CLOVIS UNIFIED SCHOOL DISTRICT

ANNUAL FINANCIAL REPORT

JUNE 30,2016

CLOVIS UNIFIED SCHOOL DISTRICT

TABLE OF CONTENTS JUNE 30, 2016

FINANCIAL SECTION
Independent Auditor's Report	2 Management's Discussion and Analysis	5 Basic Financial Statements
Government-Wide Financial Statements
Statement of Net Position                                                                                                                      15 Statement of Activities                                                                                                                           16
Fund Financial Statements
Governmental Funds - Balance Sheet	17 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position	18 Governmental Funds - Statement of Revenues, Expenditures, and Changes in
Fund Balances	20 Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and
Changes in Fund Balances to the Statement of Activities                                                                    21 Proprietary Funds - Statement of Net Position                                                                                      23 Proprietary Funds - Statement of Revenues, Expenses, and Changes in Fund Net Position                 24 Proprietary Funds - Statement of Cash Flows                                                                                       25 Fiduciary Funds - Statement of Net Position                                                                                         26 Notes to Financial Statements                                                                                                                     27

REQUIRED SUPPLEMENTARY INFORMATION
General Fund - Budgetary Comparison Schedule	79 Schedule of Other Postemployment Benefits (OPEB) Funding Progress	80 Schedule of the District's Proportionate Share of the Net Pension Liability	81 Schedule of District Contributions	82 Note to Required Supplementary Information	83

SUPPLEMENTARY INFORMATION
Schedule of Expenditures of Federal Awards	85 Local Education Agency Organization Structure	87 Schedule of Average Daily Attendance	88 Schedule of Instructional Time	90 Reconciliation of Annual Financial and Budget Report With Audited Financial Statements	91 Schedule of Financial Trends and Analysis	92 Schedule of Charter Schools	93 Combining Statements - Non-Major Governmental Funds
Combining Balance Sheet                                                                                                                         94 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances                                96
Combining Statements - Agency Funds
Combining Balance Sheet	98 Combining Statement of Assets and Liabilities - Student Body Funds	99 Combining Statement of Changes in Assets and Liabilities for
High School and Intermediate School Student Body Funds	100 Combining Statement of Changes in Assets and Liabilities - Student Body Funds
High Schools	101 Combining Statement of Changes in Assets and Liabilities - Student Body Funds
Intermediate Schools	105 Combining Statement of Changes in Assets and Liabilities - Student Body Funds
Elementary Schools                                                                                                                               107 Note to Supplementary Information                                                                                                              108

CLOVIS UNIFIED SCHOOL DISTRICT

TABLE OF CONTENTS JUNE 30, 2016

INDEPENDENT AUDITOR'S REPORTS
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	111 Report on Compliance for Each Major Program and Report on Internal Control Over
Compliance Required by the Uniform Guidance                                                                                         113 Report on State Compliance                                                                                                                          115

SCHEDULE OF FINDINGS AND QUESTIONED COSTS
Summary of Auditor's Results	119 Financial Statement Findings	120 Federal Awards Findings and Questioned Costs	121 State Awards Findings and Questioned Costs	122 Summary Schedule of Prior Audit Findings	123

FINANCIAL SECTION

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Vavrinek, Trine, Day & Co., LLP	VALUE THE DIFFERENCE Certified Public Accountants

INDEPENDENT AUDITOR'S REPORT

Governing Board
Clovis Unified School District Clovis, California

Report on the Financial Statements

We have audited the accompanying financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the Clovis Unified School District (the District) as of and for the year ended June 30, 2016, and the related notes to the financial statements, which collectively comprise the District'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 accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor's 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 Government Auditing Standards issued by the Comptroller General of the United States; and the 2015-2016 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting, issued by the California Education Audit Appeals Panel as regulations. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from 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 auditor's 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 District'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 on the effectiveness of the District's internal control. 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.

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6051 N. Fresno Street, Suite 101 Fresno, CA 93710 Tel: 559.248.0871 www.vtdcpa.com Fax: 559.248.0875

Opinions

In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and the aggregate remaining fund information of the Clovis Unified School District, as of June 30, 2016, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Other Matters

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the management's discussion and analysis on pages 5 through 14, budgetary comparison schedule on page 79, schedule of other postemployment benefits funding progress on page 80, schedule of the district's proportionate share of net pension liability on page 81, and the schedule of district contributions on page 82, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Other Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Clovis Unified School District's basic financial statements. The accompanying supplementary information such as the combining and individual non-major fund financial statements and Schedule of Expenditures of Federal Awards, as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the other supplementary information as listed on the table of contents are presented for purposes of additional analysis and are not a required part of the basic financial statements.

The accompanying supplementary information is the responsibility of management and was derived from and relates 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 accompanying supplementary information is fairly stated, in all material respects, in relation to the basic financial statements as a whole.

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Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards, we have also issued our report dated November 17, 2016, on our consideration of the Clovis Unified School District'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 Clovis Unified School District's internal control over financial reporting and compliance.

Fresno, California November 17, 2016

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CLOVIS UNIFIED SCHOOL DISTRICT Management's Discussion and Analysis June 30, 2016

This section of Clovis Unified School District's (the District) annual financial report presents the management's discussion and analysis of the District's financial performance during the fiscal year that ended on June 30, 2016.

FINANCIAL HIGHLIGHTS

The District continued its long history of implementing conservative budgets and proactively addressing the State of California's fiscal crisis resulting in the District maintaining reserve levels well above the State's minimum amount of two percent.

OVERVIEW OF THE FINANCIAL STATEMENTS

This annual report consists of three parts; management's discussion and analysis (this section), the basic financial statements and required supplementary information. The basic financial statements include two kinds of statements that present different views of the District:

	The first two statements are government-wide financial statements that provide both short-term and long-term information about the District's overall financial status.
	The remaining statements are fund financial statements that focus on individual parts of the District, reporting the District's operations in more detail than the government-wide statements.
	The governmental funds statements tell how basic services like regular and special education were financed in the short term as well as what remains for future spending.
	Fiduciary funds statements provide information about the financial relationships in which the District acts solely as a trustee or agent for the benefit of others to whom the resources belong.

The financial statements also include notes that explain some of the information in the statements and provide more detailed data. The statements are followed by a section of required supplementary information that further explains and supports the financial statements with a comparison of the District's budget for the year. Figure A-1 shows how the various parts of this annual report are arranged and related to one another.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

Figure A-1. Organization of Clovis Unified's Annual Financial Report

Figure A-2 summarizes the major features of the District's financial statements, including the portion of the District's activities they cover and the types of information they contain. The remainder of this overview section of management's discussion and analysis highlights the structure and contents of each of the statements.

Figure A-2. Major Features of the Government-wide and Fund Financial Statements

Type of Statements

Scope

Fund Statements Government-wide

Entire District, except fiduciary activities

Required financial statements	•Statement of net position

•Statement of activities

•Balance sheet

•Statement of revenues, expenditures & changes in fund balances

•Reconciliation to government-wide financial statements

•Statement of fiduciary net position

•Statement of changes in fiduciary net position

Governmental Funds	Fiduciary Funds

The activities of the District that are not proprietary or fiduciary, such as special education and building maintenance
	
Instances in which the District administers resources on behalf of someone else, such as student body activities.

Accrual accounting and economic resources	Modified accrual accounting and current focus	financial resources focus

Accounting basis and measurement focus	Accrual accounting and economic resources focus

Type of asset/liability information

Type of inflow/outflow information

All assets and liabilities both financial and capital, short-term and long-term

All revenues and expenses during year, regardless of when cash is received or paid

Only assets expected to be used up and liabilities that come due during the year or soon thereafter; no capital assets included

Revenues for which cash is received during or soon after the end of the year; expenditures when goods or services have been received and payment is due during the year or soon thereafter

All assets and liabilities, both short-term and long-term; standard funds do not currently contain nonfinancial assets, though they can

All revenues and expenses during year, regardless of when cash is received or paid

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

GOVERNMENT-WIDE STATEMENTS

The government-wide statements report information about the District as a whole using accounting methods similar to those used by private-sector companies. The statement of net position includes all of the District's assets and liabilities. All of the current year's revenues and expenses are accounted for in the statement of activities regardless of when cash is received or paid.

These two government-wide statements report the District's net position and how it has changed. Net position (the difference between assets and liabilities) is one way to measure the District's financial health or financial position.

	Over time, increases or decreases in the District's net position are an indicator of whether its financial position is improving or deteriorating, respectively.

     To assess the overall health of the District, you need to consider additional nonfinancial factors such as changes in the District's property tax base and the condition of school buildings and other facilities.

	In the government-wide financial statements, the District's activities are combined into one category.

	Governmental activities - The District's basic services are included here, such as regular and special education, transportation, food services, adult education and administration. Property taxes, state formula aid, categorical funding and fees charged, finance most of these activities.

FUND FINANCIAL STATEMENTS

The fund financial statements provide more detailed information about the District's most significant funds, not the District as a whole. Funds are accounting devices the District uses to keep track of specific sources of funding and spending on particular programs. The District has three kinds of funds:

	Governmental funds - Most of the District's basic services are included in governmental funds, which generally focus on (1) how cash and other financial assets, that can readily be converted to cash, flow in and out and (2) the balances left at year-end that are available for spending. Consequently, the governmental funds statements provide a detailed short-term view that helps you determine whether there are more or fewer financial resources that can be spent in the near future to finance the District's programs. Because this information does not encompass the additional long-term focus of the government-wide statements, we provide additional information at the bottom of the governmental funds statements that explain the relationship (or differences) between them.

 Proprietary funds - When the District charges users for the services it provides, whether to outside customers or to other departments within the District, these services are generally reported in proprietary funds. Proprietary funds are reported in the same way that all activities are reported in the Statement of Net Position and the Statement of Revenues, Expenses, and Changes in Fund Net Position. We use internal service funds to report activities that provide supplies and services for the District's other programs and activities, such as the District's Self-Insurance Fund. The internal service funds are reported with governmental activities in the government-wide financial statements.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

	Fiduciary funds - The District is the trustee, or fiduciary, for assets that belong to others, such as the student activities funds. The District is responsible for ensuring that the assets reported in these funds are used only for their intended purposes and by those to whom the assets belong. All of the District's fiduciary activities are reported in a separate statement of fiduciary net position and a statement of changes in fiduciary net position. We exclude these activities from the government-wide financial statements because the District cannot use these assets to finance its operations.

FINANCIAL ANALYSIS OF THE DISTRICT AS A WHOLE

Net Position: The District's combined net position was 51.2 million on June 30, 2016, increasing by $5.4 million (11.79 percent). (See Table A-1.)

Table A-1

(Amounts in millions)	Governmental Activities	Percentage

Assets

Current and Other Assets Capital Assets
Total Assets

Deferred Outflows of Resources Liabilities
Current Liabilities Long-Term Obligations Net Pension Liability
Total Liabilities Deferred Inflows of Resources Net Position
Net investment in capital assets Restricted
Unrestricted

Total Net Position

2016

$	287.9	$ 900.9
1,188.8 83.4

60.2 781.5 316.6 1,158.3 62.7

436.7 57.2
(442.7)

$	51.2	$

2015

230.8 825.7 1,056.5 26.7

66.9 652.6 250.4 969.9 67.5

410.2 60.3
(424.7)

45.8

Change

24.74% 9.11% 12.52%
2.1

-10.01% 19.75% 26.44% 19.42% -7.11%

6.46% -5.14% 4.24%
11.79%

Changes in Net Position: The District's total governmental revenues were $508.7 million (see Table A-2). Property taxes and state aid formula accounted for most of the District's revenue, with state aid contributing about 56¢ of every dollar raised and property taxes contributing about 20¢ of every dollar raised. Another 15¢ came from categorical programs, and the remainder came from fees charged for services of 1¢ and miscellaneous sources of 7¢.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

The total cost of all governmental programs and services was $503.3 million (see Table A-2). The District's expenses are predominantly related to educating and caring for students (79.0 percent). The purely administrative activities of the District accounted for just 4.0 percent of total costs. Plant services was $48.6 million, accounting for 10.0 percent of the District's expenses. Revenues surpassed expenses, increasing net position by $5.4 million over last year.

Table A-2

(Amounts in millions)	Governmental Activities	Percentage

Revenues

General revenues:

Federal and state aid not restricted Property taxes
Other

Program Revenues: Charges for services
Operating grants and contributions Capital grants and contributions
Total Revenues Expenses
Instruction related Pupil services
General administration Plant services
Other

Total Expenses

Change in Net Position

2016	2015

$             282.6        $             244.2 100.3                         87.4
37.1	37.9

6.2                           8.6 78.8                         56.3
3.7	-508.7                      434.4

340.4	283.1 57.1                         47.8 21.0                         19.2 48.6                         43.1 36.2                         22.6
$	503.3	$	415.8

$	5.4	$	18.6

Change

15.72% 14.76% -2.11%

-27.91% 39.96% 100.00% 17.10%

20.24% 19.46% 9.38% 12.76% 60.18% 21.04%

70.97%

GOVERNMENTAL ACTIVITIES

Revenues for the District's governmental activities were $508.7 million, while total expenses were $503.3 million. The increase in net position for governmental activities was $5.4 million in 2016.

The continued good health of the District's finances can be credited to:

	Staffing formulas that maintain equality

	Maintaining an awareness of the changing fiscal issues and active participation from the Employee Compensation Committee and Employee Benefit Committee

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

Table A-3 presents the cost of six major District activities: instruction, student transportation services, all other pupil services, food services, general administration, and plant services. The table also shows each activity's net cost (total cost less fees generated by the activities and intergovernmental aid provided for specific programs). The net cost shows the financial burden that was placed on the District's taxpayers by each of these functions.

Table A-3

Total Cost of Services	Net Cost of Services

Instruction related Student transportation All other pupil services Food services
General administration Plant services
Other

Total

2016	2015	2016	2015

$         340.4        $         283.1        $         279.4        $         242.8 9.4                      7.8                      9.4                      7.8
34.6	27.9	28.1	22.7 13.1	12.1                      0.5                     (0.1) 21.0	19.2	19.3	17.8 48.6	43.1	47.9	42.7 36.2	22.6	30.1	17.2
$	503.3	$	415.8	$	414.7	$	350.9

	The cost of governmental activities this year was $503.3 million.

	Some of the costs were paid by the users of the District's programs ($6.2 million).

	The federal and state governments subsidized certain programs with operating grants and contributions ($78.8 million).

	Most of the District's costs, $382.9 million, however, were paid for by District taxpayers and the taxpayers of California, in general.

	Governmental activities were paid for with $100.3 million in property taxes, $282.6 million of unrestricted state aid based on the statewide education aid formula, and with investment earnings.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

THE DISTRICT'S FUNDS

As the District completed this year, our governmental funds reported a combined fund balance of $203.8 million which is an increase of $66.2 million from last year (Table A-4).

Table A-4

(Amounts in millions)

June 30, 2016

Balance

June 30, 2015	Variance

General	$ Charter School
Adult Education Child Development Cafeteria
Deferred Maintenance Building
Capital Facilities County School Facilities
Special Reserve Capital Outlay Bond Interest and Redemption
Central Valley School Districts Financing Corporation

Total	$

81.6        $             52.3        $            29.3 1.8                        1.0                        0.8 3.1                        1.7                        1.4 2.6                        2.2                        0.4 8.7                        8.4                        0.3 1.9                        0.3                        1.6 56.2                      14.6                      41.6
3.8	12.2	(8.4) 1.5                        1.2                        0.3 7.3                        9.0	(1.7)
34.3                      33.7                        0.6 1.0                        1.0                         -
203.8	$	137.6	$	66.2

The primary reasons for the changes are:
a. The fund balance in the General Fund increased $29.3 million to $81.6 million. The net increase is due to an overall increase in revenues; one-time and ongoing.
b. The special revenue funds reported a net increase of $4.5 million.
c. The capital projects funds showed an increase of $31.8 million. This overall increase is primarily from general obligation bond proceeds receive from bonds issued during the year.
d. The Bond Interest and Redemption Fund reported an increase of $0.6 million due to increased local revenues collected to pay required bond debt payments.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

GENERAL FUND BUDGETARY HIGHLIGHTS

Over the course of the year the District revised the annual operating budget several times due to updated projections and actual costs. Following are highlights of the largest changes:

	Net increases in both revenue and expense for federal, state and local grant awards. 	Posting of deferred categorical revenue.
	One-time funds to pay down the mandate claim reimbursements owed to the District.
	Savings were realized and rebates received for the solar panels installed throughout the district. This project was funded with bond funds.
	GASB 68 requires the District to recognize the State’s share of the District’s unfunded CalSTRS liability. This resulted in a revenue and expenditure adjustment of $10.4 million.
	The Board approved a two percent salary increase for all District employees.
	The Adopted Budget's revenues over expenditures resulted in the District anticipating a surplus of $128,979. The Adopted Budget was structured in such a way that the District could manage any changes from the State. The LCFF gap closure percentage decreased from 53.08 percent at Adopted and ended the year with an actual gap closure of 52.56 percent. The decrease in the gap closure percentage was offset by an increase in the ADA. The LCFF Entitlement ended with an increase of $1.5 million over the anticipated increase at Adopted. Actual revenues to expenditures resulted in a surplus of $29.4 million, however $2 million of the fund balance is non-spendable, $2.7 million is restricted for restricted programs and $16.5 million is assigned for local carryover, student computer refresh, bus replacements, textbooks, and LCAP Supplemental programs.

CAPITAL ASSET AND DEBT ADMINISTRATION

Capital Assets

By June 30, 2016, the District had invested $900.9 million in a broad range of capital assets, including school buildings, athletic facilities, computer and audio visual equipment, and administrative offices. (See Table A-5.) This amount represents a net increase of $75.2 million or 9.11 percent over last year. Total depreciation expense for the year was $25.4 million.

Table A-5

Governmental Activities	Percentage

Land

Land improvements Buildings and improvements Equipment
Construction in progress

Total

2016	2015	Change

$                77.5        $                77.5                        0.00% 48.8                          49.5                      -1.41%
615.2                        554.1                      11.03% 36.6                          38.5                      -4.94% 122.8                        106.1                      15.74%
$	900.9	$	825.7	9.11%

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

The District has work in progress related to modernization projects at thirteen district sites. In addition to the modernizations, the District is in the final stages of the construction of a new Technology Service Center, a new Elementary School, and a new Career Technical Education building. The District is currently in the design phase for an additional eleven modernizations of various school sites as well as the district office campus. Additionally, the district will begin construction of handrail modernization projects at Veterans Memorial Stadium and Lamonica Stadium. The projects will primarily be funded with revenue from Measure A and augmented with Developer Fees, and interest on investments. The stadium projects will be funded with one-time General Fund revenue sources.

In 2016-2017, the District projects spending another $42.7 million on above mentioned work in progress projects. The projects scheduled to commence in 2016-2017 are projected to cost $33.7 million in their entirety.

Long-Term Obligations

At year-end the District had $781.5 million in long-term obligations outstanding discussed below. This is an increase of 19.75 percent from last year, as shown in Table A-6.

Table A-6

Governmental Activities	Percentage

General obligation bonds Certificates of participation Child development portables Compensated absences Capital leases
Other postemployment benefits

Total

2016	2015

$	509.9	$	417.8 7.7                             9.4 0.3                             0.3 1.6                             1.5 2.5                             2.6
259.5	221.0

$	781.5	$	652.6

Change 22.04%
-18.09% 0.00% 6.67%
-3.85% 17.42%
19.75%

The District's S&P bond rating as of the most recent bond issuance was "AA". In addition, the District's certificates of participation S&P rating at the time of their last issuance was "AA".

Net Pension Liability

The District implemented GASB Statement No. 68, Accounting and Financial Reporting for Pensions – and amendment of GASB Statement No. 27 as of June 30, 2015, which required the District to recognize its proportionate share of the unfunded pension obligation for CalSTRS and CalPERS. As of June 30, 2016, the District reported Deferred Outflows from pension activities $83.4 million, Deferred Inflows from pension activities of $62.7 million, and a Net Pension Liability of $316.6 million.

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CLOVIS UNIFIED SCHOOL DISTRICT

MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2016

FACTORS BEARING ON THE DISTRICT'S FUTURE

At the time these financial statements were prepared and audited, the District was aware of the following circumstances that could significantly affect its financial health in the future:

	The 2013-2014 fiscal year was the first year of the Local Control Funding Formula (LCFF). The LCFF attempts to fund students based on their needs related to household income, second language learner, or foster youth. The LCFF will provide additional funding for Clovis Unified School District over the eight year implementation; however, Clovis Unified School District will not receive as much additional funding as the vast majority of its neighboring districts due to its lower percentage of unduplicated pupil percentage eligible for free-reduced meals, English language learners, and foster youth. If a District has 55 percent or more unduplicated count, they become eligible for the concentration grants. Clovis Unified's unduplicated count averages a 42-45 percent of the total student population and thus is not eligible for this grant.
	Enrollment growth and student attendance is key to the District's financial projections. The District has consistently seen growth over the years and anticipates this trend to continue.
	The continued improvement of the economy within the State of California.
	One-time discretionary funds allocated to the District for the 2016-17 fiscal year.

CONTACTING THE DISTRICT'S FINANCIAL MANAGEMENT

This financial report is designed to provide our citizens, taxpayers, customers, and investors and creditors with a general overview of the District's finances and to demonstrate the District's accountability for the money it receives. If you have questions about this report or need additional financial information, contact the Business Office, Clovis Unified School District, 1450 Herndon Avenue, Clovis, California 93611.

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CLOVIS UNIFIED SCHOOL DISTRICT

STATEMENT OF NET POSITION JUNE 30, 2016

Governmental

ASSETS

Deposits and investments Receivables
Prepaid expenses Stores inventories
Nondepreciable capital assets

Activities

$      264,429,733 21,392,866 222,288 1,896,410
200,349,068

Capital assets being depreciated Accumulated depreciation
Total Assets

DEFERRED OUTFLOWS OF RESOURCES Deferred outflows of resources related to pensions
Total Deferred Outflows of Resources

LIABILITIES Accounts payable Unearned revenue Claims liability
Long-term obligations:

Current portion of long-term obligations Noncurrent portion of long-term obligations
Total Long-Term Obligations Aggregate net pension liability
Total Liabilities

DEFERRED INFLOWS OF RESOURCES Deferred inflows of resources related to pensions
Total Deferred Inflows of Resources

1,013,524,451 (312,947,568)
1,188,867,248

83,383,398 83,383,398

49,407,082 1,759,425 8,986,276

29,621,193 751,921,422 781,542,615 316,650,145 1,158,345,543

62,731,527

62,731,527

NET POSITION

Net investment in capital assets Restricted for:
Debt service Capital projects
Educational programs Other activities
Unrestricted

Total Net Position

436,688,743

35,368,425 5,201,863 7,966,295 8,682,453
(442,734,203)

$	51,173,576

The accompanying notes are an integral part of these financial statements.

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CLOVIS UNIFIED SCHOOL DISTRICT

STATEMENT OF ACTIVITIES

FOR THE YEAR ENDED JUNE 30, 2016

Program Revenues

Functions/Programs

Governmental Activities:

Charges for Services and
Expenses	Sales

Operating Grants and
Contributions

Capital Grants and
Contributions

Instruction

Instruction-related activities: Supervision of instruction Instructional library, media, and
technology

School site administration Pupil services:
Home-to-school transportation Food services
All other pupil services Administration:
Data processing

All other administration Plant services
Ancillary services Community services
Interest on long-term obligations Other outgo
Total Governmental Activities

$282,498,708

22,263,321

5,441,084 30,175,455

9,376,800 13,152,490 34,555,506

3,160,835 17,909,683 48,599,455 11,648,909 977,222 22,794,188 772,950
$503,326,606

$	66,590

3,129

--

-3,641,157 6,211

-190,032 320,817 -
--
1,922,770

$	6,150,706

$ 45,131,465

10,771,079

104,494 1,191,636

15 9,027,448 6,410,867

14,396 1,595,378 345,163 36,020
--
4,167,642

$ 78,795,603

$	3,722,624

-

--

---

-------
$	3,722,624

General revenues and subventions:

Property taxes, levied for general purposes Property taxes, levied for debt service Taxes levied for other specific purposes
Federal and State aid not restricted to specific purposes
Interest and investment earnings Interagency revenues
Special and extraordinary items Miscellaneous
Subtotal, General Revenues Change in Net Position
Net Position - Beginning Net Position - Ending

The accompanying notes are an integral part of these financial statements.

16

Net (Expenses) Revenues and Changes in Net Position Governmental Activities

$ (233,578,029)

(11,489,113)

(5,336,590) (28,983,819)

(9,376,785) (483,885) (28,138,428)

(3,146,439) (16,124,273) (47,933,475) (11,612,889) (977,222) (22,794,188)
5,317,462 (414,657,673)

66,089,314 34,225,367 9,112

282,647,151 2,203,111 1,106,138 3,372,866 30,403,775 420,056,834 5,399,161 45,774,415
$	51,173,576

16

CLOVIS UNIFIED SCHOOL DISTRICT

GOVERNMENTAL FUNDS BALANCE SHEET
JUNE 30, 2016

General Fund
ASSETS

Building

Fund

Bond Interest and Redemption
Fund

Deposits and investments Receivables
Due from other funds Prepaid expenditures Stores inventories
Total Assets

LIABILITIES AND FUND BALANCES Liabilities:
Accounts payable Due to other funds Unearned revenue
Total Liabilities Fund Balances:
Nonspendable Restricted Committed Assigned Unassigned
Total Fund Balances Total Liabilities and
Fund Balances

$      109,171,247 17,227,594 835,399
210,948 1,617,746
$	129,062,934

$        40,079,562 5,582,004 1,759,425 47,420,991

1,972,694 2,666,777 -16,589,335 60,413,137 81,641,943

$	129,062,934

$        61,143,049 143,987 1,140,080
2,000 -
$	62,429,116

$	6,249,269 --
6,249,269

2,000 56,177,847 -
--
56,179,847

$	62,429,116

$	34,332,930 ----
$	34,332,930

$	----

-34,332,930 -
--
34,332,930

$	34,332,930

The accompanying notes are an integral part of these financial statements.

17

Non-Major Governmental
Funds

Total Governmental
Funds

$	30,224,904 2,681,886 1,839,782
9,340 278,664
$	35,034,576

$          1,434,096 1,908,220
-

3,342,316

$      234,872,130 20,053,467 3,815,261 222,288 1,896,410
$	260,859,556

$	47,762,927 7,490,224 1,759,425
57,012,576

291,504 19,986,579 1,933,962 9,480,215 -
31,692,260

2,266,198 113,164,133 1,933,962 26,069,550 60,413,137
203,846,980

$	35,034,576	$	260,859,556

17

CLOVIS UNIFIED SCHOOL DISTRICT

RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET POSITION
JUNE 30, 2016

Total Fund Balance - Governmental Funds
Amounts Reported for Governmental Activities in the Statement of Net Position are Different Because:

Capital assets used in governmental activities are not financial resources and, therefore, are not reported as assets in governmental funds.
The cost of capital assets is Accumulated depreciation is
Net Capital Assets

Expenditures relating to issuance of debt of next fiscal year were recognized on the modified accrual basis, but are not recognized on the accrual basis.
Expenditures relating to contributions made to pension plans were recognized on the modified accrual basis, but are not recognized on the accrual basis.

The net change in proportionate share of net pension liability as of the measurement date is not recognized as an expenditure under the modified accrual basis, but is recognized on the accrual basis over the expected average remaining service life of members receiving pension benefits.

An internal service fund is used by the District's management to charge the costs of the health and welfare insurance programs to the individual funds. The assets and liabilities of the internal service fund are included with governmental activities.

The difference between projected and actual earnings on pension plan investments are not recognized on the modified accrual basis, but are recognized on the accrual basis as an adjustment to pension expense.

The differences between expected and actual experience in the measurement of the total pension liability are not recognized on the modified accrual basis, but are recognized on the accrual basis over the expected average remaining service life of members receiving pension benefits.

The changes of assumptions is not recognized as an expenditure under the modified accrual basis, but is recognized on the accrual basis over the expected average remaining service life of members receiving pension benefits.
Net pension liability is not due and payable in the current period,

and is not reported as a liability in the funds.

$ 1,213,873,519

(312,947,568)

$	203,846,980

900,925,951

26,048,710

20,897,518

3,669,353

(22,003,548)

659,122

(4,949,931)

(316,650,145)

The accompanying notes are an integral part of these financial statements.

18

CLOVIS UNIFIED SCHOOL DISTRICT

RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET POSITION, Continued
JUNE 30, 2016

Long-term obligations, including bonds payable, are not due and payable in the current period and, therefore, are not reported as liabilities in the funds.
General obligation bonds Child development portables Compensated absences Capital leases
Other postemployment benefits, excluding Self Insurance Fund portion
Certificates of participation

Total Long-Term Obligations

Total Net Position - Governmental Activities

$     509,956,483 252,000 1,597,669 2,480,567

239,255,710

7,728,005

$ (761,270,434)

$	51,173,576

The accompanying notes are an integral part of these financial statements.

19

CLOVIS UNIFIED SCHOOL DISTRICT

GOVERNMENTAL FUNDS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2016

REVENUES

Local Control Funding Formula Federal sources
Other State sources

General Fund

$       317,072,679 16,956,331
70,168,138

Building Fund

$                          --
-

Other local sources

Total Revenues EXPENDITURES
Current Instruction
Instruction-related activities: Supervision of instruction
Instructional library, media and technology School site administration
Pupil services:

Home-to-school transportation Food services
All other pupil services Administration:
Data processing

All other administration Plant services
Facility acquisition and construction Ancillary services
Other outgo Debt service
Principal

Interest and other

Total Expenditures

Excess (Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses)
Transfers in Other sources Transfers out
Net Other Financing Sources (Uses) NET CHANGE IN FUND BALANCES
Fund Balance - Beginning Fund Balance - Ending

16,832,759 421,029,907

227,244,669

18,158,342 4,866,573 23,754,523

9,542,013 -27,529,076

2,821,281 14,632,636 39,991,585 303,135 8,198,877 772,950

1,369,760 20,501 379,205,921 41,823,986

1,951,543 1,675,912
(16,068,448) (12,440,993) 29,382,993
52,258,950
$	81,641,943	$

1,368,849 1,368,849

-

---

---

--
470,080 78,919,525 -
-

1,795,229 417,339 81,602,173
(80,233,324)

20,649,864 103,007,034
(1,887,270) 121,769,628
41,536,304

14,643,543 56,179,847

The accompanying notes are an integral part of these financial statements.

20

Bond Interest and Redemption
Fund

Non-Major Governmental
Funds

Total Governmental
Funds

$	-	$ -
316,974 34,501,058 34,818,032

-

---

---

------

25,722,571 11,237,453 36,960,024
(2,141,992)

-3,120,866
(350,964) 2,769,902
627,910

33,705,020
$	34,332,930	$

2,642,792	$ 9,992,335
13,576,838 26,744,010 52,955,975

11,638,692

2,059,769 133,463 1,640,927

-12,431,629 451,898

-1,321,392 4,709,360
19,380,088 --

433,000 16,988 54,217,206
(1,261,231)

15,856,418 252,000
(20,151,143) (4,042,725) (5,303,956)
36,996,216 31,692,260	$

319,715,471 26,948,666 84,061,950 79,446,676 510,172,763

238,883,361

20,218,111 5,000,036 25,395,450

9,542,013 12,431,629 27,980,974

2,821,281 15,954,028 45,171,025 98,602,748 8,198,877 772,950

29,320,560 11,692,281 551,985,324
(41,812,561)

38,457,825 108,055,812
(38,457,825) 108,055,812
66,243,251

137,603,729 203,846,980

20

CLOVIS UNIFIED SCHOOL DISTRICT

RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED JUNE 30, 2016

Total Net Change in Fund Balances - Governmental Funds	$ 66,243,251 Amounts Reported for Governmental Activities in the Statement
of Activities are Different Because:

Capital outlays to purchase or build capital assets are reported in governmental funds as expenditures; however, for governmental activities, those costs are shown in the Statement of Net Position and allocated over their estimated useful lives as annual depreciation expenses in the Statement of Activities.
This is the amount by which capital outlays exceed depreciation in the period. Capital outlays
Depreciation expense

Net Expense Adjustment

Some of the capital assets acquired this year were financed with capital leases. The amount financed by the leases is reported in the governmental funds as a source of financing. On the other hand, the capital leases are not revenues in the Statement of Activities, but rather constitute long-term obligations in the Statement of Net Position.

In the Statement of Activities, certain operating expenses - compensated absences (vacations) are measured by the amounts earned during the year. In the governmental funds, however, expenditures for these items are measured by the amount of financial resources used (essentially, the amounts actually paid). Vacation earned was more than the amounts paid by $71,823.

In the governmental funds, pension costs are based on employer contributions made to pension plans during the year. However, in the Statement of Activities, pension expense is the net effect of all changes in the deferred outflows, deferred inflows and net pension liability during the year.

Postemployment benefits other than pensions (OPEB): In governmental funds, OPEB costs are recognized when employer contributions are made. In the Statement of Activities, OPEB costs are recognized on the accrual basis. This year, the difference between OPEB costs and actual employer contributions was:
Proceeds received from the sale of bonds is a revenue in the governmental funds, but it increases long-term obligations in the Statement of Net Position and does not affect the Statement of Activities.

$100,583,018 (25,393,874)

75,189,144

(1,675,000)

(71,823)

(4,776,164)

(38,572,736)

(107,841,956)

The accompanying notes are an integral part of these financial statements.

21

CLOVIS UNIFIED SCHOOL DISTRICT

RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
TO THE STATEMENT OF ACTIVITIES, Continued FOR THE YEAR ENDED JUNE 30, 2016

Payment of principal on long-term obligations is an expenditure in the governmental funds, but it reduces long-term obligations in the Statement of Net Position and does not affect the Statement of Activities:
General obligation bonds Certificates of participation Capital lease obligations Child development portables

Interest on long-term obligations in the Statement of Activities differs from the amount reported in the governmental funds because interest is recorded as an expenditure in the funds when it is due, and thus requires the use of current financial resources. In the Statement of Activities, however, interest expense is recognized as the interest accrues,
regardless of when it is due. The additional interest reported in the Statement of Activities includes additional accumulated interest that was accreted on the District's capital appreciation general obligation bonds.

An internal service fund is used by the District's management to charge the costs of the insurance programs (health and welfare) to the individual funds. The net revenue of the Internal Service Fund is reported with governmental activities.
Change in Net Position of Governmental Activities

$ 27,635,000 1,700,000 1,807,604 63,000

(11,952,870)

(2,348,289) $	5,399,161

The accompanying notes are an integral part of these financial statements.

22

CLOVIS UNIFIED SCHOOL DISTRICT

PROPRIETARY FUNDS STATEMENT OF NET POSITION JUNE 30, 2016

Internal Service
Self Insurance

ASSETS Current Assets
Deposits and investments Receivables
Due from other funds
Total Assets

Fund

$        29,557,603 1,164,160 3,707,149 34,428,912

LIABILITIES Current Liabilities
Accounts payable Claim liabilities
Other postemployment benefits obligation Total Current Liabilities

1,501,102 8,986,276 20,272,181 30,759,559

NET POSITION

Unrestricted
Total Net Position

3,669,353 $	3,669,353

The accompanying notes are an integral part of these financial statements.

23

CLOVIS UNIFIED SCHOOL DISTRICT

PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION
FOR THE YEAR ENDED JUNE 30, 2016

Internal Service
Self Insurance

OPERATING REVENUES Charges to other funds and
miscellaneous revenues

Total Operating Revenues

OPERATING EXPENSES Payroll costs
Professional and contract services Total Operating Expenses

Change in Net Position

Total Net Position - Beginning

Total Net Position - Ending

Fund

$        59,487,547 59,487,547

258,645 61,577,191 61,835,836

(2,348,289) 6,017,642
$	3,669,353

The accompanying notes are an integral part of these financial statements.

24

CLOVIS UNIFIED SCHOOL DISTRICT

PROPRIETARY FUNDS STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED JUNE 30, 2016

Internal Service
Self Insurance

CASH FLOWS FROM OPERATING ACTIVITIES Cash received from refunds
Cash paid for contracted services

Cash payments for other operating expenses Net Cash Provided by
Operating Activities

Cash and Cash Equivalents - Beginning Cash and Cash Equivalents - Ending
RECONCILIATION OF OPERATING LOSS TO

NET CASH PROVIDED BY OPERATING ACTIVITIES Operating loss
Changes in assets and liabilities: Receivables
Due from other funds

Accounts payable, claims liability, and other postemployment benefits obligation

NET CASH PROVIDED BY OPERATING ACTIVITIES

Fund

$	 66,341,885 (60,617,044)
(258,645)

5,466,196 24,091,407
$	29,557,603

$	(2,348,289)

(848,304) 7,702,642

960,147

$	5,466,196

The accompanying notes are an integral part of these financial statements.

25

CLOVIS UNIFIED SCHOOL DISTRICT

FIDUCIARY FUNDS STATEMENT OF NET POSITION JUNE 30, 2016

ASSETS

Deposits and investments Due from other funds
Total Assets

LIABILITIES

Due to student groups

Due to other agencies - Warrant/Pass-Through Fund Due to other funds
Total Liabilities

Agency Funds

$          5,756,481 143,053
$	5,899,534

$          2,076,193 3,648,102 175,239
$	5,899,534

The accompanying notes are an integral part of these financial statements.

26

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Financial Reporting Entity

The Clovis Unified School District (the District) was established in 1960 under the laws of the State of California. The District operates under a locally elected seven-member Board form of government and provides educational services to grades K - 12 as mandated by the State and/or Federal agencies. The District operates thirty-two elementary schools, five intermediate schools, five high schools, three alternative education schools, one adult school, the Clovis Online Charter School and the Center for Advanced Research and Technology as a joint high school with Fresno Unified School District.

A reporting entity is comprised of the primary government, component units, and other organizations that are included to ensure the financial statements are not misleading. The primary government of the District consists of all funds, departments, boards, and agencies that are not legally separate from the District. For Clovis Unified School District, this includes general operations, food service, and student related activities of the District.

Component Units

Component units are legally separate organizations for which the District is financially accountable. Component units may also include organizations that are fiscally dependent on the District, in that the District approves their budget, the issuance of their debt or the levying of their taxes. In addition, component units are other legally separate organizations for which the District is not financially accountable but the nature and significance of the organization's relationship with the District is such that exclusion would cause the District's financial statements to be misleading or incomplete. For financial reporting purposes, the component unit has a financial and operational relationship which meets the reporting entity definition criteria of the Governmental Accounting Standards Board (GASB) Statement No. 14, The Financial Reporting Entity, and thus is included in the financial statements of the District. The component unit, although a legally separate entity, is reported in the financial statements using the blended presentation method as if it were part of the District's operations because the governing board of the component unit is essentially the same as the governing board of the District and because its purpose is to finance the construction of facilities to be used for the direct benefit of the District.

The Central Valley School Districts Financing Corporation's financial activity is presented in the financial statements as the Central Valley School Districts Financing Fund. Certificates of participation issued by the Corporation are included as long-term liabilities in the government-wide financial statements.

Other Related Entities

Charter School The District has approved a charter for Clovis Online Charter School pursuant to Education Code Section 47605. The Clovis Online Charter School is operated by the District, and its financial activities are presented in the Charter School Fund.

27

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Basis of Presentation - Fund Accounting

The accounting system is organized and operated on a fund basis. A fund is defined as a fiscal and accounting entity with a self-balancing set of accounts, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. The District's funds are grouped into three broad fund categories: governmental, proprietary, and fiduciary.

Governmental Funds Governmental funds are those through which most governmental functions typically are financed. Governmental fund reporting focuses on the sources, uses, and balances of current financial resources. Expendable assets are assigned to the various governmental funds according to the purposes for which they may or must be used. Current liabilities are assigned to the fund from which they will be paid. The difference between governmental fund assets and liabilities is reported as fund balance. The following are the District's major and non-major governmental funds:

Major Governmental Funds

General Fund The General Fund is the chief operating fund for all districts. It is used to account for the ordinary operations of the District. All transactions except those accounted for in another fund are accounted for in this fund.

Building Fund The Building Fund exists primarily to account separately for proceeds from the sale of bonds (Education Code Section 15146) and may not be used for any purposes other than those for which the bonds were issued.

Bond Interest and Redemption Fund The Bond Interest and Redemption Fund is used for the repayment of bonds issued for a district (Education Code Sections 15125-15262).

Non-Major Governmental Funds

Special Revenue Funds The Special Revenue funds are used to account for the proceeds from specific revenue sources (other than trusts, major capital projects, or debt service) that are restricted or committed to expenditures for specified purposes and that compose a substantial portion of the inflows of the fund. Additional resources that are restricted, committed, or assigned to the purpose of the fund may also be reported in the fund.

Charter School Fund The Charter School Fund may be used by authorizing districts to account separately for the activities of district-operated charter schools that would otherwise be reported in the authorizing District's General Fund.

Adult Education Fund The Adult Education Fund is used to account separately for Federal, State, and local revenues for adult education programs and is to be expended for adult education purposes only.

Child Development Fund The Child Development Fund is used to account separately for Federal, State, and local revenues to operate child development programs and is to be used only for expenditures for the operation of child development programs.

28

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Cafeteria Fund The Cafeteria Fund is used to account separately for Federal, State, and local resources to operate the food service program (Education Code Sections 38090-38093) and is used only for those expenditures authorized by the governing board as necessary for the operation of the District's food service program (Education Code Sections 38091 and 38100).

Deferred Maintenance Fund The Deferred Maintenance Fund is used to account separately for revenues that are restricted or committed for deferred maintenance purposes (Education Code section 17582).

Capital Project Funds The Capital Project funds are used to account for financial resources that are restricted, committed, or assigned to the acquisition or construction of major capital facilities and other capital assets (other than those financed by proprietary funds and trust funds).

Capital Facilities Fund The Capital Facilities Fund is used primarily to account separately for monies received from fees levied on developers or other agencies as a condition of approving a development (Education Code Sections 17620-17626). Expenditures are restricted to the purposes specified in Government Code Sections 65970-65981 or to the items specified in agreements with the developer (Government Code Section 66006).

County School Facilities Fund The County School Facilities Fund is established pursuant to Education Code Section 17070.43 to receive apportionments from the 1998 State School Facilities Fund (Proposition lA), the 2002 State School Facilities Fund (Proposition 47), the 2004 State School Facilities Fund (Proposition 55), or the 2006 State Schools Facilities Fund (Proposition 1D) authorized by the State
Allocation Board for new school facility construction, modernization projects, and facility hardship grants, as provided in the Leroy F. Greene School Facilities Act of 1998 (Education Code Section 17070 et seq.).

Special Reserve Capital Outlay Fund The Special Reserve Capital Outlay Fund exists primarily to provide for the accumulation of General Fund monies for capital outlay purposes (Education Code Section 42840).

Debt Service Funds The Debt Service funds are used to account for the accumulation of restricted, committed, or assigned resources for and the payment of principal and interest on general long-term obligations.

Central Valley School Districts Financing Corporation Fund The Central Valley School Districts Financing Corporation Fund is used to account for the accumulation of resources for the payment of principal and interest on certificates of participation issued by the Central Valley School Districts Financing Corporation.

Proprietary Funds Proprietary funds are used to account for activities that are more business-like than government-like in nature. Business-type activities include those for which a fee is charged to external users or to other organizational units of the local education agency, normally on a full cost-recovery basis. Proprietary funds are generally intended to be self-supporting and are classified as enterprise or internal service. The District has the following proprietary fund:

29

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Internal Service Fund Internal Service funds may be used to account for goods or services provided to other funds of the District on a cost-reimbursement basis. The District operates a Self Insurance Fund that is accounted for in an internal service fund that accounts for the costs associated with retiree benefits.

Fiduciary Funds Fiduciary funds are used to account for assets held in trustee or agent capacity for others that cannot be used to support the District's own programs.

Agency funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of operations. Such funds have no equity accounts since all assets are due to individuals or entities at some future time. The District's agency fund accounts for student body activities (ASB) and the Warrant/Pass-Through Fund which is used to account for payroll transactions.

Basis of Accounting - Measurement Focus

Government-Wide Financial Statements The government-wide financial statements are prepared using the economic resources measurement focus and the accrual basis of accounting. This is the same approach used in the preparation of the proprietary fund financial statements, but differs from the manner in which governmental fund financial statements are prepared.

The government-wide statement of activities presents a comparison between expenses, both direct and indirect, and for each governmental function, and exclude fiduciary activity. Direct expenses are those that are specifically associated with a service, program, or department and are therefore, clearly identifiable to a particular function. The District does not allocate indirect expenses to functions in the Statement of Activities, except for depreciation. Program revenues include charges paid by the recipients of the goods or services offered by the programs and grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Revenues that are not classified as program revenues are presented as general revenues. The comparison of program revenues and expenses identifies the extent to which each program or business segment is self-financing or draws from the general revenues of the District. Eliminations have been made to minimize the double counting of internal activities.

Net position should be reported as restricted when constraints placed on net position are either externally imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments or imposed by law through constitutional provisions or enabling legislation. The net position restricted for other activities result from special revenue funds and the restrictions on their use.

Fund Financial Statements Fund financial statements report detailed information about the District. The focus of governmental and proprietary fund financial statements is on major funds rather than reporting funds by type. Each major fund is presented in a separate column. Non-major funds are aggregated and presented in a single column. The internal service fund is presented in a single column on the face of the proprietary fund statements.

30

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Governmental Funds All governmental funds are accounted for using the flow of current financial resources measurement focus and the modified accrual basis of accounting. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. The statement of revenues, expenditures, and changes in fund balances reports on the sources (revenues and other financing sources) and uses (expenditures and other financing uses) of current financial resources. This approach differs from the manner in which the governmental activities of the government-wide financial statements are prepared. Governmental fund financial statements, therefore, include reconciliations with brief explanations to better identify the relationship between the government-wide financial statements, prepared using the economic resources measurement focus and the accrual basis of accounting, and the governmental fund financial statements, prepared using the flow of current financial resources measurement focus and the modified accrual basis of accounting.

Proprietary Funds Proprietary funds are accounted for using the flow of economic resources measurement focus and the accrual basis of accounting. All assets and all liabilities associated with the operation of this fund are included in the statement of net position. The statement of changes in fund net position presents increases (revenues) and decreases (expenses) in net total assets. The statement of cash flows provides information about how the District finances and meets the cash flow needs of its proprietary fund.

Fiduciary Funds Fiduciary funds are accounted for using the flow of economic resources measurement focus and the accrual basis of accounting. Fiduciary funds are excluded from the government-wide financial statements because they do not represent resources of the District.

Revenues – Exchange and Non-Exchange Transactions Revenue resulting from exchange transactions, in which each party gives and receives essentially equal value, is recorded on the accrual basis when the exchange takes place. On a modified accrual basis, revenue is recorded in the fiscal year in which the resources are measurable and become available. Available means that the resources will be collected within the current fiscal year or are expected to be collected soon enough thereafter, to be used to pay liabilities of the current fiscal year. Generally, available is defined as collectible within 60 days. However, to achieve comparability of reporting among California districts and so as not to distort normal revenue patterns, with specific respect to reimbursement grants and corrections to State-aid apportionments, the California Department of Education has defined available for districts as collectible within one year. The following revenue sources are considered to be both measurable and available at fiscal year-end: State apportionments, interest, certain grants, and other local sources.

Non-exchange transactions, in which the District receives value without directly giving equal value in return, include property taxes, certain grants, entitlements, and donations. Revenue from property taxes is recognized in the fiscal year in which the taxes are received. Revenue from certain grants, entitlements, and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. Eligibility requirements include time and purpose restrictions. On a modified accrual basis, revenue from non-exchange transactions must also be available before it can be recognized.

Unearned Revenue Unearned revenue arises when potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period or when resources are received by the District prior to the incurrence of qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met, or when the District has a legal claim to the resources, the liability for unearned revenue is removed from the balance sheet and revenue is recognized.

31

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Certain grants received before the eligibility requirements are met are recorded as unearned revenue. On the governmental fund financial statements, receivables that will not be collected within the available period are also recorded as unearned revenue.

Expenses/Expenditures On the accrual basis of accounting, expenses are recognized at the time they are incurred. The measurement focus of governmental fund accounting is on decreases in net financial resources (expenditures) rather than expenses. Expenditures are generally recognized in the accounting period in which the related fund liability is incurred, if measurable, and typically paid within 60 days. Principal and interest on long-term obligations, which have not matured, are recognized when paid in the governmental funds as expenditures. Allocations of costs, such as depreciation and amortization, are not recognized in the governmental funds but are recognized in the entity-wide statements.

Cash and Cash Equivalents

The District's cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months or less from the date of acquisition. Cash equivalents also include cash with county treasury balances for purposes of the statement of cash flows.

Investments

Investments held at June 30, 2016, with original maturities greater than one year are stated at fair value. Fair value is estimated based on quoted market prices at year-end. All investments not required to be reported at fair value are stated at cost or amortized cost. Fair values of investments in county investment pool are determined by the program sponsor.

Prepaid Expenditures

Prepaid expenditures (expenses) represent amounts paid in advance of receiving goods or services. The District has the option of reporting an expenditure in governmental funds for prepaid items either when purchased or during the benefiting period. The District has chosen to report expenditures during the benefiting period.

Stores Inventories

Inventories consist of expendable food and supplies held for consumption. Inventories are stated at cost, on the first-in, first-out basis. The costs of inventory items are recorded as expenditures in the governmental funds and expenses in the proprietary fund when used.

Capital Assets and Depreciation

The accounting and reporting treatment applied to the capital assets associated with a fund are determined by its measurement focus. Capital assets are long-lived assets of the District. The District maintains a capitalization threshold of $25,000. The District does not possess any infrastructure. Improvements are capitalized; the costs of normal maintenance and repairs that do not add to the value of the asset or materially extend an asset's life are not capitalized, but are expensed as incurred.

32

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

When purchased, such assets are recorded as expenditures in the governmental funds and capitalized in the government-wide statement of net position. The valuation basis for capital assets is historical cost, or where historical cost is not available, estimated historical cost based on replacement cost. Donated capital assets are capitalized at estimated fair market value on the date donated.

Depreciation is computed using the straight-line method. Estimated useful lives of the various classes of depreciable capital assets are as follows: buildings, 20 to 50 years; improvements/infrastructure, 5 to 50 years; equipment, 5 to 15 years.

Interfund Balances

On fund financial statements, receivables and payables resulting from short-term interfund loans are classified as "interfund receivables/payables". These amounts are eliminated in the governmental activities column of the statement of net position, except for the net residual amounts due between governmental and business-type activities which are presented as internal balances.

Compensated Absences

Compensated absences are accrued as a liability as the benefits are earned. The entire compensated absence liability is reported on the government-wide statement of net position as long-term obligations.

Sick leave is accumulated without limit for each employee at the rate of one day for each month worked. Leave with pay is provided when employees are absent for health reasons; however, the employees do not gain a vested right to accumulated sick leave. Employees are never paid for any sick leave balance at termination of employment or any other time. Therefore, the value of accumulated sick leave is not recognized as a liability in the District's financial statements. However, credit for unused sick leave is applicable to all classified school members who retire after January 1, 1999. At retirement, each member will receive .004 year of service credit for each day of unused sick leave. Credit for unused sick leave is applicable to all certificated employees and is determined by dividing the number of unused sick days by the number of base service days required to complete the last school year, if employed full-time.

Accounts Payable and Long-Term Obligations

Accounts payable and long-term obligations are reported in the government-wide and proprietary fund financial statements. In general, governmental fund accounts payable that are paid in a timely manner and in full from current financial resources are reported as obligations of the funds.

Deferred Outflows/Inflows of Resources

In addition to assets, the Statement of Net Position also reports deferred outflows of resources. This separate financial statement element represents a consumption of net position that applies to a future period and so will not be recognized as an expense or expenditure until then. The District reports deferred outflows of resources for pension related items.

33

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

In addition to liabilities, the Statement of Net Position reports a separate section for deferred inflows of resources. This separate financial statement element represents an acquisition of net position that applies to a future period and so will not be recognized as revenue until then. The District reports deferred inflows of resources for pension related items.

Pensions

For purposes of measuring the net pension liability and deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the California State Teachers' Retirement System (CalSTRS) and the California Public Employees' Retirement System (CalPERS) plan for schools (Plans) and additions to/deductions from the Plans' fiduciary net position have been determined on the same basis as they are reported by CalSTRS and CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Member contributions are recognized in the period in which they are earned. Investments are reported at fair value.

Fund Balances - Governmental Funds

As of June 30, 2016, fund balances of the governmental funds are classified as follows:

Nonspendable - amounts that cannot be spent either because they are in nonspendable form or because they are legally or contractually required to be maintained intact.

Restricted - amounts that can be spent only for specific purposes because of constitutional provisions or enabling legislation or because of constraints that are externally imposed by creditors, grantors, contributors, or the laws or regulations of other governments.

Committed - amounts that can be used only for specific purposes determined by a formal action of the governing board. The governing board is the highest level of decision-making authority for the District. Commitments may be established, modified, or rescinded only through resolutions or other action as approved by the governing board.

Assigned - amounts that do not meet the criteria to be classified as restricted or committed but that are intended to be used for specific purposes. Under the District's adopted policy, the assistant superintendent of business services or the associate superintendent of administrative services may assign amounts for specific purposes.

Unassigned - all other spendable amounts.

Spending Order Policy

When an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available, the District considers restricted funds to have been spent first. When an expenditure is incurred for which committed, assigned, or unassigned fund balances are available, the District considers amounts to have been spent first out of committed funds, then assigned funds, and finally unassigned funds, as needed, unless the governing board has provided otherwise in its commitment or assignment actions.

34

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Minimum Fund Balance Policy

In fiscal year 2010-2011, the governing board adopted a minimum fund balance policy for the General Fund in order to protect the district against revenue shortfalls or unpredicted on-time expenditures. The policy requires a Reserve for Economic Uncertainties consisting of unassigned amounts equal to no less than six percent of General Fund expenditures and other financing uses.

Net Position

Net position represents the difference between assets and liabilities. Net position net of investment in capital assets consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowings used for the acquisition, construction, or improvement of those assets. Net position is reported as restricted when there are limitations imposed on their use either through the enabling legislation adopted by the District or through external restrictions imposed by creditors, grantors, or laws or regulations of other governments. The District first applies restricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position is available. The government-wide financial statements report $57,219,036 of restricted net position.

Operating Revenues and Expenses

Operating revenues are those revenues that are generated directly from the primary activity of the proprietary funds. For the District, these revenues are premiums charged to the operating funds to support the health and welfare and workers' compensation coverage. Operating expenses are necessary costs incurred to provide the services that are the primary activity of the fund. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses.

Interfund Activity

Exchange transactions between funds are reported as revenues in the seller funds and as expenditures/expenses in the purchaser funds. Flows of cash or goods from one fund to another without a requirement for repayment are reported as interfund transfers. Interfund transfers are reported as other financing sources/uses in governmental funds and after non-operating revenues/expenses in proprietary funds. Repayments from funds responsible for particular expenditures/expenses to the funds that initially paid for them are not presented in the financial statements. Interfund transfers are eliminated in the governmental activities column of the Statement of Activities.

Estimates

The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates.

35

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Budgetary Data

The budgetary process is prescribed by provisions of the California Education Code and requires the governing board to hold a public hearing and adopt an operating budget no later than July 1 of each year. The District governing board satisfied these requirements. The adopted budget is subject to amendment throughout the year to give consideration to unanticipated revenue and expenditures primarily resulting from events unknown at the time of budget adoption with the legal restriction that expenditures cannot exceed appropriations by major object account.

The amounts reported as the original budgeted amounts in the budgetary statements reflect the amounts when the original appropriations were adopted. The amounts reported as the final budgeted amounts in the budgetary statements reflect the amounts after all budget amendments have been accounted for.

Property Tax

Secured property taxes attach as an enforceable lien on property as of January 1. Taxes are payable in two installments on November 1 and February 1 and become delinquent on December 10 and April 10, respectively. Unsecured property taxes are payable in one installment on or before August 31. The County of Fresno bills and collects the taxes on behalf of the District. Local property tax revenues are recorded when received.

Change in Accounting Principles

In February 2015, the GASB issued Statement No. 72, Fair Value Measurement and Application. This Statement addresses accounting and financial reporting issues related to fair value measurements. The definition of fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. This Statement provides guidance for determining a fair value measurement for financial reporting purposes. This Statement also provides guidance for applying fair value to certain investments and disclosures related to all fair value measurements.

The District has implemented the provisions of this Statement as of June 30, 2016.

In June 2015, the GASB issued Statement No. 73, Accounting and Financial Reporting for Pensions and Related Assets That Are Not Within the Scope of GASB Statement No. 68, and Amendments to Certain Provisions of GASB Statements No. 67 and No. 68. The objective of this Statement is to improve the usefulness of information about pensions included in the general purpose external financial reports of state and local governments for making decisions and assessing accountability. This Statement results from a comprehensive review of the effectiveness of existing standards of accounting and financial reporting for all postemployment benefits with regard to providing decision-useful information, supporting assessments of accountability and inter-period equity, and creating additional transparency.

This Statement establishes requirements for defined benefit pensions that are not within the scope of Statement No. 68, Accounting and Financial Reporting for Pensions, as well as for the assets accumulated for purposes of providing those pensions. In addition, it establishes requirements for defined contribution pensions that are not within the scope of Statement No. 68. It also amends certain provisions of Statement No. 67, Financial Reporting for Pension Plans, and Statement No. 68 for pension plans and pensions that are within their respective scopes.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The provisions in this Statement effective as of June 30, 2016, include the provisions for assets accumulated for purposes of providing pensions through defined benefit plans and the amended provisions of Statements No. 67 and No. 68. The District has implemented these provisions as of June 30, 2016. The provisions in this Statement related to defined benefit pensions that are not within the scope of Statement No. 68 are effective for periods beginning after June 15, 2016.

In June 2015, the GASB issued Statement No. 76, The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments. The objective of this Statement is to identify—in the context of the current governmental financial reporting environment—the hierarchy of generally accepted accounting principles (GAAP). The "GAAP hierarchy" consists of the sources of accounting principles used to prepare financial statements of state and local governmental entities in conformity with GAAP and the framework for selecting those principles. This Statement reduces the GAAP hierarchy to two categories of authoritative GAAP and addresses the use of authoritative and non-authoritative literature in the event that the accounting treatment for a transaction or other event is not specified within a source of authoritative GAAP.

This Statement supersedes Statement No. 55, The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments.

The District has implemented the provisions of this Statement as of June 30, 2016.

In December 2015, the GASB issued Statement No. 79, Certain External Investment Pools and Pool Participants. This Statement addresses accounting and financial reporting for certain external investment pools and pool participants. Specifically, it establishes criteria for an external investment pool to qualify for making the election to measure all of its investments at amortized cost for financial reporting purposes. An external investment pool qualifies for that reporting if it meets all of the applicable criteria established in this Statement. The specific criteria address (1) how the external investment pool transacts with participants; (2) requirements for portfolio maturity, quality, diversification, and liquidity; and (3) calculation and requirements of a shadow price. Significant noncompliance prevents the external investment pool from measuring all of its investments at amortized cost for financial reporting purposes. Professional judgment is required to determine if instances of noncompliance with the criteria established by this Statement during the reporting period, individually or in the aggregate, were significant.

If an external investment pool does not meet the criteria established by this Statement, that pool should apply the provisions in paragraph 16 of Statement No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools, as amended. If an external investment pool meets the criteria in this Statement and measures all of its investments at amortized cost, the pool's participants also should measure their investments in that external investment pool at amortized cost for financial reporting purposes. If an external investment pool does not meet the criteria in this Statement, the pool's participants should measure their investments in that pool at fair value, as provided in paragraph 11 of Statement No. 31, as amended.

This Statement establishes additional note disclosure requirements for qualifying external investment pools that measure all of their investments at amortized cost for financial reporting purposes and for governments that participate in those pools. Those disclosures for both the qualifying external investment pools and their participants include information about any limitations or restrictions on participant withdrawals.

The District has implemented the provisions of this Statement as of June 30, 2016.

37

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

New Accounting Pronouncements

In June 2015, the GASB issued Statement No. 74, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans. The objective of this Statement is to improve the usefulness of information about postemployment benefits other than pensions (other postemployment benefits or OPEB) included in the general purpose external financial reports of state and local governmental OPEB plans for making decisions and assessing accountability. This Statement results from a comprehensive review of the effectiveness of existing standards of accounting and financial reporting for all postemployment benefits (pensions and OPEB) with regard to providing decision-useful information, supporting assessments of accountability and inter-period equity, and creating additional transparency.

This Statement replaces Statements No. 43, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, as amended, and No. 57, OPEB Measurements by Agent Employers and Agent Multiple-Employer Plans. It also includes requirements for defined contribution OPEB plans that replace the requirements for those OPEB plans in Statement No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans, as amended, Statement No. 43, and Statement No. 50, Pension Disclosures.

The requirements of this Statement are effective for financial statements for periods beginning after June 15, 2016. Early implementation is encouraged.

In June 2015, the GASB issued Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits Other Than Pension. The primary objective of this Statement is to improve accounting and financial reporting by state and local governments for postemployment benefits other than pensions (other postemployment benefits or OPEB). It also improves information provided by state and local governmental employers about financial support for OPEB that is provided by other entities. This Statement results from a comprehensive review of the effectiveness of existing standards of accounting and financial reporting for all postemployment benefits (pensions and OPEB) with regard to providing decision-useful information, supporting assessments of accountability and inter-period equity, and creating additional transparency.

This Statement replaces the requirements of Statements No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions, as amended, and No. 57, OPEB Measurements by Agent Employers and Agent Multiple-Employer Plans, for OPEB. Statement No. 74, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, establishes new accounting and financial reporting requirements for OPEB plans.

The requirements of this Statement are effective for financial statements for periods beginning after June 15, 2017. Early implementation is encouraged.

In August 2015, the GASB issued Statement No. 77, Tax Abatement Disclosures. This Statement requires governments that enter into tax abatement agreements to disclose the following information about the agreements:

	Brief descriptive information, such as the tax being abated, the authority under which tax abatements are provided, eligibility criteria, the mechanism by which taxes are abated, provisions for recapturing abated taxes, and the types of commitments made by tax abatement recipients
	The gross dollar amount of taxes abated during the period
	Commitments made by a government, other than to abate taxes, as part of a tax abatement agreement

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The requirements of this Statement are effective for financial statements for periods beginning after December 15, 2015. Early implementation is encouraged.

In December 2015, the GASB issued Statement No. 78, Pensions Provided Through Certain Multiple-Employer Defined Benefit Pension Plans. The objective of this Statement is to address a practice issue regarding the scope and applicability of Statement No. 68, Accounting and Financial Reporting for Pensions. This issue is associated with pensions provided through certain multiple-employer defined benefit pension plans and to state or local governmental employers whose employees are provided with such pensions.

Prior to the issuance of this Statement, the requirements of Statement No. 68 applied to the financial statements of all state and local governmental employers whose employees are provided with pensions through pension plans that are administered through trusts that meet the criteria in paragraph 4 of that Statement.

This Statement amends the scope and applicability of Statement No. 68 to exclude pensions provided to employees of state or local governmental employers through a cost-sharing multiple-employer defined benefit pension plan that (1) is not a state or local governmental pension plan, (2) is used to provide defined benefit pensions both to employees of state or local governmental employers and to employees of employers that are not state or local governmental employers, and (3) has no predominant state or local governmental employer (either individually or collectively with other state or local governmental employers that provide pensions through the pension plan). This Statement establishes requirements for recognition and measurement of pension expense, expenditures, and liabilities; note disclosures; and required supplementary information for pensions that have the characteristics described above.

The requirements of this Statement are effective for reporting periods beginning after December 15, 2015. Early implementation is encouraged.

In January 2016, the GASB issued Statement No. 80, Blending Requirements for Certain Component Units -amendment of GASB Statement No. 14. The objective of this Statement is to improve financial reporting by clarifying the financial statement presentation requirements for certain component units. This Statement amends the blending requirements established in paragraph 53 of Statement No. 14, The Financial Reporting Entity, as amended. The additional criterion requires blending of a component unit incorporated as a not-for-profit corporation in which the primary government is the sole corporate member. The additional criterion does not apply to component units included in the financial reporting entity pursuant to the provisions of Statement
No. 39, Determining Whether Certain Organizations Are Component Units.

The requirements of this Statement are effective for reporting periods beginning after June 15, 2016. Early implementation is encouraged.

In March 2016, the GASB issued Statement No. 81, Irrevocable Split-Interest Agreements. The objective of this Statement is to improve accounting and financial reporting for irrevocable split-interest agreements by providing recognition and measurement guidance for situations in which a government is a beneficiary of the agreement.

39

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

This Statement requires that a government that receives resources pursuant to an irrevocable split-interest agreement recognize assets, liabilities, and deferred inflows of resources at the inception of the agreement. Furthermore, this Statement requires that a government recognize assets representing its beneficial interests in irrevocable split-interest agreements that are administered by a third party, if the government controls the present service capacity of the beneficial interests. This Statement requires that a government recognize revenue when the resources become applicable to the reporting period.

The requirements of this Statement are effective for financial statements for periods beginning after December 15, 2016, and should be applied retroactively. Early implementation is encouraged.

In March 2016, the GASB issued Statement No. 82, Pension Issues - An Amendment of GASB Statements No. 67, No. 68, and No. 73. The objective of this Statement is to address certain issues that have been raised with respect to Statements No. 67, Financial Reporting for Pension Plans, No. 68, Accounting and Financial Reporting for Pensions, and No. 73, Accounting and Financial Reporting for Pensions and Related Assets That Are Not within the Scope of GASB Statement No. 68, and Amendments to Certain Provisions of GASB Statements No. 67 and No. 68. Specifically, this Statement addresses issues regarding (1) the presentation of payroll-related measures in required supplementary information, (2) the selection of assumptions and the treatment of deviations from the guidance in an Actuarial Standard of Practice for financial reporting purposes, and (3) the classification of payments made by employers to satisfy employee (plan member) contribution requirements.

The requirements of this Statement are effective for reporting periods beginning after June 15, 2016, except for the requirements of this Statement for the selection of assumptions in a circumstance in which an employer's pension liability is measured as of a date other than the employer's most recent fiscal year-end. In that circumstance, the requirements for the selection of assumptions are effective for that employer in the first reporting period in which the measurement date of the pension liability is on or after June 15, 2017. Early implementation is encouraged.

40

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 2 - DEPOSITS AND INVESTMENTS

Summary of Deposits and Investments

Deposits and investments as of June 30, 2016, are classified in the accompanying financial statements as follows:

Governmental activities Fiduciary funds
Total Deposits and Investments

$ 264,429,733 5,756,481
$ 270,186,214

Deposits and investments as of June 30, 2016, consist of the following:

Cash on hand and in banks Cash awaiting deposit Cash in revolving

$      8,115,834 2,337,201 147,500

Investments with county treasury Investments with fiscal agent
Total Deposits and Investments

257,873,932 1,711,747
$ 270,186,214

Policies and Practices

The District is authorized under California Government Code to make direct investments in local agency bonds, notes, or warrants within the State; U.S. Treasury instruments; registered State warrants or treasury notes; securities of the U.S. Government, or its agencies; bankers acceptances; commercial paper; certificates of deposit placed with commercial banks and/or savings and loan companies; repurchase or reverse repurchase agreements; medium term corporate notes; shares of beneficial interest issued by diversified management companies, certificates of participation, obligations with first priority security; and collateralized mortgage obligations.

Investment in County Treasury - The District is considered to be an involuntary participant in an external investment pool as the District is required to deposit all receipts and collections of monies with their County Treasurer (Education Code Section 41001). The fair value of the District's investment in the pool is reported in the accounting financial statements at amounts based upon the District's pro-rata share of the fair value provided by the County Treasurer for the entire portfolio (in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records maintained by the County Treasurer, which is recorded on the amortized cost basis.

41

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

General Authorizations

Limitations as they relate to interest rate risk, credit risk, and concentration of credit risk are indicated in the schedules below:

Authorized Investment Type
Local Agency Bonds, Notes, Warrants Registered State Bonds, Notes, Warrants U.S. Treasury Obligations
U.S. Agency Securities Banker's Acceptance Commercial Paper
Negotiable Certificates of Deposit Repurchase Agreements
Reverse Repurchase Agreements Medium-Term Corporate Notes Mutual Funds
Money Market Mutual Funds Mortgage Pass-Through Securities County Pooled Investment Funds Local Agency Investment Fund (LAIF) Joint Powers Authority Pools

Maximum Remaining Maturity 5 years 5 years 5 years 5 years 180 days 270 days 5 years 1 year 92 days 5 years N/A N/A
5 years N/A N/A N/A

Maximum Percentage of Portfolio None None None None 40% 25% 30% None
20% of base 30% 20% 20% 20% None None None

Maximum Investment in One Issuer None None None None 30% 10% None None None None 10% 10% None None None None

Interest Rate Risk

Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. The District does not have a formal investment policy that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. The District manages its exposure to interest rate risk by investing in the County Pool which purchases a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations.

42

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Segmented Time Distribution

Information about the sensitivity of the fair values of the District's investments to market interest rate fluctuations is provided by the following schedule that shows the distribution of the District's investments by maturity:

Fair Investment Type	Value

12 Months                13 - 36 or Less                  Months

37 - 60           More Than Months           60 Months

County Pool

U.S. Bank Certificates of Participation
Total

$ 259,785,823

1,711,747 $ 261,497,570

$	-

1,711,747 $	1,711,747

$ 259,785,823	$	-	$	-

-	-	-$ 259,785,823       $	-       $	-

Credit Risk

Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the minimum rating required by the California Government Code, the District's investment policy, or debt agreements, and the actual rating as of the year-end for each investment type.

Fair	Minimum	Rating as of Year End Investment Type	Value           Legal Rating         AAA              AA	A	Unrated
County Pool	$259,785,823	N/A	$	-	$	-	$	-	$ 259,785,823 U.S. Bank Certificates
of Participation                            1,711,747           N/A              1,711,747                -                -                             -Total           $261,497,570                             $1,711,747       $        -       $        -       $ 259,785,823

N/A - Not applicable

Custodial Credit Risk - Deposits

This is the risk that in the event of a bank failure, the District's deposits may not be returned to it. The District does not have a policy for custodial credit risk for deposits. However, the California Government Code requires that a financial institution secure deposits made by State or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit). The market value of the pledged securities in the collateral pool must equal at least 110 percent of the total amount deposited by the public agency. California law also allows financial institutions to secure public deposits by pledging first trust deed mortgage notes having a value of 150 percent of the secured public deposits and letters of credit issued by the Federal Home Loan Bank of San Francisco having a value of 105 percent of the secured deposits. As of June 30, 2016, $11,958,956 of the District's bank balance was exposed to custodial credit risk because it was uninsured and collateralized with securities held by the pledging financial institution's trust department or agent, but not in the name of the District.

43

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Custodial Credit Risk - Investments

This is the risk that, in the event of the failure of the counterparty, the District will not be able to recover the value of its investments or collateral securities that are in possession of an outside party. Of the investment in U.S. Bank Certificates of Participation of $1,711,747, the District has a custodial credit risk exposure of $1,711,747 because the related securities are uninsured, unregistered and held by the brokerage firm which is also the counterparty for these securities. The District does not have a policy limiting the amount of securities that can be held by counterparties.

NOTE 3 - FAIR VALUE MEASUREMENTS

The District categorizes the fair value measurements of its investments based on the hierarchy established by generally accepted accounting principles. The fair value hierarchy, which has three levels, is based on the valuation inputs used to measure an asset's fair value. The following provides a summary of the hierarchy used to measure fair value:

Level 1 - Quoted prices in active markets for identical assets that the District has the ability to access at the measurement date. Level 1 assets may include debt and equity securities that are traded in an active exchange market and that are highly liquid and are actively traded in over-the-counter markets.

Level 2 - Observable inputs other than Level 1 prices such as quoted prices for similar assets in active markets, quoted prices for identical or similar assets in markets that are not active, or other inputs that are observable, such as interest rates and curves observable at commonly quoted intervals, implied volatilities, and credit spreads. For financial reporting purposes, if an asset has a specified term, a Level 2 input is required to be observable for substantially the full term of the asset.

Level 3 - Unobservable inputs should be developed using the best information available under the circumstances, which might include the District's own data. The District should adjust that data if reasonably available information indicates that other market participants would use different data or certain circumstances specific to the District are not available to other market participants.

Uncategorized - Investments in the Fresno County Treasury Investment Pool are not measured using the input levels above because the District's transactions are based on a stable net asset value per share. All contributions and redemptions are transacted at $1.00 net asset value per share.

The District's fair value measurements are as follows at June 30, 2016:

Fair Value Measurements Using

Level 1	Level 2 Investment Type	Fair Value	Inputs                  Inputs
U.S. Bank Certificates

Level 3
Inputs	Uncategorized

of Participation	$	1,711,747	$ 1,711,747	$	-	$	-	$	-

County Pool
Total

259,785,823 $ 261,497,570

-
$ 1,711,747	$

-                          -         259,785,823 -      $                          $ 259,785,823

44

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

All assets have been valued using a market approach, with quoted market prices.

NOTE 4 - RECEIVABLES

Receivables at June 30, 2016, consisted of intergovernmental grants, entitlements, interest and other local sources. All receivables are considered collectible in full.

General Fund
Federal Government

Building

Fund

Non-Major Governmental
Funds

Total Governmental
Funds

Internal Service
Fund

Total Governmental
Activities

Categorical aid State Government
State grants and entitlements

$ 8,110,628	$

3,644,166

-	$	671,066

-	659,768

$ 8,781,694	$

4,303,934

-	$ 8,781,694

-	4,303,934

Local Sources Total

5,472,800 17,227,594

143,987 $ 143,987

1,351,052 $ 2,681,886

6,967,839 $ 20,053,467

1,164,160 $ 1,164,160

8,131,999 21,217,627

Warrant/Pass-Through Receivable Total Entity-Wide Accounts Receivable

175,239 21,392,866

45

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 5 - CAPITAL ASSETS

Capital asset activity for the fiscal year ended June 30, 2016, was as follows:

Governmental Activities
Capital Assets not being depreciated

Balance July 1, 2015

Balance Additions	Deductions	June 30, 2016

Land	$ 77,540,564	$	-	$	-	$ 77,540,564

Construction in progress

Total Capital Assets Not Being Depreciated
Capital Assets being depreciated Land improvements Buildings and improvements Furniture and equipment
Total Capital Assets Being Depreciated
Less Accumulated Depreciation Land improvements Buildings and improvements Furniture and equipment
Total Accumulated Depreciation Governmental Activities Capital Assets,

Net

106,087,345

183,627,909

115,344,404 747,181,235 67,486,503

930,012,142

65,810,475 193,065,057 29,027,712 287,903,244

$825,736,807

16,731,213

16,731,213

3,710,030 77,920,123 2,231,706

83,861,859

4,473,196 16,867,072 4,053,606 25,393,874

$75,199,198

10,054

10,054

--
349,550

349,550

--
349,550 349,550

$	10,054

122,808,504

200,349,068

119,054,434 825,101,358 69,368,659

1,013,524,451

70,283,671 209,932,129 32,731,768 312,947,568

$ 900,925,951

Depreciation expense was charged as a direct expense to governmental functions as follows:

Governmental Activities Instruction
School site administration All other pupil services Ancillary services Community services
All other general administration Plant services
Total Depreciation Expenses Governmental Activities

$ 14,632,254 1,697,501 3,273,310 3,069,913 977,222 575,795 1,167,879
$ 25,393,874

46

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 6 - INTERFUND TRANSACTIONS

Interfund Receivables/Payables (Due To/Due From)

Interfund receivable and payable balances arise from interfund transactions and are recorded by all funds affected in the period in which transactions are executed. Interfund receivable and payable balances at June 30, 2016, between major and non-major governmental funds, non-major enterprise funds, internal service funds, and fiduciary funds are as follows:

Interfund Receivables
Major Governmental Funds

Interfund Payables

General Building
Total Major Governmental Funds Non-Major Governmental Funds
Charter Schools Adult Education Child Development Cafeteria
Capital Facilities County School Facilities
Special Reserve Capital Outlay
Total Non-Major Governmental Funds Subtotal All Governmental Funds
Self Insurance Fund
Total Governmental Activities Warrant/Pass-Through Fund
Total All Funds

$	 835,399 1,140,080 1,975,479

-281,729 42,860 1,888 169,526 -
1,343,779 1,839,782 3,815,261 3,707,149 7,522,410 143,053
$ 7,665,463

$ 5,582,004 -
5,582,004

55,592 -541,705 170,186 457
1,140,280 -1,908,220 7,490,224 -7,490,224 175,239
$ 7,665,463

47

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Operating Transfers

Interfund transfers are used to (1) move revenues from the fund that statute or budget requires to collect them to the fund that statute or budget requires to expend them, (2) move receipts restricted to debt service from the funds collecting the receipts to the debt service fund as debt service payments become due, and (3) use unrestricted revenues collected in the General Fund to finance various programs accounted for in other funds in accordance with budgetary authorizations. Interfund transfers for the year ended June 30, 2016, consisted of the following:

The General Fund transferred to the Deferred Maintenance Fund for future repairs and maintenance projects.
The General Fund transferred to the Building Fund for the COP debt service payment. The General Fund transferred to the Building Fund for construction project costs.
The General Fund transferred to the Adult Education Fund for the District's Adult Education contribution.
The General Fund transferred to the Capital Facilities Fund to increase the construction services travel budget.
The General Fund transferred to the Special Reserve Capital Outlay Fund for construction project costs.
The General Fund transferred to the Special Reserve Capital Outlay Fund for schoo site furniture and equipment refresh.
The Cafeteria Fund transferred to the Building Fund for construction project costs.

The Deferred Maintenance Fund transferred to the Building Fund for construction project costs.
A correction was made to a Building Fund transfer to the County School Facilities Fund for construction project costs.
The Building Fund transferred to the Central Valley School Districts Financing Corporation Fund for the COP debt service payments.
The Capital Facilities Fund transferred to the General Fund for the three percent

administrative fee.

$ 4,500,000 1,163,614 1,286,650

846,880

5,000

6,366,304

1,900,000 313,042

125,000

1,500,282

386,988

638,110

The Capital Facilities Fund transferred to the Building Fund for construction project costs. The Bond Interest and Redemption Fund transferred to the Special Reserve Capital
Outlay Fund for 2008 matured bond revenue.
The Special Reserve Capital Outlay Fund transferred to the Building Fund for COP debt service payments.
The Special Reserve Capital Outlay Fund transferred to the General Fund to offset utility costs with solar rebates.
The County School Facilities Fund transferred to the Building Fund for repayment of excessive bond revenue contribution.
The Special Reserve Capital Outlay Fund transferred to the General Fund for athletic equipment costs.
Total

11,149,036

350,964

4,574,848

1,000,000

2,037,674

313,433 $ 38,457,825

48

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 7 - PREPAID EXPENDITURES

Prepaid expenditures at June 30, 2016, consist of the following:

General Fund

Building Fund

Non-Major Governmental Funds

Total Governmental Activities

Acquisition of property	$	210,948	$	2,000	$	9,340	$	222,288

NOTE 8 - ACCOUNTS PAYABLE

Accounts payable at June 30, 2016, consisted of the following:

General

Fund

Building

Fund

Non-Major Governmental

Funds

Governmental Funds

Total

Internal Service
Fund 1

Total Governmental

Activities

Vendor payables Local control
funding formula

$ 2,423,294

3,239,788

$ 6,249,269

-

$ 1,434,096

-

$10,106,659

3,239,788

$ 1,501,102

-

$ 11,607,761

3,239,788

Deferred payroll Workers'
compensation claims liability and reserve
Total

23,640,268

10,776,212 $40,079,562

-

-$ 6,249,269

-

-$ 1,434,096

23,640,268

10,776,212 47,762,927

-

-$ 1,501,102

23,640,268

10,776,212 49,264,029

Warrant-Pass/Through Payable

Total Entity-Wide Accounts Payable

143,053

$ 49,407,082

1 The health and welfare claims liability reserve is reported separately on the financial statements and totaled $8,986,276.

49

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 9 - UNEARNED REVENUE

Unearned revenue at June 30, 2016, consists of the following:

General

Federal financial assistance State categorical aid
Local sources Total

Fund
$         51,791 1,695,491 12,143
$ 1,759,425

NOTE 10 - LONG-TERM OBLIGATIONS

Summary

The changes in the District's long-term obligations during the year consisted of the following:

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Due in

One Year

General obligation bonds Bond Premium
Certificates of participation Compensated absences Capital leases
Child development portables Other postemployment

benefits-not recognized in

$ 417,796,657 -
9,428,005 1,525,846 2,613,171
315,000

$114,959,904 4,834,922
-71,823
1,675,000

-

$ 27,635,000 -
1,700,000 -1,807,604
63,000

$ 505,121,561 4,834,922 7,728,005 1,597,669 2,480,567
252,000

$ 26,090,000 212,862 1,755,000
-1,500,331
63,000

Self Insurance Fund Other postemployment
benefits-recognized in Self Insurance Fund
Total

200,682,974

20,272,181 $ 652,633,834

278,432,605

-399,974,254

239,859,869

-$ 271,065,473

239,255,710

20,272,181 $ 781,542,615

-

-$ 29,621,193

The general obligation bonds are paid by the Bond Interest and Redemption Fund with local tax revenue. The certificates of participation are paid by the Building Fund and Central Valley School Districts Financing Corporation Fund. Payments on the capital leases and child development portables are made from General Fund, Building Fund and Child Development Fund. Payments on compensated absences and other postemployment benefits are made from the fund which the related employee worked.

50

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Bonded Debt

The outstanding general obligation bonded debt is as follows:

Issue	Maturity

Date	Date

Interest

Rate

Original

Issue

Bonds Outstanding
July 1, 2015

Interest Accreted/
Issued

Bonds Outstanding
Redeemed	June 30, 2016

10/1/01	2019

10/1/02	2028

9.0%

3.6-5.23%

$ 49,996,471

29,000,256

$ 22,575,586

35,638,797

$	873,873

1,663,602

$ 5,570,000

2,750,000

$ 17,879,459

34,552,399

12/1/04 3/1/06 8/1/08 5/31/12 8/15/12 7/25/13 8/19/14
8/6/15

2030	3.8-6.15% 2031          4.0-5.0% 2016          1.9-4.0% 2022          2.0-5.0% 2038          1.0-5.5% 2039	2.0-6.12% 2040      3.19-4.52%
2041	3.37-5.0%

119,998,286 48,001,060 64,715,000 17,935,000 79,996,801 49,996,579 64,995,505
103,007,034

115,648,538 32,514,772 3,270,000 17,570,000 76,860,040 48,300,867 65,418,057
-

5,648,740 1,050,094 -
-1,065,458 587,977 480,314
103,589,846

9,285,000 1,185,000 3,270,000 -
--
5,575,000

-

112,012,278 32,379,866 -
17,570,000 77,925,498 48,888,844 60,323,371
103,589,846

Total	$ 627,641,992	$ 417,796,657	$ 114,959,904	$ 27,635,000	$ 505,121,561

Debt Service Requirements to Maturity

The annual requirement to amortize the Election of 2001, Series A general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Accreted Fiscal Year	Obligation

Unaccreted Interest

Final Maturity

2017	$	5,915,000	$ 2018                                                                                   5,964,024
2019	6,000,435
Total	$ 17,879,459	$

-305,976 644,565 950,541

$	5,915,000 6,270,000 6,645,000
$ 18,830,000

The annual requirement to amortize the Election of 2001, Series B general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Accreted Fiscal Year	Obligation

Unaccreted Interest

Final Maturity

2017 2018 2019 2020 2021
2022-2026 2027-2028 Total

$      2,810,000 2,751,552 2,692,005 2,622,070 2,552,540 11,749,230 9,375,002
$ 34,552,399

$                     -128,448 262,995 402,930 547,460 5,015,770 6,969,998
$ 13,327,601

$      2,810,000 2,880,000 2,955,000 3,025,000 3,100,000 16,765,000 16,345,000
$ 47,880,000

51

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The annual requirement to amortize the Election of 2004, Series A general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Accreted Fiscal Year	Obligation

Unaccreted Interest

Final Maturity

2017 2018 2021
2022-2026 2027-2030

$      9,845,000 9,961,251 10,202,544 41,380,278 40,623,205

$                     -473,749 2,227,456 19,709,722 36,511,795

$	 9,845,000 10,435,000 12,430,000 61,090,000 77,135,000

Total	$ 112,012,278	$ 58,922,722	$ 170,935,000

The annual requirement to amortize the Election of 2004, Series B general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Current Interest Bond portion:

Interest to

Fiscal Year 2017 2018 2019 2020 2021
2022-2026 Total

Principal
$	1,385,000 ----
8,320,000 $	9,705,000

Maturity
$         443,700 416,000 416,000 416,000 416,000 1,675,500
$	3,783,200

Total
$      1,828,700 416,000 416,000 416,000 416,000 9,995,500
$ 13,488,200

Capital Appreciation Bond portion:

Fiscal Year

Accreted Obligation

Unaccreted Interest

Final Maturity

2027	$	3,064,074 2028                                                                                   3,090,388 2029                                                                                   3,113,467 2030                                                                                   3,138,937 2031                                                                                 10,268,000 Total                                                                           $ 22,674,866

$	1,825,926 2,089,612 2,381,533 2,676,063 9,732,000
$ 18,705,134

$      4,890,000 5,180,000 5,495,000 5,815,000 20,000,000
$ 41,380,000

Total 2004, Series B obligation:	$ 32,379,866

52

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The annual requirement to amortize the 2012 Refunding general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Interest to

Fiscal Year 2017 2018

Principal
$                     --

Maturity
$      1,049,550 1,049,550

Total
$      1,049,550 1,049,550

2019	8,895,000 2020	4,120,000 2021                                                                                                 -2022	4,555,000 Total                                                                           $ 17,570,000

563,650 290,350 202,950 101,475
$	3,257,525

9,458,650 4,410,350 202,950 4,656,475
$ 20,827,525

The annual requirement to amortize the 2012 Series A general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Current Interest Bond portion:

Interest to

Fiscal Year 2017

Principal
$	-

Maturity
$	2,334,850

Total
$	2,334,850

2018 2019 2020 2021
2022-2026 2027-2031 2032-2036 2037-2038 Total

535,000 1,625,000 2,615,000 -7,680,000
19,475,000 5,260,000 18,845,000
$ 56,035,000

2,334,850 2,313,450 2,248,450 2,143,850 9,761,050 8,105,500 3,953,100 1,146,000
$ 34,341,100

2,869,850 3,938,450 4,863,450 2,143,850 17,441,050 27,580,500 9,213,100 19,991,000
$ 90,376,100

Capital Appreciation Bond portion:

Fiscal Year

Accreted Obligation

Unaccreted Interest

Final Maturity

2022-2026 2027-2031 2032-2036 Total

$      7,402,061 1,152,570 13,335,867
$ 21,890,498

$      3,032,939 712,430 20,879,133
$ 24,624,502

$ 10,435,000 1,865,000 34,215,000
$ 46,515,000

Total 2012, Series A obligation:	$ 77,925,498

53

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The annual requirement to amortize the 2012 Series B general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Current Interest Bond portion:

Interest to

Fiscal Year 2017 2018 2019 2020 2021
2022-2026 2027-2031

Principal
$	-------

Maturity
$	1,939,088 1,939,088 1,939,088 1,939,088 1,939,088 9,695,436 9,695,435

Total
$	1,939,088 1,939,088 1,939,088 1,939,088 1,939,088 9,695,436 9,695,435

2032-2036 2037-2039 Total

16,850,000 21,320,000
$ 38,170,000

7,223,200 1,320,750
$ 37,630,261

24,073,200 22,640,750
$ 75,800,261

Capital Appreciation Bond portion:

Fiscal Year

Accreted Obligation

Unaccreted Interest

Final Maturity

2021 2022-2026 2027-2031
Total

$	1,473,983 4,602,504 4,642,357
$ 10,718,844

$	 381,017 2,172,496 4,857,643
$	7,411,156

$	1,855,000 6,775,000 9,500,000
$ 18,130,000

Total 2012, Series B obligation:	$ 48,888,844

54

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The annual requirement to amortize the 2012 Series C general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Current Interest Bond portion:

Interest to

Fiscal Year 2017 2018 2019 2020 2021
2022-2026 2027-2031 2032-2036 2037-2040 Total

Principal
$	 755,000 1,200,000 1,180,000 1,115,000
-2,430,000 -
11,370,000 29,755,000
$ 47,805,000

Maturity
$	1,934,075 1,903,875 1,843,875 1,784,875 1,729,125 8,224,875 8,038,125 7,652,075 3,564,400
$ 36,675,300

Total
$      2,689,075 3,103,875 3,023,875 2,899,875 1,729,125 10,654,875 8,038,125 19,022,075 33,319,400
$ 84,480,300

Capital Appreciation Bond portion:

Fiscal Year

Accreted Obligation

Unaccreted Interest

Final Maturity

2024-2025 2026-2030 2031-2033 Total

$	3,953,271 5,670,492 2,894,608
$ 12,518,371

$	1,226,729 3,709,508 2,870,392
$	7,806,629

$	5,180,000 9,380,000 5,765,000
$ 20,325,000

Total 2012, Series C obligation:	$ 60,323,371

55

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The annual requirement to amortize the 2012 Series D general obligation bonds payable, outstanding at June 30, 2016, is as follows:

Current Interest Bond portion:

Interest to

Fiscal Year 2017 2018 2019 2020 2021
2022-2026 2027-2031 2032-2036 2037-2041

Principal
$	5,380,000 1,520,000 1,190,000 1,045,000 1,575,000 4,505,000 5,885,000
-68,525,000

Maturity
$      3,597,076 3,582,300 3,521,500 3,462,000 3,409,750 16,077,250 15,074,250 14,057,500 11,384,200

Total
$      8,977,076 5,102,300 4,711,500 4,507,000 4,984,750 20,582,250 20,959,250 14,057,500 79,909,200

Total	$ 89,625,000	$ 74,165,826	$ 163,790,826

Capital Appreciation Bond portion:

Fiscal Year

Accreted Obligation

Unaccreted Interest

Final Maturity

2031 2032-2036
2037 Total

$      1,905,400 10,554,188 1,505,258
$ 13,964,846

$      1,594,600 12,320,812 2,299,742
$ 16,215,154

$      3,500,000 22,875,000 3,805,000
$ 30,180,000

Total 2012, Series D obligation:	$ 103,589,846

Certificates of Participation

2006 Certificates of Participation

In August 2006, the Central Valley School Districts Financing Corporation issued 2006 Certificates of Participation in the amount of $7,820,000 with interest rates ranging from 4.00 to 4.50 percent.

The certificates mature through August 2016 as follows:

Year Ending

June 30,	Principal	Interest	Total 2017                                                                                     $      385,000         $          8,663         $      393,663

56

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

2010 Certificates of Participation

In June 2010, the Central Valley Support Services JPA issued 2010 Certificates of Participation on behalf of the District in the amount of $9,365,000 with interest rates ranging from 2.00 to 4.00 percent. As of June 30, 2016, the District drew down funds in the amount of $8,332,947.

The certificates, in their entirety, mature through November 2021. The District's liability is as follows:

Year Ending

June 30,	Principal	Interest	Total

2017	$ 1,115,000 2018                                                                                          1,155,000 2019                                                                                          1,205,000 2020                                                                                          1,250,000 2021                                                                                             290,057 Total                                                                                     $ 5,015,057

$      195,125 155,300 108,100 59,000 25,700
$	543,225

$ 1,310,125 1,310,300 1,313,100 1,309,000 315,757
$ 5,558,282

2011 Certificates of Participation

In January 2011, the Central Valley Support Services JPA issued 2011 Certificates of Participation on behalf of the District in the amount of $4,450,000 with interest rates ranging from 2.00 to 4.50 percent. As of
June 30, 2016, the District drew down funds in the amount of $3,890,057.

The certificates, in their entirety, mature through November 2025. The District's liability is as follows:

Year Ending

June 30,	Principal	Interest	Total

2017 2018 2019 2020 2021
2022-2024 Total

$	255,000 265,000 275,000 285,000 295,000 952,948
$ 2,327,948

$	165,900 155,500 144,356 132,100 118,313 259,019
$	975,188

$      420,900 420,500 419,356 417,100 413,313 1,211,967
$ 3,303,136

Compensated Absences

The long-term portion of compensated absences for the District at June 30, 2016, amounted to $1,597,669.

57

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Capital Leases

The District has entered into agreements to lease various facilities and equipment. Such agreements are, in substance, purchases (capital leases) and are reported as capital lease obligations. The District's liability on lease agreements with options to purchase is summarized below:

Balance, July 1, 2015 Additions
Payments
Balance, June 30, 2016

$ 2,613,171 1,675,000 1,807,604
$ 2,480,567

The capital leases have minimum lease payments as follows:

Year Ending June 30,

Lease Payment

2017 2018 Total
Less: Amount Representing Interest

Present Value of Minimum Lease Payments

$ 1,539,672 993,650 2,533,322 52,755
$ 2,480,567

Child Development Portables

The District financed the purchase of Child Development Portables through the California Department of Education's (CDE) Child Care Facilities Revolving Fund. The agreement with the CDE includes a zero percent interest rate for the portable classrooms. During the term of the repayment, the title to the facilities shall be in the name of the State of California. Title shall pass to the District after repayment of all funds. The District bears all responsibility of maintaining the facilities and keeping the facilities free and clear of any levies, liens and encumbrances.

The loan matures in 2020 and the payments are as follows:

Year Ending

June 30,	Payment 2017                                                                                                                                            $         63,000 2018                                                                                                                                                       63,000 2019                                                                                                                                                       63,000 2020                                                                                                                                                       63,000 Total                                                                                                                                            $       252,000

58

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Other Postemployment Benefits (OPEB) Obligation

The District's annual required contribution for the year ended June 30, 2016, was $269,594,399, and claims paid by the District during the year were $10,448,329. Interest on the net OPEB obligation and adjustments to the annual required contribution were $8,838,206 and $(229,411,540), respectively, which resulted in an increase to the net OPEB obligation of $38,572,736. As of June 30, 2016, the net OPEB obligation was $259,527,891. See Note 13 for additional information regarding the OPEB obligation and the postemployment benefits plan.

59

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 11 - FUND BALANCES

Fund balances are composed of the following elements:

General Fund
Nonspendable

Building Fund

Bond Interest and Redemption Fund

Non-Major Governmental
Funds	Total

Revolving cash Stores inventories Prepaid expenditures
Total Nonspendable Restricted
Legally restricted programs

Food service programs

$	 144,000	$	-	$ 1,617,746                           -
210,948                   2,000 1,972,694                   2,000

2,666,777                           --                           -

-	$	3,500 -                278,664 -                    9,340 -                291,504

-             4,904,590 -             8,449,703

$        147,500 1,896,410 222,288 2,266,198

7,571,367 8,449,703

Capital projects Debt service
Child development programs Total Restricted
Committed

Deferred maintenance program
Total Committed Assigned
Bus replacement Site carryover Textbooks
Student computer refresh LCAP supplemental
carryover

Child development programs Capital projects
Total Assigned Unassigned
Total

---
2,666,777

--

1,305,657 4,985,124 3,770,534 4,079,770

2,448,250 --
16,589,335 60,413,137
$ 81,641,943

56,177,847 --
56,177,847

--

----

-----
$ 56,179,847

-34,332,930 -34,332,930

--

----

-----
$ 34,332,930

5,201,863 1,035,495 394,928 19,986,579

1,933,962 1,933,962

----

-2,185,019 7,295,196 9,480,215 -
$ 31,692,260

61,379,710 35,368,425 394,928 113,164,133

1,933,962 1,933,962

1,305,657 4,985,124 3,770,534 4,079,770

2,448,250 2,185,019 7,295,196 26,069,550 60,413,137
$ 203,846,980

NOTE 12 - EXPENDITURES (BUDGET VERSUS ACTUAL)

At June 30, 2016, there were no District major funds that exceeded the budgeted amounts.

60

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 13 - POSTEMPLOYMENT HEALTH CARE PLAN AND OTHER POSTEMPLOYMENT BENEFITS (OPEB) OBLIGATION

Plan Description

The Postemployment Benefits Plan (the "Plan") is a single-employer defined benefit healthcare plan administered by the Clovis Unified School District. The Plan provides medical and dental insurance benefits to eligible retirees and their spouses. Membership of the Plan consists of 1,090 retirees and beneficiaries currently receiving benefits and 3,242 active plan members.

Contribution Information

The District provides lifetime postemployment benefits to certificated and classified employees. To qualify, employees hired prior to August 31, 2007, must have 15 benefited service years with the District and attained the age of 55, and employees hired after September 1, 2007, must have 30 benefited service years with the District and attained the age of 55. Dental and vision benefits are provide for five years, but not beyond age 65. Benefits and eligibility for teachers and food service workers are established and amended through collective bargaining with the recognized bargaining agent for each group; and include postemployment health and dental coverage. Benefits and eligibility for administrators, secretaries and general support staff are established and amended by the governing body. For fiscal year 2015-2016, the District paid claims on behalf of retirees totaling $10,448,329.

Annual OPEB Cost and Net OPEB Obligation

The District's annual OPEB cost (expense) is calculated based on the annual required contribution of the employer (ARC), an amount actuarially determined in accordance with the parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial accrued liabilities (UAAL) (or funding excess) over a period not to exceed thirty years. The following table shows the components of the District's annual OPEB cost for the year, the amount actually contributed to the plan, and changes in the District's net OPEB obligation to the Plan:

Annual required contribution Interest on net OPEB obligation
Adjustment to annual required contribution Annual OPEB cost (expense)
Claims paid
Increase in net OPEB obligation
Net OPEB obligation, beginning of year Net OPEB obligation, end of year

$ 269,594,399 8,838,206
(229,411,540) 49,021,065
(10,448,329) 38,572,736
220,955,155 $ 259,527,891

OPEB obligation reflected in Self Insurance Fund	$	20,272,181

Remaining OPEB obligation reflected as full-accrual adjustment Total OPEB obligation, end of year

239,255,710 $ 259,527,891

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Trend Information

Trend information for annual OPEB cost, the percentage of annual OPEB cost contributed to the Plan, and the net OPEB obligation is as follows:

Year Ended June 30,

Annual OPEB Cost

Actual Contribution

Percentage Contributed

OPEB Obligation

2016	$	49,021,065 2015                                             9,447,211 2014                                          (10,567,700)

$      10,448,329 9,447,211 57,546,603

21.31% 100.00% -544.55%

$ 259,527,891 220,955,155 220,955,155

Funded Status and Funding Progress

A schedule of funding progress as of the most recent actuarial valuation is as follow:

Actuarial Valuation Date

Actuarial Value of Assets (a)

Actuarial Accrued Liability (AAL) -Pojected
Unit Credit (b)

Unfunded AAL (UAAL) (b - a)

Funded
Ratio	Covered (a / b)             Payroll (c)

UAAL as a Percentage of Covered Payroll
([b - a] / c)

July 1, 2016	$	-	$ 259,527,891	$259,527,891	0.00%	$ 236,480,303	109.75%

Actuarial Methods and Assumptions

Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities, consistent with the long-term perspective of the calculations.

In the July 1, 2016, actuarial valuation, the projected unit credit method was used. The actuarial assumptions included a four percent investment rate of return (net of administrative expenses), based on the plan being funded in an irrevocable employee benefit trust invested in a combined equity and fixed income portfolio. Healthcare cost trend rates ranged from an initial eight percent to an ultimate rate of five percent. The cost trend rate used for the Dental and Vision programs was four percent and three percent, respectively. The UAAL has been recognized in full by the District.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

NOTE 14 - RISK MANAGEMENT

Workers' Compensation and Employee Medical Benefits

The District is self-insured for workers' compensation, health, vision and dental programs. The District accounts for and finances its uninsured risks of loss in the General Fund (workers' compensations) and Self Insurance Fund (health and welfare). The General Fund provides coverage for up to a maximum of $275,000 for each workers' compensation claim and the Self Insurance Fund provides coverage for up to $350,000 for each health insurance claim. The District purchases commercial insurance for claims in excess of coverage provided by the General Fund and Self Insurance Fund and for all other risks of loss.

All funds of the District, which reflect salary costs, participate in the program and make payments to the General Fund based on actuarial estimates of the amounts needed to pay prior and current year claims. The claims liability of $10,776,212 reported in the General Fund at June 30, 2016, is based on the requirements of GASB Statement No. 10, which requires that a liability for claims be reported if information prior to the issuance of the financial statements indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss can be reasonably estimated.

Property and Liability

The District 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. During fiscal year ending June 30, 2016, the District contracted with the Schools Excess Liability Fund (SELF) and the Alliance of Schools for Cooperative Insurance Programs (ASCIP) for property and liability insurance coverage. Settled claims have not exceeded this commercial coverage in any of the past three years. There has not been a significant reduction in coverage from the prior year.

Claims Liabilities

The District records an estimated liability for indemnity torts and other claims against the District. Claims liabilities are based on estimates of the ultimate cost of reported claims (including future claim adjustment expenses) and an estimate for claims incurred, but not reported based on historical experience.

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NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Unpaid Claims Liabilities

The District establishes a liability for both reported and unreported events, which includes estimates of both future payments of losses and related claim adjustment expenses. The following represent the changes in approximate aggregate liabilities for the District from July 1, 2014 to June 30, 2016:

Liability Balance, July 1, 2014 Claims and changes in estimates Claims payments
Liability Balance, June 30, 2015 Claims and changes in estimates Claims payments
Liability Balance, June 30, 2016

Workers' Compensation/ Health and Welfare
$ 17,009,238 54,985,564 54,040,008 17,954,794 62,424,738 60,617,044
$ 19,762,488

Health and welfare claims liability and reserve - Self Insurance Fund	$	8,986,276

Workers' compensation claims liability and reserve - General Fund Total Liability Balance, June 30, 2016

10,776,212 $ 19,762,488

NOTE 15 - EMPLOYEE RETIREMENT SYSTEMS

Qualified employees are covered under multiple-employer defined benefit pension plans maintained by agencies of the State of California. Academic employees are members of the California State Teachers' Retirement System (CalSTRS) and classified employees are members of the California Public Employees' Retirement System (CalPERS).

For the fiscal year ended June 30, 2016, the District reported net pension liabilities, deferred outflows of resources, deferred inflows of resources, and pension expense for each of the above plans as follows:

Collective Net

Pension Plan	Pension Liability

Collective Deferred Outflows
of Resources

Collective Deferred Inflows of Resources

Collective Pension Expense

CalSTRS CalPERS
Total

$      236,088,495        $ 80,561,650
$	316,650,145	$

52,185,269	$ 31,198,129 83,383,398	$

41,791,703	$ 20,939,824 62,731,527	$

20,761,650 14,849,859 35,611,509

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The details of each plan are as follows:

California State Teachers' Retirement System (CalSTRS)

Plan Description

The District contributes to the State Teachers Retirement Plan (STRP) administered by the California State Teachers' Retirement System (CalSTRS). STRP is a cost-sharing multiple-employer public employee retirement system defined benefit pension plan. Benefit provisions are established by State statutes, as legislatively amended, within the State Teachers' Retirement Law.

A full description of the pension plan regarding benefit provisions, assumptions (for funding, but not accounting purposes), and membership information is listed in the June 30, 2014, annual actuarial valuation report, Defined Benefit Program Actuarial Valuation. This report and CalSTRS audited financial information are publically available reports that can be found on the CalSTRS website under Publications at: http://www.calstrs.com/member-publications.

Benefits Provided

The STRP provides retirement, disability and survivor benefits to beneficiaries. Benefits are based on members' final compensation, age, and years of service credit. Members hired on or before December 31, 2012, with
five years of credited service are eligible for the normal retirement benefit at age 60. Members hired on or after January 1, 2013, with five years of credited service are eligible for the normal retirement benefit at age 62. The normal retirement benefit is equal to 2.0 percent of final compensation for each year of credited service.

The STRP is comprised of four programs: Defined Benefit Program, Defined Benefit Supplement Program, Cash Balance Benefit Program, and Replacement Benefits Program. The STRP holds assets for the exclusive purpose of providing benefits to members and beneficiaries of these programs. CalSTRS also uses plan assets to defray reasonable expenses of administering the STRP. Although CalSTRS is the administrator of the STRP, the state is the sponsor of the STRP and obligor of the trust. In addition, the state is both an employer and nonemployer contributing entity to the STRP.

The District contributes exclusively to the STRP Defined Benefit Program, thus disclosures are not included for the other plans.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The STRP provisions and benefits in effect at June 30, 2016, are summarized as follows:

STRP Defined Benefit Program

Hire date Benefit formula
Benefit vesting schedule Benefit payments Retirement age
Monthly benefits as a precentage of eligible compensation Required employee contribution rate
Required employer contribution rate Required state contribution rate

On or before December 31, 2012 2% at 60
5 years of service Monthly for life 60
2.0% - 2.4% 9.20% 10.73%
7.12589%

On or after January 1, 2013 2% at 62
5 years of service Monthly for life 62
2.0% - 2.4% 8.56% 10.73%
7.12589%

Contributions

Required member, District and State of California contributions rates are set by the California Legislature and Governor and detailed in Teachers' Retirement Law. The contributions rates are expressed as a level percentage of payroll using the entry age normal actuarial method. In accordance with AB 1469, employer contributions into the CalSTRS will be increasing to a total of 19.1 percent of applicable member earnings phased over a seven-year period. The contribution rates for each plan for the year ended June 30, 2016, are presented above and the District's total contributions were $18,423,302.

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

At June 30, 2016, the District reported a liability for its proportionate share of the net pension liability that reflected a reduction for State pension support provided to the District. The amount recognized by the District as its proportionate share of the net pension liability, the related state support and the total portion of the net pension liability that was associated with the District were as follows:

Total net pension liability, including State share:

District's proportionate share of net pension liability
State's proportionate share of the net pension liability associated with the District Total

$ 236,088,495 124,864,788
$ 360,953,283

The net pension liability was measured as of June 30, 2015. The District's proportion of the net pension liability was based on a projection of the District's long-term share of contributions to the pension plan relative to the projected contributions of all participating school districts and the State, actuarially determined. The District's proportionate share for the measurement period June 30, 2015 and June 30, 2014, respectively, was 0.351 percent and 0.326 percent, resulting in a net increase in the proportionate share of 0.0250 percent.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

For the year ended June 30, 2016, the District recognized pension expense of $20,761,650. In addition, the District recognized pension expense and revenue of $9,338,087 for support provided by the State. At
June 30, 2016, the District reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Combined Deferred Outflows
of Resources

Combined Deferred Inflows
of Resources

Pension contributions subsequent to measurement date Net change in proportionate share of net pension liability Difference between projected and actual earnings
on pension plan investments

Differences between expected and actual experience

in the measurement of the total pension liability Total

$	18,423,302	$ 15,160,407

18,601,560

-
$	52,185,269	$

--

37,846,609

3,945,095 41,791,703

The deferred outflows of resources related to pensions resulting from District contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the subsequent fiscal year. The deferred outflows/(inflows) of resources related to the difference between projected and actual earnings on pension plan investments will be amortized over a closed five-year period and will be recognized in pension expense as follows:

Year Ended June 30,

Combined Deferred Outflows of Resources

2017	$	(7,965,146) 2018                                                                                                                                               (7,965,146) 2019                                                                                                                                               (7,965,146) 2020                                                                                                                                                 4,650,389 Total	$          (19,245,049)

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The deferred outflows/(inflows) of resources related to the net change in proportionate share of net pension liability and differences the between expected and actual experience in the measurement of the total pension liability will be amortized over the Expected Average Remaining Service Life (EARSL) of all members that are provided benefits (active, inactive, and retirees) as of the beginning of the measurement period. The EARSL for the 2014-2015 measurement period is seven years and will be recognized in pension expense as follows:

Year Ended June 30,

Combined Deferred Inflows of Resources

2017 2018 2019 2020 2012 Thereafter Total

$	1,869,219 1,869,219 1,869,219 1,869,219 1,869,219 1,869,217
$	11,215,312

Actuarial Methods and Assumptions

Total pension liability for STRP was determined by applying update procedures to a financial reporting actuarial valuation as of June 30, 2014, and rolling forward the total pension liability to June 30, 2015. The financial reporting actuarial valuation as of June 30, 2014, used the following methods and assumptions, applied to all prior periods included in the measurement:

Valuation date Measurement date Experience study Actuarial cost method Discount rate Investment rate of return Consumer price inflation Wage growth

June 30, 2014 June 30, 2015
July 1, 2006 through June 30, 2010 Entry age normal
7.60% 7.60% 3.00% 3.75%

CalSTRS uses custom mortality tables to best fit the patterns of mortality among its members. These custom tables are based on RP2000 series tables adjusted to fit CalSTRS experience.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The long-term expected rate of return on pension plan investments was determined using a building-block method in which best estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. The best estimate ranges were developed using capital market assumptions from CalSTRS general investment consultant. Based on the model for CalSTRS consulting actuary's investment practice, a best estimate range was determined by assuming the portfolio is re-balanced annually and that the annual returns are lognormally distributed and independent from year to year to develop expected percentiles for the long-term distribution of annualized returns. The assumed asset allocation is based on Teachers' Retirement Board of the California State Teachers' Retirement System (board) policy for target asset allocation in effect on February 2, 2012, the date the current experience study was approved by the board. Best estimates of ten-year geometric real rates of return and the assumed asset allocation for each major asset class used as input to develop the actuarial investment rate of return are summarized in the following table:

Asset Class Global equity Private equity
Real estate Inflation sensitive Fixed income Cash/liquidity

Assumed Asset Allocation 47% 12% 15% 5% 20% 1%

Long-Term Expected Real Rate of Return 4.50% 6.20% 4.35% 3.20% 0.20% 0.00%

Discount Rate

The discount rate used to measure the total pension liability was 7.60 percent. The projection of cash flows used to determine the discount rate assumed the contributions from plan members and employers will be made at statutory contribution rates. Projected inflows from investment earnings were calculated using the long-term assumed investment rate of return (7.60 percent) and assuming that contributions, benefit payments and administrative expense occurred midyear. Based on these assumptions, the STRP's fiduciary net position was projected to be available to make all projected future benefit payments to current plan members. Therefore, the long-term assumed investment rate of return was applied to all periods of projected benefit payments to determine total pension liability.

The following presents the District's proportionate share of the net pension liability calculated using the current discount rate as well as what the net pension liability would be if it were calculated using a discount rate that is one percent lower or higher than the current rate:

Net Pension

Discount Rate 1% decrease (6.60%)
Current discount rate (7.60%) 1% increase (8.60%)

Liability
$	356,475,252 $	236,088,495 $	136,037,386

69

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

California Public Employees Retirement System (CalPERS)

Plan Description

Qualified employees are eligible to participate in the School Employer Pool (SEP) under the California Public Employees' Retirement System (CalPERS), a cost-sharing multiple-employer public employee retirement system defined benefit pension plan administered by CalPERS. Benefit provisions are established by State statutes, as legislatively amended, within the Public Employees' Retirement Law.

A full description of the pension plan regarding benefit provisions, assumptions (for funding, but not accounting purposes), and membership information is listed in the June 30, 2014 annual actuarial valuation report, Schools Pool Actuarial Valuation, 2014. This report and CalPERS audited financial information are publically available reports that can be found on the CalPERS website under Forms and Publications at: https://www.calpers.ca.gov/page/forms-publications.

Benefits Provided

CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries. Benefits are based on years of service credit, a benefit factor and the member's final compensation. Members hired on or before December 31, 2012, with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. Members hired on or after January 1, 2013, with five years of total service are eligible to retire at age 52 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after five years of service. The Basic Death Benefit is paid to any member's beneficiary if the member dies while actively employed. An employee's eligible survivor may receive the 1957 Survivor Benefit if the member dies while actively employed, is at least age 50 (or 52 for members hired on or after January 1, 2013), and has at least five years of credited service. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.

The CalPERS provisions and benefits in effect at June 30, 2016, are summarized as follows:

School Employer Pool (CalPERS)

Hire date Benefit formula
Benefit vesting schedule Benefit payments Retirement age
Monthly benefits as a precentage of eligible compensation Required employee contribution rate
Required employer contribution rate

On or before December 31, 2012 2% at 55
5 years of service Monthly for life 55
1.1% - 2.5% 7.000% 11.847%

On or after January 1, 2013
2% at 62
5 years of service Monthly for life 62
1.0% - 2.5% 6.000% 11.847%

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Contributions

Section 20814(c) of the California Public Employees' Retirement Law requires that the employer contribution rates for all public employers be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Total plan contributions are calculated through the CalPERS annual actuarial valuation process. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during the year, with an additional amount to finance any unfunded accrued liability. The District is required to contribute the difference between the actuarially determined rate and the contribution rate of employees. The contributions rates are expressed as percentage of annual payroll. The contribution rates for each plan for the year ended June 30, 2016, are presented above and the total District contributions were $7,625,408.

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

As of June 30, 2016, the District reported net pension liabilities for its proportionate share of the CalPERS net pension liability totaling $80,561,650. The net pension liability was measured as of June 30, 2015. The District's proportion of the net pension liability was based on a projection of the District's long-term share of contributions to the pension plan relative to the projected contributions of all participating school districts, actuarially determined. The District's proportionate share for the measurement period June 30, 2015 and June 30, 2014, respectively was 0.5465 percent and 0.5259 percent, resulting in a net increase in the proportionate share of 0.0206 percent.

For the year ended June 30, 2016, the District recognized pension expense of $14,849,859. At June 30, 2016, the District reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Combined Deferred Outflows
of Resources

Combined Deferred Inflows
of Resources

Pension contributions subsequent to measurement date Net change in proportionate share of net pension liability Difference between projected and actual earnings
on pension plan investments

Differences between expected and actual experience

in the measurement of the total pension liability

$	7,625,408	$ 5,737,111

13,231,393

4,604,217

--

15,989,893

-

Changes of assumptions
Total

-
$	31,198,129	$

4,949,932 20,939,824

71

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

The deferred outflows of resources related to pensions resulting from District contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the subsequent fiscal year. The deferred outflows/(inflows) of resources related to the difference between projected and actual earnings on pension plan investments will be amortized over a closed five-year period and will be recognized in pension expense as follows:

Year Ended June 30,

Deferred Outflows/(Inflows) of Resources

2017	$	(2,022,116) 2018                                                                                                                                                (2,022,116) 2019                                                                                                                                                (2,022,116) 2020                                                                                                                                                 3,307,848 Total	$          (2,758,500)

The deferred outflows/(inflows) of resources related to the net change in proportionate share of net pension liability, changes of assumptions, and the differences between expected and actual experience in the measurement of the total pension liability will be amortized over the Expected Average Remaining Service Life (EARSL) of all members that are provided benefits (active, inactive, and retirees) as of the beginning of the measurement period. The EARSL for the 2014-2015 measurement period is 3.9 years and will be recognized in pension expense as follows:

Year Ended June 30,

Deferred Outflows/(Inflows) of Resources

2017	$	2,386,038 2018                                                                                                                                                 2,386,038 2019                                                                                                                                                    619,320 Total	$            5,391,396

72

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Actuarial Methods and Assumptions

Total pension liability for the SEP was determined by applying update procedures to a financial reporting actuarial valuation as of June 30, 2014, and rolling forward the total pension liability to June 30, 2015. The financial reporting actuarial valuation as of June 30, 2014, used the following methods and assumptions, applied to all prior periods included in the measurement:

Valuation date Measurement date Experience study Actuarial cost method Discount rate Investment rate of return Consumer price inflation Wage growth

June 30, 2014 June 30, 2015
July 1, 1997 through June 30, 2011 Entry age normal
7.65% 7.65% 2.75%
Varies by entry age and service

Mortality assumptions are based on mortality rates resulting from the most recent CalPERS experience study adopted by the CalPERS Board. For purposes of the post-retirement mortality rates, those revised rates include five years of projected ongoing mortality improvement using Scale AA published by the Society of Actuaries.

In determining the long-term expected rate of return, CalPERS took into account both short-term and long-term market return expectations as well as the expected pension fund cash flows. Using historical returns of all the funds' asset classes, expected compound returns were calculated over the short-term (first ten years) and the long-term (11-60 years) using a building-block approach. Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the single equivalent expected return that arrived at the same present value of benefits for cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and rounded down to the nearest one quarter of one percent. The target asset allocation and best estimates of arithmetic real rates of return for each major asset class are summarized in the following table:

Asset Class Global equity
Global fixed income Private equity
Real estate Inflation sensitive
Infrastructure and Forestland Liquidity

Assumed Asset Allocation 51% 19% 10% 10% 6% 2% 2%

Long-Term Expected Real Rate of Return 5.25% 0.99% 6.83% 4.50% 0.45% 4.50% -0.55%

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Discount Rate

The discount rate used to measure the total pension liability was 7.65 percent. The projection of cash flows used to determine the discount rate assumed the contributions from plan members and employers will be made at statutory contribution rates. Based on these assumptions, the School Employer Pool fiduciary net position was projected to be available to make all projected future benefit payments to current plan members. Therefore, the long-term assumed investment rate of return was applied to all periods of projected benefit payments to determine total pension liability.

The following presents the District's proportionate share of the net pension liability calculated using the current discount rate as well as what the net pension liability would be if it were calculated using a discount rate that is one percent lower or higher than the current rate:

Net Pension

Discount Rate 1% decrease (6.65%)
Current discount rate (7.65%) 1% increase (8.65%)

Liability
$	131,120,796 $        80,561,650 $        38,518,341

APPLE

Plan Description

The APPLE program applies to all part-time employees working less than 20 hours per week and are not eligible for CalPERS or CalSTRS retirement programs. This includes all part-time classified and certificated employees working less than 20 hours, as well as substitute employees.

Employees are eligible for plan benefits upon termination with the District and have the option of rolling over their benefit into an individual retirement account or receiving a direct payment. Those with account balances of less than $3,500 and who do not indicate which alternative they choose will receive a direct distribution from the plan.

Funding Policy

Participants in APPLE are required to contribute 3.75 percent of gross salary to APPLE. The District is required to contribute 3.75 percent of gross salary expenditures to APPLE. The District's contributions to APPLE for the fiscal year ending June 30, 2016, 2015, 2014 were $203,810, $718,565, and $285,495, respectively.

74

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

On Behalf Payments

The State of California makes contributions to CalSTRS on behalf of the District. These payments consist of State General Fund contributions to CalSTRS in the amount of $10,358,020 (7.12589 percent of annual payroll). Contributions are no longer appropriated in the annual Budget Act for the legislatively mandated benefits to CalPERS. Therefore, there is no on behalf contribution rate for CalPERS. Under accounting principles generally accepted in the United States of America, these amounts are to be reported as revenues and expenditures. Accordingly, these amounts have been recorded in these financial statements.

NOTE 16 - COMMITMENTS AND CONTINGENCIES

Grants

The District received financial assistance from Federal and State agencies in the form of grants. The disbursement of funds received under these programs generally requires compliance with terms and conditions specified in the grant agreements and are subject to audit by the grantor agencies. Any disallowed claims resulting from such audits could become a liability of the General Fund or other applicable funds. However, in the opinion of management, any such disallowed claims will not have a material adverse effect on the overall financial position of the District at June 30, 2016.

Litigation

The District is involved in various litigation arising from the normal course of business. In the opinion of management and legal counsel, the disposition of all litigation pending is not expected to have a material adverse effect on the overall financial position of the District at June 30, 2016.

Operating Leases

The District has entered into various operating leases for equipment with lease terms in excess of one year. All of these agreements contain purchase options. All agreements contain a termination clause providing for cancellation after a specified number of days written notice to lessors, but it is unlikely that the District will cancel any of the agreements prior to the expiration date.

75

CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

Construction Commitments

As of June 30, 2016, the District had the following commitments with respect to the unfinished capital projects:

Remaining Construction
Capital Projects	Commitment

Expected Date of Completion

Cedarwood modernization Century mondernization Fancher Creek modernization Clovis Adult modernization Liberty modernization Kastner modernization Gateway modernization Mickey Cox modernization
Clovis West High School CTE financial Reagan Educational Center modernization
Reagan Educational Center phase II modernization Technology Center new construction Temperance/Clinton new construction
Total

$      3,396,182 3,945,810 2,308,156 336,493 3,604,470 70,096 2,277,137 4,243,526 1,094,451 345,248 2,497,559 2,231,042 1,871,174
$ 28,221,344

11/20/2016 10/24/2016 12/30/2016 12/31/2016 2/13/2017 12/31/2016 11/30/2016 1/23/2017 10/24/2016 11/23/2016 11/23/2016 2/1/2017 12/31/2016

NOTE 17 - PARTICIPATION IN JOINT POWERS AUTHORITIES

The District is a member of the Schools Excess Liability Fund (SELF), Alliance of Schools for Cooperative Insurance Programs (ASCIP), Central Valley Support Services (CVSS), and the Center for Advanced Research & Technology (CART) joint powers authorities (JPAs). The District pays an annual premium to ASCIP for its property liability coverage. Payments for services received from JPAs are paid to CVSS and CART. The relationships between the District and the JPAs are such that they are not component units of the District for financial reporting purposes.

These entities have budgeting and financial reporting requirements independent of member units and their financial statements are not presented in these financial statements; however, fund transactions between the entities and the District are included in these statements. Audited financial statements are generally available from the respective entities.

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CLOVIS UNIFIED SCHOOL DISTRICT

NOTES TO FINANCIAL STATEMENTS JUNE 30, 2016

One designee for each district votes for a 16 member Board of Directors for SELF.

During the year ended June 30, 2016, the District made no payments to SELF for liability insurance coverage.

Eleven voting members of the ASCIP Executive Committee appointed by the member districts.

During the year ended June 30, 2016, the District made payments of $3,088,412 to ASCIP for property and liability insurance coverage.

The Governing Board of CVSS shall consist of a District representative appointed by the Superintendent and a member of the operations staff of each educational agency holding membership in CVSS selected by that agency, and the Treasurer of CVSS.

The Governing Board of CART is comprised of representatives from the member public educational agencies and related associations.

During the year ended June 30, 2016, the District made payments of $808,551 to CART for the financing and operation of a joint technical center for high school age students.

77

REQUIRED SUPPLEMENTARY INFORMATION

78

CLOVIS UNIFIED SCHOOL DISTRICT

GENERAL FUND

BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED JUNE 30, 2016

Variances -Favorable (Unfavorable)
Budgeted Amounts	Final Original	Final                   Actual                to Actual
REVENUES

Local Control Funding Formula Federal sources
Other State sources Other local sources

Total Revenues EXPENDITURES Current
Certificated salaries Classified salaries Employee benefits Books and supplies
Services and operating expenditures Other outgo
Capital outlay

Debt service - principal Debt service - interest
Total Expenditures

Excess of Revenues Over Expenditures Other Financing Sources (Uses)
Transfers in Other sources Transfers out
Net Financing Sources (Uses) NET CHANGE IN FUND BALANCES
Fund Balance -Beginning

$ 313,467,083 15,110,999 56,835,130 12,293,397

397,706,609

167,720,231 61,297,355 83,907,300 29,452,334 26,182,582
(391,277) 24,122,075
1,405,317 33,870 393,729,787 3,976,822

1,404,041 1,675,000 (6,926,885) (3,847,844)
128,978

52,258,950

$ 316,898,092 16,772,180 70,168,138 17,191,497

421,029,907

168,449,145 67,574,967 94,715,212 19,515,914 26,570,814
(531,940) 1,521,548 1,369,760
20,501 379,205,921 41,823,986

1,951,543 1,675,912
(16,068,448) (12,440,993) 29,382,993
52,258,950

$ 317,072,679	$ 16,956,331 70,168,138 16,832,759

421,029,907

168,449,145 67,574,967 94,715,212 19,515,914 26,570,814
(531,940) 1,521,548 1,369,760
20,501 379,205,921 41,823,986

1,951,543 1,675,912
(16,068,448) (12,440,993) 29,382,993
52,258,950

174,587 184,151 -
(358,738)

-

-----------

-----
-

Fund Balance - Ending	$ 52,387,928	$ 81,641,943	$ 81,641,943	$	-

See accompanying note to required supplementary information.

79

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF OTHER POSTEMPLOYMENT BENEFITS (OPEB) FUNDING PROGRESS
FOR THE YEAR ENDED JUNE 30, 2016

Actuarial Valuation Date

Actuarial Value of Assets (a)

Actuarial Accrued Liability (AAL) -Pojected
Unit Credit (b)

Unfunded AAL (UAAL) (b - a)

Funded
Ratio	Covered (a / b)            Payroll (c)

UAAL as a Percentage of Covered Payroll ([b - a] / c)

July 1, 2016	$ July 1, 2014	$ July 1, 2012	$

-	$ 259,527,891 -	$ 220,955,155 -	$ 167,594,127

$ 259,527,891 $ 220,955,155 $ 167,594,127

0.00%	$ 236,064,723 0.00%	$ 194,851,256 0.00%	$ 153,061,973

109.94% 113.40% 109.49%

See accompanying note to required supplementary information.

80

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF THE DISTRICT'S PROPORTIONATE SHARE OF THE NET PENSION LIABILITY
FOR THE YEAR ENDED JUNE 30, 2016

CalSTRS

District's proportion of the net pension liability (asset)

District's proportionate share of the net pension liability (asset) State's proportionate share of the net pension liability (asset)
associated with the District Total

District's covered - employee payroll

District's proportionate share of the net pension liability (asset) as a percentage of its covered - employee payroll

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

2016

0.3507%

$ 236,088,495

124,864,788 $ 360,953,283

$ 163,040,743

144.80%

74%

2015

0.3264%

$ 190,731,688

115,172,028 $ 305,903,716

$ 150,043,685

127.12%

77%

CalPERS

District's proportion of the net pension liability (asset)	0.5465%	0.5259%

District's proportionate share of the net pension liability (asset)

District's covered - employee payroll

$	80,561,650

$	60,511,656

$	59,703,034

$	55,215,032

District's proportionate share of the net pension liability (asset) as a percentage of its covered - employee payroll

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

133.13%

79%

108.13%

83%

Note: In the future, as data become available, ten years of information will be presented.

See accompanying note to required supplementary information.

81

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF DISTRICT CONTRIBUTIONS FOR THE YEAR ENDED JUNE 30, 2016

2016	2015 CalSTRS

Contractually required contribution
Contributions in relation to the contractually required contribution Contribution deficiency (excess)

$     18,423,302 18,423,302
$	-

$     14,478,017 14,478,017
$	-

District's covered - employee payroll

Contributions as a percentage of covered - employee payroll

$ 171,698,993

10.73%

$ 163,040,743

8.88%

CalPERS

Contractually required contribution

Contributions in relation to the contractually required contribution Contribution deficiency (excess)

District's covered - employee payroll

$       7,625,408 7,625,408
$	-

$	64,365,730

$       7,122,827 7,122,827
$	-

$	60,511,656

Contributions as a percentage of covered - employee payroll	11.847%	11.771%

Note: In the future, as data become available, ten years of information will be presented.

See accompanying note to required supplementary information.

82

CLOVIS UNIFIED SCHOOL DISTRICT

NOTE TO REQUIRED SUPPLEMENTARY INFORMATION JUNE 30, 2016

NOTE 1 - PURPOSE OF SCHEDULES

Budgetary Comparison Schedule

This schedule presents information for the original and final budgets and actual results of operations, as well as the variances from the final budget to actual results of operations.

Schedule of Other Postemployment Benefits (OPEB) Funding Progress

This schedule is intended to show trends about the funding progress of the District's actuarially determined liability for postemployment benefits other than pensions.

Schedule of the District's Proportionate Share of the Net Pension Liability

This schedule presents information on the District's proportionate share of the net pension liability (NPL), the plans' fiduciary net position and, when applicable, the State's proportionate share of the NPL associated with the District. In the future, as data becomes available, ten years of information will be presented.

Schedule of District Contributions

This schedule presents information on the District's required contribution, the amounts actually contributed, and any excess or deficiency related to the required contribution. In the future, as data becomes available, ten years of information will be presented.

NOTE 2 - CHANGES IN BENEFIT TERMS AND ASSUMPTIONS

Changes in Benefit Terms

There were no changes in benefit terms since the previous valuation for either CalSTRS and CalPERS.

Changes in Assumptions

The CalSTRS plan rate of investment return assumption was not changed from the previous valuation. The CalPERS plan rate of investment return assumption was changed from 7.50 percent to 7.65 percent since the previous valuation.

83

SUPPLEMENTARY INFORMATION

84

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED JUNE 30, 2016

Federal Grantor/Pass-Through Grantor/Program
U.S. DEPARTMENT OF EDUCATION

Federal Catalog Number

Pass-Through Entity Identifying Number

Federal Expenditures

Indian Education Pell Grant
Passed Through California Department of Education: Adult Education
Basic
Secondary Education
English Literacy and Civics Education No Child Left Behind Act
Title I, Part A, Basic
Title I, Part D, Local Delinquent Programs Title I, Program Improvement Schools Title I, Part C, Migrant
Title I, Part G, Advanced Placement Fee Program Subtotal Title I Programs
Title II, Part A, Improving Teacher Quality Title II, Part B, Math and Science Partnerships Title III, Limited English Proficient
Title III, Immigrant Education
Title IV, Part B, 21st Century Community Learning Centers Program
Special Education Cluster
IDEA, Part B Basic Local Assistance IDEA, Part B, Preschool Local Entitlement IDEA, Part B, Preschool Grants
IDEA, Part B, Alternative Dispute Resolution IDEA, Part B, Mental Health Allocation IDEA, Part B, Preschool Staff Development
Subtotal Special Education Cluster IDEA, Part C, Early Intervention

84.060 84.063

84.002A 84.002 84.002A

84.010 84.010 84.010 84.011 84.389

84.367 84.366 84.365 84.365

84.186

84.027 84.027A 84.173 84.173A 84.027A 84.173A

84.181

10011             $         88,523 [1]                        461,202

14508	189,379 13978	293,612 14109                       37,263

14329                  6,332,877 14357                       42,295 14955                       68,883 14326                       73,555 15004                       33,825 6,551,435
14341	681,736 14512	921,435 14346	243,791 15146                       41,417

14347	110,596

13379                  5,410,799 13682                     727,632 13430                       97,219 13007                         8,837 14468                     457,134 13431                         1,663 6,703,284
24314	81,623

[1] Pass-Through Entity Identifying Number not available N/A - Not applicable

See accompanying note to supplementary information.

85

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) FOR THE YEAR ENDED JUNE 30, 2016

Federal Grantor/Pass-Through Grantor/Program
U.S. DEPARTMENT OF EDUCATION, Continued

Passed Through California Department of Education: Vocational Educational Programs
Carl D. Perkins Career and Technical Education,

Federal Catalog Number

Pass-Through Entity Identifying Number

Federal Expenditures

Secondary 131
Perkins Career and Technical Education Improvement Act of 2006 Rural Community Equipment Grants
Workability II, Transitions Partnership

84.048	14894

84.048               15295 84.126               10006

$	251,243

52,554 156,608

Subtotal U.S. Department of Education U.S. DEPARTMENT OF AGRICULTURE
Passed Through California Department of Education: Child Nutrition Cluster
National School Lunch	10.555 Basic Breakfast	10.553 Especially Needy Breakfast	10.553 Meals Supplements - Snack	10.555 Summer Food Program	10.559 Food Distribution - Commodities	10.555
Subtotal Child Nutrition Cluster Subtotal U.S. Department of Agriculture
U.S. DEPARTMENT OF DEFENSE
Air Force Junior ROTC                                                                  12.357 Subtotal U.S. Department of Defense
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES
Passed Through California Department of Health Care Services:
Medicaid Programs:
Medi-Cal Billing Option                                                       93.778 Medi-Cal Administrative Assistance                                    93.778
Subtotal Medicaid Programs
Subtotal U.S. Department of Health and Human Services
Total Federal Programs

16,865,700

13391                  7,006,693 13525                       60,178 13526                  1,580,662 13391                     174,893 13004                     135,900 13391                  1,036,810 9,995,136
9,995,136

N/A                         43,619 43,619

10013                     765,418 10060                     315,603 1,081,021

1,081,021 $ 27,985,476

[1] Pass-Through Entity Identifying Number not available N/A - Not applicable

See accompanying note to supplementary information.

86

CLOVIS UNIFIED SCHOOL DISTRICT

LOCAL EDUCATION AGENCY ORGANIZATION STRUCTURE JUNE 30, 2016

ORGANIZATION

The Clovis Unified School District was established in 1960 and consists of an area comprising approximately 198 square miles. The District operates thirty-two elementary schools, five intermediate schools, five high
schools, three alternative education schools, one adult school, the Clovis Online Charter School and the Center for Advanced Research and Technology as a joint high school with Fresno Unified School District. There were no boundary changes during the year.

GOVERNING BOARD

MEMBER

Christopher Casado Sandra A. Bengel
Jim Van Volkinburg D.D.S. Ginny L. Hovsepian
Brian D. Heryford Richard Lake, C.P.A. Elizabeth J. Sandoval

OFFICE

President
Vice-President Clerk
Member Member Member Member

TERM EXPIRES

2016 2018 2018 2016 2016 2016 2018

ADMINISTRATION

Janet Young, Ed.D. Carlo Prandini, Ph.D. Michael Johnston Barry Jager
Norm Anderson Michael Clear Susan Rutledge

Superintendent Deputy Superintendent
Associate Superintendent, Administrative Services
Associate Superintendent, Human Resources & Employee Relations Associate Superintendent, School Leadership
Assistant Superintendent, Business Services Director of Budget & Finance

See accompanying note to supplementary information.

87

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF AVERAGE DAILY ATTENDANCE FOR THE YEAR ENDED JUNE 30, 2016

CLOVIS UNIFIED SCHOOL DISTRICT Regular ADA
Transitional kindergarten through third Fourth through sixth
Seventh and eighth Ninth through twelfth
Total Regular ADA

Extended Year Special Education Transitional kindergarten through third Fourth through sixth
Seventh and eighth Ninth through twelfth
Total Extended Year Special Education

Special Education, Nonpublic, Nonsectarian Schools Transitional kindergarten through third
Fourth through sixth Seventh and eighth Ninth through twelfth
Total Special Education, Nonpublic, Nonsectarian Schools

Extended Year Special Education, Nonpublic, Nonsectarian Schools
Transitional kindergarten through third Fourth through sixth
Seventh and eighth Ninth through twelfth
Total Extended Year Special Education, Nonpublic, Nonsectarian Schools

Community Day School Fourth through sixth Seventh and eighth Ninth through twelfth
Total Community Day School Total ADA

Second Period Report

12,246.83 9,331.71 6,245.45 12,068.88 39,892.87

17.57 9.90 2.85 14.10 44.42

1.42 3.31 4.08 4.41

13.22

0.04 0.05 0.13 0.23

0.45

11.06 20.67 44.60 76.33 40,027.29

Annual Report

12,248.82 9,330.27 6,231.67 11,934.60 39,745.36

17.57 9.90 2.85 14.10 44.42

1.31 3.01 4.58 5.29

14.19

0.04 0.05 0.13 0.23

0.45

11.38 20.78 41.69 73.85 39,878.27

See accompanying note to supplementary information.

88

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF AVERAGE DAILY ATTENDANCE, Continued FOR THE YEAR ENDED JUNE 30, 2016

CLOVIS ONLINE CHARTER SCHOOL Regular ADA
Seventh and eighth Ninth through twelfth
Total ADA (Non-Classroom Based)

Second Period                  Annual Report                         Report

44.54	48.51 268.04                         276.59 312.58                         325.10

See accompanying note to supplementary information.

89

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF INSTRUCTIONAL TIME FOR THE YEAR ENDED JUNE 30, 2016

Grade Level Kindergarten Grades 1 - 3
Grade 1 Grade 2 Grade 3
Grades 4 - 8 Grade 4 Grade 5 Grade 6 Grade 7 Grade 8
Grades 9 - 12 Grade 9 Grade 10 Grade 11 Grade 12

1986-1987 Minutes Requirement
36,000 50,400

54,000

64,800

2015-2016 Actual Minutes
36,065

56,550 56,550 56,550

56,510 56,510 56,510 62,899 62,899

65,187 65,187 65,187 65,187

Number of Days Traditional Calendar 180

180 180 180

180 180 180 181 181

181 181 181 181

Status Complied

Complied Complied Complied

Complied Complied Complied Complied Complied

Complied Complied Complied Complied

See accompanying note to supplementary information.

90

CLOVIS UNIFIED SCHOOL DISTRICT

RECONCILIATION OF ANNUAL FINANCIAL AND BUDGET REPORT WITH AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED JUNE 30, 2016

There were no adjustments to the Unaudited Actual Financial Report which required reconciliation to the audited financial statements at June 30, 2016.

See accompanying note to supplementary information.

91

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF FINANCIAL TRENDS AND ANALYSIS FOR THE YEAR ENDED JUNE 30, 2016

(Budget)

2017 1	2016	2015	2014 3 GENERAL FUND

Revenues
Other sources and transfers in Total Revenues
Expenditures
Other uses and transfers out Total Expenditures
and Other Uses INCREASE/(DECREASE) IN
FUND BALANCE

$ 413,574,234	$ 421,029,907	$ 349,857,238	$ 321,321,110

	2,658,573  	3,627,455  	3,019,514  	- 

	416,232,807  	424,657,362  	352,876,752  	321,321,110 

394,243,962	379,205,921	347,244,096	313,823,424

	7,837,359  	16,068,448  	6,126,886  	11,127,883 

	402,081,321  	395,274,369  	353,370,982  	324,951,307 

 $ 14,151,486   $ 29,382,993   $	(494,230)   $ (3,630,197) 

ENDING FUND BALANCE AVAILABLE RESERVES 2 AVAILABLE RESERVES AS A
PERCENTAGE OF TOTAL OUTGO

$ 95,793,429 $ 86,199,623

21.4%

$ 81,641,943 $ 60,413,137

15.3%

$ 52,258,950 $ 41,902,962

11.9%

$ 52,753,180 $ 46,138,952

14.2%

LONG-TERM OBLIGATIONS AVERAGE DAILY
ATTENDANCE AT P-2

Not Available

40,449

$ 781,542,615

40,027

$ 652,633,834

39,379

$603,749,012

38,951

The General Fund balance has increased by $28,888,763 over the past two years. The fiscal year 2016-2017 budget projects an increase of $14,151,486 (17.33 percent). For a district this size, the State recommends available reserves of at least 2.0 percent of total General Fund expenditures, transfers out, and other uses (total outgo).

The District has incurred operating deficits in two of the past three years but anticipates incurring an operating surplus during the 2016-2017 fiscal year. Total long-term obligations have increased by $177,793,603 over the past two years due primarily to the issuance of General Obligation Bonds.

Average daily attendance has increased by 1,076 over the past two years. Additional growth of 422 ADA is anticipated during fiscal year 2016-2017.

1 Budget 2017 is included for analytical purposes only and has not been subjected to audit.
2 Available reserves consist of all unassigned fund balances including all amounts reserved for economic uncertainties contained with the

General Fund.
3 The long-term obligations were restated for 2014 due to prior year adjustments.

See accompanying note to supplementary information.

92

CLOVIS UNIFIED SCHOOL DISTRICT

SCHEDULE OF CHARTER SCHOOLS FOR THE YEAR ENDED JUNE 30, 2016

Name of Charter School Clovis Online School (Charter School Number 1006)

Included in Audit Report Yes

See accompanying note to supplementary information.

93

CLOVIS UNIFIED SCHOOL DISTRICT

NON-MAJOR GOVERNMENTAL FUNDS COMBINING BALANCE SHEET
JUNE 30, 2016

Charter School Fund
ASSETS

Adult Education
Fund

Child Development
Fund

Deposits and investments Receivables
Due from other funds Prepaid expenses Stores inventories
Total Assets

LIABILITIES AND FUND BALANCES Liabilities:
Accounts payable Due to other funds
Total Liabilities Fund Balances:
Nonspendable Restricted Committed Assigned
Total Fund Balances Total Liabilities and
Fund Balances

$	1,867,134	$ 41,456
---
$	1,908,590	$

$	20,251	$ 55,592 75,843

-1,832,747 -
-1,832,747

$	1,908,590	$

2,350,476	$ 480,058 281,729
2,940 45,914
3,161,117	$

36,920        $ -
36,920

52,354 3,071,843 -
-3,124,197

3,161,117	$

2,665,874 461,523 42,860 6,400
-3,176,657

48,605 541,705 590,310

6,400 394,928 -
2,185,019 2,586,347

3,176,657

See accompanying note to supplementary information.

94

Cafeteria

Fund

Deferred Maintenance
Fund

Capital Facilities
Fund

County School Facilities
Fund

Special Reserve Capital Outlay
Fund

$	8,545,569	$ 440,220
1,888 -
232,750

$	9,220,427	$

$	367,788	$ 170,186
537,974

2,273,780	$ 3,404
---
2,277,184	$

343,222	$ -
343,222

3,573,401	$ 37,049
169,526 --
3,779,976	$

37,697	$ 457
38,154

2,721,870	$ 46,274
---
2,768,144	$

167,823	$ 1,140,280
1,308,103

5,194,850 1,168,357 1,343,779 -
-7,706,986

411,790 -
411,790

232,750 8,449,703 -
-

8,682,453

--
1,933,962 -
1,933,962

-3,741,822 -
-

3,741,822

-1,460,041 -
-

1,460,041

---
7,295,196

7,295,196

$	9,220,427	$	2,277,184	$	3,779,976	$	2,768,144	$	7,706,986

94

CLOVIS UNIFIED SCHOOL DISTRICT

NON-MAJOR GOVERNMENTAL FUNDS COMBINING BALANCE SHEET
JUNE 30, 2016

Central Valley School Districts Financing Corporation Fund
ASSETS

Total Non-Major
Governmental

Funds

Deposits and investments Receivables
Due from other funds Prepaid expenses Stores inventories
Total Assets

LIABILITIES AND FUND BALANCES Liabilities:
Accounts payable Due to other funds
Total Liabilities Fund Balances:
Nonspendable Restricted Committed Assigned
Total Fund Balances Total Liabilities and
Fund Balances

$	1,031,950	$ 3,545
---
$	1,035,495	$

$	-	$ -
-

-1,035,495 -
-1,035,495

$	1,035,495	$

30,224,904 2,681,886 1,839,782 9,340 278,664 35,034,576

1,434,096 1,908,220 3,342,316

291,504 19,986,579 1,933,962 9,480,215 31,692,260

35,034,576

See accompanying note to supplementary information.

95

CLOVIS UNIFIED SCHOOL DISTRICT

NON-MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2016

REVENUES

Local Control Funding Formula

Charter School Fund

$	2,642,792

Adult Education Fund

$	-

Federal sources Other State sources Other local sources
Total Revenues EXPENDITURES Current
Instruction

Instruction-related activities: Supervision of instruction
Instructional library, media, and technology School site administration
Pupil services: Food services
All other pupil services Administration:
All other administration Plant services
Facility acquisition and construction Debt service
Principal

Interest and other

Total Expenditures

Excess (Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses)
Transfers in Other sources Transfers out
Net Other Financing Sources (Uses) NET CHANGE IN FUND BALANCES
Fund Balance - Beginning

Fund Balance - Ending

-269,030 24,334
2,936,156

1,354,548

1,863 66,778 469,950

-161,063

46,095 31,850 -

--
2,132,147 804,009

----
804,009 1,028,738
$	1,832,747	$

1,034,009 1,952,658 2,681,209 5,667,876

2,749,605

561,460 66,685 1,170,977

-172,571

105,388 306,486 -

--
5,133,172 534,704

846,880 --
846,880 1,381,584 1,742,613
3,124,197

See accompanying note to supplementary information.

96

Child Development
Fund

Cafeteria

Fund

Deferred Maintenance
Fund

Capital Facilities
Fund

County School Facilities
Fund

$	-	$ -
3,615,267 6,487,490 10,102,757

7,534,539

1,496,446 --

-118,264

518,306 251,655 -

63,000 -
9,982,210 120,547

-252,000 -252,000 372,547
2,213,800

$	2,586,347	$

-	$ 8,958,326
712,549 3,963,945 13,634,820

-

---

12,431,629 -

635,100 --

--
13,066,729 568,091

--
(313,042) (313,042) 255,049
8,427,404

8,682,453	$

-	$ -
-11,539 11,539

-

---

--

-1,020,511 1,683,302

--
2,703,813 (2,692,274)

4,500,000 -
(125,000) 4,375,000 1,682,726
251,236

1,933,962	$

-	$ -
-10,632,146 10,632,146

-

---

--

16,503 1,894,361 5,377,773

--
7,288,637 3,343,509

5,000 -
(11,787,146) (11,782,146) (8,438,637)
12,180,459

3,741,822	$

--
3,722,624 135,058 3,857,682

-

---

--

-24,697
2,980,445

--
3,005,142 852,540

1,500,282 -
(2,037,674) (537,392)
315,148 1,144,893
1,460,041

96

CLOVIS UNIFIED SCHOOL DISTRICT

NON-MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED JUNE 30, 2016

Special Reserve Capital Outlay Fund
REVENUES

Central Valley School Districts Financing Corporation
Fund

Local Control Funding Formula Federal sources
Other State sources Other local sources
Total Revenues EXPENDITURES Current
Instruction

Instruction-related activities: Supervision of instruction
Instructional library, media, and technology School site administration
Pupil services: Food services
All other pupil services Administration:
All other administration Plant services
Facility acquisition and construction Debt service
Principal

Interest and other

Total Expenditures

Excess (Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses)
Transfers in Other sources Transfers out
Net Other Financing Sources (Uses) NET CHANGE IN FUND BALANCES
Fund Balance - Beginning

Fund Balance - Ending

$	-	$ -
3,304,710 2,796,473 6,101,183

-

---

--

-1,179,800 9,338,568

--
10,518,368 (4,417,185)

8,617,268 -
(5,888,281) 2,728,987 (1,688,198) 8,983,394
$	7,295,196	$

---
11,816 11,816

-

---

--

---

370,000 16,988 386,988
(375,172)

386,988 --
386,988 11,816 1,023,679
1,035,495

See accompanying note to supplementary information.

97

Total Non-Major
Governmental Funds

$          2,642,792 9,992,335 13,576,838 26,744,010 52,955,975

11,638,692

2,059,769 133,463 1,640,927

12,431,629 451,898

1,321,392 4,709,360 19,380,088

433,000 16,988 54,217,206
(1,261,231)

15,856,418 252,000
(20,151,143) (4,042,725) (5,303,956)
36,996,216 $	31,692,260

97

CLOVIS UNIFIED SCHOOL DISTRICT

AGENCY FUNDS

COMBINING BALANCE SHEET JUNE 30, 2016

Warrant/ Pass-Through

Fund

ASSETS

Associated Student Body
Funds	Total

Cash in county treasury Due from other funds
Total Assets

LIABILITIES

Due to other funds

Due to student groups/other agencies

Total Liabilities

$	3,680,288	$ 143,053
$	3,823,341	$

$	 175,239	$ 3,648,102
$	3,823,341	$

2,076,193	$ -
2,076,193	$

-	$ 2,076,193
2,076,193	$

5,756,481 143,053 5,899,534

175,239 5,724,295
5,899,534

See accompanying note to supplementary information.

98

CLOVIS UNIFIED SCHOOL DISTRICT

AGENCY FUNDS
COMBINING STATEMENT OF ASSETS AND LIABILITIES STUDENT BODY FUNDS
JUNE 30, 2016

High Schools

ASSETS

Intermediate

Schools

Elementary

Schools	Total

Cash on hand and in banks Total Assets

LIABILITIES

Due to student groups Club accounts General ASB accounts
Total due to student groups

Total Liabilities

$      1,106,143        $ $      1,106,143        $

$	486,608	$ 619,535
1,106,143

$	1,106,143	$

305,494       $ 305,494       $

97,539	$ 207,955 305,494

305,494	$

664,556 664,556

-664,556 664,556

664,556

$      2,076,193 $      2,076,193

$	 584,147 1,492,046 2,076,193

$	2,076,193

See accompanying note to supplementary information.

99

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES FOR HIGH SCHOOL AND INTERMEDIATE SCHOOL STUDENT BODY FUNDS
FOR THE YEAR ENDED JUNE 30, 2016

HIGH SCHOOLS

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

INTERMEDIATE SCHOOLS ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

TOTALS ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$     1,028,116 $     1,028,116

$        517,572 510,544 1,028,116

$	1,028,116

$        275,250 $        275,250

$	 94,956 180,294 275,250

$	275,250

$     1,303,366 $     1,303,366

$        612,528 690,838 1,303,366

$	1,303,366

$     4,174,570 $     4,174,570

$	1,026,736 3,147,834 4,174,570

$	4,174,570

$        788,990 $        788,990

$	247,971 541,019 788,990

$	788,990

$     4,963,560 $     4,963,560

$	1,274,707 3,688,853 4,963,560

$	4,963,560

$     4,096,543       $ $     4,096,543       $

$	1,057,700	$ 3,038,843 4,096,543

$	4,096,543	$

$        758,746       $ $        758,746       $

$	245,388	$ 513,358 758,746

$	758,746	$

$     4,855,289       $ $     4,855,289       $

$	1,303,088	$ 3,552,201 4,855,289

$	4,855,289	$

1,106,143 1,106,143

486,608 619,535 1,106,143

1,106,143

305,494 305,494

97,539 207,955 305,494

305,494

1,411,637 1,411,637

584,147 827,490 1,411,637

1,411,637

See accompanying note to supplementary information.

100

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
HIGH SCHOOLS
FOR THE YEAR ENDED JUNE 30, 2016

Buchanan High School

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

Clovis High School ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$       262,654 $       262,654

$	136,547 126,107 262,654

$	262,654

$       240,159 $       240,159

$	134,103 106,056 240,159

$	240,159

$       949,783 $       949,783

$	163,080 786,703 949,783

$	949,783

$       950,161 $       950,161

$	186,243 763,918 950,161

$	950,161

$       946,785       $ $       946,785       $

$       174,352       $ 772,433 946,785

$	946,785	$

$       911,891       $ $       911,891       $

$       192,604       $ 719,287 911,891

$	911,891	$

265,652 265,652

125,275 140,377 265,652

265,652

278,429 278,429

127,742 150,687 278,429

278,429

See accompanying note to supplementary information.

101

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
HIGH SCHOOLS, Continued
FOR THE YEAR ENDED JUNE 30, 2016

Clovis East High School

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

Clovis North High School ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$       128,956 $       128,956

$         69,002 59,954 128,956

$	128,956

$       224,403 $       224,403

$	 73,600 150,803 224,403

$	224,403

$       525,857 $       525,857

$	175,652 350,205 525,857

$	525,857

$ 1,070,485 $ 1,070,485

$       354,443 716,042 1,070,485

$ 1,070,485

$       496,284       $ $       496,284       $

$       174,635       $ 321,649 496,284

$	496,284	$

$ 1,039,384       $ $ 1,039,384       $

$       337,034       $ 702,350
1,039,384

$ 1,039,384	$

158,529 158,529

70,019 88,510 158,529

158,529

255,504 255,504

91,009 164,495 255,504

255,504

See accompanying note to supplementary information.

102

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
HIGH SCHOOLS, Continued
FOR THE YEAR ENDED JUNE 30, 2016

Clovis West High School

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

Gateway Continuation School ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups General ASB Accounts
Total Due to Student Groups

Total Liabilities

$       150,116 $       150,116

$       104,320 45,796 150,116

$	150,116

$         21,828 $         21,828

$         21,828 21,828

$	21,828

$       668,236 $       668,236

$	147,318 520,918 668,236

$	668,236

$         10,048 $         10,048

$         10,048 10,048

$	10,048

$       694,074       $ $       694,074       $

$       179,075       $ 514,999 694,074

$	694,074	$

$           8,125       $ $           8,125       $

$	8,125	$ 8,125

$	8,125	$

124,278 124,278

72,563 51,715 124,278

124,278

23,751 23,751

23,751 23,751

23,751

See accompanying note to supplementary information.

103

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
HIGH SCHOOLS, Continued
FOR THE YEAR ENDED JUNE 30, 2016

Balance

July 1, 2015	Additions Totals
ASSETS

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$ 1,028,116 $ 1,028,116

$       517,572 510,544 1,028,116

$ 1,028,116

$ 4,174,570 $ 4,174,570

$ 1,026,736 3,147,834 4,174,570

$ 4,174,570

$ 4,096,543 $ 4,096,543

$ 1,057,700 3,038,843 4,096,543

$ 4,096,543

$       1,106,143 $       1,106,143

$          486,608 619,535 1,106,143

$	1,106,143

See accompanying note to supplementary information.

104

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
INTERMEDIATE SCHOOLS
FOR THE YEAR ENDED JUNE 30, 2016

Alta Sierra Intermediate School

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

C. Todd Clark Intermediate School ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

Kastner Intermediate School ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$         44,417 $         44,417

$	14,046 30,371 44,417

$	44,417

$       105,613 $       105,613

$         29,772 75,841 105,613

$	105,613

$         78,918 $         78,918

$	36,811 42,107 78,918

$	78,918

$       259,098 $       259,098

$	 55,102 203,996 259,098

$	259,098

$       226,291 $       226,291

$	 83,186 143,105 226,291

$	226,291

$       187,523 $       187,523

$	 78,742 108,781 187,523

$	187,523

$       255,250       $ $       255,250       $

$         55,869       $ 199,381 255,250

$	255,250	$

$       231,896       $ $       231,896       $

$         87,859       $ 144,037 231,896

$	231,896	$

$       176,417       $ $       176,417       $

$         72,514       $ 103,903 176,417

$	176,417	$

48,265 48,265

13,279 34,986 48,265

48,265

100,008 100,008

25,099 74,909 100,008

100,008

90,024 90,024

43,039 46,985 90,024

90,024

See accompanying note to supplementary information.

105

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
INTERMEDIATE SCHOOLS, Continued FOR THE YEAR ENDED JUNE 30, 2016

Reyburn Intermediate School

ASSETS

Balance

July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

Totals ASSETS
Cash on Hand and in Banks Total Assets

LIABILITIES

Due to Student Groups Club Accounts General ASB Accounts
Total Due to Student Groups

Total Liabilities

$         46,302 $         46,302

$	14,327 31,975 46,302

$	46,302

$       275,250 $       275,250

$	 94,956 180,294 275,250

$	275,250

$       116,078 $       116,078

$         30,941 85,137 116,078

$	116,078

$       788,990 $       788,990

$	247,971 541,019 788,990

$	788,990

$         95,183       $ $         95,183       $

$	29,146	$ 66,037 95,183

$	95,183	$

$       758,746       $ $       758,746       $

$       245,388       $ 513,358 758,746

$	758,746	$

67,197 67,197

16,122 51,075 67,197

67,197

305,494 305,494

97,539 207,955 305,494

305,494

See accompanying note to supplementary information.

106

CLOVIS UNIFIED SCHOOL DISTRICT

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES STUDENT BODY FUNDS
ELEMENTARY SCHOOLS
FOR THE YEAR ENDED JUNE 30, 2016

Balance

ELEMENTARY SCHOOL	July 1, 2015	Additions

Balance

Deductions	June 30, 2016

Bud Rank Cedarwood Century
Clovis Elementary Cole
Copper Hills Cox
Dry Creek Fancher Creek Fort Washington Freedom Fugman Garfield Gettysburg Jefferson Liberty
Lincoln Maple Creek Miramonte
Mountain View Nelson
Oraze Pinedale Reagan Red Bank Riverview Sierra Vista Tarpey
Temperance-Kutner Valley Oak
Weldon Woods

Total

$           19,258 9,628
15,531 28,563 13,686 4,735 22,264 13,718 53,210 6,681 6,494 41,634 8,004 21,793 10,921 9,059 8,094 16,196 18,159 29,156 25,491 18,016 2,417 23,674 41,821 15,624 12,057 31,903 42,575 13,075 11,799 23,110

$	618,346

$          151,303 100,854 93,582
92,535 96,384 87,220 73,254 129,378 124,110 73,078 103,871 160,007 107,684 103,516 71,757 75,100 70,336 75,801 49,066 102,031 53,222 93,682 53,043 77,301 169,481 139,251 47,695 101,643 71,048 82,366 82,366 120,599

$	3,032,564

$	151,672	$ 95,811 95,142
108,381 86,254 73,124 80,534 121,090 115,468 72,671 94,803 146,737 111,511 105,983 71,331 76,084 67,256 74,875 50,179 112,225 63,893 83,001 55,017 83,860 167,387 122,277 48,965 106,669 76,190 73,931 81,758 112,275

$	2,986,354	$

18,889 14,671 13,971 12,717 23,816 18,831 14,984 22,006 61,852 7,088 15,562 54,904 4,177 19,326 11,347 8,075 11,174 17,122 17,046 18,962 14,820 28,697 443 17,115 43,915 32,598 10,787 26,877 37,433 21,510 12,407 31,434

664,556

See accompanying note to supplementary information.

107

CLOVIS UNIFIED SCHOOL DISTRICT

NOTE TO SUPPLEMENTARY INFORMATION JUNE 30, 2016

NOTE 1 - PURPOSE OF SCHEDULES

Schedule of Expenditures of Federal Awards

The accompanying Schedule of Expenditures of Federal Awards includes the Federal grant activity of the District and is presented on the modified accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. The District has not elected to use the ten percent de minimis cost rate as covered in Section 200.414 Indirect (F&A) costs of the Uniform Guidance.

The following schedule provides reconciliation between revenues reported on the Statement of Revenues, Expenditures, and Changes in Fund Balance, and the related expenditures reported on the Schedule of Expenditures of Federal Awards. The reconciling amount consists of the fair value of commodities received by the District that are not recorded in the District's financial statements.

Total Federal Revenues From the Statement of Revenues, Expenditures, and Changes in Fund Balances:
Reconciling item: Food Distribution
Total Schedule of Expenditures of Federal Awards

CFDA

Number	Amount

$ 26,948,666

10.555                  1,036,810 $ 27,985,476

Local Education Agency Organization Structure

This schedule provides information about the District's boundaries and schools operated, members of the governing board, and members of the administration.

Schedule of Average Daily Attendance (ADA)

Average daily attendance (ADA) is a measurement of the number of pupils attending classes of the District. The purpose of attendance accounting from a fiscal standpoint is to provide the basis on which apportionments of State funds are made to school districts. This schedule provides information regarding the attendance of students at various grade levels and in different programs.

Schedule of Instructional Time

The District has received incentive funding for increasing instructional time as provided by the Incentives for Longer Instructional Day. The District neither met nor exceeded its target funding. This schedule presents information on the amount of instructional time offered by the District and whether the District complied with the provisions of Education Code Sections 46200 through 46206.

108

CLOVIS UNIFIED SCHOOL DISTRICT

NOTE TO SUPPLEMENTARY INFORMATION JUNE 30, 2016

Districts must maintain their instructional minutes at the 1986-1987 requirements as required by Education Code Section 46201.

Reconciliation of Annual Financial and Budget Report With Audited Financial Statements

This schedule provides the information necessary to reconcile the fund balance of all funds reported on the Unaudited Actual Financial Report to the audited financial statements.

Schedule of Financial Trends and Analysis

This schedule discloses the District's financial trends by displaying past years' data along with current year budget information. These financial trend disclosures are used to evaluate the District's ability to continue as a going concern for a reasonable period of time.

Proposition 10 Grants

This schedule discloses the District's revenues and expenditures that occurred during the fiscal year to support the School Readiness Initiative program (SRI). The program is funded from the Tobacco tax money referred to as Proposition 10 money. The program's objectives are to provide early care and educational services with Kindergarten transition programs, provide parenting and family support services, provide health and social services, and to assist in the school's capacity to prepare children and families for school success.

Non-Major Governmental Funds - Balance Sheet and Statement of Revenues, Expenditures and Changes in Fund Balances

The Non-Major Governmental Funds Combining Balance Sheet and Combining Statement of Revenues, Expenditures and Changes in Fund Balances is included to provide information regarding the individual funds that have been included in the Non-Major Governmental Funds column on the Governmental Funds Balance Sheet and Statement of Revenues, Expenditures, and Changes in Fund Balances.

Agency Funds - Combining Balance Sheet

For each school site with an Associated Student Body (ASB), this schedule discloses the school site's individual ASB account balance. The total reported reconciles to the amount reported on the Fiduciary Funds - Statement of Net Position.

109

INDEPENDENT AUDITOR'S REPORTS

110

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INDEPENDENT AUDITOR'S 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

Governing Board
Clovis Unified School District Clovis, California

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 statementsof the governmental activities, each major fund, and the aggregate remaining fund information of Clovis Unified School District (the District) as of and for the year ended June 30, 2016, and the related notes to the financial statements, which collectively comprise Clovis Unified School District's basic financial statements, and have issued our report thereon dated November 17, 2016.

Internal Control Over Financial Reporting

In planning and performing our audit of the financial statements, we considered Clovis Unified School District's internal control over financial reporting (internal control) 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 Clovis Unified School District's internal control. Accordingly, we do not express an opinion on the effectiveness of Clovis Unified School District'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 District's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a 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.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in 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.

111

6051 N. Fresno Street, Suite 101 Fresno, CA 93710 Tel: 559.248.0871 www.vtdcpa.com Fax: 559.248.0875

Compliance and Other Matters

As part of obtaining reasonable assurance about whether Clovis Unified School District'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 District'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 District's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Fresno, California November 17, 2016

112

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INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON INTERNAL CONTROL
OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE

Governing Board
Clovis Unified School District Clovis, California

Report on Compliance for Each Major Federal Program

We have audited Clovis Unified School District's compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of Clovis Unified School District's (the District) major Federal programs for the year ended June 30, 2016. Clovis Unified School District's major Federal programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs.

Management's Responsibility

Management is responsible for compliance with the federal statutes, regulations, and the terms and conditions of its Federal awards applicable to its Federal programs.

Auditor's Responsibility

Our responsibility is to express an opinion on compliance for each of Clovis Unified School District's major Federal programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Those standards and the Uniform Guidance require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major Federal program occurred. An audit includes examining, on a test basis, evidence about Clovis Unified School District's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances.

We believe that our audit provides a reasonable basis for our opinion on compliance for each major Federal program. However, our audit does not provide a legal determination of Clovis Unified School District's compliance.

113

6051 N. Fresno Street, Suite 101 Fresno, CA 93710 Tel: 559.248.0871 www.vtdcpa.com Fax: 559.248.0875

Opinion on Each Major Federal Program

In our opinion, Clovis Unified School District complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major Federal programs for the year ended June 30, 2016.

Report on Internal Control Over Compliance

Management of Clovis Unified School District is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered Clovis Unified School District's internal control over compliance with the types of requirements that could have a direct and material effect on each major Federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major Federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of Clovis Unified School District's internal control over compliance.

A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a Federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a Federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a Federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.

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

The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose.

Fresno, California November 17, 2016

114

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INDEPENDENT AUDITOR'S REPORT ON STATE COMPLIANCE

Governing Board
Clovis Unified School District Clovis, California

Report on State Compliance

We have audited Clovis Unified School District's compliance with the types of compliance requirements as identified in the 2015-2016 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting that could have a direct and material effect on each of the Clovis Unified School District's State government programs as noted below for the year ended June 30, 2016.

Management's Responsibility

Management is responsible for compliance with the requirements of State laws, regulations, and the terms and conditions of its State awards applicable to its State programs.

Auditor's Responsibility

Our responsibility is to express an opinion on compliance of each of the Clovis Unified School District's State programs based on our audit of the types of compliance requirements referred to above. We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the 2015-2016 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting. These standards require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the compliance requirements referred to above that could have a material effect on the applicable government programs noted below. An audit includes examining, on a test basis, evidence about Clovis Unified School District's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination of Clovis Unified School District's compliance with those requirements.

Unmodified Opinion

In our opinion, Clovis Unified School District complied, in all material respects, with the compliance requirements referred to above that are applicable to the government programs noted below that were audited for the year ended June 30, 2016.

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6051 N. Fresno Street, Suite 101 Fresno, CA 93710 Tel: 559.248.0871 www.vtdcpa.com Fax: 559.248.0875

In connection with the audit referred to above, we selected and tested transactions and records to determine the Clovis Unified School District's compliance with the State laws and regulations applicable to the following items:

LOCAL EDUCATION AGENCIES OTHER THAN CHARTER SCHOOLS Attendance
Teacher Certification and Misassignments Kindergarten Continuance
Independent Study Continuation Education Instructional Time Instructional Materials
Ratios of Administrative Employees to Teachers Classroom Teacher Salaries
Early Retirement Incentive Gann Limit Calculation
School Accountability Report Card Juvenile Court Schools
Middle or Early College High Schools K-3 Grade Span Adjustment Transportation Maintenance of Effort
SCHOOL DISTRICTS, COUNTY OFFICES OF EDUCATION, AND CHARTER SCHOOLS
Educator Effectiveness California Clean Energy Jobs Act
After School Education and Safety Program: General Requirements
After School Before School
Proper Expenditure of Education Protection Account Funds Unduplicated Local Control Funding Formula Pupil Counts Local Control Accountability Plan
Independent Study - Course Based Immunizations
CHARTER SCHOOLS Attendance
Mode of Instruction
Non Classroom-Based Instruction/Independent Study for Charter Schools Determination of Funding for Non Classroom-Based Instruction
Annual Instruction Minutes Classroom-Based Charter School Facility Grant Program

Procedures Performed

Yes Yes Yes Yes Yes Yes Yes Yes Yes
No (see below) Yes Yes
No (see below) No (see below) Yes Yes

Yes Yes

Yes Yes
No (see below) Yes Yes Yes
No (see below) Yes

Yes
No (see below) Yes Yes
No (see below) No (see below)

The District did not offer an Early Retirement Incentive Program during the current year; therefore, we did not perform procedures related to the Early Retirement Incentive Program.

The District does not have any Juvenile Court Schools; therefore, we did not perform any procedures related to Juvenile Court Schools.

The District does not have any Middle or Early College High Schools; therefore, we did not perform any procedures related to Middle or Early College High Schools.

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The District does not offer a Before School Education and Safety Program; therefore, we did not perform any procedures related to the Before School Education and Safety Program.

The District does not offer Independent Study - Course Based Program; therefore, we did not perform any procedures related to Independent Study - Course Based Program.

We did not perform testing of the Charter Schools Mode of Instruction or Annual Instruction Minutes Classroom-Based because the District’s charter school is all non-classroom based attendance.

Additionally, we did not perform the recommended procedures for the Charter School Facility Grant Program because the District did not receive funding for this program.

Fresno, California November 17, 2016

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SCHEDULE OF FINDINGS AND QUESTIONED COSTS

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CLOVIS UNIFIED SCHOOL DISTRICT

SUMMARY OF AUDITOR'S RESULTS FOR THE YEAR ENDED JUNE 30, 2016

FINANCIAL STATEMENTS Type of auditor's report issued:
Internal control over financial reporting: Material weakness identified? Significant deficiency identified?
Noncompliance material to financial statements noted?

FEDERAL AWARDS

Internal control over major Federal programs: Material weakness identified?
Significant deficiency identified?

Type of auditor's report issued on compliance for major Federal programs:

Any audit findings disclosed that are required to be reported in accordance with Section 200.516(a) of the Uniform Guidance?
Identification of major Federal programs:

Unmodified

No None reported
No

No None reported
Unmodified

No

CFDA Numbers 84.366
10.553, 10.555, 10.559

Name of Federal Program or Cluster

Title II, Part B, Math and Science Partnerships

Child Nutrition Cluster

Dollar threshold used to distinguish between Type A and Type B programs:

Auditee qualified as low-risk auditee?

$	839,564

Yes

STATE AWARDS

Type of auditor's report issued on compliance for programs:	Unmodified

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CLOVIS UNIFIED SCHOOL DISTRICT

FINANCIAL STATEMENT FINDINGS FOR THE YEAR ENDED JUNE 30, 2016

None reported.

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CLOVIS UNIFIED SCHOOL DISTRICT

FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS FOR THE YEAR ENDED JUNE 30, 2016

None reported.

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CLOVIS UNIFIED SCHOOL DISTRICT

STATE AWARDS FINDINGS AND QUESTIONED COSTS FOR THE YEAR ENDED JUNE 30, 2016

None reported.

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CLOVIS UNIFIED SCHOOL DISTRICT

SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS FOR THE YEAR ENDED JUNE 30, 2016

There were no audit findings reported in the prior year's schedule of financial statement findings.

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