Cochise County June 30, 2005 Report Highlights-Single Audit

Cochise CountyCounty Implements NewREPORTHIGHLIGHTS Financial Reporting StandardSINGLE AUDITDuring fiscal year 2005, the County Custodial risk: This is the risk that aSubjectimplemented Governmental Accounting government will not be able to recoverCochise County is Standards Board Statement No. 40, deposits if a depository financialresponsible for preparing Deposit and Investment Risk Disclosures. institution fails, or recover the value of anfinancial statements, This reporting standard requires the investment if the outside party holding themaintaining strong internal County to disclose its investment policies investment fails. Governments mustcontrols, and demonstratingand any investment and deposit risks disclose deposits and investmentsaccountability for its use ofrelated to credit risk, custodial credit risk,public monies. As the exposed to this risk by type and fair valueauditors, our job is to concentration of credit risk, interest rate and describe how they are held. Atdetermine whether the risk, and foreign currency risk. The table June 30, 2005, the County’s deposits andCounty has met its below lists the County’s deposits and investments totaled $102.1 million. Of thisresponsibilities.investments at June 30, 2005. total, $1.2 million was exposed toOur Conclusion custodial credit risk.Deposits and Investments June 30, 2005 The information in the Concentration risk: This is the risk of(In thousands) financial statements is fairlyloss attributed ...