Comprehensive Annual - Laserfiche WebLink

Browse Search

ORANGE COUNTY, NORTH CAROLINA NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30, 2012 In complying with these regulations during fiscal year 2012, the County has submitted certified statements of Bond Indicators and Ratio Indicators of Financial Strength to the State of North Carolina Department of Environment, Health, and Natural Resources. Leases. The County leases ambulances, car, and landfill equipment under lease agreements that are classified as capital leases. Accordingly, the original present value ($7,079,224) of obligations under these lease agreements, along with the present value of the remaining lease payments, are included within the Statement of Activities for governmental activities. The General Fund and the Solid Waste Fund make all capital lease payments. At June 30, 2012, future minimum rental payments due under the capital leases are as follows: The total rental paid for all operating leases was $336,005 for the year ended June 30, 2012. All operating leases are for terms of one year or less and consist principally of office space rentals for various County functions. Federal and State Programs. The County participates in a number of federal and State of North Carolina financial assistance programs. For the fiscal year ended June 30, 2012, these programs were subjected to audit in accordance with generally accepted auditing standards,Government Auditing Standards, the provisions of OMB Circular A-133, and the State Single Audit Implementation Act. The amount, if any, of expenditures which may be disallowed by the granting agencies resulting from this and other audits cannot be determined at this time, although the County expects such amounts, if any, to be immaterial. No provision has been made in the accompanying financial statements for the refund of grant monies. Lawsuits. The County is involved in several pending lawsuits and claims, which it intends to defend vigorously. In the opinion of the County's Attorney and management, the disposition of these matters is not expected to have a material effect on the County's financial position. 12. Risk Management The County is exposed to various risks of losses related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The County participates in three self-funded risk financing pools administered by the North Carolina Association of County Commissioners. Through these pools, the County obtains property coverage equal to replacement cost values of owned property subject to a limit of $125.5 million for any one occurrence, general, auto, professional, and employment practices liability coverage of $2 million per occurrence, auto physical damage coverage for owned autos at actual cash value, crime coverage of $250,000 per occurrence, workers' compensation coverage up to the statutory limits, and health insurance for 68