COM 0423.003 2002-2004 - Laserfiche WebLink

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Yes. The Shipper's Wharf Committee Trust Fund should be reported in the CAFR according to the County's independent auditor KPMG (see attached)16 and County Comptroller Deanna Sako. For the reader's information, the County of Hawaii prepares an annual financial report known as the Comprehensive Annual Financial Report (CAFR) containing three parts: A. Government-Wide Financial Statements Government-wide financial statements cover the entirety of the government, including both its governmental activities and business-type activities, as well as the government's component units (i.e. Department of Water Supply). B. Fund Financial Statements The fund financial statements provide a more detailed look at the major individual parts, or funds, of a government. There are three broad categories of funds: (1) Governmental Fund Types are used to account for the acquisition, use and balances of expendable financial resources and the related current liabilities-except those accounted for in proprietary and fiduciary funds. In essence, these funds are accounting segregations of financial resources " jz) Proprietary Fund Types are sometimes referred to as income determination or commercial-type funds, the classification used to account for a government's ongoing organizations and activities that are similar to those often found in the private sector ....16 (3) Fiduciary Fund Tvpes are the trust and agency funds used to account for assets held by a government unit in a trustee capacity or as an agent for individuals, private organizations, other government units and/or other funds.19 C. Notes to the Financial Statements Notes to the Financial Statements present additional detailed information that supports and explains the financial data in both the government-wide and fund statements. The Shipper's Wharf Committee Trust Fund would be considered a fiduciary fund because the County has custody of the Trust Fund's assets in a fiduciary capacity (e.g., the assets do not belong to the County). However, the account balances and transactions of the Trust Fund should be excluded from the County's government-wide statements. The fiduciary fund types post their asset statements and balances in the CAFR as well as explaining the fund in'Notes to the Financial Statements.' This will ensure the beneficiaries are informed of the financial health of the trust.. 16 Ralph Kanetoku, KPMG letter dated March 11, 2004. "County of HawaPi, Accounting Manual, 06/07/99, Glossary. `BIbid. 'Ibid. 5