PUB00119

• Year: 2004
• Title: Colorado Foundation for Water Education Annual Report -- 2002-2003
• CWCB Section: Administration
• Author: Colorado Foundation for Water Education
• Description: Colorado Foundation for Water Education Annual Report -- 2002-2003
• Publications - Doc Type: Other

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Financials

COLORADO FOUNDATION FOR WATER EDUCA nON

NOTES TO FINANCIAL STATEMENTS
June 30, 2003

NOTE 1: ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(Continued)

Income Taxes

The Foundation is exempt from income tax under Section 501 (c )(3) fo the United States Internal Revenue
Code. However, income from activities not directly related to the Foundation's tax-exempt purpose is
subject to taxation on unrelated business income.

NOTE 2: TEMPORARILY RESTRICTED NET ASSETS

An agreement dated November 22, 2002, between the Colorado Water Congress and the Foundation for
utilizing funds from the Colorado Water Conservation Board appropriates an initial funding to the
Foundation in the amount of $250,000, and $150,000 annually thereafter. The funds provided are to be
used solely for the purpose of supporting water education programs. Amounts not spent as of June 30,
2003, are temporarily restricted and are to be recognized as revenue once qualifYing expenses have
incurred, In addition, funds not spent by the Foundation by June 30, 2004 are to be remitted to the
Colorado Water Congress.

At June 30, 2003 , temporarily restricted net assets in the amount of $125,822 are available for water
education programs.

NOTE 3: NET ASSETS RELEASED FROM RESTRICTION

For the year ended June 30, 2003, net assets in the amount of $124,178 were released from donor
restrictions by incurring expenses satisfYing the restricted purpose.

NOTE 4: RETIREMENT PLAN

The Foundation's employees are eligible to participate in a Simplified Employee Pension (SEP) Plan,
Contributions are made by the employer at a rate of 12 percent of the employee's salary. Contributions
are immediately vested, Individual Retirement Accounts (IRAs) are set up for each participant in the Plan,
such that employees control their own investments, All interest, dividends, and capital gains for this
retirement plan accumulate tax-deferred until withdrawal. For the year ended June 30, 2003 the
Foundation contributed $3,922 to this Plan.

NOTE 5: CONCENTRATION OF RISK

The Foundation receives a substantial amount ofits support from the Colorado Water Conservation Board
pursuant to House Bill 02-1152. A significant reduction in this level of support, if it were to occur, may
have an effect on the Foundation's programs and activities.

Colorado Foundation/or Water Education 2002 - 2003 Annual Report

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