Board of Selectmen Regular Budget Meeting Materials (linked)

FY22
BUDGET REQUEST


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Gs) _ ') Thames Valley Council
for Community Action, Inc.
Partnering for Prosperous Communities Since 1965
Si
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ey HELPING °
Programs located throughout
New London, Windham and
parts of Tolland Counties
Administrative Office
1 Sylvandale Road
Jewett City, CT 06351
P: 860.889.1365 F: 860.376.8782
Norwich Office
401 West Thames Street, Unit 201
Norwich, CT 06360
November 30, 2020
Mr. Robert J. Brule, First Selectman
Town of Waterford
15 Rope Ferry Road
Waterford, CT 06385
Dear Mr. Brule:
Thames Valley Council for Community Action (TVCCA) respectfully submits the following
request for public funding from the Town of Waterford.
Amount of Funding Request: $5,000
On average, TVCCA provides services valued at more than $1.2 million to Waterford
residents. Most of this Waterford allocation is passed on to local businesses in the form
of payments to home heating vendors, landlords, and food markets, creating a major
impact on the well-being of low-income residents and the community at large.
P: 860.889.1365 F: 860.885.2738
London Office
83 Huntington Street
New London, CT 06320
P: 860.444.0006 F: 860.444.0059
Benefits Statement / Description of Services
Last year, as the economy was booming, the Federal Reserve reported that 27% of
American households would struggle to cover an unexpected $400 expense. If coming up
with $400 quickly would be a problem for typical Americans in good times, the outlook
today for our low-income clients is grim indeed. Our objective is to mitigate the impact
that the ongoing economic crisis will have on our low-income constituents in the coming
year, especially to ensure they remain housed and receiving proper nutrition.
www.tveca.org
As this catastrophic public health and economic crisis continues to unfold, we are unable to project its full impact
on our constituents. It is likely that the majority will find themselves slipping into poverty. This is shaping up to be
the greatest challenge in TVCCA’s 55-year history; and while we cannot foresee the details of its resolution,
already we have seen our staff rise to the occasion. Although many had to work remotely for several months
during spring and into the summer, they continued delivering the highest-quality services to clients, many of
whom have nowhere else to turn. The spirit and dedication demonstrated by TVCCA employees, at every level,
offers evidence that we will indeed prevail, as will the clients who depend on us.
As a Community Action Agency, TVCCA reaches out to low-income people in their communities, addressing their
multiple needs through a comprehensive approach, developing partnerships with other community
organizations, involving low-income clients in the agency’s operations, and administering a full range of
coordinated programs designed to have a measurable impact on poverty. Our program base includes: Head Start;
Little Learners Child Early Care and Education; Workforce Investment Board employment and training; Section 8
housing; budget counseling; community distribution and coordination of emergency services; elderly, infant and
pre-natal nutrition programs; senior volunteer programs; energy assistance; case management; information and
referral; and advocacy services.

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Mr. Robert J. Brule Page 2 November 30, 2020
As the area’s Community Action Agency, TVCCA is currently administering multiple state and federal contracts to
meet many of the basic needs of area residents affected by COVID-19. We were recently awarded a state grant
to facilitate rapid implementation of Community Resource Coordination for individuals identified by local health
departments’ Contact Tracers as needing to isolate/quarantine to prevent transmission of COVID-19. TVCCA’s
COVID-19 Community Resource Coordination program fast-tracks the review of what each of these vulnerable
individuals need to maintain their quarantine.
Since mid-summer, TVCCA has been incorporating referrals from the state’s Contact Tracing database into the
agency’s caseload, screening & assessing identified individuals, and coordinating the provision of necessary
services to facilitate their ability to successfully quarantine. TVCCA has a corps of state-certified Community
Health Workers on staff, and has hired a Community Resource Coordinator to lead the work of triaging referrals,
managing daily operations, and tracking the program’s performance metrics. In the short time the program has
been operational, we have identified these clients’ outstanding needs, and determined their eligibility for
assistance through TVCCA and/or other agencies. To date, we have used existing agency funds, such as those
received from the Town of Waterford, to help this population cover basic expenses — housing, utilities,
healthcare co-pays, prescriptions, etc.
Additionally, following the state’s closure of non-essential businesses, including senior centers through which
many seniors received their main meal of the day, TVCCA’s Senior Nutrition Program stepped up and began
delivering meals to 38% more clients and increased meal production by 40%. Our team has worked closely with
the Waterford Senior Center throughout the pandemic to ensure that Waterford seniors receive the nutritious
meals that they need in order to stay safe in their homes. The Meals on Wheels service is now more important
than ever in keeping seniors safe and out of managed care facilities.
Highlighted Information Requested:
e Number and cost of personnel: TVCCA’s employs 232 full-time and 100 part-time employees. Personnel
costs for salaries and benefits are $13,770,761.
e Number of Waterford residents served: 1,000 — Please see attached Services Rendered Report for
breakdown of all services provided to Waterford.
e United Way Funding: $29,656; approximately 0.10% of our annual operating budget of $26,982,000.
On behalf of our Board and the residents we serve, thank you for this opportunity and | look forward to working
with you in the coming year.
Best regards,
Senior Director, Marketing & Development
Enclosures: Original plus 5 copies of the following — Social Services Grant Funding Request form; statement of
services rendered to the Town of Waterford for the twelve-month period ending September 2020; TVCCA
annual report; TVCCA’s most recent audit; TVCCA municipal funding information
cc: The Honorable Kathleen McCarty
Deborah Monahan, TVCCA CEO
Brian Vanasse, TVCCA CFO


TOWN OF WATERFORD
15 Rope Ferry Road
Waterford, CT 06385
860-442-0553
SOCIAL SERVICES GRANT FUNDING REQUEST
ORGANIZATION NAME: Thames Valley Council for Community Action, Inc. (TVCCA)
REQUEST DATE (FISCAL YEAR): 2021 - 2022
REQUESTED AMOUNT: $5,000
BENEFIT STATEMENT (Describe how these funds will be used)
Please see attached Benefit Statement.
Per Town of Waterford Budget Guidelines: please attach a certified audit report of all funds
appropriated during the last completed fiscal year to your funding request.
DECLARATION
|, the requester, understand that | am requesting public funds from the Town of Waterford.
| declare that this request does not pose any potential conflict with the Town of Waterford
and | will provide any documentation requested by the Town of Waterford to authorize
funding this request or review the appropriateness of the request.
Delaath Maraehan N | 20|202¢0
Signature Date | ‘


SERVICES TO THE TOWN OF WATERFORD
10/1/19 - 9/30/20
THAMES VALLEY COUNCIL FOR COMMUNITY ACTION, INC.
EMPLOYMENT AND TRAINING PROGRAMS
Jobs First Employment Services 9 $10,702.00
Manufacturing Pipeline Initiative 1 $629.00
WIOA Out of School Youth 2 $4,012.00
Workforce Innovation & Opportunity Act (WIOA) 2 $5,892.00
EARLY CHILDHOOD EDUCATION
Head Start 12 $108,288.00
Little Learners 11 $135,157.00
FINANCIAL MANAGEMENT
Tax Preparation Services (VITA) 35 $70,780.00
HOUSING SERVICES
Next Steps Supportive Housing Program 1 $9,155.00
Home Again Project 1 $2,680.00
Housing Choice Voucher Rental Assistance (Section 8) 32 $308,224.00
Rapid Rehousing 1 $7,291.00
SELF-SUFFICIENCY & EMERGENCY SERVICES
CSBG Case Management 77 $21,465.00
SSBG Case Management 12 $7,388.00
Connecticut Energy Assistance Program 418 $307,047.00
Hispanic Human Resources Development 3 $4,032.00
TVCCA CONNECT 2 $5,630.00
NUTRITION PROGRAMS
Senior Nutrition Program - Home Delivered 83 $93,629.00
Senior Nutrition Program - Congregate 122 $26,215.00
Supplemental Nutrition Assistance Program (SNAP) 9 $1,425.00
Women, Infants & Children (WIC) 167 $78,582.00
TOTAL CLIENTS SERVED 1,000
SENIOR CITIZEN PROGRAMS HOURS SERVED VALUE OF SERVICES
Retired and Senior Volunteer Program - Service Hours to Town 547 iS 14,878.00
TOTAL VALUE OF SERVICES $1,223,101.00


Revenues
Federal and State Grants
Local, Other Grants and Contributions
Municipal Contributions
Program and Other Revenue
Other Revenue
Interest
Gain/loss on Disposal of Fixed Assets
Fundraising
Bond Debt Service Funding
Health Benefit Contributions
Total Revenues
Expenses
Salaries and Benefits
Travel
Supplies
Other Expenses
Contractual Services
Other Project Expenses
Client Assistance
Administrative and General
Rent and Leasing
Repairs and Maintenance
Utilities
Insurance
Vehicle Expenses
Interest
Bond Interest
Total Expenses
Excess Revenue Over (Under) Expenditures
Thames valley Council For Community Action Inc.
7/01/20-
12/31/20
Actual
0.00
8,064,115.17
62,133.20
196,836.46
4,487,906.74
1,466,046.92
3,626.26
500.00
5,527.97
298,826.29
94,555.72
14,680,074.73
0.00
6,993,807.89
36,475.55
437,881.28
68,811.55
776,902.84
475,361.55
4,004,995.61
1,303,063.60
132,105.31
249,422.48
82,191.90
88,621.16
9,730.59
680.96
7,600.06
14,667,652.33
12,422.40


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a
MUNICIPAL DONATIONS TO TVCCA
2020-2021
New London County
DONATION AMOUNT
East Lyme $1,500
Franklin $2,500
Griswold $3,000
Groton $22,767
Lisbon $1,000
Lyme $1,000
Montville $4,000
New London $23,000
North Stonington $1,000
Norwich $35,565
Old Lyme $600
Salem $1,000
Sprague $1,000
Stonington $8,000
Voluntown $500
Waterford $5,000
Total $111,432


Thames Valley Council for
Community Action, Inc. and Subsidiary
Consolidated Financial Statements, Federal Awards in
Accordance with the Uniform Guidance, State
Financial Assistance in Accordance with the State
Single Audit Act, (With Supplementary Information)
and Independent Auditor's Reports
March 31, 2020 and 2019
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Thames Valley Council for Community Action, Inc. and Subsidiary
lndex
Independent Auditor's Report
Consolidated Financial Statements
Consolidated Statements of Financial Position
Consolidated Statements of Activities and Changes in Net Assets
Consolidated Statements of Functional Expenses
Consolidated Statements of Cash Flows
Notes to Consolidated Financial Statements
Supplementary Information
Schedule 1 - Statement of Financial Position Information
Schedule 2 - Statement of Activities Information
Schedule 3 - Statement of Cash Flows Information
Independent Auditor's Report on Internal Control over Financial Reporting
and on Compliance and Other Matters Based on an Audit of Financial
Statements Performed in Accordance with Government Auditing Standards
Independent Auditor's Report on Compliance for Each Major Federal Program;
Report on Internal Control over Compliance; and Report on the Schedule of
Expenditures of Federal Awards Required by the Uniform Guidance
Schedule of Expenditures of Federal Awards
Notes to Schedule of Expenditures of Federal Awards
Schedule of Findings and Questioned Costs
Independent Auditor's Report on Compliance for Each Major State Program; Report on
Internal Control over Compliance; and Report on the Schedule of Expenditures of State
Financial Assistance Required by the State Single Audit Act
Schedule of Expenditures of State Financial Assistance
Note to Schedule of Expenditures of State Financial Assistance
Schedule of Findings and Questioned Costs
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CohnReznick LLP CohnReznick 7)
Independent Auditor's Report
To the Board of Trustees
Thames Valley Council for Community Action, Inc. and Subsidiary
We have audited the accompanying consolidated financial statements of Thames Valley Council for
Community Action, Inc. and Subsidiary (a nonprofit organization), which comprise the statement of
financial position as of March 31, 2020, and the related statements of activities and changes in net
assets, functional expenses and cash flows for the year then ended, and the related notes to the
consolidated financial statements.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial
statements in accordance with accounting principles generally accepted in the United States of
America; this includes the design, implementation and maintenance of internal control relevant to the
preparation and fair presentation of consolidated 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 consolidated financial statements based on our
audit. We conducted our audit in accordance with auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States of America. Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the consolidated
financial statements are free from material misstatement. The financial statements of the subsidiary
were not audited in accordance with Government Auditing Standards.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the consolidated financial statements. The procedures selected depend on the auditor's judgment,
including the assessment of the risks of material misstatement of the consolidated 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 consolidated 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 well as evaluating the
overall presentation of the consolidated financial statements.
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 consolidated financial statements referred to above present fairly, in all material
respects, the financial position of Thames Valley Council for Community Action, Inc. and Subsidiary as
of March 31, 2020, and the changes in their net assets and their cash flows for the year then ended, in
accordance with accounting principles generally accepted in the United States of America.

CohnReznick@{)
Other Matters (
The prior year information has been derived from Thames Valley Council for Community Action, Inc.
and Subsidiary's 2019 consolidated financial statements, which were audited by other auditors whose
report dated September 24, 2019 expressed an unmodified opinion on those consolidated financial
statements.
Other Information
Our audit was conducted for the purpose of forming an opinion on the consolidated financial statements
as a whole. The accompanying schedules of expenditures of federal awards and state financial
assistance, as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards and the Connecticut State
Single Audit Act, and Schedules 1 through 3 are presented for purposes of additional analysis and are
not a required part of the consolidated financial statements. Such information is the responsibility of
management and was derived from and relates directly to the underlying accounting and other records
used to prepare the consolidated financial statements. The information has been subjected to the
auditing procedures applied in the audit of the consolidated financial statements and certain additional
procedures, including comparing and reconciling such information directly to the underlying accounting
and other records used to prepare the consolidated financial statements or to the consolidated financial
statements themselves, and other additional procedures in accordance with auditing standards
generally accepted in the United States of America. In our opinion, the information is fairly stated, in all
material respects, in relation to the consolidated financial statements as a whole.
Other Reporting Required by Government Auditing Standards
\
In accordance with Government Auditing Standards, we have also issued our report dated October 2, C
2020, on our consideration of Thames Valley Council for Community Action, Inc. and Subsidiary's
internal control over financial reporting and on our tests of its compliance with certain provisions of
laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is
solely to describe the scope of our testing of internal control over financial reporting and compliance
and the results of that testing, and not to provide an opinion on the effectiveness of Thames Valley
Council for Community Action, Inc. and Subsidiary's internal contro! over financial reporting or on
compliance. That report is an integral part of an audit performed in accordance with Government
Auditing Standards in considering Thames Valley Council for Community Action, Inc. and Subsidiary's
internal contro! over financial reporting and compliance.
Hartford, Connecticut
October 2, 2020

Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statements of Financial Position
March 31, 2020 and 2019
Assets
2020 2019
Current assets
Cash and cash equivalents $ 4,280,156 4,150,683
Receivables
Grants and contracts 1,270,088 1,783,591
Other - 17,004
Other current assets 293,300 172,202
Total current assets 5,843,544 6,123,480
Property, plant and equipment 5,438,677 5,791,015
Other assets
Restricted cash equivalents 122,185 119,839
Total assets $ 11,404,406 12,034,334
Liabilities and Net Assets
Current liabilities
Accounts payable and accrued expenses $ 1,390,440 1,786,688
Current portion of long term-debt 276,721 257,673
Refundable advances 554,727 92,813
Total current liabilities 2,221,888 2,137,174
Long-term liabilities
Long-term debt, less current portion 4,287,415 4,561,393
Total liabilities 6,509,303 6,698,567
Commitments and contingencies
Net assets
Without donor restrictions 3,317,016 3,773,686
With donor restrictions 1,578,087 1,562,081
Total net assets 4,895,103 5,335,767
Total liabilities and net assets $ 11,404,406 12,034,334
See Notes to Consolidated Financial Statements.

Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statement of Activities and Changes in Net Assets
Year Ended March 31, 2020
Support and revenue
Federal and state grants and contracts $
Local and other grants and contributions
Program and other income
Contributed goods and services
Debt service paid on behalf of TVCCA
by the State of Connecticut
Net assets released from restrictions
Total support and revenue
Expenses
Program services
Children services
Energy related services
Eiderly services
Employment and training services
Housing and shelter services
Other community services
Total program
Management and general
Total expenses
Change in net assets
Net assets, beginning
Net assets Net assets
without donor with donor
restrictions restrictions Total
24,560,326 - $ 24,560,326
575,254 24,510 599,764
1,969,743 - 1,969,743
184,688 - 184,688
371,691 - 371,691
8,504 (8,504)
27,670,206 16,006 27,686,212
11,324,850 - 11,324,850
8,349,504 - 8,349,504
3,031,352 - 3,031,352
1,506,426 - 1,506,426
1,863,104 - 1,863,104
610,399 - 610,399
26,685,635 - 26,685,635
1,441,241 - 1,441,241
28,126,876 - 28,126,876
(456,670) 16,006 (440,664)
3,773,686 1,562,081 5,335,767
3,317,016 1,578,087 $ 4,895,103
Net assets, end $
See Notes to Consolidated Financial Statements.

Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statement of Activities and Changes in Net Assets
Year Ended March 31, 2019
Revenues and support
Federal and state grants and contracts
Local and other grants and contributions
Program and other income
Contributed goods and services
Debt service paid on behalf of TVCCA by
the State of Connecticut
Net assets released from restrictions
Total revenues
Expenses
Program services
Children services
Energy related services
Elderly services
Employment and training services
Housing and shelter services
Other community services
Total program
Management and general
Total expenses
Change in net assets
Net assets, beginning
Net assets, end
See Notes to Consolidated Financial Statements.
Net assets Net assets
without donor with donor
restrictions restrictions Total
$ 23,466,463 - $ 23,466,463
924,058 35,788 959,846
1,539,672 - 1,539,672
207,909 - 207,909
370,998 - 370,998
102,429 (102,429) -
26,611,529 (66,641) 26,544,888
11,049,726 - 11,049,726
7,687,564 - 7,687 ,564
2,708,723 - 2,708,723
1,441,838 - 1,441,838
1,828,311 - 1,828,311
556,059 - 556,059
25,272,221 - 25,272,221
1,314,408 - 1,314,408
26,586,629 - 26,586,629
24,900 (66,641) (41,741)
3,748,786 1,628,722 5,377,508
3,773,686 1,562,081 $ 5,335,767

Salaries and benefits
Client assistance
Contractual services
Materials and supplies
Depreciation and amortization
Administrative and general
Repairs and maintenance
Contributed goods and services
Other expenses
Interest
Travel and transportation
Utilities
Insurance
Rent and leasing
Allocation of management and
general to program services
Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statement of Functional Expenses
Year Ended March 31, 2020
See Notes to Consolidated Financial Statements.
Supporting
Program services services
Energy Employment Housing Other Management
Children related Elderly and training and shelter community and
services services Services services services services Total general Total
$ 7,021,368 $ 579,174 $ 1,371,746 $ 1,243,602 $ 683,517 $ 389,995 $ 11,289,402 $ 2,355,665 $ 13,645,067
66,895 7,470,859 800,406 4,637 838,418 95,282 9,276,497 10,808 9,287,305
1,000,231 - - - 55,052 - 1,055,283 139,570 1,194,853
297,798 19,922 189,509 26,809 59,764 19,853 613,655 170,317 783,972
467,264 10,560 25,000 22,670 12,460 7,110 545,064 42,929 587,993
210,531 14,055 115,610 8,245 15,641 21,665 385,747 182,419 568,166
379,327 13,853 63,661 247 15,447 183 472,718 104,030 576,748
169,513 - - - - - 169,513 - 169,513
73,438 120,179 29,703 6,458 43,390 6,765 279,933 56,426 336,359
169,881 - - - - - 169,881 45,941 215,822
61,926 2,481 81,043 13,894 21,489 2,126 182,959 21,595 204,554
120,389 - 48,189 - - - 168,578 21,673 190,251
48,016 2,421 38,297 1,089 857 1,851 92,531 119,010 211,541
32,455 18,705 36,368 962 12,016 1,998 102,504 52,228 154,732
1,205,818 97,295 231,820 177,813 105,053 63,571 1,881,370 (1,881,370) -
$ 11,324,850 $ 8,349,504 $ 3,031,352 $ 1,506,426 $ 1,863,104 $ 610,399 $ 26,685,635 $ 1,441,241 $ 28,126,876
—_

Salaries and benefits
Client assistance
Contractual services
Materials and supplies
Depreciation and amortization
Administrative and general
Repairs and maintenance
Contributed goods and services
Other expenses
Interest
Travel and transportation
Utilities
Insurance
Rent and leasing
Allocation of management and
general to program services
Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statement of Functional Expenses
Year Ended March 31, 2019
Supporting
Program services services
Energy Employment Housing Other Management
Children related Elderly and training and shelter community and
services services Services services services services Total general Total
$ 6,827,161 $ 594,172 $ 1,313,422 $ 1,203,901 $ 595,177 $ 365,345 $ 10,899,178 $ 2,337,650 $ 13,236,828
70,072 6,648,015 724,552 1,891 846,135 85,870 8,376,535 9,320 8,385,855
923,877 - - - 63,620 - 987,497 76,667 1,064,164
312,627 53,284 157,953 47,731 39,904 9,039 620,538 97,242 717,780
466,119 11,038 24,399.00 22,364 11,056 6,787 541,763 43,426 §85,189
168,519 15,568 75,450 6,249 9,062 10,999 285,847 188,759 474,606
335,311 20,751 82,580 696 24,906 1,143 465,387 126,705 592,092
198,291 - 9,618 - - - 207,909 - 207,909
73,110 14,509 50,182 8,528 32,503 24,524 203,356 110,278 313,634
176,356 - - - - - 176,356 50,418 226,774
71,782 2,623 89,764 15,836 19,618 1,129 200,752 24,286 225,038
141,418 - 45,597 - - - 187,015 21,241 208,256
40,250 1,935 34,008 857 685 1,392 79,127 101,397 180,524
46,707 23,153 51,162 1,998 7,705 1,937 132,662 35,318 167,980
1,198,126 302,516 50,036 131,787 177,940 47,894 1,908,299 (1,908,299) -
$ 11,049,726 $ 7,687,564 $ 2,708,723 $ 1,441,838 $ 1,828,311 $ 556,059 $ 25,272,221 $ 1,314,408 $ 26,586,629
See Notes to Consolidated Financial Statements.

Thames Valley Council for Community Action, Inc. and Subsidiary
Consolidated Statements of Cash Flows
Years Ended March 31, 2020 and 2019
2020 2019
Cash flows from operating activities
Changes in net assets $ (440,664) $ (41,741)
Adjustments to reconcile changes in net assets to
net cash provided by operating activities
Depreciation 587,993 585,189
Principal reduction on long-term debt (196,310) (183,430)
Loss on disposition of assets - 736
Changes in operating assets and liabilities
Grants and contracts receivable 513,503 553,744
Other receivables 17,004 566,122
Other current assets (121,098) 24,739
Accounts payable and accrued expenses (396,248) (393,182)
Deferred revenue 461,914 (55,366)
Net cash provided by operating activities 426,094 1,056,811
Cash flows from investing activities
Purchases of property plant and equipment (235,655) (434,260)
Cash flows from financing activities (
Principal repayments on long-term debt (58,620) (55,524) -
Net increase in cash, cash equivalents
and restricted cash 131,819 567,027
Cash, cash equivalents and restricted cash, beginning 4,270,522 3,703,495
Cash, cash equivalents and restricted cash, end $ 4,402,341 $ 4,270,522
Supplemental schedule of noncash investing and
financing activities
Cash paid for interest $ 43,523 $ 34,247
On-behalf payments for interest 175,381 187 568
Total interest expense $ 218,904 $ 221,815
See Notes to Consolidated Financial Statements.

(
Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Note 1 - Principles of consolidation
Reporting entity
Thames Valley Council for Community Action, Inc. (the "Council") was established in 1965 as
Southeastern Connecticut's community action agency. The Council provides a wide range of
services to disadvantaged and at-risk clients, including Head Start, daycare, energy assistance,
senior nutrition, housing and shelter services and various others. Support and revenue consists
of federal, state and local government grants, individual, corporate and foundation contributions,
and participant fees received in the operation of certain programs.
The Council's subsidiary, TVCCA Information Systems, LLC (the "LLC"), is a limited liability
company organized in October 2007 for the purpose of developing energy and case management
software to other nonprofit organizations. The Council is the sole member of the LLC.
The accompanying consolidated financial statements include the accounts of the Council and the LLC
(collectively referred to as "TVCCA"). All significant intercompany balances and transactions have
been eliminated.
Note 2 - Significant accounting policies
Basis of accounting
The consolidated financial statements have been prepared on the accrual basis of accounting in
accordance with accounting principles generally accepted in the United States of America ("GAAP").
Use of estimates
The preparation of consolidated financial statements in conformity with GAAP requires management
to make estimates and assumptions that affect the reported amounts and disclosures in the
consolidated financial statements. Actual results could differ from those estimates.
Cash equivalents
For purposes of the consolidated statements of cash flows, TVCCA considers all highly liquid
investments with an original maturity of three months or less to be cash equivalents.
Restricted cash
Certain amounts have been deposited into escrow accounts under terms of the CHEFA mortgage
financing. Such funds are restricted for allowable purposes related to repairs and renovations of
CHEFA financed child daycare facilities. The following table provides a reconciliation of cash, cash
equivalents, and restricted cash reported within the consolidated statements of financial position
that summarized the total of such amounts shown in the consolidated statements of cash flows:
2020 2019
Cash and cash equivalents $ 4,280,156 $ 4,150,683
Restricted cash 122,185 119,839
$4,402,341 $4,270,522
Property, plant and equipment
Property, plant and equipment acquisitions and improvements thereon individually exceeding
$5,000 are capitalized at cost and depreciated on a straight-line basis over estimated service lives
ranging from 5 to 30 years. Maintenance and repairs are charged to expense as incurred.
10

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Funding sources retain a reversionary right to certain property acquired with grant funds. No
significant grant programs ended during the years ended March 31, 2020 or 2019 that would
require disposition of such property in accordance with applicable grant requirements.
Net asset categories
To ensure observance of limitations and restrictions placed on the use of resources available to
TVCCA, the accounts of TVCCA are maintained in the following net asset categories:
Net Assets Without Donor Restrictions - Net assets without donor restrictions are available for
use at the discretion of the Board of Trustees and/or management for general operating
purposes. From time to time, the Board of Trustees may designate a portion of these net assets
for specific purposes, which makes them unavailable for use at management's discretion. No
amounts have been designated by the Board of Trustees as of March 31, 2020 and 2019.
Net Assets With Donor Restrictions - Net assets subject to donor- (or certain grantor-) imposed
restrictions are temporary in nature, such as those that will be met by the passage of time or
other events specified by the donor. Other donor-imposed restrictions are perpetual in nature,
where the donor stipulates that resources be maintained in perpetuity.
Revenue recognition
Grants and Contracts - TVCCA receives a substantial portion of its revenue from grants and
contracts executed with federal and state agencies. Revenue from grants and contracts with
resource providers such as the government and its agencies, other organizations and private
foundations is accounted for either as exchange transactions or as contributions. When the
resource provider receives commensurate value in return for the resources transferred to TVCCA,
the revenue from the grant or contract is accounted for as an exchange transaction. For purposes
of determining whether a transfer of asset is a contribution or an exchange transaction, TVCCA
deems that the resource provider is not synonymous with the general public, i.e., indirect benefit
received by the public as a result of the assets transferred is not deemed equivalent to
commensurate value received by the resource provider. Moreover, the execution of a resource
provider's mission or the positive sentiment from acting as a donor is not deemed to constitute
commensurate value received by a resource provider. Revenue from grants and contracts that are
accounted for as exchange transactions is based on the expenditure of funds in accordance with
grant and contract restrictions and, therefore, revenue is recognized to the extent of the
attainment of specific performance goals and, as a result, revenue is recognized to the extent of
performance achieved. Cash received in excess of revenue recognized is recorded as deferred
revenue for exchange transactions and refundable advances for contributions.
Contributions - Transactions where the resource provider often receives value indirectly by
providing a societal benefit, although the societal benefit is not considered to be of commensurate
value, are deemed to be contributions. Contributions are classified as either conditional or
unconditional. A conditional contribution is a transaction where TVCCA has to overcome a barrier or
hurdle to be entitled to the resource and the resource provider is released from the obligation to
fund or has the right of return of any advanced funding if TVCCA fails to overcome the barrier.
TVCCA recognizes the contribution revenue upon overcoming the barrier or hurdle. Any funding
received prior to overcoming the barrier is recognized as a refundable advance.
Unconditional contributions are recognized as revenue and receivable when the commitment to
contribution is received. Conditional and unconditional contributions are recorded as either with
donor restriction or without donor restriction. Contributions are recognized as contributions with
donor restrictions if they are received with donor stipulations that limit the use of the donated asset.
11

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Contributions received with no donor stipulations are recorded as contributions without donor
restrictions. When a donor restriction expires, that is, when a stipulated time restriction ends or
purpose restriction is accomplished, net assets with donor restrictions are reclassified as net assets
without donor restrictions and are reported in the consolidated statement of activities and changes
in net assets as net assets released from restriction. Donor-restricted contributions whose
restrictions expire during the same fiscal year are recognized as contributions without donor
restrictions.
Contributed services - TVCCA recognizes contributed services if they create or enhance
nonfinancial assets or require specialized skills and would typically be purchased if not provided by
donation. General volunteer services do not meet the criteria for recognition in the consolidated
financial statements. However, a substantial number of volunteers have donated significant
amounts of time to TVCCA's programs.
Program fees - Program service fees are recognized as revenue as services are performed.
Program service fees received in advance of the applicable program period are presented as
deferred revenue.
Debt service paid on-behalf of TVCCA by the State of Connecticut - As described more fully in
Note 6, the State of Connecticut Office of Early Childhood ("OEC") has agreed to pay a
percentage of the qualifying debt service required by TVCCA's mortgage loan agreements
executed with the State of Connecticut Health and Educational Facilities Authority ("“CHEFA").
TVCCA recognizes revenue for debt service paid on-behalf of TVCCA when the amounts are
actually paid by the State of Connecticut.
Income taxes
TVCCA qualifies as an organization under Section 501(c)(3) of the Internal Revenue Code and,
therefore, is exempt from federal and state income taxes on exempt function income. TVCCA's
informational and tax returns for the last three years generally remain open for examination.
The LLC reports all of its activities, including any unrelated business income, on TVCCA's federal
and state informational returns. TVCCA has no unrecognized tax benefits at March 31, 2020 and
2019. TVCCA's federal and state information returns prior to fiscal year 2017 are closed and
management continually evaluates expiring statues of limitations, audits, proposed settlements,
changes in tax law and new authoritative rulings.
\f applicable, TVCCA would recognize interest and penalties associated with tax matters as part of
interest expense in the consolidated statement of activities and changes in net assets and include
accrued interest and penalties in accrued expenses in the consolidated statement of financial
position. No provision for unrelated business income taxes was recorded for the years ended March
31, 2020 and 2019.
Expenses by function
The consolidated financial statements report certain categories of expenses that are attributed to
more than one program or supporting function. Therefore, expenses require allocation on a
reasonable basis that is consistently applied. The expenses that are allocated include occupancy,
depreciation and amortization, which are allocated on a square footage basis, as well as salaries
and wages, benefits, payroll taxes, professional services, office expenses, information technology,
interest, insurance, and other which are allocated on the basis of estimates of time and effort.
Expenses incurred for various education programs are allocated based on classroom size.
12

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Operating measure
TVCCA has defined the change in net assets from operating activities to include all support,
revenue, expenses, and gains and losses, except for gains or losses resulting from unusual or
infrequent transactions.
Subsequent events
Subsequent events were evaluated through October 2, 2020, which is the date the consolidated
financial statements were available to be issued.
Newly adopted accounting standards
In June 2020, the FASB issued Accounting Standards Update No. 2020-05 ("ASU 2020-05"),
Revenue from Contracts with Customers (Topic 606) and Leases (Topic 842): Effective Dates for
Certain Entities, which provides for the elective deferrals of the effective dates of Topic 606 and
Topic 842 for certain entities. The core principle of Topic 606, which replaces most existing revenue
recognition guidance with a five-step framework, is that revenue from contracts with customers is
recognized in an amount that reflects the consideration to which an entity expects to be entitled in
exchange for goods and services. Upon its adoption, Topic 842 replaces existing lease accounting
guidance and requires lessees to recognize right of use assets and corresponding lease liabilities
for their leases other than those on their balance sheets for all leases, including those classified as
operating, except for short-term leases. Lessor accounting under Topic 842 is largely unchanged
when compared to existing guidance.
TVCCA has elected to apply the deferrals provided by ASU 2020-05 and therefore expects to adopt
(i) Topic 606 for annual reporting periods beginning after December 15, 2019 retrospectively with a
cumulative effect transition adjustment to opening equity as of the beginning of the period that
includes initial adoption of the standard; and (ii) Topic 842 for fiscal years beginning after December
15, 2021 on a modified retrospective basis with a cumulative effect transition adjustment as of the
beginning of the period that includes initial adoption of the standard. TVCCA is currently evaluating
the potential impacts of adopting Topic 606 and Topic 842 on its consolidated financial statements.
TVCCA adopted FASB ASU 2018-08, Clarifying the Scope and the Accounting Guidance for
Contributions Received and Contributions Made ("ASU 2018-08"). This standard assists entities in
evaluating whether transactions should be accounted for as contributions or exchange transactions
and determining whether a contribution is conditional. TVCCA adopted the provisions of ASU 2018-
08 on April 1, 2019 applicable to both contributions received and to contributions made in the
accompanying consolidated financial statements under a modified prospective basis. There is no
effect on net assets in connection with our implementation of ASU 2018-08.
13

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Note 3 - Liquidity and availability of resources
The following table reflects TVCCA's financial assets as of March 31, 2020 and 2019, reduced
by amounts not available for general expenditure within one year or have a restricted purpose:
2020 2019
Current assets, excluding non-financial assets
at year end:
Cash and cash equivalents $ 4,280,156 $ 4,150,683
Grants and contracts receivable 1,270,088 1,783,591
Other receivables - 17,004
Total financial assets 5,550,244 5,951,278
Adjustments
Less amounts not available to be used within one year:
Net assets with program restrictions not expected
to be released within one year (1,578,087) (1,562,081)
Add financing available under revolving line of credit
within one year 400,000 400,000
Total adjustments (1,178,087) (1,162,081)
Financial assets available to meet cash
needs for general expenditures within one year $ 4,372,157 $ 4,789,197
TVCCA's revenues are primarily derived by federal and state grants. TVCCA has a policy to
structure grant drawdowns as its general expenditures, liabilities, and other obligations come due.
In addition, TVCCA maintains a line of credit of $400,000 with a bank that could be drawn upon as
needed during the year to further manage cash flows. Financial assets are considered unavailable
when illiquid or not convertible to cash within one year or because the governing board has set
aside the funds for a specific contingency reserve.
Note 4 - Concentrations
Concentrations of credit risk
TVCCA's financial instruments that are exposed to concentrations of credit risk consist
primarily of cash and cash equivalents and receivables.
Cash and cash equivalents - TVCCA places its cash and cash equivalents with highly rated
financial institutions, which are continually reviewed by management for financial stability.
Generally, TVCCA's cash and cash equivalents in interest bearing accounts exceeds financial
depository insurance limits. However, TVCCA has not experienced any losses in such accounts
and believes that its cash and cash equivalents are not exposed to significant credit risk.
Receivables - Receivables primarily consist of grants and contracts due from a variety of
federal, state and local governments. Based on historical experience, management believes
these receivables represent negligible credit risk. Accordingly, management has not established
an allowance for potential credit losses.
14

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
Support and revenue concentrations
TVCCA receives a significant portion of its grants and contracts from the U.S. Department of
Health and Human Services, the State of Connecticut, and certain nonprofit pass-through
agencies. As with all governmental funding, these grants and contracts are subject to reduction
or termination in future years. Any significant reduction in these grants and contracts could have a
negative impact on TVCCA's program services.
Note 5 - Property, plant and equipment
A summary of property, plant and equipment is as follows:
2020 2019
Land, buildings and improvements $ 10,980,928 $ 10,873,431
Vehicles 783,516 839,506
Appliances 451,404 451,404
Computer equipment 665,957 608,765
Telephone equipment 329,511 329,511
Furniture and fixtures 377 ,942 355,892
Office equipment 29,404 29 404
13,618,662 13,487,913
Less accumulated depreciation 8 179,985 7,696,898
Net property and equipment $ 5,438,677 $ 5,791,015
Depreciation and amortization expense for property, plant and equipment totaled $587,993 and
$585,189 for the years ended March 31, 2020 and 2019, respectively.
Note 6 - Debt
A summary of debt is as follows:
CHEFA mortgage notes payable
Taftville facility
Windham facility
Vernon facility
New London facility
Other mortgage notes payable
Less current portion
Long-term portion
15
2020 2019
1,560,000 §$ 1,650,000
515,000 560,000
320,000 350,000
2,125,000 2,195,000
44.136 64,066
4,564,136 4,819,066
276,721 257,673
4,287,415 $4,561,393

f
}
Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
CHEFA mortgage notes payable
Taftville facility
In April 2001, TVCCA entered into a Loan Agreement and Open-End Mortgage (collectively the
"Taftville Agreements”) with CHEFA to finance the construction of a qualifying child care facility
through CHEFA's sale of $3,865,000 Child Care Facilities Series E Revenue Bonds (the "Series
E Bonds"). TVCCA's share of the Series E Bond proceeds totaled $2,745,000 or 72.3% of total
Series E Bond proceeds. Payments by TVCCA are based on interest costs and principal
payments on 72.3% of the Series E Bonds, amounts required to establish and maintain trust
funds required under the Taftville Agreements, annual fees and certain expenses of CHEFA.
TVCCA also pays the cost of insuring the property and of operation and maintenance. Interest is
payable semi-annually at rates ranging from 3.0% to 5.0% with principal payable in various
installments through July 2031.
Windham facility
In January 2003, TVCCA entered into a Loan Agreement and Open-End Mortgage (collectively
the "Windham Agreements") with CHEFA in connection with the assumption of CHEFA
mortgage financing and acquisition of related real property, consisting of a qualifying child care
facility, previously held by an unrelated entity. The qualifying child care facility acquired was
constructed through CHEFA's sale of Child Care Facilities Series A Revenue Bonds (the "Series
A Bonds"). Payments by TVCCA are based on interest costs and principal payments on the
Series A Bonds, amounts required to establish and maintain trust funds required under the
Windham Agreements, annual fees and certain expenses of CHEFA. TVCCA also pays the cost
of insuring the property and of operation and maintenance. Interest is payable semi-annually at
rates ranging from 3.0% to 5.0% with principal payable in various installments through July
2028.
Vernon facility
In January 2003, TVCCA entered into a Loan Agreement and Open-End Mortgage (collectively
the "Vernon Agreements") with CHEFA in connection with the assumption of CHEFA mortgage
financing and acquisition of related real property, consisting of a qualifying child care facility,
previously held by an unrelated entity. The qualifying child care facility acquired was constructed
through CHEFA's sale of Child Care Facilities Series A and B Revenue Bonds (the "Series A
and B Bonds"). Payments by TVCCA are based on interest costs and principal payments on the
Series A and B Bonds, amounts required to establish and maintain trust funds required under
the Vernon Agreements, annual fees and certain expenses of CHEFA. TVCCA also pays the
cost of insuring the property and of operation and maintenance. Interest is payable
semi-annually at rates ranging from 3.0% to 5.0% with principal payable in various installments
through July 2028.
New London facility
In October 2008, TVCCA entered into a Loan Agreement and Open-End Mortgage (collectively
the "New London Agreements”) with CHEFA to finance the construction of a qualifying child
care facility through CHEFA's sale of $16,875,000 Child Care Facilities Series G Revenue
Bonds (the "Series G Bonds"). TVCCA's share of the Series G Bond proceeds totaled
$2,465,000 or 14.6% of total Series G Bond proceeds. Payments by TVCCA are based on
interest costs and principal payments on 14.6% of the Series G Bonds, amounts required to
establish and maintain trust funds required under the New London Agreements, annual fees
and certain expenses of CHEFA. TVCCA also pays the cost of insuring the property and of
operation and maintenance. Interest is payable semi-annually at rates ranging from 1.5% to
5.0% with principal payable in various installments through July 2038.
16

Thames Valley Council for Community Action, Inc. and Subsidiary
Notes to Consolidated Financial Statements
March 31, 2020 and 2019
CHEFA refinancing
During August 2011, CHEFA refinanced approximately $32 million of Child Care Facilities
Series A through Series E bonds which resulted in the Child Care Facilities series H Revenue
Bonds (the "Series H Bonds"). TVCCA's Taftville, Windham, and Vernon child care facilities
were refinanced though the Series H Bonds. Payments by TVCCA are based on interest costs
and principal payments on the Series H Bonds, amounts required to establish and maintain all
three refinanced facilities, annual fees and certain expenses of CHEFA. TVCCA is also
responsible for the cost of insuring the properties and of operation and maintenance. The
refinanced loans require interest payable in semi-annual payments at rates ranging from 1.0%
to 5.0%, with principal payable in various installments throughout the original life of the bonds.
During April 2015, CHEFA refinanced approximately $2.3 million of Child Care Facilities
Series G bonds relating to the New London facility through the issuance of State Supported
Child Care Revenue Bonds, Series 2015 (the "Series 2015 Bonds"). TVCCA's share of the
Series 2015 Bonds totaled $2,465,000 or 7.4% of total Series 2015 Bond proceeds,
resulting in an overall increase in principal owed by TVCCA of $195,000. Payments by TVCCA
are based on interest costs and principal payments on 7.4% of the Series 2015 Bonds,
amounts required to establish and maintain trust funds required under the New London
Agreements, annual fees and certain expenses of CHEFA. TVCCA is also responsible for the
cost o