BPW gets Unqualified Opinion on 2011 audit
Jerry E. Halmon, Staff Reporter
The Bamberg Board of
Public Works (BPW) received
an “unqualified opinion” on its
2011 audit, H. Del Brown, CPA
of Barnwell told Commissioners
at their Thursday, May 31,
meeting. The unqualified
opinion was an improvement
over last year’s “qualified
opinion” the utility company
received on its 2010 audit for
coming short of compliance
with governmental accounting
standards (GASB-45) in the area
of post-employment benefits
relating to health insurance on
retired employees.
“We were able to get those
requirements followed and you
got an unqualified opinion
again,” Brown told BPW
Commissioners.
In giving an overview of the
BPW’s 2011 audit, Brown noted
the company had a total net
worth of $21 million dollars,
with $5.7 million in unrestricted
assets and $15.9 million in
physical assets (not cash or
receivables) IE. power lines, gas
and water systems etc.
Under operating income or
loss, Brown noted the company
had a $1.465 million loss
overall, with $1.3 million
coming in depreciations. “And
that’s understandable,” Brown
said. Brown noted that
electricity had “a slight profit.”
While sewer and water had
“significant losses” and gas had
a profit.
Under non-operating
expenses, Brown noted the
BPW had a loss of $12,600 in
the sale of land for the new
elementary school to the school
district. Brown reported that in
the area of cash flow, which he
called “one of the most
important statements” because it
tells you where the money is
going and where it came from,
the company had a $379,000
decrease in cash flow for the
year.
“That’s one reason we got
the rate study going on,” Brown
said, adding “when you have a
decrease in cash of $379,000
and $1.3 million in
depreciations, that’s where the
$1.6 million loss comes from.
That’s how those things tie
together.”
It was noted that under the
category of long-term debt the
iron removal facility note had
been paid off.
BPW General Manager
Will Martin stated that he should
have a draft of recommendations
for rates changes for the next
fiscal year by next week.
Also during the meeting:
• Commissioners approved
as a non-budgeted item a low bid
of $131,006 for E-Z Fabricators
for improvements to the
warehouse and operations center
on Elm Street.
• In the general manager’s
report, Manager Martin reported
that the line truck has been
repaired and back in service.
Martin noted that maintenance
to only two or three lift stations
out of 10 are ongoing while the
others are complete. Well #8 has
received the majority of its
needed parts and will take
another six weeks to complete.
• A SCAMPS meeting is
scheduled for July 8-11 at Hilton
Head.
• A Santee Cooper rate
presentation will be made at the
June 21, BPW meeting.
