2016 Audit Report

TANEY COUNTY, MISSOURI

BASIC FINANCIAL STATEMENTS

Year Ended December 31, 2016
 TABLE OF CONTENTS

INDEPENDENT AUDITORS’ REPORT ............................................................................................................ 4

MANAGEMENT’S DISCUSSION AND ANALYSIS ....................................................................................... 8

BASIC FINANCIAL STATEMENTS

Statement of Net Position – Modified Cash Basis .......................................................................................... 14

Statement of Activities – Modified Cash Basis .............................................................................................. 15

Balance Sheet – Governmental Funds – Modified Cash Basis....................................................................... 18

Statement of Receipts, Disbursements and Changes in Fund
Balance – Governmental Funds – Modified Cash Basis .......................................................................... 19

Statement of Net Position – Proprietary Fund – Modified Cash Basis........................................................... 20

Statement of Receipts, Disbursements and Changes in Net
Position – Proprietary Fund – Modified Cash Basis ................................................................................. 21

Statement of Cash Flows – Proprietary Fund – Modified Cash Basis ............................................................ 22

Statement of Assets and Liabilities – Agency Funds – Modified Cash Basis ................................................ 23

Notes to Basic Financial Statements ............................................................................................................... 26

SUPPLEMENTARY INFORMATION

Schedule of Changes in Net Pension Liability and Related
Ratios – LAGERS – Primary Government ............................................................................................... 61

Schedule of Contributions – LAGERS – Primary Government ..................................................................... 62

Notes to Schedule of Contributions – LAGERS – Primary Government ....................................................... 63

Schedule of Changes in Net Pension Liability and Related
Ratios – Taney County Regional Sewer District ...................................................................................... 64

Schedule of Contributions – Taney County Regional Sewer District ............................................................ 65

Notes to Schedule of Contributions – Taney County Regional Sewer District .............................................. 66

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 TABLE OF CONTENTS

SUPPLEMENTARY INFORMATION (continued)

Schedule of Proportionate Share of the Net Pension Liability and
Related Rations – CERF – Primary Government ..................................................................................... 67

Schedule of Employer Contributions – CERF – Primary Government .......................................................... 68

Budgetary Comparison Schedule – General Fund – Modified Cash Basis .................................................... 69

Budgetary Comparison Schedule – Road and Bridge Trust Fund –
Modified Cash Basis ................................................................................................................................. 71

Budgetary Comparison Schedule – Road and Bridge Fund –
Modified Cash Basis ................................................................................................................................. 72

Budgetary Comparison Schedule – Law Enforcement Sales Tax Fund –
Modified Cash Basis ................................................................................................................................. 73

Budgetary Comparison Schedule – County Sewer Sales Tax Fund –
Modified Cash Basis ................................................................................................................................. 74

Note to Budgetary Comparison Schedules ..................................................................................................... 75

OTHER REPORTING REQUIREMENTS

Combining Statement of Assets and Fund Balances – Non-Major
Special Revenue Funds – Modified Cash Basis ....................................................................................... 77

Combining Statement of Receipts, Disbursements, and Changes in Fund
Balance – Non-Major Special Revenue Funds – Modified Cash Basis.................................................... 79

Independent Auditors' 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 .......................................... 81

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 INDEPENDENT AUDITORS’ REPORT

Taney County Commission
Taney County
Forsyth, Missouri

Report on Financial Statements

We have audited the accompanying financial statements of the governmental activities, business-type activities,
the discretely presented component units, each major fund, and the aggregate remaining fund information of
Taney County, Missouri, as of and for the year ended December 31, 2016, and the related notes to the financial
statements, which collectively comprise the County’s basic financial statements as listed in the table of
contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements in accordance
with the modified cash basis of accounting described in Note A; this includes determining that the modified
cash basis of accounting is an acceptable basis for the preparation of the financial statements in the
circumstances. Management is also responsible for the design, implementation, and maintenance of internal
control relevant to the preparation and fair presentation of the financial statements that are free from material
misstatement, whether due to fraud or error.

Auditors’ Responsibility

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 the 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 involves performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditors’ judgment, including the assessment of
the risks of material misstatement of the financial statements, whether due to fraud or error. In making those
risk assessments, the auditor considers internal control relevant to the County’s preparation and fair presentation
of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not
for the purpose of expressing an opinion of the effectiveness of the County’s internal control.

www.kpmcpa.com
1445 E. Republic Road Springfield, MO 65804 | 417-882-4300 | fax 417-882-4343
500 W. Main Street, Suite 200 Branson, MO 65616 | 417-334-2987 | fax 417-336-3403
Member of The Leading Edge Alliance 4
Taney County Commission
Taney County
Forsyth, Missouri

Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of significant accounting estimates made by management, as well as
evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
audit opinions.

Opinions

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective
modified cash basis financial position of the governmental activities, business-type activities, the discretely
presented component units, each major fund and the aggregate remaining fund information, as of December 31,
2016, and the respective changes in modified cash basis financial position and cash flows thereof where
applicable, for the year then ended in accordance with the basis of accounting described in Note A.

Basis of Accounting

As described in Note A, Taney County prepares its financial statements on the modified cash basis, which is a
comprehensive basis of accounting other than accounting principles generally accepted in the United States of
America. Our opinion is not modified with respect to this matter.

Disclaimer of Opinion on Supplementary Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise Taney County, Missouri’s basic financial statements. The Management’s Discussion and Analysis on
pages 8-13, budgetary comparison information on pages 69-75, and pension information on pages 61-68, which
are the responsibility of management, are presented for purposes of additional analysis and are not required
parts of the basic financial statements. Such information has not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide
any assurance on it.

Other Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise Taney County, Missouri’s basic financial statements. The Combining Nonmajor fund financial
statements are presented for purposes of additional analysis and are not a required part of the basic financial
statements.

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Taney County Commission
Taney County
Forsyth, Missouri

The Combining Nonmajor fund financial statements are the responsibility of management and were derived
from and relate directly to the underlying accounting and other records used to prepare the basic financial
statements. Such information has been subjected to the auditing procedures applied in the audit of the basic
financial statements and certain additional procedures, including comparing and reconciling such information
directly to the underlying accounting and other records used to prepare the basic financial statements or to the
basic financial statements themselves, and other additional procedures in accordance with auditing standards
generally accepted in the United States of America. In our opinion, the Combining Nonmajor fund financial
statements are fairly stated in all material respects in relation to the basic financial statements as a whole.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated June 23, 2017, on our
consideration of Taney County’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 internal control over financial reporting or on
compliance. That report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering Taney County’s internal control over financial reporting and compliance.

KPM CPAs, PC
Springfield, Missouri
June 23, 2017

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MANAGEMENT’S DISCUSSION AND ANALYSIS
 TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
DECEMBER 31, 2016

Our discussion and analysis of Taney County’s financial performance provides an overview of the County’s
financial activities for the year ended December 31, 2016, within the limitations of the County’s modified cash
basis of accounting. Please read it in conjunction with the County’s financial statements.

FINANCIAL HIGHLIGHTS

 The overall net position of the County decreased by $1,996,237.
 The fund balance for the General Fund decreased by $701,149.
 The fund balance for the Road and Bridge Fund was separated into two funds in the prior year to
better track capital improvements; separating the funds makes it more difficult to see the total
amount available to spend on the County’s roads and bridges. The total increase between both
Road and Bridge Funds was $1,296,127.

USING THIS ANNUAL REPORT

This annual report is presented in a format consistent with the presentation requirements of the Governmental
Accounting Standards Board (GASB) Statement No. 34 as applicable to the County’s modified cash basis of
accounting.

Report Components

Government-Wide Financial Statements: The Statement of Net Position and the Statement of Activities
provide information about the activities of the County as a whole and present a longer-term view of the
County’s finances.

Fund Financial Statements: Fund financial statements focus on the individual parts of the County
government. Fund financial statements also report the County operations in more detail than the government-
wide statements by providing information about the County’s major funds. These statements tell how these
services were financed in the short term as well as what remains for future spending.

Notes to the Financial Statements: The notes to the financial statements are an integral part of the
government-wide and fund financial statements and provide expanded explanation and detail regarding the
information reported in the statements.

Supplementary Information: This Management’s Discussion and Analysis, pension information and the
budgetary comparison schedules represent additional financial information. Such information provides users of
this report with additional data that supplements the government-wide statements, fund financial statements,
and notes (referred to as “the basic financial statements”).

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TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
December 31, 2016

Other Reporting Requirements: This part of the annual report includes optional financial information, which
includes the combining statements for the County’s nonmajor funds and reports required by the Federal
Government. This other financial information is provided to address certain needs of various users of the
County’s annual report.

Basis of Accounting

The County has elected to present its financial statements on the modified cash basis of accounting. This
modified cash basis of accounting is a basis of accounting other than accounting principles generally accepted
in the United States of America. Basis of accounting is a reference to when financial events are recorded, such
as the timing for recognizing receipts, disbursements, and their related assets and liabilities. Under the
County’s modified cash basis of accounting, receipts and disbursements and the related assets are recorded
when they result from cash transactions. The modification to the cash basis relates to the presentation of
investments.

As a result of the use of the modified cash basis of accounting, certain assets and their related revenue (such as
accounts receivable billed or services provided not yet collected) and liabilities and their related expenses (such
as accounts payable and expenses for goods and services received but not yet paid, and accrued expenses and
liabilities) are not recorded in these financial statements. Therefore, when reviewing the financial information
and discussion within this annual report, the reader should keep in mind the limitations resulting from the use of
the modified cash basis of accounting.

Government-wide Statement of Net Position and the Statement of Activities

One of the most important questions asked about the County’s finances is, “Is the County as a whole better off
or worse off as a result of the year’s activities?”. The Statement of Net Position and the Statement of Activities
report information about the County as a whole and about its activities in a way that helps answer this question.
These statements include all of the County’s assets resulting from the use of the modified cash basis of
accounting.

The statements report the County’s net position and changes in it. Over time, increases and decreases in the
County’s net position are one indicator of whether its financial health is improving or deteriorating. However,
the reader will need to consider other non-financial factors, such as changes in the County tax base, and the
condition of the County’s facilities, to assess the overall health of the County.

The Statement of Activities is presented by its governmental functions which include general government,
judicial, public safety, public works, health and welfare, highway and roads, other activities and transfer station.
The Statement of Activities shows the net cost of these functions before considering the general receipts of the
County.

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TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
December 31, 2016

Fund Financial Statements

The fund financial statements provide detailed information about the County’s funds. These funds are required
to be established by state law and by bond covenants. These fund financial statements help the reader to
determine whether there are more or fewer financial resources that can be spent in the near future for County
programs.

 Governmental Funds – Most of the County’s basic services are reported in governmental funds,
which focus on how money flows into and out of those funds and the balances left at year-end
that are available for spending. The governmental fund statements provide a detailed short-term
view of the County’s general government operations and the basic services it provides.
Governmental fund information helps the reader determine whether there are more or fewer
financial resources that can be spent in the near future to finance the County’s programs.

 Proprietary Funds – When the County charges customers for the services it provides – whether to
outside customers or to other units of the County – these services are generally reported in
proprietary funds.

FINANCIAL ANALYSIS OF THE COUNTY AS A WHOLE

Net Position – Modified Cash Basis

December 31,
2016 2015
ASSETS
Cash and investments $ 49,360,082 $ 51,356,319
TOTAL ASSETS $ 49,360,082 $ 51,356,319
NET POSITION
Restricted $ 40,264,108 $ 41,615,944
Unrestricted 9,095,974 9,740,375
TOTAL NET POSITION $ 49,360,082 $ 51,356,319

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TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
December 31, 2016

Changes in Net Position – Modified Cash Basis

Year Ended December 31,
2016 2015
RECEIPTS
Program Receipts
Charges for services $ 6,080,776 $ 6,353,356
Operating grants and contributions 133,941 104,950
Capital grants and contributions 193,627 550,113
General Receipts
Sales tax receipts 25,130,770 24,669,629
Motor vehicle sales tax 1,354,755 1,333,245
Other taxes 881,097 823,398
Interest 445,442 432,472
Other receipts 593,540 413,325
TOTAL RECEIPTS 34,813,948 34,680,488
DISBURSEMENTS
General government 6,906,100 6,572,741
Judicial 1,166,389 1,205,614
Public safety 4,679,238 4,735,244
Public works 50,000 50,000
Highway and roads 8,382,365 7,747,096
Airport 395,354 414,010
Sewer 10,622,407 5,906,053
Debt service 1,950,139 1,511,601
Other 1,143,311 1,277,641
Transfer station 1,514,882 1,198,178
TOTAL DISBURSEMENTS 36,810,185 30,618,178
INCREASE (DECREASE) IN NET POSITION $ (1,996,237) $ 4,062,310

Overall receipts of the County increased by $133,460 from the prior year. Tax revenues were up $540,350.
Overall disbursements of the County were up $6,192,007.

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TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
December 31, 2016

FINANCIAL ANALYSIS OF THE COUNTY’S FUNDS

Certain funds experienced noteworthy changes from the prior year and are highlighted as follows:

 The General Fund balance decreased by $701,149 for the year ended December 31, 2016.
 The Combined Road and Bridge Funds increased by $1,296,127, which increased the combined
fund balances to $14,338,488 as of December 31, 2016.
 The Law Enforcement Sales Tax Fund decreased by $7,215, which decreased the fund balance to
$1,807,635 as of December 31, 2016.
 County Sewer Sales Tax Fund decreased $2,748,580, which decreased the fund balance to
$23,000,482. The County expects to see this balance decrease dramatically in the near future
due to several major projects planned in the near future.

FINANCIAL ANALYSIS BUDGET VERSUS ACTUAL RESULTS – GENERAL FUND

Budget
Original Final Actual
RECEIPTS
Taxes $ 7,983,000 $ 7,983,000 $ 7,900,334
Commissions 802,500 802,500 707,777
Licenses and permits 75,600 75,600 87,214
Intergovernmental receipts 932,000 932,000 122,795
Fees and charges 2,732,050 2,732,050 2,400,425
Other 264,850 264,850 238,964
TOTAL RECEIPTS $ 12,790,000 $ 12,790,000 $ 11,457,509
DISBURSEMENTS
General government $ 6,512,213 $ 6,512,213 $ 5,948,179
Judicial 1,164,331 1,164,331 1,115,971
Public safety 4,040,238 4,040,238 3,987,193
Public works 50,000 50,000 50,000
Other 2,545,450 2,545,450 1,143,311
Airport 1,342,850 1,342,850 395,354
TOTAL DISBURSEMENTS $ 15,655,082 $ 15,655,082 $ 12,640,008

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TANEY COUNTY, MISSOURI
MANAGEMENT’S DISCUSSION AND ANALYSIS
December 31, 2016

The County has always budgeted so that if there is a need that arises they are covered without having to revisit
the budget process. The Commission has determined to do a better job of budgeting what we will have as a
fund balance to carry forward, but there are several of the minor funds that are controlled by other elected
officials and it makes sense to budget and appropriate the entire amount in those funds in case they are needed
by those officials. We, as a County, have done a better job of applying expenses when they are actually
expended instead of using a contingency fund as an expense line. This should make the County’s budget more
accurate and help the County use it as a tool for controls.

ECONOMIC FACTORS AND NEXT YEAR’S BUDGET

The County administration has the daunting task of keeping the County in good financial condition in these
financially precarious times. There is a realization that we have good balances in most funds, but also the
realization that the many services needed will be ever more costly. Major issues are the sewer capital
improvements, ever increasing health costs, and more costly law enforcement. The sewer capital improvements
will cause our total balance to be lower but will provide needed services to many constituents. The health costs
and law enforcement costs are necessary, but make keeping the appropriate balances difficult.

CONTACTING THE COUNTY’S FINANCIAL MANAGEMENT

You may contact the Auditor’s office at PO Box 1407, Forsyth, MO 65653 for more information. The phone
number to contact is 417-546-7201.

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TANEY COUNTY, MISSOURI
STATEMENT OF NET POSITION – MODIFIED CASH BASIS
December 31, 2016

Primary Government Component Units
Taney Taney Develop- Dorgan- Combs-
Business- County County mentally Weaver Redfern Tantone Dignity
Governmental Type Regional Health Disabled Housing Apartments Industries Now
Activities Activities Total Sewer District Center Board Corporation Inc. Inc. Inc.
ASSETS

Cash and investments $ 48,265,235 $ 1,094,847 $ 49,360,082 $ 2,941,361 $ 1,214,566 $ 860,638 $ 77,125 $ 32,206 $ 31,578 $ 57,989
TOTAL ASSETS $ 48,265,235 $ 1,094,847 $ 49,360,082 $ 2,941,361 $ 1,214,566 $ 860,638 $ 77,125 $ 32,206 $ 31,578 $ 57,989

NET POSITION

Restricted $ 40,264,108 $ - $ 40,264,108 $ 712,455 $ 2,836 $ 42,500 $ 75,312 $ 24,594 $ - $ -
Unrestricted 8,001,127 1,094,847 9,095,974 2,228,906 1,211,730 818,138 1,813 7,612 31,578 57,989
TOTAL NET POSITION $ 48,265,235 $ 1,094,847 $ 49,360,082 $ 2,941,361 $ 1,214,566 $ 860,638 $ 77,125 $ 32,206 $ 31,578 $ 57,989

See accompanying notes.
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TANEY COUNTY, MISSOURI
STATEMENT OF ACTIVITIES – MODIFIED CASH BASIS
Year Ended December 31, 2016

Primary Government
Net (Disbursements), Receipts
Program Receipts and Changes in Net Position
Charges Operating Capital Business-
for Grants and Grants and Governmental Type
Functions/Programs Disbursements Services Contributions Contributions Activities Activities Total
Primary Government
Governmental Activities
General government $ (6,906,100) $ 2,669,992 $ 13,902 $ 14,946 $ (4,207,260) $ - $ (4,207,260)
Judicial (1,166,389) 225,225 - - (941,164) - (941,164)
Public safety (4,679,238) 1,212,105 57,537 - (3,409,596) - (3,409,596)
Public works (50,000) - - - (50,000) - (50,000)
Highway and roads (8,382,365) - 56,318 162,689 (8,163,358) - (8,163,358)
Airport (395,354) 394,234 - - (1,120) - (1,120)
Sewer (10,622,407) - - - (10,622,407) - (10,622,407)
Debt service (1,950,139) - - - (1,950,139) - (1,950,139)
Other (1,143,311) - 6,184 15,992 (1,121,135) - (1,121,135)
TOTAL GOVERNMENTAL
ACTIVITIES (35,295,303) 4,501,556 133,941 193,627 (30,466,179) - (30,466,179)
Business-Type Activities
Transfer station (1,514,882) 1,579,220 - - - 64,338 64,338
TOTAL BUSINESS-TYPE
ACTIVITIES (1,514,882) 1,579,220 - - - 64,338 64,338
TOTAL PRIMARY GOVERNMENT $ (36,810,185) $ 6,080,776 $ 133,941 $ 193,627 (30,466,179) 64,338 (30,401,841)

See accompanying notes.

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TANEY COUNTY, MISSOURI
STATEMENT OF ACTIVITIES – MODIFIED CASH BASIS (continued)
Year Ended December 31, 2016

Primary Government
Net (Disbursements), Receipts
Program Receipts and Changes in Net Position
Charges Operating Capital Business-
for Grants and Grants and Governmental Type
Disbursements Services Contributions Contributions Activities Activities Total
Component Units
Taney County Regional Sewer District $ (7,763,341) $ 1,468,012 $ - $ 6,296,591
Taney County Health Center (3,556,325) 1,134,594 797,628 -
Developmentally Disabled Board (2,848,588) 1,788,139 - -
Dorgan-Weaver Housing Corp. (64,581) 65,625 - -
Combs-Redfern Apartments Inc. (99,614) 115,326 - -
Tantone Industries, Inc. (511,755) 319,559 153,871 -
Dignity Now, Inc. (26,838) 5,126 24,631 -
TOTAL COMPONENT UNITS $ (14,871,042) $ 4,896,381 $ 976,130 $ 6,296,591

General Receipts and Transfers:
Ad valorem taxes - - -
Sales taxes 25,130,770 - 25,130,770
Motor vehicle sales taxes and gas taxes 1,354,755 - 1,354,755
Other taxes 881,097 - 881,097
Interest 436,066 9,376 445,442
Other receipts 528,858 64,682 593,540
Transfers 59,859 (59,859) -
Special Item:
Reimbursement from Combs-Redfern Apartments Inc. - - -
Total General Receipts and Special Item 28,391,405 14,199 28,405,604
Increase (Decrease) in Net Position (2,074,774) 78,537 (1,996,237)
Net Position, Beginning of year 50,340,009 1,016,310 51,356,319
Net Position, End of year $ 48,265,235 $ 1,094,847 $ 49,360,082

See accompanying notes.

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TANEY COUNTY, MISSOURI
STATEMENT OF ACTIVITIES – MODIFIED CASH BASIS (continued)
Year Ended December 31, 2016
Component Units
Net (Disbursements), Receipts and Changes in Net Position
Taney County Taney Develop- Dorgan- Combs-
Regional County mentally Weaver Redfern Tantone Dignity
Sewer Health Disabled Housing Apartments Industries Now
District Center Board Corporation Inc. Inc. Inc.
Component Units
Taney County Regional Sewer District $ 1,262 $ - $ - $ - $ - $ - $ -
Taney County Health Center - (1,624,103) - - - - -
Developmentally Disabled Board - - (1,060,449) - - - -
Dorgan-Weaver Housing Corp. - - - 1,044 - - -
Combs-Redfern Apartments Inc. - - - - 15,712 - -
Tantone Industries, Inc. - - - - - (38,325) -
Dignity Now, Inc. - - - - - - 2,919
TOTAL COMPONENT UNITS 1,262 (1,624,103) (1,060,449) 1,044 15,712 (38,325) 2,919
General Receipts and Transfers:
Ad valorem taxes - 1,444,023 663,477 - - - -
Sales taxes - - - - - - -
Motor vehicle sales taxes and gas taxes - - - - - - -
Other taxes - - - - - - -
Interest 95,652 9,361 - - - - -
Other receipts 129,044 67,775 164,422 66 12 193 -
Transfers - - - - - - -
Special Item:
Reimbursement from Combs-Redfern Apartments Inc. - - 37,284 - - - -
Total General Receipts and Special Item 224,696 1,521,159 865,183 66 12 193 -
Increase (Decrease) in Net Position 225,958 (102,944) (195,266) 1,110 15,724 (38,132) 2,919
Net Position, Beginning of year 2,715,403 1,317,510 1,055,904 76,015 16,482 69,710 55,070
Net Position, End of year $ 2,941,361 $ 1,214,566 $ 860,638 $ 77,125 $ 32,206 $ 31,578 $ 57,989

See accompanying notes.

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TANEY COUNTY, MISSOURI
BALANCE SHEET – GOVERNMENTAL FUNDS – MODIFIED CASH BASIS
December 31, 2016
Special Revenue Funds
Law County Nonmajor
Road and Road and Enforcement Sewer Special Total
General Bridge Bridge Sales Tax Sales Tax Revenue Governmental
Fund Trust Fund Fund Fund Fund Funds Funds
ASSETS
Cash and investments $ 7,699,133 $ 12,559,965 $ 1,778,523 $ 1,807,635 $ 23,000,482 $ 1,419,497 $ 48,265,235
TOTAL ASSETS $ 7,699,133 $ 12,559,965 $ 1,778,523 $ 1,807,635 $ 23,000,482 $ 1,419,497 $ 48,265,235
FUND BALANCES
Fund Balances
Restricted for:
Road and Bridge $ - $ 12,559,965 $ 1,778,523 $ - $ - $ - $ 14,338,488
Public Safety - - - 1,807,635 - 460,110 2,267,745
Sewer - - - - 23,000,482 - 23,000,482
Elections - - - - - 27,630 27,630
Recorder - - - - - 324,083 324,083
Judicial - - - - - 251,206 251,206
Tax maintenance - - - - - 54,474 54,474
Assigned to:
Assessment Fund - - - - - 301,994 301,994
Unassigned 7,699,133 - - - - - 7,699,133
TOTAL FUND BALANCES $ 7,699,133 $ 12,559,965 $ 1,778,523 $ 1,807,635 $ 23,000,482 $ 1,419,497 $ 48,265,235

See accompanying notes.

18
TANEY COUNTY, MISSOURI
STATEMENT OF RECEIPTS, DISBURSEMENTS AND CHANGES IN FUND BALANCE – GOVERNMENTAL FUNDS – MODIFIED CASH
BASIS
Year Ended December 31, 2016
Law County
Road and Road and Enforcement Sewer Nonmajor Total
General Bridge Bridge Sales Tax Sales Tax Governmental Governmental
Fund Trust Fund Fund Fund Fund Funds Funds
RECEIPTS
Taxes $ 7,900,334 $ 7,729,652 $ 1,354,755 $ 1,932,015 $ 7,729,009 $ 720,857 $ 27,366,622
Collector's commission 707,777 - - - - - 707,777
Licenses and permits 87,214 - - - - - 87,214
Intergovernmental receipts 122,795 162,689 56,318 - - 28,848 370,650
Fees and charges 2,400,425 - - - - 1,306,381 3,706,806
Other 238,964 397,520 33,683 12,133 219,818 19,483 921,601
TOTAL RECEIPTS 11,457,509 8,289,861 1,444,756 1,944,148 7,948,827 2,075,569 33,160,670
DISBURSEMENTS
General government 5,948,179 - - - - 957,921 6,906,100
Judicial 1,115,971 - - - - 50,418 1,166,389
Public safety 3,987,193 - - - - 692,045 4,679,238
Public works 50,000 - - - - - 50,000
Airport 395,354 - - - - - 395,354
Other 1,143,311 - - - - - 1,143,311
Highway and roads - 7,083,286 1,299,079 - - - 8,382,365
Sewer - - - - 10,622,407 - 10,622,407
Debt service - - - 1,950,139 - - 1,950,139
TOTAL DISBURSEMENTS 12,640,008 7,083,286 1,299,079 1,950,139 10,622,407 1,700,384 35,295,303
EXCESS (DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (1,182,499) 1,206,575 145,677 (5,991) (2,673,580) 375,185 (2,134,633)
OTHER FINANCING SOURCES (USES)
Operating transfers in (out) 481,350 (88,566) 32,441 (1,224) (75,000) (289,142) 59,859
TOTAL OTHER FINANCING
SOURCES (USES) 481,350 (88,566) 32,441 (1,224) (75,000) (289,142) 59,859
EXCESS (DEFICIT) OF RECEIPTS
AND OTHER SOURCES OVER
DISBURSEMENTS AND OTHER (USES) (701,149) 1,118,009 178,118 (7,215) (2,748,580) 86,043 (2,074,774)
FUND BALANCE, January 1 8,400,282 11,441,956 1,600,405 1,814,850 25,749,062 1,333,454 50,340,009
FUND BALANCE, December 31 $ 7,699,133 $ 12,559,965 $ 1,778,523 $ 1,807,635 $ 23,000,482 $ 1,419,497 $ 48,265,235

See accompanying notes.

19
TANEY COUNTY, MISSOURI
STATEMENT OF NET POSITION – PROPRIETARY FUND – MODIFIED CASH BASIS
December 31, 2016

Enterprise
Fund
Transfer
Station Fund
ASSETS
Current Assets
Cash and cash equivalents $ 1,094,847
TOTAL ASSETS $ 1,094,847
Net Position
Unrestricted $ 1,094,847
TOTAL NET POSITION $ 1,094,847

See accompanying notes.

20
TANEY COUNTY, MISSOURI
STATEMENT OF RECEIPTS, DISBURSEMENTS AND CHANGES IN NET POSITION – PROPRIETARY
FUND – MODIFIED CASH BASIS
Year Ended December 31, 2016

Enterprise
Fund
Transfer
Station Fund
OPERATING RECIEPTS
Charges for services $ 1,579,220
TOTAL OPERATING RECEIPTS 1,579,220
OPERATING DISBURSEMENTS
Insurance claims and disbursements 13,814
Salaries and employee benefits 340,013
Supplies 516,610
Telephone and utilities 2,790
Repair and maintenance 193,870
Landfill services 438,067
Other 9,718
TOTAL OPERATING DISBURSEMENTS 1,514,882
OPERATING INCOME 64,338
NONOPERATING RECEIPTS
Interest receipts 9,376
Other receipts 64,682
TOTAL NONOPERATING RECEIPTS 74,058
INCOME BEFORE OPERATING TRANSFERS 138,396
Operating transfers (out) (59,859)
NET INCOME 78,537
NET POSITION, January 1 1,016,310
NET POSITION, December 31 $ 1,094,847

See accompanying notes.

21
TANEY COUNTY, MISSOURI
STATEMENT OF CASH FLOWS – PROPRIETARY FUND – MODIFIED CASH BASIS
Year Ended December 31, 2016

Enterprise
Fund
Transfer
Station Fund
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers $ 1,643,902
Cash paid to suppliers (1,174,869)
Cash paid to employees (340,013)
NET CASH PROVIDED BY
OPERATING ACTIVITIES 129,020
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 9,376
NET CASH PROVIDED BY
INVESTING ACTIVITIES 9,376
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers (to) other funds (59,859)
NET CASH (USED) BY NONCAPITAL
FINANCING ACTIVITIES (59,859)
NET INCREASE IN CASH
AND CASH EQUIVALENTS 78,537
CASH AND CASH EQUIVALENTS, Beginning of year 1,016,310
CASH AND CASH EQUIVALENTS, End of year $ 1,094,847

RECONCILIATION OF OPERATING INCOME TO
NET CASH PROVIDED BY OPERATING ACTIVITIES:
Operating income $ 64,338
Adjustments to reconcile operating income
to net cash provided by operating activities:
Other receipts 64,682
NET CASH PROVIDED BY
OPERATING ACTIVITIES $ 129,020

See accompanying notes.

22
TANEY COUNTY, MISSOURI
STATEMENT OF ASSETS AND LIABILITIES – AGENCY FUNDS – MODIFIED CASH BASIS
December 31, 2016

Sheriff's Sheriff's Sheriff's Cities Land
Office Office Office Sheriff Collector Financial Sales Unclaimed
Transport General Bond Commissary of Revenue Institution Surplus Fee
Fund Fund Fund Fund Fund Tax Fund Fund Fund
ASSETS
Cash and investments $ 438 $ 193 $ 14 $ 14,915 $ 24,312,793 $ 28,732 $ 125,257 $ 16,218
TOTAL ASSETS $ 438 $ 193 $ 14 $ 14,915 $ 24,312,793 $ 28,732 $ 125,257 $ 16,218
LIABILITIES
Due to others $ - $ - $ 14 $ 14,915 $ - $ - $ - $ 16,218
Due to other governments 438 193 - - 24,312,793 28,732 125,257 -
TOTAL LIABILITIES $ 438 $ 193 $ 14 $ 14,915 $ 24,312,793 $ 28,732 $ 125,257 $ 16,218

See accompanying notes.
23
TANEY COUNTY, MISSOURI
STATEMENT OF ASSETS AND LIABILITIES – AGENCY FUNDS – MODIFIED CASH BASIS (continued)
December 31, 2016

Protest
Fines and Western Central P&Z National Circuit Recorder's Tax
Forfeitures Fire Fire Bonds Forest Clerk User Fee Account
Fund Fund Fund Fund Fund Fund Fund Fund
ASSETS
Cash and investments $ 64,376 $ 576 $ 3 $ 227,362 $ 182,995 $ 210,909 $ 147,827 $ 159,468
TOTAL ASSETS $ 64,376 $ 576 $ 3 $ 227,362 $ 182,995 $ 210,909 $ 147,827 $ 159,468
LIABILITIES
Due to others $ - $ - $ - $ 227,362 $ - $ - $ - $ 159,468
Due to other governments 64,376 576 3 - 182,995 210,909 147,827 -
TOTAL LIABILITIES $ 64,376 $ 576 $ 3 $ 227,362 $ 182,995 $ 210,909 $ 147,827 $ 159,468

See accompanying notes.

24
TANEY COUNTY, MISSOURI
STATEMENT OF ASSETS AND LIABILITIES – AGENCY FUNDS – MODIFIED CASH BASIS (continued)
December 31, 2016

OTC Cedar Prosecuting
Health Financial Senior Creek Attorney
Center Handicapped School Institution Services Fire Bad Check
Fund Fund Fund Tax Fund Fund Fund Fund Total
ASSETS
Cash and investments $ 1,526 $ 1,087 $ 45,991 $ 70 $ 415,607 $ 1 $ 18,845 $ 25,975,203
TOTAL ASSETS $ 1,526 $ 1,087 $ 45,991 $ 70 $ 415,607 $ 1 $ 18,845 $ 25,975,203
LIABILITIES
Due to others $ - $ - $ - $ - $ - $ - $ 18,845 $ 436,822
Due to other governments 1,526 1,087 45,991 70 415,607 1 - 25,538,381
TOTAL LIABILITIES $ 1,526 $ 1,087 $ 45,991 $ 70 $ 415,607 $ 1 $ 18,845 $ 25,975,203

See accompanying notes.

25
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Taney County, Missouri (the County) is a county of the 1st class and operates under a three-member County
Commission.

The accounting methods and procedures adopted by the primary government of Taney County, Missouri,
conform to the modified cash basis of accounting as applied to governmental entities. The following is a
summary of the more significant policies.

Financial Reporting Entity

The financial reporting entity consists of (a) the primary government, (b) organizations for which the primary
government is financially accountable, and (c) other organizations for which the primary government is not
accountable, but for which the nature and significance of their relationship with the primary government are
such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete.
Component units are legally separate organizations for which the elected officials of the primary government
are financially accountable. Financially accountable means the primary government is accountable for the
component unit and the primary government is able to impose its will or the component unit may provide
financial benefits or impose a burden on the primary government. In addition, component units can be other
organizations for which the nature and significance of their relationship with the primary government are such
that exclusion would cause the reporting entity's financial statements to be misleading or incomplete.

The County is a primary government, which is governed by a three member county commission. As required
by accounting principles generally accepted in the United States of America, the County has evaluated the
above criteria to determine whether any other entity meets the definition of a component unit and must be
included in these financial statements. The component units discussed below are included in the County’s
reporting entity because of the significance of their operational or financial relationships with the County.

Component Units

Taney County Health Center

The Taney County Health Center, which is governed by an elected Board of Directors, provides public health
services to the residents of Taney County. The Taney County Health Center is included in the financial
statements of the County as a component unit due to its financial relationship with the County.

The Taney County Health Center issues separate financial statements. The Taney County Health Center’s
financial statements may be obtained by contacting the Center at (417) 546-4725.

26
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Taney County Regional Sewer District

The Taney County Regional Sewer District (the District) is a public utility responsible for the construction,
operation and maintenance of sanitary sewer facilities in the unincorporated portion of Taney County, Missouri.
The District is a component unit of Taney County (the County) government, and members of the District’s
Board of Trustees are appointed by the County Commission.

The Capital Improvement Sales Tax revenues are provided by a countywide sales tax of one-half of one percent.
Sales tax revenues are collected and accounted for by the County. The tax revenues are used for construction
and improvement of wastewater collection and treatment and facilities benefiting the County as a whole and
repayment of long-term debt for which the tax receipts are pledged.

The Taney County Regional Sewer District issues separate financial statements that may be obtained by calling
(417) 546-7221.

Taney County Board for the Developmentally Disabled d.b.a. Developmental Connections

The Developmentally Disabled Board d.b.a. Developmental Connections, which is governed by a board of
directors appointed by the County Commission, provides disability services to the residents of Taney County.
The Developmentally Disabled Board d.b.a. Developmental Connections is included in the financial statements
of the County as a component unit due to its financial relationship with the County.

The Taney County Board for the Developmentally Disabled d.b.a. Developmental Connections issued separate
financial statements that may be obtained by calling (417) 335-4135.

Dorgan-Weaver Housing Corporation

The Dorgan-Weaver Housing Corporation, which is governed by an appointed Board of Directors, provides
housing to developmentally disabled residents of Taney County. The Dorgan-Weaver Housing Corporation is
included in the financial statements of the County as a component unit due to its financial relationship with the
Taney County Board for the Developmentally Disabled d.b.a. Developmental Connections.

Combs-Redfern Apartments, Inc.

The Combs-Redfern Apartments, Inc., which is governed by an appointed Board of Directors, provides housing
to developmentally disabled residents of Taney County. The Combs-Redfern Apartments, Inc. is included in
the financial statements of the County as a component unit due to its financial relationship with the Taney
County Board for the Developmentally Disabled d.b.a. Developmental Connections.

27
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Tantone Industries, Inc.

Tantone Industries, Inc., which is governed by an appointed Board of Directors, provides production
employment opportunities to lower range educable and upper range trainable developmentally disabled
residents of Taney County. Tantone Industries, Inc. is included in the financial statements of the County as a
component unit due to its financial relationship with the Taney County Board for the Developmentally Disabled
d.b.a. Developmental Connections.

Dignity Now, Inc.

Dignity Now, Inc., which is governed by an appointed Board of Directors, provides services and support for
children with developmental disabilities and their families. Dignity Now, Inc. is included in the financial
statements of the County as a component unit due to its financial relationship with the Taney County Board for
the Developmentally Disabled d.b.a. Developmental Connections.

GOVERNMENT-WIDE FINANCIAL STATEMENTS

The government-wide statements display information about the primary government and its component units.
Interfund activity has been eliminated from these statements to minimize the duplication of internal activities.
Governmental activities, which are supported by taxes and intergovernmental receipts, are reported separately
from business-type activities, which rely on fees and charges for services for support.

In the government-wide Statement of Net Position, both the governmental and business-type activities are
consolidated and presented on the modified cash basis of accounting.

The government-wide Statement of Activities presents a comparison between direct disbursements and program
receipts for each function of the County’s governmental and business-type activities. Direct disbursements are
those that are specifically associated with a program or a function. Program receipts include charges for goods
or services offered by the programs and grants and contributions that are restricted to meet operating and capital
disbursements of a particular program. Receipts that are not classified as program receipts, including all taxes,
are presented as general receipts.

FUND FINANCIAL STATEMENTS

Separate fund financial statements report information on the County’s governmental and proprietary funds. The
emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a
separate column. All remaining funds are aggregated and reported as nonmajor funds in their respective
categories.

28
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

The County reports the following major governmental funds:

General Fund: The General Fund is the general operating fund of the County. It is used to account
for all financial resources except those required to be accounted for in another fund.

Road and Bridge Trust Fund: The Road and Bridge Trust Fund of the County is used to account for
resources restricted for highway and road disbursements.

Road and Bridge Fund: The Road and Bridge Fund of the County is used to account for motor
vehicle and gas tax receipts designated for highway and road improvements.

Law Enforcement Sales Tax Fund: The Law Enforcement Sales Tax Fund of the County is used to
account for resources restricted for law enforcement disbursements.

County Sewer Sales Tax Fund: The County Sewer Sales Tax Fund of the County is used to account
for resources restricted for sewer related disbursements.

The County also reports the following fund types:

Agency funds account for miscellaneous assets held by the County for other funds, governmental
units, and individuals. The agency funds are custodial in nature and do not involve measurement of
results of operations.

The County reports the following major proprietary fund:

Transfer Station Fund: The Transfer Station Fund of the County is used to account for the County’s
waste collection operations.

Basis of Accounting

The government-wide Statement of Net Position and Statement of Activities and the fund financial statements
are presented using the modified cash basis of accounting. This basis recognizes assets, net position/fund
equity, receipts, and disbursements when they result from cash transactions. The cash basis has been modified
to include investments of the County. This basis is a comprehensive basis of accounting other than accounting
principles generally accepted in the United States of America.

As a result of the use of this modified cash basis of accounting, certain assets and their related revenues (such as
accounts receivable and revenue for billed or provided services not yet collected) and certain liabilities and their
related expenses (such as accounts payable and expenses for goods or services received but not yet paid, and
accrued expenses and liabilities) are not recorded in these financial statements. Also, as a result of the
modified cash basis, capital assets and long-term debt are not presented in the financial statements.

29
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

If the County utilized the basis of accounting recognized as generally accepted, the fund financial statements for
the governmental funds would use the modified accrual basis of accounting. All government-wide financial
statements and proprietary fund financial statements would be presented on the accrual basis of accounting.

Cash and Investments

The County pools cash and investment resources of various funds in the County Treasurer’s office in order to
facilitate the management of cash and investments. Cash applicable to a particular fund is readily identifiable.
Some County offices also hold cash and investments in their own separate bank accounts as required by state
statute. The balance in the pooled cash account is available to meet current operating requirements.
Investments of the County are carried at cost and include U.S. Government Agency obligations and Certificates
of Deposit.

Fund Balance Classification

In the fund financial statements, governmental funds report aggregate amounts for five classifications of fund
balances based on constraints imposed on the use of these resources as follows:

Nonspendable fund balance – This classification includes amounts that cannot be spent because
they are either a) not in spendable form or b) legally or contractually required to be maintained
intact.

Restricted fund balance – This classification reflects the constraints imposed on resources either
a) externally by creditors, grantors, contributors, or laws or regulations of other governments; or
b) imposed by law through constitutional provisions or enabling legislation.

Committed fund balance – These amounts can only be used for specific purposes pursuant to
constraints imposed by formal resolutions of the County Commission – the government’s highest
level of decision making authority. Those committed amounts cannot be used for any other
purpose unless the Commission removes the specified use by taking the same type of action
imposing the commitment.

Assigned fund balance – This classification reflects the amounts constrained by the County’s
“intent” to be used for specific purposes, but are neither restricted nor committed. Assigned fund
balances include all remaining amounts (except negative balances) that are reported in the
governmental funds, other than the General Fund, that are not classified as nonspendable and are
neither restricted nor committed.

Unassigned fund balance – This fund balance is the residual classification for the General Fund.
It is also used to report negative fund balances in other governmental funds.

30
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

In circumstances when a disbursement is made for a purpose for which amounts are available in multiple fund
balance classifications, fund balance is depleted in the order of restricted, committed, assigned, and unassigned.

Net Position

In the government-wide financial statements, equity is displayed, when applicable, in two components as
follows:

Restricted – This consists of net position that is legally restricted by outside parties or by law
through constitutional provisions or enabling legislation.

Unrestricted – This consists of net position that does not meet the definition of restricted.

When an expense is incurred for purposes for which both restricted and unrestricted net position are available,
the County first applies restricted net position.

Compensated Absences

The County has a county-wide policy on vacation and sick leave for all employees. Leave is taken at the
discretion of each officeholder. The accumulated liability for compensated absences as of December 31, 2016,
was $181,272.

Cash and Cash Equivalents

For purposes of the statement of cash flows, the County considers all accounts subject to withdrawal by check
or on demand to be cash and cash equivalents. All other deposits are considered to be investments.

Net Patient Service Revenue

The Taney County Health Center has agreements with third-party payors that provide for payments to the
Health Center at amounts different from its established rates. Services rendered to Medicaid program
beneficiaries are reimbursed prospectively at the Medicaid per diem rate in effect with no settlement made on
the difference between the interim per diem rates paid and actual costs.

31
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE A – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Pensions

Financial reporting information included in the notes to the financial statements pertaining to the County’s
participation in the State of Missouri County Employees’ Retirement Fund (CERF) is prepared in accordance
with Governmental Accounting Standards Board (“GASB”) Statement No. 68, Accounting and Financial
Reporting for Pensions, as amended by GASB Statement No. 71, Pension Transition for Contributions Made
Subsequent to the Measurement Date as applicable to the County’s modified cash basis of accounting

Financial reporting information included in the notes to the financial statements pertaining to the County’s
participation in the Missouri Local Government Employees’ Retirement System (LAGERS) is prepared in
accordance with Governmental Accounting Standards Board (“GASB”) Statement No. 68, Accounting and
Financial Reporting for Pensions, as amended by GASB Statement No. 71, Pension Transition for
Contributions Made Subsequent to the Measurement Date as applicable to the County’s modified cash basis of
accounting

The financial statements were prepared using the modified cash basis of accounting. Therefore, employee and
employer contributions are recognized when paid and the County’s net pension liability, deferred outflows and
inflows of resources related to pensions are not recorded in these financial statements.

NOTE B – CASH AND INVESTMENTS

PRIMARY GOVERNMENT

The County maintains a cash and investment pool that is available for use by all funds. Each fund’s portion of
this pool is displayed on the Statement of Net Position as “Cash and investments”. In addition, investments are
separately held by several of the County’s funds. State statutes require that County deposits be fully
collateralized in the name of the County. As of December 31, 2016, all bank balances on deposit were entirely
insured or collateralized with securities.

County Investments

Statutes authorize the County to invest in investments that are:

a. Obligations of the U.S. government, the State of Missouri, this county;
b. In bonds, bills, notes, debentures or other obligations guaranteed as to payment of principal and
interest by the government of the United States or any agency or instrumentality thereof, or the
State of Missouri;

32
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE B – CASH AND INVESTMENTS (continued)

c. In revenue bonds of the County;
d. In certificates of deposit; savings accounts as defined in Chapter 369, Revised Missouri Statutes;
or in interest-bearing time deposits when such funds are held in U.S. banks; state banks; savings
and loan associations operating under Chapter 369, Revised Missouri Statutes; or savings and
loan associations authorized by the U.S. government so long as such deposits, savings accounts
and interest-bearing deposits are secured by one or more of the types of securities described in
subparagraphs (a), (b) or (c) of this section;
e. Banker’s acceptances issued by domestic commercial banks possessing the highest rating issued
by a nationally recognized rating agency;
f. Commercial paper issued by domestic corporations that has received the highest rating issued by
a nationally recognized rating agency; or
g. Investments permitted by the County that are authorized in the model investment policy prepared
by the State of Missouri for political subdivisions.

The County’s investments at December 31, 2016, are as follows:

Investment Type Maturity Carrying Value Fair Value
Taney County
Certificates of Deposit 1/27/2017 - 12/30/2019 $ 47,135,274 $ 47,105,445

Custodial Credit Risk

Custodial credit risk is the risk that, in the event of the failure of the counter party, the County will not be able
to recover the value of its investments or collateral securities that are in possession of an outside party.
Certificates of deposit are classified as investments but are considered deposits for custodial risk determination.
State statutes require that the County’s deposits be collateralized in the name of the County by the trust
department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all Certificates of
Deposit are entirely insured or collateralized with securities.

Credit Risk

Credit risk is the risk that the County will not recover its investments due to the inability of the counter party to
fulfill their obligations. The County also holds investments in several U.S. Government agency obligations.
These investments are stated at historical cost and are rated AA+ by Standard and Poor’s.

33
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE B – CASH AND INVESTMENTS (continued)

Interest Rate Risk

Interest rate risk is the risk that the fair value of the County’s investments will decrease as a result of increase in
interest rates. The County will minimize the risk that the market value of fixed income securities in the
portfolio will fall due to changes in the general interest rates by structuring the investment portfolio so that fixed
income securities mature to meet cash requirements for ongoing operations and by investing operating funds
primarily in shorter term fixed income securities.

TANEY COUNTY REGIONAL SEWER DISTRICT

State statutes require that the District’s deposits be insured or collateralized in the name of the District by the
trust department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all bank
balances on deposit are entirely insured or collateralized.

The District’s investments at December 31, 2016, are as follows:

Investment Type Maturity Fair Value
Certificate of Deposit 1/28/2018 $ 218,240

Certificates of Deposit

Certificates of deposit are classified as investments but are considered deposits for custodial risk determination.
State statutes require that the District’s deposits be collateralized in the name of the District by the trust
department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all Certificates of
Deposit are entirely insured or collateralized with securities. Certificates of deposit are held to maturity.

The District does not have a policy on interest rate risk.

TANEY COUNTY HEALTH CENTER

State statutes require that the Center’s deposits be insured or collateralized in the name of the Center by the trust
department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all bank balances
on deposit are entirely insured or collateralized.

34
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE B – CASH AND INVESTMENTS (continued)

The Center’s investments at December 31, 2016, are as follows:

Investment Type Maturity Fair Value
Certificate of Deposit 7/3/2017 $ 270,196
Certificate of Deposit 4/1/2018 156,705
$ 426,901

Certificates of Deposit

Certificates of deposit are classified as investments but are considered deposits for custodial risk determination.
State statutes require that the Board’s deposits be collateralized in the name of the Center by the trust
department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all certificates of
deposit were insured or collateralized with securities.

Interest Rate Risk

The Center holds investments until maturity to neutralize interest rate risk.

TANEY COUNTY BOARD FOR THE DEVELOPMENTALLY DISABLED

State statutes require that the Board’s deposits be insured or collateralized in the name of the Board by the trust
department of a bank that does not hold the collateralized deposits. As of December 31, 2016, all bank balances
on deposit are entirely insured or collateralized.

Investments of the Board as of December 31, 2016, are as follows:

Investment Type Maturity Fair Value
Certificate of Deposit 3/23/2017 $ 261,899
Certificate of Deposit 4/17/2017 255,189
$ 517,088

Certificates of Deposit

Certificates of deposit are classified as investments but are considered deposits for custodial risk determination.
State statutes require that the Board’s deposits be collateralized in the name of the Board by the trust department
of a bank that does not hold the collateralized deposits. As of December 31, 2016, all Certificates of Deposit
were insured or collateralized with securities.
35
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE C – CLAIMS, JUDGMENTS AND CONTINGENCIES

Interest Rate Risk

The Board’s certificates of deposit are held to maturity to minimize interest rate risk.

Federal and State Grants

The County participates in a number of federal and state programs that are fully or partially funded by grants
received from other governmental units. Disbursements financed by grants are subject to audit by the
appropriate grantor government. If disbursements are disallowed due to noncompliance with grant program
regulations, the County may be required to reimburse the grantor government. As of December 31, 2016,
significant amounts of grant disbursements have not been audited by grantor governments, but the County
believes that disallowed disbursements, if any, based on subsequent audits, will not have a material effect on
any of the individual government funds or the overall financial position of the County.

Legal Matters

There are a number of claims and/or lawsuits to which the County is a party as a result of certain injuries and
various other matters and complaints arising in the ordinary course of County activities. The County’s
management and legal counsel anticipate that the potential claims, if any, against the County resulting from
such litigation would not have a material effect on the financial position of the County, except for the legal
matter noted below.

NOTE D – EMPLOYEE PENSION PLAN – CERF – PRIMARY GOVERNMENT

State of Missouri County Employees’ Retirement Fund

General Information about the Pension Plan

Plan Description. Taney County of Missouri’s defined benefit pension plan provides certain retirement and
death benefits to its members. The County participates in the State of Missouri County Employees’ Retirement
Fund (CERF). CERF is a mandatory cost-sharing multiple employer retirement system for each county in the
state of Missouri, except any city not within a county (which excludes the City of St. Louis) and counties of the
first classification with a charter form of government.

36
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE D – EMPLOYEE PENSION PLAN – CERF – PRIMARY GOVERNMENT (continued)

CERF covers county elective or appointive officers or employees whose position requires the actual
performance of duties not less than 1,000 hours per year; including employees of circuit courts located in a first
class, non-charter county which is not participating in the Local Government Employees Retirement System
(LAGERS); and does not cover circuit clerks, deputy circuit clerks, county prosecuting attorneys, and county
sheriffs. Until January 1, 2000, employees hired before January 1, 2000 could opt out of the system.

CERF was established by an act of the Missouri General Assembly effective August 28, 1994 and administered
in accordance with RSMo. 50.1000 – 50.1300. As such, it is CERF’s responsibility to administer the law in
accordance expressed intent of the General Assembly. The plan as amended through November 1, 2010 is in a
form acceptable under the Internal Revenue Code. The responsibility for the operations and administration of
CERF is vested in the CERF Board of Directors consisting of eleven members. The Board of Directors has the
authority to adopt rules and regulations for administering the system.

CERF issues a publicly available financial report that includes financial statements and required supplementary
information. This report may be obtained by accessing the CERF website at www.mocerf.org.

Benefits Provided. CERF provides retirement and death benefits to its members. All benefits vest after 8 years
of creditable service. Employees who retire on or after age 62 are entitled to an allowance for life based on the
form of payment selected. The normal form of payment is a single life annuity. Optional joint and survivor
annuity and 10-year certain and life annuity payments are also offered to members in order to provide benefits
to a named survivor annuitant after their death. Employees who have a minimum of 8 years of creditable
service may retire with an early retirement benefit and receive a reduced allowance after attaining age 55.
Benefit provisions are fixed by state statute and may be amended only by action of the Missouri Legislature.

Cost-of-Living Adjustments (“COLA”). The Missouri Legislature has established a policy of providing an
annual increase in the retirement benefit of the lesser of 1% and the February increase in CPI with the increase
to take effect each July. The first increase will occur in the year following retirement so long as the retiree has
been receiving benefits for at least one year on July 1st. The total of all increases shall not exceed 50% of the
initial benefit.

Contributions. Prior to January 1, 2003, participating county employees, except for those who participated in
LAGERS, were required to make contributions equal to 2% of gross compensation. Effective January 1, 2003,
participated county employees hired on or after February 25, 2002 are required to make contributions of 4% if
they are in a LAGERS county and contributions of 6% if they are in a non-LAGERS county. If an employee
leaves covered employment before attaining 8 years of creditable service, accumulated employee contributions
are refunded to the employee. The contribution rate is set by state statute and may be amended only by action
of the Missouri Legislature. Counties may elect to make all or a portion of the required 4% contribution on
behalf of employees. Eligible employees of the employer contribute 4% to the pension plan. The employer did
not elect to make all or a portion of the required 4% contribution on behalf of employees.

37
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE D – EMPLOYEE PENSION PLAN – CERF – PRIMARY GOVERNMENT (continued)

In addition to the above contributions required of employees, the following fees and penalties prescribed under
Missouri law are required to be collected and remitted to CERF by counties covered by the plan:

 Late fees on filing of personal property tax declarations,
 Twenty dollars on each merchants and manufacturers license issued,
 Six dollars on each document recorded or filed with county recorders of deeds, with an additional one
dollar on each document recorded,
 Three sevenths of the fee on delinquent property taxes, and
 Interest earned on investment of the above collections prior to remittance to CERF

During 2016 and 2015 the County collected and remitted to CERF, employee contributions of $234,504 and
$218,985, respectively, for the years then ended. The County’s contributions to CERF were $588,424 for the
year ended December 31, 2016.

Pension Liability. At December 31, 2016, the County had a liability of $6,482,681 for its proportionate share of
the net pension liability. The net pension liability for the plan in total was measured as of December 31, 2015,
and determined by an actuarial valuation as of December 31, 2014 rolled forward to December 31, 2015 using
the following actuarial assumptions. A formal actuarial experience study was not performed. The County’s
proportionate share of the total net pension liability was based on the ratio of its actual contributions of
$669,491 paid to CERF for the year ended December 31, 2015, relative to the actual contributions of
$19,968,537 from all participating employers. At December 31, 2015, the County’ proportionate share was
3.35273%.

Actuarial Assumptions. Actuarial valuations of the Plan involve estimates of the reported amount and
assumptions about probability of occurrence of events far into the future. Examples include assumptions about
future employment, mortality and future salary increases. Amounts determined regarding the net pension
liability are subject to continual revision as actual results are compared with past expectations and new
estimates are made about the future. The last experience study was conducted for the period January 1, 2008
through December 31, 2013.

The total pension liability as of December 31, 2015 was based on the most recent actuarial valuation as of
December 31, 2014 rolled forward to December 31, 2015 using the following actuarial assumptions:

 Measurement date - December 31, 2015
 Valuation date - December 31, 2014 rolled forward to December 31, 2015
 Actuarial cost method – Entry age normal

38
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE D – EMPLOYEE PENSION PLAN – CERF – PRIMARY GOVERNMENT (continued)

 Investment rate of return – 7.5%
 Inflation – 2.5%
 Compensation increases – 2.5%, plus merit
 Mortality rates – RP-2000 table combined mortality projected to 2010 using scale AA
 Fiduciary Net Position – CERF issues a publicly available financial report that can be obtained at
www.mocerf.org.

The long-term expected rate of return on the Plan’s investments was determined using a building-block method
in which best-estimate ranges of expected future real rates of returns (expected returns, net of investment
expense and inflation) are developed for each major asset class. These ranges are combined to produce the
long-term expected rate of return by weighting the expected future real rates of return by the target asset
allocation percentage and by adding expected inflations. Best estimates of arithmetic real rates of return for
each major asset class included in the Plan’s target allocation for 2015 is summarized below along with the long
term geometric return. Geometric return (also referred to as the time weighted return) is considered standard
practice within the investment management industry. Geometric returns represent the compounded rate of
growth of a portfolio. This method eliminates the effects created by cash flows.

Long-Term Arithmetic Basis
Weighted
Target Asset Expected Real Expected Real
Asset Class Allocation Return Return
Core Plus 15.00% 2.66% 0.40%
Absolute Return 15.00% 4.18% 0.63%
U.S. Large Cap Equity 25.00% 6.38% 1.60%
U.S. Small Cap Equity 10.00% 6.96% 0.70%
Non-U.S. Equity 15.00% 6.58% 0.99%
Long/Short Equity 10.00% 6.85% 0.69%
Private Equity 5.00% 7.34% 0.37%
Core Real Estate 5.00% 5.10% 0.26%
Total 100.00% 5.64%
Inflation 2.50%
Long-term expected geometric return 8.14%

39
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE D – EMPLOYEE PENSION PLAN – CERF – PRIMARY GOVERNMENT (continued)

Discount Rate. The discount rate used to measure the total pension liability was 7.5%. The projection of cash
flows used to determine the discount rate assumed that contributions from plan members will be made at the
current statutory rates and that contributions from employers will be made based on the Plan’s revenue sources
(various fees and penalties paid by the counties). Such revenue was assumed to increase at the rate of 1.0% per
year. This increase assumption has been used by the Plan in prior funding status projects. Historically, revenue
increase has averaged more than 1.0% per year. Based on the assumptions, the Plan’s fiduciary net position
was projected to be available to make projected future benefit payments of current plan members. The
projections covered an 80-year period into the future. The long-term expected rate of return on the Plan’s
investments was applied to projected benefit payments.

Discount Rate Sensitivity. The sensitivity of the net pension liability to changes in the discount rate is presented
below. The net pension liability calculated using the discount rate of 7.5% is presented as well as what the net
pension liability would be using a discount rate that is 1.0% lower (6.5%) or 1.0% higher (8.5%) than the
current rate.

Discount Rate 1.0% Decrease (6.5%) Current Rate (7.5%) 1.0% Increase (8.5%)
Proportionate share of the Net
Pension Liability $ 9,220,263 $ 6,482,681 $ 4,202,290

NOTE E – EMPLOYEE PENSION PLAN – LAGERS – PRIMARY GOVERNMENT

Missouri Local Government Employees Retirement System

General Information about the Pension Plan

Plan Description. Taney County’s (which includes Taney County Health Department) defined benefit pension
plan provides certain retirement, disability and death benefits to plan members and beneficiaries. The County
participates in the Missouri Local Government Employees Retirement System (LAGERS). LAGERS is an
agent multiple-employer, statewide public employee pension plan established in 1967 and administered in
accordance with RSMo. 70.600-70.755. As such, it is LAGERS responsibility to administer the law in
accordance with the expressed intent of the General Assembly. The plan is qualified under the Internal
Revenue Code Section 401(a) and is tax exempt. The responsibility for the operations and administration of
LAGERS is vested in the LAGERS Board of Trustees consisting of seven persons. LAGERS issues a publicly
available financial report that includes financial statements and required supplementary information. This
report may be obtained by accessing the LAGERS website at www.molagers.org.

40
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE E – EMPLOYEE PENSION PLAN – LAGERS – PRIMARY GOVERNMENT (continued)

Benefits Provided. LAGERS provides retirement, death and disability benefits. Benefit provisions are adopted
by the governing body of the employer, within the options available in the state statutes governing LAGERS.
All benefits vest after 5 years of credited service. Employees who retire on or after age 60 (55 for police) with
5 or more years of service are entitled to an allowance for life based upon the benefit program information
provided below. Employees may retire with an early retirement benefit with a minimum of 5 years of credited
service and after attaining age 55 (50 for police) and receive a reduced allowance.

2016 Valuation
Benefit Multiplier 2.00% for life
Final Average Salary 5 Years
Member Contributions 0%

Benefit terms provide for annual post retirement adjustments to each member’s retirement allowance
subsequent to the member’s retirement date. The annual adjustment is based on the increase in the Consumer
Price Index and is limited to 4% per year.

Employees Covered by Benefit Terms. At June 30, 2016, the following employees were covered by the benefit
terms:

General Police Total
Inactive employees or beneficiaries currently receiving benefits 108 34 142
Inactive employees entitled to but not yet receiving benefits 87 27 114
Active employees 225 39 264
420 100 520

Contributions. The employer is required to contribute amounts at least equal to the actuarially determined rate,
as established by LAGERS. The actuarially determined rate is the estimated amount necessary to finance the
cost of benefits earned by employees during the year. With an additional amount to finance an unfunded
accrued liability. Full-time employees of the employer do not contribute to the pension plan. Employer
contribution rates are 13.6% (General) and 15.9% (Police) of annual covered payroll.

Net Pension Liability. The employer’s net pension liability was measured as of June 30, 2016, and the total
pension liability used to calculate the net pension liability was determined by an actuarial valuation as of
February 29, 2016.

41
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE E – EMPLOYEE PENSION PLAN – LAGERS – PRIMARY GOVERNMENT (continued)

Actuarial Assumptions. The total pension liability in the February 29, 2016, actuarial valuation was determined
using the following actuarial assumptions, applied to all periods included in the measurement:

Inflation 3.25% wage inflation; 2.50% price inflation
Salary Increase 3.25% to 6.55% including wage inflation for general and police
Investment rate of return 7.25%, net of investment and administrative expenses

The healthy retiree mortality tables, for post-retirement mortality, were the RP-2014 Healthy Annuitant
mortality table for males and females. The disabled retiree mortality tables, for post-retirement mortality, were
the RP-2014 disabled mortality table for males and females. The pre-retirement mortality tables used were the
RP-2014 employees mortality table for males and females.

Both the post-retirement and pre-retirement tables were adjusted for mortality improvement back to the
observation period base year of 2006. The base year for males was then established to be 2017. Mortality rates
for a particular calendar year are determined by applying the MP-2015 mortality improvement scale to the
above described tables.

The actuarial assumptions used in the February 29, 2016, valuation were based on the results of an actuarial
experience study for the period March 1, 2010, through February 28, 2015.

The long-term expected rate of return on pension plan investments was determined using a model method in
which the best-estimate ranges of expected future real rates of return (expected returns, net of investment
expenses and inflation) are developed for each major asset class. These ranges are combined to produce the
long-term expected rate of return by weighting the expected future real rates of return by the target asset
allocation percentage and by adding expected inflation. The target allocation and best estimate of arithmetic
real rates of return for each major asset class are summarized in the following table:

Target Long-Term Expected
Asset Class Allocation Real Rate of Return
Equity 43.00% 5.29%
Fixed Income 26.00% 2.23%
Real Assets 21.00% 3.31%
Strategic Assets 10.00% 5.73%

Discount Rate. The discount rate used to measure the total pension liability is 7.25%. The projection of cash
flows used to determine the discount rate assumes that employer and employee contributions will be made at
the rates agreed upon for employees and the actuarially determined rates for employers. Based on these
assumptions, the pension plan’s fiduciary net position was projected to be available to pay all projected future
benefit payments of current active and inactive employees. Therefore, the long-term expected rate of return on
pension plan investments was applied to all periods of projected benefit payment to determine the total pension
liability.
42
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE E – EMPLOYEE PENSION PLAN – LAGERS – PRIMARY GOVERNMENT (continued)

Changes in the Net Pension Liability

Increase (Decrease)
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
General Division (a) (b) (a) - (b)
Balance at beginning of year $ 26,120,173 $ 25,070,306 $ 1,049,867
Changes for the year:
Service cost 880,072 - 880,072
Interest 1,895,771 - 1,895,771
Difference between expected
and actual experiences (327,198) - (327,198)
Contributions - employer - 1,205,525 (1,205,525)
Net investment income - (22,410) 22,410
Changes of assumptions 1,293,204 - 1,293,204
Benefits paid, including refunds (822,273) (822,273) -
Pension plan administrative expenses - (33,403) 33,403
Other (net transfer) - (47,736) 47,736
Net Changes 2,919,576 279,703 2,639,873
Balance at end of year 29,039,749 25,350,009 3,689,740
Police Division
Balance at beginning of year 5,522,631 5,208,433 314,198
Changes for the year:
Service Cost 159,681 - 159,681
Interest 398,470 - 398,470
Difference between expected
and actual experiences (145,816) - (145,816)
Contributions - employer - 239,130 (239,130)
Net investment income - (10,237) 10,237
Changes of assumptions 219,366 - 219,366
Benefits paid, including refunds (213,607) (213,607) -
Pension plan administrative expenses - (7,234) 7,234
Other (net transfer) - 6,918 (6,918)
Net Changes 418,094 14,970 403,124
Balance at end of year 5,940,725 5,223,403 717,322
Total Plan Balances at end of year $ 34,980,474 $ 30,573,412 $ 4,407,062

43
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE E – EMPLOYEE PENSION PLAN – LAGERS – PRIMARY GOVERNMENT (continued)

Taney County $ 3,682,397
Taney County Health Department 724,665
$ 4,407,062

Sensitivity of the Net Pension Liability to Changes in the Discount Rate. The following present the Net Pension
Liability of the employer, calculated using the discount rate of 7.25%, as well as what the employer’s Net
Pension Liability would be using a discount rate that is one percentage point lower (6.25%) or one percentage
point higher (8.25%) than the current rate.

Current Single
Discount Rate
1% Decrease Assumption 1% Increase
General Division 6.25% 7.25% 8.25%
Total Pension Liability $ 33,780,165 $ 29,039,749 $ 25,181,480
Fiduciary Net Position 25,350,009 25,350,009 25,350,009
Net Pension Liability/(Asset) 8,430,156 3,689,740 (168,529)
Police Division
Total Pension Liability 6,888,102 5,940,725 5,165,051
Fiduciary Net Position 5,223,403 5,223,403 5,223,403
Net Pension Liability/(Asset) 1,664,699 717,322 (58,352)
Total Net Pension Liability (Asset) $ 10,094,855 $ 4,407,062 $ (226,881)

Pension Expense

For the year ended 2015, the employer had a pension expense of $1,732,025 in the general division and
$295,675 in the police division.

44
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE F – EMPLOYEE PENSION PLAN – LAGERS – TANEY COUNTY REGIONAL SEWER DISTRICT

Missouri Local Government Employees Retirement System

General Information about the Pension Plan

Plan Description. The Taney County Regional Sewer District’s defined benefit pension plan provides certain
retirement, disability and death benefits to plan members and beneficiaries. The Taney County Regional Sewer
District participates in the Missouri Local Government Employees Retirement System (LAGERS). LAGERS is
an agent multiple-employer, statewide public employee pension plan established in 1967 and administered in
accordance with RSMo. 70.600-70.755. As such, it is LAGERS responsibility to administer the law in
accordance with the expressed intent of the General Assembly. The plan is qualified under the Internal
Revenue Code Section 401(a) and is tax exempt. The responsibility for the operations and administration of
LAGERS is vested in the LAGERS Board of Trustees consisting of seven persons. LAGERS issues a publicly
available financial report that includes financial statements and required supplementary information. This
report may be obtained by accessing the LAGERS website at www.molagers.org.

Benefits Provided. LAGERS provides retirement, death and disability benefits. Benefit provisions are adopted
by the governing body of the employer, within the options available in the state statutes governing LAGERS.
All benefits vest after 5 years of credited service. Employees who retire on or after age 60 with 5 or more years
of service are entitled to an allowance for life based upon the benefit program information provided below.
Employees may retire with an early retirement benefit with a minimum of 5 years of credited service and after
attaining age 55 and receive a reduced allowance.
2016 Valuation
Benefit Multiplier 1.50%
Final Average Salary 5 Years
Member Contributions 0%

Benefit terms provide for annual post retirement adjustments to each member’s retirement allowance
subsequent to the member’s retirement date. The annual adjustment is based on the increase in the Consumer
Price Index and is limited to 4% per year.

Employees Covered by Benefit Terms. At June 30, 2016, the following employees were covered by the benefit
terms:
General
Inactive employees or beneficiaries currently receiving benefits 0
Inactive employees entitled to but not yet receiving benefits 2
Active employees 10
12

45
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE F – EMPLOYEE PENSION PLAN – LAGERS – TANEY COUNTY REGIONAL SEWER DISTRICT
(continued)

Contributions. The employer is required to contribute amounts at least equal to the actuarially determined rate,
as established by LAGERS. The actuarially determined rate is the estimated amount necessary to finance the
cost of benefits earned by employees during the year. With an additional amount to finance an unfunded
accrued liability. Full-time employees of the employer do not contribute to the pension plan. Employer
contribution rates are 10.9% (General) of annual covered payroll.

Net Pension Liability. The employer’s net pension liability was measured as of June 30, 2016, and the total
pension liability used to calculate the net pension liability was determined by an actuarial valuation as of
February 29, 2016.

Actuarial Assumptions. The total pension liability in the February 29, 2016, actuarial valuation was determined
using the following actuarial assumptions, applied to all periods included in the measurement:

Inflation 3.25% wage inflation; 2.50% price inflation
Salary Increase 3.25% to 6.55% including wage inflation for general
Investment rate of return 7.25%, net of investment and administrative expenses

The healthy retiree mortality tables, for post-retirement mortality, were the RP-2014 Healthy Annuitant
mortality table for males and females. The disabled retiree mortality tables, for post-retirement mortality, were
the RP-2014 disabled mortality table for males and females. The pre-retirement mortality tables used were the
RP-2014 employees mortality table for males and females.

Both the post-retirement and pre-retirement tables were adjusted for mortality improvement back to the
observation period base year of 2006. The base year for males was then established to be 2017. Mortality rates
for a particular calendar year are determined by applying the MP-2015 mortality improvement scale to the
above described tables.

The actuarial assumptions used in the February 29, 2016, valuation were based on the results of an actuarial
experience study for the period March 1, 2010, through February 28, 2015.

The long-term expected rate of return on pension plan investments was determined using a model method in
which the best-estimate ranges of expected future real rates of return (expected returns, net of investment
expenses and inflation) are developed for each major asset class. These ranges are combined to produce the
long-term expected rate of return by weighting the expected future real rates of return by the target asset
allocation percentage and by adding expected inflation. The target allocation and best estimate of arithmetic
real rates of return for each major asset class are summarized in the following table:

46
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE F – EMPLOYEE PENSION PLAN – LAGERS – TANEY COUNTY REGIONAL SEWER DISTRICT
(continued)

Target Long-Term Expected
Asset Class Allocation Real Rate of Return
Equity 43.00% 5.29%
Fixed Income 26.00% 2.23%
Real Assets 21.00% 3.31%
Strategic Assets 10.00% 5.73%

Discount Rate. The discount rate used to measure the total pension liability is 7.25%. The projection of cash
flows used to determine the discount rate assumes that employer and employee contributions will be made at
the rates agreed upon for employees and the actuarially determined rates for employers. Based on these
assumptions, the pension plan’s fiduciary net position was projected to be available to pay all projected future
benefit payments of current active and inactive employees. Therefore, the long-term expected rate of return on
pension plan investments was applied to all periods of projected benefit payment to determine the total pension
liability.

Changes in the Net Pension Liability
Increase (Decrease)
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
General Division (a) (b) (a) - (b)
Balance at beginning of year $ 175,321 $ 153,980 $ 21,341
Changes for the year:
Service cost 40,371 - 40,371
Interest 14,149 - 14,149
Changes of benefit terms 95,092 - 95,092
Difference between expected
and actual experiences 17,646 - 17,646
Contributions - employer - 57,247 (57,247)
Net investment income - 948 (948)
Changes of assumptions 14,451 - 14,451
Pension plan administrative expenses - (926) 926
Other (net transfer) - (1,063) 1,063
Net Changes 181,709 56,206 125,503
Balance at end of year $ 357,030 $ 210,186 $ 146,844

47
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE F – EMPLOYEE PENSION PLAN – LAGERS – TANEY COUNTY REGIONAL SEWER DISTRICT
(continued)

Sensitivity of the Net Pension Liability to Changes in the Discount Rate. The following present the Net Pension
Liability of the employer, calculated using the discount rate of 7.25%, as well as what the employer’s Net
Pension Liability would be using a discount rate that is one percentage point lower (6.25%) or one percentage
point higher (8.25%) than the current rate.

Current Single
Discount Rate
1% Decrease Assumption 1% Increase
General Division 6.25% 7.25% 8.25%
Total Pension Liability $ 413,760 $ 357,030 $ 310,700
Fiduciary Net Position 210,186 210,186 210,186
Net Pension Liability/(Asset) $ 203,574 $ 146,844 $ 100,514

Pension Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions

For the year ended 2016, the employer recognized pension expense of $142,136 in the general division. The
employer reported deferred outflows and inflows of resources related to pensions from the following sources.

Deferred Deferred Net Deferred
Outflows of Inflows of Outflows of
General Division Resources Resources Resources
Differences in experiences $ 29,402 $ - $ 29,402
Differences in assumptions 12,153 - 12,153
Excess investment returns 13,781 - 13,781
Contributions subsequent to the measurement date* 34,977 - 34,977
$ 90,313 $ - $ 90,313

*The amount reported as deferred outflows of resources resulting from contributions subsequent to the
measurement date will be recognized as a reduction in the Net Pension Liability for the year ending December
31, 2017.

48
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE F – EMPLOYEE PENSION PLAN – LAGERS – TANEY COUNTY REGIONAL SEWER DISTRICT
(continued)

Amounts reported as deferred outflows and inflows of resources related to pensions will be recognized in
pension expense as follows:

General
Net Deferred
Year Ending Outflows of
September 30, Resources
2017 $ 48,334
2018 13,357
2019 13,356
2020 8,694
2021 5,105
Thereafter 1,467
Total $ 90,313

Payable to the Pension Plan

At December 31, 2016, the County had no outstanding amounts of contributions to the pension plan required for
the year ended December 31, 2016, therefore no payable was reported.

NOTE G – ASSESSED VALUATION, TAX LEVY AND LEGAL DEBT MARGIN

Property taxes attach as an enforceable lien on property as of January 1. Taxes are levied on November 1, and
are payable by December 31.

49
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE G – ASSESSED VALUATION, TAX LEVY AND LEGAL DEBT MARGIN (continued)

The 2016 assessed valuation of the tangible taxable property and the tax levies per $100 assessed valuation of
that property were as follows:

ASSESSED VALUATION
Real estate $ 878,414,827
Personal property 145,752,368
$ 1,024,167,195
TAX LEVY
General Fund $ -
Senior Service Fund 0.0500
$ 0.0500

The legal debt margin at December 31, 2016, is computed as follows:

Constitutional debt limit $ 102,416,720
General obligation bonds payable -
LEGAL DEBT MARGIN $ 102,416,720

Under Article VI, Section 26(b) and (c), Missouri Constitution, the County, by a vote of its qualified electors
voting therein, may incur an indebtedness for any purpose authorized by law of the County or by any general
law of the State of Missouri. The borrowings authorized by this section shall not exceed ten percent of the
value of the taxable tangible property in the County.

NOTE H – LONG-TERM DEBT – TANEY COUNTY REGIONAL SEWER DISTRICT

During 2004, the District entered into an agreement with the Missouri Leveraged State Water Pollution Control
Revolving Fund Program to sell $15,590,000 in Wastewater System Revenue Bonds, Series 2004C. The bonds
bear interest at 3.0% to 5.25%. The interest paid is offset by an interest subsidy from the State of Missouri’s
50% bond reserves. Interest payments are due semi-annually on January 1 and July 1 of each year with annual
principal payments due January 1 of each year. The bonds also require an administrative fee payable annually
on January 1 of each year at .714% of the outstanding principal balance. The bonds outstanding at December
31, 2016, are due as follows:

50
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE H – LONG-TERM DEBT – TANEY COUNTY REGIONAL SEWER DISTRICT (continued)

Year Ended Administrative
December 31, Principal Interest Fee Total
2017 $ - $ 152,250 $ 17,091 $ 169,341
2018 - 152,250 17,091 169,341
2019 940,000 127,575 16,950 1,084,525
2020 965,000 77,569 11,390 1,053,959
2021 995,000 26,119 5,696 1,026,815
$ 2,900,000 $ 535,763 $ 68,218 $ 3,503,981

The following table is a summary of the changes in the long-term debt for the year ended December 31, 2016:

Balance Balance
December 31, New December 31, Current
2015 Obligations Retired 2016 Portion

2004 SRF Revenue Bonds Payable $ 2,900,000 $ - $ - $ 2,900,000 $ -

NOTE I – LONG-TERM DEBT – PRIMARY GOVERNMENT

On August 25, 2015, the County issued Lease Refunding Certificates of Participation Series 2015A and 2015B
for the purpose of an advance refunding of the Series 2006 Lease Certificates of Participation, which were
issued for the construction of a new judicial facility. The County intends to make principal and interest
payments on the lease from revenues generated from the 1/8 cent law enforcement sales tax passed by voters on
November 8, 2005. The sales tax will continue until December 31, 2022.

The lease agreement requires principal payments ranging from $815,000 to $1,590,000 plus interest of 2.02%.
Principal payments are due April 1 of each year with interest due semi-annually on April 1 and October 1.

51
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE I – LONG-TERM DEBT – PRIMARY GOVERNMENT (continued)

The lease agreement provides for the cancellation of the lease should the County fail to appropriate funds on the
annual renewal dates. However, the County does not foresee exercising its option to cancel.

The total annual minimum lease payments required at December 31, 2016, are as follows:

Year Ended
December 31,
2017 $ 1,491,193
2018 1,519,933
2019 1,542,562
2020 1,579,181
2021 1,609,487
2022 1,638,581
2023 831,463
TOTAL MINIMUM LEASE PAYMENTS 10,212,400
LESS AMOUNT REPRESENTING INTEREST (747,400)
PRINCIPAL BALANCE, DECEMBER 31, 2016 $ 9,465,000

The following schedule presents the changes in the long-term debt for the year ended December 31, 2016:

Balance Balance
December 31, December 31, Current
2015 Additions Retirements 2016 Portion

2015A Certificates of Participation $ 9,995,000 $ - $ 530,000 $ 9,465,000 $ 1,300,000
2015B Certificates of Participation 800,000 - 800,000 - -
Compensated absences 163,623 17,649 - 181,272 -

$ 10,958,623 $ 17,649 $ 1,330,000 $ 9,646,272 $ 1,300,000

52
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE J – LONG-TERM DEBT – TANEY COUNTY HEALTH CENTER

On July 1, 2008, the Health Department issued $850,000 in Certificates of Participation, Series 2008, to build
an addition to the existing building. The interest rate on the Certificates was 4.85% until July 1, 2013, and then
changed to 3.612%. This rate will be in effect until December 1, 2018. At that time, the interest rate will be
adjusted again based on market rates, for the remaining 5 years. Principal and interest payments are due
monthly. The Certificates of Participation outstanding at December 31, 2016, based on the current rate, are due
as follows:

Year Ended
December 31, Principal Interest Total
2017 $ 60,329 $ 15,137 $ 75,466
2018 62,576 12,890 75,466
2019 64,906 10,560 75,466
2020 67,323 8,143 75,466
2021 69,831 5,635 75,466
2022 72,431 3,035 75,466
2023 43,466 515 43,981
$ 440,862 $ 55,915 $ 496,777

The following table is a summary of the changes in the long-term debt for the year ended December 31, 2016:

Balance Balance
December 31, December 31, Current
2015 Additions Retirements 2016 Portion
2008 Certificate of Participation $ 498,976 $ - $ 58,114 $ 440,862 $ 60,329
Compensated absences 99,989 - 3,496 96,493 -
$ 598,965 $ - $ 61,610 $ 537,355 $ 60,329

53
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE K – LOAN – BOARD FOR THE DEVELOPMENTALLY DISABLED

During the year ended December 31, 2008, the Board entered into an interest free $300,000 loan with White
River Electric Cooperative, Inc. with monthly payments of $2,500. The loan is for a pump, tank and fire
suppression system.

The following is a schedule of payments under the loan:

Year Ended
December 31, Principal
2017 $ 30,000
2018 12,500
$ 42,500

The summary of changes in the loan for the year ended December 31, 2016, is as follows:

Balance, December 31, 2015 $ 72,500
Additions -
Deletions (30,000)
Balance, December 31, 2016 $ 42,500

NOTE L – LEASE PAYABLE – BOARD FOR THE DEVELOPMENTALLY DISABLED

On November 1, 2010, the Board issued Taxable Lease Certificates of Participation – Recovery Zone Economic
Development Project Series 2010 for the construction of a new sheltered workshop facility. The Board has
designated the Certificates as Recovery Zone Economic Development Bonds. The Board has elected to receive
a credit from the Secretary of the United States Department of the Treasury in accordance with Section 6431 of
the IRS code equal to 45% of the stated interest paid on the Bonds. Such payments will be received directly by
the Board and used to make interest payments due on the Certificates. Receipt of the interest subsidy is subject
to the Board filing an IRS Form 80-38-CP. The failure of the Board to file Form 80-38-CP could reduce or
eliminate the amount of the interest subsidy.

54
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE L – LEASE PAYABLE – BOARD FOR THE DEVELOPMENTALLY DISABLED (continued)

The lease agreement requires principal payments ranging from $55,000 to $120,000 plus interest at 6%.
Principal payments are due December 1 of each year with interest due semi-annually on June 1 and
December 1.

The lease agreement provides for the cancellation of the lease should the Board fail to appropriate funds on the
annual renewal dates. However, the Board does not foresee exercising its option to cancel.

The total annual minimum lease payments required at December 31, 2016, are as follows:

Year Ended
December 31, Principal
2017 $ 134,750
2018 134,883
2019 134,713
2020 134,345
2021 133,458
2022 132,375
2023 130,988
2024 129,335
2025 127,300
TOTAL MINIMUM LEASE PAYMENTS 1,192,147
LESS AMOUNT REPRESENTING INTEREST (292,147)
PRINCIPAL BALANCE, DECEMBER 31, 2016 $ 900,000

The following schedule presents the changes in the long-term debt for the year ended December 31, 2016:

Balance Balance
December 31, December 31, Current
2015 Additions Retirements 2016 Portion
2010 Certificates of Participation $ 975,000 $ - $ 75,000 $ 900,000 $ 80,000

55
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE M – LINE OF CREDIT – BOARD FOR THE DEVELOPMENTALLY DISABLED

At December 31, 2016, the Organization had a $250,000 secured line of credit with Commerce Bank to be
drawn upon as needed with a variable interest rate not to exceed 4%. As of December 31, 2016, the balance on
the line of credit was $200,000. Interest of $8,089 was paid in the current year.

NOTE N – MORTGAGE PAYABLE – DORGAN-WEAVER HOUSING CORPORATION

As of December 31, 2016, the Board had a mortgage payable of $1,531,400. The mortgage payable represents
a capital advance from the U.S. Department of Housing and Urban Development for the construction of a 14-
unit residential facility. The mortgage bears no interest and repayment is not required as long as the housing
remains available for very low-income persons with disabilities.

The following represents the changes in the mortgage payable during the year ended December 31, 2016:

Balance, December 31, 2015 $ 1,531,400
Additions -
Repayments -
Balance, December 31, 2016 $ 1,531,400

NOTE O – MORTGAGE PAYABLE – COMBS-REDFERN APARTMENTS INC.

As of December 31, 2016, the Board had a mortgage payable of $2,054,431. The mortgage payable represents
a capital advance from the U.S. Department of Housing and Urban Development for the construction of a 14-
unit residential facility. The mortgage bears no interest and repayment is not required as long as the housing
remains available for very low-income persons with disabilities.

Balance, December 31, 2015 $ 2,054,431
Additions -
Repayments -
Balance, December 31, 2016 $ 2,054,431

56
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE P – RISK MANAGEMENT

The County 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. The County has transferred its risk by
obtaining coverage from commercial insurance companies. In addition, it has effectively managed risk through
various employee education and prevention programs. There has been no significant reduction in insurance
coverage from the previous year.

NOTE Q – 2002 BOND ELECTION

On April 2, 2002, the Taney County Regional Sewer District passed a $30,000,000 bond issue for the purpose
of extending and improving the sewerage system of the District. The Capital Improvement Sales Tax passed by
voters on April 4, 2000, has been pledged for the repayment of these bonds. As of December 31, 2016, only
$15,590,000 of these bonds has been issued.

NOTE R – INTERFUND TRANSFERS

Interfund transfers for the year ended December 31, 2016, consisted of the following:

Transfers
In (Out)
General Fund $ 481,350
Road and Bridge Trust Fund (88,566)
Road and Bridge Fund 32,441
Sewer Sales Tax Fund (75,000)
Assessment Fund (25,000)
E-911 Fund (232,132)
Recorder Tech Fund (22,010)
Transfer Station Fund (59,859)
$ -

Transfers are used to (1) move receipts from the fund that statute or budget requires to collect them to the fund
that statue or budget requires to disburse them, and (2) use unrestricted receipts in the General Fund to finance
various programs accounted for in other funds in accordance with budgetary authorizations.

57
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE S – COMMITMENTS

At December 31, 2016, the County was committed to the following contracts:

 HDR Engineering for the Road and Bridge Maintenance Building and Transfer Station
engineering, in the amount of $80,529
 The City of Taneyville for reimbursement for waste water treatment plant improvement project,
in the amount of $88,533
 The City of Hollister for reimbursement for the Hidden Valley Lift Station Improvement project,
in the amount of $97,325 and for the WWTP Grit Removal System project in the amount of
$58,460

NOTE T – COMMITMENTS – TANEY COUNTY REGIONAL SEWER DISTRICT

The District was committed to contracts for utility improvements with the following as of December 31, 2016:

 Great River Engineering in the amount of $614,107
 Excel Excavating, in the amount of $1,170,310
 Flat Creek Excavating, in the amount of $1,327,339
 HDR Engineering in the amount of $359,596
 D&E Plumbing & Heating in the amount of $2,904,365

NOTE U – TAX ABATEMENTS

As of December 31, 2016, the County was affected by tax abatement programs provided by the City of
Branson, Missouri and the City of Hollister, Missouri. Both the City of Branson, Missouri and the City of
Hollister, Missouri, provide tax abatements through the Real Property Tax Increment Allocation
Redevelopment Act (Tax Incremental Financing).

 Tax Incremental Financing (TIF) is an economic development tool which redirects local tax revenues
towards the redevelopment of eligible properties that are otherwise economically unfeasible. Sections
99.800 – 99.865, RSMo, the Real Property Tax Increment Allocation Redevelopment Act, enables cities
to finance certain redevelopment costs with the incremental tax revenue generated by the net increase in
assessed valuation resulting from the redevelopment. Real estate taxes in the redevelopment area are
frozen at the current level or base valuation.

58
TANEY COUNTY, MISSOURI
NOTES TO FINANCIAL STATEMENTS
December 31, 2016

NOTE U – TAX ABATEMENTS

Property tax revenues were reduced by $23,708 and sales tax revenues were reduced by $2,691,740 under the
Tax Incremental Financing Agreements by the City of Branson, Missouri.

Sales tax revenues were reduced by $7,278 under the Tax Incremental Financing Agreements by the City of
Hollister, Missouri.

NOTE V – CONTINGENCIES

The County and the Branson, Missouri Regional Airport Transportation Development District signed a loss
mitigation guarantee with the Branson Airport. The County agrees to mitigate any loss of the airline contracted
with the Branson Airport for a term of three years, ending February 22, 2019, up to $400,000. If mitigation loss
guarantee funds have already been paid and the contracted airline generates a net gain before the end of this
agreement, amounts will be refunded to other sources and then the County.

59
SUPPLEMENTARY INFORMATION
TANEY COUNTY, MISSOURI
SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS – LAGERS –
PRIMARY GOVERNMENT
Year Ended December 31, 2016

Primary Government
Missouri Local Government Employees Retirement System (LAGERS)

2016 2015
TOTAL PENSION LIABILITY
Service cost $ 1,039,753 $ 1,054,073
Interest on the total pension liability 2,294,241 2,183,947
Difference between expected and actual experience (473,014) (655,636)
Changes of assumptions 1,512,570 -
Benefit payments, including refunds (1,035,880) (1,071,598)
NET CHANGE IN TOTAL PENSION LIABILITY 3,337,670 1,510,786
TOTAL PENSION LIABILITY, BEGINNING 31,642,804 30,132,018
TOTAL PENSION LIABILITY, ENDING 34,980,474 31,642,804
PLAN FIDUCIARY NET POSITION
Contributions - employer 1,444,655 1,448,970
Net investment income (32,647) 585,187
Benefit payments, including refunds (1,035,880) (1,071,598)
Pension plan administrative expense (40,637) (42,781)
Other (net transfer) (40,818) 682,367
NET CHANGE IN PLAN FIDUCIARY NET POSITION 294,673 1,602,145
PLAN FIDUCIARY NET POSITION, BEGINNING 30,278,739 28,676,594
PLAN FIDUCIARY NET POSITION, ENDING 30,573,412 30,278,739
EMPLOYER NET PENSION LIABILITY $ 4,407,062 $ 1,364,065
Plan fiduciary net position as a percentage
of the total pension liability 87.40% 95.69%

Covered employee payroll $ 9,366,589 $ 8,977,101

Employer's net pension asset as a percentage
of covered employee payroll 47.05% 15.19%

Note: This schedule is intended to show information for ten years. Additional years will be displayed as they
become available.

61
TANEY COUNTY, MISSOURI
SCHEDULE OF CONTRIBUTIONS – LAGERS – PRIMARY GOVERNMENT
Year Ended December 31, 2016

Primary Government
Missouri Local Government Employees Retirement System (LAGERS)
Schedule of Contributions
Last 10 Fiscal Years

2016 2015 2014 2013 2012 2011 2010 2009 2008 2007

Actuarially determined contribution $ 1,151,361 $ 1,227,057 $ 1,208,678 $ 1,169,930 $ 818,380 $ 904,759 $ 1,021,938 $ 900,498 $ 875,556 $ 789,304

Contributions in relation to the
actuarially determined contribution 1,151,362 1,227,056 1,208,676 1,169,928 818,380 904,760 942,069 900,500 875,557 789,304
Contribution deficiency (excess) $ (1) $ 1 $ 2 $ 2 $ - $ (1) $ 79,869 $ (2) $ (1) $ -

Covered-employee payroll $ 8,203,058 $ 7,966,188 $ 7,503,773 $ 7,144,963 $ 7,057,564 $ 7,458,348 $ 8,277,508 $ 8,677,097 $ 8,046,150 $ 7,129,314

Contributions as a percentage of
covered-employee payroll 14.04% 15.40% 16.11% 16.37% 11.60% 12.13% 11.38% 10.38% 10.88% 11.07%

62
TANEY COUNTY, MISSOURI
NOTES TO SCHEDULE OF CONTRIBUTIONS – LAGERS – PRIMARY GOVERNMENT
Year Ended December 31, 2016

Valuation Date: February 29, 2016

Notes: The roll-forward of total pension liability from February 29, 2016, to June 30, 2016, reflects expected
service cost and interest reduced by actual benefit payments.

Methods and Assumptions Used to Determine Contribution Rates

Actuarial Cost Method – Entry Age Normal and Modified Terminal Funding

Amortization Method – Level Percentage of Payroll, Closed

Remaining Amortization Period – Multiple bases from 13 to 26 years

Asset Valuation Method – 5-Year smoothed market; 20% corridor

Inflation – 3.25% wage inflation; 2.5% price inflation

Salary Increases – 3.25% to 6.55% including wage inflation

Investment Rate of Return – 7.25%, net of investment

Retirement Age – Experience-based table of rates that are specific to the type of eligibility condition

Mortality – The healthy retiree mortality tables, for post-retirement mortality, were the RP-2014 Healthy
Annuitant mortality table for males and females. The disabled retiree mortality tables, for post-retirement
mortality, were the RP-2014 disabled mortality table for males and females. The pre-retirement mortality tables
used were the RP-2014 employees mortality table for males and females.

Both the post-retirement and pre-retirement tables were adjusted for mortality improvement back to the
observation period base year of 2006. The base year for males was then established to be 2017. Mortality rates
for a particular calendar year are determined by applying the MP-2015 mortality improvement scale to the
above described tables.

Other Information – New assumptions adopted based on the 5-year experience study for the period March 1,
2010, through February 28, 2015.

63
TANEY COUNTY, MISSOURI
SCHEDULE OF CHANGES IN NET PENSION LIABILITY AND RELATED RATIOS – TANEY COUNTY
REGIONAL SEWER DISTRICT
Year Ended December 31, 2016

Taney County Regional Sewer District
Missouri Local Government Employees Retirement System (LAGERS)

2016 2015
TOTAL PENSION LIABILITY
Service cost $ 40,371 $ 32,040
Interest on the total pension liability 14,149 9,161
Changes of benefit terms 95,092 -
Difference between expected and actual experience 17,646 23,503
Changes of assumptions 14,451 -
NET CHANGE IN TOTAL PENSION LIABILITY 181,709 64,704
TOTAL PENSION LIABILITY, BEGINNING 175,321 110,617
TOTAL PENSION LIABILITY, ENDING 357,030 175,321
PLAN FIDUCIARY NET POSITION
Contributions - employer 57,247 44,458
Net investment income 948 2,359
Pension plan administrative expense (926) (1,025)
Other (net transfer) (1,063) 8,326
NET CHANGE IN PLAN FIDUCIARY NET POSITION 56,206 54,118
PLAN FIDUCIARY NET POSITION, BEGINNING 153,980 99,862
PLAN FIDUCIARY NET POSITION, ENDING 210,186 153,980
EMPLOYER NET PENSION LIABILITY $ 146,844 $ 21,341

Plan fiduciary net position as a
percentage of the total pension liability 58.87% 87.83%

Covered employee payroll $ 410,622 $ 389,550

Employer's net pension liability as a percentage
of covered employee payroll 35.76% 5.48%

Note: This schedule is intended to show information for ten years. Additional years will be displayed as they
become available.

64
TANEY COUNTY, MISSOURI
SCHEDULE OF CONTRIBUTIONS – TANEY COUNTY REGIONAL SEWER DISTRICT
Year Ended December 31, 2016

Taney County Regional Sewer District
Missouri Local Government Employees Retirement System (LAGERS)
Schedule of Contributions
Last 5 Fiscal Years

2016 2015 2014 2013 2012

Actuarially determined contribution $ 66,937 $ 48,659 $ 38,555 $ 31,334 $ 23,062

Contributions in relation to the
actuarially determined contribution 66,937 48,659 38,555 31,334 23,062
Contribution deficiency (excess) $ - $ - $ - $ - $ -

Covered-employee payroll $ 420,985 $ 419,476 $ 332,367 $ 256,834 $ 192,180

Contributions as a percentage of
covered-employee payroll 15.90% 11.60% 11.60% 12.20% 12.00%

65
TANEY COUNTY, MISSOURI
NOTES TO SCHEDULE OF CONTRIBUTIONS – TANEY COUNTY REGIONAL SEWER DISTRICT
Year Ended December 31, 2016

Valuation Date: February 29, 2016

Notes: The roll-forward of total pension liability from February 29, 2016, to June 30, 2016, reflects expected
service cost and interest reduced by actual benefit payments.

Methods and Assumptions Used to Determine Contribution Rates

Actuarial Cost Method – Entry Age Normal and Modified Terminal Funding

Amortization Method – Level Percentage of Payroll, Closed

Remaining Amortization Period – Multiple bases from 14 to 25 years

Asset Valuation Method – 5-Year smoothed market; 20% corridor

Inflation – 3.25% wage inflation; 2.5% price inflation

Salary Increases – 3.25% to 6.55% including wage inflation

Investment Rate of Return – 7.25%, net of investment

Retirement Age – Experience-based table of rates that are specific to the type of eligibility condition

Mortality – The healthy retiree mortality tables, for post-retirement mortality, were the RP-2014 Healthy
Annuitant mortality table for males and females. The disabled retiree mortality tables, for post-retirement
mortality, were the RP-2014 disabled mortality table for males and females. The pre-retirement mortality tables
used were the RP-2014 employees mortality table for males and females.

Both the post-retirement and pre-retirement tables were adjusted for mortality improvement back to the
observation period base year of 2006. The base year for males was then established to be 2017. Mortality rates
for a particular calendar year are determined by applying the MP-2015 mortality improvement scale to the
above described tables.

Other Information – New assumptions adopted based on the 5-year experience study for the period March 1,
2010, through February 28, 2015.

66
TANEY COUNTY, MISSOURI
SCHEDULE OF PROPORTIONATE SHARE OF THE NET PENSION LIABILITY AND RELATED
RATIOS – CERF – PRIMARY GOVERNMENT
Year Ended December 31, 2016

Proportionate Actual Net Pension Fiduciary
Share of the Covered Liability Net Position
Proportion of the Net Pension Employee as a Percentage of as a Percentage
Net Pension Liability Payroll Covered Payroll of Total
Year Ended Liability (a) (b) (a/b) Pension Liability
12/31/2015 3.57080% $ 4,167,047 $ 7,984,463 52.19% 78.83%
12/31/2016 3.35273% 6,482,681 8,546,110 75.86% 69.11%

Note: This schedule is intended to show information for ten years. Additional years will be displayed as they
become available.

*The data provided in the schedule is based as of the measurement date of CERFs’ net pension liability, which
is as of the beginning of the County’s fiscal year.

67
TANEY COUNTY, MISSOURI
SCHEDULE OF EMPLOYER CONTRIBUTIONS – CERF – PRIMARY GOVERNMENT
Year Ended December 31, 2016

Actual
Statutorily Actual Contribution Covered Contributions as
Required Employer Excess / Employee a Percentage of
Year Ended Contribution Contributions (Deficiency) Payroll Covered Payroll
12/31/2014 $ 706,349 $ 706,349 $ - $ 7,984,463 8.85%
12/31/2015 698,027 698,027 - 8,546,110 8.17%
12/31/2016 588,424 588,424 - 8,769,391 6.71%

Note: This schedule is intended to show information for ten years. Additional years will be displayed as they
become available.

68
TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – GENERAL FUND – MODIFIED CASH BASIS
Year Ended December 31, 2016

Variance
Original Final With Final
RECEIPTS Budget Budget Actual Budget
Taxes
County sales tax $ 7,835,000 $ 7,835,000 $ 7,740,094 $ (94,906)
Surtax 8,000 8,000 10,251 2,251
Payment in lieu of taxes 140,000 140,000 149,989 9,989
7,983,000 7,983,000 7,900,334 (82,666)
Collector's Commission
Collection commissions 802,500 802,500 707,777 (94,723)
Licenses and Permits
Beverage licenses 75,000 75,000 86,284 11,284
ATV permits 600 600 930 330
75,600 75,600 87,214 11,614
Intergovernmental Revenues
Federal 918,000 918,000 73,400 (844,600)
Other 14,000 14,000 49,395 35,395
932,000 932,000 122,795 (809,205)
Fees and Charges
Court 78,500 78,500 81,673 3,173
Public administration 70,000 70,000 70,001 1
County clerk 1,000 1,000 729 (271)
Recorder of deeds 1,100,000 1,100,000 749,445 (350,555)
Tax sale publication 16,000 16,000 19,990 3,990
Planning and zoning 32,000 32,000 27,835 (4,165)
Sheriff fees 907,500 907,500 967,601 60,101
Phone and vending 1,050 1,050 1,128 78
Election reimbursement 75,000 75,000 86,645 11,645
Computer room 1,000 1,000 1,144 144
Airport 450,000 450,000 394,234 (55,766)
2,732,050 2,732,050 2,400,425 (331,625)
Other
Interest income 75,000 75,000 69,196 (5,804)
Miscellaneous 89,850 89,850 113,703 23,853
Sale of property 100,000 100,000 56,065 (43,935)
264,850 264,850 238,964 (25,886)
TOTAL RECEIPTS 12,790,000 12,790,000 11,457,509 (1,332,491)
DISBURSEMENTS
Current
General Government
University extension 57,235 57,235 52,499 4,736
Collector of revenue 265,190 265,190 270,564 (5,374)
Treasurer 104,765 104,765 99,069 5,696
Recorder of deeds 300,000 300,000 298,968 1,032
County commission 716,000 716,000 210,290 505,710
Administrative office 638,800 638,800 655,941 (17,141)
Employee fringe benefits 2,505,000 2,505,000 2,551,696 (46,696)
Information technology 385,398 385,398 356,017 29,381
Planning and zoning 222,400 222,400 214,667 7,733
Election and voter registration 363,050 363,050 327,906 35,144
County clerk 168,685 168,685 169,551 (866)
Auditor 108,640 108,640 102,437 6,203
Building and grounds 677,050 677,050 638,574 38,476
6,512,213 6,512,213 5,948,179 564,034

69
TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – GENERAL FUND – MODIFIED CASH BASIS (continued)
Year Ended December 31, 2016

Variance
Original Final With Final
Budget Budget Actual Budget
Judicial
Court administration 43,250 43,250 18,018 25,232
Circuit judge 96,664 96,664 68,050 28,614
Circuit clerk 45,400 45,400 27,400 18,000
Coroner 76,300 76,300 81,800 (5,500)
Court reporter 2,049 2,049 1,358 691
Public administrator 118,963 118,963 138,915 (19,952)
Juvenile 177,465 177,465 176,833 632
Prosecuting attorney 604,240 604,240 603,597 643
1,164,331 1,164,331 1,115,971 48,360
Public Safety
Sheriff 2,411,050 2,411,050 2,361,466 49,584
Jail 1,360,188 1,360,188 1,361,544 (1,356)
Animal control 200,000 200,000 200,000 -
Emergency management 69,000 69,000 64,183 4,817
4,040,238 4,040,238 3,987,193 53,045
Other 2,545,450 2,545,450 1,143,311 1,402,139
Public Works
Industrial Development Board 50,000 50,000 50,000 -
Airport
Airport 1,342,850 1,342,850 395,354 947,496
TOTAL DISBURSEMENTS 15,655,082 15,655,082 12,640,008 3,015,074
(DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (2,865,082) (2,865,082) (1,182,499) 1,682,583
OTHER FINANCING
SOURCES (USES)
Operating transfers (out) - - (31,600) (31,600)
Operating transfers in 609,800 609,800 512,950 (96,850)
TOTAL OTHER FINANCING
SOURCES (USES) 609,800 609,800 481,350 (128,450)
(DEFICIT) OF RECEIPTS
AND OTHER SOURCES OVER
DISBURSEMENTS AND OTHER (USES) (2,255,282) (2,255,282) (701,149) 1,554,133
FUND BALANCE, January 1 8,400,282 8,400,282 8,400,282 -
FUND BALANCE, December 31 $ 6,145,000 $ 6,145,000 $ 7,699,133 $ 1,554,133

70
TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – ROAD AND BRIDGE TRUST FUND – MODIFIED CASH
BASIS
Year Ended December 31, 2016

Variance
Original Final With Final
Budget Budget Actual Budget
RECEIPTS
Taxes $ 7,750,000 $ 7,750,000 $ 7,729,652 $ (20,348)
Intergovernmental receipts 50,000 50,000 162,689 112,689
Other receipts 130,000 130,000 397,520 267,520
TOTAL RECEIPTS 7,930,000 7,930,000 8,289,861 359,861
DISBURSEMENTS
Highway and Roads
Wages and benefits 2,530,000 2,530,000 2,272,947 257,053
Computer related disbursements 17,000 17,000 12,250 4,750
Mileage and training 3,000 3,000 4,037 (1,037)
Professional services 605,000 605,000 56,101 548,899
Rental equipment 10,000 10,000 10,999 (999)
Telephone and utilities 63,000 63,000 47,826 15,174
Insurance 130,000 130,000 135,704 (5,704)
Repair and maintenance 380,000 380,000 435,513 (55,513)
Equipment 752,000 752,000 710,440 41,560
Road construction 2,939,000 2,939,000 1,043,709 1,895,291
Road supplies 2,209,500 2,209,500 2,015,128 194,372
Other supplies 505,300 505,300 328,448 176,852
Other 1,015,850 1,015,850 10,184 1,005,666
TOTAL DISBURSEMENTS 11,159,650 11,159,650 7,083,286 4,076,364
EXCESS (DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (3,229,650) (3,229,650) 1,206,575 4,436,225
OTHER FINANCING SOURCES (USES)
Operating transfers in - - 36,434 36,434
Operating transfers out (125,000) (125,000) (125,000) -
TOTAL OTHER FINANCING
SOURCES (USES) (125,000) (125,000) (88,566) 36,434
EXCESS (DEFICIT) OF RECEIPTS
AND OTHER SOURCES OVER
DISBURSEMENTS AND OTHER (USES) (3,354,650) (3,354,650) 1,118,009 4,472,659
FUND BALANCE, January 1 11,441,956 11,441,956 11,441,956 -
FUND BALANCE, December 31 $ 8,087,306 $ 8,087,306 $ 12,559,965 $ 4,472,659

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TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – ROAD AND BRIDGE FUND – MODIFIED CASH BASIS
Year Ended December 31, 2016

Variance
Original Final With Final
Budget Budget Actual Budget
RECEIPTS
Taxes $ 1,205,000 $ 1,205,000 $ 1,354,755 $ 149,755
Intergovernmental receipts - - 56,318 56,318
Other receipts 33,200 33,200 33,683 483
TOTAL RECEIPTS 1,238,200 1,238,200 1,444,756 206,556
DISBURSEMENTS
Highway and Roads
Wages and benefits 1,047,700 1,047,700 1,241,187 (193,487)
Road construction 10,100 10,100 48,952 (38,852)
Other - - 8,940 (8,940)
TOTAL DISBURSEMENTS 1,057,800 1,057,800 1,299,079 (241,279)
EXCESS OF RECEIPTS
OVER DISBURSEMENTS 180,400 180,400 145,677 (34,723)
OTHER FINANCING SOURCES
Operating transfers in 30,000 30,000 32,441 2,441
TOTAL OTHER
FINANCING SOURCES 30,000 30,000 32,441 2,441
EXCESS OF RECEIPTS
AND OTHER SOURCES
OVER DISBURSEMENTS 1,268,200 1,268,200 178,118 (1,090,082)
FUND BALANCE, January 1 1,600,405 1,600,405 1,600,405 -
FUND BALANCE, December 31 $ 2,868,605 $ 2,868,605 $ 1,778,523 $ (1,090,082)

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TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – LAW ENFORCEMENT SALES TAX FUND – MODIFIED
CASH BASIS
Year Ended December 31, 2016

Variance
Original Final With Final
Budget Budget Actual Budget
RECEIPTS
Taxes $ 1,937,500 $ 1,937,500 $ 1,932,015 $ (5,485)
Other receipts 8,000 8,000 12,133 4,133
TOTAL RECEIPTS 1,945,500 1,945,500 1,944,148 (1,352)

DISBURSEMENTS
Debt service 2,063,932 2,063,932 1,950,139 113,793
TOTAL DISBURSEMENTS 2,063,932 2,063,932 1,950,139 113,793
(DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (118,432) (118,432) (5,991) 112,441
OTHER FINANCING USES
Operating transfers (out) - - (1,224) (1,224)
TOTAL OTHER
FINANCING USES - - (1,224) (1,224)
(DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS
AND OTHER (USES) (118,432) (118,432) (7,215) 111,217
FUND BALANCE, January 1 1,814,850 1,814,850 1,814,850 -
FUND BALANCE, December 31 $ 1,696,418 $ 1,696,418 $ 1,807,635 $ 111,217

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TANEY COUNTY, MISSOURI
BUDGETARY COMPARISON SCHEDULE – COUNTY SEWER SALES TAX FUND – MODIFIED CASH
BASIS
Year Ended December 31, 2016

Variance
Original Final With Final
Budget Budget Actual Budget
RECEIPTS
Taxes $ 7,750,000 $ 7,750,000 $ 7,729,009 $ (20,991)
Intergovernmental 100,000 100,000 - (100,000)
Other receipts 192,000 192,000 219,818 27,818
TOTAL RECEIPTS 8,042,000 8,042,000 7,948,827 (93,173)
DISBURSEMENTS
Sewer 20,718,910 20,718,910 10,622,407 10,096,503
TOTAL DISBURSEMENTS 20,718,910 20,718,910 10,622,407 10,096,503
(DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (12,676,910) (12,676,910) (2,673,580) 10,003,330
OTHER FINANCING (USES)
Operating transfers (out) (75,000) (75,000) (75,000) -
TOTAL OTHER
FINANCING (USES) (75,000) (75,000) (75,000) -
(DEFICIT) OF RECEIPTS OVER
DISBURSEMENTS AND OTHER (USES) (12,751,910) (12,751,910) (2,748,580) 10,003,330
FUND BALANCE, January 1 25,749,062 25,749,062 25,749,062 -
FUND BALANCE, December 31 $ 12,997,152 $ 12,997,152 $ 23,000,482 $ 10,003,330

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TANEY COUNTY, MISSOURI
NOTE TO BUDGETARY COMPARISON SCHEDULES
December 31, 2016

Budgets and Budgetary Accounting

The County follows these procedures in establishing the budgetary data reflected in the financial statements:

1) In accordance with Chapter 67, RSMo, the County adopts a budget for each fund.

2) Prior to January, the County Auditor, who serves as the Budget Officer, submits to the
Commission a proposed budget for the fiscal year beginning on the following January 1. The
budget includes estimated receipts and proposed disbursements for all County funds.
Budgeted disbursements cannot exceed beginning available monies plus estimated receipts
for the year.

3) A public hearing is conducted to obtain taxpayer comments. Prior to its approval by the
Commission, the budget document is available for public inspection.

4) In January, the budget is legally enacted by a vote of the Commission.

5) Subsequent to its formal approval of the budget, the Commission has the authority to make
necessary adjustments to the budget by formal vote of the Commission. Adjustments made
during the year are reflected in the budget information included in the financial statements.
Budgeted amounts are as originally adopted, or as amended by the Commission. Individual
amendments were not material to the original appropriations, which were amended.

6) Budgets for County funds are prepared and adopted on the modified cash basis (budget
basis), recognizing receipts when collected and disbursements when paid.

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OTHER REPORTING REQUIREMENTS
TANEY COUNTY, MISSOURI
COMBINING STATEMENT OF ASSETS AND FUND BALANCES – NON-MAJOR SPECIAL REVENUE FUNDS – MODIFIED CASH BASIS
December 31, 2016

Prosecuting Circuit
Law Prosecuting Attorney Sheriff Prosecuting Sheriff Clerk
Enforcement Attorney Tax Delinquent Civil Vest Attorney Drug Treatment
Assessment Training Training E-911 Maintenance Tax Fees Grant Bad Check Forfeiture Courts
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund
ASSETS
Cash and investments $ 301,994 $ 1,859 $ 610 $ 124,398 $ 54,474 $ 75,688 $ 48,967 $ 1,403 $ 50,269 $ 7,402 $ 2,402
TOTAL ASSETS $ 301,994 $ 1,859 $ 610 $ 124,398 $ 54,474 $ 75,688 $ 48,967 $ 1,403 $ 50,269 $ 7,402 $ 2,402
FUND BALANCES
Restricted for:
Public safety $ - $ 1,859 $ - $ 124,398 $ - $ - $ 48,967 $ 1,403 $ - $ 7,402 $ -
Elections - - - - - - - - - - -
Recorder - - - - - - - - - - -
Judicial - - 610 - - 75,688 - - 50,269 - 2,402
Tax maintenance - - - - 54,474 - - - - - -
Assigned
Assessment 301,994 - - - - - - - - - -
TOTAL FUND BALANCES $ 301,994 $ 1,859 $ 610 $ 124,398 $ 54,474 $ 75,688 $ 48,967 $ 1,403 $ 50,269 $ 7,402 $ 2,402

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TANEY COUNTY, MISSOURI
COMBINING STATEMENT OF ASSETS AND FUND BALANCES – NON-MAJOR SPECIAL REVENUE FUNDS – MODIFIED CASH BASIS
(continued)
December 31, 2016

Local Prosecuting
Emergency Circuit Attorney Circuit
Planning Election Recorder Law Domestic Sheriff Inmate Clerk Witness Clerk
Commission Services Tech Library Violence Revolving Security Interest Investigation Education
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
ASSETS
Cash and investments $ 4,795 $ 27,630 $ 324,083 $ 57,812 $ 7,234 $ 143,564 $ 120,488 $ 49,416 $ - $ 15,009 $ 1,419,497
TOTAL ASSETS $ 4,795 $ 27,630 $ 324,083 $ 57,812 $ 7,234 $ 143,564 $ 120,488 $ 49,416 $ - $ 15,009 $ 1,419,497
FUND BALANCES
Restricted for:
Public safety $ 4,795 $ - $ - $ - $ 7,234 $ 143,564 $ 120,488 $ - $ - $ - $ 460,110
Elections - 27,630 - - - - - - - - 27,630
Recorder - - 324,083 - - - - - - - 324,083
Judicial - - - 57,812 - - - 49,416 - 15,009 251,206
Tax maintenance - - - - - - - - - - 54,474
Assigned
Assessment - - - - - - - - - - 301,994
TOTAL FUND BALANCES $ 4,795 $ 27,630 $ 324,083 $ 57,812 $ 7,234 $ 143,564 $ 120,488 $ 49,416 $ - $ 15,009 $ 1,419,497

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TANEY COUNTY, MISSOURI
COMBINING STATEMENT OF RECEIPTS, DISBURSEMENTS AND CHANGES IN FUND BALANCE – NON-MAJOR SPECIAL REVENUE
FUNDS – MODIFIED CASH BASIS
Year Ended December 31, 2016

Prosecuting Circuit
Law Prosecuting Attorney Sheriff Prosecuting Sheriff Clerk
Enforcement Attorney Tax Delinquent Civil Vest Attorney Drug Treatment
Assessment Training Training E-911 Maintenance Tax Fees Grant Bad Check Forfeiture Courts
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund
RECEIPTS
Taxes $ - $ - $ - $ 720,857 $ - $ - $ - $ - $ - $ - $ -
Intergovernmental receipts - - - - - - - - - - -
Fees and charges 698,778 5,062 1,285 957 104,284 10,421 51,037 - 22,354 - 6,728
Other receipts 2,661 2,716 14 2,573 782 721 3,902 23 534 43 1
TOTAL RECEIPTS 701,439 7,778 1,299 724,387 105,066 11,142 54,939 23 22,888 43 6,729
DISBURSEMENTS
Current
General government 698,228 - - - 106,543 - - - - - -
Judicial - - 2,391 - - 17,443 - - 7,888 - 4,327
Public safety - 7,235 - 428,186 - - 92,690 2,131 - - -
TOTAL DISBURSEMENTS 698,228 7,235 2,391 428,186 106,543 17,443 92,690 2,131 7,888 - 4,327
EXCESS (DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS 3,211 543 (1,092) 296,201 (1,477) (6,301) (37,751) (2,108) 15,000 43 2,402
OTHER FINANCING
SOURCES (USES)
Operating transfers in (out) (25,000) - - (232,132) (10,000) - - - - - -
TOTAL OTHER FINANCING
SOURCES (USES) (25,000) - - (232,132) (10,000) - - - - - -
EXCESS (DEFICIT) OF RECEIPTS
AND OTHER SOURCES
OVER DISBURSEMENTS
AND OTHER (USES) (21,789) 543 (1,092) 64,069 (11,477) (6,301) (37,751) (2,108) 15,000 43 2,402
FUND BALANCE, January 1 323,783 1,316 1,702 60,329 65,951 81,989 86,718 3,511 35,269 7,359 -
FUND BALANCE, December 31 $ 301,994 $ 1,859 $ 610 $ 124,398 $ 54,474 $ 75,688 $ 48,967 $ 1,403 $ 50,269 $ 7,402 $ 2,402

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TANEY COUNTY, MISSOURI
COMBINING STATEMENT OF RECEIPTS, DISBURSEMENTS AND CHANGES IN FUND BALANCE – NONMAJOR SPECIAL REVENUE
FUNDS – MODIFIED CASH BASIS (continued)
Year Ended December 31, 2016

Local Prosecuting
Emergency Circuit Attorney Circuit
Planning Election Recorder Law Domestic Sheriff Inmate Clerk Witness Clerk
Commission Services Tech Library Violence Revolving Security Interest Investigation Education
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
RECEIPTS
Taxes $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 720,857
Intergovernmental receipts - 28,848 - - - - - - - - 28,848
Fees and charges - 16,549 168,714 15,620 7,663 101,292 78,494 1,262 - 15,881 1,306,381
Other receipts 71 354 2,541 145 31 1,208 1,003 155 - 5 19,483
TOTAL RECEIPTS 71 45,751 171,255 15,765 7,694 102,500 79,497 1,417 - 15,886 2,075,569
DISBURSEMENTS
Current
General government - 50,734 102,416 - - - - - - - 957,921
Judicial - - - 10,456 - - - 659 6,377 877 50,418
Public safety 7,251 - - - 8,346 57,480 88,726 - - - 692,045
TOTAL DISBURSEMENTS 7,251 50,734 102,416 10,456 8,346 57,480 88,726 659 6,377 877 1,700,384
EXCESS (DEFICIT) OF RECEIPTS
OVER DISBURSEMENTS (7,180) (4,983) 68,839 5,309 (652) 45,020 (9,229) 758 (6,377) 15,009 375,185
OTHER FINANCING
SOURCES (USES)
Operating transfers in (out) - - (22,010) - - - - - - - (289,142)

TOTAL OTHER FINANCING
SOURCES (USES) - - (22,010) - - - - - - - (289,142)
EXCESS (DEFICIT) OF RECEIPTS
AND OTHER SOURCES
OVER DISBURSEMENTS
AND OTHER (USES) (7,180) (4,983) 46,829 5,309 (652) 45,020 (9,229) 758 (6,377) 15,009 86,043
FUND BALANCE, January 1 11,975 32,613 277,254 52,503 7,886 98,544 129,717 48,658 6,377 - 1,333,454
FUND BALANCE, December 31 $ 4,795 $ 27,630 $ 324,083 $ 57,812 $ 7,234 $ 143,564 $ 120,488 $ 49,416 $ - $ 15,009 $ 1,419,497

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 INDEPENDENT AUDITORS' 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

Taney County Commission
Taney County
Forsyth, Missouri

We have audited, in accordance with the 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, the financial statements of the governmental activities, business-type
activities, the discretely presented component units, each major fund and the aggregate remaining fund
information of Taney County, Missouri, as of and for the year ended December 31, 2016, and the related notes
to the financial statements, which collectively comprise Taney County, Missouri’s basic financial statements
and have issued our report dated June 23, 2017.

The financial statements of Tantone Industries, Inc. were not audited in accordance with Government Auditing
Standards and, accordingly, this report does not include reporting on internal control over financial reporting or
instances of reportable noncompliance associated with Tantone Industries, Inc.

Internal Control over Financial Reporting

In planning and performing our audit of the financial statements, we considered Taney County, Missouri’s
internal control over financial reporting to determine the audit procedures that are appropriate in the
circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of
expressing an opinion on the effectiveness of Taney County, Missouri’s internal control. Accordingly, we do
not express an opinion on the effectiveness of the County’s internal control.

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 a combination of deficiencies, in
internal control such that there is a reasonable possibility that a material misstatement of the County’s financial
statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a
deficiency, or combination of deficiencies, in internal control that is less severe than a material weakness, yet
important enough to merit attention by those charged with governance.

www.kpmcpa.com
1445 E. Republic Road Springfield, MO 65804 | 417-882-4300 | fax 417-882-4343
500 W. Main Street, Suite 200 Branson, MO 65616 | 417-334-2987 | fax 417-336-3403
Member of The Leading Edge Alliance 81
Taney County Commission
Taney County
Forsyth, Missouri

Our consideration of the internal control was for the limited purpose described in the first paragraph of this
section and was not designed to identify all deficiencies in the internal control that might be material
weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any
deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may
exist that have not been identified.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Taney County, Missouri's financial statements are free
from 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.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and compliance and
the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on
compliance. This report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not
suitable for any other purpose.

KPM CPAs, PC
Springfield, Missouri
June 23, 2017

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