Audit of the House Recording Studio Revolving Fund for the Fiscal Year Ended March 31, 1978
GGD-78-90: Published: Aug 8, 1978. Publicly Released: Aug 8, 1978.
- Full Report:
Operations of the House Recording Studio are financed from a revolving fund and from funds appropriated to the Clerk of the House. Monies received from operations are deposited into the revolving fund and are available for the Studio's operation. Employee salaries and benefits and certain other operating expenses are paid from appropriated funds. House Resolution 287 prohibited members from maintaining an unofficial office account to defray expenses incurred in the operation of a congressional office, including expenses for recording studio services. It restructured the allowance for official expenses outside the District of Columbia to provide funds for Members' official expenses and increased the annual allowance for expenses from $2,000 to $7,000.
Accounts receivable from Members amounted to $27,651 at March 31, 1978, a decrease of $1,572 from the amount receivable at March 31, 1977. There was a total of $97,744 in equipment additions, $75,557 in equipment deductions, and a total balance for equipment of $1,112,365 at the end of the period. The comparative statement of revolving fund operations for the fiscal years (FY) ended March 31, 1978, and March 31, 1977, showed that revenues exceeded costs by $45,163 for FY 1978, compared with $2,154 for FY 1977. The higher Studio earnings during the FY ended March 31, 1978, was primarily attributed to increased sales and lower operating costs as a percentage of sales. The Studio's accounting records, which were maintained on a cash basis, were adjusted to present the financial position and results of the revolving fund operations on an accrual basis. The financial statements presented fairly the financial position of the revolving fund for the periods examined, the results of Studio operations, and the changes in financial positions for these periods on a basis consistent with that of preceding years.