Daily Newspaper and Travel Guide
for Pecos Country of West Texas
Tuesday, June 10, 2003
Audit, new accounting method main topics for County
By ROSIE FLORES
PECOS, Tues., June 10, 2003 -- Financial records for the county are in good
shape, according to an independent accounting firm out of Odessa.
David Duree, a certified public accountant with Elms, Faris and Company
gave his report during the regular Reeves County Commissioners Court meeting
Monday morning in the third floor courtroom at the courthouse.
"As we do on an annual basis we requested an independent auditor to come
in and look at our books," said Reeves County Judge Jimmy Galindo.
Galindo told the group that the firm that previously worked on the books
could no longer do it and the county had hired the Duree's firm, that also
works with several other counties and entities.
"We're tied to a firm that is the fifth largest in the country," said
Duree said that the county uses the cash basis methond of accounting.
"We'll have to discuss that with the county auditor - about possibly changing
to the accrual basis next time," he said.
Duree said that the firm also handles Gasb-34, which he explained is
the acronym for the Government Accounting Standards Board accounting rules.
County Auditor Lynn Owens said that the county would eventually have
to use Gasb-34, the new accounting method implemented by the government.
Owens said that it was a more comprehensive method of accounting. The
counties don't have to use it, but if they want to apply for grants and such,
they would have to, because if not they wouldn't be taken into consideration,
according to Owens.
"You currently have $7.6 million in assets and don't have too many liabilities,"
said Duree. "We have removed the RCDC assets," he said.
Duree explained that the RCDC assets had been removed and were no longer
considered a capital asset. "We have made it an operating fund," he said.
Reeves County subleases the RCDC improvements from the Board Trustee
under a sub lease agreement that ends, when the county purchases the trustee's
interest in the RCDC improvements, or when no bonds remain outstanding.
Should money's be insufficient to satisfy the county rental obligation in
any year, the county may terminate the sub lease, according to Duree.
"This means that the RCDC would be classified as an operating fund as
opposed to a capital fund," said Duree.
Reeves County's annual financial statements have, in the past, included
Reeves County Detention Center improvements and the related certificates,
which are held by a trustee created by the certificates.
"In other words, the county owns the land and has leased the land to the
trustee and leases the land and improvements back from the trustee in a lease-lease
back transaction," said Duree.
It is the county's and of the accounting firm's legal council opinion
that this structure meets the requirements of an operating lease under
Governmental Accepted Accounting Principles and FASB 13, therefore, the
financial statements have been restated to remove the RCDC improvements
and related certificates and activity of the trustee. Payments by the county
to the trustee are recorded as lease payments, in accordance with the financing
documents, according to Duree.
"RCDC is the biggest county fund, next to the general fund of course,"
said Duree. "That's why there was a $2 million adjustment," he said.
Duree said that the county auditor's office is doing a great job and that
he found nothing out of compliance.
"There are a couple of adjustments I need to talk to Lynn about, but they
are minor items," he said.
"This operating lease goes back to 1986," said Galindo. "Capital leases
are very different," he said.
In a capital lease all payments are capitalized as assets, while in an
operating lease all payments are acknowledged as operating costs, according
Galindo said that having it audited was very important to the county right
now in their negotiations with the Bureau of Prisons.
"I think the other component is to have the accounting integrated with
computer technology to make it as efficient as possible," said Galindo.
"Because we could spend a lot of hours duplicating work," he said.
"I think we need to get prepared for GASB-34, because we'll need to do
it eventually," said Owens. "After June, 2003, and that means by 2004, we'll
need to be using it," he said.
Commissioners approved the financial report as presented by the independent
The group approved payments to LMD Architect for work done at RCDC-I
and tabled RCI Technologies proposal for fixed asset pricing and management
"I think we need to put this item out for proposals," said Galindo. "Can
you get something together for us," he asked county auditor Lynn Owens.
Owens said that they could send out for proposals on the item, which ties
in with the GASB-34 accounting method. "There may be other firms out there
that can handle this," said Owens.
Personnel and salary changes included at the Reeves County Library, Jessica
Orona, part-time, $7.25 an hour for 17 _ hours per week; at the Reeves County
Juvenile Detention Center, part-time on-call basis, at $10 per hour, Keith
Windham, Gaylon Doan, Tina Doan, Brian Scott Gibson, Ray Mora, Gilda Leos,
Mario Borrego and Bobby Herrera; at the Reeves County District Clerk's office,
Mary Lou Chavez, from $17,000 to $17,500 a year; at the Reeves County Detention
Center, Oralia Rivera was promoted to Administrative Assistant II at $24,000
per year; John Brazeal, Victor Moran, Alfredo Carrillo, Ismael Alvarado
and Liandro Castaneda were promoted to CO-II's at $24,000 pear year.
Emergency services ready for funnel clouds
By JENNIFER GALVAN
PECOS, Tues., June 10, 2003 -- After several reports of funnel clouds in
the Pecos area, the Reeves County Emergency Services and the Emergency Management
Coordinator were out surveying the county for possible storms last night.
"A funnel cloud call came into the PD out in southwest Pecos yesterday
afternoon," Emergency Management Coordinator Ricky Herrera said.
He added that there is currently not an emergency management team.
Herrera said that though their emergency management plan manual is out
dated, they are currently in the process of updating it and that they know
the procedures that they must follow in such cases and the Pecos community
has nothing to worry about.
"We were out there looking for signs of possible storms," Herrera said.
He added that the emergency management plan manual would be done by December
31 with the help of the different agencies putting the plan together.
Those out helping Herrera were Pecos Police Officers, Reeves County Sheriff
Deputies, Oscar Ornelas and Fire Marshal Jack Brookshire.
"Weather spotters from Toyah and Balmorhea were also out there yesterday,"
However, Herrera said that a report of a funnel cloud or tornado would
first have to be confirmed by a weather spotter or official before alarms
could be activated.
Currently there is not a designated weather spotter for this area, Herrera
said, but did add that he hopes to create a weather spotting team.
"There are three sirens," Herrera said. "There is a siren at the airport,
one at the high school water tower and one at City Hall."
In case of a tornado warning, the siren would send out three, five-minute
steady blasts. The sirens would advise people to take cover and tune into
their local radio and television stations for further weather information,
"The PD can activate the sirens or I myself can activate them," Herrera
However, he added that he wants people to know the difference between
a tornado watch and a tornado warning.
"A tornado watch means conditions are right," Herrera said. "A tornado
warning means a tornado or a funnel cloud has been spotted."
With yesterday's storms behind, Herrera said that they would be testing
the sirens once every month.
"We will probably test the sirens sometime next week," Herrera said.
"We started testing them last month and we will let the community know ahead
of time so that they do not get alarmed."
Alzheimer's group plans meeting
PECOS, Tues., June 10, 2003 -- Alzheimer's Association STAR Chapter is
planning a meeting at 4 p.m., Thursday, June 10, at the Pecos Senior Citizen's
Center, 119 S. Cedar.
Topic will be: "Dressing."
EDITOR'S NOTE: Information contained in the Police Report is
obtained from reports filed by the Pecos Police Department, Reeves County
Sheriff's Office, or other officers of those agencies.The serving of warrants
by an officer for outstanding fines of either traffic citations, animal
control violations or other court costs are considered arrests and will
be printed as such unless indicated that the fines were paid. In such instances
we will indicate payment and release.
Jennifer Hernandez, 19, was arrested at 2:07 a.m., June 8, at the 900
block of S. Pecan for assault under the family violence act.
Esequiel Hignojos, 37, was arrested at 11:59 a.m., June 5, at the 400
block of Mulberry on a Reeves County warrant for theft by check over $20
Jesus Arevalo, 23 and Marisol Rodriguez, 23, were arrested at 9:59 p.m.,
June 4, at the Texaco on Cedar St. Arevalo was arrested for assault under
the family violence act. Rodriguez was arrested on a warrant for no driver's
license and a warrant for failure to appear.
Delfino Lujan, 51, was arrested at 2:10 p.m., on June 4, in the 1500
block of Cowan for public intoxication and disorderly conduct - urinating
Julio Enriquez, 17, was arrested at 4:55 p.m., on June 4, at the Athletic
Pool for assault causing bodily injury - class A.
PECOS, Tues., June 10, 2003 -- Monday's high was 101, low 59. Today partly
cloudy with a 20 percent chance of thunderstorms. A few thunderstorms may
be severe with large hail and damaging winds. Highs near 100. South winds
5 to 15 mph becoming southwest 10 to 20 mph in the afternoon. Tonight partly
cloudy with a 20 percent chance of thunderstorms. A few thunderstorms may
be severe with large hail and damaging winds. Lows in the mid 60s. South
winds 10 to 20 mph. Wednesday partly cloudy with a 20 percent chance of
thunderstorms. Highs near 100. Southwest winds 10 to 20 mph. Wednesday
night partly cloudy with a 20 percent chance of Thunderstorms. Lows in
the mid 60s.
York M. "Smokey" Briggs, Publisher
Division of Buckner News Alliance, Inc.
324 S. Cedar St., Pecos, TX 79772
Phone 915-445-5475, FAX 915-445-4321
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Copyright 2003 by Pecos Enterprise