Prairie Lakes Area Education Agency Tuesday, December 17, 2019 – 4:00 P.M. Regular ... · 2 days...

Prairie Lakes Area Education Agency

Tuesday, December 17, 2019 – 4:00 P.M. Prairie Lakes AEA - Algona Office

116 S. Thorington Algona, IA

Regular Monthly Board Meeting

AGENDA

1. Call to Order

2. Roll call

3. Review and Approve Agenda

4. Approve Minutes of November 18, 2019 Regular Board Meeting

5. Approve 2018-2019 Prairie Lakes AEA Annual Audit

6. Approve Monthly Bills and Review Cash Flow Report

7. Annual/Organizational Meeting of PLAEA Board a. Administer Oath of Office to Newly Elected Board Members b. Election of Board President – Administer Oath of Office c. Election of Vice President – Administer Oath of Office d. Recommend Board Approval of the Following Appointments

i. Board Secretary/Board Treasurer – Administer Oath of Office ii. Board Attorney for Labor Relations iii. Board Attorney for General Operations

8. Determine Time and Place of Monthly Meetings 9. Approve Depository Resolution 10. Personnel Matters

A. Retirements/Resignations B. New Hires C. Other

11. Approve Palo Alto County Gaming Development Corporation Full Grant Application

12. Chief Administrator’s Report

13. Upcoming Dates

14. Set Date, Time for Next Regular Board Meeting

15. Other

16. Adjournment

BOARD PREVIEW

for the Board Meeting – December 17, 2019

MISSION OF PRAIRIE LAKES AEA The mission of Prairie Lakes AEA is to ensure success for all learners through collaborative partnerships.

In an effort to promote better understanding and communication of Board actions, prior to each Prairie Lakes AEA Board meeting this BOARD PREVIEW with an agenda and summary of the agenda is sent to all Prairie Lakes staff via email. It includes basic information on the Agenda Items and Chief Administrator’s recommendations to the Board. All are encouraged to attend the Board meetings to share their ideas and to see – live – what the discussion and actions of the Board are. Board meetings are held in the Dean Saunders Board Room at the Prairie Lakes AEA Office in Pocahontas at 4 PM unless otherwise noted on the agenda. This preview does not have any information related to discipline, confidential personnel matters, or negotiations.

Regular Board Meeting • 4:00 p.m.

1. Call to Order

2. Roll Call

3. Review and Approve Agenda – Action Item

4. Approve Minutes of November 18, 2019 Regular Board Meeting – Action Item

5. Approve 2019-2020 Prairie Lakes AEA Annual Audit – Action Item The audit of the 2018-2019 financial records has been completed. Murray Stanley, CPA, Schnurr and Company, LLP, will share the highlights of the report and answer any questions. Administrator’s Recommendation – It is recommended that the PLAEA 2018-2019 Annual Audit Report be approved as presented.

6. Approve Monthly Bills – Action Item A. Review Monthly Cash Flow Report – Information Item

7. Annual/Organizational Meeting PLAEA Board – Action Item

A. Administer Oath of Office to Newly Elected Board Members B. Election of Board President – Administer Oath of Office C. Election of Board Vice President – Administer Oath of Office D. Recommend Board Approval of the Following Appointments:

i. Board Secretary/Board Treasurer – Michelle Dowd – Administer Oath of Office ii. Board Attorney for Labor Relations – firm of Ahlers Cooney Attorneys iii. Board Attorney for General Operations – Rick Engel (and in the case of re-organization

hearings if Rick is representing the district(s) Stu Cochrane)

8. Determine Time and Place of Monthly Meetings – Action Item The Board will confirm the time and place for regular meetings. Currently board meetings are held at 4:00 p.m. on the third Monday of each month in Pocahontas. Administrator’s Recommendation – It is recommended that the time & place for regular meetings be approved as presented.

9. Approve Depository Resolution – Action Item The Board specifies the institution of depository for agency funds. This resolution specifies that the Wells Fargo Bank of Fort Dodge be identified as a depository for funds up to eight million dollars ($8,000,000). Administrator’s Recommendation – It is recommended that the depository resolution be approved as presented.

10. Personnel Matters A. Retirements/Resignations – None at this time B. New Hires

1. Classified – Informational Item a. Tera Shatto, Secretary, Estherville office, 123 days, Grade C, Step 13, $17.55, start date

December 10, 2019. b. Steve Watkins, Forest Ridge Shelter, 110 days, Grade B, Step 13, $17.05, start date

January 2, 2020. C. Other – None at this time

11. Approve Palo Alto County Gaming Development Corporation Full Grant Application –Action Item

The Assistive Technology department is seeking approval to apply for the Palo Alto County Gaming grant to purchase a telepresence robot for their department. A requirement of the grant is that our Agency matches up to 10% of the total award amount. If successful in receiving this grant award, the Agency’s commitment would equal $470.00. Administrator’s Recommendation – It is recommended the Palo Alto County Gaming Development Corporation Full Grant application be approved as presented.

12. Chief Administrator’s Report – Information Item 1. Recognition of Excellence:

● Wellness Team for all of their work promoting wellness throughout our agency and supporting coworkers with resources and encouragement. Cheri Brown, Jill Heinen, Kathy Behrens, Deb Gade, Tera Shatto, Kayti Pohlman, Nicholas Schelle, Kim Bodholdt, Brenda Hebert, Brianne Pille, Jennifer Woodruff, Maurita Aubrey, Peral Wuebker, Christine Sturgeon, Debra Betz, Kelly Mills, Courtney Cook, Carole Klein, Ally Leners, Anna Speers, Katie Johnson, and Leslie Pralle Osborn.

● Anyone that you would recommend for providing outstanding service? 2. Board Member Development:

● Well-being – part of the $2.1 million for the AEAs is being used to develop a website that will house resources and other important information. AEA Learning Online staff are working hard with other groups, including the Iowa Youth Mental Health Alliance, to create the website that will debut in the spring. This will be a great place for awareness, advocacy, and support.

● Post-secondary Readiness: Courtney Cook, our Social Emotional Behavioral Health lead, and Mark Shea, Post-secondary Readiness lead, are supporting the counselors in our AEA with a network that includes the resources on this site.

https://www.smore.com/9m7s6-plscn-update?ref=email

3. Advocacy:

● AEA System Legislative Priorities – Questions??? ● Session starts January 13, it will be important to see what the Governor’s budget

proposes early in the session. Please be on the lookout for the “Eggs and Issues” events in your area.

13. Upcoming Dates – Informational Item • IASB Day on the Hill, January 28, 2020, Greater Des Moines Botanical Garden & Iowa State Capitol,

Des Moines. This event is scheduled for 9:00-4:30. I plan on going and would love to have some board members attend.

14. Set Date and time for Next Board Meeting – Information Item

The January board meeting is scheduled for Monday, January 20, 2020 – 4:00 p.m. Prairie Lakes AEA, 500 NE 6th Street, Pocahontas, Iowa.

15. Other 16. Adjournment- Action Item

https://drive.google.com/open?id=1oDQTPfOAvvt2pUxTtAFf9o2Ep8t0HL3g

https://www.legis.iowa.gov/docs/publications/SESTT/current.pdf

https://www.ia-sb.org/Main/Advocacy_Center3/Day_on_the_Hill/Main/School_Board_U/Conferences/IASB_Day_on_the_Hill.aspx

Prairie Lakes Area Education Agency Regular Board Meeting

Monday, November 18, 2019 – 4:00 p.m. Pocahontas, Iowa

President Brown called the regular board meeting of the Prairie Lakes Area Education Agency Board of Directors to order at 4:00 p.m. The following board members were present: Christina Allen, Gary Astor, Pat Brown, Janice Harbaugh and Todd Lundgren. Absent: Dawn Crane. On a motion by Pat Brown, seconded by Christina Allen, board approval was given to the agenda as presented by Chief Administrator Jeff Herzberg. President Brown asked if there were any corrections to the minutes of the October 21, 2019 Regular Board Meeting. Hearing none, the minutes stood approved. On a motion by Gary Astor, seconded by Todd Lundgren, the Board approved the bills as presented by Michelle Dowd. Motion carried unanimously. The cash flow report was reviewed by Dowd. The Board was informed of the following retirement in the Classified group: Lavonne Phillips, Educational Paraprofessional, Forest Ridge Shelter, retirement effective December 31, 2019. Lavonne has provided 6 years of service to PLAEA. On a motion by Christina Allen, seconded by Pat Brown, the Board approved the new hire in the Licensed group: Laura Reinders, School Social Worker, Estherville office, 146 days, MA, Step 16, $45,572.68, start date November 5, 2019. Motion carried unanimously. Chief Administrator’s Report: Recognition of Excellence: Tiffanie Zaugg and her Assistive Technology Team for hosting 180 people at their PLATE Conference in Storm Lake at BVU on November 18. The team members consist of: Nicole Peter (Occupational Therapist), Tim Youngdahl (Speech Language Pathologist), Yvette Bardole (Speech Language Pathologist), Denise Schwery (School Psychologist), Carrie Hepperle (Occupational Therapist) and Maureen Salinas (Audiologist). Marta Sandoval was recognized for the great job she is doing with the Spencer CSD. Board Member Development: Chief Herzberg shared the following items: Well-being – We must start with us! “Get your own oxygen first”, Surgeon General To Employers: Ramp up your worker well-being initiatives and Ted Talk – How can we support the emotional well-being of teachers? ; Post-secondary Readiness – Take a look at these results from Mark Shea and the National Clearinghouse data. Shea is working with districts to analyze the different aspects of this data. Advocacy: Chief Herzberg met with Senator Kraayenbrink and Representative Meyer in Fort Dodge on November 11th. The following items were discussed: Privatization of Medicaid; they are working diligently to make sure people were getting paid and services were available; Mental Health Service Regions; wondering if these are working as planned and what the oversight looked like; concerned about the children’s system being placed within; and Herzberg’s advocacy letter her sent to them outlining the following items: Youth Mental Health First Aid and Adverse Childhood Experiences trainings; Social workers in schools adding to the current 21 student max count in Operational Sharing dollars; they need to increase to 24 to make sure schools can afford this important position; Recruitment of mental health to Iowa and especially to rural Iowa; and Spending some of the $289,000,000 reserve fund on mental health. Chief Administrator Herzberg excused himself from the remainder of the meeting. Dawn Crane joined the meeting at 4:35 p.m. by telephone.

https://www.safetyandhealthmagazine.com/articles/19091-surgeon-general-to-employers-ramp-up-your-worker-well-being-initiatives#.Xc2-ErDiLkE.twitter

https://www.safetyandhealthmagazine.com/articles/19091-surgeon-general-to-employers-ramp-up-your-worker-well-being-initiatives#.Xc2-ErDiLkE.twitter

https://www.ted.com/talks/sydney_jensen_how_can_we_support_the_emotional_wellbeing_of_teachers

https://www.ted.com/talks/sydney_jensen_how_can_we_support_the_emotional_wellbeing_of_teachers

https://docs.google.com/spreadsheets/d/12l0O6X5fzmixzp8ry_Fbv-oX_KSG1Q1SrIFYQHrX6VI/edit#gid=0

Chief Administrator Search Planning with GR Consulting Services: the Prairie Lakes AEA Board of Directors met with representatives from GR Consulting Services to discuss the Chief Administrator search process. The Board identified desired leadership characteristics and needs of the Agency. The following timeline was established: November 22nd application process opens; January 6th application process closes; January 6th GR Consulting will meet with the focus groups to identify desired leadership characteristics, needs of the agency, and review the interview process; January 20th GR Consulting will meet with the Board in closed session and present all applicants. The Board will determine the candidates to be invited for interviews; January 27th-28th Candidates will be interviewed by the focus groups and the Board; January 28th GR Consulting will meet with the Board in closed session to select the new Chief Administrator and finalize the employment contract. On a motion by Pat Brown, seconded by Christina Allen, the Board approved the Chief Administrator job description. Motion carried unanimously. On a motion by Todd Lundgren, seconded by Gary Astor, the Board approved the Resolution of Confidentiality. Motion carried unanimously. Upcoming dates: IASB 74th Annual Convention, November 20th-21th, Iowa Events Center, Des Moines; 20th – Delegate Assembly; 21st – Full day conference. The December board meeting is scheduled for Tuesday, December 17, 2019 - 4:00 p.m. Prairie Lakes AEA, 116 S. Thorington, Algona, Iowa. There being no further business, on a motion by Pat Brown, seconded by Todd Lundgren, the Board adjourned at 6:25 p.m.

Board President Board Secretary

PRAIRIE LAKES

AREA EDUCATION AGENCY

INDEPENDENT AUDITOR’S REPORTS

BASIC FINANCIAL STATEMENTS AND

SUPPLEMENTARY INFORMATION

SCHEDULE OF FINDINGS AND QUESTIONED COSTS

June 30, 2019

CONTENTS

OFFICIALS 1

INDEPENDENT AUDITOR’S REPORT 2-4

MANAGEMENT’S DISCUSSION AND ANALYSIS 5-11

BASIC FINANCIAL STATEMENTS Exhibit

Government-Wide Financial Statements:

Statement of Net Position

Statement of Activities

Governmental Fund Financial Statements:

Balance Sheet

Reconciliation of the Balance Sheet –

Governmental Funds to the Statement of Net Position

Statement of Revenues, Expenditures and Changes in

Fund Balances – Governmental Funds

Reconciliation of the Statement of Revenues,

Expenditures and Changes in Fund Balances –

Governmental Funds to the Statement of Activities

Proprietary Fund Financial Statements:

Statement of Net Position

Statement of Revenues, Expenses and Changes in

Fund Net Position

Statement of Cash Flows

Fiduciary Fund Financial Statement:

Statement of Fiduciary Assets and Liabilities – Agency Fund

Notes to Financial Statements

A

B

C

D

E

F

G

H

I

J

12-13

14

15

16

17

18

19

20

21

22

23-41

Required Supplementary Information:

Schedule of Revenues, Expenditures/Expenses and

Changes in Balances – Budget and Actual –

All Governmental Funds

Notes to Required Supplementary Information – Budgetary Reporting

Schedule of the Agency’s Proportionate Share

of the Net Pension Liability

Schedule of Agency Contributions

Notes to Required Supplementary Information – Pension Liability

Schedule of Changes in the Agency’s Total OPEB Liability,

Related Ratios and Notes

42

43

44

45

46

47

CONTENTS

(Continued)

Supplementary Information:

Schedule of Changes in Fiduciary Assets and Liabilities –

Agency Funds

Schedule of Revenues by Source and Expenditures

by Function – All Governmental Funds

Schedule of Expenditures of Federal Awards

Schedule

1

2

3

48

49

50-51

INDEPENDENT AUDITOR’S REPORT

ON INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON

AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN

ACCORDANCE WITH GOVERNMENT AUDITING

STANDARDS

52-53


ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM

AND ON INTERNAL CONTROL OVER COMPLIANCE

REQUIRED BY THE UNIFORM GUIDANCE

54-55

SCHEDULE OF FINDINGS AND QUESTIONED COSTS 56-58

1

PRAIRIE LAKES AREA EDUCATION AGENCY

OFFICIALS

NAME TITLE TERM EXPIRES

Board of Directors

Sue Brown President 2021

Pat Brown

Vacant

Janice Harbaugh

Vice President

Member

Member

2021

2021

2021

Dawn Crane

Todd Lundgren

Christina Allen

Member

Member

Member

2019

2019

2019

Agency

Jeff D. Herzberg Chief Administrator 2019

Michelle R. Dowd Chief Financial Officer/

Board Secretary and

Board Treasurer

2019

SCHNURR & COMPANY, LLP Certified Public Accountants and Consultants

2

Independent Auditor's Report

To the Board of Directors of Prairie Lakes Area Education Agency Fort Dodge, Iowa Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business type activities, each major fund and the aggregate remaining fund information of Prairie Lakes Area Education Agency as of and for the year ended June 30, 2019, and the related Notes to Financial Statements, which collectively comprise the Agency’s basic financial statements listed in the table of contents. Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with U.S. generally accepted accounting principles. This includes the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with U.S. generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Agency’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Agency’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.

3

Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business type activities, each major fund and the aggregate remaining fund information of Prairie Lakes Area Education Agency as of June 30, 2019, and the respective changes in its financial position and, where applicable, its cash flows thereof for the year then ended in accordance with U.S. generally accepted accounting principles. Other Matters Required Supplementary Information U.S. generally accepted accounting principles require Management’s Discussion and Analysis, the Budgetary Comparison Information, the Schedule of the Agency’s Proportionate Share of the Net Pension Liability, the Schedule of Agency Contributions and the Schedule of Changes in the Agency’s Total OPEB Liability, Related Ratios and Notes on pages 5 through 11 and 42 through 47 be presented to supplement the basic financial statements. Such information, although not a required part of the basic financial statements, is required by the Governmental Accounting Standards Board which considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with U.S. generally accepted auditing standards, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise Prairie Lakes Area Education Agency’s basic financial statements. We previously audited, in accordance with the standards referred to in the third paragraph of this report, the financial statements for the nine years ended June 30, 2018 (which are not presented herein) and expressed unmodified opinions on those financial statements. The supplementary information included in Schedules 1 through 3, including the Schedule of Expenditures of Federal Awards required by Title 2, U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance) is presented for purposes of additional analysis and is not a required part of the basic financial statements. The supplementary information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with U.S. generally accepted auditing standards. In our opinion, the supplementary information is fairly stated in all material respects in relation to the basic financial statements taken as a whole.

4

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated December 14, 2019 on

our consideration of Prairie Lakes Area Education Agency’s internal control over financial reporting and our tests

of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters.

The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting

and compliance and the results of that testing and not to provide an opinion on the effectiveness of Prairie Lakes

Area Education Agency’s internal control over financial reporting or on compliance. That report is an integral

part of an audit performed in accordance with Government Auditing Standards in considering Prairie Lakes Area

Education Agency’s internal control over financial reporting and compliance.

Fort Dodge, Iowa

December 14, 2019


MANAGEMENT’S DISCUSSION AND ANALYSIS

5

Prairie Lakes Area Education Agency provides this Management’s Discussion and Analysis of its financial

statements. This narrative overview and analysis of the financial activities is for the fiscal year ended June 30,

2019. We encourage readers to consider this information in conjunction with the Agency’s financial statements,

which follow.

2019 FINANCIAL HIGHLIGHTS • General Fund revenues increased from $24,467,713 in fiscal year 2018 to $24,516,134 in fiscal year 2019.

The increase in General Fund revenues was attributable to an increase in state and federal grant revenue in fiscal year 2019.

• General Fund expenditures decreased from $23,701,032 in fiscal year 2018 to $23,487,749 in fiscal year 2019. The decrease in expenditures was due primarily to the agency not being fully staffed in hard-to-fill positions.

• The Agency’s General Fund balance increased from $3,518,162 at the end of fiscal year 2018 to $4,438,908 at the end of fiscal year 2019, a 26.2% increase. One reason the General Fund balance increased is because the Agency was unable to fill several open positions in hard-to-fill areas of service.

USING THIS ANNUAL REPORT

The annual report consists of a series of financial statements and other information, as follows:

• Management’s Discussion and Analysis introduces the basic financial statements and provides an analytical overview of the Agency’s financial activities.

• The Government-wide Financial Statements consist of a Statement of Net Position and a Statement of Activities. These provide information about the activities of Prairie Lakes Area Education Agency as a whole and present an overall view of the Agency’s finances.

• The Fund Financial Statements tell how governmental services were financed in the short term as well as what remains for future spending. Fund financial statements report the Agency’s operations in more detail than the government-wide financial statements by providing information about the most significant funds.

• Notes to Financial Statements provide additional information essential to a full understanding of the data provided in the basic financial statements.

• Required Supplementary Information further explains and supports the financial statements with a comparison of the Agency’s budget for the year, the Agency’s proportionate share of the net pension liability and related contributions, as well as presenting the Schedule of Changes in the Agency’s Total OPEB Liability, Related Ratios and Notes.

• Supplementary Information includes the Schedule of Expenditures of Federal Awards which provides details of various federal programs benefiting the Agency.


6

USING THIS ANNUAL REPORT (Continued)

Reporting the Agency’s Financial Activities

Government-wide Financial Statements

The government-wide statements report information about the Agency as a whole using accounting methods

similar to those used by private-sector companies. The Statement of Net Position includes all of the Agency’s

assets, deferred outflow of resources, liabilities and deferred inflow of resources, with the difference reported as

net position. All of the current year revenues and expenses are accounted for in the Statement of Activities

regardless of when cash is received or paid.

The two government-wide statements report the Agency’s net position and how it has changed. Net position is

one way to measure the Agency’s financial health or financial position. Over time, increases or decreases in the

Agency’s net position is an indicator of whether financial position is improving or deteriorating. To assess the

Agency’s overall health, additional non-financial factors, such as changes in the Agency’s property tax base and

the condition of its facilities, need to be considered.

In the government-wide financial statements, the Agency’s activities consist of the following:

• Governmental activities: Most of the Agency’s basic services are included here, such as regular and special

education instruction, student and instructional staff support services and administration. Local school

districts, federal and state aid finance most of these activities.

• Business type activities: The Agency charges fees to help cover the costs of certain services it provides.

The Agency’s partial self-funded health insurance program is included here.

Fund Financial Statements

The fund financial statements provide detailed information about the Agency’s funds, focusing on its most

significant or “major” funds – not the Agency as a whole. Funds are accounting devices the Agency uses to

keep track of specific sources of funding and spending on particular programs.

Some funds are required by state law or by bond covenants. The Agency establishes other funds to control and

manage money for particular purposes, such as accounting for major construction projects or to show it is

properly using certain revenues, such as federal grants.

The Agency has three kinds of funds:

• Governmental funds account for most of the Agency’s basic services. These focus on how cash and other

financial assets readily converted to cash flow in and out and the balances left at year-end available for

spending. Consequently, the governmental fund financial statements provide a detailed short-term view

that helps determine whether there are more or fewer financial resources that can be spent in the near future

to finance the Agency’s programs. The Agency’s governmental funds include: 1) the General Fund and 2)

the Special Revenue Funds.

The required financial statements for governmental funds include a Balance Sheet and a Statement of

Revenues, Expenditures and Changes in Fund Balances.


7

USING THIS ANNUAL REPORT (Continued)

Reporting the Agency’s Financial Activities (continued)

Fund Financial Statements (continued)

• Proprietary funds account for services for which the Agency charges a fee. Proprietary funds are reported

in the same way as the government-wide financial statements. The Agency’s Enterprise Fund, one type of

proprietary fund, is the same as its business type activities but provides more detail and additional

information, such as cash flows. The Agency currently has one Enterprise Fund, the Partial Self-Funded

Health Insurance Fund.

The required financial statements for proprietary funds include a Statement of Net Position, a Statement of

Revenues, Expenses and Changes in Fund Net Position and a Statement of Cash Flows.

• Fiduciary funds are funds through which the Agency administers and accounts for certain federal and/or

state grants as a fiscal agent. The Agency is responsible for ensuring the assets reported in the fiduciary

funds are used only for their intended purposes and by those to whom the assets belong. The Agency

excludes these activities from the government-wide financial statements because it cannot use these assets

to finance its operations.

The required financial statement for fiduciary funds is a Statement of Fiduciary Assets and Liabilities.

Reconciliations between the government-wide financial statements and the governmental fund financial

statements follow the governmental fund financial statements.


8

GOVERNMENT-WIDE FINANCIAL ANALYSIS

As noted earlier, net position may serve, over time, as a useful indicator of financial position. Prairie Lakes Area

Education Agency’s net position at the end of fiscal year 2019 totaled approximately ($3.4) million. This

compared to approximately ($4.0) million at the end of fiscal year 2018. The following analysis focuses on the

net position and changes in net position:

2019 2018

Current and other assets 7,457 $ 7,215 $

Capital assets 4,604 4,721

Total assets 12,061 11,936

Deferred outflows of resources 3,616 4,307

Long-term liabilities 14,269 14,829

Other liabilities 2,970 3,697

Total liabilities 17,239 18,526

Deferred inflows of resources 1,811 1,730

Net position:

Net investment in capital assets 4,604 4,721

Restricted 410 188

Unrestricted (8,387) (8,921)

Total net position (3,373) $ (4,012) $

June 30

Condensed Statement of

Net Position

(Expressed in Thousands)

Governmental Activities

The Agency’s total net position increased by 15.9%, or approximately $639,000 from fiscal year 2018. The

increase occurred as a result of the changes in measuring the net position liability, during the year ended June 30,

2019.


9

GOVERNMENT-WIDE FINANCIAL ANALYSIS (Continued)

The following analysis details the changes in net position resulting from the Agency’s activities:

2019 2018

Revenues:

Program revenues:

Charges for service 1,991 $ 1,978 $

Operating grants and contributions 11,040 11,105

General revenues:

Property tax 6,487 6,395

State foundation aid 6,241 6,211

Unrestricted investment earnings - 1

Total revenues 25,759 25,690

Expenditures/Expenses:

Instruction 1,059 1,026

Student support services 15,850 15,443

Instructional staff support services 3,518 3,495

General administration 642 506

Business administration 1,847 2,444

Plant operations and maintenance 748 812

Central and other support services 1,334 1,304

Long-term debt interest - 18

Non-instructional programs 122 -

Total expenses 25,120 25,048

Change in net position 639 642

Net position beginning of year (4,012) (4,654)

Net position end of year (3,373) $ (4,012) $


June 30

Changes in Net Position

(Expressed in Thousands)

Property tax and state foundation aid account for 49.4% of the total revenue while operating grants and

contributions from local, state and federal sources and charges for service account for 50.6% of the total revenue.

The Agency’s expenses primarily relate to instruction and student and instructional staff support services, which

account for 81.3% of the total expenses.


Revenues for governmental activities were $25,758,678 and expenses were $25,119,551. In a difficult budget year, the Agency was able to use some of the carryover balances to pay for the additional services offered to and needed by local school districts.


10

INDIVIDUAL FUND ANALYSIS

As previously noted, Prairie Lakes Area Education Agency uses fund accounting to ensure and demonstrate

compliance with finance-related legal requirements.

The Agency’s governmental funds reported combined fund balances of $4,438,908, which were $920,746 above

last year’s ending fund balances of $3,518,162. The primary reason for the increase in combined fund balances

at the end of fiscal year 2019 was the Agency’s inability to fill several open positions in hard-to-fill areas of

service.

Governmental Fund Highlights

• The Agency’s increasing General Fund financial position is the product of many factors, including the

Agency’s inability to fill several open positions in hard-to-fill areas of service.

• The General Fund balance increased from $3,518,162 to $4,438,908 due to an increase in state and federal

grant revenue and not being fully staffed in hard-to-fill positions.

• The Special Revenue, Special Education Instruction Fund revenues and expenditures remained consistent

when compared to the prior year, $976,182 in fiscal year 2018, versus $985,083 in fiscal year 2019. The

ending fund balance continues to be $0.

Propriety Fund Highlights

• The Partial Self-Funded Health Insurance Fund’s net position was $48,141 at June 30, 2019. The Agency

underfunded the program in 2019 and claims paid out were $59,498 more than funding.

BUDGETARY HIGHLIGHTS

Over the course of the year, the Agency amended its budget once to reflect additional revenues and expenditures associated with the additional services needed and provided to the local school districts.

The Agency’s total revenues were $123,683 less than total budgeted revenues, a variance of less than 1%. Total expenditures were $1,152,068 less than budgeted, a variance of 4.5%.

A schedule showing the original and final budget amounts compared to the Agency’s actual financial activity is included in the Required Supplementary Information section of this report.


11

CAPITAL ASSETS AND DEBT ADMINISTRATION

Capital Assets

At June 30, 2019, the Agency had invested approximately $4.6 million, net of accumulated depreciation, in a broad range of capital assets, including land, buildings, computers and audio-visual equipment. This is a net decrease of approximately $100,000 over last year. This decrease was primarily due to the disposal of lending library materials, many of which have been replaced electronically

Prairie Lakes Area Education Agency had depreciation expense of $275,658 in fiscal year 2019. Detailed information about capital assets is presented in Note 3 to the financial statements.

Long-Term Debt

At June 30, 2019, the Agency had no long-term debt outstanding

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

At the time these financial statements were prepared and audited, the Agency was aware of several existing circumstances that could significantly affect its financial health in the future:

• The agency has experienced an increase in the number of students being served by its programs in the past

year. A slight increase in enrollment is expected in FY 2021.

• State and federal funding levels continue to be an area of concern for the AEA’s throughout the state. For

FY 2020, the supplemental state aid was set by legislature at 2.06% and they did not take action for setting

the rate for FY 2021 as required by law. The statewide AEA system also received a targeted $22.5 million

reduction in FY 2020, which equates to a funding cut of $1,126,146 for the Agency. At this time the

Agency does not know if this reduction will continue for the 2021 fiscal year.

• The Agency has been notified to expect little or no increase in Federal IDEA funding for the immediate

future.

CONTACTING THE AGENCY’S FINANCIAL MANAGEMENT

This financial report is designed to provide the Agency’s citizens, taxpayers, customers, investors and creditors with a general overview of the Agency’s finances and to demonstrate the Agency’s accountability for the money it receives. If you have questions about this report or need additional financial information, contact the Chief Financial Officer’s Office of Prairie Lakes Area Education Agency, 1235 5th Ave South, Fort Dodge, Iowa 50501.

BASIC FINANCIAL STATEMENTS

12

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit A

June 30, 2019

Governmental

Activities

Assets

Cash 4,476,947 $

Receivables:

Accounts 269,221

Due from other governments 2,679,013

Inventories 31,788

Land 157,212

Capital assets, net of accumulated depreciation 4,447,284

Total assets 12,061,465

Deferred Outflows of Resources

Pension related deferred outflows 3,536,413

OPEB related deferred outflows 79,237

3,615,650

Liabilities

Accounts payable 282,883

Salaries and benefits payable 2,522,418

Advances from grantors 164,619

Long-term liabilities:

Portion due or payable within one year:

Compensated absences 58,800

Early retirement obligation 62,203

Portion due or payable after one year:

Early retirement obligation 113,617

Net pension liability 12,331,708

Total OPEB liability 1,702,589

Total liabilities 17,238,837

Deferred Inflows of Resources

Pension related deferred inflows 1,810,982

1,810,982

STATEMENT OF NET POSITION

(Continued on next page)

13

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit A

(Continued)

June 30, 2019

Governmental

Activities

Net Position

Net investment in capital assets 4,604,496 $

Restricted for:

Inventory 31,788

Categorical funding 78,553

Capital projects 300,000

Unrestricted (8,387,541)

Total net position (3,372,704) $

See Notes to Financial Statements.



STATEMENT OF ACTIVITIES

Year Ended June 30, 2019

Expenses

Charges for

Service

Operating Grants

and

Contributions

Functions/Programs:

Governmental Activities:

Instruction 1,059,178 $ 942,311 $ 300,233 $

Student support services 15,849,714 - 9,968,929

Instructional staff support services 3,517,692 648,498 665,055

General administration 641,774 30,000 -

Business administration 1,847,493 90,000 -

Plant operations and maintenance 747,951 - -

Central and other support services 1,333,521 280,378 105,978

Non-instructional programs 122,228 - -

Total governmental activities 25,119,551 $ 1,991,187 $ 11,040,195 $

General Revenues:

Property tax levied for general purposes

State Foundation aid

Total general revenues

Change in net position

Net position beginning of year

Net position end of year


Program Revenues

14

Exhibit B

Governmental

Activities Total

183,366 $ 183,366 $

(5,880,785) (5,880,785)

(2,204,139) (2,204,139)

(611,774) (611,774)

(1,757,493) (1,757,493)

(747,951) (747,951)

(947,165) (947,165)

(122,228) (122,228)

(12,088,169) (12,088,169)

6,486,481 6,486,481

6,240,815 6,240,815

12,727,296 12,727,296

639,127 639,127

(4,011,831) (4,011,831)

(3,372,704) $ (3,372,704) $

Net (Expense) Revenue

and Changes in Net Position


BALANCE SHEET - GOVERNMENTAL FUNDS

June 30, 2019

General

Special

Education

Instruction

Assets

Cash 4,349,187 $ -$

Receivables:

Accounts 234,101 35,120

Due from other governments 2,251,579 427,434

Due from other funds 340,573 -

Inventories 31,788 -

Total assets 7,207,228 $ 462,554 $

Liabilities and Fund Balances

Liabilities:

Accounts payable 281,970 $ -$

Salaries and benefits payable 2,363,959 121,981

Advances from grantors 122,391 -

Due to other funds - 340,573

Total liabilities 2,768,320 462,554

Fund Balances:

Nonspendable:

Inventories 31,788 -

Restricted for:

Categorical funding 78,553 -

Committed for:

Compensated absences 58,800 -

Early retirement obligation 716,275 -

Capital projects 300,000 -

Unassigned 3,253,492 -

Total fund balances 4,438,908 -

Total liabilities and fund balances 7,207,228 $ 462,554 $


Special Revenue

15

Exhibit C

Juvenile

Home Total

78,940 $ 4,428,127 $

- 269,221

- 2,679,013

- 340,573

- 31,788

78,940 $ 7,748,722 $

234 $ 282,204 $

36,478 2,522,418

42,228 164,619

- 340,573

78,940 3,309,814

- 31,788

- 78,553

- 58,800

- 716,275

- 300,000

- 3,253,492

- 4,438,908

78,940 $ 7,748,722 $

Special Revenue

16

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit D

June 30, 2019

Total governmental fund balances (page 15) 4,438,908 $

Amounts reported for governmental activities in the Statement of

Net Position are different because:

Capital assets used in governmental activities are not current financial

resources and, therefore, are not reported in the governmental funds.

The cost of capital assets is $8,417,832 and the accumulated

depreciation is $3,813,336. 4,604,496

Pension and OPEB related deferred outflows of resources and deferred

inflows of resources are not due and payable in the current year and,

therefore, are not reported in the governmental funds, as follows:

Deferred outflows of resources 3,615,650 $

Deferred inflows of resources (1,810,982) 1,804,668

Long-term liabilities, including early retirement, compensated absences,

total OPEB liability and net pension liability, are not due and payable in

the current year and, therefore, are not reported in the governmental

funds. (14,268,917)

Internal Service Funds are used by management to charge the costs of

certain services to individual funds. The assets and liabilities of the

Internal Service Fund are included in governmental activities in the

Statement of Net Position, as follows:

Current assets 48,820

Current liabilities (679) 48,141

Net position of governmental activities (page 13) (3,372,704) $


RECONCILIATION OF THE BALANCE SHEET--

GOVERNMENTAL FUNDS TO THE STATEMENT OF NET POSITION



General

Special

Education

Instruction

Revenues:

Local sources 7,535,357 $ 942,311 $

State sources 7,981,038 42,772

Federal sources 8,999,739 -

Total revenues 24,516,134 985,083

Expenditures:

Current:

Instruction 13,350 782,737

Student support services 15,470,523 202,346

Instructional staff support services 3,386,156 -

General administration 623,182 -

Business administration 1,840,438 -

Plant operations and maintenance 725,335 -

Central and other support services 1,306,537 -

Non-instructional programs 122,228 -

Total expenditures 23,487,749 985,083

Excess of revenues over expenditures 1,028,385 -

Other financing sources (uses):

Transfers out (107,639) -

Total other financing sources (uses) (107,639) -

Change in fund balances 920,746 -

Fund balances, beginning of year 3,518,162 -

Fund balances, end of year 4,438,908 $ -$


STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN

FUND BALANCES -- GOVERNMENTAL FUNDS

Special Revenue

17

Exhibit E

Juvenile

Home Total

-$ 8,477,668 $

257,461 8,281,271

- 8,999,739

257,461 25,758,678

257,461 1,053,548

- 15,672,869

- 3,386,156

- 623,182

- 1,840,438

- 725,335

- 1,306,537

- 122,228

257,461 24,730,293

- 1,028,385

- (107,639)

- (107,639)

- 920,746

- 3,518,162

-$ 4,438,908 $

Special Revenue

18

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit F


Change in fund balances - Total governmental funds (page 17) 920,746 $

Amounts reported for governmental activities in the Statement of

Activities are different because:

Governmental funds report capital outlays as expenditures while

governmental activities report depreciation expense to allocate those

expenditures over the estimated useful lives of the assets. Depreciation

expense exceeded capital outlay expenditures in the current year, as

follows:

Expenditures for capital assets 252,142 $

Depreciation expense (275,658) (23,516)

In the Statement of Activities, the loss on the disposition of capital

assets is reported, whereas in the governmental funds, the proceeds

from the sale increase financial resources. (93,457)

Internal Service Funds are used by management to charge the costs of

certain activities to individual funds. The chanage in net position of the

Internal Service Fund is reported with governmental activites. 48,141

The current year Agency IPERS contributions are reported as

expenditures in the governmental funds, but are reported as a deferred

outflow of resources in the Statement of Net Position. 1,408,258

Some expenses reported in the Statement of Activities do not require the

use of current financial resources and, therefore, are not reported as

expenditures in the governmental funds, as follows:

Compensated absences (12,193)

Pension expense (1,616,785)

Early retirement 71,090

OPEB expense (63,157) (1,621,045)

Change in net position of governmental activities (page 14) 639,127 $


RECONCILIATION OF THE STATEMENT OF REVENUES,

EXPENDITURES AND CHANGES IN FUND BALANCES --

GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES

19

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit G

PROPRIETARY FUND

June 30, 2019

Governmental

Activities

Partial Self

Funding

Current Assets

Cash 48,820 $

Total current assets 48,820

Current Liabilities

Accounts payable 679

Total current liabilities 679

Net Position, Unrestricted 48,141 $



20

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit H

PROPRIETARY FUND

June 30, 2019

Governmental

Activities

Partial Self

Funding

Operating revenues:

Charges for service 161,351 $

Operating expenses:

Claims and administration 220,849

Operating loss (59,498)

Other financial sources (uses):

Transfers in 107,639

Increase in net position 48,141

Net position beginning of year -

Net position end of year 48,141 $


STATEMENT OF REVENUES, EXPENSES AND CHANGES IN

FUND NET POSITION

21

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit I

PROPRIETARY FUND

June 30, 2019

Governmental

Activities

Partial Self

Funding

Cash flows from operating activities:

Cash received from customers 268,990 $

Claims and administrative costs paid (220,170)

Net cash provided by operating activites 48,820

Cash beginning of year -

Cash end of year 48,820 $

Reconciliation of increase in net position to

net cash provided by operating activites:

Increase in net position 48,141 $

Adjustments to reconcile increase in net poisition to

net cash provided by operating activites:

Decrease in accounts payable 679

Net cash provided by operating activities 48,820 $



STATEMENT OF CASH FLOWS

22

PRAIRIE LAKES AREA EDUCATION AGENCY Exhibit J

AGENCY FUND

June 30, 2019

Assets

Cash 64,240 $

Total assets 64,240

Liabilities

Due to other governments 64,240

Total liabilities 64,240 $


STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES -


NOTES TO FINANCIAL STATEMENTS

23

Note 1. Summary of Significant Accounting Policies

Prairie Lakes Area Education Agency is an intermediate school corporation established to identify and serve

children who require special education. The Agency also provides media services and education support services.

These programs and support services are provided to 39 school districts and 11 accreditable non-public schools

in a 14-county area. The Agency is governed by a Board of Directors whose members are elected on a non-

partisan basis.

The Agency’s financial statements are prepared in conformity with U.S. generally accepted accounting principles

as prescribed by the Governmental Accounting Standards Board.

A. Reporting Entity:

For financial reporting purposes, Prairie Lakes Area Education Agency has included all funds, organizations,

agencies, boards, commissions and authorities. The Agency has also considered all potential component units

for which it is financially accountable and other organizations for which the nature and significance of their

relationship with the Agency are such that exclusion would cause the Agency's financial statements to be

misleading or incomplete. The Governmental Accounting Standards Board has set forth criteria to be

considered in determining financial accountability. These criteria include appointing a voting majority of an

organization's governing body and (1) the ability of the Agency to impose its will on that organization or (2)

the potential for the organization to provide specific benefits to or impose specific financial burdens on the

Agency. The Agency has no component units that meet the Governmental Accounting Standards Board

criteria.

B. Basis of Presentation:

Government-wide Financial Statements – The Statement of Net Position and the Statement of Activities report

information on all of the activities of the Agency. For the most part, the effect of interfund activity has been

removed from these statements. Governmental activities, which normally are supported by inter-

governmental revenues, are reported separately from business type activities, which rely to a significant extent

on fees and charges for support.

The Statement of Net Position presents the Agency’s nonfiduciary assets, deferred outflows of resources,

liabilities, and deferred inflows of resources, with the difference reported as net position. Net position is

reported in the following categories:

Net investment in capital assets consists of capital assets, net of accumulated depreciation and reduced by

outstanding balances for bonds, notes, and other debt attributable to the acquisition, construction, or

improvement of those assets.

Restricted net position results when constraints placed on net position use are either externally imposed

or are imposed by law through constitutional provisions or enabling legislation. Enabling legislation did

not result in any restricted net position.

Unrestricted net position consists of net position not meeting the definition of the preceding categories.

Unrestricted net position is often subject to constraints imposed by management which can be removed or

modified.


24

Note 1. Summary of Significant Accounting Policies (Continued)

B. Basis of Presentation (Continued):

Government-wide Financial Statements (continued) – The Statement of Activities demonstrates the degree to

which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are

those clearly identifiable with a specific function. Program revenues include 1) charges to customers or

applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given

function and 2) grants and contributions restricted to meeting the operational or capital requirements of a

particular function. Unrestricted interest income and other items not properly included among program

revenues are reported instead as general revenues.

Fund Financial Statements – Separate financial statements are provided for governmental funds and

proprietary funds. Major individual governmental funds are reported as separate columns in the fund financial

statements. All remaining governmental funds are aggregated and reported as nonmajor governmental funds.

The Agency reports the following major governmental funds:

The General Fund is the general operating fund of the Agency. All general revenues and other revenues not

allocated by law or contractual agreement to some other fund are accounted for in this fund. From the fund

are paid the general operating expenditures, including instructional, support and other costs.

The Special Revenue Fund is used to account for programs where the Agency employs teachers to provide

instruction to special education pupils. The actual costs of providing instructional services to the pupils are

billed to the individual school districts.

The Agency also reports the following proprietary fund:

The Agency’s proprietary fund is the Enterprise, Partial Self-Funded Health Insurance Fund. This fund is

used to account for the partial self-funded health insurance activities for the Agency.

The Agency also reports the following fiduciary fund:

The Agency Fund is used to account for assets held by the Agency as an agent for individuals, private

organizations and other governments. The Agency Fund is custodial in nature, assets equal liabilities, and

does not involve measurement of results of operations.


25


C. Measurement Focus and Basis of Accounting:

The Government-wide financial statements and the proprietary fund financial statement are reported using the

economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when

earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows.

Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the

provider have been satisfied.

Governmental fund financial statements are reported using the current financial resources measurement focus

and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable

and available. Revenues are considered to be available when they are collectible within the current year or

soon enough thereafter to pay liabilities of the current year. For this purpose, the Agency considers revenues

to be available if they are collected within 60 days after year-end.

Intergovernmental revenues (shared revenues, grants and reimbursements from other governments) and

interest associated with the current year are all considered to be susceptible to accrual. All other revenue items

are considered to be measurable and available only when cash is received by the Agency.

Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However,

principal and interest on long-term debt, claims and judgments and compensated absences are recognized as

expenditures only when payment is due. Capital asset acquisitions are reported as expenditures in

governmental funds. Proceeds of general long-term debt and acquisitions under capital leases are reported as

other financing sources.

Under the terms of grant agreements, the Agency funds certain programs by a combination of specific cost-

reimbursement grants and general revenues. Thus, when program expenses are incurred, there are both

restricted and unrestricted net position available to finance the program. It is the Agency’s policy to first apply

cost-reimbursement grant resources to such programs and then general revenues.

When an expenditure is incurred in governmental funds that can be paid using either restricted or unrestricted

resources, the Agency’s policy is to pay the expenditure from the restricted fund balance and then from less-

restrictive classifications – committed, assigned, and then unassigned fund balances.

Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues

and expenses generally result from providing services and producing and delivering goods in connection with

a proprietary fund’s principal ongoing operations. The principal operating revenues of the Agency’s

Enterprise Fund is charges to customers for services. Operating expenses for the Enterprise Fund include

claims and administrative expenses. All revenues and expenses not meeting this definition are reported as

non-operating revenues and expenses.


26


D. Assets, Deferred Outflows of Resources, Liabilities, Deferred Inflows of Resources and Fund Balance/

Net Position:

Cash – Cash includes amounts in demand deposits and money market funds.

For purposes of the statement of cash flows, all short-term cash investments that are highly liquid are

considered to be cash equivalents. Cash equivalents are readily convertible to known amounts of cash and, at

the day of purchase, have a maturity date no longer than three months.

Inventories – Inventories are stated at cost using the first-in, first-out method and consist of expendable

supplies and materials. The cost of these items is recorded as an expenditure at the time of consumption.

Capital Assets – Capital assets, which include property, furniture and equipment are reported in the

government-wide Statement of Net Position. Capital assets are recorded at historical cost if purchased or

constructed. Donated capital assets are recorded at acquisition value. Acquisition value is the price that would

have been paid to acquire a capital asset with equivalent service potential. The costs of normal maintenance

and repair that do not add to the value of the asset or materially extend asset lives are not capitalized.

Reportable capital assets are defined by the Agency as assets with an initial, individual cost in excess of the

following thresholds and estimated useful lives in excess of two years.

Asset Class Amount

Land No lower limit

Buildings 5,000 $

Building improvements 5,000

Vehicles 5,000

Furniture and equipment 5,000

Library books Aggregated annual purchases

Capital assets of the Agency are depreciated using the straight-line method of depreciation over the following

estimated useful lives:

Asset Class

Estimated

Useful Lives

(In Years)

Buildings 50

Building improvements 20

Vehicles 5

Furniture and equipment 10

Library books 5

Deferred Outflows of Resources – Deferred outflows of resources represent a consumption of net position

applicable to a future year(s) which will not be recognized as an outflow of resources (expense/expenditure)

until then. Deferred outflows of resources consist of unrecognized items not yet charged to pension and OPEB

expense and contributions from the Agency after the measurement date, but before the end of the Agency’s

reporting period.


27



Net Position (Continued):

Salaries and Benefits Payable – Payroll and related expenses for all licensed staff with annual contracts

corresponding to the current school year, which are payable in July and August, have been accrued as

liabilities.

Advances from Grantors – Grant proceeds which have been received by the Agency but will be spent in a

succeeding fiscal year.

Compensated Absences – Agency employees accumulate a limited amount of earned but unused vacation

hours for subsequent use or for payment upon termination, death or retirement. A liability has been recorded

in the Statement of Net Position representing the Agency’s commitment to fund non-current compensated

absences. This liability has been computed based on rates of pay in effect at June 30, 2019. The compensated

absences liability attributable to the governmental activities will be paid primarily by the General and Special

Revenue Funds.

Long-term Liabilities – In the government-wide financial statements, long-term obligations are reported as

liabilities in the governmental activities column in the Statement of Net Position.

Pensions – For purposes of measuring the net pension liability, deferred outflows of resources, deferred

inflows of resources related to pensions, and pension expense, information about the fiduciary net position of

the Iowa Public Employees’ Retirement System (IPERS) and additions to/deductions from IPERS’ fiduciary

net position have been determined on the same basis as they are reported by IPERS. For this purpose, benefit

payments (including refunds of employee contributions) are recognized when due and payable in accordance

with the benefit terms. Investments are reported at fair value. The net pension liability attributable to the

governmental activities will be paid primarily by the General and Special Revenue Funds.

Total OPEB Liability – For purposes of measuring the total OPEB liability, deferred outflows of resources to

OPEB and OPEB expense, information has been determined based on the Prairie Lakes Area Education

Agency’s actuary report. For this purpose, benefit payments are recognized when due and payable in

accordance with the benefit terms. The total OPEB liability attributable to the governmental activities will be

paid primarily by the General and Special Revenue Funds.

Deferred Inflows of Resources – Deferred inflows of resources represents an acquisition of net position

applicable to a future year(s) which will not be recognized as an inflow of resources (revenue) until that time.

Although certain revenues are measurable, they are not available. Available means collected within the

current year or expected to be collected soon enough thereafter to be used to pay liabilities of the current year.

Deferred inflows of resources in the governmental fund financial statements represent the amount of assets

that have been recognized, but the related revenue has not been recognized since the assets are not collected

within the current year or expected to be collected soon enough thereafter to be used to pay liabilities of the

current year. Deferred inflows of resources consist of receivables not collected within 60 days after year end.


28



Net Position (Continued):

Deferred Inflows of Resources (continued) – Deferred inflows of resources in the Statement of Net Position

consist of the unamortized portion of the net difference between projected and actual earnings on pension plan

investments.

Fund Balances – In the governmental fund financial statements, fund balances are classified as follows:

Nonspendable – Amounts which cannot be spent because they are in a nonspendable form or because they

are legally or contractually required to be maintained intact.

Restricted – Amounts restricted to specific purposes when constraints placed on the use of the resources

are either externally imposed by creditors, grantors or state or federal laws or are imposed by law through

constitutional provisions or enabling legislation.

Committed – Amounts which can be used only for specific purposes determined pursuant to constraints

formally imposed by the Board of Directors through resolution approved prior to year-end. Committed

amounts cannot be used for any other purpose unless the Board of Directors removes or changes the

specified use by taking the same action it employed to commit these amounts.

Unassigned – All amounts not included in the preceding classifications.

E. Budgets and Budgetary Accounting

The budgetary comparison and related disclosures are reported as Required Supplementary Information.

F. Subsequent Events

Subsequent events have been evaluated through December 14, 2019, which is the date the financial statements

were available to be issued. Events occurring after that date have not been evaluated to determine whether a

change in the financial statements would be required.

Note 2. Cash

The Agency's deposits in banks at June 30, 2019, were entirely covered by Federal depository insurance or by the

state sinking fund in accordance with Chapter 12C of the Code of Iowa. This chapter provides for additional

assessments against the depositories to ensure there will be no loss of public funds.

The Agency is authorized by statute to invest public funds in obligations of the United States government, its

agencies and instrumentalities; certificates of deposit or other evidences of deposit at federally insured depository

institutions approved by the Board of Directors; prime eligible bankers acceptances; certain high rated commercial

paper; perfected repurchase agreements; certain registered open-end management investment companies; certain

joint investment trusts; and warrants or improvement certificates of a drainage district.


29

Note 2. Cash (Continued)

Interest Rate Risk – The Agency’s investment policy limits the investment of operating funds (funds expected to

be expended in the current budget year or within 15 months of receipt) to instruments that mature within 397 days.

Funds not identified as operating funds may be invested in investments with maturities longer than 397 days, but

the maturities shall be consistent with the needs and use of the Agency.

Custodial Credit Risk – All invested assets of the Agency involving the use of public funds custodial agreement,

as defined in Section 452.10 of the Iowa Code, shall comply with all rules adopted pursuant to Section 452.10C

and any replacement section. All custodial agreements shall be in writing and contain a provision that custodial

services be provided in accordance with the laws of the state of Iowa.

Note 3. Capital Assets

Capital assets activity for the year ended June 30, 2019 was as follows:

Balance

Beginning

of Year Additions Deletions

Balance

End of

Year

Governmental activities:

Capital assets not being depreciated:

Land 157,212 $ -$ -$ 157,212 $

Total capital assets not

being depreciated 157,212 - - 157,212

Capital assets being depreciated:

Buildings and improvements 5,421,142 103,240 - 5,524,382

Furniture and equipment 1,889,329 118,983 - 2,008,312

Vehicles 134,204 - - 134,204

Library books and films 937,630 29,919 373,827 593,722

Total capital assets being depreciated 8,382,305 252,142 373,827 8,260,620

Less accumulated depreciation for:

Buildings and improvements 1,822,361 129,945 - 1,952,306

Furniture and equipment 1,204,106 114,158 - 1,318,264

Vehicles 89,201 10,490 - 99,691

Library books and films 702,380 21,065 280,370 443,075

3,818,048 275,658 280,370 3,813,336

Total capital assets being

depreciated, net 4,564,257 (23,516) 93,457 4,447,284

Governmental activities

capital assets, net 4,721,469 $ (23,516) $ 93,457 $ 4,604,496 $


30

Note 3. Capital Assets (Continued)

Depreciation expense was charged to the following functions:

Governmental activities:

Student support services 36,384 $

Instructional staff support services 17,107

General administration 10,325

Building administration 53,852

Plant operations and maintenance 147,500

Central and other support services 10,490

Total depreciation expense -

governmental activities 275,658 $

Note 4. Long-term Liabilities

A summary of changes in long-term liabilities for the year ended June 30, 2019 is as follows:

Balance

Beginning

of Year Additions Reductions

Balance

End

of Year

Due

Within

One Year

Compensated absences 46,607 $ 23,080 $ 10,887 $ 58,800 $ 58,800 $

Early retirement obligation 246,910 - 71,090 175,820 62,203

Net pension liability 13,000,609 - 668,901 12,331,708 -

Total OPEB liability 1,535,238 294,777 127,426 1,702,589 -

14,829,364 $ 317,857 $ 878,304 $ 14,268,917 $ 121,003 $

Early Retirement Obligation:

In December, 2015, the Agency approved a voluntary early retirement plan for employees. Eligible employees

must have completed at least ten years of full-time service to the Agency and must have reached the age of fifty-

nine or meet the Iowa Public Employees’ Retirement System “Rule of 88” prior to August 31, 2016. The

application for early retirement is subject to approval by the Board of Directors.

Early retirement benefits are equal to $7,617 paid toward health insurance premiums.

Early retirement benefits will be paid in monthly installments for the lesser of six years or the employee reaching

Medicare eligibility.

At June 30, 2019, the Agency has obligations to 10 participants with a total liability of $175,820. Actual early

retirement expenditures for the year ended June 30, 2019 totaled $71,090.


31

Note 5. Operating Leases

The Agency has leased various facilities within the area to house the different regions of the Agency. These leases

have been classified as operating leases and, accordingly, all rents are charged to expenditures as incurred. The

leases expire between June 30, 2019 and September 30, 2023. Certain leases are renewable for additional periods.

Some of the leases also require the payment of normal maintenance and insurance on the properties. In most

cases, management expects that the leases will be renewed or replaced by other leases.

The following is a schedule by year of future minimum rental payments required under operating leases that have

initial or remaining non-cancellable lease terms in excess of one year as of June 30, 2019.

Year Ending June 30, Amount

2020 33,520 $

2021 16,020

2022 13,815

2023 7,200

2024 1,800

72,355 $

The total rental expenditures for the year ended June 30, 2019 for all operating leases, except those with terms of

a month or less that were not renewed, was $34,870.

Note 6. Lease of Office Space

The Agency, as lessor, leases 55% of a building as office space to several entities. The lease terms expire in

various years through 2024 and range from $6,240 to $30,000 per lease annually.

At June 30, 2019, future minimum lease payments receivable under non-cancellable operating leases are as

follows:

Year Ending June 30, Amount

2020 79,806 $

2021 32,705

2022 30,840

143,351 $


32

Note 7. Pension Plan

Plan Description – IPERS membership is mandatory for employees of the Agency, except for those covered by

another retirement system. Employees of the Agency are provided with pensions through a cost-sharing multiple

employer defined benefit pension plan administered by the Iowa Public Employees’ Retirement System (IPERS).

IPERS issues a stand-alone financial report which is available to the public by mail at P.O. Box 9117, Des Moines,

Iowa 50306-9117 or at www.ipers.org.

IPERS benefits are established under Iowa Code Chapter 97B and the administrative rules thereunder. Chapter

97B and the administrative rules are the official plan documents. The following brief description is provided for

general informational purposes only. Refer to the plan documents for more information.

Pension Benefits – A Regular member may retire at normal retirement age and receive monthly benefits without

an early-retirement reduction. Normal retirement age is age 65, any time after reaching 62 with 20 or more years

of covered employment, or when the member’s years of service plus the member’s age at the last birthday equals

or exceeds 88, whichever comes first. These qualifications must be met on the member’s first month of entitlement

to benefits. Members cannot begin receiving retirement benefits before age 55. The formula used to calculate a

Regular member’s monthly IPERS benefit includes:

• A multiplier based on years of service.

• The member’s highest five-year average salary, except members with service before June 30, 2012 will use

the highest three-year average salary as of that date if it is greater than the highest five-year average salary.

If a member retires before normal retirement age, the member’s monthly retirement benefit will be permanently

reduced by an early-retirement reduction. The early-retirement reduction is calculated differently for service

earned before and after July 1, 2012. For service earned before July 1, 2012, the reduction is 0.25% for each

month the member receives benefits before the member’s earliest normal retirement age. For service earned on

or after July 1, 2012, the reduction is 0.50% for each month the member receives benefits before age 65.

Generally, once a member selects a benefit option, a monthly benefit is calculated and remains the same for the

rest of the member’s lifetime. However, to combat the effects of inflation, retirees who began receiving benefits

prior to July 1990 receive a guaranteed dividend with their regular November benefit payments.

Disability and Death Benefits – A vested member who is awarded federal Social Security disability or Railroad

Retirement disability benefits is eligible to claim IPERS benefits regardless of age. Disability benefits are not

reduced for early retirement. If a member dies before retirement, the member’s beneficiary will receive a lifetime

annuity or a lump-sum payment equal to the present actuarial value of the member’s accrued benefit or calculated

with a set formula, whichever is greater. When a member dies after retirement, death benefits depend on the

benefit option the member selected at retirement.

http://www.ipers.org/


33

Note 7. Pension Plan (Continued)

Contributions – Contribution rates are established by IPERS following the annual actuarial valuation which

applies IPERS’ Contribution Rate Funding Policy and Actuarial Amortization Method. State statute limits the

amount rates can increase or decrease each year to 1 percentage point. IPERS Contribution Rate Funding Policy

requires the actuarial contribution rate be determined using the “entry age normal” actuarial cost method and the

actuarial assumptions and methods approved by the IPERS Investment Board. The actuarial contribution rate

covers normal cost plus the unfunded actuarial liability payment based on a 30-year amortization period. The

payment to amortize the unfunded actuarial liability is determined as level percentage of payroll based on the

Actuarial Amortization Method adopted by the Investment Board.

In fiscal year 2019, pursuant to the required rate, Regular members contributed 6.29% of covered payroll and the

Agency contributed 9.44% of covered payroll, for a total rate of 15.73%.

The Agency’s contributions to IPERS for the year ended June 30, 2019 were $1,408,258.

Net Pension Liability, Pension Expense, Deferred Outflows of Resources and Deferred Inflows of Resources

Related to Pensions – At June 30, 2019, the Agency reported a liability of $12,331,708 for its proportionate share

of the net pension liability. The net pension liability was measured as of June 30, 2018 and the total pension

liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The

Agency’s proportion of the net pension liability was based on the Agency’s share of contributions to IPERS

relative to the contributions of all IPERS participating employers. At June 30, 2018, the Agency’s collective

proportion was 0.1948678%, which was a decrease of 0.000299% from its proportion measured as of June 30,

2017.

For the year ended June 30, 2019, the Agency recognized pension expense of $1,616,785. At June 30, 2019, the

Agency reported deferred outflows of resources and deferred inflows of resources related to pensions from the

following sources:

Deferred

Outflows of

Resources

Deferred

Inflows of

Resources

Differences between expected and actual experience 67,613 $ 278,717$

Changes of assumptions 1,759,194 -

Net difference between projected and actual earnings on

IPERS' investments - 338,835

Changes in proportion and differences between Agency

contributions and the Agency's proportionate share of

contributions 301,348 1,193,430

Agency contributions subsequent to the measurement date 1,408,258 -

3,536,413 $ 1,810,982 $


34


Net Pension Liability, Pension Expense, Deferred Outflows of Resources and Deferred Inflows of Resources

Related to Pensions (continued) – $1,408,258 reported as deferred outflows of resources related to pensions

resulting from Agency contributions subsequent to the measurement date will be recognized as a reduction of the

net pension liability in the year ending June 30, 2020. Other amounts reported as deferred outflows of resources

and deferred inflows of resources related to pensions will be recognized in pension expense as follows:

Year Ended June 30, Total

2020 716,798$

2021 122,951

2022 (409,193)

2023 (100,893)

2024 (12,490)

317,173$

There are no non-employer contributing entities to IPERS.

Actuarial Assumptions – The total pension liability in the June 30, 2018 actuarial valuation was determined using

the following actuarial assumptions, applied to all periods included in the measurement:

Rate of inflation 2.60% per annum.

(effective June 30, 2017)

Rates of salary increase 3.25 to 16.25% average, including inflation.

(effective June 30, 2017) Rates vary by membership group.

Long-term investment rate of return 7.00% compounded annually, net of

(effective June 30, 2017) investment expense, including inflation.

Wage growth 3.25% per annum, based on 2.60% inflation

(effective June 30, 2017) and 0.65% real wage inflation.

The actuarial assumptions used in the June 30, 2018 valuation were based on the results of an economic

assumption study dated March 24, 2017 and a demographic assumption study dated June 28, 2018.

Mortality rates used in the 2018 valuation were based on the RP-2014 Employee and Healthy Annuitant Tables

with MP-2007 generational adjustments.


35


Actuarial Assumptions (continued) – The long-term expected rate of return on IPERS' investments was

determined using a building-block method in which best-estimate ranges of expected future real rates (expected

returns, net of investment expense and inflation) are developed for each major asset class. These ranges are

combined to produce the long-term expected rate of return by weighting the expected future real rates of return

by the target asset allocation percentage and by adding expected inflation. The target allocation and best estimates

of arithmetic real rates of return for each major asset class are summarized in the following table:

Asset Class

Domestic equity 22.0 % 6.01 %

International equity 15.0 6.48

Global smart beta equity 3.0 6.23

Core plus fixed income 27.0 1.97

Public credit 3.5 3.93

Public real assets 7.0 2.91

Cash 1.0 ( 0.25 )

Private equity 11.0 10.81

Private real assets 7.5 4.14

Private credit 3.0 3.11

100.0 %

Asset Allocation

Long-Term Expected

Real Rate of Return

Discount Rate – The discount rate used to measure the total pension liability was 7.00%. The projection of cash

flows used to determine the discount rate assumed employee contributions will be made at the contractually

required rate and contributions from the Agency will be made at contractually required rates, actuarially

determined. Based on those assumptions, IPERS' fiduciary net position was projected to be available to make all

projected future benefit payments to current active and inactive employees. Therefore, the long-term expected

rate of return on IPERS' investments was applied to all periods of projected benefit payments to determine the

total pension liability.

Sensitivity of the Agency’s Proportionate Share of the Net Pension Liability to Changes in the Discount Rate –

The following presents the Agency’s proportionate share of the net pension liability calculated using the discount

rate of 7.00%, as well as what the Agency’s proportionate share of the net pension liability would be if it were

calculated using a discount rate 1% lower (6.00%) or 1% higher (8.00%) than the current rate.

1%

Decrease

(6.0%)

Discount

Rate

(7.0%)

1%

Increase

(8.0%)

Agency's proportionate share

of the net pension liability 20,929,386$ 12,331,708$ 5,119,533$


36


IPERS Fiduciary Net Position – Detailed information about IPERS' fiduciary net position is available in the

separately issued IPERS financial report which is available on IPERS’ website at www.ipers.org.

Payables to IPERS – At June 30, 2019, the Agency reported payables to IPERS of $0 for legally required Agency

contributions and $0 for legally required employee contributions withheld from employee wages which had not

yet been remitted to IPERS.

Note 8. Other Postemployment Benefits (OPEB)

Plan Description – The Agency administers a single-employer benefit plan that provides medical and prescription

drug benefits for employees, retirees and their spouses. Group insurance benefits are established under Iowa Code

Chapter 509A.13. No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB Statement

No. 75.

OPEB Benefits – Individuals who are employed by Prairie Lakes Area Education Agency and are eligible to

participate in the group health plan are eligible to continue the healthcare benefits upon retirement. Retirees under

age 65 pay the same premium for the medical and prescription drug benefits as active employees, which results

in an implicit rate subsidy and an OPEB liability.

Retired participants must be age 55 or older at retirement. At June 30, 2019, the following employees were

covered by the benefit terms:

Inactive employees or beneficiaries currently receiving benefit payments 18

Active employees 235

253

Total OPEB Liability – The Agency’s total OPEB liability of $1,702,589 was measured as of June 30, 2019 and

was determined by an actuarial valuation as of that date.

Actuarial Assumptions – The total OPEB liability in the June 30, 2019 actuarial valuation was determined using

the following actuarial assumptions and the entry age normal actuarial cost method, applied to all periods included

in the measurement.

Rate of inflation

(effective June 30, 2019) 2.50% per annum.

Rates of salary increase

(effective June 30, 2019) 3.25% per annum, including inflation.

Discount rate 3.13% compounded annually,

(effective June 30, 2019) including inflation.

Healthcare cost trend rate 6.90% initial rate decreasing gradually over

(effective June 30, 2019) several decades to an ultimate rate of 4.00%.

http://www.ipers.org/


37

Note 8. Other Postemployment Benefits (OPEB) (Continued)

Discount Rate – The discount rate used to measure the total OPEB liability was 3.13% which reflects the index

rate for 20-year tax-exempt general obligation municipal bonds with an average rating of AA/Aa or higher as of

the measurement date.

Mortality rates are from the RP-2014 mortality table fully generational using scale MP-2017. Annual retirement

probabilities are based on varying rates by age and turnover probabilities mirror those used by IPERS.

The actuarial assumptions used in the June 30, 2019 valuation were based on the results of an actuarial experience

study with dates corresponding to those listed above.

Changes in the Total OPEB Liability –

Total OPEB

Liability

Total OPEB liability beginning of year 1,535,238$

Changes for the year:

Service cost 118,995

Interest 59,742

Changes in assumptions 116,040

Benefit payments (127,426)

Net changes 167,351

Total OPEB liability end of year 1,702,589$

Changes of assumptions reflect a change in the discount rate from 3.87% in fiscal year 2018 to 3.13% in fiscal

year 2019.

Sensitivity of the Agency’s Total OPEB Liability to Changes in the Discount Rate – The following presents the

total OPEB liability of the Agency, as well as what the Agency’s total OPEB liability would be if it were calculated

using a discount rate that is 1% lower (2.13%) or 1% higher (4.13%) than the current discount rate.

1%

Decrease

(2.13%)

Discount

Rate

(3.13%)

1%

Increase

(4.13%)

Total OPEB liability 1,821,179$ 1,702,589$ 1,590,550$


38

Note 8. Other Postemployment Benefits (OPEB) (Continued)

Sensitivity of the Agency’s Total OPEB Liability to Changes in the Healthcare Cost Trend Rates – The following

presents the total OPEB liability of the Agency, as well as what the Agency’s total OPEB liability would be if it

were calculated using healthcare cost trend rates that are 1% lower (5.90%) or 1% higher (7.90%) than the current

healthcare cost trend rates.

1%

Decrease

(5.90%)

Healthcare

Cost Trend

Rate

(6.90%)

1%

Increase

(7.90%)

Total OPEB liability 1,504,159$ 1,702,589$ 1,936,744$

OPEB Expense and Deferred Outflows of Resources Related to OPEB – For the year ended June 30, 2019, the

Agency recognized OPEB expense of $190,583. At June 30, 2019, the Agency reported deferred outflows of

resources related to OPEB from the following resources:

Deferred

Outflows of

Resources

Changes in assumptions 79,237$

Total 79,237$

The amount reported as deferred inflows of resources related to OPEB will be recognized as OPEB expense as

follows:

Year Ending June 30, Total

2020 11,846$

2021 11,846

2022 11,846

2023 11,846

2024 11,846

Thereafter 20,007

79,237$


39

Note 9. Risk Management

The Agency is exposed to various risks of loss related to torts; theft, damage to and destruction of assets; errors

and omissions; injuries to employees; and natural disasters. These risks are covered by the purchase of commercial

insurance. The Agency assumes liability for any deductibles and claims in excess of coverage limitations. Settled

claims from these risks have not exceeded commercial insurance coverage in any of the past three fiscal years.

The Agency has a partial self-funded health plan for its employees. The Agency assumes liability for the

difference between a higher deductible and higher out-of-pocket maximum plan than the plan offered to the

employees. The plan purchased by the Agency has a deductible and out-of-pocket maximum 5 times the plan

offered to the employees. The Agency also self-funds the difference between the prescription benefit and the co-

pay amount.

At June 30, 2019, the Agency’s reserve was $48,141.

Note 10. Deficit Balance

The Agency had a governmental activities deficit net position balance of $3,372,704 at June 30, 2019, primarily

due to the net pension liability.


40

Note 11. Early Childhood Iowa Area Board

The Agency is the fiscal agent for the Early Childhood Iowa Area Board, an organization formed pursuant to the

provisions of Chapter 2561 of the Code of Iowa. The Area Board receives state grants to administer early

childhood and school ready programs. Financial transactions of the Area Board are included in the Agency’s

financial statements as an Agency Fund because of the Agency’s fiduciary relationship with the organization. The

Area Board's financial data for the year ended June 30, 2019 is as follows:

Early

Childhood

School

Ready Total

Revenues:

State of Iowa grants:

Early childhood 50,599 $ -$ 50,599 $

Quality improvement - 59,674 59,674

Allocation for administration - 12,291 12,291

School ready general use - 337,726 337,726

Total revenues 50,599 409,691 460,290

Expenditures:

Program services:

Early childhood 50,599 - 50,599

Quality improvement - 65,258 65,258

School ready general use - 322,209 322,209

Total program services 50,599 387,467 438,066

Administration - 10,287 10,287

Total expenditures 50,599 397,754 448,353

Change in fund balance - 11,937 11,937

Fund balance, beginning of year - 52,303 52,303

Fund balance, end of year -$ 64,240 $ 64,240 $


41

Note 12. Categorical Funding

In accordance with Iowa Administrative Code Section 98.1, categorical funding is financial support from the state

and federal governments targeted for particular categories of students, special programs, or special purposes. This

support is in addition to area education agency general purpose revenue, for purposes beyond the basic educational

program and most often has restrictions on its use. Any portion of categorical funding provided by the state that

is not expended by the end of the fiscal year must be carried forward as a restricted fund balance.

The following is a schedule of the categorical funding restricted in the General Fund at June 30, 2019.

Program Amount

Professional development 78,553$

REQUIRED SUPPLEMENTARY INFORMATION

42


Required Supplementary Information


Governmental

Funds

Final to

Actual

Actual Original Final Variance

Revenues:

Local sources 8,477,668 $ 8,615,758 $ 8,356,866 $ 120,802 $

State sources 8,281,271 9,437,869 8,387,739 (106,468)

Federal sources 8,999,739 8,850,271 9,137,756 (138,017)

Total revenues 25,758,678 26,903,898 25,882,361 (123,683)

Expenditures/Expenses:

Current:

Instruction 1,053,548 1,255,497 1,240,000 (186,452)

Student support services 15,672,869 17,480,860 16,429,987 (757,118)

Instructional staff support services 3,386,156 2,981,136 3,124,743 261,413

General administration 623,182 339,795 423,152 200,030

Business administration 1,840,438 2,336,843 1,992,661 (152,223)

Plant operations and maintenance 725,335 1,074,485 741,527 (16,192)

Central and other support services 1,306,537 1,329,032 1,824,313 (517,776)

Non instructional programs 122,228 106,250 105,978 16,250

Total expenditures/expenses 24,730,293 26,903,898 25,882,361 (1,152,068)

Excess of revenues over

expenditures/expenses 1,028,385 - - 1,028,385

Other financing sources (uses):

Transfers out (107,639) - - (107,639)

Change in fund balance 920,746 - - 920,746

Balance, beginning of year 3,518,162 3,197,830 3,518,162 -

Balance, end of year 4,438,908 $ 3,197,830 $ 3,518,162 $ 920,746 $

See accompanying Independent Auditor's Report.

Budgeted Amounts

SCHEDULE OF REVENUES, EXPENDITURES/EXPENSES AND

CHANGES IN BALANCES -- BUDGET AND ACTUAL --

ALL GOVERNMENTAL FUNDS


NOTES TO REQUIRED SUPPLEMENTARY INFORMATION – BUDGETARY REPORTING

June 30, 2019

43

This budgetary comparison is presented as Required Supplementary Information in accordance with

Governmental Accounting Standards Board Statement No. 41 for governments with significant budgetary

perspective differences resulting from not being able to present budgetary comparisons for the General Fund and

each Special Revenue Fund.

The Agency’s Board of Directors annually prepares a budget on a basis consistent with U.S. generally accepted

accounting principles for all funds except Agency Funds. Although the budget document presents function

expenditures/expenses by fund, the legal level of control is at the total expenditure/expense level, not by fund.

After required public notice and hearing in accordance with the Code of Iowa, the Board submits its budget to the

State Board of Education. The State Board reviews the proposed budget and either grants approval or returns it

without approval with comments. Any unapproved budget must be resubmitted to the State Board for final

approval. The budget may be amended during the year utilizing procedures prescribed by the State Board.

For the year ended June 30, 2019, the Agency’s expenditures/expenses did not exceed the approved budget.


For the Last Five Years *

(In Thousands)


2019 2018

Agency's proportion of the net pension liability 0.194868% 0.195167%

Agency's proportionate share of the net pension liability 12,332$ 13,001$

Agency's covered payroll 14,647$ 14,568$

84.19% 89.24%

83.62% 82.21%


Iowa Public Employees' Retirement System

Agency's proportionate share of the net pension liability as a percentage

of its covered payroll

IPERS' net position as a percentage of the total pension liability

SCHEDULE OF THE AGENCY'S PROPORTIONATE SHARE

OF THE NET PENSION LIABILITY

Note: GASB Statement No. 68 requires ten years of information to be presented in this table. However,

until a full ten-year trend is compiled, the Agency will present information for those years for which

information is available.

* In accordance with GASB Statement No. 68, the amounts presented for each fiscal year were determined

as of June 30 of the preceding fiscal year.

44

2017 2016 2015

0.224005% 0.233806% 0.215567%

14,097$ 11,551$ 8,549$

16,077$ 16,183$ 14,295$

87.68% 71.38% 59.80%

81.82% 85.19% 87.61%


For the Last Ten Fiscal Years

(In Thousands)


2019 2018 2017 2016

Statutorily required contribution 1,408 $ 1,308 $ 1,301 $ 1,436 $

Contributions in relation to the

statutorily required contribution (1,408) (1,308) (1,301) (1,436)

Contribution deficiency (excess) -$ -$ -$ -$

Agency's covered payroll 14,918$ 14,647$ 14,568$ 16,077$

Contributions as a percentage of

covered payroll 9.44% 8.93% 8.93% 8.93%


SCHEDULE OF AGENCY CONTRIBUTIONS

Iowa Public Employees' Retirement System

45

2015 2014 2013 2012 2011 2010

1,445 $ 1,277 $ 1,142 $ 1,015 $ 941 $ 930 $

(1,445) (1,277) (1,142) (1,015) (941) (930)

-$ -$ -$ -$ -$ -$

16,183$ 14,295$ 13,169$ 12,582$ 13,545$ 13,990$

8.93% 8.93% 8.67% 8.07% 6.95% 6.65%


Notes to Required Supplementary Information – Pension Liability

June 30, 2019

46

Changes of benefit terms:

Legislation enacted in 2010 modified benefit terms for Regular members. The definition of final average salary

changed from the highest three to the highest five years of covered wages. The vesting requirement changed from

four years of service to seven years. The early retirement reduction increased from 3.0% per year measured from

the member’s first unreduced retirement age to a 6.0% reduction for each year of retirement before age 65.

Changes of assumptions:

The 2018 valuation implemented the following refinements as a result of a demographic assumption study dated

June 28, 2018:

• Changed mortality assumptions to the RP-2014 mortality tables with mortality improvements modeled

using Scale MP-2017.

• Adjusted retirement rates.

• Lowered disability rates.

• Adjusted the probability of a vested Regular member electing to receive a deferred benefit.

• Adjusted the merit component of the salary increase assumptions.

The 2017 valuation implemented the following refinements as a result of an experience study dated March 24,

2017:

• Decreased the inflation assumption from 3.00% to 2.60%.

• Decreased the assumed rate of interest on member accounts from 3.75% to 3.50% per year.

• Decreased the discount rate from 7.50% to 7.00%.

• Decreased the wage growth assumption from 4.00% to 3.25%.

• Decreased the payroll growth assumption from 4.00% to 3.25%.

The 2014 valuation implemented the following refinements as a result of a quadrennial experience study:

• Decreased the inflation assumption from 3.25% to 3.00%.

• Decreased the assumed rate of interest on member accounts from 4.00% to 3.75% per year.

• Adjusted male mortality rates for retirees in the Regular membership group.

• Moved from an open 30-year amortization period to a closed 30-year amortization period for the UAL

(unfunded actuarial liability) beginning June 30, 2014. Each year thereafter, changes in the UAL from

plan experience will be amortized on a separate closed 20-year period.

The 2010 valuation implemented the following refinements as a result of a quadrennial experience study:

• Adjusted retiree mortality assumptions.

• Modified retirement rates to reflect fewer retirements.

• Lowered disability rates at most ages.

• Lowered employment termination rates.

• Generally increased the probability of terminating members receiving a deferred retirement benefit.

• Modified salary increase assumptions based on various service duration.

47


For the Last Two Years


2019 2018

Service Cost 118,995 $ 114,971 $

Interest Cost 59,742 62,348

Changes in assumptions 116,040 (27,856)

Benefit payments (127,426) (220,818)

Net change in total OPEB liability 167,351 (71,355)

Total OPEB liability beginning of year 1,535,238 1,606,593

Total OPEB liability end of year 1,702,589 $ 1,535,238 $

Covered-employee payroll 15,006,112 $ 17,056,089 $

Total OPEB liability as a percentage of covered-employee payroll 11.3% 9.0%

SCHEDULE OF CHANGES IN THE AGENCY'S TOTAL OPEB LIABILITY,

RELATED RATIOS AND NOTES

Notes to Schedule of Changes in the Agency’s Total OPEB Liability and Related Ratios

Changes in benefit terms:

There were no significant changes in benefit terms.

Changes in assumptions:

Changes in assumptions and other inputs reflect the effects of changes in the discount rate each period. The

following are the discount rates used in each period.

Year ended June 30, 2019 3.13%



Note: GASB Statement No. 75 requires ten years of information be presented in this table. However, until a

full ten-year trend is compiled, the Agency will present information for those years for which information

is available.

See accompanying Independent Auditor’s Report.

SUPPLEMENTARY INFORMATION

48

PRAIRIE LAKES AREA EDUCATION AGENCY Schedule 1

AGENCY FUNDS


Balance

Beginning of

Year Additions Deductions

Balance

End of

Year

Assets:

Cash 52,303 $ 460,250 $ 448,313 $ 64,240 $

Total assets 52,303 $ 460,250 $ 448,313 $ 64,240 $

Liabilities:

Due to other governments 52,303 $ 460,250 $ 448,313 $ 64,240 $

Total liabilities 52,303 $ 460,250 $ 448,313 $ 64,240 $


SCHEDULE OF CHANGES IN FIDUCIARY ASSETS AND LIABILITIES -


2019 2018 2017 2016

Revenues:

Local 8,477,668 $ 8,671,268 $ 8,813,332 $ 8,870,523 $

State 8,281,271 8,226,157 8,102,174 8,530,389

Federal 8,999,739 8,792,078 8,446,329 9,428,470

Total 25,758,678 $ 25,689,503 $ 25,361,835 $ 26,829,382 $

Expenditures:

Current:

Instruction 1,053,548 $ 1,026,876 $ 1,168,488 $ 1,174,573 $

Student support services 15,795,097 15,408,217 17,249,418 18,382,274

Instructional staff support services 3,386,156 3,404,948 1,633,731 2,233,592

General administration 623,182 496,070 460,541 738,372

Business administration 1,840,438 2,478,807 2,516,637 2,349,804

Plant operations and maintenance 725,335 774,185 557,896 642,464

Central and other support services 1,306,537 1,332,491 1,056,566 1,054,252

Debt service - 447,577 147,577 152,390

Total 24,730,293 $ 25,369,171 $ 24,790,854 $ 26,727,721 $


SCHEDULE OF REVENUES BY SOURCE AND EXPENDITURES

BY FUNCTION -- ALL GOVERNMENTAL FUNDS

For the Last Ten Years

49

Schedule 2

2015 2014 2013 2012 2011 2010

8,456,982 $ 8,927,821 $ 7,503,344 $ 7,508,883 $ 7,430,401 $ 7,214,831 $

8,409,177 7,994,815 7,517,247 7,256,771 8,662,465 7,898,189

9,491,846 8,236,347 8,324,354 7,815,655 9,729,231 14,630,063

26,358,005 $ 25,158,983 $ 23,344,945 $ 22,581,309 $ 25,822,097 $ 29,743,083 $

1,090,824 $ 578,952 $ 502,061 $ 480,958 $ 656,783 $ 629,039 $

18,734,907 18,206,259 16,398,182 9,889,858 10,216,925 14,744,364

2,061,800 2,290,147 2,075,943 7,640,591 7,835,633 7,934,751

971,800 975,125 848,890 848,990 811,244 840,582

1,760,604 1,508,670 1,467,786 1,218,065 1,018,588 934,201

750,094 620,093 625,547 550,510 894,022 886,035

1,624,239 2,167,518 2,146,578 2,138,593 2,343,009 2,568,216

151,890 985,968 185,368 184,305 312,055 242,380

27,146,158 $ 27,332,732 $ 24,250,355 $ 22,951,870 $ 24,088,259 $ 28,779,568 $

Modified Accrual Basis

50



Project Title

CFDA

Number

Pass-through

Grantor's

Number

Pass-through

to

Subrecipients

Program

Expenditures

Indirect:

U.S. Department of Education:

Iowa Department of Education:

Special Education Cluster (IDEA):

Special Education Grants to States:

Early Childhood Education for the Handicapped 84.027 181908 -$ 6,074,985 $

Early Childhood Education LEA Flow Through 84.027 181908 1,481,629 1,481,629

Family Educator Partner 84.027 7K7408 - 105,978

AEA Statewide Leadership Leads 84.027 008119 - 32,467

AEA Special Education Direct Services

Leadership Groups 84.027 008319 - 5,554

PBIS State Leadership Team 84.027 007419 - 3,893

State Personnel Development Grant 84.027 19SPDG-03 - 107,782

1,481,629 7,812,288

Special Education - Preschool Grants:

Part B - Section 619, Ages 3-5 84.173 18619-08 - 255,987

EC PBIS Professional Learning 84.173 025819 - 6,962

Early Childhood Leadership Implementation

Science Literacy 84.173 Q19-008 - 11,400

- 274,349

1,481,629 8,086,637

Special Education - Grants for Infants and Families:

Part C 84.181 C1819-08 - 221,736

Early ACCESS Support for Internal Coaches 84.181 EA19-PL - 13,000

- 234,736

Title III English Language Learners 84.365 17ELA-03 - 278,102

Title I Grants to Local Educational Agencies,

Section 1003 84.010 18-19 - 194,397

Title I D Subpart 2 84.010 18-19 - 4,168

- 198,565

U.S. Department of Health and Human Services:

Iowa Department of Public Health:

Medicaid Direct Service Reimbursement:

Medicaid Direct Services - Part B 93.778 FY19 - 159,150

Medicaid Direct Services - Part C 93.778 FY19 - 42,549

- 201,699

Total expenditures of federal awards 1,481,629 $ 8,999,739 $

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS

(Continued on next page)

51


(Continued)

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS


Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (Schedule) includes the

federal award activity of Prairie Lakes Area Education Agency under programs of the federal government for the

year ended June 30, 2019. The information in this Schedule is presented in accordance with the requirements of

Title 2, U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles and

Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected

portion of the operations of Prairie Lakes Area Education Agency, it is not intended to and does not present the

financial position, changes in financial position or cash flows of Prairie Lakes Area Education Agency.

Summary of Significant Accounting Policies: Expenditures reported in the Schedule are reported on the

modified accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost

principles in OMB Circular A-87, Cost Principles for State, Local and Indian Tribal Governments, or the cost

principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are

limited as to reimbursement.

Indirect Cost Rate: Prairie Lakes Area Education Agency has elected not to use the 10% de minimis indirect

cost rate as allowed under the Uniform Guidance.

See accompanying Independent Auditor’s Report.


ON INTERNAL CONTROL OVER FINANCIAL REPORTING

AND ON COMPLIANCE AND OTHER MATTERS BASED ON

AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN

ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS


52

Independent Auditor’s Report

on Internal Control over Financial Reporting

and on Compliance and Other Matters Based on

an Audit of Financial Statements Performed in

Accordance with Government Auditing Standards

To the Board of Directors of Prairie Lakes Area Education Agency Fort Dodge, Iowa We have audited in accordance with U.S. generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business type activities, each major fund and the aggregate remaining fund information of Prairie Lakes Area Education Agency as of and for the year ended June 30, 2019, and the related Notes to Financial Statements, which collectively comprise the Agency’s basic financial statements, and have issued our report thereon dated December 14, 2019. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered Prairie Lakes Area Education Agency’s internal control over financial reporting to determine the audit procedures appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Prairie Lakes Area Education Agency’s internal control. Accordingly, we do not express an opinion on the effectiveness of Prairie Lakes Area Education Agency’s internal control. Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and, therefore, material weaknesses or significant deficiencies may exist that have not been identified. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility a material misstatement of the Agency’s financial statements will not be prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control which is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

53

Compliance and Other Matters As part of obtaining reasonable assurance about whether Prairie Lakes Area Education Agency’s financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, non-compliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of non-compliance or other matters that are required to be reported under Government Auditing Standards. Comments involving statutory and other legal matters about Prairie Lakes Area Education Agency’s operations for the year ended June 30, 2019 are based exclusively on knowledge obtained from procedures performed during our audit of the financial statements of Prairie Lakes Area Education Agency. Since our audit was based on tests and samples, not all transactions that might have had an impact on the comments were necessarily audited. The comments involving statutory and other legal matters are not intended to constitute legal interpretations of those statutes. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the result of that testing, and not to provide an opinion on the effectiveness of the Agency’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Agency’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Fort Dodge, Iowa

December 14, 2019

INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM

AND ON INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE


54

Independent Auditor’s Report

on Compliance for Each Major Federal Program and on Internal Control over Compliance

Required by the Uniform Guidance

To the Board of Directors of

Prairie Lakes Area Education Agency Fort Dodge, Iowa Report on Compliance for Each Major Federal Program We have audited Prairie Lakes Area Education Agency’s compliance with the types of compliance requirements described in U.S. Office of Management and Budget (OMB) Compliance Supplement that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2019. Prairie Lakes Area Education Agency’s major federal programs are identified in Part I of the accompanying Schedule of Findings and Questioned Costs. Management’s Responsibility Management is responsible for compliance with federal statutes, regulations, and the terms and conditions of its federal awards applicable to its federal programs. Auditor’s Responsibility Our responsibility is to express an opinion on compliance for Prairie Lakes Area Education Agency’s major federal programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with U.S. generally accepted auditing standards, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and the audit requirements of Title 2, U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance). Those standards and the Uniform Guidance require that we plan and perform the audit to obtain reasonable assurance about whether non-compliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about Prairie Lakes Area Education Agency’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe our audit provides a reasonable basis for our opinion on compliance for the major federal programs. However, our audit does not provide a legal determination of Prairie Lakes Area Education Agency’s compliance.

55

Opinion on Each Major Federal Program In our opinion, Prairie Lakes Area Education Agency complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2019.

Report on Internal Control Over Compliance The management of Prairie Lakes Area Education Agency is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered Prairie Lakes Area Education Agency’s internal control over compliance with the types of requirements that could have a direct and material effect on the major federal programs to determine the auditing procedures appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of Prairie Lakes Area Education Agency’s internal control over compliance. Our consideration of internal control over compliance was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies and, therefore, material weaknesses or significant deficiencies may exist that were not identified. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect and correct noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance such that there is a reasonable possibility material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected and corrected on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose.

Fort Dodge, Iowa

December 14, 2019


Schedule of Findings and Questioned Costs

Year ended June 30, 2019

56

Part I: Summary of the Independent Auditor’s Results:

(a) Unmodified opinions were issued on the financial statements prepared in accordance with U.S.

generally accepted accounting practices.

(b) No significant deficiencies or material weaknesses in internal control over financial reporting were

disclosed by the audit of the financial statements.

(c) The audit did not disclose any non-compliance which is material to the financial statements.

(d) No significant deficiencies or material weaknesses in internal control over the major federal award

programs were disclosed by the audit of the financial statements.

(e) An unmodified opinion was issued on compliance with requirements applicable to each major program.

(f) The audit did not disclose audit findings which are required to be reported in accordance with the

Uniform Guidance, Section 200.516.

(g) The major programs were:

➢ Special Education Cluster (IDEA):

o CFDA Number 84.027 – Special Education – Grants to States

o CFDA Number 84.173 – Special Education – Preschool Grants

(h) The dollar threshold used to distinguish between Type A and Type B programs was $750,000.

(i) Prairie Lakes Area Education Agency qualified as a low-risk auditee.

Part II: Findings Related to the Financial Statements:

Material Weakness:

No matters were noted.

Instances of Non-Compliance:




57

Part III: Findings and Questioned Costs For Federal Awards:

Instances of Non-Compliance:


Material Weakness:


Part IV: Other Findings Related to Required Statutory Reporting:

IV-A-19 Certified Budget – Expenditures during the year ended June 30, 2019 did not exceed the amounts

budgeted.

IV-B-19 Questionable Expenditures –No expenditures that we believe may not meet the requirements of

public purpose as defined in an Attorney General's opinion dated April 25, 1979 were noted.

IV-C-19 Travel Expense – No expenditures of Agency money for travel expenses of spouses of Agency

officials or employees were noted.

IV-D-19 Business Transactions – No business transactions between the Agency and Agency officials or

employees were noted.

IV-E-19 Bond Coverage – Surety bond coverage of Agency officials and employees is in accordance with

statutory provisions. The amount of coverage should be reviewed annually to ensure the coverage

is adequate for current operations.

IV-F-19 Board Minutes – No transactions were found that we believe should have been approved in the

Board minutes but were not.

IV-G-19 Deposits and Investments – No instances of non-compliance with the deposit and investment

provisions of Chapters 12B and 12C of the Code of Iowa and the Agency’s investment policy were

noted.

IV-H-19 Certified Annual Report – The Certified Annual Report was certified timely to the Iowa

Department of Education.

IV-I-19 Categorical Funding – No instances of categorical funding being used to supplant rather than

supplement other funds were noted.



58

Part IV: Other Findings Related to Required Statutory Reporting (Continued):

IV-J-19 Early Childhood Iowa Area Board – Prairie Lakes Area Education Agency is the fiscal agent for

the Early Childhood Iowa Area Board, an organization formed pursuant to the provisions of

Chapter 256I of the Code of Iowa. Financial transactions of the Area Board are included in the

Agency’s financial statements as an Agency Fund because of the Agency’s fiduciary relationship

with the organization.

No instances of non-compliance were noted as a result of audit procedures performed.

1

Prairie Lakes AEA Board BillsDecember 17, 2019

Check Check Date Payable To Description Amount87942 11/25/2019 Algona Municipal Utilities Internet/Algona 250.00$ 87943 11/25/2019 Alliant Energy Utilities/Jefferson - Oct. 201 213.94$ 87944 11/25/2019 Benefits, Inc. PSF Claims Paid 11/18 to 11/22 8,037.15$ 87945 11/25/2019 Camp Algona POW Project, Inc. December 2019 Rent 600.00$ 87946 11/25/2019 CenterPoint Energy Services Retail, Inc. Gas/FD Office 46.48$ 87947 11/25/2019 Century Link Telephone/Forest Ridge 103.34$ 87948 11/25/2019 Culligan Water Conditioning FD Water Portable Exchange 54.87$ 87949 11/25/2019 Culligan Water Conditioning, Inc. - Boone Water/Jefferson Office 11.56$ 87950 11/25/2019 Culligan Water Conditioning (S) Bottled Water/Spencer Office 36.25$ 87950 11/25/2019 Culligan Water Conditioning (S) Water/LPS 61.17$ 87951 11/25/2019 Estherville Industrial Development Corporatio December 2019 Rent 735.00$ 87952 11/25/2019 Hy-Vee Food Stores McREL Training/Meals 875.47$ 87953 11/25/2019 Iowa Schools Employee Health Insurance - December 2019 216,849.20$ 87954 11/25/2019 Midamerican Energy Company Algona Utilities - Gas 47.83$ 87955 11/25/2019 Quill Corporation Office Supplies/Poky Office 124.40$ 87956 11/25/2019 United Parcel Service Postage/Media 14.01$ 87957 11/25/2019 Verizon Wireless Mobile Hot Spots - December 2019 491.04$ 87958 11/25/2019 The Water Connection Water/Algona 20.25$

228,571.96$

87959 12/4/2019 Alliant Energy Utilities/Jefferson - Oct. 201 386.70$ 87960 12/4/2019 Amazon.com Assistive Technology/Science 187.89$ 87960 12/4/2019 Amazon.com InstructionalSupplies/LPS 455.23$ 87960 12/4/2019 Amazon.com iPad Cases/Title III 105.98$ 87960 12/4/2019 Amazon.com Lending Library Supplies 260.49$ 87960 12/4/2019 Amazon.com Media Printer Ink - K.Geisler 58.00$ 87960 12/4/2019 Amazon.com Office Supplies/FD 82.08$ 87960 12/4/2019 Amazon.com Office Supplies/Poky 81.79$ 87960 12/4/2019 Amazon.com OT/PT Consumables/Nov. 2019 107.85$ 87960 12/4/2019 Amazon.com Standing Desk Converter/Spencer 109.99$ 87960 12/4/2019 Amazon.com Supplies Book/Reference Book 35.09$ 87960 12/4/2019 Amazon.com Supplies Book/T.Christopher 34.99$ 87960 12/4/2019 Amazon.com Supplies Book/Title III/V.Jergens 24.34$ 87960 12/4/2019 Amazon.com Supplies Books/Behavior Dept. 39.50$ 87960 12/4/2019 Amazon.com Supplies Books/L.Beltran 175.45$ 87960 12/4/2019 Amazon.com Supplies Books/Math 127.80$ 87960 12/4/2019 Amazon.com Supplies Books/Title III/V.Jergens 588.81$ 87960 12/4/2019 Amazon.com Supplies/Assistive Tech./T.Zaugg 47.46$ 87960 12/4/2019 Amazon.com Supplies/Book/CBAT Team 90.09$ 87960 12/4/2019 Amazon.com Supplies/Book/L.Moore & J.Graber 65.39$ 87960 12/4/2019 Amazon.com Supplies/SPED/File Folders 45.98$ 87960 12/4/2019 Amazon.com Supplies/WC Office 69.83$ 87960 12/4/2019 Amazon.com Technology Supplies/Converter 98.88$ 87960 12/4/2019 Amazon.com Wireless Keyboard 27.23$ 87961 12/4/2019 Benefits, Inc. PSF claims paid 12/2 to 12/6 311.71$ 87961 12/4/2019 Benefits, Inc. PSF Claims paid 11/25 to 11/29 2,745.14$

2


Check Check Date Payable To Description Amount87961 12/4/2019 Benefits, Inc. PSF Admin Fees - December 2019 1,729.00$ 87962 12/4/2019 Blue Ribbon Pelham Waters Fort Dodge Bottled Water - Nov 170.75$ 87963 12/4/2019 CenterPoint Energy Services Retail, Inc. Storm Lake Utilities - Gas 259.87$ 87964 12/4/2019 City of Jefferson Water/Garbage - Nov. 2019 63.99$ 87965 12/4/2019 COUNSEL Copier Maintenance - Nov. 2019 2,348.43$ 87965 12/4/2019 COUNSEL Copier Maintenance - Oct. 2019 231.19$ 87965 12/4/2019 COUNSEL Copier Maintenance - YSC - Dec 63.00$ 87965 12/4/2019 COUNSEL Copier Usage - LPS - Nov. 2019 426.34$ 87966 12/4/2019 Culligan Water Conditioning Water/Webster City - November 73.06$ 87967 12/4/2019 Culligan - Storm Lake Bottled Water/Storm Lake Office 27.00$ 87968 12/4/2019 Fort Dodge Water Department Water/FD Office - November 2019 122.15$ 87969 12/4/2019 Frontier Telephone/Agnecy - Nov. 2019 204.94$ 87970 12/4/2019 Midamerican Energy Company Utilities/FD Office - Nov. 2019 928.65$ 87971 12/4/2019 Woolstock Mutual Telephone Assn. Internet/Webster City - Dec. 2019 107.45$

13,119.51$

1 12/17/2019 Kris Ahrens November 2019 Travel Expenses 1,042.61$ 2 12/17/2019 Tracy Baak November 2019 Travel Expenses 354.90$ 3 12/17/2019 Kerrie Baish November 2019 Travel Expenses 289.02$ 4 12/17/2019 Amy Barber November 2019 Travel Expenses 427.44$ 5 12/17/2019 Yvette Bardole November 2019 Travel Expenses 213.16$ 6 12/17/2019 Gloria Bartelt November 2019 Travel Expenses 284.70$ 7 12/17/2019 Kathy Behrens November 2019 Travel Expenses 378.30$ 8 12/17/2019 Lori Beltran November 2019 Travel Expenses 531.64$ 9 12/17/2019 Annette Benedict November 2019 Travel Expenses 38.61$

10 12/17/2019 Sue Berberich November 2019 Travel Expenses 28.86$ 11 12/17/2019 Kevin Bernard November 2019 Travel Expenses 69.42$ 12 12/17/2019 Victoria Bern November 2019 Travel Expenses 66.59$ 13 12/17/2019 Deborah Betz November 2019 Travel Expenses 99.06$ 14 12/17/2019 Laurel Bezoni November 2019 Travel Expenses 77.61$ 15 12/17/2019 Stacy Bezoni November 2019 Travel Expenses 17.16$ 16 12/17/2019 Kimberly Bodholdt November 2019 Travel Expenses 370.06$ 17 12/17/2019 Summer Boes November 2019 Travel Expenses 304.20$ 18 12/17/2019 Andrea Bollenbaugh November 2019 Travel Expenses 95.16$ 19 12/17/2019 Beth Borchardt November 2019 Travel Expenses 81.90$ 20 12/17/2019 Scott Boughey November 2019 Travel Expenses 65.91$ 21 12/17/2019 Kathy Broek November 2019 Travel Expenses 120.12$ 22 12/17/2019 Cheri C. Brown November 2019 Travel Expenses 274.56$ 23 12/17/2019 Gretchen Brown November 2019 Travel Expenses 326.43$ 24 12/17/2019 Hope Brown November 2019 Travel Expenses 437.97$ 25 12/17/2019 Carrie Buddenhagen November 2019 Travel Expenses 79.17$ 26 12/17/2019 Patricia Burma November 2019 Travel Expenses 453.96$ 27 12/17/2019 Tracey E Carlson November 2019 Travel Expenses 93.99$ 28 12/17/2019 Lori Caron November 2019 Travel Expenses 196.17$ 29 12/17/2019 Rose Cartee November 2019 Travel Expenses 377.52$ 30 12/17/2019 Alicia Cassidy November 2019 Travel Expenses 73.32$

3


Check Check Date Payable To Description Amount31 12/17/2019 Amy Johnson Champagne November 2019 Travel Expenses 83.85$ 32 12/17/2019 Christensen, Erin November 2019 Travel Expenses 228.54$ 33 12/17/2019 Tricia Christopher November 2019 Travel Expenses 234.39$ 34 12/17/2019 Chris Conell November 2019 Travel Expenses 46.41$ 35 12/17/2019 Patricia Connors November 2019 Travel Expenses 436.80$ 36 12/17/2019 Shelley Conover November 2019 Travel Expenses 1,957.67$ 37 12/17/2019 Michelle Conrad November 2019 Travel Expenses 201.63$ 38 12/17/2019 Courtney Cook November 2019 Travel Expenses 570.09$ 39 12/17/2019 Elaine Cook November 2019 Travel Expenses 95.16$ 40 12/17/2019 Elizabeth Cooper November 2019 Travel Expenses 446.94$ 41 12/17/2019 Amanda DeLancey November 2019 Travel Expenses 249.60$ 42 12/17/2019 Tabitha DeMey November 2019 Travel Expenses 198.29$ 43 12/17/2019 Shannon DeMoss November 2019 Travel Expenses 675.48$ 44 12/17/2019 Emily Deters November 2019 Travel Expenses 245.64$ 45 12/17/2019 Michelle Dowd November 2019 Travel Expenses 172.56$ 46 12/17/2019 Mary Dunlay November 2019 Travel Expenses 121.68$ 47 12/17/2019 Becky Egland November 2019 Travel Expenses 77.22$ 48 12/17/2019 Janie Eischen November 2019 Travel Expenses 362.91$ 49 12/17/2019 Molly Elston November 2019 Travel Expenses 586.73$ 50 12/17/2019 Roni Engeldinger November 2019 Travel Expenses 190.71$ 51 12/17/2019 Susan Fairweather November 2019 Travel Expenses 206.00$ 52 12/17/2019 Matthew Foley November 2019 Travel Expenses 463.32$ 53 12/17/2019 Scott Fosseen November 2019 Travel Expenses 191.88$ 54 12/17/2019 Leslie Franzmeier November 2019 Travel Expenses 160.62$ 55 12/17/2019 Cathy Frohardt November 2019 Travel Expenses 451.23$ 56 12/17/2019 Emily Frostestad November 2019 Travel Expenses 232.38$ 57 12/17/2019 Deb Gade November 2019 Travel Expenses 240.24$ 58 12/17/2019 Brianne Goings November 2019 Travel Expenses 35.77$ 59 12/17/2019 Julie Graber November 2019 Travel Expenses 508.42$ 60 12/17/2019 Carrie Guerin November 2019 Travel Expenses 122.07$ 61 12/17/2019 Nichole Gustafson November 2019 Travel Expenses 57.72$ 62 12/17/2019 Erin Handeland November 2019 Travel Expenses 514.02$ 63 12/17/2019 Joan R. Hansen November 2019 Travel Expenses 54.99$ 64 12/17/2019 Glenda Harms November 2019 Travel Expenses 322.03$ 65 12/17/2019 Linda Harms November 2019 Travel Expenses 284.70$ 66 12/17/2019 Valerie K. Harmon November 2019 Travel Expenses 242.19$ 67 12/17/2019 Angela Harvey November 2019 Travel Expenses 553.80$ 68 12/17/2019 Jessica Hawkins November 2019 Travel Expenses 218.33$ 69 12/17/2019 Brenda Hebert November 2019 Travel Expenses 23.40$ 70 12/17/2019 Jill Heinen November 2019 Travel Expenses 280.80$ 71 12/17/2019 Cari Hepperle November 2019 Travel Expenses 217.48$ 72 12/17/2019 Jeff Herzberg November 2019 Travel Expenses 520.26$ 73 12/17/2019 Maddisen Heun November 2019 Travel Expenses 160.62$ 74 12/17/2019 McKaylee Heuton November 2019 Travel Expenses 214.07$ 75 12/17/2019 Dawn Higgins November 2019 Travel Expenses 511.29$ 76 12/17/2019 Nicole Hinrichs November 2019 Travel Expenses 194.05$

4


Check Check Date Payable To Description Amount77 12/17/2019 Tina Hoben November 2019 Travel Expenses 118.89$ 78 12/17/2019 Tonia Hoch November 2019 Travel Expenses 28.86$ 79 12/17/2019 Kristy Hughett November 2019 Travel Expenses 500.67$ 80 12/17/2019 Coletta Jaeger November 2019 Travel Expenses 150.54$ 81 12/17/2019 Valerie Jergens November 2019 Travel Expenses 332.64$ 82 12/17/2019 Connie Johnson November 2019 Travel Expenses 257.77$ 83 12/17/2019 Katie Johnson November 2019 Travel Expenses 226.20$ 84 12/17/2019 Kimberly Johnson November 2019 Travel Expenses 651.24$ 85 12/17/2019 Kauffman, Katherine November 2019 Travel Expenses 120.12$ 86 12/17/2019 Jason Kehoe November 2019 Travel Expenses 205.92$ 87 12/17/2019 Claire King November 2019 Travel Expenses 109.20$ 88 12/17/2019 Kathline Kitterman November 2019 Travel Expenses 343.98$ 89 12/17/2019 Jacquelyn Knustrom November 2019 Travel Expenses 163.41$ 90 12/17/2019 Sara Koenecke November 2019 Travel Expenses 175.16$ 91 12/17/2019 Nicole Kofmehl November 2019 Travel Expenses 127.47$ 92 12/17/2019 Shelby Krause November 2019 Travel Expenses 62.30$ 93 12/17/2019 Kathy Jo Kruse November 2019 Travel Expenses 337.35$ 94 12/17/2019 Tiffany Lammers November 2019 Travel Expenses 94.38$ 95 12/17/2019 Joanna Lange November 2019 Travel Expenses 410.67$ 96 12/17/2019 Teresa Laufersweiler November 2019 Travel Expenses 72.54$ 97 12/17/2019 Sally Legleiter November 2019 Travel Expenses 180.12$ 98 12/17/2019 Addy Leistikow November 2019 Travel Expenses 228.93$ 99 12/17/2019 DeAnn Leiting November 2019 Travel Expenses 438.36$

100 12/17/2019 Allyson Leners November 2019 Travel Expenses 217.62$ 101 12/17/2019 Marcie Lentsch November 2019 Travel Expenses 2,035.85$ 102 12/17/2019 Lauren Leonard November 2019 Travel Expenses 284.70$ 103 12/17/2019 Kristy Liechti November 2019 Travel Expenses 748.18$ 104 12/17/2019 Angie Lockey November 2019 Travel Expenses 195.00$ 105 12/17/2019 Jalissa Long November 2019 Travel Expenses 182.91$ 106 12/17/2019 Annette Louk November 2019 Travel Expenses 368.02$ 107 12/17/2019 Laura Lucchesi November 2019 Travel Expenses 363.15$ 108 12/17/2019 Denise Lundell November 2019 Travel Expenses 97.50$ 109 12/17/2019 Kris Manteufel November 2019 Travel Expenses 715.35$ 110 12/17/2019 Brianna Maschman November 2019 Travel Expenses 1,346.28$ 111 12/17/2019 Katie McClurg November 2019 Travel Expenses 225.36$ 112 12/17/2019 Tammy McKimmey November 2019 Travel Expenses 176.28$ 113 12/17/2019 Julie Meyer November 2019 Travel Expenses 689.52$ 114 12/17/2019 Kelly Mills November 2019 Travel Expenses 287.82$ 115 12/17/2019 Rachel Montag November 2019 Travel Expenses 125.97$ 116 12/17/2019 Marni Moody November 2019 Travel Expenses 538.58$ 117 12/17/2019 Dr. Leslie Moore November 2019 Travel Expenses 422.37$ 118 12/17/2019 Melissa Mulder November 2019 Travel Expenses 454.74$ 119 12/17/2019 Julie Nadrchal November 2019 Travel Expenses 736.32$ 120 12/17/2019 Katie Nelson November 2019 Travel Expenses 358.02$ 121 12/17/2019 Jackie Ohl November 2019 Travel Expenses 263.19$ 122 12/17/2019 Kelly Olson November 2019 Travel Expenses 13.65$

5


Check Check Date Payable To Description Amount123 12/17/2019 Kathryn Peart November 2019 Travel Expenses 28.86$ 124 12/17/2019 Rainie Perry November 2019 Travel Expenses 56.16$ 125 12/17/2019 Amy Peterson November 2019 Travel Expenses 535.61$ 126 12/17/2019 Cassady Peterson November 2019 Travel Expenses 111.93$ 127 12/17/2019 Jennifer Peter November 2019 Travel Expenses 1,779.97$ 128 12/17/2019 Kimberly Peterson November 2019 Travel Expenses 323.70$ 129 12/17/2019 Lisa Peterson November 2019 Travel Expenses 411.84$ 130 12/17/2019 Nicole Peter November 2019 Travel Expenses 362.70$ 131 12/17/2019 Brianna Pille November 2019 Travel Expenses 279.24$ 132 12/17/2019 Paula Pohlman November 2019 Travel Expenses 40.56$ 133 12/17/2019 Martha Poland November 2019 Travel Expenses 314.34$ 134 12/17/2019 Jennifer Prentice November 2019 Travel Expenses 139.62$ 135 12/17/2019 Amy Profit November 2019 Travel Expenses 404.43$ 136 12/17/2019 Erin Pullen November 2019 Travel Expenses 46.80$ 137 12/17/2019 Gale Randall November 2019 Travel Expenses 400.53$ 138 12/17/2019 Jaymie Randel November 2019 Travel Expenses 882.79$ 139 12/17/2019 Kristine Randell November 2019 Travel Expenses 44.46$ 140 12/17/2019 Felicia Rasmussen November 2019 Travel Expenses 180.46$ 141 12/17/2019 Susan Rasmussen November 2019 Travel Expenses 449.22$ 142 12/17/2019 Laura Reinders November 2019 Travel Expenses 251.55$ 143 12/17/2019 Kathy L. Rhode November 2019 Travel Expenses 122.07$ 144 12/17/2019 Lisa Richter November 2019 Travel Expenses 187.59$ 145 12/17/2019 Sharon Richardson November 2019 Travel Expenses 99.45$ 146 12/17/2019 Kristy Riley November 2019 Travel Expenses 190.60$ 147 12/17/2019 Serena Rustad November 2019 Travel Expenses 31.20$ 148 12/17/2019 Maureen Salinas November 2019 Travel Expenses 281.19$ 149 12/17/2019 Jennifer Sammons November 2019 Travel Expenses 841.90$ 150 12/17/2019 Marta Sandoval November 2019 Travel Expenses 756.59$ 151 12/17/2019 Nicholas Schelle November 2019 Travel Expenses 106.08$ 152 12/17/2019 Travis Schlenger November 2019 Travel Expenses 417.30$ 153 12/17/2019 Michael Schmidt November 2019 Travel Expenses 157.20$ 154 12/17/2019 Nancy L. Schofield November 2019 Travel Expenses 234.39$ 155 12/17/2019 Julie Schubert November 2019 Travel Expenses 126.30$ 156 12/17/2019 Denise Schwery November 2019 Travel Expenses 202.02$ 157 12/17/2019 Mary Kay Sharkey November 2019 Travel Expenses 45.63$ 158 12/17/2019 Mark Shea November 2019 Travel Expenses 674.35$ 159 12/17/2019 Deb Shelton November 2019 Travel Expenses 95.55$ 160 12/17/2019 Jill Siefken November 2019 Travel Expenses 397.80$ 161 12/17/2019 Amanda Sigler November 2019 Travel Expenses 195.39$ 162 12/17/2019 Rebecca Singer November 2019 Travel Expenses 523.38$ 163 12/17/2019 Shelbi Slack November 2019 Travel Expenses 126.30$ 164 12/17/2019 LuAnn Slayton November 2019 Travel Expenses 31.20$ 165 12/17/2019 Lindsay Smith November 2019 Travel Expenses 480.48$ 166 12/17/2019 Melissa Smith November 2019 Travel Expenses 262.47$ 167 12/17/2019 Pamela Stangeland November 2019 Travel Expenses 902.53$ 168 12/17/2019 Jennifer Stattelman November 2019 Travel Expenses 336.96$

6


Check Check Date Payable To Description Amount169 12/17/2019 Patricia Stauter November 2019 Travel Expenses 295.23$ 170 12/17/2019 Julie Steinhoff November 2019 Travel Expenses 42.90$ 171 12/17/2019 Christine Sturgeon November 2019 Travel Expenses 1,258.41$ 172 12/17/2019 Donna Sump McClain November 2019 Travel Expenses 580.32$ 173 12/17/2019 Jill Sundblad November 2019 Travel Expenses 409.98$ 174 12/17/2019 Briana Swanson November 2019 Travel Expenses 276.12$ 175 12/17/2019 Janelle L. Swanson November 2019 Travel Expenses 385.12$ 176 12/17/2019 Teresa Teague November 2019 Travel Expenses 413.01$ 177 12/17/2019 Jane Thilges November 2019 Travel Expenses 263.64$ 178 12/17/2019 Melissa Thilges November 2019 Travel Expenses 78.39$ 179 12/17/2019 Amy Thompson November 2019 Travel Expenses 172.71$ 180 12/17/2019 Julia Torgersen November 2019 Travel Expenses 527.31$ 181 12/17/2019 Joni Trammell November 2019 Travel Expenses 288.60$ 182 12/17/2019 Jessica Ulrich November 2019 Travel Expenses 403.65$ 183 12/17/2019 Angela Van Beek November 2019 Travel Expenses 29.64$ 184 12/17/2019 Heidi Vasher November 2019 Travel Expenses 168.48$ 185 12/17/2019 Angela Vogel November 2019 Travel Expenses 354.90$ 186 12/17/2019 Karen Waid November 2019 Travel Expenses 163.21$ 187 12/17/2019 Karissa Walburg November 2019 Travel Expenses 80.34$ 188 12/17/2019 Jodi Ward November 2019 Travel Expenses 467.42$ 189 12/17/2019 Christine Wells November 2019 Travel Expenses 1,017.87$ 190 12/17/2019 Lynn Weringa November 2019 Travel Expenses 432.93$ 191 12/17/2019 Maria Weydert November 2019 Travel Expenses 42.12$ 192 12/17/2019 Tori Woiwood November 2019 Travel Expenses 180.57$ 193 12/17/2019 Jennifer Woodruff November 2019 Travel Expenses 283.92$ 194 12/17/2019 Jesscia Wright November 2019 Travel Expenses 315.90$ 195 12/17/2019 Pearl Wuebker November 2019 Travel Expenses 335.01$ 196 12/17/2019 Melissa K. Wurth November 2019 Travel Expenses 618.08$ 197 12/17/2019 Timothy Youngdahl November 2019 Travel Expenses 233.61$ 198 12/17/2019 Tiffanie Zaugg November 2019 Travel Expenses 591.24$

87988 12/17/2019 Amy Baker November 2019 Travel Expenses 35.00$ 87990 12/17/2019 Debra S. Bennett November 2019 Travel Expenses 47.58$ 87992 12/17/2019 Regina Blomberg November 2019 Travel Expenses 374.40$ 88000 12/17/2019 Diane Capesius November 2019 Travel Expenses 230.04$ 88001 12/17/2019 Heather Carr November 2019 Travel Expenses 49.14$ 88007 12/17/2019 David Cole November 2019 Travel Expenses 97.50$ 88042 12/17/2019 Sheila King November 2019 Travel Expenses 340.41$ 88054 12/17/2019 Patti Meyer November 2019 Travel Expenses 237.90$ 88059 12/17/2019 Jean Mohr November 2019 Travel Expenses 143.13$ 88075 12/17/2019 Leslie Pralle Osborn November 2019 Travel Expenses 1,326.83$ 88076 12/17/2019 Brenda Prentice November 2019 Travel Expenses 42.90$ 88083 12/17/2019 Anna Speers November 2019 Travel Expenses 181.35$ 88098 12/17/2019 Julie Tolliver November 2019 Travel Expenses 105.24$ 88099 12/17/2019 Jennifer L. Traub November 2019 Travel Expenses 156.78$ 88106 12/17/2019 Joy Weier November 2019 Travel Expenses 24.57$

66,590.69$

7


Check Check Date Payable To Description Amount

24 12/17/2019 Hope Brown Supplies/OpenSciEd Reimb. 294.31$ 36 12/17/2019 Shelley Conover Registration/NAEYC/TQPD/S.Con 900.00$ 37 12/17/2019 Michelle Conrad Shipping/Hearing Department 77.05$ 66 12/17/2019 Valerie K. Harmon Mileage/PD/Sub Authorization 46.80$

171 12/17/2019 Christine Sturgeon AASL meeting registration 414.00$ 171 12/17/2019 Christine Sturgeon Media Van Gas - Reimbursement 21.65$ 198 12/17/2019 Tiffanie Zaugg Travel/ATIA Conf./Reimb. 382.60$

87972 12/17/2019 4IMPRINT Convention Bags (qty. 300) 310.26$ 87972 12/17/2019 4IMPRINT Recruiting Supplies/Pens 156.48$ 87973 12/17/2019 A&M Laundry Inc Laundry Service/Poky Office 103.52$ 87974 12/17/2019 ABAI Registration/Autism Conf./Mia 2,710.00$ 87975 12/17/2019 Adafruit Industries Instructional Supplies/L.P.Os 329.70$ 87976 12/17/2019 Northwest AEA Data Support - 12/1/19-11/30/ 5,880.00$ 87977 12/17/2019 Grant Wood AEA 10 Iowa Culture & Language Conf. 295.00$ 87977 12/17/2019 Grant Wood AEA 10 Title III/Iowa Culture & Lang 180.00$ 87978 12/17/2019 Heartland AEA 11 IAAEA Playbook (qty. 20) 19.97$ 87979 12/17/2019 Ahlers & Cooney, P.C. Legal Services - Special Educ 195.00$ 87980 12/17/2019 American Library Association Media Production Supplies 57.80$ 87981 12/17/2019 Algona Municipal Utilities Water/Utilities - Nov. 2019 334.84$ 87982 12/17/2019 Algona Community School ECNCI/Tuition - Nov. & Dec. 2,280.00$ 87983 12/17/2019 Americinn Hotel & Suites Lodging/Media Directors Meeti 89.59$ 87984 12/17/2019 AmericInn - Council Bluffs Lodging/SCERTS Training 2,490.88$ 87985 12/17/2019 AmericInn Lodge & Suites - Ankeny Lodging/Dyslexia Conf./H.Vash 72.80$ 87986 12/17/2019 Assocation of Early Childhood Iowa Area Board Association Dues 445.00$ 87987 12/17/2019 ITIA Registration ATIA Registration/2020 Orland 1,975.00$ 87989 12/17/2019 Steve Bandow Snow Removal/Estherville Nov-D 200.00$ 87991 12/17/2019 Shawn Bennett Title III Conference Reimb. 8.00$ 87993 12/17/2019 Bomgaars Maintenance Supplies/SL 44.42$ 87994 12/17/2019 Books By the Bushel LLC Supplies - Book - ECSE Depart 197.05$ 87995 12/17/2019 BrainStorm Registration/BrainStorm/S.Fos 295.00$ 87996 12/17/2019 Brandt Interpreting and Transcribing, LLC Interperting Service Employmen 275.00$ 87997 12/17/2019 Briggs Wood Conference Center Facility Rental/ESSA Training 353.10$ 87998 12/17/2019 Sammie Bruce National Convention/Reimburse 299.22$ 87999 12/17/2019 Buena Vista University PD Class Registrations 130.00$ 87999 12/17/2019 Buena Vista University PLATE Conference - Facility Rent/Food 3,180.80$ 88002 12/17/2019 Casey's Business MasterCard Fuel Maint/Media Van - Nov. 20 852.70$ 88003 12/17/2019 City of Estherville Utilities/Garbage - Oct. 2019 84.41$ 88004 12/17/2019 City of Pocahontas Utilities/Water/Sewer - Oct. 2 3,751.39$ 88005 12/17/2019 City of Storm Lake Water/SL Office - Nov. 2019 284.96$ 88006 12/17/2019 Cleaning Solutions Inc Janitorial Services/Jefferson 160.00$ 88008 12/17/2019 Alma Cortez Title III Conference Reimb. 623.39$ 88009 12/17/2019 COUNSEL Storm Lake Office Supplies 44.82$ 88010 12/17/2019 Creative Signs & Graphics Wall Art/Poky 293.89$ 88011 12/17/2019 Crouse Brothers Masonry & Tuckpointing Remove Sign/Concrete/SL 500.00$ 88012 12/17/2019 Culligan Water Conditioning, Inc. - Boone Water/Jefferson Office 32.41$

8


Check Check Date Payable To Description Amount88013 12/17/2019 Anne Dahlhauser Title III Conference Reimb. 235.81$ 88014 12/17/2019 The Daily Reporter Inc Employment Advertising 14.60$ 88015 12/17/2019 Des Moines Stamp Notary Stamp/B.Prentice 33.00$ 88016 12/17/2019 Doors, Inc. Keys/Jefferson Office 3.00$ 88017 12/17/2019 Dump It Sanitation & Recycling, Inc. Garbage Hauling/Algona - Dec. 59.50$ 88018 12/17/2019 DynEd International, Inc. Licensing Renewal/Title III/D 5,040.00$ 88019 12/17/2019 East Sac County CSD EL Conference/Title III 295.00$ 88020 12/17/2019 Econo Lodge - Bettendorf Lodging/AT Meeting/T.Zaugg 61.60$ 88021 12/17/2019 Emmet County Public Health ECNCI/Tuition - November 3,600.00$ 88022 12/17/2019 Emmetsburg Community School EL Conference/Title III 1,601.42$ 88023 12/17/2019 eSpecial Needs, LLC 2019/20/OT/PT Consumables/Nov 64.85$ 88024 12/17/2019 Estherville Lincoln Central CSD ECNCI/Tuition - Sept-Dec. 1,650.00$ 88024 12/17/2019 Estherville Lincoln Central CSD Title III Conference Reimb. 1,517.29$ 88025 12/17/2019 Fairfield Inn & Suites Lodging/M.Shea 199.36$ 88026 12/17/2019 Farm & Home True Value Maintenance Supplies/Poky 39.99$ 88027 12/17/2019 Follett School Solutions Lending Library Supplies 736.47$ 88027 12/17/2019 Follett School Solutions Media Production Supplies 17.94$ 88028 12/17/2019 Jackie Fonley IEE Agreement/Outside Evaluat 849.50$ 88029 12/17/2019 Fort Dodge CSD EL Conference/Title III 3,415.80$ 88030 12/17/2019 Gemino Healthcare fbo MJCare Medicaid Billing Services 176.75$ 88031 12/17/2019 Grey House Publishing Lending Library Supplies 252.50$ 88032 12/17/2019 Steve Grill (The Contractor) Speaker Fee/Title III/ELL Cri 6,000.00$ 88033 12/17/2019 Guardian Angel Preschool ECNCI/Tuition - Sept-Dec. 2,400.00$ 88034 12/17/2019 Hawkeye Cleaning Services, LLC Janitorial Services/FD Office 1,050.50$ 88035 12/17/2019 Hope Haven, Inc. Janitorial - Estherville Office 173.00$ 88036 12/17/2019 Hy-Vee Food Stores McREL Training/Meals 688.99$ 88036 12/17/2019 Hy-Vee Food Stores Student Incentives/YSC 90.06$ 88037 12/17/2019 Iowa Association of Area Education Agencies Adobe Stock Photo License 533.31$ 88038 12/17/2019 Iowa Communications Network ICN-Account AEA00000028 - Nov. 2,196.40$ 88038 12/17/2019 Iowa Communications Network Telephone/AgencyAEA0008 - Nov. 5,964.94$ 88038 12/17/2019 Iowa Communications Network Telephone/FTDGAEA01 - Nov. 201 93.10$ 88039 12/17/2019 Imagine Learning Student Assessment Licenses/Title III ELL 71,910.00$ 88040 12/17/2019 Ia Braille & Sight Saving Sch Contracted Itinerant Teacher 22,041.60$ 88040 12/17/2019 Ia Braille & Sight Saving Sch Contracted Service - Nov. 2019 5,517.90$ 88041 12/17/2019 Jefferson Telecom Telephone/Jefferson - Dec. 201 539.10$ 88041 12/17/2019 Jefferson Telecom Telephone/Jefferson Apt. - Dec. 2019 89.70$ 88043 12/17/2019 Kossuth County Care Team ECNCI/Tuition - Sept., & Oct. 3,638.75$ 88044 12/17/2019 Kossuth Regional Health Ctr ECNCI - Oct. & Nov. 12,450.00$ 88045 12/17/2019 Brady L. Krischel November Hours 275.00$ 88046 12/17/2019 Kuypers Consulting, Inc. Web Training/Zones of Regulat 4,500.00$ 88047 12/17/2019 Lake Mills Community Preschool ECNCI/Tuition - Nov. & Dec. 1,500.00$ 88048 12/17/2019 The Laurens House of Print Media Production Supplies 55.00$ 88049 12/17/2019 Learning Without Tears Instructional Supplies for OT 26.45$ 88050 12/17/2019 Little Irish Preschool ECNCI/Tuition - Nov. & Dec. 500.00$ 88051 12/17/2019 Little Mustangs ECNCI/Tuition - September 1,800.00$ 88052 12/17/2019 McConnell's Custom Construction Remodel Break Room/SL 445.00$

9


Check Check Date Payable To Description Amount88052 12/17/2019 McConnell's Custom Construction Snow Removal/Jefferson 30.00$ 88053 12/17/2019 Menards Building Maintenance Supplies 66.34$ 88053 12/17/2019 Menards Supplies/Jefferson Office 183.21$ 88055 12/17/2019 Midamerican Energy Company Utilities/Storm Lake - Nov. 2 1,262.01$ 88056 12/17/2019 Mid-Sioux Opportunity ECNCI/Tuition - November 7,574.68$ 88057 12/17/2019 Midstate Plumbing Furnace Filters 76.20$ 88057 12/17/2019 Midstate Plumbing Pipe Tape and Zoom Spout Oiler 34.57$ 88057 12/17/2019 Midstate Plumbing Replace Disconnects/FD Office 703.99$ 88058 12/17/2019 Mid States Audio, Inc. Technology Supplies/Projector 1,247.00$ 88060 12/17/2019 National Council for Behavioral Health Host Site/Youth Mental Health 26,000.00$ 88061 12/17/2019 Randy Nees November 2019 sub driving hou 143.00$ 88062 12/17/2019 Office Elements SL Desk for Secretarial Area 225.00$ 88063 12/17/2019 OPC Direct Media Paper Supplies 419.34$ 88064 12/17/2019 Otis Elevator Company Elevator Service Contract - Dec 1,050.00$ 88065 12/17/2019 Palo Alto Community Health ECNCI/Tuition - November 3,450.00$ 88066 12/17/2019 Pearson's Clinical Assessment Assessments-DAYC-2-Early Chil 905.10$ 88067 12/17/2019 Pederson Sanitation Garbage Hauling/FD Office 396.13$ 88068 12/17/2019 Luis Perez PLATE Conference - Speaker 300.00$ 88069 12/17/2019 Pitney Bowes Purchase Power Postage Meter Refill/FD Offic 1,965.00$ 88070 12/17/2019 Plunkett's Pest Control Pest Control/Poky Office - Nov 51.60$ 88071 12/17/2019 Pocahontas Inn & Suites Lodging Exp/Kris Ahrens/9.3.1 72.80$ 88071 12/17/2019 Pocahontas Inn & Suites Lodging/NTC Year 1/J.Randel 145.60$ 88071 12/17/2019 Pocahontas Inn & Suites Lodging/STEM Festival/L.Campbell 72.80$ 88071 12/17/2019 Pocahontas Inn & Suites Lodging/T.Christopher - Sept. 72.80$ 88072 12/17/2019 Point Made Learning Title III/Workshop Materials 16,538.53$ 88073 12/17/2019 Lori Porsch Contracted IPLA Services - No 1,125.00$ 88074 12/17/2019 Powhatan Travel Service ABAI Autism Conf./Flight/Miam 1,634.00$ 88074 12/17/2019 Powhatan Travel Service Travel/Positive Behavior Conf 589.00$ 88077 12/17/2019 Proshield Fire Protection Fire Extinguisher Inspection 93.00$ 88078 12/17/2019 Quill Corporation Office supplies Webster City 99.81$ 88079 12/17/2019 Mark Reynolds November 2019 sub driving hou 263.25$ 88080 12/17/2019 Ries's Water Service Water/Poky Office 200.00$ 88081 12/17/2019 Security Equipment Inc Security Alarm Reset/FD Office 724.00$ 88082 12/17/2019 Seton Grade School ECNCI/Tuition - December 460.02$ 88082 12/17/2019 Seton Grade School ECNCI/Tuition - November 460.02$ 88084 12/17/2019 Spencer Municipal Utilities Internet/Spencer - Dec. 2019 135.00$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/Early Childhood/J.Sammons 199.36$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/EC Leadership/S.Conoven 145.60$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/EC State Leadership/J.Hawkins 199.36$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/M.Lentsch 11.14.19 99.68$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/State Meetig/T.DeMey 199.36$ 88085 12/17/2019 Springhill Suites-Marriott Lodging/State Meeting/K.Baish 99.68$ 88086 12/17/2019 Staples Advantage FD Office Supplies 257.70$ 88086 12/17/2019 Staples Advantage Meeting Supplies/EER 58.20$ 88086 12/17/2019 Staples Advantage Office Supplies/Algona 66.96$ 88086 12/17/2019 Staples Advantage Office Supplies/C.Wells 88.69$

10


Check Check Date Payable To Description Amount88086 12/17/2019 Staples Advantage Office Supplies/Spencer 337.77$ 88086 12/17/2019 Staples Advantage Supplies/SPED/Algona 57.38$ 88087 12/17/2019 Starnet - River Valley Tel. Coop Internet/Gruver School - Dec. 75.00$ 88088 12/17/2019 Sterling YSC Equipment/Chromebook 960.00$ 88089 12/17/2019 Storm Lake CSD 1st Quarter - Title III 16,275.18$ 88090 12/17/2019 The Storm Lake Times Advertising/Job Postings 164.62$ 88091 12/17/2019 Super 8 Lodging/PLATE Conf./AT Team 416.64$ 88092 12/17/2019 Super Duper Publications Autism Photo Cards/SLP Supplies 104.95$ 88093 12/17/2019 Supporting Success for Children w/Hearing Los Online Training for Audiology 597.00$ 88094 12/17/2019 Syntex Industries Media Production Services 400.00$ 88095 12/17/2019 Teacher Learning Center Registration/TQPD/S.Fairweath 245.00$ 88095 12/17/2019 Teacher Learning Center Staff registration for November 1,225.00$ 88096 12/17/2019 Paul Tedesco Contracted IPLA Services - Nov 1,575.00$ 88097 12/17/2019 Tobii Dynavox SPED Boardmaker Plus Upgrade 104.00$ 88100 12/17/2019 Upper Des Moines Opportunity ECNCI/Tuition - November 4,096.00$ 88101 12/17/2019 Vision Auto Glass & Repair Windshield Repair Media Van 70.00$ 88102 12/17/2019 Wallace's Water Condition Inc Water/Estherville - Dec. 2019 10.50$ 88103 12/17/2019 The Water Connection Water/Algona - Dec. 2019 11.00$ 88104 12/17/2019 Webster City CSD Title III Conference Reimb. 5,523.07$ 88105 12/17/2019 Webster County Health Department ECNCI/Tuition - November 1,393.05$ 88105 12/17/2019 Webster County Health Department ECNCI/Tuition - October 1,902.24$ 88107 12/17/2019 Welding Innovations Recylying Containing/Landfill 385.00$ 88108 12/17/2019 Wells Fargo Meals/Lodging/Book 649.60$ 88109 12/17/2019 Wells Fargo Lodging/Meals/Apps/Online Licence 2,219.02$ 88110 12/17/2019 Westone Laboratories, Inc. Earmolds/Audiology/Storm Lake 100.10$ 88111 12/17/2019 WINDSTREAM Telephone/SL Office - Dec. 2019 121.20$ 88112 12/17/2019 Winnebago County Public Health ECNCI/Tuition - November 11,271.29$ 88113 12/17/2019 Wood's Super Market PLAEA Board/Office Supplies Pocahontas 61.28$ 88114 12/17/2019 Xerox Media Production Supplies 6,942.09$ 88115 12/12/2019 Benefits, Inc. Claims paid 12/9 to 12/13 4,109.33$

327,601.69$

Total Bills December 2019 407,311.89$

Prairie Lakes AEA December 17, 2019Budget Summary forNovember 30, 2019

REVENUE SUMMARY

Budget November YTD BalanceSpecial Education Support 19,349,311.61 3,408,168.15 6,610,758.63 12,738,552.98 Media Services 2,334,733.73 205,682.48 676,866.51 1,657,867.22 Educational Services 2,958,315.17 223,424.27 874,252.39 2,084,062.78 Special Education Instruction 1,240,000.00 9,772.59 83,933.60 1,156,066.40 Other Income - 23.70 9,747.49 Self Partial Fund Health Ins. - 20,093.27 99,489.27 Totals 25,882,360.51 3,867,164.46 8,355,047.89 17,626,801.89

EXPENDITURE SUMMARY

Budget Admin. November YTD BalanceAdministration 1,200,000.00 69,884.68 539,501.37 660,498.63 Sp Educ Support 19,349,311.61 (948,000.00) 1,400,483.13 5,474,117.32 12,927,194.29 Media Services 2,334,733.73 (120,000.00) 138,345.54 803,376.24 1,411,357.49 Educational Services 2,958,315.17 (120,000.00) 242,456.84 945,439.37 1,892,875.80 Sp Educ Instruction 1,240,000.00 (12,000.00) 103,063.72 341,743.99 886,256.01 Self Partial Fund Health Ins. - - 15,643.94 96,741.88 Totals 25,882,360.51 - 1,969,877.85 8,200,920.17 17,778,182.22

Net income (loss) 1,897,286.61 154,127.72

Percentage of budget spent 32%Percentage of budget unspent 69%

Prairie Lakes AEA December 17, 2018Budget Summary forNovember 30, 2018

REVENUE SUMMARY

Budget November YTD BalanceSpecial Education Support 20,153,172.93 2,081,755.75 6,420,926.54 13,732,246.39 Media Services 2,529,537.22 217,283.68 695,863.07 1,833,674.15 Educational Services 2,916,187.56 232,069.87 770,376.23 2,145,811.33 Special Education Instruction 1,305,000.00 2,027.35 85,500.00 1,219,500.00 Other Income - 4,972.70 19,460.10 Self Partial Fund Health Ins. - 13,411.87 67,497.52 Totals 26,903,897.71 2,551,521.22 8,059,623.46 18,911,771.77

EXPENDITURE SUMMARY

Budget Admin. November YTD BalanceAdministration 1,200,000.00 85,186.33 554,639.18 645,360.82 Sp Educ Support 20,153,172.93 (948,000.00) 1,367,643.68 5,215,188.34 13,989,984.59 Media Services 2,529,537.22 (120,000.00) 117,935.37 619,062.20 1,790,475.02 Educational Services 2,916,187.56 (120,000.00) 281,113.82 859,574.58 1,936,612.98 Sp Educ Instruction 1,305,000.00 (12,000.00) 105,797.07 336,950.10 956,049.90 Self Partial Fund Health Ins. - - 17,466.67 80,614.54 Totals 26,903,897.71 - 1,975,142.94 7,666,028.94 19,318,483.31

Net income (loss) 576,378.28 393,594.52

Percentage of budget spent 28%Percentage of budget unspent 72%

CASH SUMMARY 2019 2018

Checking Account Balance-Book balance at 11/30/19 4,308,129.20$ 3,559,223.20$

Checking Account Balance-Bank Statement balance at 11/30/19 4,346,635.61$ 3,611,767.46$ Less: Outstanding Checks (38,506.41)$ (52,544.26)$ Bank statement reconciled to book balance: 11/30/19 4,308,129.20$ 3,559,223.20$

Less: Monthly bills 12/17/19 (407,311.89)$ (386,636.51)$ Less: Monthly Payroll 12/20/19 (1,708,295.45)$ (1,641,024.13)$ Adjusted Checking Account Balance 2,192,521.86$ 1,531,562.56$

Add: Deposits 12/01/19 to 12/13/19 36,607.05$ 22,586.25$ Pending - State Aide/TSS/TQ/Juv Home 12/19/19 1,450,820.00$ 1,426,000.00$ Cash balance 3,679,948.91$ 2,980,148.81$

Bank BankBalance Balance

11/30/2019 11/30/2018Wells Fargo Bank, N.A.:Commercial Checking account 4,247,469.58$ 3,379,494.10$ Merchant account 30,235.94$ 57,136.72$ Commercial Checking account - PSF 68,930.09$ 175,136.64$

4,346,635.61$ 3,611,767.46$

Board Presentation for Grant Application for AT Department Purpose: To apply for funds through Palo Alto County Gaming Commission (‘Emmetsburg Casino) to assist in purchasing a telepresence robot for check out. This telepresence robot would be able to be used by students that are homebound, hospital bound, and/or transitioning back into their home district from Lakes Partnership School. Rationale: IDEA requires that students have assistive technology when it is required for a free appropriate public education.. One way AEAs support schools is by providing assistive technology for students on a short term basis. Due to budget constraints, we have not been able to purchase larger pieces of equipment for several years. By accessing possible grant money, Prairie Lakes AEA would be able to obtain a telepresence robot, with less hardship to the AEA special education budget. Our AEA does have students that are medically frail and that do not attend school during flu season and this would provide them an opportunity to attend school all year long. The telepresence robot would also help students who are at the Lakes Partnership school (or other similar programs) to have a chance to transition back to his/her home school district virtually before their transition back physically. This could allow for a better transition back to his/her home district and allow staff to monitor behavior prior to the physical transition. Several other AEAs have this technology available and have found it useful in helping students access their local classrooms. Requirements: The grant application process is being completed by Tiffanie Zaugg, assistive technology coordinator, and is required to be submitted by December 31, 2019. The mini-grant, which is less than $5000, would require our AEA to match the funds by 10%. The price of one telepresence robot is $4700, which includes the robot and carrying case. Here is the link for more information on the telepresence robot: https://www.doublerobotics.com/education/ The grant requires that the application be board approved for our AEA. The support of the board in this application process would be greatly appreciated to assist in funding for the telepresence robot. Thank you for your support of this grant application and consideration of matching funds of 10%.

https://www.doublerobotics.com/education/

Prairie Lakes Area Education Agency Tuesday, December 17, 2019 – 4:00 P.M. Regular ... · 2 days...

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Transcript of Prairie Lakes Area Education Agency Tuesday, December 17, 2019 – 4:00 P.M. Regular ... · 2 days...