December 20, 2002
To the Honorable, the Legislature:
We have completed a financial audit of the State of Wisconsin Unemployment Reserve Fund for the years ended June 30, 2002 and 2001. We performed the audit at the request of the Department of Workforce Development and to meet our audit responsibilities under s.
13.94, Wis. Stats.
Our audit report contains our unqualified opinion on the financial statements and related notes. During fiscal year 2001-02, unemployment benefit payments exceeded employer contributions and other operating revenues, resulting in an operating loss of $392 million. This loss was partially offset by a one-time distribution from the federal government of $166 million in previously paid federal unemployment taxes. These funds, which may be used to pay certain unemployment benefits as well as administrative costs of the unemployment insurance program and employment services offices, currently remain in the Unemployment Reserve Fund.
Accompanying the financial statements is the Schedule of Cash Balance Related to Taxable Employers. As shown in the schedule, the cash balance declined $236 million from $1.71 billion as of June 30, 2001, to $1.47 billion as of June 30, 2002. This cash balance, which includes the $166 million distribution from the federal government, is used to determine the tax rate schedule that applies to taxable employers. Section
108.18(3m), Wis. Stats., currently allows the lowest tax rate to be applied when the cash balance as of June 30 is at least $1.2 billion. Because the June 30, 2002, cash balance is in excess of $1.2 billion, the lowest tax rate schedule will continue to be applied for taxable employers during calendar year 2003.
The Unemployment Reserve Fund implemented new financial reporting requirements of Governmental Accounting Standards Board Statement Number 34. As a result, included in this report on pages 5-8 are Management's Discussion and Analysis, which were prepared by the management of the Unemployment Reserve Fund and provide its analysis of the financial statements.
We appreciate the courtesy and cooperation extended to us by Department of Workforce Development staff during the audit.
Respectfully submitted,
Janice Mueller
State Auditor
__________________
State of Wisconsin
Legislative Audit Bureau
Madison
December 20, 2002
To the Honorable, the Legislature:
We have completed a financial audit of the State of Wisconsin Educational Communications Board Radio Network to meet our audit requirements under s.
13.94, Wis. Stats., and as requested by the Educational Communications Board to fulfill the audit requirements of the Corporation for Public Broadcasting. The Corporation requires audited financial statements of public broadcasting entities to determine future funding levels.
The Educational Communications Board, which is an agency of the State of Wisconsin, operates a radio network of 12 FM stations and 1 AM station, as well as a television network of 5 stations. The radio network received $7.6 million in support and revenue during fiscal year 2001-02, including state support, member contributions, funding from the Corporation for Public Broadcasting, and various other grants.
Our audit report contains the financial statements and related notes for the period July 1, 2001 through June 30, 2002. We were able to issue an unqualified independent auditor's report on these statements. A new financial reporting model was implemented for fiscal year 2001-02 that changed the presentation of the financial statements. An important feature of the new model is Management's Discussion and Analysis, which is prepared by management of the Educational Communications Board and provides an overview of the financial statements and an analysis of financial results.
We appreciate the courtesy and cooperation extended to us by Educational Communications Board staff during the audit.
Respectfully submitted,
Janice Mueller
State Auditor
__________________
State of Wisconsin
Legislative Audit Bureau
Madison
December 20, 2002
To the Honorable, the Legislature:
A949
We have completed a financial audit of the State of Wisconsin Educational Communications Board Television Network to meet our audit requirements under s.
13.94, Wis. Stats., and as requested by the Educational Communications Board to fulfill the audit requirements of the Corporation for Public Broadcasting. The Corporation requires audited financial statements of public broadcasting entities to determine future funding levels.
The Educational Communications Board, which is an agency of the State of Wisconsin, operates a television network of 5 stations, as well as a radio network of 12 FM stations and 1 AM station. The television network received $10.9 million in support and revenue during fiscal year 2001-02, including state support, member contributions, funding from the Corporation for Public Broadcasting, and various other grants.
Our audit report contains the financial statements and related notes for the period July 1, 2001 through June 30, 2002. We were able to issue an unqualified independent auditor's report on these statements. A new financial reporting model was implemented for fiscal year 2001-02 that changed the presentation of the financial statements. An important feature of the new model is Management's Discussion and Analysis, which is prepared by management of the Educational Communications Board and provides an overview of the financial statements and an analysis of financial results.
We appreciate the courtesy and cooperation extended to us by Educational Communications Board staff during the audit.
Respectfully submitted,
Janice Mueller
State Auditor
__________________
State of Wisconsin
Investment Board
Madison
December 23, 2002
To the Honorable, the Legislature:
Annually under s.
25.17 (14g), Stats., the Investment Board submits a report to the Legislature on investment goals and long-term strategies. As we have done the past three years, I am writing to advise you that we submit the report in February. Although this will be after the December 31 due date, it will enable us to provide a more complete and informative report to you.
The Board of Trustees will consider recommendations on investment strategies and asset allocations made by staff and outside experts at their January meeting. We believe it is helpful to reflect the outcome of those discussions in our report to you. In addition, we plan to include in the report the effect that the severe market downturns have had on the trust funds and steps we have taken to operate in these volatile markets.
The report we submit in February will also include the performance assessment required under s.
25.17 (14m). As in past years, we plan to combine the two reports to make it easier to understand the relationship between our strategies and our investment results.
Please feel free to contact me if you have any questions or concerns.
Sincerely,
Patricia Lipton
Executive Director
