Minutes - Board of Directors Meeting June 2, 2003

Open Board Meeting called to order at 8:43 a.m. by President Mr. Stonebraker. Present were Directors Mr. Stonebraker, Mr. Schloss, Mr. Bettag, Chief Svetanics, Ms. Vincent, Mr. Schnieders and Citizens from the District.

The purpose of this meeting was to discuss accounting and financial reporting data with our accountant, Joe Schnieders, and to ask him to formulate an executive summary that will simplify the monthly financial reports so that they can be understood when presented at future board meetings.

Following is an outline of the discussion:

• Chart of Accounts and Reporting Structure set-up

• Allocation of tax revenue to funds, based on decimal equivalents of tax rates in various years; transfers to Capital Improvement Fund

• Log-in of Check Disbursements by Fund

C/D registers: General and Ambulance Fund
Pension Fund
Central Dispatch Fund
Bond Fund
Medical Benefit Fund

• Worksheet summarization of bi-weekly payroll data

• Payroll Journal entries

• Standard Journals and General Journals, Prepaid Expenses, various accounting entries

• Accounts Payable

• Inter-Fund Balances, Consolidation Eliminations for current month and prior months cumulative year-to-date (Re: Medical Benefit Fund)

• Treasurer's Reports: 6 accounts, cash basis, tracking changes in cash
balances:

General and Ambulance Funds
Pension Fund
Central Dispatch Fund
Bond Fund
Medical Benefit Fund
Capital Improvements Account

• General Ledger, 1 for each of 8 funds, summarizing the detail of all transaction into consistent categorized classifications and totals

• Financial Statements for each of 8 funds-General Ledgers are the source document

-Balance Sheets-Accrual basis
-Statements of Revenue and Expenses-Accrual Basis (Not
applicable to
-General Fixed Assets and Long Term Debt Funds)
-Consolidated Company, net of inter-fund eliminations

There was a five minute break and meeting reconvened at 10:08 a.m.

• Summarized Comparison Reports-Actual to Budget-Income and Expenses

-Accrual Basis-Financial Statements are the source documents
-General, Ambulance and Medical Benefit Funds
-Pension Fund
-Central Dispatch Fund
-Bond Fund
-Consolidated Company, net of inter-fund eliminations

Mr. Schnieders concluded by stating these accounting procedures are standard practices in the industry and are not unique to the reporting procedures of the Lemay Fire Protection District.

Mr. Stonebraker asked if there were any questions from the floor. There were several discussions. One inquiry was why can’t we renegotiate the bond issue and get a new mortgage for our building. Mr. Schloss replied that we are working on that issue. Another question from the open floor was who forgives the unpaid ambulance fees. The suggestion was made that we create some kind of written procedure in this regard.

Mr. Stonebraker thanked Mr. Tom Call and the Box 8 for all their hard work and in preparing and supplying the food and refreshments for our open house/blood drive held May 31, 2003, and that they helped to make it a success. Mr. Stonebraker also mentioned that it was on TV and that it was good publicity for the District.

Mr. Stonebraker thanked Mr. Schnieders for helping us to understand the financial reports.

There being no more business or questions from the floor, motion made by Mr. Stonebraker to adjourn the Board meeting at 11:13 a.m., 2nd by Mr. Bettag, roll call vote all ayes.

Respectfully submitted,



Jerry G. Schloss, Secretary

JGS/pgv