Report No. 2011-22
May 2011
Complete Report
Findings in the audit of the Hanley Road and North of Folk Avenue Transportation Development District
Background
The Hanley Road and North of Folk Avenue Transportation Development District (TDD) was organized in May 2004 and is located in the City of Maplewood, in St. Louis County. This TDD approved a 1-cent sales tax to finance the costs of various transportation projects totaling $13.4 million. This sales tax was expected to remain in effect for 25 years.
In March 2009, the Hanley Road Corridor (HRC) TDD was organized and effectively consolidated the activities of this and four other local TDDs by refinancing or accepting the debt of these TDDs. The Hanley Road and North of Folk Avenue TDD Board voted to repeal its sales tax once the HRC TDD sales tax became effective, and, in November 2010, the TDD Board expressed its intent to dissolve.
Statutory Requirement
Section 238.275, RSMo, requires the State Auditor to determine the financial status of a TDD before it may be abolished. The law prohibits the abolition of a TDD while there are outstanding claims or causes of action pending against it, if its liabilities exceed its assets, or while the TDD is insolvent, in receivership, or under the jurisdiction of a bankruptcy court.
Financial Status
Based upon our audit and an estimate of outstanding liabilities for final administrative costs received from legal counsel, the Hanley Road and North of Folk Avenue TDD assets will be sufficient to pay any remaining costs and the Board of Directors may proceed with its abolishment.
Because of the limited objective of this audit, no overall rating is provided.
American Recovery and Reinvestment Act 2009 (Federal Stimulus)
The Hanley Road and North of Folk Avenue TDD did not receive any federal stimulus monies during the audited time period.
*The rating(s) cover only audited areas and do not reflect an opinion on the overall operation of the entity. Within that context, the rating scale indicates the following:
Excellent:
The audit results indicate this entity is very well managed. The report contains no findings. In addition, if applicable, prior recommendations have been implemented.
Good:
The audit results indicate this entity is well managed. The report contains few findings, and the entity has indicated most or all recommendations have already been, or will be, implemented. In addition, if applicable, many of the prior recommendations have been implemented.
Fair:
The audit results indicate this entity needs to improve operations in several areas. The report contains several findings, or one or more findings that require management's immediate attention, and/or the entity has indicated several recommendations will not be implemented. In addition, if applicable, several prior recommendations have not been implemented.
Poor:
The audit results indicate this entity needs to significantly improve operations. The report contains numerous findings that require management's immediate attention, and/or the entity has indicated most recommendations will not be implemented. In addition, if applicable, most prior recommendations have not been implemented.
Complete Audit Report
Missouri State Auditor's Office
moaudit@auditor.mo.gov
