Comprehensive Annual Financial Report - Harford County Public ...

September 30, 2012
Members of the Board of Education:
The Public School Laws of the State of Maryland require school districts publish within three
months of the close of each fiscal year a complete set of audited financial statements. This report
is published to fulfill that requirement for the fiscal year ended June 30, 2012.
Management assumes full responsibility for the completeness and reliability of the information
contained in this report, based upon a comprehensive framework of internal control that it has
established for this purpose. Because the cost of internal controls should not exceed anticipated
benefits, the objective is to provide reasonable rather than absolute assurance that the financial
statements are free of any material misstatements.
SB & Company, LLC, a firm of licensed certified public accountants, have issued an unqualified
(“clean”) opinion on Harford County Public Schools (HCPS) financial statements for the fiscal
year ended June 30, 2012. The independent public accountants’ report is located at the front of
the financial section of this report.
Management’s discussion and analysis (MD&A) immediately follows the independent public
accountants’ report and provides a narrative introduction, overview, and analysis of the basic
financial statements. MD&A complement this letter of transmittal and should be read in
conjunction with it.
All funds and accounts of the HCPS are included in the comprehensive annual financial report.
For financial reporting purposes, HCPS has been defined as a component unit of the Harford
County Government. Therefore, HCPS is included in the comprehensive annual financial report
of Harford County.
Profile of the Government
HCPS is a component unit of Harford County Government and financial statements and
footnotes will be included in the Harford County Government Comprehensive Annual Financial
Report. Harford County Public Schools (HCPS) is a fiscally dependent school system with an
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