TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Year-End Financial Statements and Auditor's Report for FY 2020-21
BRIEFING ITEM
RECOMMENDED ACTION(S):
Title
Consider receiving the Year-End Financial Statements and Independent Auditor's Report for the Fiscal Year Ended June 30, 2021.
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
With this staff report and its attendant financial reports, the District officially closes out its fiscal year ended June 30, 2021. These timely financial reports provide the final reference point to review the financial performance of the past fiscal year and help provide a fully informed basis to assist in planning for future periods.
BUDGETARY/FISCAL IMPACT:
During Fiscal Year 2020-21, the District had revenues earned of $518.1 million over expenses (not including depreciation) of $442.3 million or an operating surplus (modified) of $75.9 million. After applying depreciation expense of $43.1 million and capital revenues of $9.4 million, as of June 30, 2020 the increase to net position was $42.2 million, to $114.8 million which includes restricted funds and operating and capital reserves. It is noted that without the $84.1 million of Federal CARES Act funds received during the period, the District's Net Position would have been reduced by $42.0 million as of June 30, 2021.
BACKGROUND/RATIONALE:
The Statement of Fund Net Position (formerly Statement of Net Assets) presents information about assets and liabilities with the difference between the two reported as net position. In accordance with Board Policy 340, Accounting Policies, the annual audit of the financial statements has been completed and the report prepared by Crowe, LLP has been issued to the District. The auditors have rendered a clean opinion: "In our opinion, based on our audit and the report of other auditors, the financial statements refe...
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