2011 – A “Stub” Year
The “stub” year was a result of the change in our fiscal year, in 2011, to begin in October, and end in September. As stated in our 2011 audit:
“In January 2011, the board of directors elected to amend their bylaws and change the Food Bank’s reporting period from a calendar year from October 1st to September 30th. The primary reason for doing so was to more accurately budget the Food Bank’s operations since a significant portion of support is received between October and December annually. In addition, many of the federal grants received by the Food Bank are on an October 1st to September 30th fiscal year; therefore the Food Bank will be on a consistent reporting year with such grants.
“In order to begin reporting on their new fiscal year, the Food Bank must file a short-year Form 990 and have an audit for the short-year (nine-month period) from January 1, 2011- September 30, 2011. The months of October-December 2011 will be reported in the next fiscal year. These months historically reflect a significant increase in support and fundraising income. The Food Bank’s signature fundraising special event is held annually in October. Management believes that the readers and users of these financial statements should bear in mind that this report is for the nine-month period and will not include the three months for which significant support and revenue has historically been received.”
The audit shows a significant loss, though it is a fiscal enigma. This is because we removed the three months which show the most revenue during the year. If the quarter October-December 2011 is added to the first 9 months of the year, we would still have shown a loss, but a much smaller one. According to our auditor, we continue to qualify “as a low-risk auditee.”