Menominee Indian Tribe of Wisconsin Financial and Compliance Report September 30, 2012 8 Assurance -Tax-I Consulting Contents Financial Section Independent Auditor's Report on the Primary Government Financial Statements and Supplementary Information Basic Financial Statements Government-wide financial statements: Statement of net assets Statement of activities Fund financial statements: Balance sheet--governmental funds Statement of revenues, expenditures and changes in fund balances--governmental funds Reconciliation of the statement of revenues, expenditures and changes in fund balances of governmental funds to the statement of activities Statement of net assets--proprietary funds Statement of revenues, expenses and changes in fund net assets--proprietary funds Statement of cash flows--proprietary funds Statement of fiduciary net assets Notes to financial statements 1-2 3 4 5 6 7 8 9 10 11 12-33 Required Supplementary Information Section Budgetary comparison schedule--general fund 34-36 Combining Fund Statements Section Combining balance sheet--Federal Programs Fund--federal award programs Combining statement of revenues, expenditures and changes in fund balances--Federal Programs Fund--federal award programs Combining balance sheet--State Programs Fund--state award programs Combining statement of revenues, expenditures and changes in fund balances--State Programs Fund--state award programs Combining balance sheet--Settlement Fund--settlement agreements Combining statement of revenues, expenditures and changes in fund balances-- Settlement Fund--settlement agreements Combining balance sheet--nonmajor governmental funds Combining statement of revenues, expenditures and changes in fund balances--nonmajor governmental funds Combining balance sheet--nonmajor governmental funds--other funding sources Combining statement of revenues, expenditures and changes in fund balances--nonmajor governmental funds--other funding sources Combining statement of net assets--proprietary funds--nonmajor enterprise funds Combining statement of revenues, expenses and changes in fund net assets--proprietary funds--nonmajor enterprise funds Combining statement of cash flows--proprietary funds--nonmajor enterprise funds Combining statement of net assets--proprietary funds--internal service funds Combining statement of revenues, expenses and changes in fund net assets--proprietary funds--internal service funds Combining statement of cash flows--proprietary funds--internal service funds 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52-53 Single Audit Report Section Independent Auditor's Reports 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 Compliance With Requirements That Could Have a Direct and Material Effect on Each Major Federal and State Program and on Internal Control Over Compliance in Accordance With OMB Circular A-133 and the State of Wisconsin Single Audit Guidelines Schedule of expenditures of federal awards Schedule of expenditures of state awards Notes to schedules of expenditures of federal and state awards Schedule of findings and questioned costs Schedule of prior-year state audit findings 54-55 56-57 58-73 74-76 77 78-79 80 Financial Section Independent Auditor's Report on the Primary Government Financial Statements and Supplementary Information To the Members of the Tribal Executive Council Menominee Indian Tribe of Wisconsin 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 Menominee Indian Tribe of Wisconsin (the Tribe) as of and for the year ended September 30, 2012, which collectively comprise the basic financial statements of the Tribe's primary government as listed in the table of contents. These financial statements are the responsibility of the Menominee Indian Tribe of Wisconsin's management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America 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 of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. The financial statements referred to previously include only the primary government of the Tribe, which consists of all funds, organizations, institutions, agencies, departments and offices that comprise the Tribe's legal entity. The financial statements do not include financial data for the Tribe's legally separate component units, which accounting principles generally accepted in the United States of America require to be reported with the financial data of the Tribe's primary government. As a result, the primary government financial statements do not purport to, and do not, present fairly the financial position of the reporting entity of the Tribe as of September 30, 2012, the changes in its financial position or, where applicable, its cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with accounting principles generally accepted in the United States of America, the Tribe has issued separate reporting entity financial statements, for which we have issued our report dated June 11, 2013. In our opinion, the financial statements referred to previously 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 for the primary government of Menominee Indian Tribe of Wisconsin as of September 30, 2012, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. 1 In accordance with Government Auditing Standards, we have also issued our report dated June 11, 2013, on our consideration of Menominee Indian Tribe of Wisconsin's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, and other matters. The purpose of that report is 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 internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. Accounting principles generally accepted in the United States of America for state and local governments require that the budgetary comparison schedule on pages 34 through 36 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board (GASB), who 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 auditing standards generally accepted in the United States of America, 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. Management has not presented the management's discussion and analysis that governmental accounting principles generally accepted in the United States of America require to be presented to supplement the basic financial statements. Such missing information, although not a part of the basic financial statements, is required by the GASB, who considers it to be an essential part of the financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. Our opinion on the basic financial statements is not affected by this missing information. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Tribe's basic financial statements. The combining fund financial statements and schedules, as listed in the table of contents, including the schedules of expenditures of federal and state awards as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements, including comparing and reconciling such information to the underlying accounting and other records used to prepare the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Minneapolis, Minnesota June 11, 2013 2 Menominee Indian Tribe of Wisconsin Statement of Net Assets September 30, 2012 Primary Government Governmental Business-Type Activities Activities Assets Current Assets Cash and investments Receivables, net Due from component unit Internal balances Inventories Prepaid expenses Total current assets $ Noncurrent Assets Restricted cash, cash equivalents and investments Mortgage and other receivables Capital assets, net Total noncurrent assets Total assets 40,074,261 6,870,041 8,161 339,834 241,742 489,222 48,023,261 $ 9,720,465 12,520,641 39,438,226 61,679,332 $ 109,702,593 $ $ $ 1,544,275 2,910,332 16,377 (339,834) 26,896 165,310 4,323,356 23,068,924 23,068,924 27,392,280 Total $ 41,618,536 9,780,373 24,538 268,638 654,532 52,346,617 9,720,465 12,520,641 62,507,150 84,748,256 $ 137,094,873 Liabilities and Net Assets Current Liabilities Current portion of long-term obligations Accounts payable and accrued expenses Claims payable Deferred revenue Total current liabilities Noncurrent Liabilities Long-term obligations Total liabilities 198,889 5,867,269 1,632,202 11,426,736 19,125,096 75,845 250,716 326,561 $ 274,734 6,117,985 1,632,202 11,426,736 19,451,657 $ 3 3,785,027 4,111,588 $ 5,575,029 25,026,686 39,438,226 $ 19,208,052 $ 58,646,278 $ See Notes to Financial Statements. $ $ Net Assets Invested in capital assets, net of related debt Restricted: Settlement Fund--nonexpendable Settlement Fund--expendable Loan programs Grant programs Unrestricted Total net assets 1,790,002 20,915,098 8,000,000 1,746,086 13,912,770 25,690,413 88,787,495 $ 2,427,086 1,645,554 23,280,692 8,000,000 1,746,086 2,427,086 13,912,770 27,335,967 $ 112,068,187 Menominee Indian Tribe of Wisconsin Statement of Activities For the Year Ended September 30, 2012 Functions/Programs Primary government: Governmental activities: Government affairs Enforcement and resource protection Health and family Housing Labor, education and community training Community development Total governmental activities Business-type activities: Utilities Gaming Other Total business-type activities Total primary government Sales and Charges for Services Expenses $ $ 2,465,906 7,840,112 26,674,230 5,942,892 16,161,541 8,569,384 67,654,065 1,448,384 164,450 399,644 2,012,478 69,666,543 $ $ 749,437 87,167 5,616,958 5,834,549 942,888 1,542,514 14,773,513 662,924 164,450 762,146 1,589,520 16,363,033 Program Revenues Operating Grants and Contributions $ 1,002,505 2,101,713 20,777,102 3,514,551 12,104,735 5,567,766 45,068,372 $ 177,310 268,659 808,490 16,590 1,186,236 1,662,696 4,119,981 Net (Expense) Revenue and Changes in Net Assets Governmental Business-Type Activities Activities Total $ $ - $ (536,654) (5,382,573) 528,320 3,422,798 (1,927,682) 203,592 (3,692,199) (3,692,199) General revenues and transfers: Intergovernmental revenues Unrestricted investment income (loss) Loss on transfer of capital assets and other Transfers Total general revenues and transfers Change in net assets Net assets, beginning Net assets, ending $ See Notes to Financial Statements. 4 (785,460) 458,479 (326,981) (326,981) (785,460) 458,479 (326,981) (4,019,180) (25,262) 6,751,262 6,726,000 8,702,776 2,257,226 (2,322,231) 8,637,771 (1,780,428) $ 4,119,981 (536,654) (5,382,573) 528,320 3,422,798 (1,927,682) 203,592 (3,692,199) 8,702,776 2,282,488 (2,322,231) (6,751,262) 1,911,771 $ 95,977 95,977 45,164,349 Capital Grants and Contributions 6,399,019 4,618,591 16,881,673 23,280,692 107,449,596 $ 112,068,187 90,567,923 88,787,495 $ Menominee Indian Tribe of Wisconsin Balance Sheet--Governmental Funds September 30, 2012 Federal Programs General Assets Cash and Investments $ Receivables, net Due From Other Funds Inventories Prepaid Expenditures Advance to Component Unit Mortgage and Other Receivables Restricted Cash, Cash Equivalents and Investments $ Total assets 4,576,787 1,203,695 2,959,869 68,566 58,120 537,500 9,404,537 $ $ 11,582,251 709,491 78,080 12,369,822 Menominee Tribal Housing Tribal Clinic $ $ 15,224,129 631,745 45,486 15,901,360 $ $ State Award Programs Settlement Fund 3,236,335 1,664,428 200,000 171,372 20,223 8,161 11,983,141 17,283,660 $ 37,175 9,720,465 $ 9,757,640 $ $ 798,029 47,259 12,582,582 13,427,870 $ $ 191,595 410,605 3,253,590 3,855,790 17,283,660 8,000,000 1,746,086 9,746,086 $ 9,757,640 175,793 1,744,872 39,639 1,960,304 Nonmajor Governmental Funds $ $ 293,221 207,399 2,815 503,435 Total Governmental Funds $ $ 35,088,516 6,198,805 3,159,869 239,938 244,363 8,161 12,520,641 9,720,465 67,180,758 Liabilities and Fund Balances Liabilities Accounts payable Accrued liabilities Due to other funds Advance from other funds Deferred revenue Total liabilities Fund Balances Nonspendable Restricted Committed Assigned Unassigned Total fund balances Total liabilities and fund balances $ $ 629,089 310,003 77,221 1,016,313 126,686 8,261,538 8,388,224 9,404,537 $ $ 2,130,047 160,102 655,262 9,424,411 12,369,822 12,369,822 $ $ 475,448 140,834 1,738,120 2,354,402 45,486 13,501,472 13,546,958 15,901,360 $ $ 11,554 11,554 $ 703,231 51,911 1,101,923 102,546 1,959,611 693 693 1,960,304 $ $ Amounts reported for governmental activities in the statement of net assets are different because: Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds. Internal service funds are used by management to charge the costs of certain activities to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. Mortgage receivable balances are not available for use for current governmental purposes and, therefore, are reported as deferred in the funds. Long-term liabilities, including compensated absences, are not due and payable in the current period and, therefore, are not reported in the funds. Net assets of governmental activities See Notes to Financial Statements. 5 51,506 22,818 66,606 99,718 240,648 2,675 260,112 262,787 503,435 $ 4,798,904 732,927 1,823,791 77,221 23,947,377 31,380,220 $ 8,366,442 15,658,856 260,112 3,253,590 8,261,538 35,800,538 67,180,758 $ 39,438,226 $ 3,016,981 12,520,641 (1,988,891) 88,787,495 Menominee Indian Tribe of Wisconsin Statement of Revenues, Expenditures and Changes in Fund Balances--Governmental Funds For the Year Ended September 30, 2012 Federal Programs General Revenues: Intergovernmental Charges for services and other Proceeds from sale of capital assets Investment earnings (loss) Total revenues $ Menominee Tribal Housing Excess (deficiency) of revenues over expenditures 8,502,776 2,134,952 201,000 719,665 11,558,393 $ 25,340,310 598,939 1,100 444 25,940,793 $ 14,200,823 5,053,300 57,205 19,311,328 $ 2,980,932 5,601,328 14,066 8,596,326 989,994 4,459,915 4,639,522 486,335 12,436,219 3,337,852 26,349,837 17,217,644 17,217,644 8,212,265 8,212,265 151,062 88,899 196,529 436,490 2,093,684 384,061 1,042,512 447,080 Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) (409,044) 12,968 (4,061,552) (4,048,584) 409,044 409,044 (3,601,504) Net change in fund balances $ State Award Programs Settlement Fund 2,363,686 3,123,583 1,373,973 1,421,892 2,828,179 11,111,313 Expenditures: Current: Governmental affairs Enforcement and resource protection Health and family Housing Labor, education and training Community development Total expenditures Fund balances, beginning of year Fund balances, end of year Tribal Clinic 11,989,728 8,388,224 137 (358) (221) $ 1,479,002 1,479,002 (30,491) (30,491) 2,093,463 353,570 11,453,495 $ 13,546,958 3,502,220 $ 3,855,790 8,831,071 $ 9,746,086 See Notes to Financial Statements. 6 $ Total Governmental Funds 538,330 868,006 356 1,406,692 $ 57,891,129 14,773,513 202,100 2,270,738 75,137,480 61,016 1,026,456 686,137 153,655 1,927,264 3,694,605 7,940,861 27,057,939 8,962,204 15,388,204 9,876,578 72,920,391 (820,632) 2,217,089 521,497 (12,968) 508,529 1,763,463 (4,233,003) (2,469,540) (952) $ (520,572) 819,817 (137) 819,680 915,015 - 6,327,958 516,988 6,844,946 189,863 296,347 2,711,445 263,604 647,427 3,556,892 7,665,578 (127,497) (127,497) - $ $ Nonmajor Governmental Funds (12,043) (252,451) 1,645 693 $ 274,830 262,787 36,052,989 $ 35,800,538 Menominee Indian Tribe of Wisconsin Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities For the Year Ended September 30, 2012 Net change in fund balances--governmental funds $ Amounts reported for governmental activities in the statement of activities are different because: Capital outlays are reported as expenditures in governmental funds. However, in the statement of activities, the cost of capital assets is allocated over their useful lives as depreciation expense. In the current period, these amounts are: Capital outlay expenditures Depreciation expense Transfer of capital assets to proprietary and fiduciary funds and other Net capital outlay Internal service funds are used by management to charge the costs of certain activities to individual funds. The net income or loss of the internal service funds is reported with governmental activities. Some items reported in the statement of activities are not available or do not require the use of current financial resources and, therefore, are not reported as revenues or expenditures in the governmental funds: Increase in mortgage and other receivables Increase in compensated absences Transfer of long-term debt related to capital assets transferred to enterprise funds Change in net assets of governmental activities See Notes to Financial Statements. 7 $ (252,451) 4,119,981 (3,211,854) (8,561,835) (7,653,708) 1,324,462 3,104,180 (58,693) $ 1,755,782 (1,780,428) Menominee Indian Tribe of Wisconsin Statement of Net Assets--Proprietary Funds September 30, 2012 Assets Current Assets Cash and cash equivalents Receivables, net Inventories Prepaid expenses Current portion of advance to other funds Current portion of advance to component unit Total current assets Water Utility $ Noncurrent Assets Advance to other funds 179,812 155,900 26,896 4,930 367,538 $ 62,225 72,107 6,163 140,495 $ 150,000 150,000 Nonmajor Funds $ 1,302,238 2,682,325 4,217 37,455 5,116 4,031,351 Internal Service Funds Total $ 1,544,275 2,910,332 26,896 165,310 37,455 5,116 4,689,384 $ 4,985,745 671,236 1,804 244,859 5,903,644 - Capital assets Less accumulated depreciation Total capital assets - - 39,766 39,766 - - Advance to component unit Total noncurrent assets Total assets Enterprise Funds Project Eagle Sewer Utility - - 11,261 11,261 - 10,534,617 (1,937,399) 8,597,218 9,588,953 (2,728,343) 6,860,610 6,708,527 6,708,527 2,134,844 (1,232,275) 902,569 28,966,941 (5,898,017) 23,068,924 - 8,597,218 $ 8,964,756 6,860,610 $ 7,001,105 6,708,527 $ 6,858,527 953,596 $ 4,984,947 23,119,951 $ 27,809,335 $ 5,903,644 $ $ $ 96,094 53,906 150,000 $ $ $ 150,000 770,786 770,786 $ 1,063,523 Liabilities and Net Assets Current Liabilities Accounts payable and accrued expenses Claims payable Due to other funds Current portion of long-term debt Total current liabilities 75,613 24,784 100,397 19,787 160,669 20,026 200,482 Noncurrent Liabilities Long-term debt Total noncurrent liabilities Total liabilities 1,749,278 1,749,278 $ 1,849,675 1,264,963 1,264,963 $ 1,465,445 $ Net Assets Invested in capital assets, net of related debt Restricted for loan programs Unrestricted Total net assets $ 6,823,156 291,925 $ 7,115,081 $ 5,575,621 (39,961) $ 5,535,660 $ 6,708,527 $ 6,708,527 See Notes to Financial Statements. 8 $ 59,222 202,480 31,035 292,737 100,748 2,427,086 1,393,590 $ 3,921,424 $ 250,716 417,055 75,845 743,616 3,785,027 3,785,027 4,528,643 $ 19,208,052 2,427,086 1,645,554 $ 23,280,692 335,438 1,632,202 919,023 2,886,663 $ 2,886,663 $ 3,016,981 $ 3,016,981 Menominee Indian Tribe of Wisconsin Statement of Revenues, Expenses and Changes in Fund Net Assets--Proprietary Funds For the Year Ended September 30, 2012 Water Utility Operating revenues: Charges for services Interest on loans Total operating revenues Operating expenses: Salaries, wages and benefits Insurance claims Other Depreciation Total operating expenses Operating income (loss) Nonoperating revenues (expenses): Investment earnings Intergovernmental grants Interest expense Total nonoperating revenues (expenses) Income (loss) before transfers and contributions Transfers: Transfers in Capital contributions Change in net assets Net assets, beginning of year Net assets, end of year $ 279,888 279,888 Sewer Utility $ 247,321 247,321 Enterprise Funds Project Eagle $ 164,450 164,450 164,450 164,450 Nonmajor Funds $ 726,611 171,250 897,861 155,714 295,496 58,270 509,480 Internal Service Funds Total $ 1,418,270 171,250 1,589,520 $ 20,714,259 20,714,259 399,990 761,410 685,688 1,847,088 4,016,844 11,858,757 3,525,946 19,401,547 86,114 139,415 336,814 562,343 158,162 162,049 290,604 610,815 (282,455) (363,494) - 388,381 (257,568) 1,312,712 87 (73,748) (27,110) (49,895) - 1,761 95,977 (41,747) (25,262) 95,977 (165,390) 11,750 - (73,661) (77,005) - 55,991 (94,675) 11,750 (356,116) (440,499) - 444,372 (352,243) 1,324,462 73,409 1,775,164 1,848,573 54,088 2,506,558 2,560,646 2,311,552 2,311,552 30,491 30,491 2,469,540 4,281,722 6,751,262 1,492,457 2,120,147 2,311,552 474,863 6,399,019 5,622,624 $ 7,115,081 3,415,513 $ 5,535,660 4,396,975 $ 6,708,527 3,446,561 $ 3,921,424 16,881,673 $ 23,280,692 See Notes to Financial Statements. 9 1,324,462 $ 1,692,519 3,016,981 Menominee Indian Tribe of Wisconsin Statement of Cash Flows--Proprietary Funds For the Year Ended September 30, 2012 Water Utility Cash Flows From Operating Activities Receipts from customers Payments to suppliers Payments for claims Payments to employees Net cash provided by (used in) operating activities $ 254,650 (70,282) (158,162) $ 164,450 (211,044) - 392,959 (324,263) (155,714) $ 1,088,307 (698,168) (399,990) $ 20,612,707 (3,477,584) (12,134,873) (4,016,844) (87,018) $ (9,851) 26,206 54,088 2,311,552 95,977 30,491 95,977 2,469,540 - 73,409 54,088 2,311,552 126,468 2,565,517 - (972,922) 956,627 (73,748) (742,750) 756,600 (49,895) (2,311,552) - (16,305) 40,344 (28,549) (41,747) (4,043,529) 40,344 1,684,678 (165,390) - (90,043) Cash Flows From Investing Activities Investment earnings Net cash provided by (used in) investing activities (46,594) 983,406 (36,045) (2,311,552) (46,257) (2,483,897) - 87 (27,110) - 1,761 (25,262) 11,750 87 Net increase (decrease) in cash and cash equivalents Supplemental Disclosures of Noncash Capital and Related Financing Activities Capital assets, net of related debt contributed to enterprise funds from general fund $ Total Internal Service Funds Nonmajor Funds 73,409 Cash Flows From Capital and Related Financing Activities Purchases of capital assets and other Advances to/from other funds Principal paid on long-term debt Interest paid on long-term debt Net cash used in capital and related financing activities Reconciliation of Operating Income (Loss) to Net Cash Provided by (Used in) Operating Activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided by (used in) operating activities: Depreciation expense Changes in assets and liabilities: Receivables, net Inventories and prepaid expenses Accounts payable and accrued expenses Claims payable Due to other funds Net cash provided by (used in) operating activities 276,248 (92,579) (86,114) Enterprise Funds Project Eagle 97,555 Cash Flows From Noncapital Financing Activities Intergovernmental grants Transfers Net cash provided by noncapital financing activities Cash and Cash Equivalents, beginning of year Cash and Cash Equivalents, end of year Sewer Utility (27,110) - 1,761 (25,262) 11,750 (5,046) 46,507 995,156 1,307,284 $ 1,302,238 1,497,768 $ 1,544,275 3,990,589 $ 4,985,745 $ $ $ 1,312,712 81,008 17,139 (46,594) $ 98,804 179,812 $ 45,086 62,225 $ $ (282,455) $ (363,494) $ 336,814 290,604 (3,640) (2,315) 49,151 $ 97,555 $ 1,775,164 $ $ 2,506,558 $ 10 (46,594) - 388,381 (257,568) 58,270 $ $ 685,688 (504,902) (3,544) (218,134) 192,911 (150,000) 49,500 53,906 26,206 See Notes to Financial Statements. - - 7,329 (2,272) (25,438) 119,477 $ 46,594 - (501,213) (158,131) (144,921) 366,294 (87,018) - $ (9,851) $ 4,281,722 (101,552) (26,855) 179,959 (276,116) (104,742) $ $ 983,406 - Menominee Indian Tribe of Wisconsin Statement of Fiduciary Net Assets September 30, 2012 Agency Fund Wolf River Development Partnerships Minors' Trust Total Assets: Cash and cash equivalents and investments $ 555,743 $ 1,749,801 $ 2,305,544 Liabilities: Accounts payable $ 555,743 $ 1,749,801 $ 2,305,544 See Notes to Financial Statements. 11 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies Menominee Indian Tribe of Wisconsin (the Tribe) is a federally recognized Indian tribe located in Keshena, Wisconsin, composed of approximately 8,750 enrolled members. The reservation consists of approximately 235,000 acres of land held in trust by the United States government for the benefit of the Tribe. Within certain restrictions imposed by the United States government, the Tribe has jurisdiction over activities occurring on the reservation and has rights to economic and other benefits resulting from the use of the reservation property and resources. The Tribe is governed by an elected legislature. It operates under a constitution that was approved by the United States government on November 12, 1977. Federal legislation governs the relationship between the Tribe and the United States government. In accordance with its constitution, the Tribe enacts laws through resolutions of the Menominee Tribal Legislature (MTL). The financial activities of the Tribe and its enterprises are confidential. The accompanying financial statements and related notes are to be distributed only based on authorization from the Tribal Chair. Information related to federal grants and contracts required by the U.S. Office of Management and Budget Circular A-133 is public information and is available on request from the Tribal Chair. The Tribe's significant accounting policies are described below. Financial reporting entity: Accounting principles generally accepted in the United States of America require that the reporting entity include (1) the Menominee Indian Tribe of Wisconsin, (2) organizations for which the Tribe is financially accountable and (3) other organizations for which the nature and significance of their relationship with the Tribe is such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete. The criteria provided by Governmental Accounting Standards Board (GASB) Codification Section 2100 have been considered in evaluating how to define the government for financial reporting purposes. Management evaluated the involved entities based on a number of criteria. It was determined that Menominee Indian Tribe of Wisconsin is the primary government based on the fact that it is legally separate, its governing body is separately elected, and it is fiscally independent of other primary governments. Potential component units of the Tribe are legally separate entities that are evaluated on various criteria, the main one being the degree of accountability the primary government has over the potential component units. The most significant factor in the accountability assessment is the potential component unit's financial accountability to the primary government, measured through the degree to which the primary government can appoint a voting majority of the governing body, impose its will, ascertain a potential financial benefit, or face a potential financial burden with regard to the potential component unit. The primary government may be financially accountable if an organization is fiscally dependent on the primary government. Based on this criterion, Menominee Tribal Enterprises, the College of the Menominee Nation, Menominee Casino-Bingo-Hotel, Menominee Indian Economic Development Authority and the Menominee Fuel Station were identified and considered in the determination of the reporting entity. 12 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Discretely presented component units: Menominee Tribal Enterprises (the Enterprises) was created and authorized to log, manage and reforest the Tribal forest land and manufacture, market, sell and distribute timber, forest products and related products. The Enterprises is governed by a 12-member board of directors elected by a vote of the enrolled Tribal members. Separate financial statements are prepared for the Enterprises. The Enterprises' fiscal year ended June 30, 2012. The College of the Menominee Nation (the College) was founded as an institution of higher education in 1993. The missions of the College are to provide a quality educational environment that is centered in Menominee culture, to develop and pursue research and other development projects designed to improve the educational and economic lives of students, and to implement a curriculum designed around the twin concepts of learning by doing and community service. The College is managed by a seven-member board and operates with the powers, obligations and responsibilities set forth in its charter, which was ratified by the MTL in 1996. Separate financial statements are prepared for the College. The College's fiscal year ended June 30, 2012. Menominee Indian Economic Development Authority (MIEDA) was created and authorized to conduct any nongaming commercial activity of the Tribe for the purposes of raising revenues to help pay for the costs of the Tribal government, and to generally increase economic opportunity, including job opportunities for the Tribe and its members. MIEDA is governed by a five-member board of directors. The board of directors shall be appointed by the MTL, and at least two of the members shall be members of the MTL. Separate financial statements are prepared for MIEDA. MIEDA's fiscal year ended September 30, 2012. Blended component units: Menominee Casino-Bingo-Hotel (the Casino) was created for the purpose of operating and maintaining Class III and Class II gaming operations and related activities of a casinobased resort. Under the Indian Gaming Act of 1988, federally recognized tribes are permitted to conduct full-scale casino gaming operations on tribal land, subject to negotiation of a gaming compact with the affected state. The Tribe and the State of Wisconsin have entered into the Gaming Compact of 1992, as amended April 25, 2003, which has been approved by the United States Department of Interior. The Casino is governed by a five-member board of directors elected by the MTL. Separate financial statements are prepared for the Casino. The Casino's fiscal year ended September 30, 2012. The Menominee Fuel Station (Fuel Station) was created for the purpose of operating a gas station for the purpose of providing a convenient location for Tribal members to purchase gas. The Fuel Station is governed by a five-member board of directors. The board of directors shall be appointed by the MTL, and at least one of the members shall be a member of the MTL and one member shall be from the Tribe's Finance Department. The Fuel Station's fiscal year ended September 30, 2012. A primary government is a legal entity or body politic and includes all funds, organizations, institutions, agencies, departments and offices that are not legally separate. Such legally separate entities are referred to as component units. The accompanying financial statements present only the primary government of the Tribe and do not purport to, and do not, present fairly the financial position of the Tribe as of September 30, 2012, and the results of its operations and cash flows of its proprietary fund types for the year then ended, in conformity with accounting principles generally accepted in the United States of America. Basis of presentation: The basic financial statements of the Tribe include the government-wide and the fund financial statements. The reporting focus is on the Tribe as a whole in the government-wide financial statements, while reporting additional and detailed information about the Tribe's major governmental and business-type activities in the fund financial statements. 13 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Based on the above standards, the Tribe's external financial reporting consists of the following: 1. Government-wide financial statements 2. Fund financial statements and related reconciliations 3. Notes to the financial statements The external statements are prepared from accounts of the Tribe that are organized and operated on the basis of funds. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Government-wide financial statements (GWFS): GWFS include the statement of net assets and statement of activities that display information about the Tribe's primary government. These statements include the financial activities of the overall governmental activities. The government-wide statement of activities reflects the cost of programs and functions reduced by directly associated revenues to arrive at the net revenue or expense for each program and function. Net program revenue or expense for governmental and business activities is then adjusted for general revenues to determine the change in net assets for the year. Indirect expenses, such as support services and administration incurred in the general government and other functions/activities, are allocated to programs/functions that they may benefit. When both restricted and unrestricted resources are available for use, it is the Tribe's policy to use restricted resources first, and then unrestricted resources as needed. Fund financial statements (FFS): FFS provide information about the Tribe's funds, including fiduciary funds. Separate statements for each fund category--governmental, proprietary and fiduciary--are presented. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental and enterprise funds are aggregated and reported as nonmajor funds. The Tribe reports the following major governmental funds: General Fund: The General Fund is the primary operating fund of the Tribe and is always classified as a major fund. It is used to account for all activities except those legally or administratively required to be accounted for in other funds. Federal Programs Fund: The Federal Programs Fund accounts for revenues and expenditures associated with assistance received from the federal government. Tribal Clinic: The Tribal Clinic accounts for revenues associated with third-party insurance reimbursements and charges to patients for medical services. Revenues generated provide financial resources to meet the Tribe's match on a number of health-related federal grant programs. Menominee Tribal Housing: The housing program is used to provide affordable housing and low-income housing and manages the Wolf River Development projects. State Award Programs: The State Award Programs Fund accounts for revenues and expenditures the Tribe receives from the State of Wisconsin. Settlement Fund: Settlement proceeds received from the federal government are accounted for in this fund. A portion of the Settlement Fund represents financial resources that must, by terms of the settlement agreement, be maintained in perpetuity while the investment earnings can support Tribal programs. 14 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) The Tribe reports the following major enterprise funds: Water Utility Fund: The Water Utility Fund accounts for the operations of water distribution. The fund is financed and operated in a manner similar to private business enterprise, where the intent of the governing body is that the cost of providing goods and services to the general public on a continuing basis be financed or recovered primarily through user charges. Sewer Utility Fund: The Sewer Utility Fund accounts for the operations of sewage collection and treatment systems. The fund is financed and operated in a manner similar to private business enterprises, where the intent of the governing body is that the cost of providing goods and services to the general public on a continuing basis be financed or recovered primarily through user charges. Project Eagle: This fund accounts for the Tribe's costs incurred in connection with plans to construct and operate a second casino. The Tribe reports the following nonmajor funds: Governmental funds: Other Funding Sources: The Other Funding Sources Fund accounts for revenues and expenditures the Tribe receives from local government and not-for-profit organizations. Equipment Replacement: This fund accounts for funds set aside for replacement of equipment. Maehnowesekiyah Treatment Center: This fund accounts for the operations of the Maehnowesekiyah Treatment Center, which provides drug and alcohol treatment services to patients. Tribal Day Care: This fund accounts for day care services for Tribal children. Proprietary funds: Electric Utility Fund: The Electric Utility Fund accounts for the operations of electric distribution. The fund is financed and operated in a manner similar to private business enterprises, where the intent of the governing body is that the cost of providing goods and services to the general public on a continuing basis be financed or recovered primarily through user charges. Elderly Housing Fund: The Elderly Housing Fund accounts for the operations of the Tribe's federally funded elderly housing program. Wolf River Development: The Tribe is a participant in several partnerships as a general partner with a private corporation as a limited partner. These partnerships were formed to construct or rehabilitate Tribal housing facilities. This fund accounts for the Tribe's investment in the partnerships. Loan funds: Loan funds account for the revenues and expenses associated with the Tribe's four loan programs: Revolving Loan Fund, Menominee Loan Fund, HUD CDBG Loan Fund and Down Payment Loan Fund. Loan collections, including interest, are used to finance additional loans. 15 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) The Tribe reports the following fund types: Internal Service funds: The Internal Service funds account for indirect costs, building maintenance, health and workers' compensation insurance, and other supplies provided to other departments of the Tribe, or to other Tribal entities, on a cost-reimbursement basis. The Indirect Cost Fund accounts for expenditures allowed under the Tribe's federally approved indirect cost plan and the related charges to other funds to allocate the costs. Fiduciary--agency fund: This fund accounts for funds held by the Tribe for the legally separate Wolf River Development Partnerships and for the Minors' Trust Fund. Measurement focus and basis of accounting: The government-wide and proprietary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Economic resources measurement focus means that all assets and liabilities associated with the operations of the Tribe are included in the statement of net assets. Accrual basis of accounting means revenues are recorded when earned and expenses are recorded when a liability is incurred. The statement of activities demonstrates the degree to which the direct expenses of a given function, segment or program are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Indirect expenses not allocated to functions are reported separately. Depreciation expense is specifically identified by function and included in the direct expense of each 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 or program and 2) grants and entitlement revenues restricted to meeting the operational or capital requirements of a particular function or program. Proprietary fund operating revenues result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. Operating expenses of proprietary funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting these definitions are reported as nonoperating revenues and expenses. Governmental funds are reported using the flow of current financial resources measurement focus and the modified accrual basis of accounting. Current financial resources measurement focus generally means that only current assets and current liabilities are included in the balance sheet. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they are "measurable and available"). "Measurable" means the amount of the transaction can be determined, and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. The Tribe considers all revenues reported in governmental funds to be available if the revenues are collected within 60 days after year-end. In determining when to recognize intergovernmental revenues (grants, subsidies and shared revenues), the legal and contractual requirements of the individual programs are used as guidance. There are, however, essentially two bases for this revenue recognition. In one, amounts must be expended on the specific purpose or project before any amounts will be paid to the Tribe; therefore, revenues are recognized based on the expenditures recorded. In the other, amounts are virtually unrestricted and revocable only for failure to comply with prescribed compliance requirements. These resources are reflected as revenues at the time of receipt or earlier if they meet the criterion of availability. Other major revenues that are determined to be susceptible to accrual include interest. 16 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Expenditures are recorded when the related fund liability is incurred, except for compensated absences, which are recognized as expenditures to the extent they have matured. General capital asset acquisitions are reported as expenditures in governmental funds. The Tribe reports deferred revenue on its balance sheets. Deferred revenue arises when a potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period. Deferred revenue also arises when resources are received by the government before it has a legal claim to them, as when grant monies are received prior to incurring qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met, or when the government has a legal claim to the resources, the liability for deferred revenue is removed from the balance sheets and the revenue is recognized. Cash and investments: For the purpose of the statement of net assets and the proprietary fund statement of cash flows, "cash and cash equivalents" include all demand and savings accounts, and certificates of deposit or short-term investments with an original maturity of three months or less. Investments are carried at fair value. Fair value is based on quoted market price. Receivables: Activity between funds that is representative of lending/borrowing arrangements outstanding at the end of the fiscal year is referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/from other funds" (i.e., the noncurrent portion of interfund loans). Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as "internal balances." Receivables consist of all revenues earned at year-end and not yet received. Major receivable balances include mortgages receivable, customer receivables, patient and third-party amounts due for medical services, and intergovernmental grants. Nonexchange transactions collectible but not available are deferred in the financial statements. Allowances for uncollectible accounts receivable are based on historical trends and the periodic aging of accounts receivable. Inventories: Inventories are recorded at cost, which approximates market, using the first-in, first-out method. Inventories consist of expendable supplies held for consumption. The cost is recorded as an expenditure at the time individual inventory items are consumed rather than when purchased. Interfund receivables/payables: During the course of operations, numerous transactions occur between individual funds for goods provided or services rendered. These receivables and payables are classified as interfund on the accompanying balance sheets of governmental and proprietary funds. Capital assets: The accounting treatment over property, plant and equipment (capital assets) depends on whether the assets are used in governmental fund operations or proprietary fund operations and whether they are reported in the government-wide or fund financial statements. Government-wide statements: In the government-wide financial statements, capital assets are valued at historical cost, or estimated historical cost if actual is unavailable, except for donated fixed assets, which are recorded at their estimated fair value at the date of donation. Capital assets are defined by the Tribe as assets with an initial, individual cost of $5,000 or higher and an estimated useful life in excess of two years. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized. 17 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Depreciation of all exhaustible capital assets is recorded as an allocated expense in the statement of activities, with accumulated depreciation reflected in the statement of net assets. Depreciation is provided over the assets' estimated useful lives using the straight-line method of depreciation. The ranges of estimated useful lives by type of asset are as follows: Years Land improvements Buildings Equipment Infrastructure 10-50 25-50 3-10 25-50 Fund financial statements: In the fund financial statements, capital assets used in governmental fund operations are accounted for as capital outlay expenditures of the governmental fund upon acquisition. Capital assets used in proprietary fund operations are accounted for the same as in the government-wide statements. Restricted assets: Restricted assets include cash and investments of the Settlement Fund, which represents financial resources that must, by terms of the settlement agreement, be maintained in perpetuity, while the investment earnings can support Tribal programs or Minors' Trust Agency Funds, which are held in a trust for the benefit of Tribal minors, that are legally restricted as to their use. Deferred revenue: Governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period or for resources that have been received, but are not yet recognizable. Long-term obligations: The accounting treatment of long-term obligations depends on whether the assets, if any, are used in governmental fund operations or proprietary fund operations and whether they are reported in the government-wide or fund financial statements. All long-term debt to be repaid from governmental and business-type resources is reported as liabilities in the government-wide statements. The long-term obligations consist of mortgage notes payable, capital leases payable and accrued compensated absences. Long-term obligations for governmental funds are not reported as liabilities in the fund financial statements. The proceeds of debt are reported as other financing sources, and payments of principal and interest are reported as expenditures. The accounting for proprietary funds is the same in the fund statements as it is in the government-wide statements. It is the Tribe's policy to permit employees to accumulate earned but unused vacation. It is the policy of the Tribe that vacation pay accumulates to a maximum of 240 hours. The liability for this compensated absence is recorded as a long-term obligation in the government-wide statements. Personal days are given at the beginning of the year but do not accumulate or vest. In the fund financial statements, governmental funds report only the compensated absence liability payable if these amounts have matured, for example, as a result of employee resignations or retirements, while the proprietary funds report the liability as it is incurred. 18 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Net assets: In the government-wide and proprietary fund statements, net assets is presented using the following three components: a. Invested in capital assets, net of related debt--Consists of capital assets, including restricted investments, net of accumulated depreciation and reduced by the outstanding balances of any mortgages, notes or other borrowings that are attributable to the acquisition, construction or improvement of those assets. b. Restricted net assets--Consists of net assets with constraints placed on their use either by (1) external groups such as creditors, grantors, contributors, or laws or regulations of other governments or (2) law through constitutional provisions or enabling legislation. Net assets restricted by the Menominee Tribal Legislature resolution or external donor restrictions are as follows: ? ? Loan programs--Financial resources that are restricted for the Tribe's loan programs. ? c. Permanent funds--nonexpendable and expendable--Financial resources that must, by terms of the settlement agreement, be maintained in perpetuity, while the investment earnings can support Tribal programs for courthouse, members' distributions, utilities capital, alternative, burial, education and health care. Grant programs--Financial resources that are restricted for certain grant programs. Unrestricted net assets--All other net assets that do not meet the definition of "restricted" or "invested in capital assets, net of related debt." Fund balance: In the governmental fund financial statements, fund balance is presented using the following classifications: ? Nonspendable fund balance includes amounts that cannot be spent either because they are (a) not in spendable form or (b) because they are legally or contractually required to be maintained intact. ? Restricted fund balance includes all amounts that are restricted to specific purposes when constraints placed on the use of the resources are either (a) externally imposed by creditors, grantors, or state or federal laws or (b) imposed by law through the Tribe's constitutional provisions or enabling legislation. ? Committed fund balance includes all amounts that can be used only for specific purposes pursuant to constraints formally imposed by the Menominee Legislative Committee through resolution approved prior to year-end. Those committed amounts cannot be used for any other purpose unless the Menominee Legislative Committee removes or changes the specified use by taking the same action it employed to commit those amounts. ? Assigned fund balance includes all amounts constrained by the Tribe's intent to use them for a specific purpose. ? Unassigned fund balance includes all amounts not included in other spendable classifications. The General Fund is the only fund that would report a positive amount in unassigned fund balance. When an expenditure is incurred in governmental funds that can be paid using either restricted or unrestricted resources, the Tribe's procedure is to pay the expenditure from restricted fund balances and then from less-restricted classifications--committed, assigned, and then unassigned fund balances. 19 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 1. Summary of Significant Accounting Policies (Continued) Interfund transfers: Permanent reallocations of resources between funds of the reporting entity are classified as interfund transfers. For the purposes of the statement of activities, all interfund transfers between individual governmental funds have been eliminated. Use of estimates in the preparation of financial statements: The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures or expenses during the reporting period. Actual results could differ from those estimates. Income taxes: The Tribe considers itself and its enterprises exempt from federal and state income taxes based upon its status as a Native American Tribal Government. Indirect costs: Indirect costs represent recoverable overhead costs charged to programs by the Tribe's indirect cost pool internal service fund in connection with the administering and accounting for these programs. The amount charged to each program is determined by a rate that is negotiated each year between the Tribe and the National Business Center of the U.S. Department of the Interior. Included in the negotiations is the determination of any carryover adjustments from prior years. Amounts presented in the financial statements are based on the Tribe's negotiated indirect cost rate for fiscal year 2012. Note 2. Stewardship, Compliance and Accountability By its nature as a local government unit, the Tribe is subject to various federal, state, and local laws and contractual regulations. An analysis of the Tribe's compliance with significant laws and regulations and demonstration of its stewardship over Tribal resources follows. The MTL adopts an ordinance each October setting the General Fund budget for the fiscal year. The General Fund budget includes proposed expenditures and the means of financing each department. Amendments to the budget require a motion by the MTL. Budgets for special revenue funds relating to assistance awards are adopted at the time the assistance award is granted. Generally, funding agency approval is required to amend such budgets. The Tribe uses encumbrance accounting, which includes the procedures by which purchase orders, contracts and other commitments for the expenditure of resources are recorded in order to reserve that portion of the applicable appropriation. For the year ended September 30, 2012, General Fund expenditures exceeded appropriations in Community Development and Transfers Out by $453,704 and $746,002, respectively. These expenditures over appropriations were funded by current and prior-year general reserve funds. The Tribe complies with all federal, state, and local laws and regulations requiring the use of separate funds. Note 3. Deposits and Investments The Tribe maintains various cash and investment accounts, including pooled funds that are available for use by all funds. Each fund's portion of these accounts is displayed in the financial statements as "cash and investments." Several programs hold cash and investments separate from their interest in the abovedescribed pool. 20 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 3. Deposits and Investments (Continued) The carrying amounts of the cash, cash equivalents and investments as of September 30, 2012, are summarized below: Governmental Activities Deposits: Deposits with financial institutions: Bank deposits Certificates of deposit Cash on hand Total deposits Investments: Money market funds Notes and mortgages Fixed-income mutual funds State and local bonds Equities Total fund investments Total cash and investments Amounts are presented in the financial statements as follows: Cash and investments Restricted cash, cash equivalents and investments $ $ $ $ 32,548,700 2,251,821 1,210 34,801,731 1,110,370 1,409,246 5,085,327 353,436 7,034,616 14,992,995 49,794,726 40,074,261 9,720,465 49,794,726 Business-Type Activities $ $ $ $ 1,544,075 200 1,544,275 1,544,275 1,544,275 1,544,275 Fiduciary Activities $ $ $ $ 555,743 555,743 1,749,801 1,749,801 2,305,544 2,305,544 2,305,544 Total $ $ $ $ 34,648,518 2,251,821 1,410 36,901,749 1,110,370 1,409,246 6,835,128 353,436 7,034,616 16,742,796 53,644,545 43,924,080 9,720,465 53,644,545 Custodial credit risk for deposits: Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, the Tribe will not be able to recover deposits or will not be able to recover collateral securities that are in the possession of an outside party. The Tribe does have a formal policy addressing this type of deposit risk. As of September 30, 2012, the carrying value of the Tribe's deposits was $36,900,339, as compared to bank balances of $39,230,234. As of September 30, 2012, the Tribe's deposits were fully insured or collateralized. Investment policy: The Tribe has adopted a formal investment policy that identifies investment objectives and guidelines. The Tribe is authorized by the MTL to invest available funds in direct obligations of the U.S. government or any of its agencies or instrumentalities; corporate debt securities and commercial paper issued by U.S. corporations rated at least Baa by Moody's or BBB by Standard & Poor's Corporation at the time of purchase (average maturity will vary according to market conditions and interest rate cycles); common stocks of high-quality companies and warrants; bankers' acceptances; repurchase agreements; or preferred stock, convertible preferred stock and convertible debt securities. Interest rate risk: Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of an investment. The Tribe's policy addresses this type of investment risk by investing primarily in cash equivalents, short-term investments, and money market mutual funds or similar investment pools. 21 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 3. Deposits and Investments (Continued) Carrying Value Money market funds Notes and mortgages Fixed-income mutual funds State and local bonds $ $ 1,110,370 1,409,245 6,835,129 353,436 9,708,180 Investment Maturities (In Years) at September 30, 2012 Less Than One 1-5 6-10 Greater Than 10 $ $ 1,110,370 353,436 1,463,806 $ $ 1,021,004 1,284,093 2,305,097 $ $ 388,241 2,897,329 3,285,570 $ $ 2,653,707 2,653,707 Custodial credit risk for investments: Custodial credit risk for investments is the risk that, in the event of the failure of the counterparty to a transaction, the Tribe will not be able to recover the value of investment or collateral securities that are in the possession of an outside party. The Tribe's investment policy does not address this risk. The Tribe does not have any investments exposed to custodial credit risk. Credit risk: Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations to the Tribe. The Tribe does have a formal policy addressing this type of investment risk. As of September 30, 2012, $353,436 of the Tribe's investments in state and local bonds were rated AAA to Aby Standard & Poor's. The Tribe also held $1,110,370 in money market mutual funds that were rated AAA by Standard & Poor's. The Tribe also held $6,835,129 in fixed-income mutual funds with underlying securities rated AAA to B by Standard & Poor's. The notes and mortgages of $1,409,245 and the equities of $7,034,616 were not rated. Concentration of credit risk: Concentration of credit risk refers to risk of loss attributed to investment in a single issuer. The Tribe does not have a formal policy addressing this type of investment risk. The Tribe did not have any significant concentration in investments subject to credit risk. Note 4. Receivables Accounts receivable of the governmental activities consist of receivables from other governments, clinic billings, loans receivable and miscellaneous other receivables. Accounts receivable of the business-type activities consist of utility billings, loans and mortgages receivable, and other miscellaneous accounts receivable. Receivables detail at September 30, 2012, is as follows: Governmental Activities Business-Type Activities Current assets: Accounts receivable Intergovernmental receivables Receivable from Tax Credit Partnership Loans receivable Allowance for uncollectible accounts Total current assets $ 3,901,365 2,688,033 974,414 156,749 (850,520) 6,870,041 $ Noncurrent assets: Mortgage and other receivables Net accounts receivable 12,520,641 $ 19,390,682 $ 2,910,332 22 373,892 1,208,480 1,501,925 (173,965) 2,910,332 Total $ 4,275,257 2,688,033 2,182,894 1,658,674 (1,024,485) 9,780,373 12,520,641 $ 22,301,014 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 4. Receivables (Continued) The Menominee Loan Department consists of four separate loan funds: the Menominee Loan Fund, the Revolving Loan Fund, the Housing Down Payment Loan Fund and the HUD Community Development Block Grant (CDBG) Loan Fund. Each fund was established for a different function. Menominee Loan Fund: This is for eligible Tribal members to obtain financing for personal items up to $5,500 with an interest rate of 14 percent. Revolving Loan Fund: The Revolving Loan Fund was established in 1981 to assist with financing Tribal member-owned businesses. These loans are interest-bearing. Housing Down Payment Loan Fund: The Housing Down Payment Loan Fund program was established in 1997. These loans are to provide a means for eligible applicants to obtain financing for the down payment required by a permanent lender for the purchase of a single-family residence to be located on the Menominee Reservation. These loans are interest-bearing. HUD Community Development Block Grant Loan Fund: The CDBG Loan Fund was established in 1978 to provide a means for eligible Tribal members to obtain financing for repairs and renovations to their place of residence. These loans are interest-bearing. The General Fund made a loan to a Tribal member in connection with purchase of real estate. The loan will be repaid when the member receives permanent financing. The permanent financing will be obtained when the real estate is placed in trust as Tribal land by the Bureau of Indian Affairs. Mortgage and other receivables: The Tribe has entered into several partnerships related to the construction or rehabilitation of Tribal housing. The partnerships are legally separate, taxable organizations and are not a component of the Tribe's reporting entity. Under the terms of the development agreements, the Tribe expects to be reimbursed from the earnings of the partnerships for development startup costs that the Tribe funds to get the projects started. At September 30, 2012, $2,182,894 of the development startup costs funded by the Tribe remains unpaid. Mortgage and interest receivable at September 30, 2012, are detailed below: Accrued Interest Mortgage Menominee Tribal Housing Limited Partnership #1: 5.75% mortgage payable with principal and interest due on or before May 26, 2029 Menominee Tribal Housing Limited Partnership #2: 5.20% first mortgage payable with principal and interest due on or before June 1, 2034 4.84% second mortgage payable with principal and interest due on or before March 20, 2034 Subtotal 23 $ 676,056 $ Total 756,854 $ 1,432,910 527,380 1,559,919 168,539 864,000 1,032,539 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 4. Receivables (Continued) Mortgage Menominee Tribal Housing Limited Partnership #3: 6.00% first mortgage payable with principal and interest due on or before July 31, 2037 6.00% second mortgage payable with principal and interest due on or before September 15, 2037 Subtotal Menominee Tribal Housing Limited Partnership #4: 5.75% first mortgage payable with principal and interest due on or before July 31, 2037 5.75% second mortgage payable with principal and interest due on or before September 15, 2037 Subtotal Menominee Tribal Housing Limited Partnership #5: 4.11% first mortgage payable with principal and interest due on or before January 15, 2040 1.50% second mortgage payable with principal and interest due on or before January 15, 2040 Subtotal Menominee Tribal Housing Limited Partnership #6: 1.75% first mortgage payable with principal and interest due on or before January 15, 2040 4.11% first mortgage payable with principal and interest due on or before January 15, 2040 Subtotal Accrued Interest Total 1,036,800 78,653 1,115,453 392,198 1,507,651 300,739 1,197,585 140,739 1,895,551 126,841 1,675,871 69,667 1,340,812 66,695 $ 2,381,113 1,372,842 $ 11,983,141 855,000 41,846 896,846 1,080,000 674,812 1,754,812 604,030 945,000 1,549,030 Menominee Tribal Housing Limited Partnership #7: 4.30% first mortgage payable with principal and interest due on or before April 14, 2056 0.50% first mortgage payable with principal and interest due on or before April 14, 2056 Subtotal 1,080,000 191,145 1,271,145 Menominee Tribal Housing Limited Partnership #8: 4.10% first mortgage payable with principal and interest due on or before April 14, 2056 0.50% first mortgage payable with principal and interest due on or before April 14, 2056 Subtotal Total 1,080,000 226,147 1,306,147 $ 9,602,028 24 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 4. Receivables (Continued) With respect to the above-listed mortgage payables, interest is payable annually on April 30, to the extent of the partnership's cash flow for the prior year. While the debt agreements provide for entire payment of principal and interest on the maturity date of the mortgages, the entire balance becomes due and payable upon the occurrence of certain events as defined in the debt agreements. As the general partner, the Tribe has the first right of refusal to purchase the respective partnership properties at termination of the partnership for the amount of the outstanding debt plus any income taxes and expenses related to the sale. The Tribe does not consider any of the mortgage or related accrued interest as due within one year. The Tribe loaned $537,500 during the year ended September 30, 2009, to the Mohegan Tribal Gaming Authority as an optional advance in accordance with the Development Agreement between Wisconsin Tribal Gaming, LLC, Menominee Kenosha Gaming Authority and the Tribe. The Tribe does not consider the funds as due within one year. (See also Note 12 relating to Project Eagle). Note 5. Inventories At September 30, 2012, the Water Utility maintains an inventory of repair parts amounting to $26,896. Inventory of the governmental activities consists of $171,372 of construction and repair supplies held in the Menominee Tribal Housing Fund and $68,566 of office and vehicle repair supplies inventory held in the General Fund at September 30, 2012. Note 6. Capital Assets Capital asset activity for the year ended September 30, 2012, was as follows: Governmental activities: Balance September 30, 2011 Capital assets, not being depreciated: Land Construction in progress Total capital assets, not being depreciated $ Capital assets, being depreciated: Land improvements Buildings Equipment Infrastructure Total capital assets, being depreciated $ 1,535,124 1,535,124 Transfers/ Disposals $ (1,000) (7,074,941) (7,075,941) Balance September 30, 2012 $ 640,972 3,267,288 3,908,260 1,336,845 44,411,262 9,485,016 46,661,629 101,894,752 $ 18,470 706,229 1,101,386 758,772 2,584,857 (5,044,694) (501,467) (5,546,161) 1,355,315 40,072,797 10,084,935 47,420,401 98,933,448 365,312 26,183,649 7,376,951 30,325,983 64,251,895 Less accumulated depreciation: Land improvements Buildings Equipment Infrastructure Total accumulated depreciation Total capital assets, being depreciated, net Governmental activities capital assets, net 641,972 8,807,105 9,449,077 Transfers/ Additions 111,975 1,010,185 898,922 1,190,772 3,211,854 (3,570,674) (489,593) (4,060,267) 477,287 23,623,160 7,786,280 31,516,755 63,403,482 37,642,857 47,091,934 25 $ (626,997) 908,127 $ (1,485,894) (8,561,835) $ 35,529,966 39,438,226 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 6. Capital Assets (Continued) Depreciation expense for the year ended September 30, 2012, is reported in the statement of activities in the following functions: Governmental affairs Enforcement and resource protection Health and family Housing Labor, education and training Community development Total $ 202,630 167,910 424,781 101,458 1,959,573 355,502 3,211,854 $ Business-type activities: Balance September 30, 2011 Capital assets, not being depreciated: Construction in progress Total capital assets, not being depreciated $ Capital assets, being depreciated: Buildings Land improvements Equipment Infrastructure Total capital assets, being depreciated $ 2,311,554 2,311,554 Balance September 30, 2012 Transfers/ Disposals $ - $ 6,708,527 6,708,527 1,767,420 15,319 163,999 14,395,250 16,341,988 $ 40,305 6,000,676 6,040,981 (124,555) (124,555) 1,767,420 15,319 204,304 20,271,371 22,258,414 979,517 11,149 152,763 4,166,171 5,309,600 Less accumulated depreciation: Buildings Land improvements Equipment Infrastructure Total accumulated depreciation Total capital assets, being depreciated, net Business-type activities capital assets, net 4,396,973 4,396,973 Transfers/ Additions 43,811 822 12,501 628,554 685,688 (97,271) (97,271) 1,023,328 11,971 165,264 4,697,454 5,898,017 11,032,388 15,429,361 $ 5,355,293 7,666,847 $ (27,284) (27,284) $ 16,360,397 23,068,924 Depreciation for the year ended September 30, 2012, is allocated in the statement of activities in the following functions: Utilities Other Total $ $ 26 349,314 336,374 685,688 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 7. Long-Term Obligations Changes in long-term debt: The following is a summary of changes in long-term debt for the year ended September 30, 2012: Balance September 30, 2011 Governmental activities: Revenue bond Compensated absences Totals Business-type activities: Revenue bond Mortgage note Totals $ $ $ $ 1,755,782 1,930,198 3,685,980 1,782,691 393,503 2,176,194 Transfers/ Deductions Additions $ $ 58,693 58,693 $ - $ $ $ $ $ (1,755,782) (1,755,782) 1,711,103 (26,425) 1,684,678 Balance September 30, 2012 $ $ $ $ 1,988,891 1,988,891 3,493,794 367,078 3,860,872 Amounts Due Within One Year $ $ $ $ 198,889 198,889 47,082 28,763 75,845 Details of the business-type activity debt are as follows: Issue U.S. Department of Housing and Urban Development mortgage note issued in 1980 payable in monthly installments of $4,905 U.S. Department of Agriculture revenue bond issued in 1999 payable in monthly installments of $968, original amount includes capitalized interest of $8,435 U.S. Department of Agriculture revenue bond issued in 2002 payable in semiannual installments of $15,836 U.S. Department of Agriculture revenue bond issued in 2009 payable in semiannual installments of $22,452 U.S. Department of Agriculture revenue bond issued in 2009 payable in semiannual installments of $28,505 U.S. Department of Agriculture revenue bond issued in 2009 payable in semiannual installments of $22,416 Total Interest Rate 8.500% Original Amount $ Maturity Balance September 30, 2012 669,100 2021 $ 6.875% 450,635 2029 434,745 4.500% 585,000 2042 520,477 4.375% 844,350 2048 808,295 4.375% 1,071,999 2049 965,767 4.375% 839,351 2049 $ 27 367,076 764,512 3,860,872 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 7. Long-Term Obligations (Continued) Annual debt service requirements: The annual debt service requirements to maturity, including principal and interest, for long-term debt as of September 30, 2012, are as follows: Business-Type Activities Principal Interest Years Ending September 30 2013 2014 2015 2016 2017 2018-2022 2023-2027 2028-2032 2033-2037 2038-2042 2043-2047 2048-2052 $ $ Note 8. 75,845 80,541 85,562 90,579 96,676 518,102 404,086 847,107 584,284 725,987 317,892 34,211 3,860,872 $ $ 173,056 168,360 163,340 158,322 152,225 662,609 546,111 450,417 307,806 166,103 35,580 1,011 2,984,940 Interfund Transactions and Balances Transfers are used to (a) move revenues from the fund that statute or budget requires to collect them to the fund that statute or budget requires to expend them and (b) use unrestricted revenues collected in the General Fund to finance various programs accounted for in other funds in accordance with budgetary authorizations. Transfer activity for the year ended September 30, 2012, is as follows: Transfers In General Fund: Settlement Fund Federal Programs Fund State Award Programs Fund Nonmajor governmental funds Project Eagle Fund Total General Fund $ Major governmental funds: Tribal Clinic Fund: Nonmajor governmental funds Total Clinic Fund 12,968 12,968 137 137 Menominee Tribal Housing Fund: Nonmajor enterprise funds Total Housing Fund - Federal Programs Fund: General Fund Total Federal Programs Fund 409,044 409,044 28 Transfers Out $ 409,044 819,817 521,139 2,311,552 4,061,552 358 358 30,491 30,491 - Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 8. Interfund Transactions and Balances (Continued) Transfers In Major governmental funds (continued): Settlement Fund: General Fund Sewer Utility Fund Water Utility Fund Total Settlement Fund Transfers Out - State Award Programs Fund: General Fund Tribal Clinic Fund Total State Programs Fund 54,088 73,409 127,497 819,817 819,817 1,228,998 Nonmajor governmental funds: Other funding sources--General Fund Other funding sources--Tribal Clinic Fund Tribal Day Care Fund--General Fund Maehnowesekiyah Fund--General Fund Total nonmajor governmental funds Enterprise funds: Water Utility Fund--Settlement Fund Sewer Utility Fund--Settlement Fund Project Eagle Fund--General Fund Nonmajor enterprise funds--Menominee Tribal Housing Fund Total enterprise funds Total transfers $ 158,483 30,260 358 188,709 302,170 521,497 Total major governmental funds 137 137 12,968 12,968 73,409 54,088 2,311,552 30,491 2,469,540 4,233,003 4,233,003 $ Due to and due from other funds as of September 30, 2012, are detailed below: Receivable Fund Payable Fund General Fund Federal Programs Fund State Programs Fund Nonmajor governmental funds Sewer Utility Fund Project Eagle Fund Nonmajor enterprise funds Internal service funds $ Menominee Tribal Housing Fund Nonmajor enterprise funds 29 $ 655,262 1,101,923 66,606 160,669 53,906 2,480 919,023 2,959,869 $ 200,000 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 8. Interfund Transactions and Balances (Continued) Advances to and advances from other funds during the year ended September 30, 2012, are detailed below: Receivable Fund Payable Fund Nonmajor enterprise funds General Fund Note 9. $ 77,221 Component Unit Transactions During the year ended September 30, 2012, the Menominee Casino-Bingo-Hotel transferred $8,910,124 and the Menominee Fuel Station transferred $88,586 to the Tribe's General Fund, which is reflected as general intergovernmental revenues in the statement of activities. During the year ended September 30, 2012, the Tribe's General Fund transferred $1,253,079 to MIEDA, of which $223,027 is reflected as intergovernmental revenues and $1,030,052 is reflected as capital contributions on the statement of activities. Note 10. Fund Balances The details for the Tribe's fund balance are as follows: Federal Programs General Fund balances: Nonspendable: Inventories and prepaids Burial Education Health care Total nonspendable Restricted: Utilities capital Burial Education Health care Housing State and other funding sources Total restricted $ 126,686 126,686 $ - Menominee Tribal Housing Tribal Clinic $ 45,486 45,486 $ 191,595 191,595 Settlement Fund $ 2,000,000 4,000,000 2,000,000 8,000,000 - - 13,501,472 - 410,605 - 13,501,472 410,605 $ 205,451 353,037 724,326 463,272 - - State Award Programs 1,746,086 - Nonmajor Governmental Funds $ 2,675 2,675 Total $ 363,767 2,002,675 4,000,000 2,000,000 8,366,442 - - 205,451 353,037 724,326 13,964,744 410,605 693 693 - 693 15,658,856 Committed: Equipment replacement Maehnowesekiyah Treatment Center Tribal day care Total committed - - - - - - 57,375 57,375 - - - - - - 158,598 44,139 260,112 158,598 44,139 260,112 Assigned: Housing Total assigned - - - - - Unassigned Total fund balances 8,261,538 $ 8,388,224 $ - 3,253,590 3,253,590 $ 13,546,958 $ 3,855,790 30 $ 9,746,086 $ 693 - $ 262,787 3,253,590 3,253,590 8,261,538 $ 35,800,538 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 11. Benefit Plans Employee pension and other benefit plans: The Tribe has adopted a qualified, contributory profit sharing plan covering all employees who have attained age 21 and completed one year of service. The plan allows participants to make contributions by salary reduction up to the maximum allowable limits established by the Internal Revenue Service Code Section 401(k). The Tribe may make contributions up to a discretionary percentage of a participant's compensation. The Tribe contributed $669,807 to the plan for 2012. The employees are immediately vested in their contributions and vest in the Tribe's contribution over a four-year period of service. Note 12. Commitments and Contingencies Self-insured health insurance: The Tribe accounts for self-insurance for health insurance and workers' compensation in an Insurance Internal Service Fund. The Tribe established a self-funded health benefit plan for its employees. The Tribe contracts with third-party administrators who are responsible for the approval, processing and payment of claims, after which they bill the Tribe for reimbursement. The Tribe is also responsible for monthly administrative fees. As part of the health care coverage of the plan, the Tribe purchases stop-loss coverage that pays claims in excess of $150,000 per individual as provided by the plan administrators, with an aggregate limit determined at the end of the plan year in accordance with the terms of the agreement. At September 30, 2012, the Tribe has reported a liability of $1,559,537, which represents reported and unreported health claims that were incurred on or before September 30, 2012, but were not paid by the Tribe as of that date. Changes in the claims liability amount in 2012 and 2011 were as follows: Beginning of Fiscal Year 2012 2011 $ 1,764,549 1,515,634 Claims and Changes in Estimates $ 10,929,290 11,836,444 End of Fiscal Year Claim Payments $ 11,134,302 11,587,529 $ 1,559,537 1,764,549 Risk management: The Tribe is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters, with commercial insurance covering risks of loss. Management believes such coverage is sufficient to preclude any significant uninsured losses. Settled claims have not exceeded this commercial coverage in any of the past three fiscal years. There have been no significant reductions in insurance coverage for any risk of loss during the year. The Tribe has established a self-insurance fund for workers' compensation claims. At September 30, 2012, the fund had assets of $967,910 and a reserve for open claims of $72,665. Claims paid during the year amounted to $615,805. Litigation: From time to time, the Tribe becomes party to claims and legal proceedings. Although the outcome of such matters cannot be forecasted with certainty, it is the opinion of management that the likelihood is remote that any such claims or proceedings will have a material adverse effect on the Tribe's financial position. 31 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 12. Commitments and Contingencies (Continued) Grant programs: The Tribe participates in a number of federally assisted and state-assisted grant programs. The disbursement of funds received under these programs generally requires compliance with terms and conditions specified in the grant agreements and is subject to audit by the grantor agencies. Any disallowed claims resulting from such audits could become a liability of the General Fund and other applicable funds. However, in the opinion of management, any such disallowed claims will not have a material effect on any of the financial statements of the individual fund types included herein or on the overall financial position of the Tribe. Project Eagle: The Development Agreement (the Agreement) among the Tribe, the Menominee Kenosha Gaming Authority (the Authority) and Kenesah Gaming Development, LLC (Kenesah) was entered into on October 29, 2003, for the purpose of engaging Kenesah to carry out all activities necessary to develop an off-reservation casino in Kenosha, Wisconsin, on behalf of the Tribe and the Authority. Pursuant to the terms of the Agreement, the costs for these development activities were paid by Kenesah, including payment to the Tribe in order to reimburse it for costs it has incurred in furthering the development of the project. Kenesah's interest in the Development Agreement was assigned to Wisconsin Tribal Gaming, LLC (WTG), effective October 21, 2004. Funds assigned to or advanced by WTG for the development of the project totaled $10,992,710 as of September 30, 2012. Effective September 30, 2010, the Development Agreement was terminated and replaced with the Release and Reimbursement Agreement (Reimbursement Agreement). Pursuant to the Reimbursement Agreement, the Authority is obligated to repay the advances only if permanent financing for the construction of the Kenosha facility is obtained. If permanent financing for the construction of the Kenosha facility is not obtained, neither the Authority nor the Tribe has any obligation to repay these advances. Pursuant to the Reimbursement Agreement, the Tribe is required to make monthly payments of $150,000 in order to maintain the option to purchase rights on the land where the Kenosha facility will be built. These payments, along with other project costs, totaled $6,708,527 at September 30, 2012. Economic dependency--gaming operation: The Tribe owns and operates a gaming establishment and hotel, as described in Note 1. Income from the operations is transferred to the Tribe's General Fund on a regular basis to finance General Fund operations as well as many other activities. Approximately 77 percent of the Tribe's General Fund revenue is derived from these operations. The operations of the Casino are subject to the Indian Gaming Regulatory Act of 1988 (IGRA), which established the National Indian Gaming Commission (NIGC), the agency with primary responsibility for regulating Indian gaming. The NIGC has been delegated authority to issue regulations governing tribal gaming activities, approve tribal ordinances for regulating gaming, approve gaming management agreements and conduct investigations. In addition to IGRA, the gaming activities conducted by the Tribe are subject to and dependent upon other federal, state, and Tribal laws and regulations. Any changes to such applicable laws or regulations could have a significant impact on the gaming conducted by the Tribe. Contracts: The Tribe has entered into financial commitments totaling approximately $6,700,000, which relate to roadway, bridge, sewer and building improvements. As of September 30, 2012, the Tribe had approximately $2,900,000 remaining on the projects. 32 Menominee Indian Tribe of Wisconsin Notes to Financial Statements Note 13. Accounting Standards to Be Adopted GASB Statement No. 60, Accounting and Financial Reporting for Service Concession Arrangements, will be effective for the Tribe with its year ending September 30, 2013. This statement addresses issues related to service concession arrangements (SCAs), which are a type of public-private or public-public partnership. The standard addresses SCAs in which there is an arrangement between a transferor (the Tribe) and an operator (governmental or nongovernmental entity) in which (1) the transferor conveys to an operator the right and related obligation to provide services through the use of infrastructure or another public asset (a facility) in exchange for significant consideration and (2) the operator collects and is compensated by fees from third parties. The statement also includes required disclosures about the SCAs. GASB Statement No. 61, The Financial Reporting Entity: Omnibus--an amendment of GASB Statements No. 14 and No. 34, will be effective for the Tribe with its year ending September 30, 2013. This statement modifies certain requirements for inclusion of component units, amends criteria for blending, and clarifies the reporting of equity interests in legally separate entities. GASB Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position, will be effective for the Tribe with its year ending September 30, 2013. This statement establishes guidance for reporting deferred outflows of resources, deferred inflows of resources, and net position in a statement of financial position. The statement also discusses how net position--no longer net assets--should be displayed. Ultimately, this new framework will serve to standardize the presentation of deferred balances and their effects on a government's net position and address uncertainty related to their display. GASB Statement No. 65, Items Previously Reported as Assets and Liabilities, will be effective for the Tribe with its year ending September 30, 2014. This statement provides clarification regarding the classification of deferred inflows and outflows of resources. The topics discussed in the standard are refunding of debt, nonexchange transactions, sales of future revenues, debt issuance costs, leases, acquisition of insurance costs, lending activities, mortgage banking, regulated activities, governmental fund revenue recognition and deferred revenue, major fund criteria and other items. GASB Statement No. 66, Technical Correction--2012, will be effective for the Tribe with its year ending September 30, 2014. This statement clarifies implementation issues that were presented in GASB Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in PreNovember 30, 1989 FASB and AICPA Pronouncements. The standard provides clarification on specific guidance on accounting for certain transactions relating to operating leases, purchased loans and certain mortgage loan servicing fees. GASB Statement No. 69, Government Combinations and Disposals of Government Operations, will be effective for the Tribe with its year ending September 30, 2015. This statement provides guidance for determining whether a specific government combination is a government merger, a government acquisition, or a transfer of operations, which will improve accounting for mergers and acquisitions among state and local governments. The Tribe's management has not yet determined the effect these statements will have on their financial statements. Note 14. Fund Deficits Elderly Housing Fund: As of September 30, 2012, the Elderly Housing Fund had a deficit of $336,406 due to assets being depreciated faster than debt being paid down. The Tribe will fund through transfers from the General Fund. 33 Required Supplementary Information Menominee Indian Tribe of Wisconsin Budgetary Comparison Schedule--General Fund For the Year Ended September 30, 2012 Budget Amount Original Final Revenues: Intergovernmental: Gaming and hotel operations Gas station operations Charges for services: Aging Business center Cigarette and other fees Community development Conservation Courts fines and fees Donations Enrollment Environmental Gaming commission Historic preservation Language and culture Law enforcement Library Licenses and permits Menominee Tribal Enterprises Miscellaneous Newspaper Other Powwow Recreation Transportation Prior-year carryover Investment earnings (loss) $ 7,255,260 34,300 7,289,560 Transfers in: Nonmajor government fund Total transfers Total revenues and transfers 7,255,260 34,300 7,289,560 481,821 1,041,660 184,197 161,887 18,061 4,265 18,300 1,000 13,590 800 169,657 28,460 47,653 85,000 1,000 2,257,351 481,821 1,041,660 184,197 161,887 18,061 4,265 18,300 1,000 13,590 800 169,657 349,800 28,460 47,653 10,000 85,000 1,000 2,617,151 3,286,108 5,316,800 10,000 10,000 Proceeds from sale of capital assets Total revenues $ Actual Amounts - - $ 8,414,190 88,586 8,502,776 462,020 12,121 (704,712) 121,811 4,370 168,980 20,579 7,190 2,023 28,310 40,392 1,548 53,551 979 174,954 349,800 31,617 60,043 39,256 81,035 500 1,178,585 2,134,952 - Variance With Final Budget $ 1,158,930 54,286 1,213,216 (19,801) 12,121 (1,746,372) (62,386) 4,370 7,093 20,579 (10,871) (2,242) 10,010 39,392 1,548 39,961 179 5,297 3,157 12,390 29,256 (3,965) (500) 1,178,585 (482,199) (5,316,800) 719,665 709,665 201,000 201,000 12,843,019 15,233,511 11,558,393 (3,675,118) $ 12,843,019 $ 15,233,511 12,968 12,968 $ 11,571,361 12,968 12,968 $ (3,662,150) (Continued) 34 Menominee Indian Tribe of Wisconsin Budgetary Comparison Schedule--General Fund (Continued) For the Year Ended September 30, 2012 Budget Amount Original Final Expenditures: Governmental affairs: Legal services Trust management fees Elder and youth activities Veterans' powwow Contingency Intergovernmental affairs Operation tribal government Enrollment Member distribution Burial assistance Insurance Courthouse maintenance Fire truck Other ACT 161 Enforcement and resource protection: Conservation Election Environmental services Gaming commission Judiciary Law enforcement Licenses and permits Probation supplement Prosecutor supplement Tax commissioner Health and family: Aging and older services CBRF Chicago community center Community funding requests Other health and family Youth development outreach Neopit community center Recreation South Branch community center Social services/endowment Veterans' service officer Woodland youth services $ 409,282 38,424 6,202 22,508 147,819 865,703 83,644 357,250 65,608 20,000 89,320 22,000 22,960 150,000 2,300,720 $ 409,282 38,424 6,202 22,508 157,819 893,670 83,644 707,050 200,983 20,000 89,320 22,000 22,960 150,000 2,823,862 Actual Amounts $ 301,846 22,177 20,354 6,202 12,942 99,883 802,837 62,092 637,103 146,505 17,026 62,500 22,000 219 150,000 2,363,686 Variance With Final Budget $ 107,436 (22,177) 18,070 9,566 57,936 90,833 21,552 69,947 54,478 2,974 26,820 22,741 460,176 361,484 87,254 141,804 511,357 397,655 1,515,923 125,186 145,891 181,234 111,206 3,578,994 361,484 87,254 141,804 511,357 397,655 1,515,923 125,186 145,891 181,234 111,206 3,578,994 359,077 79,450 77,436 513,950 242,982 1,509,084 119,559 95,774 34,373 91,898 3,123,583 2,407 7,804 64,368 (2,593) 154,673 6,839 5,627 50,117 146,861 19,308 455,411 416,006 412,305 8,500 11,628 96,556 8,500 183,906 7,650 391,888 30,977 113,500 1,681,416 416,006 412,305 8,500 11,628 96,556 8,500 183,906 7,650 391,888 30,977 113,500 1,681,416 251,820 416,009 8,500 11,627 1,342 76,995 8,500 172,418 7,650 289,635 30,977 98,500 1,373,973 164,186 (3,704) 1 (1,342) 19,561 11,488 102,253 15,000 307,443 (Continued) 35 Menominee Indian Tribe of Wisconsin Budgetary Comparison Schedule--General Fund (Continued) For the Year Ended September 30, 2012 Budget Amount Original Final Expenditures (continued): Labor, education and training: College of Menominee Nation Education supplement Extension agent Head Start Historic preservation/logging museum Language and culture commission Library and South Branch study center Other labor, education and training Tribal news Tribal School supplement Actual Amounts Variance With Final Budget 209,103 16,150 11,628 455,526 175,929 97,623 158,107 70,342 254,806 1,449,214 209,103 16,150 11,628 465,526 175,929 97,623 158,107 70,342 254,806 1,459,214 209,103 15,476 11,628 443,290 205,639 88,009 149,235 48,115 250,024 1,373 1,421,892 674 22,236 (29,710) 9,614 8,872 22,227 4,782 (1,373) 37,322 109,516 510,685 8,500 75,000 1,228,772 70,230 112,000 219,772 2,334,475 109,516 510,685 8,500 75,000 1,268,772 70,230 112,000 219,772 2,374,475 105,978 442,474 7,844 33,628 74,219 1,261,843 70,230 133,064 698,899 2,828,179 3,538 68,211 656 (33,628) 781 6,929 (21,064) (479,127) (453,704) Total expenditures 11,344,819 11,917,961 11,111,313 806,648 Transfers out: Special revenue funds: Federal programs State programs Other funding sources Day care Project Eagle Maehnowesekiyah Total transfers Total expenditures and other financing uses 163,880 122,606 413,561 450,000 348,153 1,498,200 163,880 122,606 413,561 2,267,350 348,153 3,315,550 409,044 819,817 30,260 188,709 2,311,552 302,170 4,061,552 (245,164) (819,817) 92,346 224,852 (44,202) 45,983 (746,002) $ 12,843,019 $ 15,233,511 $ 15,172,865 Community development: Business center Community development ZOAR Ceremonial Other community development MIEDA Save A Lot grocery store Fire protection Powwow Transportation 36 $ 60,646 Combining Fund Statements Menominee Indian Tribe of Wisconsin Combining Balance Sheet--Federal Programs Fund--Federal Award Programs September 30, 2012 Department Department National Environmental of Health of Housing Foundation on National Department Cash and Investments $ Receivables Department Protection and Human and Urban the Arts and Science Department Department of of Agriculture Assets Department of the Interior of Education Agency Services Development the Humanities Foundation of Justice Transportation 35,427 $ 11,078,476 14,202 1,242 Prepaid Expenditures Total assets $ 140,785 10,172 - $ 3,658 - $ 50,871 $ 11,229,433 $ $ 19,622 $ 1,880,825 $ 3,658 - $ 13,935 $ - $ - 66,666 $ 465,516 225,444 - 2,832 $ 7,799 - $ 15,422 - - 13,935 $ 757,626 $ - $ 10,631 $ 1,215 $ 157,837 $ - $ 5,053 $ - $ 226,825 $ 418 $ $ 61,421 - 15,422 - Total 11,582,251 709,491 - 78,080 226,825 $ 61,421 $ 12,369,822 57,047 $ 8,030 $ 2,130,047 Liabilities and Fund Balances Liabilities Accounts payable Accrued liabilities 4,875 Due to other funds 64,245 - Deferred revenue Fund Balances--restricted 9,284,363 50,871 11,229,433 - $ 3,071 59,243 - 431 2,350 16,902 8,072 160,102 2,745 - 26,374 Total liabilities 913 9,649 426,872 - 5,147 12,654 152,876 45,319 655,262 113,674 - 757,626 - - - 3,658 - 13,935 - - - - - - - 10,631 15,422 - - 226,825 - 9,424,411 61,421 - 12,369,822 - - Total liabilities and fund balances $ 50,871 $ 11,229,433 $ 3,658 $ 13,935 $ 37 757,626 $ - $ 10,631 $ 15,422 $ 226,825 $ 61,421 $ 12,369,822 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenditures and Changes in Fund Balances--Federal Programs Fund--Federal Award Programs For the Year Ended September 30, 2012 Department Department National Environmental of Health of Housing Foundation on National Department Department Department Protection and Human and Urban the Arts and Science Department Department of of Agriculture of the Interior of Education Agency Services Development the Humanities Foundation of Justice Transportation Total Revenues: Intergovernmental--grants $ Charges for services 602,734 $ 56,798 Proceeds from sale of capital assets 56,130 $ 328,897 $ 6,819,191 $ $ 659,532 $ - - - - - - 444 - - $ - 56,130 328,897 7,282,628 3,621 126,242 - 14,766,934 - 45,035 - - 462,993 232,468 - 1,100 - Total revenues $ 36,764 - Investment earnings 14,729,070 232,468 - 48,656 1,958,404 $ 38,763 442,139 $ 25,340,310 598,939 - - 1,100 - 126,242 - 1,997,167 444 442,139 25,940,793 Expenditures: Current: Governmental affairs - Housing - 3,156,225 - 694,675 Health and family 989,994 29,642 Enforcement and resource protection 303,455 - - 2,503,713 137,942 - - 115,925 - 4,762,762 - Labor, education and training 10,615 Community development 7,430,522 38,321 56,130 2,754,736 773,253 Total expenditures - 14,772,874 - 338,743 - - 56,130 - - - 989,994 - - 869,215 - 4,459,915 - - 1,137,679 - 4,639,522 - - 232,468 - 102,656 338,743 - - 66,090 49,948 - 7,551,146 - - 49,948 - 486,335 - 126,242 - 232,468 - - 12,436,219 - 126,242 442,139 3,337,852 442,139 2,006,894 26,349,837 Excess (deficiency) of (113,721) revenues over expenditures (5,940) - (9,846) (268,518) - (1,292) - (9,727) - (409,044) Other financing sources (uses): Transfers in 113,721 - 9,846 268,518 - 1,292 - 9,727 - 409,044 5,940 - 9,846 268,518 - 1,292 - 9,727 - 409,044 - Net change in fund balances Fund balances, beginning of year Fund balances, end of year 5,940 113,721 Total other financing sources - $ - - $ - - $ - - $ - - $ 38 - $ - - $ - - $ - - $ - - $ - $ - Menominee Indian Tribe of Wisconsin Combining Balance Sheet--State Programs Fund--State Award Programs September 30, 2012 Department Department Department of Department of Justice Department of Natural of Public Department of Department of Assets Administration Assistance of Justice Resources Instruction Transportation Commerce Cash and Cash Equivalents $ Receivables - $ - Prepaid Expenditures Total assets $ - $ - 17,513 $ 12,819 - - - $ - $ - $ - $ - $ 4,895 - $ 18 $ 4,895 $ 51,070 - 30,332 Department of - $ 995,932 - - Department of Department of Military of Veterans Affairs Affairs Health Services Family Services $ - 39,499 Department Children and 158,280 $ 586,656 - - $ 85,006 140 - $ 8,494 - 51,070 $ 1,035,431 $ - $ 745,076 $ 85,006 $ $ 11,055 $ 36,911 $ - $ 650,006 $ 5,241 $ 8,494 - $ - - $ Total 175,793 1,744,872 - 39,639 $ - $ 1,960,304 $ - $ 703,231 Liabilities and Fund Balances Liabilities Accounts payable $ Accrued liabilities - - 1,161 Due to other funds - - 12,134 Deferred revenue - 30,332 - 4,352 33,804 - 35,663 4,895 17,019 - - Fund Balances--restricted - - Total liabilities - 964,716 - - - 4,895 - - 51,070 - - - 85,527 418 - 51,911 76,439 745,076 - - 2,633 - - 1,035,431 - 9,543 8,076 - 1,101,923 - - 84,313 - - 693 1,959,611 - - 102,546 - 8,494 693 Total liabilities and fund balances $ - $ - $ 30,332 $ 4,895 $ 51,070 39 $ 1,035,431 $ - $ 745,076 $ 85,006 $ 8,494 $ - $ 1,960,304 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenditures and Changes in Fund Balances--State Programs Fund--State Award Programs For the Year Ended September 30, 2012 Department Department Department of Department of Justice Department of Natural of Public Department of Department of Department of Administration Assistance of Justice Resources Instruction Transportation Commerce Department of Department Department Children and of Military Of Veterans Affairs Affairs Health Services Family Services Total Revenues: Intergovernmental--grants $ Charges for services 22,685 $ 233,221 137 $ - 88,301 $ 2,286 15,446 $ - 418,322 $ 2,358 2,643,048 $ 250,772 7,698 $ - 2,550,473 $ 28,148 550,088 $ 17,405 $ 14,355 203 - $ - Proceeds from sale of capital assets - - - - - - - - - - - - - - - - - - - - 516,988 - Investment earnings - 255,906 Total revenues 137 90,587 15,446 420,680 2,893,820 7,698 2,578,621 550,291 17,405 6,327,958 - 14,355 6,844,946 14,355 189,863 Expenditures: Current: Governmental affairs - - - - - - - 175,508 - - Enforcement and resource protection - - Health and family - - - Housing 255,906 90,854 - - - - - - Labor, education and training - - - 3,861 Community development - - - 14,902 255,906 Total expenditures - - 90,854 - - - 516,171 296,347 - 2,711,445 263,604 - - - - 647,427 - - 2,578,621 - - 45,238 - 7,698 34,810 - 82,157 - 3,570,115 533,047 - - 3,541,990 516,171 170,683 2,150,273 7,698 - - 18,763 - 28,125 - 3,556,892 578,285 34,810 - (27,994) (17,405) 27,042 14,355 17,405 7,665,578 Excess (deficiency) of revenues over - expenditures 137 (267) (3,317) (95,491) (676,295) - 3,317 95,491 676,295 - - - - - - - - - (820,632) - 819,817 Other financing sources: Transfers in - - 267 Transfers out - (137) - - (137) 267 - - - - - - - - - (137) Total other financing sources 3,317 95,491 676,295 27,042 17,405 - 819,680 Net change in fund balances Fund balances, beginning of year Fund balances, end of year $ - $ - - $ - - $ - - $ - 40 $ - $ - (952) $ - - 1,645 $ 693 - $ - (952) $ - 1,645 $ 693 Menominee Indian Tribe of Wisconsin Combining Balance Sheet--Settlement Fund--Settlement Agreements September 30, 2012 Assets Restricted Cash, Cash Equivalents and Investments Receivables, net Total assets Members Distributions $ $ (1,150) 1,150 - Utilities Capital $ $ 205,167 440 205,607 $ 156 $ 205,451 205,451 205,607 Burial $ $ 2,345,388 8,679 2,354,067 $ 1,030 $ 2,000,000 353,037 2,353,037 2,354,067 Health Care Education $ $ 4,708,866 17,506 4,726,372 $ 2,046 $ 4,000,000 724,326 4,724,326 4,726,372 $ Total $ 2,462,194 9,400 2,471,594 $ $ 9,720,465 37,175 9,757,640 $ 8,322 $ 11,554 $ 2,000,000 463,272 2,463,272 2,471,594 $ 8,000,000 1,746,086 9,746,086 9,757,640 Liabilities and Fund Balances Liabilities Accounts payable Fund Balances Nonspendable Restricted Total fund balances Total liabilities and fund balances $ - $ - 41 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenditures and Changes in Fund Balances--Settlement Fund--Settlement Agreements For the Year Ended September 30, 2012 Members Distributions Revenues: Investment earnings (loss) Total revenues $ Expenditures: Current: Governmental affairs Health and family Labor, education and training Total expenditures $ 22,677 22,677 Burial $ Health Care Education 359,994 359,994 $ 721,217 721,217 $ Total 375,114 375,114 $ 1,479,002 1,479,002 - $ 196,529 196,529 88,899 88,899 151,062 88,899 196,529 436,490 (28,244) 259,853 524,688 286,215 1,042,512 (127,497) (127,497) - Net change in fund balances 100,141 100,141 - Other financing uses: Transfer out Total other financing uses 50,921 50,921 - Excess (deficiency) of revenues over expenditures Fund balances, beginning of year Fund balances, end of year - Utilities Capital (155,741) - $ 361,192 205,451 42 - - 259,853 $ 2,093,184 2,353,037 - 524,688 $ 4,199,638 4,724,326 (127,497) (127,497) 286,215 $ 2,177,057 2,463,272 915,015 $ 8,831,071 9,746,086 Menominee Indian Tribe of Wisconsin Combining Balance Sheet--Nonmajor Governmental Funds September 30, 2012 Other Funding Sources Assets Cash and Cash Equivalents Receivables, net Prepaid Expenditures Total assets $ $ 43,637 158,953 140 202,730 Equipment Replacement $ $ 57,375 57,375 Maehnowesekiyah Treatment Center $ $ 171,269 17,495 242 189,006 Tribal Day Care $ $ 20,940 30,951 2,433 54,324 Total Nonmajor Governmental Funds $ $ 293,221 207,399 2,815 503,435 Liabilities and Fund Balances Liabilities Accounts payable Accrued liabilities Due to other funds Deferred revenue Total liabilities Fund Balances Nonspendable Committed Total fund balances Total liabilities and fund balances $ $ 29,434 6,972 66,606 99,718 202,730 202,730 $ $ 43 - 57,375 57,375 57,375 $ $ 21,763 8,403 30,166 242 158,598 158,840 189,006 $ $ 309 7,443 7,752 2,433 44,139 46,572 54,324 $ $ 51,506 22,818 66,606 99,718 240,648 2,675 260,112 262,787 503,435 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenditures and Changes in Fund Balances--Nonmajor Governmental Funds For the Year Ended September 30, 2012 Other Funding Sources Revenues: Intergovernmental Charges for services Investment earnings and other Total revenues $ Expenditures: Current: Enforcement and resource protection Health and family Labor, education and training Community development Total expenditures $ 201 201 $ 377,614 377,614 Tribal Day Care $ 416,655 155 416,810 Total Nonmajor Governmental Funds $ 538,330 868,006 356 1,406,692 61,016 349,144 69,234 153,655 633,049 $ 616,903 616,903 201 (299,698) (200,093) (520,572) - 302,170 302,170 188,709 188,709 521,497 (12,968) 508,529 (3,332) Net change in fund balances 677,312 677,312 30,618 (12,968) 17,650 Other financing sources (uses): Transfers in Transfers out Total other financing sources - (20,982) Excess (deficiency) of revenues over expenditures Fund balances, beginning of year Fund balances, end of year 538,330 73,737 612,067 Equipment Replacement Maehnowesekiyah Treatment Center 201 (11,384) (12,043) 3,332 - 57,174 57,375 $ 44 2,472 $ 156,368 158,840 $ 57,956 46,572 61,016 1,026,456 686,137 153,655 1,927,264 $ 274,830 262,787 Menominee Indian Tribe of Wisconsin Combining Balance Sheet--Nonmajor Governmental Funds--Other Funding Sources September 30, 2012 Assets Cash and Cash Equivalents Receivables Prepaid Expenditures Total assets Greater Wisconsin Agency on Aging Great Lakes Inter-Tribal Council $ $ 810 46,978 140 47,928 $ $ 33,362 33,362 Other Local Programs Menominee County $ $ 22,557 5,777 28,334 $ $ 20,270 72,836 93,106 Total $ $ 43,637 158,953 140 202,730 Liabilities and Fund Balances Liabilities Accounts payable Accrued liabilities Due to other funds Deferred revenue Total liabilities Fund Balances--restricted Total liabilities and fund balances $ $ 160 1,470 45,488 810 47,928 $ 47,928 $ 45 3,246 4,341 21,118 4,657 33,362 33,362 $ $ 10,751 358 17,225 28,334 28,334 $ $ 15,277 803 77,026 93,106 93,106 $ $ 29,434 6,972 66,606 99,718 202,730 202,730 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenditures and Changes in Fund Balances--Nonmajor Governmental Funds--Other Funding Sources For the Year Ended September 30, 2012 Greater Wisconsin Agency on Aging Great Lakes Inter-Tribal Council Revenues: Intergovernmental--grants Public charges Total revenues $ Expenditures: Current: Enforcement and resource protection Health and family Labor, education and training Community development Total expenditures $ 110,799 110,799 Excess (deficiency) of revenues over expenditures 117,647 53,998 171,645 $ 201,705 201,705 151,409 661 152,070 $ 46,591 11,274 94,205 152,070 168,277 9,634 177,911 Total $ 14,425 36,640 57,960 59,450 168,475 538,330 73,737 612,067 61,016 349,144 69,234 153,655 633,049 (358) (30,060) - 9,436 (20,982) 358 358 Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) 30,060 30,060 - 200 (12,968) (12,768) 30,618 (12,968) 17,650 - (3,332) (3,332) - Net change in fund balances Fund balances, beginning of year Fund balances, end of year 100,997 9,444 110,441 Other Local Programs Menominee County $ - - $ 46 - $ - $ 3,332 - $ 3,332 - Menominee Indian Tribe of Wisconsin Combining Statement of Net Assets--Proprietary Funds--Nonmajor Enterprise Funds September 30, 2012 Assets Current Assets Cash and cash equivalents Receivables, net Prepaid expenses Current portion of advance to other funds Current portion of advance to component unit Total current assets Electric Utility $ Noncurrent Assets Advance to other funds 100 69,154 1,233 70,487 $ Wolf River Development 10,534 4,161 14,695 $ 331,157 1,216,823 2,984 1,550,964 Loans $ Total 960,447 1,392,187 37,455 5,116 2,395,205 $ 1,302,238 2,682,325 4,217 37,455 5,116 4,031,351 - Capital assets Less accumulated depreciation Total capital assets - - 39,766 39,766 - Advance to component unit Total noncurrent assets Total assets Elderly Housing - - 11,261 11,261 375,000 (219,792) 155,208 $ 155,208 225,695 762,307 (738,160) 24,147 $ 24,147 38,842 997,537 (274,323) 723,214 $ 723,214 2,274,178 - $ 51,027 2,446,232 2,134,844 (1,232,275) 902,569 $ 953,596 4,984,947 Liabilities and Net Assets (Deficit) Current Liabilities Accounts payable and accrued expenses Due to other funds Current portion of long-term debt Total current liabilities Noncurrent Liabilities Long-term debt Total noncurrent liabilities Total liabilities Net Assets (Deficit) Invested in capital assets, net of related debt Restricted for loan programs Unrestricted (deficit) Total net assets (deficit) $ $ $ $ 7,487 2,480 9,967 $ 9,967 $ 155,208 60,520 215,728 $ $ 47 8,172 28,763 36,935 338,313 338,313 375,248 (342,929) 6,523 (336,406) $ $ $ $ 24,417 200,000 2,272 226,689 432,473 432,473 659,162 288,469 1,326,547 1,615,016 $ $ $ $ 19,146 19,146 19,146 2,427,086 2,427,086 $ $ $ $ 59,222 202,480 31,035 292,737 770,786 770,786 1,063,523 100,748 2,427,086 1,393,590 3,921,424 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenses and Changes in Fund Net Assets--Proprietary Funds-- Nonmajor Enterprise Funds For the Year Ended September 30, 2012 Electric Utility Operating revenues: Charges for services Interest on loans Total operating revenues $ Operating expenses: Salaries, wages and benefits Other Depreciation Total operating expenses 135,715 135,715 $ 9,610 115,503 12,500 137,613 Nonoperating revenues (expenses): Investment earnings Intergovernmental grants Interest expense Total nonoperating revenues (expenses) 55,100 55,100 Wolf River Development $ 562,653 562,653 Loans $ (26,857) 171,250 144,393 Total $ 726,611 171,250 897,861 5,538 65,856 12,519 83,913 8,207 81,202 33,251 122,660 132,359 32,935 165,294 155,714 295,496 58,270 509,480 (28,813) (1,898) Operating income (loss) 439,993 (20,901) 388,381 - 1,111 - 1,761 95,977 (41,747) 18,231 36,649 1,111 55,991 (10,582) 476,642 (19,790) 444,372 (1,898) $ 592 45,557 (9,500) (1,898) Transfers in Change in net assets (deficit) 58 50,420 (32,247) - Income (loss) before transfers and contributions Net assets (deficit), beginning of year Net assets (deficit), end of year Elderly Housing 30,491 19,909 476,642 (19,790) 30,491 474,863 217,626 215,728 $ 48 (356,315) (336,406) $ 1,138,374 1,615,016 $ 2,446,876 2,427,086 $ 3,446,561 3,921,424 Menominee Indian Tribe of Wisconsin Combining Statement of Cash Flows--Proprietary Funds--Nonmajor Enterprise Funds For the Year Ended September 30, 2012 Electric Utility Cash Flows From Operating Activities Receipts from customers Payments to suppliers Payments to employees Net cash provided by (used in) operating activities $ Elderly Housing 128,368 (118,758) (9,610) $ 53,174 (68,107) (5,538) Wolf River Development $ 13,675 (103,311) (8,207) Loans $ Total 197,742 (34,087) (132,359) $ - (97,843) 50,420 30,491 45,557 - - 95,977 30,491 - 80,911 45,557 - 126,468 - (16,305) (26,427) (32,247) (2,122) (9,500) 40,344 - (16,305) 40,344 (28,549) (41,747) - Cash Flows From Capital and Related Financing Activities Purchases of capital assets and other Advance payments from other funds Principal paid on long-term debt Interest paid on long-term debt Net cash provided by (used in) capital and related financing activities (20,471) - Cash Flows From Noncapital Financing Activities Intergovernmental grants Transfers Net cash provided by noncapital financing activities 31,296 392,959 (324,263) (155,714) (87,018) (74,979) (11,622) 40,344 (46,257) Cash Flows From Investing Activities Investment earnings Net cash provided by investing activities - 58 592 1,111 1,761 - 58 592 1,111 1,761 Net increase (decrease) in cash and cash equivalents - 72,751 (5,046) Cash and Cash Equivalents, beginning of year Cash and Cash Equivalents, end of year Reconciliation of Operating Income (Loss) to Net Cash Provided by (Used in) Operating Activities Operating income (loss) Adjustments to reconcile operating income (loss) net cash provided by (used in) operating activities: Depreciation expense Changes in assets and liabilities: Receivables, net Inventories and prepaid expenses Accounts payable and accrued expenses Due to other funds Net cash provided by (used in) operating activities $ $ (14,481) 100 100 (63,316) $ (1,898) 25,015 10,534 $ 394,473 331,157 $ 887,696 960,447 $ 1,307,284 1,302,238 $ (28,813) $ 439,993 $ (20,901) $ 388,381 12,500 33,251 (7,347) (1,233) (2,885) 863 $ 12,519 (1,926) (2,251) - (548,978) (2,311) (211,846) 192,048 - $ 49 (20,471) $ (97,843) - 58,270 53,349 (1,152) $ 31,296 (504,902) (3,544) (218,134) 192,911 $ (87,018) Menominee Indian Tribe of Wisconsin Combining Statement of Net Assets--Proprietary Funds--Internal Service Funds September 30, 2012 Assets Current Assets Cash and cash equivalents Receivables, net Inventories Prepaid expenses Total current assets Noncurrent Assets Capital assets Less accumulated depreciation Total capital assets Total assets Indirect Cost $ 935,732 27,755 238,143 1,201,630 Office Supplies $ $ 1,201,630 $ $ $ 7,359 1,804 9,163 9,163 Tribal Management Headquarters Information Building Systems $ $ 611,179 6,716 617,895 617,895 $ $ - - Tribal Court/Jail Complex $ 4,390 4,390 4,390 $ Maehnowesekiyah Treatment Center Building $ $ 37,928 37,928 37,928 Insurance $ $ 3,147,086 643,481 3,790,567 3,790,567 Recreation/ Library Building $ $ 175,307 175,307 175,307 School Revolving Fund $ $ 13,472 13,472 13,472 Federal Excess Property $ $ Total 53,292 53,292 $ 4,985,745 671,236 1,804 244,859 5,903,644 53,292 $ 5,903,644 Liabilities and Net Assets Current Liabilities Accounts payable and accrued expenses Claims payable Due to other funds Total liabilities Net Assets Invested in capital assets Unrestricted Total net assets 85,961 919,023 $ 1,004,984 $ $ $ $ 196,646 196,646 $ 43 43 9,120 9,120 $ $ $ $ 56,709 56,709 561,186 561,186 $ $ $ $ - - $ - $ $ 4,390 4,390 $ 50 $ $ $ $ 3,305 3,305 34,623 34,623 $ $ $ $ 187,725 1,632,202 1,819,927 1,970,640 1,970,640 $ $ $ $ 1,645 1,645 173,662 173,662 $ $ $ $ 50 50 13,422 13,422 $ $ $ $ - 53,292 53,292 $ 335,438 1,632,202 919,023 $ 2,886,663 $ 3,016,981 $ 3,016,981 Menominee Indian Tribe of Wisconsin Combining Statement of Revenues, Expenses and Changes in Fund Net Assets--Proprietary Funds--Internal Service Funds For the Year Ended September 30, 2012 Indirect Cost Operating revenues: Sales and charges for services $ 5,431,465 Operating expenses: Salaries, wages and benefits Insurance claims Other Total operating expenses $ 3,826,160 1,336,722 5,162,882 Nonoperating revenues (expenses): Investment earnings and other Income (loss) before transfers 52,242 $ 53,143 53,143 268,583 Operating income (loss) 384,997 $ - Tribal Court/Jail Complex $ - Maehnowesekiyah Treatment Center Building $ Insurance 53,314 $ 14,641,441 Recreation/ Library Building $ 64,982 164,964 204,378 369,342 - 6,702 6,702 - 50,210 50,210 14,627 11,858,757 1,806,765 13,680,149 (6,702) - 3,104 961,292 School Revolving Fund $ 11,093 29,766 40,859 15,655 (901) - 24,123 - - - - 11,750 13,050 Federal Excess Property $ - $ 20,714,259 4,016,844 11,858,757 3,525,946 19,401,547 48,467 (909) 72,768 24,301 24,301 13,959 13,959 - Total 1,312,712 - 11,750 268,583 Change in net assets (deficit) $ (901) 15,655 (6,702) - 3,104 973,042 24,123 (909) 48,467 1,324,462 268,583 Transfers in Net assets (deficit), beginning of year Net assets, end of year Office Supplies Tribal Management Headquarters Information Building Systems (901) 15,655 (6,702) - 3,104 973,042 24,123 (909) 48,467 1,324,462 4,825 53,292 1,692,519 $ 3,016,981 (71,937) 196,646 $ 10,021 9,120 $ 545,531 561,186 $ 6,702 - 4,390 4,390 $ 51 $ 31,519 34,623 $ 997,598 1,970,640 $ 149,539 173,662 $ 14,331 13,422 $ Menominee Indian Tribe of Wisconsin Combining Statement of Cash Flows--Proprietary Funds--Internal Service Funds For the Year Ended September 30, 2012 Indirect Cost Cash Flows From Operating Activities Receipts from customers Payments to suppliers Payments for claims Payments to employees Net cash provided by (used in) operating activities $ 5,460,837 (1,360,971) (3,826,160) $ 273,706 Cash Flows From Investing Activities Investment earnings Net cash provided by investing activities 52,242 (51,263) - $ 979 385,311 (162,055) (164,964) $ 58,292 (12,141) - Tribal Court/Jail Complex $ - (12,141) Maehnowesekiyah Treatment Center Building $ - 53,601 (51,294) - Insurance $ 14,509,416 (1,760,813) (12,134,873) (14,627) 2,307 Recreation/ Library Building $ 599,103 64,982 (40,575) (11,093) School Revolving Fund $ 13,314 13,550 (13,969) - Federal Excess Property $ (419) 72,768 (24,503) - 48,265 Total $ 20,612,707 (3,477,584) (12,134,873) (4,016,844) 983,406 - - - - - - 11,750 - - - 11,750 - Net increase (decrease) in cash and cash equivalents Cash and Cash Equivalents, beginning of year Cash and Cash Equivalents, end of year Office Supplies Tribal Management Headquarters Information Building Systems - - - - - 11,750 - - - 11,750 273,706 $ 662,026 935,732 979 $ 6,380 7,359 58,292 $ 552,887 611,179 (12,141) $ 12,141 - - 4,390 4,390 $ (Continued) 52 2,307 $ 35,621 37,928 610,853 $ 2,536,233 3,147,086 13,314 $ 161,993 175,307 (419) $ 13,891 13,472 48,265 $ 995,156 5,027 53,292 3,990,589 $ 4,985,745 Menominee Indian Tribe of Wisconsin Combining Statement of Cash Flows--Proprietary Funds--Internal Service Funds (Continued) For the Year Ended September 30, 2012 Indirect Cost Reconciliation of Operating Income (Loss) to Net Cash Provided by (Used in) Operating Activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided by (used in) operating activities: Changes in assets and liabilities: Receivables, net Inventories and prepaid expenses Accounts payable, accrued expenses and other Claims payable Due to other funds Net cash provided by (used in) operating activities $ 268,583 Office Supplies $ 29,372 (29,720) 273,706 $ 15,655 1,837 $ $ 314 1,028 43 - 5,471 - $ (901) Tribal Management Headquarters Information Building Systems 41,295 - 979 $ 58,292 (6,702) Tribal Court/Jail Complex $ - - (12,141) $ - (5,439) - $ Maehnowesekiyah Treatment Center Building - 53 $ 287 - - $ 3,104 Insurance 2,307 $ (132,025) - (1,084) - $ 961,292 Recreation/ Library Building 599,103 $ - 150,694 (276,116) (104,742) $ 24,123 School Revolving Fund 13,314 $ 48,467 Total $ 1,312,712 500 - $ - (101,552) (26,855) (10) - (10,809) - $ (909) Federal Excess Property (202) - 179,959 (276,116) (104,742) (419) $ 48,265 $ 983,406 Single Audit Report Section 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 Members of the Tribal Executive Council Menominee Indian Tribe of Wisconsin We have audited the primary government financial statements of Menominee Indian Tribe of Wisconsin as of and for the year ended September 30, 2012, and have issued our report thereon dated June 11, 2013. The Tribe has not presented the financial statements of the Tribe's legally separate component units, Menominee Casino-Bingo-Hotel, Menominee Fuel Station, Menominee Tribal Enterprises, Menominee Indian Economic Development Authority and the College of the Menominee Nation, as required by generally accepted accounting principles. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Internal Control Over Financial Reporting Management of Menominee Indian Tribe of Wisconsin is responsible for establishing and maintaining effective internal control over financial reporting. In planning and performing our audit, we considered Menominee Indian Tribe of Wisconsin's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Menominee Indian Tribe of Wisconsin's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of Menominee Indian Tribe of Wisconsin's internal control over financial reporting. 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 combination of deficiencies in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected, on a timely basis. Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be deficiencies, significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined previously. 54 Compliance and Other Matters As part of obtaining reasonable assurance about whether Menominee Indian Tribe of Wisconsin's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance 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 noncompliance or other matters that are required to be reported under Government Auditing Standards. This report is intended solely for the information and use of the Tribal Executive Council, management, and federal and state awarding agencies and pass-through entities, and is not intended to be and should not be used by anyone other than these specified parties. Minneapolis, Minnesota June 11, 2013 55 Independent Auditor's Report on Compliance With Requirements That Could Have a Direct and Material Effect on Each Major Federal and State Program and on Internal Control Over Compliance in Accordance With OMB Circular A-133 and the State of Wisconsin Single Audit Guidelines To the Members of the Tribal Executive Council Menominee Indian Tribe of Wisconsin Compliance We have audited Menominee Indian Tribe of Wisconsin's compliance with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement and the State of Wisconsin Single Audit Guidelines, issued by the Wisconsin Department of Administration, that could have a direct and material effect on each of Menominee Indian Tribe of Wisconsin's major federal and state programs for the year ended September 30, 2012. Our audit did not include the federal and state programs of the excluded component units as described in the notes to the schedules of expenditures of federal and state awards. Menominee Indian Tribe of Wisconsin's major federal and state programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs. Compliance with the requirements of laws, regulations, contracts, and grants applicable to each of its major federal and state programs is the responsibility of Menominee Indian Tribe of Wisconsin's management. Our responsibility is to express an opinion on Menominee Indian Tribe of Wisconsin's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations; and the provisions of the State of Wisconsin Single Audit Guidelines. Those standards and OMB Circular A-133 and the State of Wisconsin Single Audit Guidelines require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal or state program occurred. An audit includes examining, on a test basis, evidence about Menominee Indian Tribe of Wisconsin's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination of Menominee Indian Tribe of Wisconsin's compliance with those requirements. In our opinion, Menominee Indian Tribe of Wisconsin complied, in all material respects, with the compliance requirements referred to above that could have a direct and material effect on each of its major federal and state programs for the year ended September 30, 2012. 56 Internal Control Over Compliance Management of Menominee Indian Tribe of Wisconsin is responsible for establishing and maintaining effective internal control over compliance with the requirements of laws, regulations, contracts and grants applicable to federal and state programs. In planning and performing our audit, we considered Menominee Indian Tribe of Wisconsin's internal control over compliance with the requirements that could have a direct and material effect on its major federal and state programs to determine the auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance in accordance with OMB Circular A-133, 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 Menominee Indian Tribe of Wisconsin's internal control over compliance. 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 or state program on a timely basis. A material weakness in internal control over compliance is a deficiency or combination of deficiencies in internal control over compliance, such that there is reasonable possibility that material noncompliance with a type of compliance requirement of a federal or state program will not be prevented, or detected and corrected, on a timely basis. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be deficiencies, significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. This report is intended solely for the information and use of the Tribal Executive Council, management, and federal and state awarding agencies and pass-through entities, and is not intended to be and should not be used by anyone other than these specified parties. Minneapolis, Minnesota June 11, 2013 57 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards Year Ended September 30, 2012 Federal/ State Expenditures Grant Number Grant Period 10.025 10.025 10.025 11-9655-0317-CA 11-9655-1055-CA 12-8255-0916-CA 08/16/11-08/15/12 08/26/11-08/25/12 09/01/12 10.567 2-WI-400632 10/01/11-9/30/12 45,860 42,407 27,514 69,921 10.568 10.567 10.567 TEFAP-GEN-10-WI-01 2-WI-400632 2-WI-400632 09/30/10-09/28/12 10/01/10-09/30/11 10/01/11-09/30/12 250,000 422,813 366,140 1,084,813 87,744 31,493 365,868 527,512 4,618 12,932 122,100 167,164 92,362 44,425 487,968 694,676 Water and Waste Disposal Systems for Rural Communities 10.760 RUS GRANT 03/09/07-11/09/11 2,305,746 38,321 - 38,321 Environmental Quality Incentive Program: Legend Lake--Wolf River Legend Lake--Wolf River 10.912 10.912 EQIP-2008-745F-4811-1UP EQIP-2008-745F-4809-1NG 03/11/11-12/31/13 07/30/09-12/31/13 14,931 41,530 56,461 4,000 6,238 10,238 - 4,000 6,238 10,238 Pecore Creek 10.914 WHIP-2008-725F-4811-1UT 03/11/11-12/31/12 1,260 1,260 - 1,260 Agency/Program/Grant Title U.S. Department of Agriculture: Chronic Wasting Disease Viral Hemorrhagic Septicemia Menominee Citizen Science Food Distribution Program on Indian Reservations: Nutrition Education Emergency Food Assistance Program Infrastructure Grant Food Distribution Food Distribution (Continued) 58 Grant Awards Fiscal 2012 Total Expenditures Catalog Number $ 10,000 16,686 82,600 109,286 $ 8,462 16,565 376 25,403 Tribal/ Other $ 3,355 3,355 $ 8,462 19,920 376 28,758 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ State Expenditures Catalog Number Grant Number Grant Period 10.427 58-453621192-01-9 10/01/11-09/30/12 40,752 45,557 Pass through the Wisconsin Department of Health Services: Special Supplemental Nutrition Program for Women, Infants and Children: WIC Grants WIC BEPC Infrastructure Funds WIC Grants WIC Breastfeeding Peer Counsel IM Food Share Cert Fed Reimbursement IM Food Share Issuance Reimbursement Emergency Food Assistance Program (TEFAP) 10.557 10.557 10.557 10.557 10.561 10.561 10.568 10100500-170 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10/01/10-12/31/11 01/01/12-09/30/12 01/01/12-12/31/12 01/01/12-12/31/12 12/01/11-09/30/12 12/01/11-09/30/12 10/01/11-09/30/12 150,609 5,824 121,748 11,128 45,664 696 1,233 336,902 42,056 5,628 82,583 11,128 16,633 328 1,140 159,496 Pass through the Wisconsin Department of Public Instruction: MTS Food Service Breakfast Child and Adult Care Food Program Fresh Fruit and Vegetables Fresh Fruit and Vegetables 10.500 10.558 10.582 10.582 12-72-7381-SBPilot-1 72-6801 12-727381-FFVP-A/B SY12-13 11/01/11-04/30/12 10/01/11-09/30/12 07/01/11-06/30/12 07/01/12-06/30/13 17,836 175,000 9,777 635 203,248 17,836 212,958 9,183 635 240,612 10.675 UF-1026-S-11 01/01/11-12/31/12 Agency/Program/Grant Title U.S. Department of Agriculture (continued): Middle Village Apartment Complex Pass through the Wisconsin Department of Natural Resources: Urban Forestry Management Plan Total U.S. Department of Agriculture U.S. Department of Housing and Urban Development: Supportive Housing for the Elderly Grant Awards Fiscal 2012 Total Expenditures Tribal/ Other 32,421 77,978 - 42,056 5,628 82,583 11,128 16,633 328 1,140 159,496 88,362 88,362 17,836 301,320 9,183 635 328,974 $ 5,000 4,143,468 $ 545 1,048,944 $ 3,317 294,619 $ 3,862 1,343,563 $ 72,300 $ 50,420 $ 65,741 $ 116,161 14.157 WI-39-2694-201 10/01/11-09/30/12 Indian Housing Block Grants 14.867 55-IT-55-42230 10/01/11-09/30/12 4,932,979 2,980,933 ARRA: Native American Housing Block Grant 14.887 09-CT-55-42230 08/31/09-08/31/12 3,000,000 3,000,000 232,468 232,468 (Continued) 59 178,908 - 3,159,841 232,468 232,468 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Agency/Program/Grant Title U.S. Department of Housing and Urban Development (continued): Pass through the Wisconsin Department of Health Services: ARRA: HUD Healthy Homes HUD Healthy Homes Catalog Number Grant Number Grant Period 14.901 14.913 10100500-170 10100500-470 10/01/09-11/30/11 05/01/11-02/28/14 Total U.S. Department of Housing and Urban Development U.S. Department of the Interior: Aid to Tribal Governments Aid to Tribal Governments Conservation Rights Protection Indian Self-Determination Contract Support Social Services Federal/ State Expenditures Grant Awards 161,713 375,953 537,666 Fiscal 2012 Total Expenditures Tribal/ Other 1 130,545 130,546 28,148 28,148 $ 8,542,945 $ 3,394,367 $ $ 27,310 185,011 70,000 651,413 269,324 1,203,058 $ 27,310 185,011 34,172 651,413 269,180 1,167,086 $ 272,797 $ 3,667,164 $ 27,310 185,011 34,172 651,413 269,180 1,167,086 15.020 15.021 15.022 15.024 15.025 A12AV00227 A12AV00227 A12AV00222 A12AV00304 A12AV00220 10/01/11-09/30/14 10/01/11-09/30/14 10/01/11-09/30/14 10/01/11-09/30/14 10/01/11-09/30/14 Indian Adult Education: Indian Highway Safety Indian Highway Safety 15.026 15.026 PT-11-07 PT-12-08 10/01/10-09/30/11 10/01/11-09/30/12 265,000 174,043 439,043 Tribal Courts--Judicial Services Tribal Courts--Judicial Services Indian Law Enforcement Indian Law Enforcement 15.029 15.029 15.030 15.030 CTF58T440M3 A12AV00221 A12AV00224 CTF58T440M2 10/01/10-09/30/12 10/01/11-09/30/14 10/01/11-09/30/14 10/01/10-09/30/13 2,166,544 791,263 1,434,843 4,393,809 8,786,459 77,743 783,405 1,419,993 13,947 2,295,088 - 77,743 783,405 1,419,993 13,947 2,295,088 Community Fire Protection 15.031 A12AV00216 10/01/11-09/30/14 14,161 14,161 - 14,161 Indian Loans--Credit and Finance 15.032 A12AV00217 10/01/11-09/30/14 60,368 60,368 - 60,368 Road Maintenance--Indian Roads: Integrated Resource Management Road Maintenance Road Maintenance Archaeological and Environmental Services ARRA: Road Maintenance 15.033 15.033 15.033 15.033 15.033 GTF58T44013 A12AV00225 CTF58T440N7 CTF58T440L3 CTF58T440E2 07/21/04-12/31/11 10/01/11-09/30/14 10/01/08-09/30/12 08/29/06-12/31/13 02/12/10-09/30/12 56,060 445,842 1,511,756 100,000 1,451,384 3,565,042 4,832 383,456 11,885 6,385 43,182 449,740 (Continued) 60 (5,940) 166,768 160,828 - 1 158,693 158,694 5,940 5,940 1,100 1,100 166,768 166,768 4,832 383,456 12,985 6,385 43,182 450,840 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ State Expenditures Grant Number Grant Period 15.034 A12AV00222 10/01/11-09/30/14 67 67 - 67 Forestry on Indian Lands: Forest Development Forest Management Forest Management Forest Development Forest Management Forest Management 15.035 15.035 15.035 15.035 15.035 15.036 CTF58T440M7 CTF58T440M8 CTF58T440J5 A12AV00724 A12AV00228 A12AV00228 10/01/08-09/30/12 10/01/08-09/30/13 10/01/05-09/30/13 10/01/11-09/30/12 10/01/11-09/30/14 10/01/11-09/30/14 780,093 4,200,223 5,451,738 424,962 1,338,312 4,072 12,199,400 63,871 69,849 79,319 270,203 1,314,220 3,575 1,801,037 - 63,871 69,849 79,319 270,203 1,314,220 3,575 1,801,037 Conservation Rights Protection Conservation Rights Protection 15.036 15.036 A12AV00222 CTF58T440L8 10/01/11-09/30/14 10/01/10-09/30/13 344,965 1,163,366 1,508,331 304,965 60,893 365,858 - 304,965 60,893 365,858 Water Resources Management Water Resources 15.037 15.037 CTF58T44046 CTF58T440M4 10/01/93-09/30/13 10/01/08-09/30/13 1,401,124 43,418 1,444,542 21,033 175 21,208 - 21,033 175 21,208 Conservation Rights Protection 15.038 A12AV00222 10/01/11-09/30/14 80 80 - 80 Real Estate Programs--Indian Lands Real Estate Programs--Indian Lands 15.040 15.040 CTF58T440M9 A12AV00215 10/01/08-09/30/12 10/01/11-09/30/14 360,094 110,007 470,101 15,600 106,797 122,397 - 15,600 106,797 122,397 15.042 15.042 GTF58X54012 GTF58X54012 07/01/11-06/30/12 07/01/11-06/30/12 1,547,670 162,086 1,439,805 147,397 - 1,439,805 147,397 15.042 15.042 GTF58X54013 GTF58X54013 07/01/12-06/30/13 07/01/12-06/30/13 1,201,200 108,980 3,019,936 131,715 3,829 1,722,746 - 131,715 3,829 1,722,746 15.044 15.044 15.044 GTF58X540B1 GTF58X54013 GTF58X54012 07/01/10-06/30/11 07/01/12-06/30/13 07/01/11-06/30/12 322,900 264,900 359,362 947,162 13,876 52 357,579 371,507 - 13,876 52 357,579 371,507 Agency/Program/Grant Title U.S. Department of the Interior (continued): Conservation Rights Protection Indian School Equalization Program: Menominee Tribal School: Indian School Equalization Program Menominee Tribal School: Enhancement BIE Reads Menominee Tribal School: Indian School Equalization Program Menominee Tribal School: Enhancement BIE Reads Menominee Tribal School: Transportation Menominee Tribal School: Transportation Menominee Tribal School: Transportation (Continued) 61 Grant Awards Fiscal 2012 Total Expenditures Catalog Number Tribal/ Other Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Fiscal 2012 Total Expenditures Grant Number Grant Period 15.046 15.046 GTF58X54012 GTF58X54013 07/01/11-06/30/12 07/01/12-06/30/13 299,560 239,000 538,560 276,880 18,489 295,369 - 276,880 18,489 295,369 15.047 GTF58X540A4 07/01/03-06/30/04 4,913 4,647 - 4,647 15.047 GTF58X54012 07/01/11-06/30/12 357,192 278,562 - 278,562 15.047 GTF58X54013 07/01/12-06/30/13 17,761 379,866 12,815 296,024 - 12,815 296,024 Bureau of Indian Affairs Facilities--Operations and Maintenance: Facilities Management Menominee Transit Facility Facilities Management Facilities Management 15.048 15.048 15.048 15.048 CTF58T440A4 GTF58T44012 CTF58T440H5 CTF58T440L9 10/01/98-12/31/12 10/01/02-12/31/12 10/01/05-12/31/12 10/01/08-09/30/12 866,527 1,522,000 570,131 520,823 3,479,481 79,860 60,585 30,425 175,174 346,044 40 40 79,900 60,585 30,425 175,174 346,084 Replacement and Repair of Indian Schools: Litigation Support & Water Resources 15.052 CTF58T44066 10/01/94-09/30/13 181,516 2,488 - 2,488 15.065 CTF58T440M4 10/01/08-09/30/13 130,000 50,000 - 50,000 Agency/Program/Grant Title U.S. Department of the Interior (continued): Administrative Cost Grants for Indian Schools: Menominee Tribal School: Administrative Costs Menominee Tribal School: Administrative Costs Indian Education Facilities, Operations, and Maintenance: Menominee Tribal School: Operations and Maintenance Menominee Tribal School: Operations and Maintenance Menominee Tribal School: Operations and Maintenance Water Resources (Continued) 62 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Fiscal 2012 Total Expenditures Grant Number Grant Period 15.108 15.108 15.108 GTK00T12310 A12AV00228 A12AV00227 10/01/09-09/30/12 10/01/11-09/30/14 10/01/11-09/30/14 1,031,602 21,300 5,476 1,058,378 322,329 21,300 5,476 349,105 - 322,329 21,300 5,476 349,105 Indian Social Services--Welfare Assistance: Social Services 15.113 A12AV00220 10/01/11-09/30/14 32,094 32,094 - 32,094 Education Services 15.114 A12AV00218 10/01/11-09/30/14 465,179 465,005 - 465,005 Johnson O'Malley 15.130 A12AV00219 10/01/11-09/30/14 113,326 113,326 - 113,326 Indian Social Services--Welfare Assistance: Social Services 15.141 A12AV00220 10/01/11-09/30/14 2,183 2,183 - 2,183 Indian Housing Assistance: Home Improvement Program 15.141 CTF58T440N3 10/01/09-09/30/12 220,139 137,942 - 137,942 National Fire Plan: Wildland Management Forestry management Forestry management Wildland Fire Management 15.228 15.228 15.228 15.228 AGF50030008 CTF58T440M8 A12AV00228 AGF2010012 07/14/03-09/30/13 10/01/08-09/30/13 10/01/11-09/30/14 03/18/10-03/18/15 1,787,904 1,122,941 393,470 1,175,573 4,479,888 40,994 21,598 261,860 309,964 634,416 - 40,994 21,598 261,860 309,964 634,416 Lake & Stream Assessment Tribal Wildlife Grant 15.639 15.639 U-13-NA-1 U-18-NA-1 04/02/10-12/31/13 09/01/11-08/31/13 199,992 197,862 397,854 51,372 127,572 178,944 36,724 36,724 51,372 164,296 215,668 Historic Preservation Historic Preservation 15.904 15.904 55-12-NA-854-D 55-10-NA-552-0 10/01/11-09/30/13 08/01/11-07/31/13 70,089 40,000 110,089 $ 45,246,303 70,089 28,824 98,913 $ 11,554,024 43,804 70,089 28,824 98,913 $ 11,597,828 Agency/Program/Grant Title U.S. Department of the Interior (continued): Indian Employment Assistance: Job Training Programs 477 Forest Management Aid to Tribal Government Total U.S. Department of the Interior (Continued) 63 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other $ Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ Grant Number Grant Period 16.018 2010-WY-AX-K027 10/01/10-09/30/13 Menominee Elder Abuse Tribal Victim Assistance 16.582 16.582 2011-VR-GX-0005 2009-VR-GX-0011 10/01/11-09/30/14 09/01/09-01/31/13 215,965 402,190 618,155 19,761 161,041 180,802 Adult Drug Court Program 16.585 2009-DC-BX-0043 09/01/09-02/28/13 200,000 87,376 Stop Violence Against Women Menominee Tribal Government Program 16.587 16.587 2011-TW-AX-0015 2010-TW-AX-0043 10/01/11-09/30/14 10/01/10-09/30/13 541,748 575,000 1,116,748 44,137 173,401 217,538 - 44,137 173,401 217,538 Menominee DV Shelter & Education Services 16.589 2008-WR-AX-0040 10/01/08-09/30/12 625,000 107,626 - 107,626 Encourage Arrest Policies/Enforcement 16.590 2009-WE-AX-0033 10/01/09-03/31/12 324,233 61,180 - 61,180 Community Based Correctional Alternative Facility 16.596 2011-IP-BX-0012 10/01/11-09/30/14 351,853 138,371 - 138,371 Bulletproof Vest Replacement 16.607 FY 2011 09/21/11-09/21/16 9,350 8,230 Tribal Courts Record Management 16.608 2011-IC-BX-0009 10/01/11-09/30/13 489,654 119,692 - 119,692 Cops Tribal Resource Grant Cops Tribal Resource Grant CTAS ARRA: Cops Hiring Program 16.710 16.710 16.710 2009-HE-WX-0071 2010-HE-WX-0043 2009-RK-WX-0908 08/01/09-07/31/13 09/01/10-08/31/13 07/09/09-12/31/12 94,163 455,723 210,189 760,075 29,863 34,658 66,743 131,264 - 29,863 34,658 66,743 131,264 Menominee Teen Court Tribal Youth-Graduated Sanctions Tribal Youth Program 16.731 16.731 16.731 2009-JR-FX-0007 2008-TY-FX-0004 2011-TY-FX-0017 10/01/09-09/30/12 10/01/08-09/30/13 10/01/11-09/30/14 300,000 400,000 500,000 1,200,000 118,101 75,421 88,285 281,807 Sexual Offender Registration 16.750 2011-AW-BX-0017 10/01/11-03/31/13 194,907 116,741 - 116,741 ARRA: Edward Byrne Memorial Jag 16.804 2009-SB-B9-3263 03/01/09-02/28/13 33,515 2,233 - 2,233 Agency/Program/Grant Title U.S. Department of Justice: Youth Advocate Concept Paper (Continued) 64 Grant Awards Fiscal 2012 Catalog Number $ 300,000 State Expenditures $ 62,593 Tribal/ Other $ Total Expenditures - 27,137 8,230 13,122 13,122 $ 62,593 19,761 161,041 180,802 114,513 16,460 131,223 75,421 88,285 294,929 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ State Expenditures Grant Number Grant Period 16.806 2009-EG-S6-0014 07/01/09-06/30/13 899,999 244,935 - 244,935 ARRA: Rural Law Enforcement Investigation 16.810 2009-SD-B9-0047 08/01/09-09/30/12 562,203 198,016 - 198,016 Pass through the Wisconsin Justice: Victims of Crime Act Victims of Crime Act 16.575 16.575 2010-020-23 2009-020-22 10/01/11-09/30/12 10/01/10-09/30/11 35,280 36,797 72,077 16.726 2012-ST-OAG-B4B-WI-7 10/01/11-10/31/12 Agency/Program/Grant Title U.S. Department of Justice (continued): ARRA: DV/SA Transitional Housing Pass through the Cal Ripken Sr. Foundation: Badges for Baseball Total U.S. Department of Justice U.S. Department of Transportation: FY 2011 Operating Assistance Tribal Transit Program U.S. Department of the Interior pass through U.S. Department of Transportation: Highway Planning and Construction: Road Maintenance Zoar Ceremonial Road Multiple Menominee IRR South Branch Center Road Multiple Menominee IRR Spears Road Multiple Menominee IRR Tribal Office Loop Road Sidewalk College Phase 4 Upper Base Lake Road Transportation Planning IRR Transportation Program Grant Awards Fiscal 2012 Total Expenditures Catalog Number $ 20.509 20.509 WI-18-X43 WI-18-X41 06/01/12-12/31/13 04/30/11-12/31/12 20.205 20.205 20.205 20.205 20.205 20.205 20.205 20.205 20.205 20.205 20.205 20.205 CTF58T440N7 CTF58T440K6 CTF58T440L7 CTF58T440K7 CTF58T440K8 CTF58T440K9 CTF58T440L1 CTF58T440L2 CTF58T440L4 CTF58T440L6 CTF58T440K4 A12AV01044 10/01/08-09/30/12 08/21/06-12/31/13 08/26/08-12/31/13 08/18/06-12/31/13 08/29/06-12/31/13 08/21/06-12/31/13 08/21/06-12/31/13 08/21/06-12/31/12 08/21/06-12/31/11 05/01/07-12/31/13 08/09/06-09/30/12 10/01/11-12/31/15 (Continued) 65 $ 5,000 7,762,769 475,000 438,885 913,885 824,000 134,000 2,245,000 141,000 844,000 409,000 366,000 400,000 280,000 2,466,867 584,018 1,030,712 9,724,597 Tribal/ Other 28,478 (267) 28,211 $ $ 4,262 1,990,877 22,036 420,103 442,139 162,367 77,160 293,521 30,323 701,845 188 177,061 34,400 56,892 6,047 35,638 316,530 1,891,972 2,286 267 2,553 $ $ 200 51,242 - - 30,764 30,764 $ $ 4,462 2,042,119 22,036 420,103 442,139 162,367 77,160 293,521 30,323 701,845 188 177,061 34,400 56,892 6,047 35,638 316,530 1,891,972 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Agency/Program/Grant Title U.S. Department of Transportation (continued): Pass through the Wisconsin Department of Transportation: Public Transportation Public Transportation Capital Assistance Capital Assistance Capital Assistance ARRA Capital Assistance RTAP: CPR First Aid Training RTAP: Customer Service and Communication Supplemental Transportation Rural Assistance Supplemental Transportation Rural Assistance Grant Period 20.509 20.509 20.509 20.509 20.509 20.509 20.509 20.509 Agreement Agreement WI-18-9039 WI-18-9042 Agreement WI-86-X001 Agreement Agreement 01/01/12-12/31/12 01/01/11-12/31/11 01/01/10-12/31/13 01/01/11-12/31/13 01/01/12-12/31/14 10/21/09-10/21/12 03/15/12-09/30/12 03/15/12-09/30/12 1,162,788 758,391 998,769 810,174 1,394,523 4,411,500 3,720 1,510 9,541,375 657,579 188,856 21,950 458,503 241,946 259,748 2,976 1,510 1,833,068 554,336 267,335 5,488 114,626 60,487 1,002,272 1,211,915 456,191 27,438 573,129 302,433 259,748 2,976 1,510 2,835,340 20.514 20.514 Agreement WI-26-0019 01/01/11-12/31/11 01/01/12-12/31/12 359,352 363,080 722,432 $ 20,902,289 $ 80,586 299,061 379,647 4,546,826 33,751 91,045 124,796 1,127,068 114,337 390,106 504,443 5,673,894 $ 7,009 2,296 6,000 74,520 7,000 $ 3,608 2,296 6,000 31,160 1,971 $ 4,292 621 - $ 7,900 2,917 6,000 31,160 1,971 $ 96,825 $ 45,035 $ 4,913 $ 49,948 National Science Foundation: Rebuilding Relations Living and Learning in Relations Total National Science Foundation $ 143,496 137,280 280,776 $ 67,833 58,409 126,242 $ $ 67,833 58,409 126,242 45.301 45.303 45.311 45.311 45.311 47.076 47.076 10/01/11-09/30/12 04/01/11-03/31/12 10/01/11-09/30/12 10/01/10-09/30/12 07/01/12-06/30/15 MA-05-11-0208-11 IC-21-11-0121-11 NG-01-11-0087-11 NG-03-10-0251-10 NG-05-12-0073-12 DRL-1114556 DRL-1109677 09/15/11-08/31/14 09/01/11-08/31/12 Grant Awards Fiscal 2012 Total Expenditures Grant Number Total U.S. Department of Transportation National Foundation on the Arts and the Humanities: MFA-Collections Stewardship American Heritage Preservation Native American Basic Native American Library Enhancement Native American Basic Grant/Education Total National Foundation on the Arts and the Humanities Federal/ State Expenditures Catalog Number $ (Continued) 66 $ Tribal/ Other $ $ - $ $ Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Agency/Program/Grant Title U.S. Environmental Protection Agency: Tribal Brownfield Program Indian Environmental General Assistance Program Performance Partnership Program Pass through U.S. Department of Health and Human Services: Keshena Infiltration Study Well Abandonment Catalog Number Grant Number Grant Period 66.817 66.605 66.605 RP-01E00874 BG-00E31102-0 BG-00E31103-0 10/01/11-09/30/12 10/01//09-03/31/12 04/01/12-03/31/14 66.458 66.458 BE-10-G23 BE-12-G82 08/30/10-09/30/12 06/21/12-06/30/13 U.S. Department of Education: Indian Education--Grants to Local Educational Agencies: Indian Education Formula Indian Education Formula $ $ Total U.S. Environmental Protection Agency Federal/ State Expenditures Grant Awards 177,707 21,856 199,563 1,705,363 $ 94,326 94,326 423,223 47,481 8,649 56,130 $ $ $ 7,339 2,507 9,846 9,846 - $ $ $ 57,238 191,724 89,781 338,743 94,326 94,326 433,069 07/01/11-06/30/12 07/01/12-06/30/13 U.S. Department of the Interior pass through the U.S. Department of Education: Title I Grants to Local Educational Agencies: Menominee Tribal School: Title I Language Arts Menominee Tribal School: Title I Language Arts ARRA: Menominee Tribal School: Title I 84.010 84.010 84.389 GTF58X54012 GTF58X54013 GTF58X54012 07/01/11-06/30/12 07/01/12-06/30/13 07/01/11-06/30/12 453,700 118,300 35,640 607,640 448,409 34,042 35,640 518,091 - 448,409 34,042 35,640 518,091 ARRA: Menominee Tribal School: Education Jobs Fund 84.410 GTF58X540B1 07/01/10-09/30/12 235,600 135,738 - 135,738 84.027A GTF58X54013 07/01/12-06/30/13 429,493 8,947 - 8,947 84.027A GTF58X54012 07/01/11-06/30/12 475,526 905,019 450,643 459,590 - 450,643 459,590 67 $ 57,238 184,385 87,274 328,897 S-06-0A-11-1201 S-06-0A-12-1201 (Continued) 54,173 53,714 107,887 $ 84.060A 84.060A Menominee Tribal School: Part B IDEIA Education Handicap Menominee Tribal School: Education of Handicapped $ 125,000 770,800 610,000 1,505,800 Fiscal 2012 Total Expenditures Tribal/ Other 47,481 8,649 56,130 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ State Expenditures Grant Number Grant Period 84.027A 84.027A 84.181A 84.181A GTF58X540C2 GTF58X540C3 GTF58X540C2 GTF58X540C3 07/01/11-06/30/12 07/01/12-06/30/13 07/01/11-06/30/12 07/01/12-06/30/13 97,720 92,910 9,890 7,860 208,380 88,741 13,911 1,116 7,860 111,628 - 88,741 13,911 1,116 7,860 111,628 Menominee Tribal School: Safe and Drug Free Schools Grant 84.186 GTF58X54012 07/01/11-06/30/12 449 449 - 449 Quality Enhancement Grants: Menominee Tribal School: IIA Teacher Quality Menominee Tribal School: IIA Teacher Quality Menominee Tribal School: Education Title VI B 84.336 84.336 84.358 GTF58X54012 GTF58X54013 GTF58X54012 07/01/11-06/30/12 07/01/12-06/30/13 07/01/11-06/30/12 $ 54,800 55,200 2,280 112,280 2,177,255 $ 54,800 496 2,280 57,576 1,339,202 $ - $ 54,800 496 2,280 57,576 1,339,202 $ 271,030 $ 166,692 $ 30 $ 166,722 Agency/Program/Grant Title U.S. Department of Education (continued): U.S. Department of the Interior pass through the U.S. Department of Education (continued): Special Education--Grants to States: Infant and Toddler Part B Infant and Toddler Part B Infant and Toddler Part C Infant and Toddler Part C Total U.S. Department of Education U.S. Department of Health and Human Services: Special Programs for the Aging--Title VI, Part A, Grants to Indian Tribes: Title VI, Part A Supportive and Nutrition Services Grant Awards Fiscal 2012 Total Expenditures Catalog Number Tribal/ Other 93.047 11-05-WI-T6NS 04/01/11-03/31/14 Nutrition Services Incentive Program 93.053 1105WINSIP 04/01/11-03/31/14 19,665 3,311 National Family Caregiver Support--Title VI, Part C, Grants to Indian Tribes: Title VI, Part C National Family Caregiver Support 93.054 1105WIT6CG 04/01/11 -03/31/14 93,720 46,770 - 46,770 Special Diabetes Program for Indians--Diabetes Prevention and Treatment Projects: Special Diabetes Special Diabetes Special Diabetes Program for Indians Special Diabetes Program for Indians 93.237 93.237 93.237 93.237 H1D9400459-08 H1D9400459 H1D9400105-15 H1D9400105-14 09/30/11-09/29/12 09/30/04-09/29/11 06/01/98-12/31/12 06/01/98-12/31/11 324,300 2,275,801 580,980 6,502,558 9,683,639 291,647 3,953 416,353 184,652 896,605 - 291,647 3,953 416,353 184,652 896,605 (Continued) 68 97,858 101,169 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Fiscal 2012 Total Expenditures Grant Number Grant Period 93.441 93.441 94.441 93.441 93.441 93.441 239-09-0013 239-09-0013 239-09-0013 239-06-0006 239-11-0006 239-11-0006 01/01/12-12/31/12 01/01/11-12/31/11 01/01/10-12/31/10 10/01/09-09/30/10 10/01/11-09/30/12 10/01/10-09/30/11 13,824,773 13,289,606 12,669,785 648,383 756,089 688,004 41,876,640 12,185,653 1,981,448 33,722 21,441 646,843 58,334 14,927,441 Menominee Mental Health Project 93.243 1H79SM060193 09/30/10-09/29/15 953,132 182,090 - 182,090 Injury Prevention Program 93.284 D26IHS300377-02 09/01/10-08/31/15 145,000 53,381 - 53,381 Promoting Safe and Stable Families 93.556 G-11PNWIFPSS 10/01/10-09/30/12 56,334 51,129 Temporary Assistance for Needy Families Temporary Assistance for Needy Families 93.558 93.558 G-11PUWITANF 12PUWITANF 10/01/10-09/30/12 10/01/11-09/30/12 1,267,930 1,267,930 2,535,860 492,556 1,080,772 1,573,328 Child Support Enforcement 93.563 G-12IBWI4005 10/01/11-09/30/12 672,237 589,047 Child Care Development Fund Child Care Development Fund Child Care Development Fund 93.575 93.575 93.575 G-10PNWICCDF G-11PNWICCDF G-12PNWICCDF 10/01/09-09/30/11 10/01/10-09/30/12 10/01/11-09/30/13 101,014 121,974 120,698 343,686 1,641 74,762 39,669 116,072 - 1,641 74,762 39,669 116,072 Child Care Mandatory and Matching Funds of the: Child Care Development Fund Child Care Development Fund Child Care Development Fund 93.596 93.596 93.596 G-10PNWICCDF G-11PNWICCDF G-12PNWICCDF 10/01/09-09/30/11 10/01/09-09/30/12 10/01/10-09/30/13 144,265 171,524 164,795 480,584 46,853 143,500 19,782 210,135 - 46,853 143,500 19,782 210,135 Head Start: Indian Head Start Indian Head Start 93.600 93.600 90CI9784/12 90CI9784/13 08/01/11-07/31/12 08/01/12-07/31/13 1,772,722 1,758,410 3,531,132 1,400,989 266,013 1,667,002 Agency/Program/Grant Title U.S. Department of Health and Human Services (continued): Indian Self-Determination: Indian Health Services: Clinic Indian Health Services: Clinic Indian Health Services: Clinic Indian Health Services: Maehnowesekiyah Indian Health Services: Maehnowesekiyah Indian Health Services: Maehnowesekiyah (Continued) 69 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other 152,543 2,197,144 73 324 47 2,350,131 17,043 163,638 443,181 360 443,541 12,338,196 4,178,592 33,722 21,514 647,167 58,381 17,277,572 68,172 492,556 1,080,772 1,573,328 752,685 1,844,170 266,373 2,110,543 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Fiscal 2012 Total Expenditures Grant Number Grant Period 93.612 93.612 93.612 HHSI2392010000020I PROJECT BE-05-C95 PROJECT BE-10-G25 06/22/09-10/31/12 12/02/05-10/31/11 12/01/10-10/30/11 235,933 182,400 463,000 881,333 115,924 12,709 8,330 136,963 Child Welfare Services--State Grants: Child Welfare Title IV-B Child Welfare Title IV-B 93.645 93.645 G-12PUWICWSS G-11PUWICWSS 10/01/11-09/30/13 10/01/10-09/30/12 22,599 26,880 49,479 6,947 21,254 28,201 Family Violence Prevention and Services--Grants for Family Violence Prevention 93.671 G-11PNWIFVPS 10/01/10-09/30/12 53,097 51,559 - 51,559 ARRA: Clinic M & I Projects ARRA: Software Interface 93.722 93.722 102-10-0013C 239-10-0022 12/23/09-04/01/12 07/23/10-09/30/12 380,150 41,860 422,010 119,642 41,860 161,502 - 119,642 41,860 161,502 Menominee Indian Tribe of Wisconsin Children and Youth Program 93.933 H1HIHS 300263 09/01/09-08/31/14 225,000 64,459 - 64,459 Pass through Wisconsin Department of Health Services: Public Health Emergency Preparedness: Public Health Emergency Preparedness 93.069 10100500-270 08/01/11-07/31/12 29,919 11,989 - 11,989 IAP-LHD Immunization 93.268 10100500-270 10/01/11-09/30/12 12,138 12,138 - 12,138 Centers for Disease Control and Prevention-- Investigations and Technical Assistance: Wisconsin Well Women Program Asthma Services 93.283 93.283 10100500-270 10100500-270 10/01/11-09/30/12 09/01/11-08/31/12 13,224 9,000 22,224 13,224 8,107 21,331 - 13,224 8,107 21,331 BadgerCare Plus Child Reimbursement 93.767 10100500-270 12/01/11-09/30/12 2,973 2,001 - 2,001 Agency/Program/Grant Title U.S. Department of Health and Human Services (continued): Native American Programs: Sanitation Facilities BE-09-F90 Onsite Wastewater Management Replacement Neopit Water Mains (Continued) 70 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other - 2,316 7,085 9,401 115,924 12,709 8,330 136,963 9,263 28,339 37,602 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Fiscal 2012 Total Expenditures Grant Number Grant Period 93.778 93.778 93.778 93.778 93.778 93.778 10100500-270 10100500-270 10100500-270 10100500-170 10100500-270 10100500-270 10/01/11-09/30/12 10/01/11-09/30/12 01/01/12-12/31/12 01/01/11-12/31/11 12/01/11-09/30/12 12/01/11-09/30/12 355 20,238 17,045 17,045 33,689 379 88,751 355 20,238 1,294,013 275,506 15,494 294 1,605,900 - 355 20,238 1,294,013 275,506 15,494 294 1,605,900 HIV Prevention Minority 93.940 10100500-270 10/01/11-09/30/12 7,500 7,500 - 7,500 Mental Health Block Grant-System 93.958 10100500-270 10/01/11-09/30/12 8,830 8,241 - 8,241 Block Grants for Prevention and Treatment of Substance Abuse: Brighter Futures Initiative Family Services 93.959 93.959 10100500-270 10100500-270 10/01/11-09/30/12 10/01/11-09/30/12 132,000 64,240 196,240 130,125 64,240 194,365 - 130,125 64,240 194,365 Maternal and Child Health Services Block Grant to the States: MCH: Women's Health MCH: Perinatal Health 93.994 93.994 10100500-270 10100500-270 10/01/11-09/30/12 10/01/11-09/30/12 20,830 5,474 26,304 20,830 5,474 26,304 - 20,830 5,474 26,304 Pass through Wisconsin Department of Children and Families: Kinship Care Benefits Kinship Care Assessments 93.558 93.558 265-369A 5T 265 5T 10/01/11-09/30/12 10/01/11-09/30/12 189,402 11,865 201,267 189,402 11,865 201,267 93.645 265 5T 10/01/11-09/30/12 33,401 33,401 Agency/Program/Grant Title U.S. Department of Health and Human Services (continued): Pass through Wisconsin Department of Health Services (continued): Medical Assistance Program: MCH: Perinatal Health Medicaid Eligibility Outreach CIP II Program CIP II Program BadgerCare Plus Federal Reimbursement Family Planning Waiver Child Welfare Homeless Youth & Runaway (Continued) 71 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other 1,153 1,153 - 189,402 13,018 202,420 33,401 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 10.5 Fiscal 2012 Total Expenditures Grant Number Grant Period 93.569 93.569 93.645 265 5T 265 5T 265 5T 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 6,398 24,085 8,725 39,208 6,398 23,597 7,238 37,233 - 6,398 23,597 7,238 37,233 Pass through Wisconsin Department of Administration: Weatherization 93.568 AD119496.04 07/01/11-06/30/12 6,000 4,665 - 4,665 Pass through Greater Wisconsin Agency on Aging Resources: Special Programs for the Aging--Title VI, Part A, Grants to Indian Tribes: Title III-D Men Aging Division Title III-D Menominee Aging Division 93.043 93.043 Agreement Agreement 01/01/12-12/31/12 01/01/11-12/31/11 1,276 1,284 2,560 1,227 199 1,426 136 22 158 1,363 221 1,584 Title III-B Men Aging Division Title III-B Menominee Aging Division 93.044 93.044 Agreement Agreement 01/01/12-12/31/12 01/01/11-12/31/11 26,579 26,866 53,445 16,436 4,100 20,536 1,826 456 2,282 18,262 4,556 22,818 Title III-C-1 Men Aging Division Title III-C-2 Menominee Aging Division Title III-C-1 Men Aging Division Title III-C-2 Menominee Aging Division 93.045 93.045 93.045 93.045 Agreement Agreement Agreement Agreement 01/01/12-12/31/12 01/01/12-12/31/12 01/01/11-12/31/11 01/01/11-12/31/11 7,485 20,498 7,579 20,528 56,090 3,276 7,914 198 9,361 20,749 364 879 22 1,040 2,305 3,640 8,793 220 10,401 23,054 Title III-E Men Aging Division Title III-E Menominee Aging Division 93.052 93.052 Agreement Agreement 01/01/12-12/31/12 01/01/11-12/31/11 5,001 5,000 10,001 962 1,861 2,823 321 621 942 1,283 2,482 3,765 Title III Nutrition Service 93.053 Agreement 10/01/11-09/30/12 16,487 16,487 73,882 90,369 Agency/Program/Grant Title U.S. Department of Health and Human Services (continued): Pass through Wisconsin Department of Children and Families: Family Service: Community Block Grant Family Service: Safe and Stable Families Family Service: Child Care/Welfare (Continued) 72 Grant Awards Federal/ State Expenditures Catalog Number Tribal/ Other Menominee Indian Tribe of Wisconsin Schedule of Expenditures of Federal Awards (Continued) Year Ended September 30, 2012 Federal/ State Expenditures Grant Number Grant Period 93.667 93.667 Agreement Agreement 01/01/12-12/31/12 01/01/11-12/31/11 426 432 858 187 11 198 State Health Insurance Program State Health Insurance Program 93.779 93.779 Agreement Agreement 04/01/11-03/31/12 04/01/12-03/31/13 7,000 7,000 14,000 6,623 5,794 12,417 - 6,623 5,794 12,417 Pass through the University of Wisconsin: American Indian Tobacco Use/Research American Indian Tobacco Use/Research Community Gardening Initiative 93.397 93.397 93.837 13405517 13405517 Agreement 09/20/11-08/31/12 09/20/10-08/31/11 02/22/12-09/30/12 39,744 5,078 368 45,190 39,744 (5,078) 368 35,034 - 39,744 (5,078) 368 35,034 Pass through the Medical College of Wisconsin: Prevalence Congenital Disease 93.231 U26IHS300408-01 09/01/11-08/31/12 1,419 1,419 - 1,419 Pass through Great Lakes Inter-Tribal Council: Prevention Spec SAMHSA 93.243 5U79SPO13935-05 10/01/10-09/30/11 937 127 - 127 93.724 GLITC 03/19/10-08/31/12 129,336 35,812 - 35,812 $ 63,298,656 $ 23,239,050 $ 3,162,386 $ $ $ 17,405 Agency/Program/Grant Title U.S. Department of Health and Human Services (continued): Pass through Greater Wisconsin Agency on Aging Resources (continued): Special Programs for the Aging--Title VI, Part A, Grants to Indian Tribes: Title III-C-1 Men Aging Division Title III-C-1 Menominee Aging Division ARRA: Community Prevention to Work Total U.S. Department of Health and Human Services U.S. Department of Homeland Security: Pass through the Wisconsin Military Affairs: Emergency Management Pass through the Wisconsin Justice Assistance: Homeland Security Mutual Aid Radio Total U.S. Department of Homeland Security 97.042 EMPG 10/01/11-09/30/12 97.067 2008-HS05-8780 Grant Awards Fiscal 2012 Total Expenditures Catalog Number 03/01/11-09/30/11 20,294 10,800 $ 31,094 $ 154,187,743 Total federal awards 73 17,405 Tribal/ Other 21 1 22 137 $ 208 12 220 $ 26,401,436 $ (137) 17,542 $ 17,268 $ 47,725,332 $ 4,983,943 34,810 $ 34,810 $ 52,709,275 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of State Awards Year Ended September 30, 2012 Agency/Program/Grant Title Wisconsin Department of Justice: Tribal Law Enforcement Tribal Law Enforcement Tribal Law Enforcement Total Wisconsin Department of Justice Wisconsin Department of Natural Resources: Wisconsin Recycling Wisconsin Recycling Total Wisconsin Department of Natural Resources Wisconsin Department of Transportation: Tribal Transportation for Elders Tribal Transportation for Elders Urban Mass Transit Operating Grant Total Wisconsin Department of Transportation Wisconsin Department of Public Instruction: WI Headstart Supplement WI Headstart Supplement Menominee Tribal School: Food Program Menominee Tribal School: Food Program Total Wisconsin Department of Public Instruction CARS Number Grant Number Grant Period * * None CY 2010 CY 2011 CY 2012 01/01/10-12/31/11 01/01/11-12/31/11 01/01/12-12/31/12 None None None None 01/01/12-12/31/12 01/01/11-12/31/11 Grant Awards $ 66,108 69,216 61,167 196,491 Federal/ State Expenditures $ 1,326 14,616 44,148 60,090 Fiscal 2012 Total Expenditures Tribal/ Other $ - $ 1,326 14,616 44,148 60,090 255.327 255.327 None None 12-MTWI 12-MTWI 2011/2012 2012/2013 07/01/12-06/30/13 07/01/11-06/30/12 07/01/11-06/30/12 07/01/12-06/30/13 (Continued) 74 23,997 (9,096) 14,901 - 14,901 22,500 22,500 326,486 22,500 5,625 202,208 - 22,500 5,625 202,208 230,333 - 230,333 98,175 98,175 88,196 15,411 10,091 87,917 64,291 15,411 5,919 3,569 10,091 87,917 70,210 18,980 299,957 01/01/12-12/31/12 01/01/11-12/31/11 01/01/12-12/31/12 - 371,486 Agreement Agreement 85.20 MOU 23,997 (9,096) 47,994 None None 395.104 23,997 23,997 177,710 9,488 187,198 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of State Awards (Continued) Year Ended September 30, 2012 Agency/Program/Grant Title Wisconsin Department of Health Services: Family Services: Preventive and Treatment Substance Abuse Tribal Medical Relief Block Grant Medicaid Eligibility Outreach WI Well Women Program Expanded Child Lead Poisoning American Indian Health Project Fluoride Mouth Rinsing Diabetes Prevention and Control MCH Women's Health MCH Perinatal Health WIC Farmers Market Nutrition WIC Farmers Market Nutrition IM State Reimbursement IM TANF Reimbursement Pass through Greater Wisconsin Agency on Aging Resources: Special Programs for the Aging--Title VI, Part A, Grants to Indian Tribes: Title III-Benefit Specialist Men Aging Division Title III-Benefit Specialist Men Aging Division Title III-Senior Community Men Aging Division Title III-Senior Community Men Aging Division Title III-C-1 Men Aging Division Title III-C-1 Men Aging Division Title III-C-2 Men Aging Division Title III-C-2 Men Aging Division State Pharmaceutical Assistance Program CARS Number 435.65300 435.65401 435.65402 435.65507 435.65508 435.65510 435.65535 435.65557 435.65560 435.65565 435.65586 435.65586 435.66320 435.66327 435.560320 435.560320 435.560330 435.560330 435.560350 435.560350 435.560360 435.560360 435.560327 Fiscal 2012 Total Expenditures Grant Period 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-270 10100500-170 10100500-270 10100500-270 10100500-270 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/10-12/31/11 01/01/12-12/31/12 12/01/11-09/30/12 12/01/11-09/30/12 97,819 175,508 20,238 7,784 1,118 9,189 2,028 2,050 6,331 355 1,306 1,045 52,034 411 377,216 97,819 175,508 20,238 7,784 1,118 9,151 2,028 1,778 6,331 355 102 1,045 46,995 411 370,663 Agreement Agreement Agreement Agreement Agreement Agreement Agreement Agreement Agreement 01/01/11-12/31/11 01/01/12-12/31/12 01/01/11-12/31/11 01/01/12-12/31/12 01/01/11-12/31/11 01/01/12-12/31/12 01/01/11-12/31/11 01/01/12-12/31/12 07/01/11-06/30/12 28,215 28,215 2,687 2,687 12,452 12,297 2,190 2,187 3,275 94,205 28 28,215 1,258 2,687 326 5,381 999 844 3,275 43,013 3 3,135 140 299 36 598 111 94 4,416 31 31,350 1,398 2,986 362 5,979 1,110 938 3,275 47,429 471,421 413,676 4,416 418,092 Total Wisconsin Department of Health Services (Continued) 75 Grant Awards Federal/ State Expenditures Grant Number Tribal/ Other - 97,819 175,508 20,238 7,784 1,118 9,151 2,028 1,778 6,331 355 102 1,045 46,995 411 370,663 Menominee Indian Tribe of Wisconsin Schedule of Expenditures of State Awards (Continued) Year Ended September 30, 2012 Agency/Program/Grant Title Wisconsin Department of Children and Families: Domestic Abuse Children's Services Domestic Abuse Basic Services Family Services: Child Care/Welfare Family Services: Domestic Abuse Family Services: Community Service Block Grant Family Services: Safe and Stable Families Total Wisconsin Department of Children and Families Wisconsin Department of Commerce: State Shelter Subsidy Total Wisconsin Department of Commerce Wisconsin Department of Administration: State Emergency Shelter Subsidy Total Wisconsin Department of Administration Wisconsin Department of Veterans Affairs: Tribal Veteran Service Office Tribal Veteran Service Office Total Wisconsin Department of Veterans Affairs Total state awards CARS Number Grant Number Grant Period 437.5102 437.5104 437.6530 437.6530 437.6530 437.6530 265 5T 265 5T 265 5T 265 5T 265 5T 265 5T Grant Awards 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 10/01/11-09/30/12 Federal/ State Expenditures Fiscal 2012 Total Expenditures Tribal/ Other None None SSSG1231 VOUCHER #2000I00232 VOUCHER #200I005681 $ *Not available. 76 305,229 7,698 - 7,698 7,698 - 7,698 18,020 233,221 251,241 18,020 233,221 251,241 8,500 5,855 01/01/11-12/31/11 01/01/12-12/31/12 27,042 18,020 01/01/12-12/31/12 278,187 18,020 * 25,526 63,670 37,999 50,056 33,590 94,388 24,580 01/01/11-12/31/11 5,105 12,734 9,203 - 24,580 SSSG1121 20,421 50,936 37,999 40,853 33,590 94,388 290,553 * 20,915 52,285 45,809 41,614 33,590 96,340 8,500 5,855 14,355 1,734,857 $ 14,355 1,214,970 - $ 274,167 8,500 5,855 $ 14,355 1,489,137 Menominee Indian Tribe of Wisconsin Notes to Schedules of Expenditures of Federal and State Awards Note 1. Summary of Significant Accounting Policies Basis of presentation: The accompanying schedules of expenditures of federal and state awards include the federal and state grant activity of the Menominee Indian Tribe of Wisconsin, except for the activity, if any, of Menominee Casino-Bingo-Hotel, Menominee Fuel Station, Menominee Tribal Enterprises, Menominee Indian Economic Development Authority and the College of the Menominee Nation. Expenditures are generally presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, and the State of Wisconsin Single Audit Guidelines. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. Programs subject to single audit: All significant federal and state awards received by the Tribe, either directly from the federal government or the State of Wisconsin or passed through the State of Wisconsin, except for the activity, if any, of Menominee Casino-Bingo-Hotel, Menominee Tribal Enterprises, Menominee Indian Economic Development Authority and the College of the Menominee Nation, have been included in the schedules of expenditures of federal and state awards. Note 2. Cognizant Agency The U.S. Department of Health and Human Services has been designated the federal cognizant agency. 77 Menominee Indian Tribe of Wisconsin Schedule of Findings and Questioned Costs For the Year Ended September 30, 2012 I. SUMMARY OF INDEPENDENT AUDITOR'S RESULTS A. Financial Statements 1. Type of auditor's report issued: Unqualified on the primary government 2. Internal control over financial reporting: Material weakness(es) identified? Yes X No Significant deficiencies identified that are not considered to be material weaknesses? Yes X None Reported Noncompliance material to financial statements noted? Yes X No Material weakness(es) identified? Yes X No Significant deficiencies identified that are not considered to be material weaknesses? Yes X None Reported B. Federal Awards 1. 2. Internal control over major programs: Type of auditor's report issued on compliance for major programs: Unqualified Any audit findings disclosed that are required to be reported in accordance with Section 510(a) of Circular A-133? Yes X No C. Identification of Major Programs 1. CFDA Number(s) Federal programs: 15.035 16.810 84.410 93.441 93.558 93.778 State programs: 395.104 435.65401 Name of Federal/State Program or Cluster Forestry on Indian Lands Assistance to Rural Law Enforcement to Combat Crime and Drugs Competitive Grant Program & ARRA Menominee Tribal School: Education Jobs Fund & ARRA Indian Self-Determination Temporary Assistance for Needy Families Medical Assistance Program Urban Mass Transit Operating Grant Tribal Medical Relief Block Grant (Continued) 78 Menominee Indian Tribe of Wisconsin Schedule of Findings and Questioned Costs (Continued) For the Year Ended September 30, 2012 2. Dollar threshold used to distinguish between type A and type B programs: ? ? Federal programs: $1,431,760 State programs: $100,000 3. Auditee qualified as low-risk auditee? X Yes II. FINANCIAL STATEMENT FINDINGS A. Internal Control Over Financial Reporting None reported. B. Compliance Findings None reported. III. FINDINGS AND QUESTIONED COSTS FOR FEDERAL AND STATE AWARDS A. Internal Control Over Compliance None reported. B. Compliance Findings None reported. 79 No Menominee Indian Tribe of Wisconsin Schedule of Prior-Year State Audit Findings For the Year Ended September 30, 2012 Finding Number IC 11-1 Description of Condition The Tribe did not have a system in place to ensure appropriate financial reporting relating to capital assets. 80 Status of Corrective Action Corrective action has been taken.