Attached files
| file | filename |
|---|---|
| 10-K - NAT 6-6 SUPER 10K - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | nat66super10k.htm |
| EX-32.2 - NAT 6-6 10Q EXHIBIT 32.2 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | exhibit322.htm |
| EX-31.1 - NAT 6-6 10Q EXHIBIT 31.1 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | exhibit311.htm |
| EX-31.2 - NAT 6-6 10Q EXHIBIT 31.2 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | exhibit312.htm |
| EX-99 - BOONVILLE FS 2010 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | boonville-2010.htm |
| EX-32.1 - NAT 6-6 10Q EXHIBIT 32.1 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | exhibit321.htm |
| EX-99 - BOONVILLE FS 2008 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | boonville-2008.htm |
| EX-99 - BOONVILLE FS 2006 - WNC HOUSING TAX CREDIT FUND VI LP SERIES 6 | booneville-2006.htm |
FINANCIAL STATEMENTS AND
INDEPENDENT AUDITORS' REPORT
BOONVILLE ASSOCIATES I, L.P.
(A MISSOURI LIMITED PARTNERSHIP)
MHDC PROJECT NO.: 00-100-HCT
DECEMBER 31, 2005 AND 2004
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
TABLE OF CONTENTS
|
PAGE
|
|
|
INDEPENDENT AUDITORS' REPORT
|
4
|
|
FINANCIAL STATEMENTS
|
|
|
BALANCE SHEETS
|
5
|
|
STATEMENTS OF OPERATIONS
|
7
|
|
STATEMENTS OF PARTNERS' EQUITY (DEFICIT)
|
9
|
|
STATEMENTS OF CASH FLOWS
|
10
|
|
NOTES TO FINANCIAL STATEMENTS
|
12
|
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SUPPLEMENTAL INFORMATION
|
|
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ACCOUNTS AND NOTES RECEIVABLE (OTHER THAN FROM TENANTS)
|
21
|
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ACCOUNTS PAYABLE (OTHER THAN TRADE CREDITORS)
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21
|
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ACCOUNTS PAYABLE (TRADE CREDITORS)
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21
|
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OTHER ACCRUED EXPENSES
|
21
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COMPENSATION OF PARTNERS
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21
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TENANT ACCOUNTS RECEIVABLE
|
22
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Reznick Group, P.C.
4711 W. Galt Road
Suite 200
Skokie, IL 60076-1236
|
Tel: (847) 324-7500
Fax: (847) 324-7501
www.reznickgroup.com
|
INDEPENDENT AUDITORS' REPORT
To the Partners
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
We have audited the accompanying balance sheets of Boonville Associates I, L.P. (A Missouri Limited Partnership) as of December 31, 2005 and 2004, and the related statements of operations, partners' equity (deficit), and cash flows for the years then ended. These financial statements are the responsibility of the Partnership's management. Our responsibility is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Boonville Associates I, L.P. (A Missouri Limited Partnership) as of December 31, 2005 and 2004, and the results of its operations, changes in partner's equity (deficit), and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States of America.
Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information on pages 21 through 27 is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole.
/s/ Reznick Group, P. C.
Skokie, Illinois
January 26, 2006
-4-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
BALANCE SHEETS
December 31, 2005 and 2004
ASSETS
|
2005
|
2004
|
|||||||
|
Fixed Assets
|
||||||||
|
1420 - Buildings
|
$ | 3,601,152 | $ | 3,601,152 | ||||
|
1430 - Site Improvements
|
34,237 | 34,237 | ||||||
|
1450 - Furniture and Fixtures
|
114,715 | 114,715 | ||||||
|
4250 - Less: Accumulated Depreciation
|
(673,983 | ) | (521,314 | ) | ||||
|
Net Book Value
|
3,076,121 | 3,228,790 | ||||||
|
1410 - Land
|
165,000 | 165,000 | ||||||
|
Total Fixed Assets
|
3,241,121 | 3,393,790 | ||||||
|
Current Assets
|
||||||||
|
1120 - Cash - Project
|
25,171 | 1,399 | ||||||
|
1130 - Accounts Receivable - Tenant
|
3,824 | 4 | ||||||
|
1240 - Prepaid Insurance
|
4,823 | 4,900 | ||||||
|
Total Current Assets
|
33,818 | 6,303 | ||||||
|
Security Deposits Held in Trust
|
||||||||
|
1191 - Cash - Restricted
|
9,907 | 9,609 | ||||||
|
2191 - Less: Tenant Security Deposits
|
(9,000 | ) | (9,400 | ) | ||||
|
Total Security Deposits Held in Trust
|
907 | 209 | ||||||
|
Escrow Deposits and Restricted Reserves
|
||||||||
|
1310 - Real Estate Tax Escrow
|
820 | 1,392 | ||||||
|
1310 - Insurance Escrow
|
4,962 | 4,193 | ||||||
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1320 - Replacement Reserve
|
51,924 | 45,376 | ||||||
|
1380 - Operating Reserve
|
4,753 | 4,670 | ||||||
|
1390 - Supportive Program Reserve
|
43,164 | 50,965 | ||||||
|
Total Escrow Deposits and Restricted Reserves
|
105,623 | 106,596 | ||||||
|
Total Assets
|
$ | 3,381,469 | $ | 3,506,898 | ||||
(continued)
-5-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
BALANCE SHEETS - CONTINUED
December 31, 2005 and 2004
LIABILITIES AND PARTNERS' EQUITY (DEFICIT)
|
2005
|
2004
|
|||||||
|
Current Liabilities
|
||||||||
|
2320 - Mortgage Loans Payable - Current Portion
|
24,200 | $ | 23,998 | |||||
|
2110 - Accounts Payable - Trade
|
1,406 | 5,326 | ||||||
|
2110 - Accounts Payable - Other
|
15,000 | 15,000 | ||||||
|
2140 - Accrued Expenses
|
5,500 | 5,424 | ||||||
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2210 - Prepaid Rents
|
2,515 | 12 | ||||||
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2230 - Due to Affiliates
|
16,794 | 15,295 | ||||||
|
Total Current Liabilities
|
65,415 | 65,055 | ||||||
|
Long-Term Liabilities
|
||||||||
|
2320 - Mortgage Loans Payable
|
713,500 | 737,498 | ||||||
|
2320 - Less: Current Portion
|
(24,200 | ) | (23,998 | ) | ||||
|
Total Long-Term Liabilities
|
689,300 | 713,500 | ||||||
|
Total Liabilities
|
754,715 | 778,555 | ||||||
|
Contingency
|
-- | -- | ||||||
|
Partners' Equity (Deficit)
|
||||||||
|
3130 - Partners' Equity (Deficit)
|
2,626,754 | 2,728,343 | ||||||
|
Total Liabilities and Partners' Equity (Deficit)
|
$ | 3,381,469 | $ | 3,506,898 | ||||
See notes to financial statements
-6-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
STATEMENTS OF OPERATIONS
Years ended December 31, 2005 and 2004
|
2005
|
2004
|
|||||||
|
Rental Revenue
|
||||||||
|
5120 - Apartment Rentals
|
$ | 171,216 | $ | 169,179 | ||||
|
5220 - Less: Vacancy Loss
|
(4,413 | ) | (2,293 | ) | ||||
|
Net Rental Revenue
|
166,803 | 166,886 | ||||||
|
Financial and Other Revenue
|
||||||||
|
5320 - Interest Income
|
1,835 | 1,275 | ||||||
|
5910 - Laundry Income
|
3,847 | 4,300 | ||||||
|
5990 - Miscellaneous Income
|
1,936 | 1,637 | ||||||
|
Total Financial and Other Revenue
|
7,618 | 7,212 | ||||||
|
Total Revenue
|
174,421 | 174,098 | ||||||
|
Administrative Expenses
|
||||||||
|
6210 - Marketing
|
400 | |||||||
|
6311 - Office Expenses
|
12,108 | 8,035 | ||||||
|
6320 - Property Management Fees
|
17,280 | 16,739 | ||||||
|
6340 - Cable
|
1,628 | 1,240 | ||||||
|
6350 - Professional Fees - Accounting
|
5,500 | 8,450 | ||||||
|
6360 - Telephone Expense
|
1,621 | 1,718 | ||||||
|
6370 - Bad Debts
|
1,143 | 2,899 | ||||||
|
6390 - Other Administrative
|
1,348 | 3,828 | ||||||
|
Total Administrative Expenses
|
40,628 | 43,309 | ||||||
|
Operating Expenses
|
||||||||
|
6461 - Exterminating
|
1,018 | 864 | ||||||
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6471 - Rubbish Removal
|
3,443 | 3,115 | ||||||
|
Total Operating Expenses
|
4,461 | 3,979 | ||||||
|
Maintenance Expenses
|
||||||||
|
6511 - Security
|
387 | 387 | ||||||
|
6521- Grounds
|
6,108 | 18,729 | ||||||
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6521 - Snow Removal
|
972 | 1,413 | ||||||
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6561 - Painting and Decorating
|
3,787 | 7,501 | ||||||
|
6570 - Repairs
|
1,424 | 5,378 | ||||||
|
Total Maintenance Expenses
|
12,678 | 33,408 | ||||||
(continued)
-7-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
STATEMENTS OF OPERATIONS - CONTINUED
Years ended December 31, 2005 and 2004
| 2005 | 2004 | |||||||
|
Materials and Supplies
|
||||||||
|
6411 – Janitorial Supplies
|
725 | 1,425 | ||||||
|
6511 – Maintenance Supplies
|
1,096 | 1,545 | ||||||
|
Total Materials and Supplies
|
1,821 | 2,970 | ||||||
|
Salaries and Wages
|
||||||||
|
6310 - Office and Administrative
|
9,475 | 10,941 | ||||||
|
6410 - Janitors
|
12,562 | 15,730 | ||||||
|
Total Salaries and Wages
|
22,037 | 26,671 | ||||||
|
Utilities
|
||||||||
|
6450 - Electricity
|
3,249 | 3,763 | ||||||
|
6451 - Water and Sewer
|
8,441 | 9,802 | ||||||
|
Total Utilities
|
11,690 | 13,565 | ||||||
|
Taxes
|
||||||||
|
6710 - Real Estate Taxes
|
7,157 | 7,252 | ||||||
|
6711 - Payroll Taxes
|
2,508 | 2,950 | ||||||
|
6720 - Insurance
|
10,597 | 11,410 | ||||||
|
Total Taxes
|
20,262 | 21,612 | ||||||
|
Total Operating Expenses
|
113,577 | 145,514 | ||||||
|
Net Operating Income (Loss) Before Financial Expenses, Entity Expenses and Depreciation
|
60,844 | 28,584 | ||||||
|
Financial Expenses
|
||||||||
|
6810 - Mortgage Interest
|
7,265 | 7,506 | ||||||
|
Entity Expenses
|
||||||||
|
7180 - Reporting Fee
|
2,499 | 1,000 | ||||||
|
Net Income (Loss) Before Depreciation
|
51,080 | 20,078 | ||||||
|
6900 - Depreciation
|
(152,669 | ) | (158,897 | ) | ||||
|
Net Income (Loss)
|
$ | (101,589 | ) | $ | (138,819 | ) | ||
See notes to financial statements
-8-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
STATEMENTS OF PARTNERS' EQUITY (DEFICIT)
Years ended December 31, 2005 and 2004
|
Percent
Interest
|
Balance
December 31,
2004
|
Net Income
(Loss)
2005
|
Balance
December 31,
2005
|
|||||||||||||
|
General Partner
|
0.010% | $ | (47 | ) | $ | (10 | ) | $ | (57 | ) | ||||||
|
Limited Partner
|
99.970% | 1,728,947 | (101,559 | ) | 1,627,388 | |||||||||||
|
Special Limited Partner
|
0.010% | 173 | (10 | ) | 163 | |||||||||||
|
Missouri Limited Partner
|
0.010% | 999,270 | (10 | ) | 999,260 | |||||||||||
|
|
100.000% | $ | 2,728,343 | $ | (101,589 | ) | $ | 2,626,754 | ||||||||
|
Percent
Interest
|
Balance
December 31,
2003
|
Net
Income (Loss)
2004
|
Balance
December 31,
2004
|
|||||||||||||
|
General Partner |
0.010% | $ | (33 | ) | $ | (14 | ) | $ | (47 | ) | ||||||
|
Limited Partner
|
99.970% | 1,867,725 | (138,778 | ) | 1,728,947 | |||||||||||
|
Special Limited Partner
|
0.010% | 187 | (14 | ) | 173 | |||||||||||
|
Missouri Limited Partner
|
0.010% | 999,283 | (13 | ) | 999,270 | |||||||||||
|
|
100.000% | $ | 2,867,162 | $ | (138,819 | ) | $ | 2,728,343 | ||||||||
See notes to financial statements
-9-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
STATEMENTS OF CASH FLOWS
Years ended December 31, 2005 and 2004
|
2005
|
2004
|
|||||||
| Cash Flows from Operating Activities | ||||||||
|
Rental Receipts
|
$ | 171,269 | $ | 172,831 | ||||
|
Interest Receipts
|
1,835 | 1,275 | ||||||
|
Total Receipts
|
173,104 | 174,106 | ||||||
|
Administrative Expenses Paid
|
(44,472 | ) | (35,224 | ) | ||||
|
Operating Expenses Paid
|
(4,461 | ) | (3,979 | ) | ||||
|
Maintenance Expenses Paid
|
(12,678 | ) | (33,408 | ) | ||||
|
Materials and Supplies
|
(1,821 | ) | (2,970 | ) | ||||
|
Salaries and Wages
|
(22,037 | ) | (25,497 | ) | ||||
|
Utilities Paid
|
(11,690 | ) | (13,565 | ) | ||||
|
Taxes Paid
|
(20,185 | ) | (21,787 | ) | ||||
|
Mortgage Interest Paid
|
(7,265 | ) | (7,506 | ) | ||||
|
Tenant Security Deposits, Net
|
(698 | ) | (113 | ) | ||||
|
Entity Expenses Paid
|
(1,000 | ) | (1,000 | ) | ||||
|
Total Disbursements
|
(126,307 | ) | (145,049 | ) | ||||
|
Net Cash Provided by (Used in) Operating Activities
|
46,797 | 29,057 | ||||||
|
Cash Flows from Investing Activities
|
||||||||
|
(Increase) Decrease in Escrows, Net
|
(197 | ) | 3,004 | |||||
|
Deposits to Restricted Funds
|
(15,231 | ) | (14,982 | ) | ||||
|
Withdrawals Restricted Funds
|
16,401 | 1,890 | ||||||
|
Net Cash Provided by (Used in) Investing Activities
|
973 | (10,088 | ) | |||||
| Cash Flows from Financing Activities | ||||||||
|
Payments on Long-Term Debt
|
(23,998 | ) | (23,760 | ) | ||||
|
Net Increase (Decrease) in Cash
|
23,772 | (4,791 | ) | |||||
|
Cash, Beginning of Year
|
1,399 | 6,190 | ||||||
|
Cash, End of Year
|
$ | 25,171 | $ | 1,399 | ||||
(continued)
-10-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
STATEMENTS OF CASH FLOWS - CONTINUED
Years ended December 31, 2005 and 2004
|
2005
|
2004
|
|||||||
|
Reconciliation of Net Income (Loss) to Net Cash
Provided by Operating Activities: |
||||||||
|
Net Income (Loss)
|
$ | (101,589 | ) | $ | (138,819 | ) | ||
|
Adjustments to Reconcile Net Income (Loss) to Net
Cash Provided by (Used in) Operating Activities: |
||||||||
|
Depreciation
|
152,669 | 158,897 | ||||||
|
(Increase) Decrease in Operating Assets:
|
||||||||
|
Tenant Accounts Receivable
|
(3,820 | ) | (4 | ) | ||||
|
Tenant Security Deposits
|
(298 | ) | (113 | ) | ||||
|
Prepaid Insurance
|
77 | (175 | ) | |||||
|
Increase (Decrease) in Operating Liabilities:
|
||||||||
|
Accounts Payable
|
(3,920 | ) | 3,835 | |||||
|
Accrued Expenses
|
76 | 5,424 | ||||||
|
Due to Affiliates
|
1,499 | - | ||||||
|
Tenant Security Deposits
|
(400 | ) | - | |||||
|
Prepaid Rents
|
2,503 | 12 | ||||||
|
Total Adjustments
|
148,386 | 167,876 | ||||||
|
Net Cash Provided by (Used in) Operating Activities
|
$ | 46,797 | $ | 29,057 | ||||
See notes to financial statements
-11-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE I - NATURE OF OPERATIONS
Boonville Associates I, L.P. (the Partnership) was formed on October 19, 1998, under the laws of the State of Missouri, for the purpose of acquiring, constructing, holding, and operating a 48-unit residential apartment complex known as Rankin Mill Apartments, MHDC No. 00-110-HCT. The Project is intended primarily for low and moderate-income tenants in Boonville, Missouri. The Project is regulated by the Missouri Housing Development Commission (MHDC) as to rent charges and operating methods.
The Partnership terminates December 31, 2050, unless dissolved earlier upon the sale of substantially all of the Partnership's real property.
Agreements with MHDC provide for the regulation of rental charges, restrictions on the disposition of property, and limitations on annual cash distributions to Partners.
The Partnership has received an allocation of low-income housing tax credits from the state of Missouri totaling $3,028,220. Each building of the project has qualified for and been allocated low-income housing tax credits pursuant to Internal Revenue Code Section 42, (Section 42), which regulates the use of the project as to occupant eligibility and unit gross rent, among other requirements. Each building of the project must meet the provisions of these regulations during each of 15 consecutive years in order to remain qualified to receive the credits. The credit allocation will be allowed annually in the amount of $302,822 for ten years if the project remains in compliance. In addition, the partnership has been allocated state low-income housing tax credits. In order to qualify for the credits, the partnership must maintain compliance with certain requirements.
In addition the Partnership has executed a regulatory agreement with the Missouri State Housing Development Authority which requires the operation of the project pursuant to Section 42 for a minimum of 30 years. This requirement is binding on the transferee during this compliance period.
-12-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Capitalization and Depreciation
Land, buildings, site improvements, and furniture and fixtures are recorded at cost. Improvements are capitalized, while expenditures for maintenance and repairs are expensed. Upon disposal of depreciable property, the appropriate property accounts are reduced by the related costs and accumulated depreciation.
The assets are depreciated over their estimated service lives. The estimated service lives of the assets for depreciation purposes may be different than their actual economic useful lives.
|
Estimated Life
|
Method
|
|||
|
Buildings
|
27.5 Years
|
Straight-Line
|
||
|
Site Improvements
|
15 Years
|
Accelerated
|
||
|
Furniture and Fixtures
|
5 Years
|
Accelerated
|
||
Rental Income and Prepaid Rents
Rental income is recognized for apartment rentals as it accrues. Advance receipts of rental income are deferred and classified as liabilities until earned.
Accounts Receivable and Bad Debts
Tenant receivables are charged to bad debt expense when they are determined to be uncollectible based upon a periodic review of the accounts by management. Accounting principles generally accepted in the United States of America require that the allowance method be used to recognize bad debts; however, the effect of using the direct write-off method is not materially different from the results that would have been obtained under the allowance method.
-13-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
Income Taxes
No provision or benefit for income taxes has been included in these financial statements since taxable income passes through to, and is reportable by, the Partners individually.
Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Reclassifications
Several reclassifications have been made to the prior year balances to conform to the current year presentation. Such reclassifications were made for comparative purposes only, and do not restate the prior year financial statements.
NOTE 3 - CASH
The Partnership maintains its cash in bank deposit accounts which, at times, may exceed federally insured limits. The Partnership has not experienced any losses in such accounts. Management believes the Partnership is not exposed to any significant credit risk on cash.
NOTE 4 - TENANT SECURITY DEPOSITS
Regulations of the U.S. Department of Housing and Urban Development require that security deposits be segregated from the general funds of the Partnership. Accordingly, the Partnership holds all security deposit funds in a separate, interest-bearing account.
-14-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE 5 - ESCROW DEPOSITS AND RESTRICTED RESERVES
According to the Partnership, loan and other regulatory agreements, the Partnership is required to maintain certain escrow deposits and restricted reserves. The following schedule shows the activity in such accounts during 2005 and 2004.
The Partnership is required to fund an operating reserve, in the initial amount of $4,500, from Limited Partner capital contributions. The operating reserve has been funded as required in 2005.
The Partnership is required to fund a replacement reserve, in the initial amount of $30,250, from Limited Partner capital contributions, and annually in an amount equal to $200 per unit. The replacement reserve has been funded as required in 2005 and 2004.
According to the Partnership Agreement, the Partnership is required to fund a supportive programs reserve, in the initial amount of $52,500, from Limited Partner capital contributions. The supportive programs reserve has been funded as required in 2005 and 2004.
-15-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
|
Balance
January 1,
2005
|
Additions
and
Interest
|
Withdrawals
and
Transfers
|
Balance
December 31,
2005
|
|||||||||||||
|
Real Estate Tax
|
||||||||||||||||
|
Escrow
|
$ | 1,392 | $ | 16,230 | $ | 16,802 | $ | 820 | ||||||||
|
Insurance Escrow
|
4,193 | 769 | 4,962 | |||||||||||||
|
Replacement Reserve
|
45,376 | 15,148 | 8,600 | 51,924 | ||||||||||||
|
Operating Reserve
|
4,670 | 83 | 4,753 | |||||||||||||
|
Supportive Programs Reserve
|
50,965 | - | 7,801 | 43,164 | ||||||||||||
|
Total
|
$ | 106,596 | $ | 32,230 | $ | 33,203 | 105,623 | |||||||||
|
Balance
January 1,
2004
|
Additions
and
Interest
|
Withdrawals
and
Transfers
|
Balance
December 31,
2004
|
|||||||||||||
|
Real Estate Tax
|
||||||||||||||||
|
Escrow
|
$ | 5,341 | $ | 3,284 | $ | 7,233 | $ | 1,392 | ||||||||
|
Insurance Escrow
|
3,248 | 10,744 | 9,799 | 4,193 | ||||||||||||
|
Replacement Reserve
|
30,475 | 14,901 | 45,376 | |||||||||||||
|
Operating Reserve
|
4,589 | 81 | 4,670 | |||||||||||||
|
Supportive Programs Reserve
|
52,855 | - | 1,890 | 50,965 | ||||||||||||
|
Total
|
$ | 96,508 | $ | 29,010 | $ | 18,922 | $ | 106,596 | ||||||||
-16-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE 6 - LONG-TERM DEBT
|
|
2005
|
2004
|
||||||
|
The mortgage note, dated September 12, 2000, is held by MHDC in the original amount of $810,000. The note bears interest at 1% per annum. Monthly installments of $2,605 for principal and interest are based on a 30-year amortization of the original note balance. Payments began on December 1, 2001. The loan matures on November 1, 2031, at which time any unpaid principal and interest is due. The note is collateralized by real estate held for lease and an assignment of rents and leases.
|
$ | 713,500 | $ | 737,498 | ||||
|
Less: Current maturities
|
(24,200 | ) | (23,998 | ) | ||||
|
Total
|
$ | 689,300 | $ | 713,500 | ||||
Aggregate maturities of long-term debt are as follows:
|
Year Ending December 31:
|
||||
|
2006
|
$ | 24,200 | ||
|
2007
|
24,500 | |||
|
2008
|
24,700 | |||
|
2009
|
25,000 | |||
|
2010
|
25,200 | |||
|
Thereafter
|
589,900 | |||
|
Total
|
713,500 | |||
-17-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE 7 - RELATED PARTY TRANSACTIONS
According to the Partnership Agreement, the General Partner is entitled to an incentive management fee equal to 70% of remaining cash flow from operations after all unpaid amounts as defined in the Partnership Agreement are paid. No such fee was earned or paid in 2005 and 2004.
According to the Partnership Agreement, the Limited Partner is entitled to an annual reporting fee equal to 15% of remaining cash flow from operations, but in no event less than $1,000. During 2005 and 2004, reporting fees earned were $2,499 and $1,000, and reporting fees paid were $1,000 and $-0-, respectively.
The General Partner is obligated, under the Partnership Agreement, to provide funds for any development or operating deficits. Funds have been advanced to the Partnership, by the General Partner, including advances made pursuant to such obligation. The advances are noninterest-bearing, unsecured, and due on demand. As of December 31, 2005 and 2004, advances to the Partnership totaled $14,295.
Amounts due to affiliates at December 31, 2005 and 2004 are as follow:
|
2005
|
2004
|
|||||||
|
Reporting Fees Payable
|
$ | 2,499 | $ | 1,000 | ||||
|
General Partner Advances
|
14,295 | 14,295 | ||||||
|
Totals
|
$ | 16,794 | 15,295 | |||||
NOTE 8 - PARTNERS AND PARTNERSHIP INTERESTS
The Partnership has one General Partner, Central Missouri Counties Human Development Corporation, which has a .01% interest, one Limited Partner, WNC Housing Tax Credit Fund VI, L.P., which has a 99.97% interest, one Special Limited Partner, WNC Housing, L.P., which has a .01% interest, and one Missouri Limited Partner, WNC Missouri Tax Credits XXXI, L.P., which has a .01% interest.
-18-
Boonville Associates I, L.P.
(A Missouri Limited Partnership)
MHDC Project No.: 00-100-HCT
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED
Years ended December 31, 2005 and 2004
NOTE 9 - PARTNERSHIP PROFITS, LOSSES, AND DISTRIBUTIONS
Generally, profits and losses are allocated to the Partners based upon their percentage of interest in the Partnership. Cash flow, as defined by the Partnership Agreement, generally is distributable as prioritized in the Partnership Agreement. Profits and losses arising from the sale, refinancing, or other disposition of all or substantially all of the Partnership's assets will be specially allocated as prioritized in the Partnership Agreement. Additionally, the Partnership Agreement provides for other instances in which a special allocation of profits, losses and distributions may be required.
NOTE 10 - CONTINGENCY
The Partnership's low-income housing tax credits are contingent on its ability to maintain compliance with applicable sections of Section 42. Failure to maintain compliance with occupant eligibility, and/or unit gross rent, or to correct noncompliance within a specified time period, could result in recapture of previously taken tax credits plus interest. In addition, such potential noncompliance could result in an adjustment to the capital contributed by the Limited Partners.
-19-