois Department of Human Rights alleging discrimination. The District
filed a position statement with the Equal Employment Opportunity Commission denying the
allegations. The Equal Employment Opportunity Commission dismissed the charge of
discrimination and issued a right-to-sue letter allowing Complainant to commence suit in federal
court. Illinois Department of Human Rights is investigating the allegations of discrimination and
directed the District to file a position statement and response to questionnaire. Potential
damages would likely be limited to compensatory damages for emotional distress and are
inherently difficult to predict.
NOTE 16 - LEGAL DEBT LIMITATION
The Illinois School Code limits the amount of indebtedness to 13.8% of the most recent
available equalized assessed valuation (EAV) of the District. The District’s legal debt limitation
is as follows:
Page 41
2014 EAV
Rate
$
1,456,760,267
13.8%
Debt Margin
Current Debt
$
201,032,917
20,705,323
Remaining Debt Margin
$
180,327,594
NOTES TO FINANCIAL STATEMENTS (Continued)
NOTE 17 - SUBSEQUENT EVENTS
The District has evaluated subsequent events through October 20, 2015, the date on which the
financial statements were available to be issued.
NOTE 18 - CHANGE IN ACCOUNTING PRINCIPLE
Effective in the year ended June 30, 2015, the District has implemented GASB Statement No.
68, Accounting and Financial Reporting for Pensions and GASB Statement No. 71, Pension
Transition for Contributions Made Subsequent to the Measurement Date.
The implementation of GASB Statement No. 68 and GASB Statement No. 71 required a
restatement for prior year net positions for the pension funds. As a result, the beginning net
position decreased by $4,290,311.
Page 42
REQUIRED SUPPLEMENTARY INFORMATION
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
ILLINOIS MUNICIPAL RETIREMENT FUND
SCHEDULE OF CHANGES IN THE EMPLOYER'S NET PENSION
LIABILITY AND RELATED RATIOS
JUNE 30, 2015
6/30/2015 *
TOTAL PENSION LIABILITY
Service Cost
Interest
Differences Between Expected and Actual Experience
Changes in Assumptions
Benefit Payments, Including Refunds of Member Contributions
Net Change in Total Pension Liability
$
$
Total Pension Liability - Beginning
Total Pension Liability - Ending
PLAN FIDUCIARY NET POSITION
Contributions - Employer
Contributions - Member
Net Investment Income
Benefit Payments, Including Refunds of Member Contributions
Other
Net Change in Plan Fiduciary Net Position
759,848
1,426,663
126,797
962,055
(824,221)
2,451,142
19,054,360
$
$
$
Plan Net Position - Beginning
21,505,502
682,318
300,900
1,174,242
(824,221)
(4,926)
1,328,313
19,170,376
Plan Net Position - Ending
$
20,498,689
District's Net Pension Liability
$
1,006,813
Plan Fiduciary Net Position as a Percentage
of the Total Pension Liability
Covered-Employee Payroll
95.32%
$
Employer's Net Pension Liability as a Percentage
of Covered-Employee Payroll
6,630,887
15.18%
* This information presented is based on the actuarial valuation performed as of the December 31 year end prior
to the fiscal year end listed above.
This schedule is presented to illustrate the requirement to show information for ten years. However, until a full tenyear trend is compiled, information is presented for those years for which information is available.
See Accompanying Independent Auditor's Report
Page 43
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
ILLINOIS MUNICIPAL RETIREMENT FUND
SCHEDULE OF EMPLOYER CONTRIBUTION
JUNE 30, 2015
6/30/2015 *
Actuarial Determined Contribution
$
Contributions in Relation to Actuarially
Determined Contribution
682,318
Contribution Deficiency/(Excess)
$
Covered-Employee Payroll
$
Contributions as a Percentage of
Covered-Employee Payroll
682,318
6,630,887
10.29%
Notes to Schedule:
Actuarial Method and Assumptions Used on the Calculation of the 2014 Contribution Rate *
Actuarially determined contribution rates are calculated as of December 31 each year, which are 12 months prior to
the beginning of the fiscal year in which contributions are reported.
Actuarial Cost Method: Aggregate entry age = normal
Amortization Method: Level percentage of payroll, closed
Remaining Amortization Period: 29-year closed period
Asset Valuation Method: 5-year smoothed market; 20% corridor
Wage Growth: 4%
Price Inflation: 3%, approximate; No explicit price inflation assumption is used in this valuation.
Salary Increases: 4.40% to 16%, including inflation
Investment Rate of Return: 7.50%
Retirement Age: Experience-based table of rates that are specific to the type of eligibility condition; last updated for
the 2011 valuation pursuant to an experience study of the period 2008 to 2010.
Mortality: RP-2000 Combined Healthy Mortality Table, adjusted for mortality improvements to 2020 using projection
scale AA. For men, 120% of the table rates were used. For women, 92% of the table rates were used. For disabled
lives, the mortality rates are the rates applicable to non-disabled lives set forward ten years.
*Based on Valuation Assumptions used in the December 31, 2012 actuarial valuation; note two year lag
between valuation and rate setting.
This schedule is presented to illustrate the requirement to show information for ten years. However, until a full
ten-year trend is compiled, information is presented for those years for which information is available.
See Accompanying Independent Auditor's Report
Page 44
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
TEACHERS' RETIREMENT SYSTEM OF THE STATE OF ILLINOIS
SCHEDULE OF CHANGES IN EMPLOYER'S PROPORTIONATE SHARE
OF THE NET PENSION LIABILITY
JUNE 30, 2015
6/30/2015 *
Employer's proportion of the Net Pension Liability
0.6541400%
Employer's proportionate share of the Net Pension Liability
State's proportionate share of the Net Pension Liability
associated with the employer
Total
$
3,980,983
233,914,815
$ 237,895,798
Employer's Covered-Employee Payroll
$
37,909,516
Employer's proportionate share of the Net Pension Liability as a
percentage of Covered-Employee Payroll
10.50%
Plan Fiduciary Net Position as a percentage of the Total Pension Liability
43.00%
* - The amounts presented were determined as of the prior fiscal-year end
Changes of Assumptions: Amounts reported in 2014 reflect an investment rate of return of 7.5%, an inflation
rate of 3.0% and real return of 4.5%, and a salary increase assumption of 5.75%. In 2013, assumptions used were
an investment rate of return of 8.0%, an inflation rate of 3.25% and real return of 4.75%, and salary increases of
6.00%. However, the total pension liability at the beginning and end of the year was calculated using the same
assumptions, so the difference due to actuarial assumptions was not calculated or allocated.
See Accompanying Independent Auditor's Report
Page 45
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
TEACHERS' RETIREMENT SYSTEM OF THE STATE OF ILLINOIS
SCHEDULE OF EMPLOYER CONTRIBUTION
JUNE 30, 2015
6/30/2015 *
Contractually-required contribution
$
Contributions in relation to the contractually required contribution
267,693
Contribution deficiency/(excess)
$
Employer's Covered-Employee Payroll
$
Contributions as a percentage of
Covered-Employee Payroll
267,693
37,909,516
0.71%
* - This information presented is based on the actuarial valuation performed as of the prior
June 30 year end.
See Accompanying Independent Auditor's Report
Page 46
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Payments in Lieu of Taxes
Tuition
Earnings on Investments
Food Service
District/School Activity Income
Textbooks
Other Local Sources
State Aid
General State Aid
Special Education
Career and Technical Education
Bilingual
State Free Lunch and Breakfast
Driver Education
Other State Aid
Federal Aid
Food Service
Title I
Federal Special Education
CTE - Perkins
Title III - English Language Acquisition
Title II - Teacher Quality
Medicaid Matching Funds - Administrative Outreach
Medicaid Matching Funds - Fee-for-Service Program
Other Federal Aid
On-Behalf Payments
Total Revenues
EXPENDITURES
Instruction
Regular Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
$
$
Pre-K Programs
Purchased Services
Supplies and Materials
$
$
Special Education Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Special Education Programs Pre-K
Salaries
Employee Benefits
Supplies and Materials
Non-Capitalized Equipment
$
$
See Accompanying Independent Auditor's Report
Page 47
55,176,887
55,000
439,000
41,400
1,435,300
1,210,500
69,000
473,000
Actual
Amounts
$
55,453,099
56,661
397,174
78,031
1,494,947
1,310,106
159,985
508,345
2,050,000
2,554,695
19,617
54,000
3,100
33,000
4,000
2,026,709
2,263,172
26,470
5,567
2,232
33,218
4,290
130,000
235,000
953,500
16,432
26,000
76,000
48,000
105,000
13,166,992
78,375,423
151,888
202,718
1,058,750
16,227
32,802
79,080
52,980
84,994
12,089
19,229,859
84,741,393
$
24,167,492
3,187,392
299,786
1,342,204
42,300
94,071
29,133,245
$
1,400
1,400
$
4,457,000
544,391
133,500
210,532
7,000
5,352,423
$
307,250
48,080
10,000
365,330
$
$
$
$
$
23,578,443
3,060,246
252,850
958,571
40,100
53,107
27,943,317
1,814
10,259
12,073
4,332,677
533,011
77,494
148,356
83,371
5,174,909
322,239
45,242
6,561
1,819
375,861
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Instruction (Continued)
CTE Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Interscholastic Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
Summer School Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Gifted Programs
Salaries
Employee Benefits
Supplies and Materials
$
$
Driver's Education Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Bilingual Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Private Tuition - Other Objects
Regular K-12 Programs
Special Education Programs K-12
Special Education Programs Pre-K
$
Total Instruction
Support Services
Pupils
Attendance and Social Work Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
1,116,000
135,460
2,500
67,416
8,636
1,330,012
$
1,189,951
18,149
236,260
181,985
21,500
5,034
1,652,879
$
331,552
8,168
49,961
33,000
422,681
$
319,000
41,625
500
361,125
$
314,000
34,520
2,500
3,200
354,220
$
955,000
153,225
1,400
2,000
1,111,625
$
$
$
$
$
$
$
1,121,416
140,155
58,543
17,161
1,337,275
1,103,953
14,140
238,004
195,052
20,808
1,500
1,573,457
330,595
11,851
38,073
380,519
317,547
40,631
285
358,463
311,330
32,822
1,091
1,702
346,945
973,767
158,189
4,000
1,135,956
$
$
25,000
2,150,100
3,000
2,178,100
$
1,791,586
1,791,586
$
42,263,040
$
40,430,361
$
1,055,000
130,055
100
3,000
1,000
1,189,155
$
1,044,456
130,691
39
2,431
1,177,617
$
See Accompanying Independent Auditor's Report
Page 48
Actual
Amounts
$
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
Pupils (Continued)
Guidance Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
692,200
76,821
3,500
9,950
782,471
$
819,500
75,882
1,250
13,500
1,000
911,132
$
492,000
54,075
28,000
23,300
1,500
598,875
$
647,000
94,300
91,500
4,450
1,000
838,250
$
$
$
500
1,300
1,800
$
635
1,045
1,680
$
4,321,683
$
4,231,522
$
104,150
2,822
309,808
26,999
4,000
447,779
$
53,724
3,528
325,637
32,906
415,795
713,400
95,010
300
117,682
926,392
$
$
$
10,000
130
68,000
40,555
5,000
123,685
$
7,427
94
68,455
27,240
103,216
$
1,497,856
$
1,434,955
$
Health Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
Psychological Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Speech Pathology and Audiology Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Other Support Services - Pupils
Purchased Services
Supplies and Materials
$
Total Support Services - Pupils
Instructional Staff
Improvement of Instruction Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
Educational Media Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Assessment and Testing
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
Total Support Services - Instructional Staff
See Accompanying Independent Auditor's Report
Page 49
Actual
Amounts
$
$
$
$
$
$
707,449
79,105
3,088
10,108
799,750
803,210
78,353
59,905
14,252
616
956,336
410,717
59,093
23,811
18,801
512,422
612,968
73,403
91,444
5,902
783,717
717,060
88,314
391
108,599
1,580
915,944
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
General Administration
Board of Education Services
Purchased Services
Supplies and Materials
Other Objects
$
393,500
12,000
21,500
427,000
$
283,000
46,720
3,200
2,750
6,000
341,670
$
404,500
126,365
24,000
7,500
1,000
563,365
$
$
$
754,132
754,132
$
18,000
743,926
761,926
$
2,086,167
$
1,951,371
$
$
$
3,192,900
1,028,391
10,800
23,308
16,105
6,000
4,277,504
$
3,203,534
976,805
3,949
18,015
7,252
6,510
4,216,065
$
4,277,504
$
4,216,065
$
169,500
46,980
10,800
100
2,000
229,380
$
169,373
46,287
723
22
1,796
218,201
$
$
165,000
44,965
276,500
85,000
10,000
65,000
646,465
$
165,554
41,992
169,754
18,093
2,437
5,262
403,092
$
$
2,000
2,000
$
$
1,640
1,640
$
877,845
$
622,933
$
Executive Administration Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Special Area Administration Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Tort Immunity Services
Salaries
Purchased Services
$
Total Support Services - General Administration
School Administration
Office of the Principal Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - School Administration
Business
Direction of Business Support Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
Fiscal Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Internal Services
Purchased Services
Total Support Services - Business
$
See Accompanying Independent Auditor's Report
Page 50
Actual
Amounts
$
$
$
$
258,036
5,803
5,391
269,230
276,715
45,250
2,098
903
5,407
330,373
414,040
131,389
37,573
6,072
768
589,842
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
Transportation
Purchased Services
Total Support Services - Transportation
Food Services
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - Food Services
Central
Planning, Research, Development and Evaluation Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
6,800
6,800
$
$
17,084
17,084
$
1,590,000
15,000
2,500
5,000
1,612,500
$
1,476,602
7,830
2,276
9,988
1,496,696
792,000
157,200
51,500
500
1,500
30,000
1,032,700
$
$
$
$
Information Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Actual
Amounts
$
$
$
829,881
154,232
70,752
128
733
1,055,726
136,000
31,965
54,000
22,000
750
1,000
245,715
$
334,000
211,383
132,500
8,000
3,000
688,883
$
$
$
946,450
149,645
246,000
398,000
2,500
1,295,000
3,037,595
$
995,594
126,364
276,442
451,066
1,209
1,041,607
2,892,282
Total Support Services - Central
$
5,004,893
$
4,790,846
Other Support Services
Purchased Services
Total Other Support Services
$
$
1,000
1,000
$
$
$
19,686,248
$
18,761,472
$
52,977
21,121
15,733
11,627
101,458
$
47,810
11,270
9,928
4,426
73,434
$
Staff Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Data Processing Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services
Community Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Total Community Services
$
$
See Accompanying Independent Auditor's Report
Page 51
$
$
$
129,909
33,132
43,479
17,143
505
224,168
325,393
150,496
134,902
5,943
1,936
618,670
-
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Payments to Other Districts and Governmental Units
Payments to Other Districts and Governmental Units (In-State)
Other Payments to In-State Governmental Units
Purchased Services
Total Payments to Other Districts and Governmental Units (In-State)
Payments to Other Districts and Governmental Units-Tuition (In-State)
Payments for Regular Programs
Other Objects
Payments for Special Education Programs
Other Objects
Total Payments to Other Districts and Governmental Units-Tuition (In-State)
Total Payments to Other Districts and Governmental Units
Capital Outlay
Instruction
Regular Programs
Other Instructional Programs
Support Services
Food Services
Central
Total Capital Outlay
Actual
Amounts
$
$
5,300
5,300
$
$
5,313
5,313
$
5,300
$
5,313
$
265,000
$
207,413
$
1,005,000
1,270,000
$
832,781
1,040,194
$
1,275,300
$
1,045,507
$
13,553
$
521,169
-
$
10,000
250,000
273,553
$
6,679
360,226
888,074
$
13,166,992
$
19,229,859
Total Expenditures
$
76,766,591
$
80,428,707
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
1,608,832
$
4,312,686
On-Behalf Payments
OTHER FINANCING SOURCES (USES)
Interfund Transfers
Principal of Bonds Sold
$
$
NET CHANGE IN FUND BALANCE
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
1,243,088
$
$
$
38,741,559
$
See Accompanying Independent Auditor's Report
Page 52
(365,744)
(365,744)
39,984,647
(365,744)
504,924
139,180
4,451,866
34,333,286
$
38,785,152
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE FUND - OPERATIONS AND MAINTENANCE FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Other Payments in Lieu of Taxes
Earnings on Investments
Other Local Sources
State Aid
Other Restricted Revenue from State Sources
Total Revenues
EXPENDITURES
Support Services
Operations and Maintenance
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - Operations and Maintenance
$
$
$
9,305,533
100,000
8,000
505,000
75,000
9,993,533
Actual
Amounts
$
$
9,321
10,075,085
$
879,500
151,400
4,655,450
1,937,000
101,500
85,000
7,809,850
$
851,587
147,975
4,220,811
1,857,609
3,142
143,339
7,224,463
Total Support Services
$
7,809,850
$
7,224,463
Capital Outlay
Support Services
Operations and Maintenance
Total Capital Outlay
$
$
3,683,414
3,683,414
$
$
3,800,931
3,800,931
Total Expenditures
$
11,493,264
$
11,025,394
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
(1,499,731)
$
OTHER FINANCING SOURCES (USES)
Interfund Transfers
NET CHANGE IN FUND BALANCE
9,000
$
FUND BALANCE - JULY 1, 2014
(1,490,731)
$
8,870,163
See Accompanying Independent Auditor's Report
(950,309)
6,973
$
10,360,894
FUND BALANCE - JUNE 30, 2015
Page 53
$
9,359,821
106,373
22,574
576,996
(943,336)
9,996,985
$
9,053,649
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE FUND - TRANSPORTATION FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Transportation Fees
Earnings on Investments
Other Local Sources
State Aid
Transportation
Total Revenues
$
$
EXPENDITURES
Support Services
Transportation
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - Transportation
2,188,000
3,908,717
$
$
2,142,202
3,901,842
$
$
1,447,394
186,538
1,817,280
292,015
862
3,744,089
$
3,842,475
$
3,744,089
Total Expenditures
$
3,842,475
$
3,744,089
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
66,242
$
157,753
OTHER FINANCING SOURCES (USES)
NET CHANGE IN FUND BALANCE
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
66,242
$
8,919,228
$
8,985,470
See Accompanying Independent Auditor's Report
Page 54
$
1,618,900
121,360
18,477
903
1,540,450
188,275
1,681,000
429,000
1,750
2,000
3,842,475
Total Support Services
$
1,615,217
95,000
10,500
-
Actual
Amounts
157,753
8,885,884
$
9,043,637
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE FUND - ILLINOIS MUNICIPAL RETIREMENT/SOCIAL SECURITY FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
FICA/Medicare Only Purposes Levies
Payments in Lieu of Taxes
Earnings on Investments
Other Revenue from Local Sources
State Aid
Bilingual Education
Federal Aid
Title I
Federal - Special Education
Title III - English Language Acquisition
Title II - Teacher Quality
Total Revenues
EXPENDITURES
Instruction
Regular Programs
Employee Benefits
Pre-K Programs
Employee Benefits
Special Education Programs
Employee Benefits
Special Education Programs - Pre-K
Employee Benefits
CTE Programs
Employee Benefits
Interscholastic Programs
Employee Benefits
Summer School Programs
Employee Benefits
Gifted Programs
Employee Benefits
Driver's Education Programs
Employee Benefits
Bilingual Programs
Employee Benefits
Support Services
Pupils
Attendance and Social Work Services
Employee Benefits
Guidance Services
Employee Benefits
Health Services
Employee Benefits
Psychological Services
Employee Benefits
Speech Pathology and Audiology Services
Employee Benefits
$
843,870
1,057,641
100,000
1,000
-
$
854,199
1,063,061
100,000
2,582
10,312
100
22
$
9,986
94,000
73
2,106,670
$
8,814
117,321
562
96
2,156,969
$
296,026
$
403,982
135,600
-
169,929
169,687
38,251
25,628
13,840
14,542
35,974
32,005
14,636
11,205
4,660
4,604
4,553
4,304
$
12,500
725,969
$
13,590
679,547
$
15,500
$
14,769
$
18,475
18,937
122,000
109,148
6,900
6,929
8,200
171,075
See Accompanying Independent Auditor's Report
Page 55
Actual
Amounts
$
8,789
158,572
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE FUND - ILLINOIS MUNICIPAL RETIREMENT/SOCIAL SECURITY FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
Instructional Staff
Improvement of Instruction Services
Employee Benefits
Educational Media Services
Employee Benefits
Assessment and Testing
Employee Benefits
General Administration
Executive Administration Services
Employee Benefits
Special Area Administrative Services
Employee Benefits
School Administration
Office of the Principal Services
Employee Benefits
Business
Direction of Business Support Services
Employee Benefits
Fiscal Services
Employee Benefits
Operations and Maintenance
Employee Benefits
Transportation
Employee Benefits
Central
Planning, Research, Development and Evaluation Services
Employee Benefits
Information Services
Employee Benefits
Staff Services
Employee Benefits
Data Processing Services
Employee Benefits
$
1,213
Actual
Amounts
$
36,162
1,060
33,119
$
375
37,750
$
160
34,339
$
15,108
$
13,259
$
21,660
36,768
$
19,694
32,953
$
$
145,740
145,740
$
$
135,170
135,170
$
2,450
$
2,426
$
31,052
33,502
$
29,326
31,752
$
$
160,230
160,230
$
$
146,073
146,073
$
$
267,915
267,915
$
$
233,483
233,483
$
17,650
$
19,313
24,200
23,152
59,025
54,337
$
174,000
274,875
$
164,992
261,794
Total Support Services
$
1,127,855
$
1,034,136
Community Services
Employee Benefits
Total Community Services
$
$
3,427
3,427
$
$
3,147
3,147
See Accompanying Independent Auditor's Report
Page 56
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
SPECIAL REVENUE FUND - ILLINOIS MUNICIPAL RETIREMENT/SOCIAL SECURITY FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
Actual
Amounts
Total Expenditures
$
1,857,251
$
1,716,830
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
249,419
$
440,139
OTHER FINANCING SOURCES (USES)
NET CHANGE IN FUND BALANCE
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
249,419
$
1,000,317
$
1,249,736
See Accompanying Independent Auditor's Report
Page 57
440,139
903,912
$
1,344,051
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2015
NOTE 1 - BUDGETARY PROCESS
The District follows procedures mandated by Illinois State law and District Board policy to
establish the budgetary data reflected in its financial statements. The budget was passed on
September 30, 2014 and was not amended. The modified accrual basis budgeted amounts
in this report are the result of full compliance with the following procedures:
For each fund, total fund expenditures may not legally exceed the budgeted amounts. The
budget lapses at the end of each fiscal year.
The District follows these procedures in establishing the budgetary data reflected in the
financial statements:
1.
Prior to July 1, the Superintendent submits to the Board of Education a proposed
operating budget for the fiscal year commencing on that date. The operating budget
includes proposed expenditures and the means of financing them.
2.
A public hearing is conducted to obtain taxpayer comments.
3.
Prior to October 1, the budget is legally adopted through passage of a resolution.
4.
Formal budgetary integration is employed as a management control device during
the year.
5.
The Board of Education may make transfers between the various items in any fund
not exceeding in the aggregate 10% of the total of such fund as set forth in the
budget.
6.
The Board of Education may amend the budget (in other ways) by the same
procedures required of its original adoption.
NOTE 2 - EXCESS OF EXPENDITURES OVER BUDGET
For the year ended June 30, 2015 the expenditures of the following fund presented as
Required Supplementary Information exceeded the budget:
Fund
General Fund
Budget
$
76,766,591
Actual
$
80,428,707
Excess of Actual
Over Budget
$ 3,662,116
The excess of expenditures over budget in the General Fund resulted from an increase in OnBehalf Payments. This increase was due to a change in the calculation of On-Behalf
Payments by TRS related to the new standard GASB 68. The new calculation was not
provided until after the end of the fiscal year.
See Accompanying Independent Auditor’s Report
Page 58
SUPPLEMENTAL FINANCIAL INFORMATION
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
COMBINING BALANCE SHEET
GENERAL FUND
JUNE 30, 2015
Educational
Fund
Working Cash
Fund
General Fund
Total
ASSETS
Cash and Cash Equivalents
Investments, at Fair Value
Interest Receivable, net of allowance of $0
Taxes Receivable, net of allowance of $0
Due from Other Governments, net of allowance of $0
Prepaid Expenses
$ 13,505,895
27,274,899
41,602
27,939,318
971,466
465,958
$
788,610
1,692,488
2,555
72,484
-
$ 14,294,505
28,967,387
44,157
28,011,802
971,466
465,958
Total Assets
$ 70,199,138
$
2,556,137
$ 72,755,275
$
243,008
12,487
5,696,007
92,425
6,043,927
$
$
-
$ 27,853,402
$ 27,853,402
$
$
72,794
72,794
$
$
$ 72,755,275
LIABILITIES
Accounts Payable
Accrued Expenses
Payroll Liabilities
Unearned Revenue
Total Liabilities
$
DEFERRED INFLOWS OF RESOURCES
Unavailable Revenue - Property Taxes
Total Deferred Inflows of Resources
FUND BALANCE
Nonspendable
Prepaid Expenses
Unassigned
Total Fund Balance
465,958
35,835,851
$ 36,301,809
$
$
2,483,343
2,483,343
Total Liabilities, Deferred Inflows of Resources,
and Fund Balance
$ 70,199,138
$
2,556,137
See Accompanying Independent Auditor's Report
Page 59
$
$
243,008
12,487
5,696,007
92,425
6,043,927
$ 27,926,196
$ 27,926,196
465,958
38,319,194
$ 38,785,152
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES
GENERAL FUND
YEAR ENDED JUNE 30, 2015
Working Cash
Fund
Educational
Fund
REVENUES
Property Taxes
Payments in Lieu of Taxes
Tuition
Earnings on Investments
Food Service
District/School Activity Income
Textbooks
Other Local Sources
State Aid
Federal Aid
On-Behalf Payments
$
$
EXPENDITURES
Current
Instruction
Regular Programs
Special Education Programs
Other Instructional Programs
Support Services
Pupils
Instructional Staff
General Administration
School Administration
Business
Transportation
Food Services
Central
Community Services
Payments to Other Districts and Governmental Units
Capital Outlay
On-Behalf Payments
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
OTHER FINANCING SOURCES (USES)
Interfund Transfers
Principal on Bonds Sold
$
$
$
$
$
$
4,203,074
$
$
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
27,955,390
5,550,770
6,924,201
$
4,231,522
1,434,955
1,951,371
4,216,065
622,933
17,084
1,496,696
4,790,846
73,434
1,045,507
888,074
19,229,859
80,428,707
$
NET CHANGE IN FUND BALANCES
55,348,827
56,661
397,174
72,691
1,494,947
1,310,106
159,985
508,345
4,361,658
1,691,528
19,229,859
84,631,781
(365,744)
504,924
139,180
4,342,254
$
$
$
31,959,555
$
36,301,809
-
109,612
109,612
$
$
$
$
2,483,343
55,453,099
56,661
397,174
78,031
1,494,947
1,310,106
159,985
508,345
4,361,658
1,691,528
19,229,859
84,741,393
27,955,390
5,550,770
6,924,201
$
4,231,522
1,434,955
1,951,371
4,216,065
622,933
17,084
1,496,696
4,790,846
73,434
1,045,507
888,074
19,229,859
80,428,707
$
4,312,686
$
$
$
2,373,731
See Acompanying Independent Auditor's Report
Page 60
104,272
5,340
109,612
General Fund
Total
(365,744)
504,924
139,180
4,451,866
34,333,286
$
38,785,152
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Payments in Lieu of Taxes
Tuition
Earnings on Investments
Food Service
District/School Activity Income
Textbooks
Other Local Sources
State Aid
General State Aid
Special Education
Career and Technical Education
Bilingual
State Free Lunch and Breakfast
Driver Education
Other State Aid
Federal Aid
Food Service
Title I
Federal Special Education
CTE - Perkins
Title III - English Language Acquisition
Title II - Teacher Quality
Medicaid Matching Funds - Administrative Outreach
Medicaid Matching Funds - Fee-for-Service Program
Other Federal Aid
On-Behalf Payments
Total Revenues
EXPENDITURES
Instruction
Regular Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
$
$
Pre-K Programs
Purchased Services
Supplies and Materials
$
$
Special Education Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Special Education Programs Pre-K
Salaries
Employee Benefits
Supplies and Materials
Non-Capitalized Equipment
$
$
See Accompanying Independent Auditor's Report
Page 61
55,074,235
55,000
439,000
38,000
1,435,300
1,210,500
69,000
473,000
Actual
Amounts
$
55,348,827
56,661
397,174
72,691
1,494,947
1,310,106
159,985
508,345
2,050,000
2,554,695
19,617
54,000
3,100
33,000
4,000
2,026,709
2,263,172
26,470
5,567
2,232
33,218
4,290
130,000
235,000
953,500
16,432
26,000
76,000
48,000
105,000
13,166,992
78,269,371
151,888
202,718
1,058,750
16,227
32,802
79,080
52,980
84,994
12,089
19,229,859
84,631,781
$
24,167,492
3,187,392
299,786
1,342,204
42,300
94,071
29,133,245
$
1,400
1,400
$
4,457,000
544,391
133,500
210,532
7,000
5,352,423
$
307,250
48,080
10,000
365,330
$
$
$
$
$
23,578,443
3,060,246
252,850
958,571
40,100
53,107
27,943,317
1,814
10,259
12,073
4,332,677
533,011
77,494
148,356
83,371
5,174,909
322,239
45,242
6,561
1,819
375,861
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Instruction (Continued)
CTE Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Interscholastic Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
Summer School Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Gifted Programs
Salaries
Employee Benefits
Supplies and Materials
$
$
Driver's Education Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Bilingual Programs
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
$
Private Tuition - Other Objects
Regular K-12 Programs
Special Education Programs K-12
Special Education Programs Pre-K
Total Instruction
Support Services
Pupils
Attendance and Social Work Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
1,116,000
135,460
2,500
67,416
8,636
1,330,012
$
1,189,951
18,149
236,260
181,985
21,500
5,034
1,652,879
$
331,552
8,168
49,961
33,000
422,681
$
319,000
41,625
500
361,125
$
314,000
34,520
2,500
3,200
354,220
$
955,000
153,225
1,400
2,000
1,111,625
$
$
$
$
$
$
$
1,121,416
140,155
58,543
17,161
1,337,275
1,103,953
14,140
238,004
195,052
20,808
1,500
1,573,457
330,595
11,851
38,073
380,519
317,547
40,631
285
358,463
311,330
32,822
1,091
1,702
346,945
973,767
158,189
4,000
1,135,956
$
$
25,000
2,150,100
3,000
2,178,100
$
1,791,586
1,791,586
$
42,263,040
$
40,430,361
$
1,055,000
130,055
100
3,000
1,000
1,189,155
$
1,044,456
130,691
39
2,431
1,177,617
$
See Accompanying Independent Auditor's Report
Page 62
Actual
Amounts
$
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
Pupils (Continued)
Guidance Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
$
692,200
76,821
3,500
9,950
782,471
$
819,500
75,882
1,250
13,500
1,000
911,132
$
492,000
54,075
28,000
23,300
1,500
598,875
$
647,000
94,300
91,500
4,450
1,000
838,250
$
$
$
500
1,300
1,800
$
635
1,045
1,680
$
4,321,683
$
4,231,522
$
104,150
2,822
309,808
26,999
4,000
447,779
$
53,724
3,528
325,637
32,906
415,795
713,400
95,010
300
117,682
926,392
$
$
$
10,000
130
68,000
40,555
5,000
123,685
$
7,427
94
68,455
27,240
103,216
$
1,497,856
$
1,434,955
$
Health Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
Psychological Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Speech Pathology and Audiology Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Other Support Services - Pupils
Purchased Services
Supplies and Materials
$
Total Support Services - Pupils
Instructional Staff
Improvement of Instruction Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
Educational Media Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
$
Assessment and Testing
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Non-Capitalized Equipment
$
Total Support Services - Instructional Staff
See Accompanying Independent Auditor's Report
Page 63
Actual
Amounts
$
$
$
$
$
$
707,449
79,105
3,088
10,108
799,750
803,210
78,353
59,905
14,252
616
956,336
410,717
59,093
23,811
18,801
512,422
612,968
73,403
91,444
5,902
783,717
717,060
88,314
391
108,599
1,580
915,944
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
General Administration
Board of Education Services
Purchased Services
Supplies and Materials
Other Objects
$
393,500
12,000
21,500
427,000
$
283,000
46,720
3,200
2,750
6,000
341,670
$
404,500
126,365
24,000
7,500
1,000
563,365
$
$
$
754,132
754,132
$
18,000
743,926
761,926
$
2,086,167
$
1,951,371
$
$
$
3,192,900
1,028,391
10,800
23,308
16,105
6,000
4,277,504
$
3,203,534
976,805
3,949
18,015
7,252
6,510
4,216,065
$
4,277,504
$
4,216,065
$
169,500
46,980
10,800
100
2,000
229,380
$
169,373
46,287
723
22
1,796
218,201
$
$
165,000
44,965
276,500
85,000
10,000
65,000
646,465
$
165,554
41,992
169,754
18,093
2,437
5,262
403,092
$
$
2,000
2,000
$
$
1,640
1,640
$
877,845
$
622,933
$
Executive Administration Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Special Area Administration Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Tort Immunity Services
Salaries
Purchased Services
$
Total Support Services - General Administration
School Administration
Office of the Principal Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - School Administration
Business
Direction of Business Support Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
Fiscal Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Internal Services
Purchased Services
Total Support Services - Business
$
See Accompanying Independent Auditor's Report
Page 64
Actual
Amounts
$
$
$
$
258,036
5,803
5,391
269,230
276,715
45,250
2,098
903
5,407
330,373
414,040
131,389
37,573
6,072
768
589,842
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Support Services (Continued)
Transportation
Purchased Services
Total Support Services - Transportation
Food Services
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services - Food Services
Planning, Research, Development and Evaluation Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
$
$
6,800
6,800
$
$
17,084
17,084
$
1,590,000
15,000
2,500
5,000
1,612,500
$
1,476,602
7,830
2,276
9,988
1,496,696
792,000
157,200
51,500
500
1,500
30,000
1,032,700
$
$
$
$
Information Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Actual
Amounts
$
$
$
829,881
154,232
70,752
128
733
1,055,726
136,000
31,965
54,000
22,000
750
1,000
245,715
$
334,000
211,383
132,500
8,000
3,000
688,883
$
$
$
946,450
149,645
246,000
398,000
2,500
1,295,000
3,037,595
$
995,594
126,364
276,442
451,066
1,209
1,041,607
2,892,282
Total Support Services - Central
$
5,004,893
$
4,790,846
Other Support Services
Purchased Services
Total Other Support Services
$
$
1,000
1,000
$
$
$
19,686,248
$
18,761,472
$
52,977
21,121
15,733
11,627
101,458
$
47,810
11,270
9,928
4,426
73,434
$
Staff Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
$
$
Data Processing Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Other Objects
Non-Capitalized Equipment
Total Support Services
Community Services
Salaries
Employee Benefits
Purchased Services
Supplies and Materials
Total Community Services
$
$
See Accompanying Independent Auditor's Report
Page 65
$
$
$
129,909
33,132
43,479
17,143
505
224,168
325,393
150,496
134,902
5,943
1,936
618,670
-
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - EDUCATIONAL FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
EXPENDITURES (Continued)
Payments to Other Districts and Governmental Units
Payments to Other Districts and Governmental Units (In-State)
Other Payments to In-State Governmental Units
Purchased Services
Total Payments to Other Districts and Governmental Units (In-State)
Payments to Other Districts and Governmental Units-Tuition (In-State)
Payments for Regular Programs
Other Objects
Payments for Special Education Programs
Other Objects
Total Payments to Other Districts and Governmental Units-Tuition (In-State)
Total Payments to Other Districts and Governmental Units
Capital Outlay
Instruction
Regular Programs
Other Instructional Programs
Support Services
Food Services
Central
Total Capital Outlay
Actual
Amounts
$
$
5,300
5,300
$
$
5,313
5,313
$
5,300
$
5,313
$
265,000
$
207,413
$
1,005,000
1,270,000
$
832,781
1,040,194
$
1,275,300
$
1,045,507
$
13,553
$
521,169
-
$
10,000
250,000
273,553
$
6,679
360,226
888,074
$
13,166,992
$
19,229,859
Total Expenditures
$
76,766,591
$
80,428,707
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
1,502,780
$
4,203,074
On-Behalf Payments
OTHER FINANCING SOURCES (USES)
Interfund Transfers
Principal on Bonds Sold
$
$
NET CHANGE IN FUND BALANCE
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
1,137,036
$
$
$
36,367,498
$
See Accompanying Independent Auditor's Report
Page 66
(365,744)
(365,744)
37,504,534
(365,744)
504,924
139,180
4,342,254
31,959,555
$
36,301,809
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND - WORKING CASH FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Earnings on Investments
Total Revenues
$
$
EXPENDITURES
$
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
102,652
3,400
106,052
-
106,052
OTHER FINANCING SOURCES (USES)
NET CHANGE IN FUND BALANCE
$
106,052
$
$
$
$
2,480,113
104,272
5,340
109,612
-
109,612
-
$
2,374,061
See Accompanying Independent Auditor's Report
Page 67
$
-
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
Actual
Amounts
109,612
2,373,731
$
2,483,343
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
DEBT SERVICES FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Property Taxes
Earnings on Investments
Total Revenues
$
Actual
Amounts
$
$
7,771,670
8,000
7,779,670
$
7,792,172
3,430
7,795,602
$
$
4,309,798
4,309,798
$
$
4,309,798
4,309,798
Debt Services - Payment of Principal on Long-Term Debt
Other Objects
Total Debt Services - Payment of Principal on Long-Term Debt
$
$
3,824,946
3,824,946
$
$
3,824,946
3,824,946
Debt Services - Other
Purchased Services
Total Debt Services - Other
$
$
4,800
4,800
$
$
1,140
1,140
$
8,139,544
$
8,135,884
Total Expenditures
$
8,139,544
$
8,135,884
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
EXPENDITURES
Debt Services
Interest
Other Interest on Long-Term Debt
Other Objects
Total Debt Services - Interest
Total Debt Services
OTHER FINANCING SOURCES (USES)
Interfund Transfers
NET CHANGE IN FUND BALANCE
$
(3,130)
$
7,002,051
(340,282)
358,771
$
7,005,181
See Accompanying Independent Auditor's Report
Page 68
$
356,744
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
(359,874)
18,489
6,990,400
$
7,008,889
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL
CAPITAL PROJECTS FUND
YEAR ENDED JUNE 30, 2015
Budgeted Amounts
Original and Final
REVENUES
Earnings on Investments
Other Local Sources
Total Revenues
$
Actual
Amounts
$
75
18,000
18,075
$
4,095
32,119
36,214
EXPENDITURES
$
-
$
-
EXCESS OR (DEFICIENCY) OF REVENUES
OVER EXPENDITURES
$
18,075
$
36,214
OTHER FINANCING SOURCES (USES)
Sale or Compensation for Fixed Assets
NET CHANGE IN FUND BALANCE
$
FUND BALANCE - JULY 1, 2014
FUND BALANCE - JUNE 30, 2015
18,075
1,794,094
$
66,679
$
84,754
See Accompanying Independent Auditor's Report
Page 69
$
1,830,308
69,714
$
1,900,022
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF CHANGES IN FIDUCIARY ASSETS AND LIABILITIES
ACTIVITY FUNDS
YEAR ENDED JUNE 30, 2015
BALANCE
JULY 1, 2014
ADDITIONS
DEDUCTIONS
BALANCE
JUNE 30, 2015
ASSETS
Cash and Cash Equivalents
$
132,032
$
331,684
$
259,488
$
$
98,509
9,399
80
30,212
39,598
22,696
26,554
29,236
3,043
6,270
12,441
1,002
1,202
7,228
155
1,496
2,184
1,154
5,086
1,700
202
2,479
4,397
1,940
14,701
311
2,464
708
2,973
1,132
1,132
$
41
75,244
9,399
113
30,106
21
15,177
618
10,706
42,450
445
1,535
6,270
14,669
173
853
1,163
7,209
698
388
2,121
1,209
3,863
580
202
1,529
5,461
2,415
1,050
120
14,235
195
2,445
762
3,642
1,190
1,191
$
$
331,684
$
259,488
$
204,228
LIABILITIES
Amount Due to Activity
Lake Zurich High School
Astronomy Club
Band
Bear Facts
Buddy Project
Charity Week Money
Chess Club
Choir
Class of '12
Class of '14
Class of '15
Class of '16
Class of '17
Class of '18
Color Guard
Drama Club
Fashion Club
Fine & Applied Arts
FACS
Foreign Language
French Club
Gay-Straight Alliance
General Fund
German Club
Habitat for Humanity
Italian Club
LZHS FBLA
Math Team
National Honor
Orchesis
PE Leadership
Pommies
Scholastic Bowl
Science
Science Club
Ski Club
Spanish Club
Student Council
Technology Club
Tech Theatre Crew
$
$
41
16,545
300
2,943
21
23,482
19,793
9,736
26,310
2,363
4,104
173
21
126
673
326
22
296
3,871
176
1,752
6
4,591
5,390
577
1,050
268
1,088
838
5
960
1,797
3,873
(1,485)
132,032
See Accompanying Independent Auditor's Report
Page 70
39,810
267
3,049
24,421
23,482
19,175
21,726
10,414
31,154
1,508
1,876
170
165
19
130
1,434
85
241
5,094
176
2,872
6
5,541
4,326
102
148
1,554
954
24
906
1,128
3,815
(1,544)
204,228
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
COMPUTATION OF OPERATING EXPENSE PER PUPIL AND
PER CAPITA TUITION CHARGE
YEAR ENDED JUNE 30, 2015
OPERATING EXPENSE PER PUPIL
EXPENDITURES:
ED
Total Expenditures
O&M
Total Expenditures
11,025,394
DS
Total Expenditures
8,135,884
TR
Total Expenditures
3,744,089
MR/SS
Total Expenditures
$
61,198,848
1,716,830
Total Expenditures
$
85,821,045
LESS RECEIPTS/REVENUES OR DISBURSEMENTS/EXPENDITURES NOT APPLICABLE TO THE REGULAR K-12 PROGRAM:
ED
Pre-K Programs
ED
Special Education Programs Pre-K
$
ED
Summer School Programs
ED
Special Education Programs K-12 - Private Tuition
ED
Community Services
ED
Total Payments to Other District & Govt Units
ED
Capital Outlay
ED
Non-Capitalized Equipment
1,221,905
O&M
Capital Outlay
3,800,931
O&M
DS
Non-Capitalized Equipment
Debt Service - Payments of Principal on Long-Term Debt
3,824,946
MR/SS
Special Education Programs - Pre-K
25,628
MR/SS
Summer School Programs
11,205
MR/SS
Community Services
12,073
374,042
380,519
1,791,586
73,434
1,045,507
888,074
143,339
3,147
Total Deductions $
13,596,336
Total Operating Expenses (Regular K-12) $
72,224,709
9 Mo ADA (See the General State Aid Claim for 2010-2011 (ISBE 54-33, L12)
5,247.97
Estimated OEPP $
13,762.41
PER CAPITA TUITION CHARGE
LESS OFFSETTING RECEIPTS/REVENUES:
TR
Regular -Transp Fees from Pupils or Parents (In State)
TR
Regular - Transp Fees from Co-curricular Activities (In State)
$
ED
Total Food Service
1,494,947
ED-O&M
Total District/School Activity Income
1,310,106
ED
Rentals - Regular Textbooks
ED
Sales - Other (Describe & Itemize)
ED
Other (Describe & Itemize)
ED-O&M
Rentals
ED-O&M-TR
Total Special Education
ED-O&M-MR/SS
Total Career and Technical Education
ED-MR/SS
Total Bilingual Ed
ED
State Free Lunch & Breakfast
ED-O&M
Driver Education
24,772
96,588
1,890
70
158,025
330,526
2,263,172
26,470
5,589
2,232
33,218
ED-O&M-TR-MR/SS
Total Transportation
ED-O&M-DS-TR-MR/SS-Tort
Other Restricted Revenue from State Sources
ED-MR/SS
Total Food Service
ED-O&M-TR-MR/SS
Total Title I
ED-O&M-TR-MR/SS
Fed - Spec Education - IDEA - Flow Through/Low Incidence
ED-O&M-TR-MR/SS
Fed - Spec Education - IDEA - Room & Board
ED-O&M-MR/SS
Total CTE - Perkins
16,227
ED-TR-MR/SS
Title III - English Language Acquisition
33,364
ED-O&M-TR-MR/SS
Title II - Teacher Quality
79,176
ED-O&M-TR-MR/SS
Medicaid Matching Funds - Administrative Outreach
52,980
ED-O&M-TR-MR/SS
ED-O&M-TR-MR/SS
Medicaid Matching Funds - Fee-for-Service Program
Other Restricted Revenue from Federal Sources (Describe & Itemize)
84,994
2,142,202
13,611
151,888
211,532
1,151,850
6,710
12,089
Total Allowance for PCTC Computation
$
9,704,228
Net Operating Expense for PCTC Computation $
62,520,481
Total Depreciation Allowance (from page 27, Col I) $
4,257,262
Total Allowance for PCTC Computation $
66,777,743
9 Mo ADA
Total Estimated PCTC $
Unaudited
Page 71
5,247.97
12,724.49
ANNUAL FEDERAL FINANCIAL COMPLIANCE SECTION
INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR
PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE
REQUIRED BY OMB CIRCULAR A-133
To the Board of Education
Lake Zurich Community Unit School District No. 95
Lake Zurich, Illinois
Report on Compliance for Each Major Federal Program
We have audited
Lake Zurich Community Unit School District No. 95’s
compliance with the types of compliance requirements described in the OMB Circular A-133
Compliance Supplement that could have a direct and material effect on each of Lake Zurich
Community Unit School District No. 95’s major federal programs for the year ended
June 30, 2015. Lake Zurich Community Unit School District No. 95’s major federal programs are
identified in the summary of auditor’s results section of the accompanying Schedule of Findings
and Questioned Costs.
Management’s Responsibility
Management is responsible for compliance with the requirements of laws, regulations, contracts,
and grants applicable to its federal programs.
Auditor’s Responsibility
Our responsibility is to express an opinion on compliance for each of Lake Zurich Community
Unit School District No. 95’s major federal programs based on our audit of the types of
compliance requirements referred to above. We conducted our audit of compliance in
accordance with auditing standards generally accepted in the United States of America; the
standards applicable to financial audits contained in Government Auditing Standards, issued by
the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local
Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require
that we plan and perform the audit to obtain reasonable assurance about whether noncompliance
with the types of compliance requirements referred to above that could have a direct and material
effect on a major federal program occurred. An audit includes examining, on a test basis,
evidence about Lake Zurich Community Unit School District No. 95’s compliance with those
requirements and performing such other procedures as we considered necessary in the
circumstances.
We believe that our audit provides a reasonable basis for our opinion on compliance for each
major federal program. However, our audit does not provide a legal determination of Lake Zurich
Community Unit School District No. 95’s compliance.
Page 72
Opinion on Each Major Federal Program
In our opinion, Lake Zurich Community Unit School District No. 95, complied, in all material
respects, with the types of compliance requirements referred to above that could have a direct and
material effect on each of its major federal programs for the year ended June 30, 2015.
Report on Internal Control Over Compliance
Management of Lake Zurich Community Unit School District No. 95 is responsible for establishing
and maintaining effective internal control over compliance with the types of compliance
requirements referred to above. In planning and performing our audit of compliance, we considered
Lake Zurich Community Unit School District No. 95’s internal control over compliance with the types
of requirements that could have a direct and material effect on each major federal program to
determine the auditing procedures that are appropriate in the circumstances for the purpose of
expressing an opinion on compliance for each major federal program and to test and report on
internal control over compliance in accordance with OMB Circular A-133, but not for the purpose of
expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do
not express an opinion on the effectiveness of Lake Zurich Community Unit School District No. 95’s
internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control
over compliance does not allow management or employees, in the normal course of performing
their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance
requirement of a federal program on a timely basis. A material weakness in internal control over
compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such
that there is a reasonable possibility that material noncompliance with a type of compliance
requirement of a federal program will not be prevented, or detected and corrected, on a timely basis.
A significant deficiency in internal control over compliance is a deficiency, or a combination of
deficiencies, in internal control over compliance with a type of compliance requirement of a federal
program that is less severe than a material weakness in internal control over compliance, yet
important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the
first paragraph of this section and was not designed to identify all deficiencies in internal control
over compliance that might be material weaknesses or significant deficiencies. We did not identify
any deficiencies in internal control over compliance that we consider to be material weaknesses.
However, material weaknesses may exist that have not been identified.
The purpose of this report on internal control over compliance is solely to describe the scope of our
testing of internal control over compliance and the results of that testing based on the requirements
of OMB Circular A-133. Accordingly, this report is not suitable for any other purpose.
EDER, CASELLA & CO.
Certified Public Accountants
McHenry, Illinois
October 20, 2015
Page 73
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Year Ending June 30, 2015
Federal Grantor/Pass-Through Grantor/
Program or Cluster Title and
Major Program Designation
CFDA
2
Number
(A)
ISBE Project #
(1st 8 digits)
or Contract #3
(B)
10.555
15-4299-00
10.555
14-4210-00
10.555
15-4210-00
Receipts/Revenues
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(C)
(D)
Expenditure/Disbursements4
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(E)
(F)
Obligations/
Encumb.
(G)
Final
Status
(H)
Budget
31,079
31,079
N/A
20,514
147,128
N/A
131,374
131,374
N/A
(I)
U.S. Department of Agriculture Passed Through Illinois State
Board of Education:
Food Donation Program
National School Lunch Program (1)
National School Lunch Program (1)
Subtotal - CFDA "10"
31,079
126,614
20,514
126,614
131,374
126,614
182,967
126,614
182,967
0
309,581
193,903
55,042
193,903
55,042
156,490
156,490
430,802
905,230
140,601
1,045,831
1,286,200
1,011,249
1,011,249
1,304,000
U.S. Department of Education Passed Through Illinois State
Board of Education:
Title I - Low Income (2)
Title I - Low Income (2)
Special Education - Grants to States (M)
Special Education - Grants to States (M)
Special Education -- I.D.E.A - Room and Board (M)
Special Education - Preschool Grants (M)
Speical Education - Preschool Grants (M)
84.010
14-4300-00
84.010
15-4300-00
84.027
14-4620-00
84.027
15-4620-00
84.027
14-4625-00
16,329
6,710
16,329
6,710
23,039
N/A
84.173
14-4600-00
13,339
3,343
13,339
3,343
16,682
40,100
84.173
15-4600-00
14,168
14,168
42,229
156,490
905,230
140,601
1,011,249
14,168
• (M) Program was audited as a major program as defined by OMB Circular A-133.
The accompanying notes are an integral part of this schedule.
1
2
3
4
To meet state or other requirements, auditees may decide to include certain nonfederal awards (for example, state awards) in this schedule. If such nonfederal data are presented,
they should be segregated and clearly designated as nonfederal. The title of the schedule should also be modified to indicate that nonfederal awards are included.
When the CFDA number is not available, the auditee should indicate that the CFDA number is not available and include in the schedule the program's name and, if applicable,
other identifying number.
When awards are received as a subrecipient, the identifying number assigned by the pass-through entity should be included in the schedule.
Circular A-133 requires that the value of federal awards expended in the form of non-cash assistance, the amount of insurance in effect during the year, and loans or loan guarantees
outstanding at year end be included in either the schedule or a note to the schedule. Although it is not required, Circular A-133 states that it is preferable to present this information in
the schedule (versus the notes to the schedule). If the auditee presents non-cash assistance in the notes to the schedule, the auditor should be aware that such amounts must
still be included in part III of the data collection form.
Page 74
248,945
341,525
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Year Ending June 30, 2015
Federal Grantor/Pass-Through Grantor/
Program or Cluster Title and
Major Program Designation
Receipts/Revenues
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(C)
(D)
Expenditure/Disbursements4
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(E)
(F)
CFDA
2
Number
(A)
ISBE Project #
(1st 8 digits)
or Contract #3
(B)
84.365
14-4909-00
84.365
15-4909-00
84.367
14-4932-00
84.367
15-4932-00
78,706
78,706
84.048
15-4745-00
16,227
84.126
15-4999-00
12,089
Obligations/
Encumb.
(G)
Final
Status
(H)
Budget
11,373
32,548
34,387
21,991
21,991
30,107
470
82,634
89,821
80,077
84,384
16,227
16,227
16,227
12,089
12,089
N/A
(I)
U.S. Department of Education Passed Through Illinois State
Board of Education (continued):
Title III - Lang Inst Prog - Limited English LIPLEP (2)
Title III - Lang Inst Prog - Limited English LIPLEP (2)
Title II - Teacher Quality (2)
Title II - Teacher Quality (2)
21,175
11,373
21,175
21,991
82,164
470
82,164
1,371
U.S. Department of Education Passed Through Lake County
Area Vocational System:
V.E. Perkins - Title IIC - Secondary
U.S. Department of Education Passed Through Illinois Dept. of
Healthcare & Family Services
Vocational Rehabilitation Grants to States
Subtotal - CFDA "84"
1,232,140
1,528,459
1,232,140
1,528,459
• (M) Program was audited as a major program as defined by OMB Circular A-133.
The accompanying notes are an integral part of this schedule.
1
2
3
4
To meet state or other requirements, auditees may decide to include certain nonfederal awards (for example, state awards) in this schedule. If such nonfederal data are presented,
they should be segregated and clearly designated as nonfederal. The title of the schedule should also be modified to indicate that nonfederal awards are included.
When the CFDA number is not available, the auditee should indicate that the CFDA number is not available and include in the schedule the program's name and, if applicable,
other identifying number.
When awards are received as a subrecipient, the identifying number assigned by the pass-through entity should be included in the schedule.
Circular A-133 requires that the value of federal awards expended in the form of non-cash assistance, the amount of insurance in effect during the year, and loans or loan guarantees
outstanding at year end be included in either the schedule or a note to the schedule. Although it is not required, Circular A-133 states that it is preferable to present this information in
the schedule (versus the notes to the schedule). If the auditee presents non-cash assistance in the notes to the schedule, the auditor should be aware that such amounts must
still be included in part III of the data collection form.
Page 75
1,371
2,761,970
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Year Ending June 30, 2015
Federal Grantor/Pass-Through Grantor/
Program or Cluster Title and
Major Program Designation
CFDA
2
Number
(A)
ISBE Project #
(1st 8 digits)
or Contract #3
(B)
93.778
14-4991-00
93.778
15-4991-00
Receipts/Revenues
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(C)
(D)
Expenditure/Disbursements4
Year
Year
7/1/13-6/30/14
7/1/14-6/30/15
(E)
(F)
Obligations/
Encumb.
(G)
Final
Status
(H)
Budget
16,270
53,189
N/A
38,917
38,917
N/A
(I)
U.S. Department of Health and Human Services Passed
Through Illinois Dept. of Healthcare & Family Services
Medicaid Matching Funds - Administrative Outreach
Medicaid Matching Funds - Administrative Outreach
Subtotal - CFDA "93"
Total Federal Assistance
36,919
16,270
36,919
38,917
36,919
55,187
36,919
55,187
0
92,106
1,395,673
1,766,613
1,395,673
1,766,613
1,371
3,163,657
(1) - Project end date is 9/30
(2) - Project end date is 8/31
• (M) Program was audited as a major program as defined by OMB Circular A-133.
The accompanying notes are an integral part of this schedule.
1
2
3
4
To meet state or other requirements, auditees may decide to include certain nonfederal awards (for example, state awards) in this schedule. If such nonfederal data are presented,
they should be segregated and clearly designated as nonfederal. The title of the schedule should also be modified to indicate that nonfederal awards are included.
When the CFDA number is not available, the auditee should indicate that the CFDA number is not available and include in the schedule the program's name and, if applicable,
other identifying number.
When awards are received as a subrecipient, the identifying number assigned by the pass-through entity should be included in the schedule.
Circular A-133 requires that the value of federal awards expended in the form of non-cash assistance, the amount of insurance in effect during the year, and loans or loan guarantees
outstanding at year end be included in either the schedule or a note to the schedule. Although it is not required, Circular A-133 states that it is preferable to present this information in
the schedule (versus the notes to the schedule). If the auditee presents non-cash assistance in the notes to the schedule, the auditor should be aware that such amounts must
still be included in part III of the data collection form.
Page 76
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE YEAR ENDED JUNE 30, 2015
NOTE 1 - BASIS OF PRESENTATION
The accompanying Schedule of Expenditures of Federal Awards includes the federal
grant activity of Lake Zurich Community Unit School District No. 95 and is presented
on the modified accrual basis of accounting. The information in this Schedule is
presented in accordance with requirements of the OMB Circular A-133, Audits of
States, Local Governments, and Non-Profit Organizations. Therefore, some amounts
presented in this schedule may differ from amounts presented in, or used in the
preparation of, the basic financial statements.
NOTE 2 - SUBRECIPIENTS
The District did not provide federal awards to subrecipients during the year ended
June 30, 2015.
NOTE 3 - NON-CASH ASSISTANCE, INSURANCE, AND LOANS
Non-cash assistance is reported in the Schedule of Expenditures of Federal Awards
at the fair market value of the commodities received and disbursed. During the year
ended June 30, 2015, the District did not receive or disburse food commodities.
There was no federal insurance in effect during the year, nor any federal loans or loan
guarantees outstanding at year end.
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LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT NO. 95
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE YEAR ENDED JUNE 30, 2015
1)
Summary of auditor’s results:
a)
The auditor’s report expresses an unmodified opinion on the financial statements of
Lake Zurich Community Unit School District No. 95.
b)
No significant deficiencies or material weaknesses were disclosed during the audit
of the financial statements.
c)
No instances of noncompliance material to the financial statements of Lake Zurich
Community Unit School District No. 95, which would be required to be reported in
accordance with Government Auditing Standards, were disclosed during the audit.
d)
No significant deficiencies or material weaknesses in internal control over major
programs were disclosed by the audit.
e)
The auditor’s report on compliance for the major federal award programs for Lake
Zurich Community Unit School District No. 95 expresses as unmodified opinion on
all major federal programs.
f)
The audit disclosed no audit findings which the auditor is required to report.
g)
The programs tested as major programs included: CFDA numbers 84.027 and
84.173 – Special Education Cluster.
h)
The threshold used for distinguishing between Type A and Type B programs was
$300,000.
i)
Lake Zurich Community Unit School District No. 95 does not qualify as a low-risk
auditee.
2)
There were no findings relating to the financial statements which are required to be reported.
3)
There were no findings and questioned costs for federal awards which are required to be
reported.
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LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
Year Ending June 30, 2015
SECTION II - FINANCIAL STATEMENT FINDINGS
1. FINDING NUMBER:11
2015- None
2. THIS FINDING IS:
New
Repeat from Prior Year?
Year originally reported?
3. Criteria or specific requirement
4. Condition
5. Context12
6. Effect
7. Cause
8. Recommendation
9. Management's response13
For ISBE Review
Date:
Resolution Criteria Code Number
Initials:
Disposition of Questioned Costs Code Letter
11
A suggested format for assigning reference numbers is to use the digits of the fiscal year being audited followed by a numeric
sequence of findings. For example, findings identified and reported in the audit of fiscal year 2015 would be assigned a reference
number of 2015-001, 2015-002, etc. The sheet is formatted so that only the number need be entered (1, 2, etc.).
12
Provide sufficient information for judging the prevalence and consequences of the finding, such as relation to universe of costs and/or
number of items examined and quantification of audit findings in dollars.
13
See paragraphs 5.18 through 5.20 and 7.38 through 7.42 of Government Auditing Standards for additional guidance on reporting
management's response.
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LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
Year Ending June 30, 2015
SECTION III - FEDERAL AWARD FINDINGS AND QUESTIONED COSTS
1. FINDING NUMBER:14
2015- None
2. THIS FINDING IS:
New
Repeat from Prior year?
Year originally reported?
3. Federal Program Name and Year:
4. Project No.:
5. CFDA No.:
6. Passed Through:
7. Federal Agency:
8. Criteria or specific requirement (including statutory, regulatory, or other citation)
9. Condition15
10. Questioned Costs
16
17
11. Context
12. Effect
13. Cause
14. Recommendation
15. Management's response18
For ISBE Review
Date:
Resolution Criteria Code Number
Initials:
Disposition of Questioned Costs Code Letter
14
15
16
17
18
See footnote 11.
Include facts that support the deficiency identified on the audit finding.
Identify questioned costs as required by sections 510(a)(3) and 510 (a) (4) of Circular A-133.
See footnote 12.
To the extent practical, indicate when management does not agree with the finding, questioned cost, or both.
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LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS19
Year Ending June 30, 2015
[If there are no prior year audit findings, please submit schedule and indicate NONE]
Finding Number
2014-001
Current Status
Condition
The District reported the grant expenditures
obligated under the 2013 program year that was
paid for in fiscal year 2014 on both the 2013 and
2014 program year expenditure reports.
Corrective action was taken
When possible, all prior findings should be on the same page
See the instructions in the Guide to Auditing and Reporting for Illinois Public Local Education Agencies for an
19
20
explanation of this schedule.
Current Status should include one of the following:
• A statement that corrective action was taken
• A description of any partial or planned corrective action
• An explanation if the corrective action taken was significantly different from that previously reported
or in the management decision received from the pass-through entity.
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20
LAKE ZURICH COMMUNITY UNIT SCHOOL DISTRICT 95
34-049-0950-26
CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS21
Year Ending June 30, 2015
Corrective Action Plan
Finding No.:
2015- None
Condition:
Plan:
Anticipated Date of Completion:
Name of Contact Person:
Management Response:
21
[Name and Title of person responsible for implementation]
[If applicable, an explanation giving specific reasons if the district officials do not agree with
the finding and believe that corrective action is unnecessary.]
See the instructions in the Guide to Auditing and Reporting for Illinois Public Local Education Agencies for an
explanation of this schedule.
Page 82