Regular Fire Board Meeting - July 10, 2024

GANADO FIRE DISTRICT NOTES TO BUEDGETARY COMPARISON SCHEDULE FISCAL YEAR ENDED JUNE 30, 2021

NOTE 1 – BUDGETARY REQUIREMENTS AND BASIS OF ACCOUNTING

In accordance with the Arizona Revised Statutes, the District is required to adopt an annual operating budget no later than August 1 st . The budget is adopted on a basis consistent with generally accepted accounting principles and appropriations lapse at year-end.

NOTE 2 - OVER-EXPENDITURE OF BUDGET LINE ITEMS

Ganado Fire District (The District) over-spent two line items. These items were Operations in the amount of $ 66827 and Administration in the amount of $45,602. This is due in large part to District costs being more than revenues generated by the property tax levy. This overage is the result of the District still recovering monetarily due to the court ruling between “Centrally Assessed Utilities” and Arizona Counties discussed in Note 20 regarding monies which the District had to give back to Apache County in order to resolve their part of the lawsuit. This has severely impacted their revenues for the past 3 years.

District revenues were $73,007 above what was budgeted however; District expenses were $80,705 over what was budgeted.

The legal compliance of budgeting for Special Districts in Arizona is at the fund level. The District did overspend its budget at the fund level.

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