YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT November 15, 2011 Presented by: John A. Sabo, Associate Director - Leading Services & Treasurer of the Board Anna K. Chan, Senior Manager, Business Services & Assistant Treasurer York Catholic District School Board Audited Financial Statements For Year Ended August 31, 2011 Audited Financial Statements For Year Ended August 31, 2011

2 York Catholic District School Board Financial Results Financial Operating Results Cumulative Results Reconciliation from Operating to Consolidated Financial Statements 2.Audited Consolidated Financial Statements 3.Auditors Report to Audit Committee 4.Overview & Recommendations AGENDA

3 York Catholic District School Board Financial Results FINANCIAL OPERATING RESULTS

4 York Catholic District School Board Financial Operating Results Overview Financial Operating Results Operating Revenues Operating expenses: By Function & By Object Financial Operating Results & Accumulated Surplus Financial Results

5 York Catholic District School Board Financial Operating Results OVERVIEW No Compliance Deficit Compliance with Ministry Envelopes Special Education Admin & Governance (within 15% limitation) Pupil Accommodation YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

6 York Catholic District School Board Financial Operating Results OVERVIEW Comparative using Revised Estimate: Estimates used for Consolidated Financial Statements, but not true Board budget Compliance position vs Consolidated Financial Statements Traditional focus on board defined operating revenues & expenses, and compliance position Reconciliation of operating revenues and expenses to Consolidated Financial Statements revenues and expenses will be provided YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

Financial Operating Results York Catholic District School Board YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

8 Operating Revenues Actual York Catholic District School Board

9 Operating Expenses Expenses by Function & Object $ School Classroom 385,339, % School Non-classroom 51,190, % Admin & Governance 14,803, % Pupil Transportation 15,679, % Pupil Accommodation 50,005, % TOTAL 517,019, % BY FUNCTIONBY OBJECT $ Salaries & Wages403,390, % Benefits 58,879, % Staff Development 1,507, % Supplies & Services 22,227, % Capital 5,537, % Fees & Contract. 24,701, % Other 774, % Total517,019, %

Financial Operating Results YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

11 York Catholic District School Board Financial Results CUMULATIVE RESULTS

12 York Catholic District School Board Cumulative Results Accumulated Surplus – Final Position Deferred Revenues (Ministry Required) Accumulated Surplus – Details Accumulated Surplus/Deficit – Available for Compliance (ASD-AFC) Trends Accumulated Surplus/Deficit – Unavailable for Compliance (ASD-UFC) Future Employee Benefits Payable (EFB) YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

13 Final Position: Accumulated Surplus YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT Boards will focus on Board Established Accumulated Surplus – Available for Compliance plus Ministry Required Deferred Revenues York Catholic District School Board

Deferred Revenue (Ministry Required) YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

Accumulated Surplus/Deficit: Details YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

Compliance Results = Board operating results + Committed ASD-AFC activity YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT Ministry Compliance

17 Accumulated Deficit History York Catholic District School Board YEAR END FINANCIAL REPORT

18 York Catholic District School Board YEAR END FINANCIAL REPORT Note: Excludes General School Budget balance carry-forwards to isolate true Board Working Fund Surplus

19 York Catholic District School Board YEAR END FINANCIAL REPORT Note: Excludes General School Budget balance carry-forwards to isolate true Board Working Fund Surplus

20 Accumulated Surplus/Deficit - UFC YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT Note: Vacation Pay Accrued will be Board responsibility -50% & 50% Equal amount has been set aside within AS-AFC.

21 Accumulated Surplus/Deficit – Unavailable for Compliance Tangible Capital Asset – Non-depreciable assets only For Board, only EDC related amounts Includes EDC deficit of $9.3M School Generated Funds Formerly Amounts to be Recovered – Future impacts Employee Future Benefits Future plan enhancement impact – Board responsibility? Vacation Pay Accrual – Boards assume responsibility Interest Accrual York Catholic District School Board YEAR END FINANCIAL REPORT

22 York Catholic District School Board Future Employee Benefits Payable (PSAB) Externally calculated actuarial valuations Significant $s: Future implications Refer to Note 7 Notes to the Consolidated Financial Statements YEAR END FINANCIAL REPORT

23 York Catholic District School Board Financial Results RECONCILIATION: Operating Revenue & Expenses To Consolidated Revenue & Expenses RECONCILIATION: Operating Revenue & Expenses To Consolidated Revenue & Expenses

YEAR END FINANCIAL REPORT

25 York Catholic District School Board Financial Results AUDITED CONSOLIDATED FINANCIAL STATEMENTS

26 Audited Consolidated Financial Statements Management Report – responsibility to financials Independent Auditors Report CONSOLDIATED STATEMENT OF FINANCIAL POSITION NEW – DCC CONSOLIDATED STATEMENT OF OPERATIONS CONSOLIDATED STATEMENT OF CASH FLOW CONSOLIDATED STATEMENT OF CHANGES IN NET DEBT Notes to Consolidated Financial Statements Comparatives 2010/11 vs 2009/10 vs 2008/09: Consolidated Statement of Financial Position Consolidated Statement of Operations York Catholic District School Board YEAR END FINANCIAL REPORT

27 Audited Consolidated Financial Statements MANAGEMENTS RESPONSIBILITY FOR THE FINANCIAL STATEMENTS Signed by Director of Education and Chief Financial Officer (Treasurer) Consolidated Financial Statements audited by Grant Thornton INDEPENDENT AUDITORS REPORT New: Special Purpose report refers to basis of accounting in Note#1 Not qualified re school funds York Catholic District School Board YEAR END FINANCIAL REPORT

28 York Catholic District School Board Audited Financial Statements Statement of Financial Position The Statement of Financial Position shows the financial assets, liabilities, non-financial assets (New: DCC) An analysis and reconciliation of the Statement of Financial Position is included in the Year End Financial Report to the Audit Committee (refer Appendix D) YEAR END FINANCIAL REPORT

29 York Catholic District School Board YEAR END FINANCIAL REPORT

30 York Catholic District School Board Audited Consolidated Financial Statements The Consolidated Statement of Operations Revenues includes DCC revenue YEAR END FINANCIAL REPORT

31 York Catholic District School Board Audited Consolidated Financial Statements The Consolidated Statement of Operations reflects all adjustments for Public Sector Accounting Board recognition of Employee Future Benefit expenses and school funded activities in the current period YEAR END FINANCIAL REPORT

32 York Catholic District School Board YEAR END FINANCIAL REPORT Notes for Of particular note: (1)Note #1: Contains basis of accounting: consolidated financial statements are prepared under a special purpose fair presentation framework. (2)Note #2: Changes in accounting Policies: provides details of restatements (3)Note #4: Asset held for sale relates to sale of land subsequent to year end (September 15, 2011) (4)Note #8: Refinancing debenture issue subsequent to year end (5)Note #16: Budget Data restatement

33 York Catholic District School Board YEAR END FINANCIAL REPORT Comparatives 2009 to YEAR END FINANCIAL REPORT Comparatives 2009 to 2011

34 York Catholic District School Board YEAR END FINANCIAL REPORT Comparatives 2009 to YEAR END FINANCIAL REPORT Comparatives 2009 to 2011

35 York Catholic District School Board Financial Results AUDITORS REPORT TO AUDIT COMMITTEE

36 AUDITORS REPORT TO AUDIT COMMITTEE Audit Results, Reportable matters Independent Auditors Report Management Representation Letter Internal Control Findings Letter of Independence PSAB Accounting Developments Auditing Developments York Catholic District School Board YEAR END FINANCIAL REPORT

37 AUDITORS REPORT TO AUDIT COMMITTEE REPRESENTATION LETTER Standard Management Representation All information has been made available to the Auditors, confirmation of data being accurate and complete, no significant information has been withheld York Catholic District School Board YEAR END FINANCIAL REPORT

38 York Catholic District School Board Financial Results OVERVIEW & RECOMMENDATIONS OVERVIEW & RECOMMENDATIONS

39 York Catholic District School Board Financial Operating Results OVERVIEW No Deficit Compliance with Ministry Envelopes Special Education Admin & Governance (within 15% limitation–Actual 9.23%) Pupil Accommodation Management of Accumulated Surplus- Available for Compliance ( formerly Reserves ) YEAR END FINANCIAL REPORT

Financial Operating Results YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

YEAR END FINANCIAL REPORT YEAR END FINANCIAL REPORT

42 RECOMMENDATIONS THAT the Board approve the Financial Statements of the York Catholic District School Board as audited by Grant Thornton LLP, Chartered Accountants. THAT the Board publish a notice in local newspapers that the Audited Consolidated Financial Statements of the York Catholic School Board, together with the Auditors Report, will be made available as part of the Boards regular publications and posted on the Boards website. York Catholic District School Board YEAR END FINANCIAL REPORT