CAFR - sdcera

F I N A N C I A L / M A N A G E M E N T ’ S D I S C U S S I O N A N D A N A L Y S I S
Both statements are in compliance with Government Accounting Standards Board (GASB)
Statements Nos. 25, 28, 34, 37, 38, 40, and 43. These pronouncements require certain disclosures
and also require state and local governments to report using the full accrual method of
accounting. SDCERA complies with all requirements of these pronouncements, as applicable.
The Notes to the Basic Financial Statements are an integral part of the basic financial statements.
They provide important background and detailed information that are essential to a full understanding
of the data provided in the financial statements.
The Required Supplementary Information contains information and supporting schedules pertaining
to SDCERA’s actuarial methods and assumptions including data on the funded status of the plan.
Supporting schedules are administrative expenses (presenting the overall cost of administering
the fund) and investment expenses (costs associated with investing the assets of the fund).
FINANCIAL ANALYSIS
Tables 1-4 summarize and compare SDCERA’s financial results for the current and prior fiscal years.
TABLE 1: NET ASSETS
FOR THE FISCAL YEAR ENDED JUNE 30, 2007 AND 2006
(DOLLARS IN THOUSANDS)
Increase/ Percentage
06/30/2007 06/30/2006 (Decrease) Change
Cash $ 271,309 160,962 110,347 68.6%
Receivables 242,828 97,911 144,917 148.0%
Investments 8,438,428 7,280,912 1,157,516 15.9%
Securities Lending Collateral 889,363 603,019 286,344 47.5%
Property, Plant & Equipment 3,528 2,837 691 24.4%
Total Assets 9,845,456 8,145,641 1,699,815 20.9%
Liabilities to Brokers for Securities Lending 889,363 603,019 286,344 47.5%
Securities Purchased 497,907 196,737 301,170 153.1%
Other 13,681 14,937 (1,256) (8.4%)
Total Liabilities 1,400,951 814,693 586,258 72.0%
Net Assets Held in Trust for Pension Benefits $ 8,444,505 7,330,948 1,113,557 15.2%
TABLE 2: NET ASSETS
FOR THE FISCAL YEAR ENDED JUNE 30, 2006 AND 2005
(DOLLARS IN THOUSANDS)
Increase/ Percentage
06/30/2006 06/30/2005 (Decrease) Change
Cash $ 160,962 175,753 (14,791) (8.4%)
Receivables 97,911 79,393 18,518 23.3%
Investments 7,280,912 6,328,736 952,176 15.0%
Securities Lending Collateral 603,019 503,190 99,829 19.8%
Property, Plant & Equipment 2,837 2,894 (57) (2.0%)
Total Assets 8,145,641 7,089,966 1,055,675 14.9%
Liabilities to Brokers for Securities Lending 603,019 503,190 99,829 19.8%
Securities Purchased 196,737 212,335 (15,598) (7.3%)
Other 14,937 15,968 (1,031) (6.5%)
Total Liabilities 814,693 731,493 83,200 11.4%
Net Assets Held in Trust for Pension Benefits $ 7,330,948 6,358,473 972,475 15.3%
16 COMPREHENSIVE ANNUAL FINANCIAL REPORT 2007