1 ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
East Bay Community Energy Authority
Management is responsible for the accompanying special purpose statement of East Bay Community Energy Authority (a California Joint Powers Authority) which comprise the budgetary comparison schedule for the period ended December 31, 2021, and for determining that the budgetary basis of accounting is an acceptable financial reporting framework. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the accompanying statement nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, a conclusion, nor provide any assurance on this special purpose budgetary comparison statement.
The special purpose statement is prepared in accordance with the budgetary basis of accounting, which is a basis of accounting other than accounting principles generally accepted in the United States of America. This report is intended for the information of the Board of Directors of the Authority.
Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.
East Bay Community Energy Authority’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters.
We are not independent with respect to the Authority because we performed certain accounting services that impaired our independence.
Maher Accountancy
San Rafael, CA
February 8, 2022
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com Agenda Item: 5
2021/22 YTD
Budget
2021/22 YTD
Actual
2021/22 YTD
Budget
Variance
Over (Under)
2021/22 YTD
Actual/ Budget
%
2021/22 Annual
Budget
2021/22 Budget
Remaining
REVENUE AND OTHER SOURCES Electricity Sales 261,802,679 $ 243,106,862 $ (18,695,817) $ 93% 508,636,000 $ 265,529,138 $ Uncollectables (5,236,054) (4,862,137) 373,917 0% (8,939,000) (4,076,863) Investment Income 86,321 399,090 (312,769) 22% 798,000 711,679 Other Income - 325,324 325,324 0% 894,000 568,676
Total Revenue and Other Sources 256,965,715 238,656,370 (18,309,345) 93% 501,389,000 262,732,630 EXPENDITURES AND OTHER USESCURRENT EXPENDITURES Cost of energy 235,928,658 247,406,034 (11,477,376) 95% 442,338,000 206,409,342 Data Management/Billing/Customer Service 4,072,814 4,703,315 (630,501) 87% 8,645,000 4,572,186 PG&E Service Fees 1,371,800 1,359,554 (12,246) 99% 2,752,000 1,392,446 Scheduling 332,928 339,588 6,660 102% 843,000 503,412
Personnel 4,710,500 3,614,198 (1,096,302) 77% 9,421,000 5,806,802 Marketing, Outreach, Communications 570,891 807,000 (236,109) 71% 1,614,000 1,043,109 Legal, Policy, & Regulatory Affairs 550,592 796,000 (245,408) 69% 1,592,000 1,041,408 Other Professional Services 425,000 483,163 58,163 114% 850,000 366,837 General & Administrative 1,516,500 1,115,057 (401,443) 74% 3,033,000 1,917,943 Local Development (Transfer to LD Fund Budget) 6,340,000 6,340,000 - 100% 8,475,000 2,135,000 Depreciation 30,000 27,149 (2,851) 90% 60,000 32,851
Total Current Expenditures 268,439,077 254,401,664 (14,037,413) 95% 479,623,000 225,221,336 DEBT SERVICE Interest and Financing Costs 452,669 466,814 14,145 103% 898,000 431,186 Capital expeditures 5,500,000 8,523,207 3,023,207 155% 5,500,000 (3,023,207) Total Debt Service 5,952,669 8,990,021 3,037,352 151% 6,398,000 (2,592,021) Total Expenditures, Other Uses and Debt Service 274,391,746 263,391,685 (11,000,061) 96% 486,021,000 222,629,315 Net Increase (Decrease) in Available Fund Balance (17,426,031) $ (24,735,315) $ (7,309,284) $ 0% 15,368,000 $
EAST BAY COMMUNITY ENERGY AUTHORITY
OPERATING FUND
BUDGETARY COMPARISON SCHEDULE
Six Months Ended December 31, 2021
See accountants' compilation report.
Agenda Item: 5
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ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
East Bay Community Energy Authority
Management is responsible for the accompanying financial statements of East Bay Community Energy Authority (a California Joint Powers Authority) which comprise the statement of net position as of December 31, 2021, and the related statements of revenues, expenses, and changes in net position, and the statement of cash flows for the three months and year-to-date then ended in accordance with accounting principles generally accepted in the United States of America. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA.
We did not audit or review the accompanying statements nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management.
Accordingly, we do not express an opinion, conclusion, nor provide any assurance on these financial statements.
Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.
East Bay Community Energy Authority’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters.
We are not independent with respect to the Authority because we performed certain accounting services that impaired our independence.
Maher Accountancy
San Rafael, CA
February 8, 2022
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com Agenda Item: 5
Current assets
Cash and cash equivalents 133,849,036 $
Accounts receivable, net of allowance 50,065,559
Accrued revenue 22,913,797
Other receivables 371,480
Prepaid expenses 2,352,909
Deposits 327,360
Restricted cash 2,000,000
Total current assets 211,880,141
Noncurrent assets
Unrestricted cash and cash equivalents in Rate Stabilization Fund 15,814,000 Restricted cash 7,000,000
Land and construction-in-progress 8,501,268
Capital assets, net of depreciation 117,016
Deposits 6,042,858
Total noncurrent assets 37,475,142
Total assets 249,355,283
Current liabilities
Accrued cost of electricity 52,637,186
Accounts payable 2,823,993
Other accrued liabilities 1,748,350
User taxes and energy surcharges due to other governments 4,309,267 Security deposits - energy suppliers 11,020,000
Total current liabilities 72,538,796
Rate Stabilization Fund 15,814,000
Investment in capital assets 8,618,284
Restricted for collateral 9,000,000
Unrestricted 143,384,203
Total net position 161,002,487 $
NET POSITION
EAST BAY COMMUNITY ENERGY AUTHORITY
STATEMENT OF NET POSITION
As of December 31, 2021
ASSETS
LIABILITIES
DEFERRED INFLOWS OF RESOURCES
See accountants' compilation report.
Agenda Item: 5
2
Quarter Year-to-Date
OPERATING REVENUES
Electricity sales, net 99,515,062 $ 238,244,725 $
Other revenue 162,924 325,324
Total operating revenues 99,677,986 238,570,049
OPERATING EXPENSES
Cost of electricity 104,877,920 235,928,658
Contract services 4,157,423 8,188,250
Staff compensation 1,740,980 3,614,198
General and administration 655,815 1,340,338
Depreciation 14,640 27,149
Total operating expenses 111,446,778 249,098,593
Operating income (loss) (11,768,792) (10,528,544)
NONOPERATING REVENUES (EXPENSES)
Interest income 32,918 86,321
Financing expense (235,917) (466,814)
Nonoperating revenues (expenses), net (202,999) (380,493) CHANGE IN NET POSITION (10,909,037) (11,971,791)
Net position at beginning of period 172,974,278 171,911,524 Net position at end of period $ 161,002,487 $ 161,002,487
EAST BAY COMMUNITY ENERGY AUTHORITY
STATEMENT OF REVENUES, EXPENSES
AND CHANGE IN NET POSITION
Six Months Ended December 31, 2021
See accountants' compilation report.
Agenda Item: 5
3
Quarter Year-to-Date
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 116,623,552 $ 246,576,134 $
Other operating receipts 4,662,924 6,612,001
Payments to suppliers for electricity (103,979,797) (217,702,836) Payments for other goods and services (5,406,204) (11,253,528) Payments for staff compensation (1,939,214) (3,561,135) Tax and surcharge payments to other governments (4,417,431) (8,995,113) Net cash provided (used) by operating activities 5,543,830 11,675,523
CASH FLOWS FROM NON-CAPITAL
FINANCING ACTIVITIES
Financing expense payments - (230,897)
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Payments to acquire capital assets (39,973) (8,529,617)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest income received 32,918 86,321
Net change in cash and cash equivalents 5,536,775 3,001,330 Cash and cash equivalents at beginning of period 153,126,261 155,661,706 Cash and cash equivalents at end of period 158,663,036 $ 158,663,036 $ Reconciliation to the Statement of Net Position
Unrestricted cash and cash equivalents (current) 133,849,036 $ 133,849,036 $ Restricted cash and cash equivalents (current) 2,000,000 2,000,000 Unrestricted cash and cash equivalents (noncurrent) 15,814,000 15,814,000 Restricted cash and cash equivalents (noncurrent) 7,000,000 7,000,000 Cash and cash equivalents 158,663,036 $ 158,663,036 $
Six Months Ended December 31, 2021
STATEMENT OF CASH FLOWS
EAST BAY COMMUNITY ENERGY AUTHORITY
See accountants' compilation report.
Agenda Item: 5
4
Quarter Year-to-Date
Operating income (loss) (11,768,792) $ (10,528,544) $
Adjustments to reconcile operating income to net
cash provided (used) by operating activities
Depreciation expense 14,640 27,149
Revenue adjusted for allowance for
uncollectible accounts 2,030,917 4,862,135
(Increase) decrease in:
Accounts receivable 4,687,673 (11,016,371)
Market settlements receivable 1,841,016 5,025,941
Other receivables 703,696 336,708
Accrued revenue 6,094,669 5,038,410
Prepaid expenses 637,106 3,894,416
Deposits (4,741,650) -
Increase (decrease) in:
Accrued cost of electricity (2,144,451) 13,821,942
Accounts payable 79,353 (676,777)
Other accrued liabilities (198,234) 52,988
Deferred revenue 1,500 945,177
User taxes due to other governments (122,202) 452,121
Security deposits from energy suppliers 3,686,939 4,181,878 Net cash provided (used) by operating activities 5,543,830 $ $ 11,675,523
RECONCILIATION OF OPERATING INCOME TO NET
CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Six Months Ended December 31, 2021
(continued)S
EAST BAY COMMUNITY ENERGY AUTHORITY
See accountants' compilation report.
Agenda Item: 5
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