Question about 2009 CAFR for the Washington State Government: Why the huge discrepancies?
- ---------- Forwarded message ----------From: Paul Andrew Mitchell <supremelawfirm@...>
Date: Mon, Oct 25, 2010 at 10:14 AM
Subject: Question about 2009 CAFR for the Washington State Government: Why the huge discrepancies?
Cc: WalterBurien@..., GRKlatt@..., webmaster@...
Greetings Office of Financial Management:
My office legally represents the United States ex rel. before the U.S. Bankruptcy Court
for the Eastern District of Washington.
In your Comprehensive Annual Financial Report ("CAFR") ending June 30, 2009,
kindly confirm that these summary statistics are correct:
Total Assets: $538,173,000
Total Liabilities: $ 73,720,000
Total Net Assets: $464,453,000
We read these numbers to say that the Washington State Government
enjoyed a positive balance of $464 Million for the Fiscal Year ending
June 30, 2009.
Are we reading these numbers correctly?
Also, we do not find your CAFR ending June 30, 2010.
Can you please point us to that document too?
The main reason why we are asking the above questions is
the verifiable claims made by Lt. Col. Gerald R. Klatt, USAF (retired) here:
"Washington has at least $20.28 Billion in surpluses
of the taxpayers money it is not using." [emphasis added]
More specifically, Mr. Klatt claims that the following items are NOT shown
in any of the CAFR surplus(es):
The following items are not included in the amount of surplus shown:
-Buildings, roads, bridges, land (not for sale), and equipment.
-Deferred compensation plans for employees. These are plans in which the employee contributes to his/her retirement over and above the normal employee retirement contribution.
-Any fund that is 100% supported by donations, bequests, gifts, endowments, etc. These are not taxpayers money.
-For Colleges and Universities. All endowment and similar-type funds should not be included as surpluses. Sometimes these funds are combined with other college/university funds. We are interested in surpluses, so in these cases the total amount should not be included.
-Funds in which the revenues/contributions are 100% held for other individuals, organizations or another government.
-Funds that are required by law in which a bank, financial institution, insurance companies, etc. are required to deposit with the government a certain amount for insurance against the entity going bankrupt. These are not taxpayers' money.
-Retirement/Pension Funds - only included are 1/2 of the actuarially determined excesses, the taxpayers portion. The other 1/2 is the government employees portion.
If Mr. Klatt is correct, then why are you not including any of these items
in your Comprehensive Annual Financial Reports; and, moreover
what is the true "surplus", please?
Thank you very much.
Cc: Walter Burien, the late Gerald R. Klatt
Bcc: SupremeLaw Discussion List and Message Archive
/s/ Paul Andrew Mitchell, B.A., M.S.
Private Attorney General, 18 U.S.C. 1964
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