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- ps - a aa a = THE NORTH OF SUPERIOR DISTRICT ROMAN CATHOLIC SEPARATE SCHOOL BOARD NOTES TO FINANCIAL STATEMENTS -- Accounting policies DECEMBER 31, 1977 (a) Accrual accounting - The accrual method for reporting revenue and expenditure has been used with the exception of reporting of charges for net long-term liabilities. Principal and interest charges are not accrued from the due date of payment to the end of the fiscal year. (b) Fixed assets =~ Fixed assets are charged to current expenditure unless financed by long~term debt. liabilities are included in expenditure in the period due. Principal and interest charges on net long-term Fixed assets are included in the balance sheet only to the extent of the balances of the related net long-term liabilities outstanding and of the related temporary financing at the end of the fiscal year. (¢) Net long-term liabilities = Debentures are recorded as unmatured debenture debt in the year of sale. 2. Sick leave benefits Under the sick leave benefit plan unused sick leave can accumulate and employees may become entitled to a cash payment when they retire while in the Board's employ. retirement amount to approximately '$51,000 at December 31, 1977. provision has been made in the accounts for the sick leave benefit plan. 3. Net long-term liability repayments Of the net long-term liabilities outstanding of $2,058,200 principal amounting to $567,700 plus interest amounting to $742,798 is payable over the next five years as follows: 1978 1979 1980 1981 1982 i 4, Debt charges and capital loan interest that they could be used to determine the cash payments to an employee on The accumulated value of sick leave days, to the extent No Principal Interest Total $108,200 $164,442 $ 272,642 108,500 156,770 265,270 118,000 149,014 267,014 118,500 140,559 259,059 114,500 132,013 246,513 $567,700 $742,798 $1,310,498 The expenditure for debt charges and capital loan interest reported in the revenue fund statement of operations includes principal and interest payments as follows: $ 90,700 5. Anti-Inflation Act (Canada) 4 Under an agreement between the Government of Ontario and the Government of Canada, authorized by the Anti-Inflation Agreements Act (1976), Re paid by an Ontario school board to its employees is subject to the provision of the Anti-Inflation Act (Canada). The members of the Board are of the opinion that the Board is in compliance with the toubirenente of the Anti-Inflation legislation. 6. Mortgage agreement In 1976 the Board sold a home to ome of its employees. Consideration for the sale included an $8,000 interest free mortgage forgivable as at August 15, 1986 if the employee remains in the employ of the Board until the Ckpiey of the school year terminating June 1986. In the event that the employee sells cr transfers the house, or terminates employment with the Board, the whole amount owing shall become due and payable. The Board also has obtained an option' to purchase which gives the Board the first option to purchase the property for a period of 9 years and 10 months. The above : NAME OF BOARD THE NORTH OF SUPERIOR DISTRICT : ROMAN CATHOLIC SEPARATE SCHOOL } "BOARD CAPITAL FUND STATEMENT OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 1977 "4 Capital Expenditure Fixed Assets and Work in Progress Buildings, Furniture and Equipment 1977 534,797 1976 418,076 School Sites and Improvements to Sites Pupil Transportation Vehicles Other Less Federal Sales Tax Refund . Total Capital Expenditure / 6,357 ) 528,440 3,597 414,479 Capital Financing Unexpended Funds at Beginning of Year, or (Balance at Beginning of year not permanently financed) Elementary 0147 0148 0149 0150 0151 0152 19,302 12,695 Secondary Long-Term Liabilities issued and sold Contributions from Government of Canada 686,000 355,000 Capital Expenditure from the Revenue Fund Transfer to the Revenue Fund 8,825 66,086 Balance at end of Year not Permanentiv Financed or (Unexpended Funds at End of Year) Elementary 153 0154 0155 (185,687) (19,302) Secondary Total 414,479 Principal payments on long-term liabilities Interest payments on long-term liabilities Interest: payments on temporary financing of capital projects 108,836 5.110 $204,646 528,440