Minnesota Office of the Legislative Auditor
Financial Audit Division

Menu

Minnesota Office of the Legislative Auditor Menu

State Agricultural Society
Financial Statement Audit

 

Financial Audit Division Report 08-16 Released June 13, 2008

Conclusions

  • The State Agricultural Society’s (society) financial statements for the two years ended October 31, 2007, were presented fairly in accordance with generally accepted accounting principles in all material respects.
  • Generally, the society’s internal controls for selected financial operations were adequate.  However, the fair had one weakness related to controls over the receipt of foundation grants.
  • The society complied with the finance-related legal provisions we tested.
  • The society implemented a prior audit recommendation:  It strengthen controls over coliseum and grandstand ticket sales remitted by a contract vendor.

Findings

The society did not sufficiently monitor a receipt from the Minnesota State Fair Foundation.

Audit Objectives and Scope

Audit Objectives:
  • To give an opinion on the society’s financial statements.
  • To review internal control over selected financial operations.
  • To determine compliance with finance-related legal provisions.
  • To determine the status of a prior audit recommendation.

Audit Period: The two years ended October 31, 2007.

Programs Audited:
  • Cash and Cash Equivalents
  • Revenue Bond Liabilities
  • Entertainer Payouts and Other Expenses
  • Capital Assets
  • Ticket Sales
  • Payroll Expense

Background

The State Agricultural Society operates Minnesota’s annual state fair and maintains the state fairgrounds.  It earned about $35 million in operating revenues during fiscal year 2007 and had total assets of nearly $50 million on October 31, 2007.  The society included the activities of the State Fair Foundation in its annual report as a discretely presented component unit.

More Information

Office of the Legislative Auditor ♦ Room 140, 658 Cedar St., St. Paul, MN 55155