SCHOOL DISTRICT OF CLAYTON BALANCE SHEET - GOVERNMENTAL FUNDS June 30, 2021 General Fund Special Revenue Fund Debt Service Fund Capital Projects Fund Total Governmental Funds ASSETS Cash and equivalents $ 12,509,944 $ 14,240,327 $ 5,710,303 $ 3,787,787 $ 36,248,361 Receivables Property taxes - net of allowance for uncollectibles of $917,660 15,211,869 30,928,701 8,263,375 3,327,652 57,731,597 Sales taxes 326,233 195,740 - - 521,973 Grants 279,519 487,376 - - 766,895 Other receivables 218,712 2,836 - 4,250 225,798 Due from other funds - 1,551 - 29,015 30,566 Inventories 86,951 - - - 86,951 Prepaid expenditures 334,897 - - - 334,897 Total assets $ 28,968,125 $ 45,856,531 $ 13,973,678 $ 7,148,704 $ 95,947,038 LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES LIABILITIES Accounts payable $ 627,304 $ - $ - $ 456,523 $ 1,083,827 Due to other funds 43,992 - - - 43,992 Accrued payroll and payroll taxes 23,739 104,255 - - 127,994 Unearned revenue 159,659 2,836 - 4,250 166,745 Total liabilities 854,694 107,091 - 460,773 1,422,558 DEFERRED INFLOWS OF RESOURCES Deferred property taxes 15,805,326 32,045,913 8,559,178 3,416,676 59,827,093 Deferred grants 248,781 113,795 - - 362,576 Deferred other 574 - - - 574 Total deferred inflows of resources 16,054,681 32,159,708 8,559,178 3,416,676 60,190,243 FUND BALANCES Nonspendable Inventories 86,951 - - - 86,951 Prepaid expenditures 334,897 - - - 334,897 Restricted Grants 279,519 487,376 - - 766,895 Teachers salaries and benefits - 13,102,356 - - 13,102,356 Debt service - - 5,414,500 - 5,414,500 Committed Capital reserve - - - 2,872,011 2,872,011 Assigned Other capital projects - - - 399,244 399,244 Student activities 572,480 - - - 572,480 Unassigned 10,784,903 - - - 10,784,903 Total fund balances 12,058,750 13,589,732 5,414,500 3,271,255 34,334,237 Total liabilities, deferred inflows of resources and fund balances $ 28,968,125 $ 45,856,531 $ 13,973,678 $ 7,148,704 $ 95,947,038 The accompanying notes are an integral part of this statement. - 23 - SCHOOL DISTRICT OF CLAYTON RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET WITH THE DISTRICT-WIDE STATEMENT OF NET POSITION June 30, 2021 Amounts reported for governmental activities in the Statement of Net Position are different because: Total fund balance - governmental funds $ 34,334,237 Capital assets used in governmental activities are not financial resources and therefore are not reported as assets in the governmental funds. The cost of capital assets is 156,861,827 Accumulated depreciation is (54,914,831) 101,946,996 Certain property taxes, grants, and other receivables will be collected this year, but are not available soon enough to pay for the current period's expenditures, and therefore are deferred in the funds. 1,644,839 An internal service fund is used by management to charge the costs of insurance to individual funds. The assets and liabilities of the internal service fund are included in governmental activities in the statements of net position. 1,262,993 Deferred outflows of resources are not due and payable in the current period and therefore are not reported in the funds Deferred pension contributions 15,836,205 Deferred OPEB 633,388 16,469,593 Deferred inflows of resources related to pension deferrals are not reported in governmental funds. (2,332,847) Deferred inflows of resources related to OPEB deferrals are not reported in governmental funds. (1,193,731) Long-term liabilities, including bonds payable, are not due and not payable in the current period and therefore are not reported as liabilities in the funds. Long-term liabilities at year end consist of: Bonds payable 59,110,865 Capital leases, net 4,265,000 Accrued interest on the bonds 616,447 Compensated absences 391,528 Net pension liability 53,658,800 OPEB liability 5,326,017 (123,368,657) Net position of governmental activities $ 28,763,423 The accompanying notes are an integral part of this statement. - 24 -

The assets and liabilities of the internal service fund are included in governmental activities in the statements of net position. 1,262,993 Deferred outflows of resources are not due and payable in the current period and therefore are not reported in the funds Deferred pension contributions 15,836,205 Deferred OPEB 633,388 16,469,593 Deferred inflows of resources related to pension deferrals are not reported in governmental funds. (2,332,847) Deferred inflows of resources related to OPEB deferrals are not reported in governmental funds. (1,193,731) Long-term liabilities, including bonds payable, are not due and not payable in the current period and therefore are not reported as liabilities in the funds. Long-term liabilities at year end consist of: Bonds payable 59,110,865 Capital leases, net 4,265,000 Accrued interest on the bonds 616,447 Compensated absences 391,528 Net pension liability 53,658,800 OPEB liability 5,326,017 (123,368,657) Net position of governmental activities $ 28,763,423 The accompanying notes are an integral part of this statement. - 24 - SCHOOL DISTRICT OF CLAYTON STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Year ended June 30, 2021 General Fund Special Revenue Fund Debt Service Fund Capital Projects Fund Total Governmental Funds Revenues Local $ 19,160,260 $ 31,310,825 $ 7,644,096 $ 3,719,857 $ 61,835,038 County 126,706 258,168 183,033 45,909 613,816 State 251,491 1,457,571 - 1,079 1,710,141 Federal 878,266 464,325 203,436 280,172 1,826,199 Other (104) 75,451 - 41,612 116,959 Total revenues 20,416,619 33,566,340 8,030,565 4,088,629 66,102,153 Expenditures Instruction 2,024,025 27,748,406 - 1,048,194 30,820,625 Attendance and guidance 750,317 1,385,574 - - 2,135,891 Health services 638,257 211,849 - 13,606 863,712 Improvement of instruction and professional development 168,646 1,117,884 - - 1,286,530 Media services 361,959 604,720 - 6,177 972,856 Board of Education services 196,702 - - - 196,702 Executive administration 1,624,208 1,190,156 - 97,784 2,912,148 Building level administration 1,058,731 1,594,375 - 7,570 2,660,676 Operation of plant 7,364,685 - - 1,755,025 9,119,710 Security services 190,429 - - 205,414 395,843 Nonallowable transportation 112,574 - - - 112,574 Food services 582,583 - - 1,574 584,157 Business services 982,985 - - 9,812 992,797 Central office support services 472,269 - - 1,371 473,640 Adult/community programs 1,086,492 3,166 - 13,107 1,102,765 Facilities acquisition and construction - - - 1,492,652 1,492,652 Debt service Principal retirements - - 6,915,000 480,000 7,395,000 Interest and other charges - - 2,058,208 114,499 2,172,707 Total expenditures 17,614,862 33,856,130 8,973,208 5,246,785 65,690,985 Revenues over (under) expenditures 2,801,757 (289,790) (942,643) (1,158,156) 411,168 Other financing sources (uses) Transfers (169,909) 3,994 - 12,770 (153,145) (169,909) 3,994 - 12,770 (153,145) Net Change in Fund Balances 2,631,848 (285,796) (942,643) (1,145,386) 258,023 Fund balances at July 1, 2020 9,426,902 13,875,528 6,357,143 4,416,641 34,076,214 Fund balances at June 30, 2021 $ 12,058,750 $ 13,589,732 $ 5,414,500 $ 3,271,255 $ 34,334,237 The accompanying notes are an integral part of this statement. - 25 -

SCHOOL DISTRICT OF CLAYTON STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS Year ended June 30, 2021 General Fund Special Revenue Fund Debt Service Fund Capital Projects Fund Total Governmental Funds Revenues Local $ 19,160,260 $ 31,310,825 $ 7,644,096 $ 3,719,857 $ 61,835,038 County 126,706 258,168 183,033 45,909 613,816 State 251,491 1,457,571 - 1,079 1,710,141 Federal 878,266 464,325 203,436 280,172 1,826,199 Other (104) 75,451 - 41,612 116,959 Total revenues 20,416,619 33,566,340 8,030,565 4,088,629 66,102,153 Expenditures Instruction 2,024,025 27,748,406 - 1,048,194 30,820,625 Attendance and guidance 750,317 1,385,574 - - 2,135,891 Health services 638,257 211,849 - 13,606 863,712 Improvement of instruction and professional development 168,646 1,117,884 - - 1,286,530 Media services 361,959 604,720 - 6,177 972,856 Board of Education services 196,702 - - - 196,702 Executive administration 1,624,208 1,190,156 - 97,784 2,912,148 Building level administration 1,058,731 1,594,375 - 7,570 2,660,676 Operation of plant 7,364,685 - - 1,755,025 9,119,710 Security services 190,429 - - 205,414 395,843 Nonallowable transportation 112,574 - - - 112,574 Food services 582,583 - - 1,574 584,157 Business services 982,985 - - 9,812 992,797 Central office support services 472,269 - - 1,371 473,640 Adult/community programs 1,086,492 3,166 - 13,107 1,102,765 Facilities acquisition and construction - - - 1,492,652 1,492,652 Debt service Principal retirements - - 6,915,000 480,000 7,395,000 Interest and other charges - - 2,058,208 114,499 2,172,707 Total expenditures 17,614,862 33,856,130 8,973,208 5,246,785 65,690,985 Revenues over (under) expenditures 2,801,757 (289,790) (942,643) (1,158,156) 411,168 Other financing sources (uses) Transfers (169,909) 3,994 - 12,770 (153,145) (169,909) 3,994 - 12,770 (153,145) Net Change in Fund Balances 2,631,848 (285,796) (942,643) (1,145,386) 258,023 Fund balances at July 1, 2020 9,426,902 13,875,528 6,357,143 4,416,641 34,076,214 Fund balances at June 30, 2021 $ 12,058,750 $ 13,589,732 $ 5,414,500 $ 3,271,255 $ 34,334,237 The accompanying notes are an integral part of this statement. - 25 - SCHOOL DISTRICT OF CLAYTON RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES WITH THE DISTRICT-WIDE STATEMENT OF ACTIVITIES Year ended June 30, 2021 Total net change in fund balance - governmental funds $ 258,023 Capital outlay to purchase or build capital assets are reported in governmental funds as expenditures. However, for governmental activities, those costs are shown in the Statement of Net Position and allocated over their estimated useful lives as annual depreciation expenses in the Statement of Activities. This is the amount by which capital outlay exceeds depreciation expense for the period. Depreciation expense 4,235,412 Capital outlay (3,761,734) (473,678) Because some property taxes, grants, and other inflows of resources will not be collected for several months after the District's fiscal year end, they are not considered as "available" revenues in the governmental funds, and are instead reported as deferred inflows of resources. They are, however, reported as revenues in the Statement of Activities. 374,716 In the Statement of Activities, the loss or gain on the sale of disposal of capital assets is recognized. The fund financial statements recognize only the proceeds from the assets. Loss on disposal of capital assets (10,309) In the Statement of Activities, certain operating expenses such as compensated absences (vacations) are measured by the amounts earned during the year. In the governmental funds, however, expenditures for these items are measured by the amount of financial resources used (essentially, the amounts actually paid). 169,504 The governmental funds report debt (e.g. bond) proceeds as another financial source, while repayment of debt principal is reported as an expenditure. Also governmental funds report the effect of premiums when debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities. The net effect of these differences in the treatment of debt and related items are as follows: Bond issuance premium 758,047 Repayment of bond principal 6,915,000 Capital lease principal 480,000 8,153,047 Interest on long-term debt in the Statement of Activities differs from the amount reported in the governmental funds because interest is recorded as an expenditure in the funds when it is due, and thus requires the use of current financial resources. In the Statement of Activities, however, interest expense is recognized as the interest accrues, regardless of when it is due. 80,236 The internal services fund used by management to charge the costs of the insurance to individual funds is not reported in the Statement of Activities. Governmental fund expenditures and the related internal service fund revenues are eliminated. The net revenue (expense) of the internal service fund is included in the governmental activities. 421,965 The fund financial statements do not recognize the liability related to postemployment benefits other than pensions. The increase in this liability is recognized in the Statement of Activities. (80,595) The fund financial statements do not recognize the pension liability. The increase is recognized in the Statement of Activities. (4,156,923) Change in net position of governmental activities $ 4,735,986 The accompanying notes are an integral part of this statement. - 26 -

The increase in this liability is recognized in the Statement of Activities. (80,595) The fund financial statements do not recognize the pension liability. The increase is recognized in the Statement of Activities. (4,156,923) Change in net position of governmental activities $ 4,735,986 The accompanying notes are an integral part of this statement. - 26 - SCHOOL DISTRICT OF CLAYTON STATEMENT OF NET POSITION - PROPRIETARY FUNDS June 30, 2021 Business-type activities - Enterprise fund Governmental activities - Internal service fund Total ASSETS Current assets Cash $ - $ 1,404,014 $ 1,404,014 Other receivables 5,140 - 5,140 Noncurrent assets Due from other funds 13,426 - 13,426 Capital assets 75,754 - 75,754 Total assets 94,320 1,404,014 1,498,334 LIABILITIES Current liabilities Accounts payable 811 141,021 141,832 Accrued payroll and payroll taxes 3,570 - 3,570 Unearned revenue 14,185 - 14,185 Total current liabilities 18,566 141,021 159,587 NET POSITION Net investment in capital assets 75,754 - 75,754 Unrestricted - 1,262,993 1,262,993 Total net position $ 75,754 $ 1,262,993 $ 1,338,747 The accompanying notes are an integral part of this statement. - 27 -

SCHOOL DISTRICT OF CLAYTON STATEMENT OF NET POSITION - PROPRIETARY FUNDS June 30, 2021 Business-type activities - Enterprise fund Governmental activities - Internal service fund Total ASSETS Current assets Cash $ - $ 1,404,014 $ 1,404,014 Other receivables 5,140 - 5,140 Noncurrent assets Due from other funds 13,426 - 13,426 Capital assets 75,754 - 75,754 Total assets 94,320 1,404,014 1,498,334 LIABILITIES Current liabilities Accounts payable 811 141,021 141,832 Accrued payroll and payroll taxes 3,570 - 3,570 Unearned revenue 14,185 - 14,185 Total current liabilities 18,566 141,021 159,587 NET POSITION Net investment in capital assets 75,754 - 75,754 Unrestricted - 1,262,993 1,262,993 Total net position $ 75,754 $ 1,262,993 $ 1,338,747 The accompanying notes are an integral part of this statement. - 27 - SCHOOL DISTRICT OF CLAYTON STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION - PROPRIETARY FUNDS Year ended June 30, 2021 Business-type activities - Enterprise fund Governmental activities - Internal service fund Total Operating revenues Contributions $ - $ 5,157,053 $ 5,157,053 Rents 12,770 - 12,770 Tuition and fees 201,728 - 201,728 Other - 5,758 5,758 Total operating revenues 214,498 5,162,811 5,377,309 Operating expenses Salaries 260,449 - 260,449 Benefits 83,377 - 83,377 Purchased services 8,522 - 8,522 Supplies 15,295 - 15,295 Claims expenses & fees - 4,740,846 4,740,846 Depreciation 12,013 - 12,013 Total operating expenses 379,656 4,740,846 5,120,502 Operating income (loss) (165,158) 421,965 256,807 Other Transfers to governmental activities 153,145 - 153,145 CHANGES IN NET POSITION (12,013) 421,965 409,952 Net position at July 1, 2020 87,767 841,028 928,795 Net position at June 30, 2021 $ 75,754 $ 1,262,993 $ 1,338,747 The accompanying notes are an integral part of this statement. - 28 -