Board of Finance Regular Meeting Agenda (linked)

Waterford-East Lyme Shellfish Commission
Appeal of Board of Selectman Funding
March 5, 2020
On behalf of the “Save the River, Save the Hills” of the
$3500 passthrough funding delete from our Budget. I hereby
appeal the Board of Selectman decision,
). Ratiek, Kelley
J. Patrick Kelly
Vice Chairman/ Treasurer

PHONE: 860-442-0553
sarwiwaterfordct.org
FIFTEEN ROPE FERRY ROAD
WATERFORD, CT 06385-2886
Mr. J. Patrick Kelly — Treasurer
Waterford/East Lyme Shellfish Commission
8 Konomoc Avenue
Waterford, CT 06385
‘February 24, 2020
Dear Commissioner Kelly,
Please note in the Board of Selectmen Budget Hearing Minutes enclosed that your budget
request of $5,000 was reduced to $1,250 in the final vote of the Board on February 4, 2020.
Pursuant to chapter 3.1.15 of the Town of Waterford Charter, this is a notice to you and the
Waterford/East Lyme Shellfish Commission that any appeal of this reduction must be filed with
the Town Clerk within ten (10) days of receipt of this written notice.
Sincerely,
Rebvtd Sins
Robert J, Brule
First Selectman

Waterford-East Lyme Shellfish Commission
Date: December 9, 2019
To: Waterford Board of Selectman
From: Peter Harris, Chairman and Pat Kelly, Co-Chair/Treasurer Almost Extinct?
RE: Budget request for year 2020-2021
The Waterford - East Lyme Shellfish Commission (WELSCO) requests an appropriation grant for
the Budget year of 2020-2021 in the amount of $5000 from the town of Waterford. Our
request includes the purchase of new outboard motor and steering cables that cost $10,000+
reflected in budget as $2350 depreciation. The old outboard had high maintenance costs over
the last two years and was many years old. The boat and motor are in the water year round that
with much wear in the winter months. The boat was designed for a two stoke motor and the old
outboard was heavy four stroke resulting in the scups underwater. With scups underwater the
pump sometime fails with ice in the bilge causing maintenance problems. The new motor is lighter
and resolved this problem because of less HP and technology progress. The Warden Boat now
handles better and rides the adverse weather safely.
kK )} East Lyme's half of the Pump Boat appropriation is in the East Lyme Harbor
Management/Shellfish Commission Budget!
Enclosed is a copy of our Commission financials for several fiscal years, the current Year to Date
(YTD ) and our Budget for 2020-2021. A copy of our CPA audit will be forwarded to First
Selectman and Finance Department once complete.
The Commission employs three part time employees, a Chief Warden (~600 hours year), one
Warden (~400 hours yearr), and Accountant (~100 hours); the Clerk/Secretary position is
current vacate. Our total projected Compensation Budget for the coming year can very according
to water & meat sampling requires, transporting samples to Milford DA/BA lab, and a Scallop
season. Our Commission's Wardens are patrolling and taking water & meat samples for the East
Lyme Harber Management/Shellfish Commission and the Waterford Shellfish Commission. The
other Commissions reimburse WELSCO for part of the Warden's time that does not cover actual
costs.
WELSCO serves all residents of Waterford and East Lyme by fulfilling the federal and state
compliance of the National Sanitary Shellfish Regulations, The federal and state laws require

patrolling even if the waters are not open, wardens take water & meat samples that are
transported to Milford Lab DA/BA lab, and patrol to enforce the National Shellfish Sanitary
Regulations under State and Federal Law. The Clamming permit sales reflect that the clam
stock continues to be healthy and maintains a population that can be renewable for an annual
harvest. We continue to explore fiscally responsible methods of scallop restoration but have not
been recently successful. The DA/BA has been without a Pathologist for over a year that has
caused problems and sources of scallop seed are nonexistent. As you know our plan to have a
commercial operator cultivate scallops met public, towns officials, & legal resistants.
J or our funding is that if the Commission did not exist the local police departments
would be required by Federal and State law to patrol or the State would have DEEP Wardens
patrol with court ordered charges going to the towns for their time and equipment.
Our revenue funding is primary from permit sales, grants from the towns of Waterford and East
Lyme, and small reimbursements from the Waterford Shellfish Commission & East Lyme Harbor
Management/ Shellfish Commission for our Wardens activities. The amounts and sources of
funding are reflected on financial spreadsheet. The Commission has an office at the Waterford
sewer pump station (PU) at the State Boat Launch. Ledge Light Health District and Health
Directors of both towns work with the Commission to fulfill the federal and state compliance
| The appointed WELSCO commissioners, four from each town, contribute
significant time and personal resources to the operations,
The Scallop population on the Niantic River crashed in the late 1990's, Limited Scallop seasons
and very small numbers of permit sales were the norm until 2015-16 season that was phenomenal.
The 2016-2017 Scallop Season was not as productive; but there was a season. The 2017-18 and
2018-19 seasons where cancelled because of lack stock, The 2019-2020 season is underway for
only a month because of limited scallop stock. Sporadic years the Commission has been given or
purchased Scallop seed that was but has not made a material difference until
2015-16. . The faltering marine environment, nutrient
loading, over abuse & development, predators, sparse essential eelgrass habitat, and lack of
restoration resources prevent an enduring S i he symbol of the
Niantic River and Town of East Lyme is th
that has

The Commission has one patrol boat, a 19-foot center console Carolina skiff. This boat was
purchased in 2003 after our prior patrol boat sank at dockside in a winter snow storm because of
pump failure, icing, and heavy winds, The current Boat was purchased with insurance payment,
proceeds from sale of sunken boat, and sale of a 14 foot skiff. In 2008 the Commission
purchased a new outboard motor for our patrol boat because of the frequency & cost of
continued maintenance on old moter. During the last few years we have had high cost of
maintenance again this year because of extreme seasonal conditions, excessive wear, and age of
equipment. As outlined earlier; a new outboard was purchased in 2019, The Commission Boat is
the only one available in winter months since police and fire units for East Lyme and Waterford
are taken out of water for the cold months of year or the large Police Boat cannot be operated in
shallow or rocky areas because of its draft. Emergency services of both towns, the State, &
Federal Agencies, DEEP, Amtrak, NOAA, Sea Grant; have sporadically used our boat for
emergency response, search & rescue, research, and monitoring.
The municipal docks under the Niantic Bridge have been partially rebuilt to better maintain the
structure in conjunction of the building of fishing dock. The Office at pump station and
municipal dock security lacks need replacement because of wear and tear.
Sincerely,
Peter Harris, Chairman
Ceil-phone: 860-227-8401
Home E-mail: peterdharrisi@yahoo.com
J. Patrick Kelly, Co-Chairman/Treasurer
Cell-phone: 860-389-7060
Home E-mail: kelly8171@sbcglobal.net

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Waterford-East Lyme Shellfish Commission
2019 Annual Report
Waterford-East Lyme Shellfish Commission
Annual Report —-2019
The Waterford-East Lyme Shellfish Commission (WELSCO) oversees recreational shellfishing
in the Niantic River. There are 2 areas in the Niantic River available for recreational
shellfishing; Area A which is open year round and is located in the central part of the river south
of Sandy Point to about just north of the entrance to Smith Cove in Niantic, and Area B which is
open seasonally from approximately Dec 1 through May 31 and is located generally in the
southern third of the river. The open and closed status of each of these areas is overseen by the
Bureau of Aquaculture and the Ledge Light Health District.
Recreational permits are sold by both the East Lyme and Waterford Town Hails as well
as Hillyer’s Bait and Tackle and Mackey’s Bait and Tackle. Permits are sold under a variety of
conditions based on duration, residency, and senior citizen status. The pricing and variety of
permit categories has remained unchanged from last year. WELSCO is not authorized to issue
commercial shellfishing permits based on state statute.
Although clam stock in the Niantic River appears to be sustainable, purchasing additional clam
stock was considered but was not successful due to a statewide shortage of clam seed. This
shortage will make future WELSCO management decisions very critical.
WELSCO owns the Shellfish Warden boat which is used to collect water samples, as required by
the Bureau of Aquaculture, to allow for recreational shellfishing activities. WELSCO wardens
collect water samples not only for WELSCO but also for Waterford Shellfish and East Lyme
Harbor Management/Shellfish commissions. The Warden boat is one of the few municipal boats
in the water year round and has been used in the past by other departments in emergencies. The
State regulations dictate that after one inch of rainfall the recreational shell fishing areas are
closed until water samples are tested to confirm bacterial levels are at acceptable levels.
As of Oct 31, 2019 there were a total of 552 permits sold generating $12,358 of revenue for
WELSCO, The revenue from permit sales helps to offset operating costs of WELSCO.
WELSCO purchased a new outboard motor for the Warden boat this year for a cost of
approximately $10,000. The previous motor served the commission well but the age of the
motor and increasing service costs necessitated a new motor be purchased. Other annual costs
for WELSCO include funding half the cost of the Niantic River pump-out boat and the annual
financial audit required by the Town of Waterford. Funding the pump-out boat is critical to
maintaining the Niantic River status as a no-discharge zone.
Due to efforts in the last year, we have recently entered into an agreement with a group of
citizens to form a public-private partnership to enhance the native oyster population in the

Waterford-East Lyme Shellfish Commission
2019 Annual Report
Niantic River. Approximately 100,000 oysters will be seeded in November to improve water
quality, through the oysters water filtering feeding process, and will provide oysters for
recreational harvest in 1-2 years. As part of this initiative, we have also engaged a student from
the Marine Science Magnet School in New London and she will study the oyster viability in the
first month of seeding. She will be advised by a UCONN professor.
Future Goals
WELSCO will continue to carefully manage our clam stock through a combination of restocking
efforts, management of native stock, and helping to mitigate man-made influences that
negatively impact shellfish sustainability. WELSCO will also attempt to enhance scallop
populations to a level where future recreational scallop seasons may be possible. Improving
water quality is an important component of this and WELSCO also believes enhancing oyster
populations in the Niantic River will improve water quality which could potentially help the
return of more sensitive species like the Bay scallop.
Respectfully Submitted by:
Peter Harris,
Chairman of the Waterford-East Lyme Shellfish Commission.

Waterford - East Lyme Shellfish Commission
Balance Sheet
As of November 30, 2019
Nov 30, 19
ASSETS
Current Assets
Checking/Savings
§533 Checking 13,628.30
§553 Money Market 34,448.22
CD 12 mos #0132 4,989.75
CD 12 mos #7922 14,837.87
CD 6 mos #0996 12,624.34
CD 6 mos #7914 §,065.76
CD 6 mos. #0124 9,936.57
CD 6 mos. #2483 2,888.60
' CD 6 mos. #7246 3,544.62
Total Checking/Savings 101,964.03
Total Current Assets 101,964.63
Fixed Assets
Accum. Depreciation ~21,087.48
Boat equipment 26,097.28
Office equipment 5,238.59
Total Fixed Assets 10,269.39
TOTAL ASSETS 112,233.42
LIABILITIES & EQUITY
Liabilities
Current Liabilities
Other Current Liabilities
CT WH payable 216.65
FICA payable 65.49
Total Other Current Liabilities 282.14
Total Current Liabilities 282.14
Total Liabilities 282.14
Equity
Retained Earnings 98,917.19
Net Income 43,034.08
Total Equity 111,951.28
TOTAL LIABILITIES & EQUITY 112,233.42
Page 1

Waterford - East Lyme Shellfish Commission
Profit & Loss
November 2019
Nov 13 Jul ~ Nov 19
Ordinary Income/Expense
Income
Gain / Loss on asset 0.00 1,000.00
Interest income 9.92 53.29
Saies Permits
Clamming permits 0.00 40,805.75
Total Sales Permits 0,00 10,805.75
Town of East Lyme - Grant 0.00 3,500.00
Town of Waterford ~ Grant 0.00 §,000.00
Warden Hours - East Lyme 0,00 68.75
Warden Hours - Waterford @,00 306.25
Total Income 9.92 20,734.04
Expense
Boat Fuel & oil 0.00 111.77
Boat Supplles 0,00 238,94
Payroll
FICA expense 34.84 195.07
Total Payroll 34.84 195.07
Printing expense 0,00 115.83
Program funding 0.00 3,500.00
Repair & Maintenance-Boats 0.00 609,80
Salaries- Administration 74.85 536.43
Salaries-Wardens 133.17 1,768.69
Taxes
Payroll (941 & CT WH) 0.00 123.00
State Unemployment 0.00 53.72
Total Taxes 0.06 176,72
Travel & mileage 0.06 182.70
Utilities 132.00 264.00
Total Expense 374.86 7,699.95
Net Ordinary Income -364.94 13,034.09
Net Income -364,94 13,034.05
Page 1

WATERFORD-EAST LYME SHELLFISH COMMISSION
Financial Statements and
Independent Auditors’ Report
- June 30, 2019 _
(Wi ith sunimarized comparative information for 2018) °
. '. BAUDE & ROLFE,P.C.
‘CERTIFIED PUBLIC ACCOUNTANTS.
a 35 Huntington Street
_ New. London, Connecticut 06326

WATERFORD-EAST LYME SHELLFISH COMMISSION
TABLE OF CONTENTS
Page No.
INDEPENDENT AUDITOR’S REPORT , 1-2
FINANCIAL STATEMENTS:
Statement of Assets, Liabilities, and Net Assets—Modified Cash Basis 3
Statement of Revenues, Expenses and Change in Net Assets—Modified Cash Basis 4
Noies to Financial Statements 5-7

are
BAUDE & ROLEE, P.C.
Certified Public Accountants & Business Advisors
35 Huntington Street, New London, Connecticut 06320
(860) 442-1040 (860) 437-1599 Fax
www-banderolfecpas.com
Ronald J. Baude, CPA Brian D. Rolfe, CPA / PES
INDEPENDENT AUDITOR’S REPORT
To the Board of Trustees
Waterford-East Lyme Shellfish Commission
Waterford, Connecticut
We have audited the accompanying financial statements of the Waterford-East Lyme Shellfish Commission (a non-
profit organization), which comprise the statement of assets, liabilities, and net assets—modified cash basis as of
June 30, 2019, and the related statement of support, revenues, and expenses -modified cash basis for the year then
ended, and the related notes to the financial statements.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with
the modified cash basis of accounting as described in Note 1; this includes determining that the modified cash basis
of accounting is an acceptable basis for the preparation of the financial statements in the circumstances. Management
is also responsible for the design, implementation, and maintenance of intemal control relevant to the preparation and
fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit, We conducted our audit
in accordance with auditing standards generally accepted in the United States of America. Those standards require
that we plan and perform the andit to obtain reasonable assurance about whether the financial statements are free from
material misstatement. ,
An andit involves performing procedures fo obtain audit evidence about the amounts and disclosures in the financial
statements, The procedures selected depend on the auditor’s judgment, including the assessment of the risks of
material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the
auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as weil as evaluating the overall presentation of the financial statements. ot
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion.

Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the assets, liabilities,
and net assets of the Waterford-East Lyme Shellfish Commission as of June 30, 2019, and its support, revenues, and
expenses, and change in net assets for the year then ended, in accordance with the modified cash basis of accounting
as described in Note |.
Emphasis of a Matter
As discussed in Note 1 to the financial statements the Commission adopted Accounting Standards Update (ASU) No.
2016-14, Not-for-Profit Entities (Topic 958): Presentation of Financial Statements of Not-for Profit Entities. Our
opinion is not modified with respect fo this matter.
Other Matters
Basis of Accounting
We draw attention to Note 1 of the financial statements, which describes the basis of accounting. The financial
statements are prepared on the modified cash basis of accounting, which is a basis of accounting other than accounting
principles generally accepted in the United States of America, Our opinion is not modified with respect to that matter,
Report on Saimmarized Comparative Information
We have previously audited the Waterford-East Lyme Shellfish Commission June 30, 2018 financial statements, and
we expressed an unmodified audit opinion on those audited financial statements in our report dated November 6, 2018,
In our opinion, the summarized comparative information presented herein as of and for the year ended June 30, 20 18,
is consistent, in all material respects, with the audited financial statements from which it has been derived.
Baude & Rolfe, P.C,
Certified Public Accountants
New London, Connecticnt
September 20, 2019

WATERFORD-EAST LYME SHELLFISH COMMISSION
STATEMENT OF ASSETS, LIABILITIES AND NET ASSETS — MODIFIED CASH BASIS
June 30, 2019
(With Summarized Financial Information for 2018)
2019 29 18
Assets
Current Assets ;
Cash and cash equivalents $ 64,054 $ 35,856
Short-term investments 34,804 53,759
_ Total Current Assets 98,858 89,615
Property and Equipment
Boat 15,048 15,048
Equipment 4,794 4,794
19,842 19,842
Less: Accumulated Depreciation (17,484) (16,341)
Total Property and Equipment 2,358 3,501
Total Assets $ 101,216 $ 93,116
Liabilities and Net Assets
Current Liabilities
Acciued payroll taxes $ 8s $ 215
Net Assets
Without donor restrictions
Available for operations 98,773 89,400
Property and equipment 2,358 3,501
Total Net Assets without Donor Restrictions 101,131 92,901
Total Net Assets 101,131 92,901
‘Total Liabilities and Net Assets $ 101,216 $ 93,116
The accompanying notes are an integral part of these financial statements,
, ~3-

WATERFORD-EAST LYME SHELLFISH COMMISSION:
STATEMENT OF REVENUES, EXPENSES AND CHANGE IN NET ASSETS-MODIFIED CASH BASIS
Year Ended June 30, 2019
(With Summarized Financial Infermation for 2013)
Changes in Net Assets Without Donor Restrictions
Support and Revenue:
Town of Waterford
Town of Hast Lyme
Waterford Shelifish Commission
East Lyme Shellfish Commission
Permit sales
Donations
Interest income
Total Support and Revenue
Expenses
Salaries and wages
Payroll taxes
Advertising
Boat supplies
Insurance
Telephone
Electricity
Repairs and maintenance
Gas and off
Donations
Postage
Printing
Professional fees
Seminars
Office supplies
Travel
Uniforms .
Depreciation expense
Total Expenses
Change in Net Assets without Donor Restrictions
Net Assets, Beginning of Year
Net Assets, End of Year
2019 2018
5,000 $ 5,000
3,500 2,500
1,256 1,163
619 281
16,951 17,204
- 25
128 123
27,454 | 26,296
6,012 TAI3
614 806
220 1,279
150 281
2224 2,185
- 352"
657 635
496 2,204
645 615
3,500 3,500
50 60
137 358
2,450 2,400
125 150
262 25
542 659
- 65
1,143 1,143
19,224 24,130
8,230 2,166
92,901 90,735
101,131 $ 92,901
The accompanying notes are an integral part of these financial statements.
-4-

WATERFORD-EAST LYME SHELLFISH COMMISSION
NOTES TO THE FINANCIAL STATEMENTS
Year Ended June 30, 2019
NOTE 1—Summary of significant accounting policies
Organization and nature of activities
The Waterford-East Lyme Shellfish Commission (the “Commission”) is a joint agency of the Towns of Waterford
and East Lyme. This agency was formed to provide management services for shellfishing activities. The
Commission is funded through Town allocation and the sale of shellfish permits.
Basis of accounting and financial statement presentation
The accompanying financial statements have been prepared on the modified cash basis of accounting, Differences
between the modified cash basis of accounting being used and generally accepted accounting principles are that
revenues are recognized when received rather than when eared, and expenses and purchases of assets are
recognized when cash is disbursed rather than when the obligation is incurred. Modifications to the cash basis of
accounting inchide recording investments at fair market value and also the recording of depreciation.
Net assets of the Commission are classified based on the presence or absence of donor — imposed restrictions. Net
assets are comprised of twa groups as follows:
Net assets without donor restrictions— Net assets that are not subject to donor-imposed restrictions and
may be expended for any purpose in performing the primary objectives of the Commission, These
resources may be expended at the discretion of the Board of Directors.
Net assets with donor restrictions —Net assets with donor restrictions represent contributions that are
restricted by the donor as to purpose or time of expenditure. Net assets with donor restrictions also
represent resources that have donor-imposed restrictions that require that the principal be maintained in
perpetuity but permit the Commission to expend the income earned thereon. The Commission did not
have net assets with donor restrictions as of June 30, 2019 and 2018.
Donor restricted contributions are reported as increases in net assets with donor restrictions. When a
restriction expires, net assets are reclassified from net assets with donor restrictions to net assets without
donor restrictions in the statement of activities.
Adoption of new accounting pronouncement
On August 18, 2016 The Financial Accounting Standards Board (FASB) issued Accounting Standards Update
(ASU) 2016-14, Not-For-Profit Entities (Topic 958), Presentation of Financial Statements of Not-for-Profit
Entities. This update is intended to improve the net asset classification requirements and the information presented
in the financial statements and notes about a not-for-profit entity’s liquidity, financial performance and cash flows.
The main provisions of this guidance include the presentation of two classes of net assets rather than three, and
enhancement of disclosures regarding board designations, appropriations, and certain qualitative information.
The commission has implemented ASU 2016-14 and has adjusted the presentation of these statements
accordingly. The ASU has been applied retrospectively to all periods presented with no effect on changes in net
assets.
Prior year summarized financial information
The financial statements include certain prior-year summarized comparative financial information in total but not
by class, Such information does not include sufficient detail to constitute a presentation in conformity with the
modified cash basis of accounting. Accordingly, such information should be read in conjunction with the
Commissions audited financial statements as of and for the year ended Ime 30, 2018 from which the summarized
financial information was derived. .

WATERFORD-EAST LYME SHELLFISH COMMISSION
NOTES TO THE FINANCIAL STATEMENTS
Year Ended June 30, 2019
NOTE 1— Summary of significant accounting policies (Continued)
Cash and cash equivalents
Cash and cash equivalents include all cash balances and highly liquid short-term investments with an original
maturity of three months or less when acquired. There were'no cash equivalents as of June 30, 2019,
Short term investments
The Commission's hold’s investments in certificates of deposits accounts that have a maturity period greater than
90 days, but will mature in less than one year. These are classified as short-term investments in the statement of
assets, liabilities and net assets. These investnents are reported at their current fair values and any appreciation
is recorded in the statement of revenue, expenses and changes in net assets as interest income.
Income taxes
The Waterford-East Lyme Shellfish Commission is a town agency, which is exempt from federal and state income
taxes, .
Estimates
The preparation of financial statements in conformity with a comprehensive basis of accounting other than
generally accepted accounting principles requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the reporting period, Accordingly, actual
results could differ from those estimates.
Concentration of credit risk
Credit risk
The Commission maintains its cash balances in one financial institution, The cash balances in this financial
institution are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per depositor, The
Commission did not have any uninsured balances as of June 30, 2019. Management regularly monitors the
financial institution, together with its cash balances, and tries to keep this potential risk to a minimum.
Management believes that the Commission’s deposits are not subject to significant credit risk.
Sources of revenue
A significant portion of the Commission’s support and revenues come from the Towns of Waterford and East
Lyme as well as permit fees sold at local shops. Govemment funding and sale of permits may be subject to
reduction or termination in future years, Any significant reduction in town funding and sales of permit fees could
have a negative impact on the Commission’s programs services.
Grants and contracts
Grants and contracts are generally considered to be exchange transactions rather than contributions, Revenue
from cost-reimbursement grants and contracts is recognized to the extent of the costs incurred. Revenue from
performance-based grants and contracts is recognized to the extent of the performance achieved, Grant and
contract receipts in excess of revenue recognized are presented as deferred revenue if the grant extends beyond
the Commission’s fiscal year and as due to the grantor if the grant was completed within the fiscal year.

WATERFORD-EAST LYME SHELLFISH COMMISSION
NOTES TO THE FINANCIAL STATEMENTS
Year Ended June 30, 2049
NOTE 1— Summary of significant accounting policies (Continued)
Property and equipment
It is the Commission’s policy to capitalize, at cost all expenditures which materially increase values or extend
useful life exceeding $500 with a useful life greater than three years. Donations of property and equipment are
recorded as contributions at their estimated fair value. Such donations would be reported as without donor
restrictions unless the donor has restricted the donated asset for a specific purpose. Assets donated with explicit
restrictions regarding their use, and contributions of cash that must be used to acquire property and equipment ate
reported as contributions with donor restrictions. Expenditures in the nature of normal repairs and maintenance
are charged to expense as incurred.
Boat 5 yeat's
Equipment 5-7 years
Depreciation expense totaled $1,143 and $1,143 for the years ended June 30, 2019 and 2018, respectively
Contributions
Contributions are defined as voluntary, nonreciprocal transfers. Contributions received are recorded as with or
without donor restrictions, depending on the existence and nature of any donor restrictions.
Contributions that are restricted by the donor are reported as an increase in net assets without donor restrictions
if the restriction expires (is satisfied) in the reporting period in which the support is recognized. All other donor-
restricted support is reported as an increase in net assets with donor restriction, depending on the nature of the
restriction. When a restriction expires (that is, when a stipulated time restriction ends or purpose restriction is
accomplished), net assets with donor restrictions are reclassified to net assets without restrictions and reported in
the statements of activities as net assets released fom restrictions.
Subsequent events
In preparing this financial statement, management has evaluated subsequent events through September 20, 2019
which represents the date the financial statements were available to be issued.
Note 2—Liquidity and availability of resources
The commission’s financial assets available for general expenditure, that is, without donor or other restrictions
limiting their use, within one year of the statement of assets, liabilities and net assets date, comprise the following:
Cash and cash equivalents $ 64,054
Short-term investments 34,804
Financial assets available to meet cash needs for .
general expenditures within one year . $ 98,858
Liquidity management
As part of the Commission’s liquidity management, it has a policy to structure its financial assets fo be available
as its general expenditures, liabilities, and other obligations come due. In addition, the Commission operates with
a balanced budget and anticipates collecting sufficient revenue to cover general expenditures.

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Waterford-East Lyme Shellfish Commission
2019 Annual Report
Waterford-East Lyme Shellfish Commission
Annual Report —2019
The Waterford-East Lyme Shellfish Commission (WELSCO) oversees recreational shellfishing
in the Niantic River. There are 2 areas in the Niantic River available for recreational
shellfishing; Area A which is open year round and is located in the central part of the river south
of Sandy Point to about just north of the entrance to Smith Cove in Niantic, and Area B which is
open seasonally from approximately Dec | through May 31 and is located generally in the
southern third of the river. The open and closed status of each of these areas is overseen by the
Bureau of Aquaculture and the Ledge Light Health District.
Recreational permits are sold by both the East Lyme and Waterford Town Halls as well
as Hillyer’s Bait and Tackle and Mackey’s Bait and Tackle. Permits are sold under a variety of
conditions based on duration, residency, and senior citizen status. The pricing and variety of
permit categories has remained unchanged from last year. WELSCO is not authorized to issue
commercial shellfishing permits based on state statute.
Although clam stock in the Niantic River appears to be sustainable, purchasing additional clam
stock was considered but was not successful due to a statewide shortage of clam seed. This
shortage will make future WELSCO management decisions very critical.
WELSCO owns the Shellfish Warden boat which is used to collect water samples, as required by
the Bureau of Aquaculture, to allow for recreational shellfishing activities. WELSCO wardens
collect water samples not only for WELSCO but also for Waterford Shellfish and East Lyme
Harbor Management/Shellfish commissions. The Warden boat is one of the few municipal boats
in the water year round and has been used in the past by other departments in emergencies. The
State regulations dictate that after one inch of rainfall the recreational shell fishing areas are
closed until water samples are tested to confirm bacterial levels are at acceptable levels.
As of Oct 31, 2019 there were a total of 552 permits sold generating $12,358 of revenue for
WELSCO. The revenue from permit sales helps to offset operating costs of WELSCO.
WELSCO purchased a new outboard motor for the Warden boat this year for a cost of
approximately $10,000. The previous motor served the commission well but the age of the
motor and increasing service costs necessitated a new motor be purchased. Other annual costs
for WELSCO include funding half the cost of the Niantic River pump-out boat and the annual
financial audit required by the Town of Waterford. Funding the pump-out boat is critical to
maintaining the Niantic River status as a no-discharge zone.
Due to efforts in the last year, we have recently entered into an agreement with a group of
citizens to form a public-private partnership to enhance the native oyster population in the

Waterford-East Lyme Shellfish Commission
2019 Annual Report
Niantic River. Approximately 100,000 oysters will be seeded in November to improve water
quality, through the oysters water filtering feeding process, and will provide oysters for
recreational harvest in 1-2 years. As part of this initiative, we have also engaged a student from
the Marine Science Magnet School in New London and she will study the oyster viability in the
first month of seeding. She will be advised by a UCONN professor.
Future Goals
WELSCO will continue to carefully manage our clam stock through a combination of restocking
efforts, management of native stock, and helping to mitigate man-made influences that
negatively impact shellfish sustainability. WELSCO will also attempt to enhance scallop
populations to a level where future recreational scallop seasons may be possible. Improving
water quality is an important component of this and WELSCO also believes enhancing oyster
populations in the Niantic River will improve water quality which could potentially help the
return of more sensitive species like the Bay scallop.
Respectfully Submitted by:
Peter Harris,
Chairman of the Waterford-East Lyme Shellfish Commission.

Waterford - East Lyme Shellfish Commission
Balance Sheet
As of November 30, 2019
Nov 30, 19
ASSETS
Current Assets
Checking/Savings
5533 Checking 13,628.30
5559 Money Market 34,448.22
CD 12 mos #0132 4,989.75
CD 12 mos #7922 14,837.87
CD 6 mos #0996 12,624.34
CD 6 mos #7914 §,085.76
CD 6 mos. #0124 9,936.57
CD 6 mos, #2453 2,888,60
’ CD 6 mos, #7246 : 3,544.62
Total Checking/Savings 101,964.03
Total Current Assets 107,964.03
Fixed Assets
Accum, Depreciation 21,087.48
Boat equipment 26,097,28
Office equipment §,238.59
Total Fixed Assets 10,269.39
TOTAL ASSETS 412,233.42
LIABILITIES & EQUITY
Liabilities
Current Liabilities
Other Current Liabilities
CT WH payable 216.65
FICA payable 65.49
Total Other Current Liabilities 282.14
Total Current Liabilities 282.14
Total Liabilities 282.14
Equity
Retained Earnings 98,917.19
Net Income 13,034.09
Total Equity 111,951.28
TOTAL LIABILITIES & EQUITY 112,233.42
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Waterford - East Lyme Shellfish Commission
Profit & Loss
November 2019
Nov 13 Jul - Nov 19
Ordinary Income/Expense
Income
Gain / Loss on asset 0.00 4,000.00
Interest income 9.92 53.29
Sales Permits
Clamming permits 0.00 40,805.75
Total Sales Permits 0.00 10,805.75
Town of East Lyme - Grant 0.00 3,500.00
Town of Waterford - Grant 0.00 5,000.00
Warden Hours - East Lyme 0.00 68.75
Warden Hours - Waterford 0.00 306.25
Total income 9.92 20,734.04
Expense
Boat Fuel & oif 0.00 111.77
Boat Supplies 0,00 238,94
Payroll
FICA expense 34.84 195,07
Total Payroll 34.84 495.07
Printing expense 0.00 115.83
Program funding 0.00 3,500.00
Repair & Maintenance-Boats 6.00 609,80
Salaries- Administration 74.85 536,43
Salaries-Wardens 133.47 1,768.69
Taxes
Payrolt (941 & CT WH) 0.00 123.00
State Unemployment 0.00 §3.72
Total Taxes 0.06 176,72
Travel & mileage 0.00 182.70
Utilities 432.00 264.00
Total Expense 374.86 7,699.95
Net Ordinary Income -364.94 13,034,09
Net Income ~364.94 13,034.08
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