Delta Regional Authority  Performance and Accountability Report

September 30, 2022
Delta Regional Authority 

Listing of Officials

As of September 30, 2022

 

Federal Co‐Chairman    States’ Co‐Chair 

Dr. Corey Wiggins    Governor Kay Ivey

 

Alternate Federal Co‐Chairman   

Vacant   

 

State Governors, Designees and Alternates 

  

Alabama    Louisiana 

Governor Kay Ivey Governor John Bel Edwards

Mr. Kenneth Boswell (Designee) Mr. Rodrick Scott

Ms. Crystal Talley (Alternate) (Designee & Alternate)

 

Arkansas    Mississippi 

Governor Asa Hutchinson Governor Tate Reeves

Mr. Clint O’Neal (Designee) Ms. Anne Hall Brashier (Designee)

Ms. Ateca Foreman (Alternate)

 

Illinois    Missouri 

Governor J.B. Pritzker    Governor Mike Parson

Ms. Brandi Bradley (Designee)    Mr. Shad Burner (Designee)  

Ms. Lynne Chambers (Alternate)     Mr. Robert Knodell (Alternate)

 

Kentucky    Tennessee 

Governor Andy Beshear Governor Bill Lee

Mr. Dennis Keene (Designee) Ms. Brooxie Carlton (Designee)

 

 

 

 
Delta Regional Authority Service Area   
Delta Regional Authority 

Performance and Accountability Report

September 30, 2022

Table of Contents  in full compliance with The Accountability for Tax Dollars Act of 2002 and under the current

administration, DRA maintains its long‐term commitment to setting and sustaining the highest

standards in financial integrity and compliance. The report by the auditors of Fred T. Neely & Co, PL

Page(s)

Agency Head Letter                                                                                                                   1‐2

       

Section 1 ‐ Management Discussion and Analysis  3‐18

   

Section 2 ‐ Performance Report  19‐28

       

Section 3 ‐ Financial Section     

   Independent Auditor’s Report                                        29‐34

       

   Basic Financial Statements    

Balance Sheets    35

Statements of Net Cost    36

Statements of Changes in Net Position    37

Statements of Resources (Budgetary and Non‐Budgetary)    38‐39

Notes to Financial Statements    40‐50

       

   Other Information    

Combining Balance Sheets    51‐52

Combining Statements of Net Cost    53‐54

Combining Statements of Changes in Net Position    55‐56

Combining Reconciliation of Net Cost of Operations (Proprietary to Budget)    57‐58

Schedule of Expenditures    59

Schedule of Grants Made    60‐61
Alabama • Arkansas o Illinois o Kentucky" Louisiana o Mississippi o Missouri o

Tennessee 

Regional Headquarters: 236 Sharkey Avenue, Suite 400│Clarksdale, MS 38614│T 662.624.8600│F 662 .624.8537 

Washington, DC Office: 444 North Capitol, NW, Suite 292│Washington, DC 20001│T 202.434.4870│F 202.434.4871 

www.dra.gov

November 15, 2022

Shalanda D. Young, Acting Director

The Office of Management and Budget

725 17th Street NW

Washington, DC 20503

Dear Director Young:

Enclosed you will find the Delta Regional Authority’s (DRA or the Authority) Performance and

Accountability Report for fiscal year 2022. The Delta Regional Authority (DRA) is an executive agency of

the U.S. Government, established in 2000 by Congress, to make strategic physical and human

infrastructure investments throughout its eight‐state region. Through financial assistance awards, DRA

helpsto improve transportation and basic public infrastructure and to strengthen distressed communities’

workforce development systems, local business environments, support job creation and economic

development.

This report is an accurate and comprehensive account of the Authority’s performance for fiscal year 2022

and includes comparative financial statements in FY 2021 and FY 2022. DRA continues to be in full

compliance with The Accountability for Tax Dollars Act of 2002 and under the current administration, DRA

maintains its long‐term commitment to setting and sustaining the highest standards in financial integrity

and compliance. The report by the auditors of Fred T. Neely & Company, PLLC contains an unmodified

opinion on the financial statements in this document and DRA continues to meet each new challenge and

expectation presented by the U.S. Congress.

Due to FY2022 being the beginning of a transition year with the confirmation of the new Federal Co‐Chair,

Dr. Corey Wiggins, in March 2022, the Performance and Accountability Report for fiscal year 2022

continues to be aligned with the performance goals and targets outlined in the Regional Development

Plan III.   Since his confirmation as Federal Co‐Chair, Dr. Corey Wiggins has been intentional about his

engagement of all communities within the eight‐state region, about the challenges these communities

are facing and sharing with those communities the mission and purposes of the DRA. Dr. Wiggins has

established the core goals to ensure DRA’s fulfillment of these purposes:

(1) Equitable community engagement

(2) Increasing community capacity to receive federal support

(3) Efficiently and expeditiously reinvesting taxpayer dollars in the communities we serve

(4) Establishment of a sustainable organization for continued support to rural communities  

1
Alabama • Arkansas o Illinois o Kentucky" Louisiana o Mississippi o Missouri o

Tennessee 

Regional Headquarters: 236 Sharkey Avenue, Suite 400│Clarksdale, MS 38614│T 662.624.8600│F 662 .624.8537 

Washington, DC Office: 444 North Capitol, NW, Suite 292│Washington, DC 20001│T 202.434.4870│F 202.434.4871 

www.dra.gov

With the delayed confirmation of the Federal Co‐Chairman, former Alternate Federal Member, Leslie

Durham approved in cooperation with the State members, grant awards in FY 2022 for FY 2021 funding

through its primary funding programs including the States’ Economic Development Assistance Program

(SEDAP), Community Infrastructure Fund (CIF), and Public Works and Economic Adjustment Assistance

(PWEAA). After his confirmation by the U.S. Senate, Dr. Wiggins and the DRA Board have worked diligently

to deploy statutory appropriations as well as Bipartisan Infrastructure Law/Infrastructure Investment and

Jobs Act funds in support of regionally impactful programs and initiatives as evidenced in this report.

The data collected and included in this report to measure performance uses a standardized

methodology.  The data has been compiled to provide the most complete and accurate results available.

DRA has begun to utilize the following metricsto track the success of all of its programs: jobs created; jobs

retained; families affected (by improved infrastructure investment); and people trained. The Authority

tracks the accrual of these benefits to disadvantaged communities on the county/parish level via grantee

reporting. Forsome projects, the Authority tracksthese benefits on more granular geographic levels,such

as the local jurisdiction.

DRA will continue to grow as an agency and invest its resources in projects, programs, and initiatives that

help provide Delta Region residents with the necessary infrastructure, job training, and business

development resources to assist job creation, build communities, and improve lives.

Respectfully submitted,

L

Dr. Corey Wiggins

Federal Co‐Chair

2
 

 

 

 

 

 

 

 

 

Section 2 – Management’s Discussion and Analysis 

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

3

Introduction 

As management of Delta Regional Authority (DRA or the Authority), we offer readers of DRA’s

Performance and Accountability Report this narrative overview and analysis of the financial activities of

DRA for the fiscal year ended September 30, 2022. We encourage the readersto consider the information

presented here in conjunction with information furnished within this report.

The Delta Regional Authority is a federal‐state partnership serving 252 counties and parishes in an eight‐

state region. Led by a Federal Co‐Chairman and the Governors of each participating state, DRA is designed

to remedy severe and chronic economic distress by stimulating economic development and fostering

partnerships that have a positive impact on the region's economy. DRA helps economically distressed

communities capitalize on other federal and state programsfocused on basic infrastructure development,

transportation improvements, business development and job training services.

Congress mandated (7 U.S.C. §2009aa) that DRA shall provide funding for the following four categories:

 Basic public infrastructure in distressed counties and isolated areas of distress;

 Transportation infrastructure for the purpose of facilitating economic development in the region;

 Business development, with emphasis on entrepreneurship; and

 Job training or employment‐related education, with emphasis on the use of existing public

educational institutions located in the region.

Congressional stipulations include:

 The Authority will allocate at least 75% of Authority funds for use in distressed counties; and

 The Authority shall allocate at least 50% of any funds for transportation and basic public

infrastructure projects.

The following is a discussion and analysis of the operating results and financial position of DRA, created

by the Delta Regional Authority Act of 2000. The Authority's reauthorization was extended by the

Agricultural Act of 2018.

As listed in the Management's Discussion and Analysis and throughout the Performance and

Accountability Report, DRA continues to emphasize performance, accountability and sustainability within

its programs. Please review this document in conjunction with the annual financial statements and

accompanying notes.

Fiscal Year 2022 Counties and Parishes 

Distressed counties are defined as those counties that are one percent higher than the national average

for unemployment for the most recent 24‐month period and/or 80% or less than the national per capita

income. Non‐distressed counties are those under one percent of the national average for unemployment

and more than 80% of national per capita income.

DRA’s enabling legislation requires the Authority to update its distressed and non‐distressed county

designation annually. The tabulation for Fiscal Year 2022 resulted in 230 distressed counties and parishes

and 22 non‐distressed counties (see list below).

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

4

Non‐Distressed List as of September 30, 2022 

Arkansas  Illinois  Louisiana  Mississippi 

Arkansas Williamson Ascension Madison

Desha    Cameron Rankin

Pulaski    East Baton Rouge   

Union    Jefferson Missouri 

 Lafourche Cape Girardeau

Alabama ‐ None  Kentucky  Pointe Coupee   

Carlisle Plaquemines Tennessee 

  McCracken Rapides Fayette

 St. Charles Shelby

 West Baton Rouge

 

Distressed List as of September 30, 2022 

 

Alabama  Dallas Monroe Louisiana  Iberville St. Helena

Barbour Escambia Perry Acadia Jackson St. James

Bullock Greene Pickens Allen Jefferson Davis St. John the Baptist

Butler Hale Russell Assumption La Salle St. Landry

Choctaw Lowndes Sumter Avoyelles Lincoln St. Martin

Clarke Macon Washington Beauregard Livingston St. Mary

Conecuh Marengo Wilcox Bienville Madison Tangipahoa

 Caldwell Franklin Tensas

Arkansas  Grant Phillips Catahoula Grant Union

Ashley Greene Poinsett Claiborne Morehouse Vermillion

Baxter Independence Prairie Concordia Natchitoches Washington

Bradley Izard Randolph De Soto Orleans Webster

Calhoun Jackson Searcy East Carroll Ouachita West Carroll

Chicot Jefferson Sharp East Feliciana Red River West Feliciana

Clay Lawrence St. Francis Evangeline Richland Winn

Cleveland Lee Stone Iberia St. Bernard   

Craighead Lincoln Van Buren 

Crittenden Lonoke White Illinois   

Cross Marion Woodruff Alexander Jackson Pulaski

Dallas Mississippi Franklin Johnson Randolph

Drew Monroe Gallatin Massac Saline

Fulton Ouachita    Hamilton Perry White

 Hardin Pope Union

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

5

Distressed List as of September 30, 2022 (continued)

Kentucky  Henderson Todd Mississippi  Humphreys Sharkey

Ballard Hickman Trigg Adams Issaquena Simpson

Caldwell Hopkins Union Amite Jasper Smith

Calloway Livingston Webster Attala Jefferson Sunflower

Christian Lyon    Benton Jefferson Davis Tallahatchie

Crittenden McLean    Bolivar Lafayette Tate

Fulton Marshall    Carroll Lawrence Tippah

Graves Muhlenberg    Claiborne Leflore Tunica

     Coahoma Lincoln Union

Missouri  Madison Scott Copiah Marion Walthall

Bollinger Mississippi Shannon Covington Marshall Warren

Butler New Madrid Ste. Genevieve DeSoto Montgomery Washington

Carter Oregon St. Francois Franklin Panola Wilkinson

Crawford Ozark Stoddard Grenada Pike Yalobusha

Dent Pemiscot Texas Hinds Quitman Yazoo

Douglas Perry Washington Holmes    

Dunklin Phelps Wayne     

Howell Reynolds Wright Tennessee  Gibson Lauderdale

Iron Ripley    Benton Hardeman Madison

     Carroll Hardin McNairy

     Chester Haywood Obion

     Crockett Henderson Tipton

     Decatur Henry Weakley

     Dyer Lake   

Organizational Structure 

The DRA Board is comprised of Governors from the eight states in the DRA region along with the Federal

member, or Federal Co‐Chairman, who is appointed by the President and confirmed by the U.S. Senate.

The Governors annually appoint a States' Co‐Chairman, and in FY 2022, Governor Kay Ivey of Alabama was

elected to serve as the thirteenth States' Co‐Chairman. DRA statute requires the Board to hold an annual

quorum meeting, which mandates the attendance of a majority of the states' Governors. For all other

DRA meetings, Governors may appoint a designee/alternate to serve in their absence.  

The Federal member and Governors, jointly referred to as “the Authority” establish a formal framework

for joint Federal‐State collaboration in meeting and focusing national attention on the economic

development needs of the region.   

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

6

Pursuant to 7 U S C § 2009aa‐1. (d) The Authority shall‐  

(1) develop, on a continuing basis, comprehensive and coordinated plans and programs to establish

priorities and approve grants for the economic development of the region, giving due consideration

to other federal, state, and local planning and development activities in the region;

(2) not later than 220 days after December 21, 2000, establish priorities in a development plan for the

region (including 5‐year regional outcome targets);

(3) assessthe needs and assets of the region based on available research, demonstrations, investigations,

assessments, and evaluations of the region prepared by federal,state, and local agencies, universities,

local development districts, and other nonprofit groups;  

(4) formulate and recommend to the Governors and legislatures of Statesthat participate in the Authority

forms of interstate cooperation;  

(5) work with state and local agencies in developing appropriate model legislation;  

(6) (A) enhance the capacity of, and provide support for, local development districts in the region; or (B)

if no local development district exists in an area in a participating state in the region, foster the

creation of a local development district;  

(7) encourage private investment in industrial, commercial, and other economic development projects in

the region; and  

(8) cooperate with and assist State governments with economic development programs of participating

States.

The Delta Regional Authority maintains two office locations:

Main Office:         DC Office:

236 Sharkey Ave       Hall of States Building, 400 Capitol, NW

Clarkdale, MS          Suite 292

Washington, DC   

DRA maintains two federal employee positions, the Federal Co‐Chairman, and the Alternate Federal Co‐

Chairperson (currently vacant).  For continuity of operations, DRA is structured to employ 30 non‐federal

employees who administer the purposes of the agency.  We currently have 11 vacant positions as of the

publication of this report on November 15, 2022.
Delta Regional Authority 

Management’s Discussion and Analysis

Year Ended September 30, 2022

Organizational Chart  
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

8

Management of Delta Regional Authority 

DRA utilizes the General Services Administration (GSA) for assistance in the management of DRA’s

economic development obligations, disbursements, and the financial reporting of its federally‐ 

appropriated dollars. Because of the Authority’s relatively small size, the use of GSA has been very cost‐ 

effective. GSA also assists the Authority with compliance with many federal‐mandated requirements.

State administrative funds are held by banks located in the DRA Region and are accounted for by the

Director of Finance and Administration. 

DRA completed its 19th year of compliance with the Accountability of Tax Dollars Act of 2002. DRA has

consistently initiated additional controls and expanded compliance testing to ensure the financial integrity

of the Authority.

Financial Highlights 

The following is a summary of changes in assets, liabilities, revenues, expenditures and net position at

September 30, 2022, as compared to the prior year:

 Total assets increased $162,101,489 or 196% in 2022 compared to an increase of $7,207,174 or

10% in 2021;

 Total liabilities decreased $726,453 or 12.2% in 2022 compared to a decrease of $2,021,867 or

25.4% in 2021.

 Total net program costs decreased $2,710,920 or 11% in 2022 compared to an increase of

$535,473 or 2% in 2021;

 Financing sources of operations decreased $2,710,920 or 11% in 2022 compared to an increase

of $535,473 or 2% in 2021; and

 Net position increased $162,827,942 or 212% in 2022 compared to an increase of $9,229,041 or

14% in 2021.

Overview of the Financial Statements   

The Management’s Discussion and Analysis introduces DRA’s principal statements. The principal

statements include: (1) balance sheets, (2) statements of net cost, (3) statements of changes in net

position, (4) statements of resources (budgetary and non‐budgetary), and (5) notes to financial

statements. DRA also includes in this report additional information to supplement the principal

statements. 

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

9

Balance Sheet – The balance sheet is a summary of assets, liabilities, and net position for each fiscal year.  

It includes assets in possession or managed by the entity exclusive of items subject to stewardship

reporting (assets), amounts owed by the entity (liabilities), and amounts which comprise the difference

(net position).

The FY 2022 and 2021 increases in total assets were largely attributable to federal appropriations for

economic development purposes along with the funds from the Bipartisan Infrastructure Law (BIL).  Total

liabilities decreased in FY 2022 due to normal trade policies during FY 2022. Net position increased in FY

2022 compared to FY 2021. An increase in net position indicates that DRA’s financial condition improved

in FY 2022 along with the BIL funds.   

Statements of Net Cost – The statements of net cost are designed to show separately the components of

the net cost of the reporting entity’s operations for the period.  The net cost of operations is the gross

cost incurred by the reporting entity less any exchange revenue earned from its activities.  The gross cost

of a program consists of the full cost of the outputs produced by that program plus any non‐production

coststhat can be assigned to the program. Non‐production costs are costs linked to events other than the

production of goods and services.  The net cost of a program consists of gross cost less related exchange

revenues.  By disclosing the gross and net cost of the entity’s programs, the statements of net cost provide

information that can be related to the outputs and outcomes of the programs and activities.

   

2022 2021  $ Change   % Change 

Total assets $ 244,842,786   $ 82,741,297   $162,101,489 196%

Total liabilities         5,225,609        5,952,062           (726,453) ‐12.2%

Total net position     239,617,177      76,789,235     162,827,942 212%

Total liabilities & net

position $ 244,842,786   $ 82,741,297   $162,101,489 196%

2021 2020  $ Change   % Change 

Total assets $   82,741,297   $ 75,534,123   $    7,207,174 10%

Total liabilities         5,952,062        7,973,929        (2,021,867) ‐25.4%

Total net position       76,789,235      67,560,194         9,229,041 14%

Total liabilities & net

position $   82,741,297   $ 75,534,123   $    7,207,174 10%

Summary Balance Sheet 

 As of September 30, 

 Summary Balance Sheet  

 As of September 30, 
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

10

The FY 2022 decrease in total net program costs is attributable to a decrease in SEDAP project

disbursements and decrease in earned revenue.

Statements of Changes in Net Position – The statements of changes in net position report the change in

net position during the reporting period. Net position is affected by changes to its two components:

cumulative results of operations and unexpended appropriations. The statement format is designed to

display both components of net position separately to enable the user to better understand the nature of

changes to net position as a whole.

   

2022 2021 $ Change % Change

Program Costs

Gross costs $    21,813,570   $ 26,004,985   $   (4,191,415) ‐16%

Less: earned revenue            (367,462)      (1,847,957)         1,480,495  ‐80%

Total net program costs $    21,446,108   $ 24,157,028   $   (2,710,920) ‐11%

2021 2020 $ Change % Change

Program Costs

Gross costs $    26,004,985   $ 24,632,062 $     1,372,923 6%

Less: earned revenue         (1,847,957)      (1,010,507) (837,450)           83%

Total net program costs $     24,157,028 $  23,621,555 $        535,473 2%

 Summary Statement of Net Costs  

 Years Ended September 30, 

Summary Statement of Net Costs 

Years Ended September 30,

2022 2021 $ Change % Change

Unexpended appropriations

Beginning balance 76,789,235 $    $  67,560,194 $     9,229,041 14%

Change in unexpended appropriations 162,827,942           9,229,041    153,598,901 1664%

Total unexpended appropriations 239,617,177         76,789,235    162,827,942 212%

Cumulative results of operations

Beginning balance                        ‐ ‐                       ‐                        0%

Change in cumulative results of operations                        ‐ ‐                       ‐                        0%

Total cumulative results of operations                        ‐ ‐                       ‐                        0%

Net position 239,617,177 $ $  76,789,235 $ 162,827,942 212%

Years Ended September 30, 

Summary Statement of Changes in Net Position 
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

11

The increase in net position is attributable to the receipt of BIL funds mid‐year that were not expended.

Statements of Resources (Budgetary and Non‐Budgetary) – The statements of resources (budgetary and

non‐budgetary) and related disclosures provide information about how budgetary resources were made

available, as well as their status at the end of the year. It is the only financial statement predominantly

derived from an entity’s budgetary general ledger in accordance with budgetary accounting rules, which

are incorporated into generally accepted accounting principles (GAAP) in the United States of America for

the federal government. +

Notes to Financial Statements – The notes to financial statements are an integral part of the financial

statements and provide more detailed data.   

2021 2020 $ Change % Change

Unexpended appropriations

Beginning balance 67,560,194 $    $  57,972,045 $     9,588,149 17%

Change in unexpended appropriations 9,229,041               9,588,149           ‐ (359,108) 4%

Total unexpended appropriations 76,789,235           67,560,194        9,229,041 14%

Cumulative results of operations

Beginning balance                        ‐ ‐                       ‐                        0%

Change in cumulative results of operations                        ‐ ‐                       ‐                        0%

Total cumulative results of operations                        ‐ ‐                       ‐                        0%

Net position 76,789,235 $    $  67,560,194 $     9,229,041 14%

Summary Statement of Changes in Net Position 

Years Ended September 30, 

Budgetary & Non‐Budgetary)

Years Ended September 30,

2022 2021 $  Change % Change

Resources (budgetary & non‐

budgetary) $  222,269,250 $     44,943,042 $ 177,326,208 395%

Status of budgetary resources 218,134,568 $   $     42,277,811 $ 175,856,757 416%

Net outlays, end of year 18,249,339 $     $     22,961,539 $     ‐ (4,712,200) 21%

Unpaid obligated balance, net 90,997,681 $     $     44,365,231 $   46,632,450 105%

Budgetary & Non‐Budgetary)

Years Ended September 30,

2021 2020 $  Change % Change

Resources (budgetary & non‐

budgetary) 44, $     943,042 $     49,590,991 $     ‐ (4,647,949) 9%

Status of budgetary resources 42,277,811 $     $     46,854,974 $     ‐ (4,577,163) 10%

Net outlays, end of year 22,961,539 $     $     19,525,515 $     3,436,024 18%

Unpaid obligated balance, net 44,365,231 $     $     63,944,986 $   ‐ (19,579,755) 31%
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

12

Limitations of the Financial Statements 

The principal financial statements have been prepared to report the financial position and results of

operations of the entity, pursuant to the requirements of 31 U.S.C. 3515(b). While the statements have

been prepared from the books and records of the entity in accordance with GAAP for federal entities and

the formats prescribed by the President’s Office of Management and Budget (OMB), the statements are,

in addition to the financial reports, used to monitor and control budgetary resources, which are prepared

from the same books and records.   

Grants Oversight & New Efficiency (GONE) Act 

The objective of the Grants Oversight and New Efficiency (GONE) Act is to identify and close out expired

grants. The covered grants are those within an agency’s cash payment management system that have

been expired for two or more years and have not been closed out. DRA reviewed its close‐out population

of federal grants and cooperative agreements and found instances where either a grant award or

cooperative agreement with the period of performance ending on or prior to September 30, 2018, had

not been closed out. Delaysin grant and cooperative agreement closeout, and challengesto be addressed

pursuant to the GONE Act follow the table below.

   

Audit Opinion:  Unmodified

Restatement:  No

Material Weakness(es)

Beginning 

Balance New Resolved Consolidated

Ending 

Balance

Total Material Weaknesses                 ‐ ‐         ‐            ‐                  ‐             

Year Ended September 30, 2022

Summary of Financial Statement Audit

Category No. of 2‐3 Years No. of >3‐5 Years

Grants and cooperative agreements

with undisbursed balances 21 $6,981,373 6 $1,567,507

Summary of Grants Oversight & New Efficiency (GONE) Act

As of September 30, 2022
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

13

Challenges 

Delays in Grant and Cooperative Agreement Award Closeout ‐ As noted in DRA's enabling legislation,

"Congress finds that certain States and local communities of the region, including local development

districts, may be unable to take maximum advantage of Federal grant programs for which the States and

communities are eligible because: (1) the States or communities lack the economic resources to provide

the required matching share; or (2) there are insufficient funds available under the applicable Federal

law authorizing the Federal grant program to meet pressing needs of the region." These limitations are

often the reason DRA funds are needed as first dollars in on some of these grants.  These limitations

speak to other intrinsic limitations some of these communities experience, that being, other resources

to ensure the projects are completed on time and on budget.  

Changesin the Fund Obligation Process ‐ DRA has obligated funds over the course of four administrations.

The first administration obligated with a signed grant agreement; the second administration obligated

with a board approved (voted on) project.  Typically grant agreements were signed and returned soon

after, but there have been occasions where the signed grant agreement took much longer to return.  This

issue is exacerbated by an extremely small administrative staff with little continuity over DRA's 19 years

of existence.

Planned Corrective Actions 

DRA will address the staffing situation to divide administrative tasks proportionally. DRA will be looking to

purchase an accounting system which will accommodate financial accounting for both DRA administrative

costs and grant funding. There are still a great number of outstanding grants and cooperative agreements,

but more could be done to claw back unused and underutilized funding. DRA will improve training with

the Local Development Districts to expedite the identification of these projects, allowing DRA to start the

claw back process sooner. Likewise, DRA will need to further educate board members on the risks

associated with certain projects and how to identify projects that are capable of moving faster. Lastly, the

demographics of the Delta region must be taken into consideration and the inherent challenges that exist

here. Some leeway must be given to these communities that struggle to obtain federal funds.

The Anti‐Deficiency Act 

 

Public Law 31 USC §  1341, Limitations on Expending and Obligating Amounts, 31 USC § 1342, Limitation

on Voluntary Services, and 31 USC §  1517, Prohibited Obligations and Expenditures, and 31 USC § 1501,

Documentary Evidence Requirement for Government Obligations make up the core of this Act.

31 USC, Section 1341, Limitations on Expending and Obligating Amounts  

An officer or employee of the U.S. Government or of the District of Columbia government may not‐‐‐ 

 make or authorize an expenditure or obligation exceeding an amount available in an appropriation

or fund for the expenditure or obligation;

 involve either government in a contract or obligation for the payment of money before an

appropriation is made unless authorized by law;

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

14

31 USC, Section 1342, Limitation on Voluntary Services

An officer or employee of the U.S. Government or of the District of Columbia government may not accept

voluntary services for either government or employ personal services exceeding that authorized by law

except for emergencies involving the safety of human life or the protection of property.

31 USC, Section 1517, Prohibited Obligations and Expenditures

An officer or employee of the U.S. Government or of the District of Columbia government may not make

or authorize an expenditure or obligation exceeding‐‐‐ 

 an apportionment; or

 the amount permitted by regulations prescribed under section 1514(a) of this title;

31 USC, Section 1501, Documentary Evidence Requirement for Government Obligations

An amount shall be recorded as an obligation of the U.S. Government only when supported by

documentary evidence of‐‐‐ 

 A binding agreement

 A loan agreement

 Order required by law

 A grant or subsidy

 A liability from litigation

 Employment of persons

 Public utilities services

 Other 

 

Violations of the Anti‐Deficiency Act 

 

Making or authorizing an obligation or expenditure: 

 In excess of an appropriation

 Before an appropriation is made

 In excess of an apportionment

 In excess of agency regulations (e.g., allotment)

 Accepting voluntary services (except in an emergency); employing personal services

Violations of these rules will subject the officer or employee to:

 Appropriate administrative discipline

 Suspension from duty without pay

 Removal from office

Intentional violation of the Anti‐Deficiency Act will subject the officer or employee to:

 Fines up to $5,000

 Imprisonment up to 2 years

 Or both

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

15

Reporting a Violation  

A violation report has to be prepared by the head of the offending agency and sent to:

 The President (through OMB)

 The Speaker of the House

 The President of the Senate

 The Comptroller General

The violation report must contain:

 Date, amount, account involved in violation

 The name and position of the person responsible

 Discipline imposed

 Statement about the adequacy of administrative control system

 Statement of actions taken to prevent it from ever happening again.

For the year ended September 30, 2022, DRA complied with the Anti‐Deficiency Act.

The Prompt Payment Act (PPA) 

 

The Prompt Payment Act was enacted to ensure the federal government makestimely payments. Bills are

to be paid within 30 days after receipt and acceptance of material and/or services, or after receipt of a

proper invoice whichever is later. When payments are not made timely, interest should be automatically

paid. The basic requirements of the PPA for government finance offices are to:

 Date stamp all incoming invoices.

 Make payments no earlier than 23 days and no later than 30 days from the invoice date.

 Take discounts only within the terms offered.

 Pay interest automatically when payment is late.

 Report performance based on statistical sampling to the OMB.

Procedures and Guidelines DRA uses to comply with the Prompt Payment Act 

 

Mandatory IMP AC (government credit card program) for all purchases less than $2,500 may eliminate

hours of collection time on smaller dollar invoices. Under the current VISA card program, vendors are paid

usually within 2‐3 days of shipment of the order. The merchant bank then collects from the government.

The government purchase order is e‐mailed to the vendor, input into their order processing system and

then invoiced electronically to the payment office. When information is not re‐keyed into systems, the

chances for errors in the order and billing processes are reduced if not eliminated. DRA complied, in all

relevant respects, with the Prompt Payment Act.

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

16

Data Accountability and Transparency Act (DATA Act) of 2014 31 USC § 6101, PL 113‐101   

The purpose of the DATA Act is to establish government‐wide financial data standards and increase the

availability, accuracy, and usefulness of Federal spending information. The Act's vision was to provide

reliable, timely, secure, and consumable financial management data for the purpose of promoting

transparency, facilitating better decision making, and improving operational efficiency.  

Delta Regional Authority complied, with all material respects, with the DATA ACT and reported

information quarterly, as required during the fiscal year.

Fraud Reduction and Data Analytics Act (FRDAA) of 2015 

 

Under the Fraud Reduction and Data Analytics Act (FRDAA) of 2015, agencies are required to report on

efforts to reduce fraud. Standards require agencies to identify fraud risk factors and programs with

increased susceptibility for fraud. The report must include information on the agency’s progress in

implementing:

 Financial and administrative controls established pursuant to the act,

 The fraud risk principle in the Standards for Internal Control in the Government, and OMB Circular

A‐123, Management’s Responsibility for Internal Control, with respect to leading practices for

managing fraud risk,

 Progress in identifying risks and vulnerabilities to fraud, including with respect to payroll,

beneficiary payments, grants, large contracts, purchase and travel cards, and

 Progress on establishing strategies, procedures, and other steps to curb fraud.

   

Control 

Environment Risk Assessment 

Control 

Activities

Information & 

Communication

Monitoring 

Activities

Demonstrates

commitment to integrity

& ethical values.

Define objectives &

risk tolerances.

Designs control

activities.

Uses relevant,

quality

information.

Performs ongoing

monitoring

activities.

Exercises oversight

responsibilities.

Identifies, analyzes

& responds to risk.

Selects &

develops general

system controls.

Communicates

internally.

Evaluates issues &

remediates

deficiencies.

Establishes structure,

authority &

responsibility. Assess fraud risk.

Deploys &

implements

control activities.

Communicates

externally.

Demonstrates

commitment to

competence.

Identifies, analyzes

& responds to

change.

Enforces accountability.

Framework of Internal Control

Year Ended September 30, 2022
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

17

DRA maintains an annual Financial Internal Control and Risk Management Plan that identifies, through

quantitative and qualitative analysis, transactional areasthat are susceptible to inaccuracies and/or fraud.

The plan contains specific process areas that are tested throughout the fiscal year to ensure the process

results are accurate and reasonable. Government‐issued travel cards have been identified as a program

with a high risk for fraud.

The following controls are in place to prevent/mitigate fraud within the government travel card program:

 Reduced employee‐held travel cards to $2,500,

 A government travel card SOP is published defining the roles and rules of the program. The

handbook is reviewed and updated as needed, and

 Reduce the number of employees eligible for a government travel card.

The following administrative controls are in place to detect potential fraud within the travel card program:

 The Financial Management Coordinator reviews purchase card holders’ statements and matches

supporting receipts to billed charges monthly and communicates with cardholders regarding

unmatched or suspicious charges. When cardholders deny unmatched or suspicious charges, the

Financial Management Coordinator refers such charges to the Director of Finance &

Administration for review and disposition,

 The Director of Finance & Administration rejects paymentsfor unknown orsuspicious charges and

requests the bank to investigate those purchases deemed suspect,

 After an investigation, the bank either provides copies of receipts to prove the employee initiated

the charge or issues credit to the cardholder.  

Other areas reviewed for the annual Financial Internal Control and Risk Management Plan include:

 Payroll, and how fraud could be perpetuated through the time management system. The

Accounting/HR Supervisor prepares the payroll for bi‐weekly submission to the Director of

Finance/Administration, who reviews the submission for changes of personnel or salary from the

prior month and budget and compares names to authorized personnel and salaries to

authorized/approved salaries.

 Contracts over $25,000, and how procurement procedures can be manipulated through fraud.

Below are additional strategies, procedures, and other steps employed by the agency to curb fraud:

 Prevent – educate employees on the care and use of a travel card,

 Prevent – conduct detailed fraud risk assessments to focus management attention,

 Deter/Detect – Promote effective reporting tools for suspicious or inappropriate activities

(whistleblower hotline),  

 Anti‐Fraud Policy/Training – communicate a policy and train employees to recognize suspicious or

inappropriate activities,

 Deter/Detect – Response to fraud allegations of how it will be investigated/resolved.

DRA’s senior management believes that this policy sends a clear message that senior management is

committed to preventing and detecting fraud committed against the organization.

   
Delta Regional Authority  Management’s Discussion and Analysis

Year Ended September 30, 2022

18

Contacting DRA’s Financial Management 

This financial report is designed to fulfill the obligations of DRA as it relates to the Accountability for Tax

Dollars Act of 2002.  The report details the financial position of DRA as of September 30, 2022 and 2021,

and demonstrates DRA’s accountability for all funds and appropriations received.   

If you have any questions about this report or need additional information, please contact the Delta

Regional Authority via telephone by calling (662) 624‐8600 or mail by directing inquiries to the Director

of Finance & Administration, Delta Regional Authority, 236 Sharkey Ave., Suite 400, Clarksdale, MS 38614.

Other Contact/Reports 

Internet Home Page http://dra.gov

Fraud/Whistleblower http://dra.gov/accountability/promoting‐a‐transparent‐government/#fraud

Agency Financial Report http://dra.gov/accountability/promoting‐a‐transparent‐government/

Strategic Plan http://dra.gov/funding‐programs/strategic‐economic‐development‐plans‐by‐state/
Section 2 – Performance Report
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

19

Overview‐ 

The Government Performance and Results Act of 1993 ("GPRA") requires all federal agencies to submit a

report to Congress on actual program results at the end of each Fiscal Year along with its audited financial

statements outlined in the Office of Management and Budget (OMB) Circular No. A‐136, Financial Audit

Manual.

With the delayed confirmation of the Federal Co‐Chairman, former Alternate Federal Member, Leslie

Durham approved in cooperation with the State members, grant awards in FY 2022 for FY 2021 funding

through its primary funding programs including the States’ Economic Development Assistance Program

(SEDAP), Community Infrastructure Fund (CIF), and Public Works and Economic Adjustment Assistance

(PWEAA). After his confirmation by the U.S. Senate, Dr. Wiggins, and the DRA Board have worked diligently

to deploy statutory appropriations as well as Bipartisan Infrastructure Law/Infrastructure Investment and

Jobs Act funds in support of regionally impactful programs and initiatives as evidenced in this report.

Prior to 2022 and the passage of the Bi‐Partisan Infrastructure Law (BIL), Congress appropriated $15

million annually to DRA for projects that fell within the guidelines of Basic Public Infrastructure (BPI) and

Transportation Infrastructure (TI), and  to also include activities involving flood control. These funds are

to be exempted from the normal allocation formula used for the SEDAP. Beginning in 2022, DRA’s BIL

spend plan included a five‐year supplement to the CIF program, which brings the total available funding

for the program to $30 million. These funds are directed by the Federal Co‐Chair.

Regional Development Plan III (RDP III) Strategic Goals

In April 2016, DRA presented its third Regional Development Plan (RDP III) as an assessment of, and a

response to, the region’s myriad opportunities, assets, and challenges. The RDP III sets forth goals that

currently guides prioritization of the Delta Regions economic development initiatives.

Dr. Corey Wiggins was confirmed by the U. S. Senate on or about March 9, 2022, and sworn into office on

March 11, 2022, as the Federal Co‐Chair of the Delta Regional Authority (DRA).   As part of his transition

into office, he immediately began assessing administration, fiscal management, programs, and legal

compliance of DRA.   Since his confirmation as Federal Co‐Chair, Dr. Corey Wiggins has been intentional

about his engagement of all communities within the eight‐state region, about the challenges these

communities are facing and about sharing with those communities the mission and purposes of the Delta

Regional Authority.   Dr. Wiggins has established the core goals to ensure DRA’s fulfillment of these

purposes:

(1) Equitable community engagement

(2) Increasing community capacity to receive federal support

(3) Efficiently and expeditiously reinvesting taxpayer dollars in the communities we are established to

serve

(4) Establishment of a sustainable organization for continued support to rural communities  

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

20

Due to FY2022 being the beginning of a transition year with the confirmation of the new Federal Co‐Chair,

Dr. Corey Wiggins, in March 2022, the Performance and Accountability Report for Fiscal Year 2022

continues to be aligned with the performance goals and targets outlined in the Regional Development

Plan III.

Goal 1: Improved Workforce Competitiveness.  

Advance the productivity and economic competitiveness of the Delta workforce.

Access to a skilled workforce is a crucial factor affecting the ability of businesses to succeed in today’s

economy, thus employers are notably drawn to locations with concentrations of skilled workers. As

national demographic trends project a decline in the working‐age population over the coming decades,

employers will increasingly have difficultiesfinding skilled workers. Thus, one of the most urgent priorities

for communities across the country is to develop a pipeline of talented workers to support the growth of

existing and future employers. This is especially true for communities in the Delta region as they compete

for businesses, jobs, and economic opportunities.

Goal 2: Strengthened Infrastructure.  

Strengthen the Delta’s physical, digital, and capital connections to the global economy.

High‐functioning transportation networks and basic infrastructure (e.g., water, wastewater, electricity,

and natural gas, and affordable broadband internet) are essential for the long‐term success of resilient

regional economies. While it will be important to maintain the Delta region’s existing infrastructure, there

are also opportunities to make strategic investments in transportation and broadband infrastructure that

will boost the region’s economic potential. It is also necessary for communities to have the appropriate

real estate options and financing available to attract new businesses and take advantage of the economic

development opportunities available to them.

Goal 3: Increased Community Capacity.  

Facilitate local capacity building within Delta communities, organizations, and businesses.

Strong local leadership in Delta communities is a prerequisite for the capacity building that will yield long‐

term economic prosperity for the region’s businesses and residents. Competitive and resilient

communities are able to attract new jobs and investment and keep those jobs thanks in large part to their

high level of engagement from community and business leaders. The development of a robust

entrepreneurial environment is also important to the long‐term success of the region. Entrepreneurs,

innovative companies, creative workers, and technology are key elements of the regional economy.

Finally, the quality of place in Delta communities has a major influence on their potential for economic

development, providing an attractive environment that appeals to young professionals.

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

21

This report includes a summary of results on the following DRA programs and initiatives:

Delta Regional Authority Grants

 States’ Economic Development Assistance Program (SEDAP)

 Community Infrastructure Fund (CIF)

Bipartisan Infrastructure Law‐ Delta Regional Authority Grants

 States’ Economic Development Assistance Program

 Community Infrastructure Fund

 Delta Workforce Grant Program

 Strategic Planning

 Local Development Districts Pilot Program

States’ Economic Development Assistance Program (SEDAP) 

 The States’ Economic Development Assistance Program is DRA’s primary investment program.

 The main vehicle of DRA investment, SEDAP serves as a strategic tool that promotes investment

in the Authority’s eight state, 252 county and parish footprint. SEDAP host competitive grant

programs designed to support economic activities across the Mississippi River Delta and Alabama

Black Belt Regions. This fund provides direct investment into community‐based and regional

projects that support basic public and infrastructure, workforce training and education, and small

business development outcomes that grow the region. DRA’s Federal statute dictates that at least

75% of these funds must flow towards economically distressed counties and parishes. Further, at

least 50% of these funds must be targeted toward transportation and basic public infrastructure

improvements.

SEDAP investments are subject to Federal Priority Eligibility Criteria and must help improve the following

in Delta communities:

 Basic Public Infrastructure

 Transportation Infrastructure

 Workforce Training and Education

 Business Development and Entrepreneurship  

Community Infrastructure Fund (CIF)

The Community Infrastructure Fund serves as a complement to SEDAP, with a particular focus on targeted

physical infrastructure projects that help build safer, more environmentally resilient communities. CIF is

designed to particularly be responsive to the needs of states and communities with the greatest

infrastructure needs. Grantees are able to address their unmet infrastructure needs along public

infrastructure, transportation frameworks, and flood control mitigation efforts.
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

22

GOAL 2. Strengthened Infrastructure:  Strengthen the Delta’s physical, digital, and capital connections to

the global economy.

Aligned with DRA’s Regional Development Plan III: Goal 2 – Strengthened Infrastructure, SEDAP, CIF and

PWEAA collectively direct public and private investments into basic public infrastructure and

transportation projects that can facilitate business expansion, company relocation, and job growth in

Delta communities.

Bipartisan Infrastructure Law – Delta Regional Authority Grants

Bipartisan Infrastructure Law – Delta Regional Authority Grants (BIL‐DRAG) are new monies designed to

enhance and strengthen the work of the Delta Regional Authority, DRA was appropriated a historic

supplemental appropriation of $150 million in direct funding through the Bipartisan Infrastructure Law.

DRA will utilize these funds to make grants that support the physical and human infrastructure of the

region. These investments are anticipated to improve water and sewer systems, transportation

infrastructure, job training, business development, and broadband connectivity thereby helping to build

safer, connected, and more resilient communities. DRA will strengthen existing programs and establish

new programs to ensure underserved communities are supported and are better positioned to take

advantage of federal, private, and philanthropic resources available to them.

DRA’s spend plan includes grantmaking and technical assistance activities, agencywide internal control

improvements, and sustainable staffing levels to efficiently and effectively deploy BIL funding and annual

appropriations. DRA’s spend plan is consistent with authorizing legislation as reflected in its enabling

statute, The Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.) SEC. 2009aa and the

Infrastructure Investment and Jobs Act (IIJA) (Public Law 117‐58 (otherwise known as the BIL) to ensure

Congressional intent is realized in all programs and initiatives. While most of the investment will go

towards strengthening the SEDAP and CIF funds, there is one particular program that will have direct

impact on communities – the Delta Workforce Grant Program (DWP).

The Bipartisan Infrastructure Law – Delta Regional Authority Grants covered program will be spread across

five programmatic areas:

(1) States’ Economic Development Assistance Program

(2) Community Infrastructure Fund

(3) Delta Workforce Grant Program

(4) Strategic Planning

(5) Local Development Districts Pilot Program

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

23

Aligned with DRA’s Regional Development Plan III:  

GOAL 2. Strengthened Infrastructure: Strengthen the Delta’s physical, digital, and capital connections to

the global economy – DRA is strengthening infrastructure via Delta Regional Authority Grants and the

historic investment into the region via Bipartisan Infrastructure Law‐ Delta Regional Authority Grants.

These resources will collectively direct public investments into basic public infrastructure and

transportation projects that can facilitate business expansion, company relocation, and job growth in

Delta communities.

States’ Economic Development Assistance Program (SEDAP) ‐  FY22 Funding Allocation = $5,000,000 

SEDAP is a competitive grant program designed to stimulate and support economic development activities

throughout the Mississippi River Delta Region and Alabama Black Belt.

Community Infrastructure Funds (CIF) ‐ FY22 Funding Allocation = $15,000,000 

 

CIF is a competitive grant program designed to catalyze and strengthen regional economic development

activities throughout the Mississippi River Delta Region and Alabama Black Belt.

Delta Workforce Grant Program (DWP) ‐ FY22 Funding Allocation = $6,000,000 

Historically, the Delta Workforce Grant Program (DWP) has been a partnership between U.S. Department

of Labor’s Employment and Training Administration, the Department of Agriculture, and the Appalachian

Regional Commission. DWP is a competitive grant program designed to support projects that expand job

training and re‐employment opportunities, align workforce and economic development strategies, create

sustainable talent pipelines, establish or enhance locally/regionally significant public‐private partnerships,

and support enhanced workforce productivity through investmentsin innovative programming. The Delta

Workforce Grant Program prioritizes investing in communities and regions that have been negatively

impacted by economic transition and need assistance to help build their workforce pipelines and

strengthen their economies.

Strategic Planning Grants ‐ FY22 Funding Allocation = $1,500,000 

DRA will use a portion of BIL fundsto develop and administer a new competitive grant program to support

strategic planning activities including, but not limited to, the following: comprehensive plans, master

plans, capital improvement plans, economic development plans, workforce development plans,

broadband deployment plans, utility rate studies, feasibility studies, market demand studies, preliminary

engineering reports, and more. DRA will prioritize planning activities that demonstrate a regional

approach, engage historically marginalized groups, and are anticipated to improve or strengthen

economic development in DRA communities.

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

24

Local Development Districts Pilot Program [$5,940,000] ‐ FY22 Funding Allocation = $0 

DRA will use a portion of BIL funds to develop and administer a new, non‐competitive grant program to

build the capacity of the 45 LDDs in the Mississippi River Delta Region and Alabama Black Belt. The LDD

Pilot Program will make fixed amount grants to LDDs in FY 2023 and FY 2024 to advance planning and

technical assistance activities in their respective regions.

FY22 Program Funding Received in Disadvantaged Communities 

SEDAP Amount 

Basic Public Infrastructure 22 Projects $    7,450,302

Transportation Infrastructure 11 Projects 3,442,714

Business Development 9 Project 2,313,460

Workforce Development 14 Projects 4,872,472

Other 2 Projects 377,392

18,456,340

CIF 41 Projects 28,403,675

Total $ 46,860,015

Other DRA Initiatives 

Delta Health Collaborative    

Aligned with DRA’s Regional Development Plan III:  

GOAL 1. Improved Workforce Competitiveness: Advance the productivity and economic competitiveness

of the Delta workforce.

The Delta Health Collaborative initiative supports access to healthcare, therefore improving the health

and wellness of the Delta’s workforce to elevate productivity and competitiveness of the region’s

employers by providing American‐trained, foreign physiciansto health professionalshortage areas(HPSA)

and medically underserved areas (MUA).

The Mississippi River Delta region’s most significant opportunities for economic growth and revitalization

are based in the creation of jobs, expansion of businesses, and development of local entrepreneurial

economies. However, the DRA region’s macroeconomic challenges are compounded by lack of access to

affordable, quality healthcare services. In response to this, DRA has established the Delta Health

Collaborative to administer programmatic activities related to several critical initiatives including, but not

limited to, Delta Doctors, Innovative Readiness Training (IRT), Delta Region Community Health Systems

Development (DRCHSD) program, and Delta Region Rural Health Workforce Training (DRRHWT) program.

For each of these initiatives, DRA collaborates with other federal agencies such as the U.S. Department of

State (DOS), U.S. Department of Defense (DOD), and U.S. Health Resources and Services Administration

(HRSA).   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

25

Specific information about each program/initiative is described below:

Delta Doctors 

The Delta Doctors program allows foreign physicians who are trained in America to work in Health

Professional Shortage Areas (HPSA) or Medically Underserved Areas (MUA) for three years if and when

they successfully apply for and receive a J‐1 visa waiver which provides even greater health access to

areas that might not otherwise be able to recruit and retain a specialist. To cultivate an equitable

healthcare system in the DRA region, these physicians must provide care to the indigent, Medicaid, and

Medicare recipients.

Innovative Readiness Training 

Through a partnership with DOD and the U.S. Military’s reserve forces, DRA supports the Innovative

Readiness Training program in Delta communities to bring medical, dental, and optical care to Delta

residents in need of quality healthcare at no cost to the patients. The IRT program improves military

readiness by providing trained military medical personnel with in‐field emergency response training while

simultaneously providing quality healthcare services to communities throughout the Delta region. By

utilizing their extensive resources, the military is able to meet some of the region’s most urgent health

needs while serving many individuals who are uninsured or underinsured and in need of medical

attention. DRA works closely with Delta communities and DOD to assist with the application process as

well as planning and implementation for the two‐week medical missions.

2022 IRT Medical Missions have been successfully executed. Mission outcomes are provided below:

Western Kentucky Wellness Mission – Hopkinsville  

 Total Number of Patients: 807  

 Total Number of Procedures/Services Provided: 2,385  

 Medical, Nutrition, Behavioral Health: 799  

 Dental: 1,589  

 Optometry: N/A  

 Total Mission Value: $221,553  

South Central Missouri Wellness Mission – Houston, Ava, Eminence  

 Total Number of Patients: 1,358  

 Total Number of Procedures/Services Provided: 4,438  

 Medical, Nutrition, Behavioral Health: 291

 Dental: 3,687  

 Optometry: 460  

 Total Mission Value: $661,643  

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

26

Southern Illinois Wellness Mission ‐ Carbondale  

 Total Number of Patients: 755  

 Total Number of Procedures/Services Provided: 2,456  

 Medical, Nutrition, Behavioral Health: 318  

 Dental: 1,708  

 Optometry: 430  

 Total Mission Value: $275,012

Delta Region Community Health Systems Development Program

Through a partnership with HRSA, DRA assists with the administration of the DRCHSD program, which is

designed to enhance healthcare delivery in the Delta Region through intensive technical assistance to

providers in select rural communities, including critical access hospitals, small rural hospitals, rural health

clinics and other healthcare organizations.

DRA assists HRSA by promoting the program to Delta constituents, soliciting eligible medical facilities in

rural areas, participating in technical assistance activities, and connecting participating facilitieswith other

DRA programs and federal resources.

Delta Region Rural Health Workforce Training Program 

Through a partnership with HRSA, DRA assists with the administration of the DRRHWT program, which

is designed to address the ongoing need in healthcare facilities for trained administrative support

professionals in rural communities through the development of networks that support recruitment,

formal training, social needs, certification, and placement of students. This program aims to provide

training and pathways to professional certifications to current administrative support professionals

working in rural DRA region healthcare facilities as well as new entrants to the workforce and dislocated

workers.

Delta Leadership Institute (DLI)

Aligned with DRA’s Regional Development Plan III:  

GOAL  3.  Increased  Community  Capacity: Facilitate local capacity building within Delta communities,

organizations, businesses, and individuals.

DLI supports a wide array of leaders across the region through the Executive Academy, DLN conference,

and continuing education programs.

The Delta Leadership Institute (DLI) serves to build leadership skills among Delta residents and foster

collaboration with partners in the public and private sectors to improve the economic and social viability

of the Delta as well as the overall quality of life in the Delta region. Currently, DLI is a body of fellows and

alumni leaders who have participated in the year‐long Executive Academy program. They focus daily on

improving the decisions made by community leaders across the Delta. They are equipped with a regional

and national perspective of the Delta, a toolkit of resources for addressing local community issues, and

the training and professional development needed to extend the pipeline of skilled local leadership within

our rural communities.   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

27

The Executive Academy and the resulting Delta Leadership Network (DLN) were created to empower

community leaders who understand and are well‐equipped in combating local and regional issues. Over

the course of the Executive Academy academic year, participants attend six sessions and engage in

training, case study discussions, and on‐the‐ground field studies of priority issue areasincludingworkforce

training and education, small business and entrepreneurship, transportation and public infrastructure,

healthcare, and policy and governance. Upon graduation, these fellows become members of the DLN,

where they engage community leaders both within their state and across the Delta to continue the

learning and collaboration instilled through the Executive Academy. Having become a powerful voice for

the region with over 600 alumni, the DLN commits time, talent, service, and often financial resources to

various initiatives across the region. Executive Academy DLI held six sessions throughout the region in

FY2022 focusing on Transportation and Infrastructure, Public Policy and Governance, and Building

Communities through Vision, Collaboration, and Inspiration

Administration of Delta Regional Authority 

As part of his transition into office, Dr. Wiggins immediately began conducting an assessment of

administration, fiscal management, programs, and legal compliance of DRA.  Due to absence of a FCC,

lapses occurred in the implementation of early Executive Orders and Office of Management and Budget

Memoranda. issued by the Administration. Federal Co‐Chairman Wiggins has in no way willfully failed to

comply with the U. S. Code, Executive Orders nor with OMB Guidance and is working feverishly to

implement policies and protocols which bring DRA into compliance with all requirements of Presidential

Memoranda.

Under Dr. Wiggins’ Administration, DRA has submitted and acted in compliance with OMB guidance

regarding each of the following Executive Orders and/or Office of Management and Budget Memoranda:

 Bipartisan Infrastructure Law (BIL) / Infrastructure Investment and Jobs Act (IIJA) Implementation

Spend Plan pursuant to M‐22‐12 Advancing Effective Stewardship of Taxpayer Resources and

Outcomes in the Implementation of the Infrastructure Investment and Jobs Act.  Submitted Jun 24,

2022, Presented Implementation Plan to Coordinator Landrieu on Oct 18, 2022. 

 Buy America, Build America (BABA) – Made In America Initial Plan and Annual Report pursuant to M‐

22‐11 Initial Implementation Guidance on Application of Buy America Preference in Federal Financial

Assistance Programs for Infrastructure. Submitted August 5, 2022. 

 America the Beautiful (AtB) initiative pursuant to Executive Order 14008, Tackling the Climate Crisis

at Home and Abroad.  Submitted August 11, 2022.

 Cybersecurity Executive Order pursuant to Executive Order 13985 Implementation Coordination and

Learning Community and M‐22‐09 Federal Zero Trust Strategy (whitehouse.gov). DRA has initiated

actions and committed resources necessary to comply with the requirements of the memorandum

achieve specific zero trust security goals by the end of Fiscal Year (FY) 2024.

   
Delta Regional Authority  Performance Report  

Year Ended September 30, 2022

28

 Executive Order on DEIA in the Federal Workforce pursuant to Executive Order on Diversity, Equity,

Inclusion, and Accessibility in the Federal Workforce. DRA submitted its Equity Action Plan in January

of 2021. The annual report due on Jan 22 was not filed; however, DRA, under Dr. Wiggins’s

Administration has begun to implement the commitments made therein and will file its annual report

detailing those action items in January 2023.

 Memorandum on Tribal Consultation and Strengthening Nation to Nation Relationships pursuant to

Executive Order 13175. DRA Action Plan and 270‐day report was submitted on Oct 22, 2022.

 Justice40 Initiative (and Executive Order on the Climate Crisis) pursuant to M‐21‐28 Interim

Implementation Guidance for the Justice40 Initiative.

• Provided list of agency covered programs and defined benefits ‐ Submitted July 11, 2022.

• Updated funding tables (e.g., the “Spending Data” table) to reflect budget authority levels in the

respective table columns with FY 2022 Enacted levels, FY 2023 Budget request, and IIJA budget

authority (FY 2022 only). Submitted August 22, 2022.

• Submitted DRA’s specific definition(s) of “disadvantaged community” currently used by Justice40

covered programs at the agency.

• Submitted the deliverable(s) requested in section V.A. of M‐21‐28 (i.e., program financial/budget

information), the deliverable(s) requested in section IV, A, ii of M‐21‐28 (i.e., Benefits Methodology);

and the deliverable(s) requested in section V.B. of M‐21‐28 (e.g., distribution of program benefits

data) on October 24, 2022.

 Lapse Plan ‐ As required by section 124 of the Office of Management and Budget Circular A‐11, DRA

participated in the federal government wide meeting led by OMB with all agencies and on September

26, 2022 submitted its Lapse Plan outlining the DRA’s plan for operating in the event of a lapse in

appropriations.
 

 

 

 

 

 

 

 

 

 

 

 

 

 

Section 3 – Financial Section 

   
                            29

 

105 West President • P.O. Box 894 • P.O. Box 842 • Greenwood, Mississippi 38935

P: 662.453.7112 • F: 662.453.7123

Independent Auditor’s Report 

To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Clarksdale, Mississippi  

In our audits of the fiscal years 2022 and 2021 financial statements of Delta Regional Authority (the

Authority), we found:

 the Authority’s financial statements as of and for the fiscal years ended September 30, 2022 and

2021, are presented fairly, in all material respects, in accordance with U.S. generally accepted

accounting principles;

 no material weaknesses in internal control over financial reporting based on the limited

procedures we performed;  and  

 no reportable noncompliance for fiscal year 2022 with provisions of applicable laws, regulations,

contracts, and grant agreements we tested.

The following sections discuss in more detail (1) our report on the financial statements and on internal

control over financial reporting, which includes required supplementary information (RSI) and other

information included with the financial statements; and (2) our report on compliance with laws,

regulations, contracts, and grant agreements.  

Report on the Financial Statements  

Opinion

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, and Office of Management and Budget (OMB) Bulletin No. 21‐

04, Audit Requirements for Federal Financial Statements, we have audited the Authority’s financial

statements. The Authority’s financial statements comprise the balance sheets as of September 30, 2022

and 2021; the related statements of net cost, changes in net position, and resources (budgetary and non‐

budgetary) for the fiscal years then ended; and the related notes to the financial statements. In our

opinion, the Authority's financial statements present fairly, in all material respects, the Authority's

financial position as of September 30, 2022 and 2021, and its net cost of operations, changes in net

position, and resources (budgetary and non‐budgetary) for the fiscal yearsthen ended in accordance with

U.S. generally accepted accounting principles.

Basis for Opinion

We conducted our auditsin accordance with U.S. generally accepted government auditing standards. Our

responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit

of the Financial Statements section of our report. We are required to be independent of the Authority 

Robert K. VanDevender, CPA

Lance Mohamed, CPA  

Stribling W. Hargett, CPA  

W. Lee Mattox, CPA

Gay G. Moss, CPA

Fred T. Neely, CPA

(1897 – 1967)

Billy Joe Killebrew, CPA

(1942 – 2010)

Ralph F. Neely, CPA

(1927 – 2022)
To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Page 30

30

and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements

relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate

to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements  

The Authority management is responsible for (1) the preparation and fair presentation of these financial

statements in accordance with U.S. generally accepted accounting principles; (2) preparing, measuring,

and presenting the RSI in accordance with U.S. generally accepted accounting principles; (3) preparing

and presenting other information included in the Authority’s Performance and Accountability Report, and

ensuring the consistency of that information with the audited financial statements and the RSI; and (4)

designing, implementing, and maintaining effective internal control relevant to the preparation and fair

presentation of financial statements that are free from material misstatement, whether due to fraud or

error.

In preparing the financial statements, management is required to evaluate whether there are conditions

or events, considered in the aggregate, that raise substantial doubt about the Authority’s ability to

continue as a going concern for a reasonable period of time.

Auditor’s Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are

free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that

includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and

therefore is not a guarantee that an audit of the financial statements conducted in accordance with U.S.

generally accepted government auditing standards will always detect a material misstatement or a

material weakness when it exists. The risk of not detecting a material misstatement resulting from fraud

is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions,

misrepresentations, or the override of internal control. Misstatements, including omissions, are

considered to be material if there is a substantial likelihood that, individually or in the aggregate, they

would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with U.S. generally accepted government auditing standards, we:

 Exercise professional judgment and maintain professional skepticism throughout the audit.

 Identify and assess the risks of material misstatement of the financial statements, whether due to

fraud or error, and design and perform audit procedures responsive to those risks. Such

procedures include examining, on a test basis, evidence regarding the amounts and disclosures in

the financial statements in order to obtain audit evidence that is sufficient and appropriate to

provide a basis for our opinion.  

 Obtain an understanding of internal control relevant to our audit 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 Authority’s internal control over

financial reporting. Accordingly, no such opinion is expressed.   
To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Page 31

31

 Evaluate the appropriateness of accounting policies used and the reasonableness of significant

accounting estimates made by management, as well as evaluate the overall presentation of the

financial statements.

 Perform other procedures we consider necessary in the circumstances.

 Conclude whether, in our judgment, there are conditions or events, considered in the aggregate,

that raise substantial doubt about the Authority’s ability to continue as a going concern for a

reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters,

the planned scope and timing of the audit, significant audit findings, and certain internal control–related

matters that we identified during the financial statement audit.

Required Supplementary Information

U.S. generally accepted accounting principles issued by the Federal Accounting Standards Advisory Board

(FASAB) require that the RSI be presented to supplement the financial statements. Such information is

the responsibility of management and, although not a part of the financial statements, is required by

FASAB, which considers it to be an essential part of financial reporting for placing the financial statements

in appropriate operational, economic, or historical context. We have applied certain limited procedures

to the RSI in accordance with U.S. generally accepted government auditing standards, which consisted of

inquiries of management about the methods of preparing the RSI and comparing the information for

consistency with management’s responses to the auditor’s inquiries, the financial statements, and other

knowledge we obtained during the audit of the financial statements, in order to report omissions or

material departures from FASAB guidelines, if any, identified by these limited procedures. We did not

audit and we do not express an opinion or provide any assurance on the RSI because the limited

procedures we applied do not provide sufficient evidence to express an opinion or provide any assurance.

Other Information

The Authority’s other information contains a wide range of information, some of which is not directly

related to the financial statements. This information is presented for purposes of additional analysis and

is not a required part of the financial statements or the RSI. Management is responsible for the other

information included in the Authority’s Performance and Accountability Report. The other information

comprises other information in the report but does not include the financial statements and our auditor’s

report thereon. Our opinion on the financial statements does not cover the other information, and we do

not express an opinion or any form of assurance thereon.

In connection with our audit of the financialstatements, our responsibility isto read the other information

and consider whether a material inconsistency exists between the other information and the financial

statements, or the other information otherwise appears to be materially misstated. If, based on the work

performed, we conclude that an uncorrected material misstatement of the other information exists, we

are required to describe it in our report.   
To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Page 32

32

Report on Internal Control over Financial Reporting 

In connection with our audits of the Authority’s financial statements, we considered the Authority’s

internal control over financial reporting, consistent with our auditor’s responsibilities discussed below.  

Results of Our Consideration of Internal Control over Financial Reporting

Our consideration of internal control was for the limited purpose described below, and was not designed

to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies

or to express an opinion on the effectiveness of the Authority’s internal control over financial reporting.

Given these limitations, during our audit, we did not identify any deficiencies in internal control over

financial reporting that we consider to be material weaknesses. However, material weaknesses or

significant deficiencies may exist that have not been identified.  

Basis for Results of Our Consideration of Internal Control over Financial Reporting

We performed our procedures related to the Authority’s internal control over financial reporting in

accordance with U.S. generally accepted government auditing standards.  

Responsibilities of Management for Internal Control over Financial Reporting

The Authority management is responsible for designing, implementing, and maintaining effective internal

control over financial reporting relevant to the preparation and fair presentation of financial statements

that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibilities for Internal Control over Financial Reporting  

In planning and performing our audit of the Authority’s financial statements as of and for the fiscal year

ended September 30, 2022, in accordance with U.S. generally accepted government auditing standards,

we considered the Authority’s internal control relevant to the financial statement audit 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 Authority’s internal control over financial reporting. Accordingly, we

do not express an opinion on the Authority’s internal control over financial reporting. We are required to

report all deficiencies that are considered to be significant deficiencies or material weaknesses. We did

not consider all internal controls relevant to operating objectives, such as those controls relevant to

preparing performance information and ensuring efficient operations.  

Definition and Inherent Limitations of Internal Control over Financial Reporting  

An entity’s internal control over financial reporting is a process effected by those charged with

governance, management, and other personnel, the objectives of which are to provide reasonable

assurance that (1) transactions are properly recorded, processed, and summarized to permit the

preparation of financial statements in accordance with U.S. generally accepted accounting principles, and

assets are safeguarded against lossfrom unauthorized acquisition, use, or disposition, and (2) transactions

are executed in accordancewith provisions of applicable laws, including those governing the use of budget
To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Page 33

33

authority, regulations, contracts, and grant agreements, noncompliance with which could have a material

effect on the financial statements.  

Because of its inherent limitations, internal control over financial reporting may not prevent, or detect

and correct, misstatements due to fraud or error.   

Intended Purpose of Report on Internal Control over Financial Reporting   

The purpose of this report is solely to describe the scope of our consideration of the Authority’s internal

control over financial reporting and the results of our procedures, and not to provide an opinion on the

effectiveness of the Authority’s internal control over financial reporting. This report is an integral part of

an audit performed in accordance with U.S. generally accepted government auditing standards in

considering internal control over financial reporting. Accordingly, this report on internal control over

financial reporting is not suitable for any other purpose.

Report on Compliance with Laws, Regulations, Contracts, and Grant Agreements 

In connection with our audits of the Authority’s financial statements, we tested compliance with selected

provisions of applicable laws, regulations, contracts, and grant agreements consistent with our auditor’s

responsibilities discussed below.

Results of Our Tests for Compliance with Laws, Regulations, Contracts, and Grant Agreements

Our tests for compliance with selected provisions of applicable laws, regulations, contracts, and grant

agreements disclosed no instances of noncompliance for fiscal year 2022 that would be reportable under

U.S. generally accepted government auditing standards. However, the objective of our tests was not to

provide an opinion on compliance with laws, regulations, contracts, and grant agreements applicable to

the Authority. Accordingly, we do not express such an opinion.   

Basis for Results of Our Tests for Compliance with Laws, Regulations, Contracts, and Grant Agreements

We performed our tests of compliance in accordance with U.S. generally accepted government auditing

standards. Our responsibilities under those standards are further described in the Auditor’s

Responsibilities for Tests of Compliance section below.

Responsibilities of Management for Compliance with Laws, Regulations, Contracts, and Grant Agreements

The Authority management is responsible for complying with laws, regulations, contracts, and grant

agreements applicable to the Authority.

Auditor’s Responsibilities for Tests of Compliance with Laws, Regulations, Contracts, and Grant

Agreements

Our responsibility is to test compliance with selected provisions of applicable laws, regulations, contracts,

and grant agreements applicable to The Authority that have a direct effect on the determination of

material amounts and disclosures in the Authority’s financial statements, and to perform certain other

limited procedures. Accordingly,we did not test compliancewith all laws, regulations, contracts, and grant
To Federal and State Co‐Chairs  

Members of the Board Delta Regional Authority  

Page 34

34

agreements applicable to the Authority. We caution that noncompliance may occur and not be detected

by these tests.

Intended Purpose of Report on Compliance with Laws, Regulations, Contracts, and Grant Agreements  

The purpose of this report is solely to describe the scope of our testing of compliance with selected

provisions of applicable laws, regulations, contracts, and grant agreements, and the results of that testing,

and not to provide an opinion on compliance. This report is an integral part of an audit performed in

accordance with U.S. generally accepted government auditing standards in considering compliance.

Accordingly, this report on compliance with laws, regulations, contracts, and grant agreements is not

suitable for any other purpose.

Fred T. Neely & Company, PLLC

Greenwood, Mississippi

November 15, 2022
Delta Regional Authority  Balance Sheets

September 30, 2022 and 2021

The accompanying notes are an integral part of these financial statements.   35

2022 2021

Assets

Intragovernmental:

Fund balance with Treasury 239,530,202 $ $   77,737,898

Advances and prepayments 8,464                ‐                      

Total intragovernmental 239,538,666          77,737,898

Other than intragovernmental/with the public:

Cash and other monetary assets 4,843,544                4,749,915

Accounts receivable, net 407,778                      205,678

Other assets 8,822                ‐                      

General property and equipment, net 43,976                          47,806

Total other than intragovernmental/with the public 5,304,120                5,003,399

Total assets 244,842,786          82,741,297

Liabilities

Intragovernmental:

Liability for advances and prepayments 3,431,294                3,798,757

Other liabilities 2,021                ‐                      

Total intragovernmental 3,433,315                3,798,757

Other than intragovernmental/with the public:

Accounts payable 965,950                   1,658,302

Grants and other payables 651,031                      376,983

Accrued funded payroll and leave 175,313                      118,020

Total other than intragovernmental/with the public 1,792,294                2,153,305

Total liabilities 5,225,609                5,952,062

Net position 

Unexpended appropriations ‐ all other funds

(consolidated totals) 239,617,177          76,789,235

Cumulative results of operations ‐ all other funds

(consolidated totals)                       ‐ ‐                      

Total net position 239,617,177          76,789,235

Total liabilities and net position 244,842,786 $ $   82,741,297
Delta Regional Authority  Statements of Net Cost

Years Ended September 30, 2022 and 2021

The accompanying notes are an integral part of these financial statements.   36

2022 2021

Program Costs

Council of Inspectors General on Integrity and Efficiency

Gross cost $        21,813,570 $         26,004,985

Less: earned revenue (367,462)                            (1,847,957)

Total net program costs 21,446,108                       24,157,028

Net cost of operations 21,446,108 $         $         24,157,028
Delta Regional Authority  Statements of Changes in Net Position

Years Ended September 30, 2022 and 2021

The accompanying notes are an integral part of these financial statements.   37

2022 2021

Unexpended appropriations

Beginning balance 76,789,235 $      $   67,560,194

Appropriations received 180,100,000            30,000,000

Other adjustments 37,438                ‐                       

Appropriations used (17,300,124)            (21,488,645)

Other:

Cost of operations absorbed by member states and others 1,744,504                  1,959,877

Cost of operations absorbed by Rural Community Assistance

Program (RCAP) 2,381,076                  1,423,040

Disbursements of funds provided by member states and

others (1,747,973)                (1,242,191)

Disbursements of Rural Community Assistance Program

(RCAP) funds (2,386,979)                (1,423,040)

Change in unexpended appropriations 162,827,942              9,229,041

Total unexpended appropriations      239,617,177      76,789,235

Cumulative results of operations

Beginning balance                          ‐ ‐                       

Appropriations used 17,300,124              21,488,645

Other:

Imputed financing from costs absorbed by others 11,032                              3,152

Disbursements of Rural Community Assistance Program

(RCAP) funds 2,386,979                  1,423,040

Disbursements of funds provided by member states and

others           1,747,973        1,242,191

        21,446,108        24,157,028

Net cost of operations       (21,446,108)     (24,157,028)

Change in cumulative results of operations                          ‐                         ‐ 

Total cumulative results of operations                          ‐                         ‐ 

Net position $   239,617,177   $   76,789,235
Delta Regional Authority  Statements of Resources (Budgetary and Non‐Budgetary)

Year Ended September 30, 2022  

The accompanying notes are an integral part of these financial statements.     38

Federal 

State and 

Other RCAP Combined

Budgetary

Non‐

Budgetary

Non‐

Budgetary

Budgetary & 

Non‐Budgetary

Budgetary/Non‐Budgetary resources 

Unobligated balance from prior year budget

authority, net (discretionary & mandatory) 33,427,021 $    $ 4,647,619 $     (30,700) $      38,043,940

Appropriations (discretionary & mandatory) 180,100,000     ‐                    ‐                          180,100,000

Spending authority from offsetting

collections (discretionary & mandatory)                       ‐    1,744,504    2,381,076           4,125,580

Total budgetary/non‐budgetary resources 213,527,021        6,392,123    2,350,376       222,269,520

Status of budgetary resources

New obligations & upward adjustments       ‐ 65,030,224                    ‐                            65,030,224

Unobligated balances/unexpended funds

  Apportioned, unexpired accounts 149,995,053     ‐                    ‐                          149,995,053

  Unapportioned, unexpired accounts (1,498,256)        ‐                    ‐                             (1,498,256)

Unexpired unobligated balance 148,496,797     ‐                    ‐                          148,496,797

Unexpended funds                       ‐    4,644,150        (36,603)           4,607,547

Unobligated/unexpended balance 148,496,797        4,644,150        (36,603)       153,104,344

Total budgetary resources    213,527,021    4,644,150        (36,603)       218,134,568

Outlays, net  

Outlays, net (total) (discretionary &

mandatory) 18,243,126                    310           5,903         18,249,339

Agency outlays, net (discretionary &

mandatory) $   18,243,126 $           310 $        5,903 $      18,249,339
Delta Regional Authority  Statements of Resources (Budgetary and Non‐Budgetary)

Year Ended September 30, 2021

The accompanying notes are an integral part of these financial statements.   39

Federal 

State and 

Other RCAP Combined

Budgetary

Non‐

Budgetary Non‐Budgetary

Budgetary & 

Non‐Budgetary

Budgetary/Non‐Budgetary resources 

Unobligated balance from prior year budget

authority, net (discretionary & mandatory) 7,660,892 $      $    3,929,933 $           (30,700) $      11,560,125

Appropriations (discretionary & mandatory) 30,000,000       ‐                      ‐                                  30,000,000

Spending authority from offsetting

collections (discretionary & mandatory)                       ‐       1,959,877          1,423,040           3,382,917

Total budgetary/non‐budgetary resources 37,660,892             5,889,810          1,392,340         44,943,042

Status of budgetary resources

New obligations & upward adjustments         ‐ 4,233,871                      ‐                                    4,233,871

Unobligated balances/unexpended funds

  Apportioned, unexpired accounts 34,925,277       ‐                      ‐                                  34,925,277

  Unapportioned, unexpired accounts (1,498,256)        ‐                      ‐                                   (1,498,256)

Unexpired unobligated balance 33,427,021       ‐                      ‐                                  33,427,021

Unexpended funds                       ‐       4,647,619              (30,700)           4,616,919

Unobligated/unexpended balance 33,427,021             4,647,619              (30,700)         38,043,940

Total budgetary resources      37,660,892       4,647,619              (30,700)         42,277,811

Outlays, net  

Outlays, net (total) (discretionary &

mandatory) 23,562,980              (652,786)               51,345         22,961,539

Agency outlays, net (discretionary &

mandatory) $   23,562,980 $     (652,786) $            51,345 $      22,961,539
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

40

Note 1 – Summary of Significant Accounting Principles 

A. Reporting Entity

The Delta Regional Authority (DRA or the Authority) is a federal‐state partnership serving a 252

county/parish area in an eight‐state region. Led by a federal co‐chairman and the governors of each

participating state, DRA is designed to remedy severe and chronic economic distress by stimulating

economic development and fostering partnerships that will have a positive impact on the region’s

economy.  DRA helps economically distressed communities take advantage of other federal and state

programs focused on basic infrastructure development and transportation improvements, business

development and job training services.   

The Authority is a party to allocation transfers with other federal agencies as a transferring (parent)

entity. Allocation transfers are legal delegations by one department of its authority to obligate budget

authority and outlay funds to another department. A separate fund account (allocation account) is

created in the U.S. Department of Treasury (U.S. Treasury) as a subset of the parent fund account for

tracking and reporting purposes.  All allocation transfers of balances are credited to this account, and

subsequent obligations and outlays incurred by the child entity are charged to this allocation account as

they execute the delegated activity on behalf of the parent entity.  Generally, all   financial    activity  

related to these   allocation  transfers   (e.g.,   budget authority, obligations, outlays) is reported in the

financialstatements of the parent entity from which  the  underlying  legislative authority, appropriations

and budget apportionments are derived. The Authority allocates funds, as the parent, to the United

States Department of Agriculture (USDA) and the U.S. Economic Development Administration (EDA).

B. Basis of Presentation

These basic statements have been prepared from the accounting records of DRA in accordance with

accounting principles generally accepted in the United States of America (GAAP) and the form and

content for entity financial statements specified by the President’s Office of Management and Budget

(OMB) in OMB Circular No. A‐136, Financial Reporting Requirements, as amended.   GAAP, for federal

entities, are standards prescribed by the Federal Accounting Standards Advisory Board (FASAB), which

have been designated as the official accounting standards setting body for the federal government by

the American Institute of Certified Public Accountants (AICPA).

OMB Circular No. A‐136 requires agencies to prepare basic statements, which include a balance sheet,

statement of net cost, statement of changes in net position and statement of resources (budgetary

and non‐budgetary).  The balance sheets present, as of September 30, 2022 and 2021, amounts of future

economic benefits owned or managed by DRA (assets), amounts owed by DRA (liabilities), and

amounts which comprise the difference (net position).   The statements of net cost report the full cost

of the program, both direct and indirect costs of the output, and the costs of identifiable supporting

services provided by other segments within DRA and other reporting entities. The statements of changes

in net position reflect financing sources available to DRA, the cost of its operations and the net change

in its financial position. The statements of resources (budgetary and non‐budgetary) report an agency’s

budgetary activity.
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

41

C. Basis of Accounting

Transactions are recorded on both the accrual and budgetary basis.   Under the accrual basis of

accounting, revenues are recognized when earned, and expenses are recognized when a liability is

incurred,withoutregard to receipt or payment of cash. Budgetary accounting facilitates compliance with

legal constraints on, and control of, the use of federal funds. The accompanying balance sheets,

statements of net cost and statements of changes in net position have been prepared on an accrual

basis.  The statements of resources (budgetary and non‐budgetary) have been prepared in accordance

with budgetary accounting rules.

D. Management of Financial Records

Federal appropriations are managed for DRA by the General Services Administration (GSA). Using the

government‐wide standard general ledger system (SGL), accounting transactions are initiated at DRA and

ultimately entered into the accounting records by GSA. These transactions are designated in the

accompanying financial statements as “Federal.”  

DRA   invoices   and   receives   funds   from   the   various   member   states   to   be   used   to   pay

administrative costs.   This process meets the requirement of originating legislation which stipulates that

“IN GENERAL ‐ Administrative expenses of the Authority (except for the expenses of the federal co‐

chairperson, including expenses of the alternate and staff of the federal co‐chairperson, which

shall be paid solely by the federal government) shall be paid (A) by the federal government, in an

amount equal to 50% of the administrative expenses; and (B) by the states in the region participating

in the Authority, in an amount equal to 50% of the administrative expenses.” The funds received from

the states are maintained in a local bank account, and transactions are initiated and managed by DRA

staff. These transactions are designated in the accompanying financial statements as “State and Other.”

E. Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles

requires management to make estimates and assumptions that affect the reported amount of assets and

liabilities and disclosure of contingent  assets  and  liabilities  at  the  date  of  the  financial  statements  

and  the  reported amounts of revenues, expenses and other changes in net position during the reporting

period. Actual results could differ from those estimates.

F. Revenues and Other Financing Sources

DRA is a federal/state partnership and receives appropriations. Other financing sources for DRA consist

of imputed financing sources which are costs financed by other federal entities on behalf of DRA, as

required by Statement of Federal Financial Accounting Standard (SFFAS) No. 5, Accounting for Liabilities

of the Federal Government. DRA also has received funds from the 2022 Infrastructure Investment and

Jobs Act, a reimbursable agreement with the Economic Development Authority (EDA) during fiscal years

2018 ‐ 2020, and the Department of Labor (DOL)  during fiscal years 2019 – 2020.   
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

42

G. Cash and Other Monetary Assets  

Cash and monetary assets consist of (i) coins, paper currency and readily negotiable instruments, such as

money orders, checks, and bank drafts on hand or in transit for deposit; (ii) amounts on demand deposit

with banks or other financial institutionsincluding non‐confirmed collections and disbursements; and (iii)

restricted cash held in a custodial capacity for the U.S. Treasury from funds collected through the Delta

Health Collaborative. This non‐entity cash represents $1,728,528 of the total cash and other monetary

assets balance as of September 30, 2022. On July 1, 2022, USDA began funding this program and the

Delta Health Collaborative restricted balance will be remitted to the U.S. Treasury in FY 2023.

H. General Property and Equipment

Property and equipment is stated at cost, less accumulated depreciation. DRA capitalizes property and

equipment with an acquisition cost of $5,000 or more and a useful life exceeding two years. Depreciation

is charged to expense using the straight‐line method over the estimated useful life of five years for

equipment. Leasehold improvements are amortized over the estimated period of occupancy or the life

of the improvement, whichever is less. Expenditures for repairs and maintenance are charged to

operating expense as incurred.

I. Compensated Absences

The Authority’s policies permit employees to accumulate annual and sick leave benefits that may be

realized as paid time off.  Expense and the related liability are recognized as annual leave benefits are

earned.  Sick leave benefits expected to be realized as paid time off are recognized as expense when the

time off occurs, and no liability is accrued for such benefits employees have earned but not yet realized.  

The maximum accrual of annual leave is 480 hours, and there is no maximum accumulation of sick leave.  

Compensated absence liabilities for annual leave are computed using the regular pay and termination

pay rates in effect at the balance sheet date, plus an additional amount for compensation‐related

payments such as Social Security, Medicare taxes and retirement computed using rates in effect at that

date.

J. Net Position

Net position is the residual difference between assets and liabilities and is comprised of unexpended

appropriations and cumulative results of operations. Unexpended appropriations represent the amount

of unobligated and unexpended budget authority. Unobligated balances are the amount of appropriations

or other authority remaining after deducting the cumulative obligations from the amount available for

obligation. The cumulative results of operations are the net results of the Authority’s operations since

inception.

K. Net Cost of Operations

Earned revenues arise from the collection of state contributions and other inter‐agency agreements are

deducted  from  the  full cost of the  Authority’s major  programs  to arrive  at net program cost.  Earned

revenues are recognized by the Authority to the extent reimbursements are payable from the public, as

a result of costs incurred for services performed on the public’s behalf.    
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

43

L. Tax Exempt Status 

As an instrumentality of the federal government, the Authority is exempt from income taxes imposed by

any governing body whether it is a federal, state, commonwealth, local, or foreign government and

exempt from sales and use taxes of the District of Columbia.  

M. Classified Activities  

Accounting standards require all reporting entities to disclose that accounting standards allow certain

presentations and disclosures to be modified, if needed, to prevent the disclosure of classified

information.

Note 2 – Fund Balance with Treasury 

DRA’s fund balance with Treasury comes from appropriations and the reimbursable agreement with the

DOT, DOL and EDA. Funds with the U.S. Treasury represent obligated and unobligated no‐year funds

available to finance allowable current and future expenditures. A summary of DRA’s fund balance with

Treasury follows:

2022 2021

Fund balance with Treasury 

General fund 239,538,666 $   $    77,737,898

Status of fund balance with Treasury

Unobligated balance

Available 148,496,797 $   $    33,427,022

Unavailable                           ‐ ‐                          

Obligated balance not yet disbursed 91,041,869              44,310,876

Total 239,538,666 $   $    77,737,898

Note 3 – Accounts Receivable, Net 

Receivables  are made  up  of  amounts  due  from the  USDA,  which  is  a  major granting agency  for  

DRA, the  Rural  Community  Assistance  Program  (RCAP). At September 30, 2022, $310,487 was due from

USDA for subgrantee expenses recorded in the financial statements as program costs, and $97,291 was

due from a parish in Louisiana for a recoup of an RCAP project where the subgrantee did not complete

certain requirements to maintain eligibility under this program. This money is subsequently being

remitted to the USDA. At September 30, 2021, $20,000 was due from the state of Missouri for an

underpayment of their FY21 state assessment, $49,720 was due from USDA for subgrantee expenses

recorded in the financial statements as program costs, $38,667 was due from USDA for administrative

expenses; and $97,291 was due from a parish in Louisiana for the project discussed above. DRA has

historically collected any receivables due and thus has not established an allowance for uncollectible

accounts.  

   
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

44

Note 4 – General Property and Equipment, Net 

General property and equipment balance consisted of a vehicle and computer equipment with a total cost

of $59,894, accumulated depreciation of $15,918 and a net book value of $43,976 at September 30, 2022.

Vehicles and computer equipment are depreciated over a five‐year estimated useful life. Depreciation

expense for the fiscal year ended September 30, 2022 was $10,829.  

General property and equipment balance consisted of a vehicle with a total cost of $52,895, accumulated

depreciation of $5,089 and a net book value of $47,806 at September 30, 2021. Vehicles were depreciated

over a five‐year estimated useful life. Depreciation expense for the fiscal year ended September 30, 2021,

was $46,654. All vehicles purchased in prior years were disposed of, and one additional vehicle was

acquired in July of 2021.

Note 5 – Funds Received as Assessments from Member States  

Funds received as assessments from the various member states are maintained in DRA’s general bank

account separate from all other cash. These assessments are included with cash in the accompanying

balance sheets. The states are required, by originating legislation, to pay 50% of the administrative costs

of DRA.  Amounts billed to the states are calculated at the beginning of each fiscal year and are based on

the states’ 50% assessment of DRA administrative costs. The following table idicates funds on hand

received from member states.

2022 2021

Balance of state funds on hand, beginning of year $                 ‐ ‐ $                   

Current year billed to and received from states 1,175,741            1,175,741

Total available from states 1,175,741 $   $    1,175,741

Balance of state funds on hand, end of year $                 ‐ ‐ $                   

Note 6 – Liabilities Covered and Not Covered by Budgetary Resources 

Liabilities not covered by budgetary resources are liabilities for which congressional action (DRA

appropriation bill) is needed before budgetary resources can be provided.  Liabilities of DRA are classified

asliabilities covered or not covered by budgetary resources(DRA state assessments, transfers/grantsfrom

other agencies). They are as follows:
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

45

Note 7 – Operating Leases

DRA leases its primary operating facilities, including substantially all furniture and fixtures used, under a

three‐year operating lease arrangement with Coahoma County, Mississippi. DRA also leases space for the

Little Rock office and a space for the Washington D.C. office from State Services Organization, Inc. under

a six‐year operating lease arrangement. The Little Rock office was closed in FY 2022. Future minimum

lease payments at September 30, 2022 are as follows:

   

Liabilities not covered by budgetary resources 2022 2021

Leave liability (state and other) 168,624 $       $     118,020

Accounts payable (state and other) 57,514                     54,355

Deferred inflows from grants (RCAP) 153,934                   33,424

Deferred inflows from assessments (state and other)                     ‐        107,548

Grants and other payables (RCAP) 399,487                 138,720

Due to USDA (RCAP) 97,291                     97,291

Total liabilities not covered by budgetary resources 876,850                 549,358

Liabilities covered by budgetary resources 2022 2021

Intragovernmental

Employer contributions and payroll taxes payable 2,021              ‐                   

Liability for advances and prepayments 3,431,294       3,798,757

Total intragovernmental 3,433,315           3,798,757

With the public

Accounts payable 908,436          1,603,947

Accrued funded payroll and leave 6,689              ‐                   

Other liabilities                 ‐ 319                   

Total with the public         915,444     1,603,947

Total liabilities covered by budgetary resources 4,348,759           5,402,704

Total liabilities    $   5,225,609 $  5,952,062

Other liabilities are classified as current.

Fiscal Year Amount

2023 44,108 $      

Total 44,108 $      
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

46

The lease with Coahoma County may be terminated by DRA should DRA fail to receive funding from the

United States, the existence of DRA be terminated, or should the governing body of DRA choose to move

DRA’s office outside Coahoma County, Mississippi. The lease with the State Services Organization, Inc.

may also be terminated for the above reasons. However, DRA will be liable for four months of base rent

upon early termination of the State Services Organization, Inc. lease agreement. The DFA lease agreement

requires termination through a 180 days’ written notice if funds are insufficient for the DRA to continue

operations where office space is being used.  Rental expense was $159,470 and $141,272 for the years

ended September 30, 2022 and 2021, respectively.

Note 8 – Inter‐Entity Costs 

DRA recognizes certain inter‐entity costs for goods and services that are received from other federal

entities at no cost or at a cost less than the full cost. Certain costs of the providing entity that are not fully

reimbursed are recognized as imputed cost and are offset by imputed revenue. Such imputed costs relate

to employee benefits. DRA recognizes as inter‐entity costs the amount of accrued pension and post‐

retirement benefit expensesfor current employees. The assets and liabilities associatedwith such benefits

are the responsibility of the administering agency, Office of Personnel Management. For the years ended

September 30, 2022 and 2021, respectively, inter‐entity costs were $11,032 and $3,152, respectively.  

Note 9 – Apportionment Categories of Obligations Incurred 

The direct obligations are obligations incurred against amounts apportioned under category B on the

latest Standard Form (SF) 132. The reimbursable obligations are those incurred against the reimbursable

agreements with Treasury.  A summary of these obligations are as follows:

2022 2021

Direct ‐ category B grants 63,188,280 $   $    2,749,578

Direct ‐ category B administration 1,841,944              1,295,405

Reimbursed ‐ category B grants                      ‐          188,888

Reimbursed ‐ category B administration                       ‐ ‐                      

Total obligations 65,030,224 $   $    4,233,871

   
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

47

Note 10 – Undelivered Orders at the End of the Period 

The amount of the DRA’s budgetary resources obligated for unpaid undelivered orders was $89,364,021

and $42,544,051 as of September 30, 2022 and 2021, respectively.

 Unpaid   Paid   Total 

Intragovernmental

2022 5,154 $                    $             8,464 $           13,618

2021 3,033 $                    ‐ $                     $             3,033

With the Public

2022 89,350,403 $           ‐ $                     $    89,350,403

2021 42,541,018 $           ‐ $                     $    42,541,018

Undelivered Orders

Note 11 – Explanation of the Relationship Between Liabilities Not Covered by Budgetary Resources on the 

Balance Sheets and the Change in Components Requiring or Generating Resources in the Future Periods

Liabilities not covered by budgetary resourcestotaled $876,850 and $549,358 at September 30, 2022 and

2021 respectively. The changes are the net increase/decrease of future funded expenses for annual leave

and represent the difference between appropriations of annual funds for the prior and current annual

funds.  Accrued funded payroll liability is covered by budgetary resources and is included in the net cost

of operations. The unfunded leave liability includes the expense related to the increase in annual leave

liability for which the budgetary resources will be provided in a subsequent period. There were no

increases/decreases in components requiring resources in future periods on September 30, 2022 and

2021.

Note 12 – Costs and Exchange Revenue

Intragovernmental costs are those good/services purchased from a federal entity:

2022 2021

Program Costs

Intragovernmental costs 216,327 $         $        179,804

Public costs 21,597,243 25,825,181

Total program costs 21,813,570            26,004,985

Less: intragovernmental earned revenue 367,462 1,847,957

Total net program costs 21,446,108 $    $   24,157,028

   
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

48

Note 13 – Pension Plans 

Plan Description

The Authority contributes to a defined contribution 401(k) plan covering all non‐federal employees.

Retirement expense is recorded for the amount of the Authority’s required contributions, determined in

accordance with the terms of the plan.  The plan is administered by Advanced Data Processing, Inc. The

plan provides retirement and death benefits to plan members and their beneficiaries. Benefit provisions

are contained in the Plan Document and were established and can be amended by action of the

Authority’s governing body.

Additionally, the Authority’s federal employees participate in the Federal Employees’ Retirement System

(FERS), a cost‐sharing, multiple‐employer defined benefit pension plan. FERS provides retirement and

disability benefits, annual cost‐of‐living adjustments and death benefits to the plan members and

beneficiaries.

Funding Policy

Contributions made by the Authority to the 401(k) defined contribution plan amounted to approximately

$175,000 and $170,000 for the years ended September 30, 2022 and 2021, respectively.

FERS covered employees, depending upon his or her hire date, are required to contribute between 0.8%

and 4.4% of their annual covered salary. The Authority was required to contribute 11.9% of the annual

covered payroll. The Authority’s contributions to FERS for the years ended September 30, 2022 and 2021,

were approximately $39,362 and $39,357, respectively, which equaled the required contributions for

each year.

Note 14 – Risk Management

The Authority is exposed to various risks of loss related to torts; theft of, damage to and destruction  of  

assets;  business  interruption;  errors  and  omissions;  employee  injuries  and illnesses; natural disasters

and employee health and accident benefits.   Commercial insurance coverage is purchased for claims

arising from such matters other than those related to errors and omissions and natural disasters.  Settled

claims have not exceeded this commercial coverage in any of the three preceding years.

Note 15 – Explanation of Differences between the Statement of Budgetary Resources and the Budget of 

the United States Government 

SFFAS No. 7, Accounting for Revenue and Other Financing Sources and Conceptsfor Reconciling Budgetary

and Financial Accounting, requires an explanation of material differences between budgetary resources

available, the status of those resources and outlays as presented in the Statement of Budgetary Resources

to the related actual balances published in the Budget of the United States Government (Budget).

Budgetary resources made available to DRA include current appropriations, unobligated appropriations

and recoveries of prior year obligations.    The Budget that will include the FY 2022 actual budgetary

execution information is scheduled for publication in February 2023, which will be available through
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

49

OMB’s website (http://www.whitehouse.gov/omb). Accordingly, information required for such disclosure

is not available at the time of publication of these financial statements. Balances reported in the FY 2021

SBR and the related President’s Budget reflected the following:

FY2021

 Budgetary 

Resources 

 New 

Obligations and 

Upward 

Adjustments  

 Distributed 

Offsetting 

Receipts   Net Outlays 

Statement of

Budgetary Resources 37,660,892 $   $         ‐ 4,233,871 $                  $  23,831,782

Budget of the U.S.

Government     38,000,000            ‐ 4,000,000                         24,000,000

$      (339,108) $            ‐ 233,871 $                  $      (168,218)

The difference between the Statement of Budgetary Resources and the Budget of the United States

Government for budgetary resources, obligations incurred and net outlays are primarily due to rounding.

Note accrued funded payroll liability is covered by budgetary resources and is included in the net cost of

operations, whereas unfunded annual leave liability includesthe expense related to the increase in annual

leave liability for which the budgetary resources will be provided in a subsequent period.

Note 16 – Net Adjustments To Unobligated Balance, Brought Forward, October 1 

The Unobligated Balance Brought Forward from the prior fiscal year has been adjusted for recoveries of

prior year paid and unpaid obligations and other changes such as canceled authority. There were no  

Adjustments to Unobligated Balance Brought Forward, October 1, as of September 30, 2022, and 2021,

respectively.

Note 17 – Reconciliation of Net Cost of Operations (Proprietary) to Budget 

Budgetary resources obligated are obligations for personnel, goods, services, benefits, etc., made by the

Authority in order to conduct operations or acquire assets.    Other (i.e., non‐budgetary) financing

resources are also utilized by the Authority in its program (proprietary) operations. For example,  spending  

authority  from  offsetting  collections  and  recoveries  are  financial resources from the recoveries of

prior year obligations(e.g., the completion of a contract in which not all the funds were used) and refunds

or other collections (i.e., funds used to conduct operations that were previously budgeted).  An imputed

financing source is recognized for future federal employee benefits costs incurred for the Authority

employees that will be funded by Office of Personnel Management (OPM).    Changes in budgetary

resources obligated for goods, services and benefits ordered but not yet provided represent the

difference between the beginning and ending balances of undelivered orders (i.e., goods and services

received during the year based on obligations incurred the prior year represent a cost of operations not

funded from budgetary resources).    Resources that finance the acquisition of assets are budgetary
Delta Regional Authority  Notes to Financial Statements

September 30, 2022 and 2021

50

resources used to finance assets and net cost of operations (e.g., increases in accounts receivables or

capitalized assets). Financing sources yet to be provided represent financing that will be provided in future

periods for future costs that are recognized in determining the net cost of operations for the present

period.  Finally, components not requiring or generating resources are costs included in the net cost of

operations that do not require resources (e.g., depreciation and amortized expenses of assets previously

capitalized).

A reconciliation between budgetary resources obligated and net cost of operations (i.e., providing an

explanation between budgetary and proprietary accounting) is as follows:

2022 2021

Budgetary resources obligated $  65,030,224   $    4,233,871

Spending authority from recoveries and offsetting

collections                       ‐                       ‐ 

Imputed financing from costs absorbed by others             11,032                3,152

Disbursements of funds provided by member states and

others        1,747,973         1,242,191

Disbursements of RCAP funds        2,386,979         1,423,040

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided (47,730,100)         17,254,774

Net cost of operations $  21,446,108   $  24,157,028

Note 18 – Subsequent Events

DRA has evaluated subsequent events occurring after the balance sheet date and through the date of

November 15, 2022, the date the financial statements were available for release. Based upon this

evaluation, DRA has determined that no subsequent events have occurred which require disclosure in the

financial statements.
Delta Regional Authority  Combining Balance Sheet

September 30, 2022

51

Federal 

State and 

Other RCAP Total 

Assets

Intragovernmental:

Fund balance with Treasury 239,530,202 $   ‐ $                 ‐ $              $ 239,530,202

Advances and prepayments 8,464                 ‐                    ‐                               8,464

Total intragovernmental 239,538,666      ‐                    ‐                    239,538,666

Other than intragovernmental:

Cash and other monetary assets                        ‐    4,637,213    206,331        4,843,544

Accounts receivable, net                         ‐ ‐                       407,778           407,778

Other assets                        ‐           8,822               8,822

General property and equipment, net                        ‐          ‐ 43,976                             43,976

Total other than intragovernmental                        ‐    4,690,011    614,109        5,304,120

Total assets 239,538,666         4,690,011    614,109    244,842,786

Liabilities

Intragovernmental:

Liability for advances and prepayments 3,431,294          ‐                    ‐                        3,431,294

Other liabilities 2,021                 ‐                    ‐                               2,021

Total intragovernmental 3,433,315          ‐                    ‐                        3,433,315

Other than intragovernmental/with the public:

Interfund transfers 180,277                   ‐ (180,277)                 ‐                       

Accounts payable 908,436 57,514          ‐                           965,950

Grants and other liabilities with the public 319                    ‐                       650,712           651,031

Accrued funded payroll and leave 6,689                        ‐ 168,624                           175,313

Total other than intragovernmental/

with the public 1,095,721                  45,861    650,712        1,792,294

Total liabilities 4,529,036                  45,861    650,712        5,225,609

Net position 

Unexpended appropriations ‐ all other funds

(consolidated totals) 235,009,630 4,644,150         (36,603)    239,617,177

Cumulative results of operations ‐ all other

funds (consolidated totals)                         ‐ ‐                    ‐                 ‐                       

Total net position 235,009,630         4,644,150     (36,603)    239,617,177

Total liabilities and net position 239,538,666 $   $ 4,690,011 $ 614,109 $ 244,842,786
Delta Regional Authority  Combining Balance Sheet

September 30, 2021

52

Federal 

State and 

Other RCAP Total 

Assets

Intragovernmental

Fund balance with Treasury 77,737,897 $     ‐ $                 ‐ $              $   77,737,897

Total intragovernmental 77,737,897        ‐                    ‐                      77,737,897

Other than intragovernmental:

Cash and other monetary assets                        ‐ 4,661,167 88,748 4,749,915        

Accounts receivable, net                        ‐         20,000    185,678           205,678

General property and equipment, net                        ‐ 47,806                ‐             47,806

Total other than intragovernmental                        ‐    4,728,973    274,426        5,003,399

Total assets 77,737,897           4,728,973    274,426      82,741,296

Liabilities

Intragovernmental:

Liability for advances and prepayments 3,798,757          ‐                    ‐                        3,798,757

Total intragovernmental 3,798,757          ‐                    ‐                        3,798,757

Other than intragovernmental/with the public:

Interfund transfers 162,878                  (198,569)       ‐ 35,691                       

Accounts payable 1,603,946 54,355          ‐                        1,658,301

Grants and other payables                        ‐       107,548    269,435           376,983

Accrued funded payroll and leave                        ‐ 118,020                ‐           118,020

Total other than intragovernmental/

with the public 1,766,824                  81,354    305,126        2,153,304

Total liabilities 5,565,581                  81,354    305,126        5,952,061

Net position 

Unexpended appropriations ‐ all other funds

(consolidated totals) 72,172,316           4,647,619     (30,700)      76,789,235

Cumulative results of operations ‐ all other

funds (consolidated totals)                         ‐ ‐                    ‐                 ‐                       

Total net position 72,172,316           4,647,619     (30,700)      76,789,235

Total liabilities and net position 77,737,897 $     $ 4,728,973 $ 274,426 $   82,741,296
Delta Regional Authority  Combining Statement of Net Cost

September 30, 2022

53

Federal 

State and 

Other RCAP Total 

Program cost

Council of Inspectors General on

Integrity and Efficiency

Gross costs 17,678,618 $ $  1,747,973 $  2,386,979 $  21,813,570

Less: earned revenue (367,462)         ‐                    ‐                             (367,462)

Total net program cost 17,311,156         1,747,973     2,386,979     21,446,108

Net cost of operations 17,311,156 $ $  1,747,973 $  2,386,979 $  21,446,108
Delta Regional Authority  Combining Statement of Net Cost

September 30, 2021

54

Federal 

State and 

Other RCAP Total 

Program cost

Council of Inspectors General on

Integrity and Efficiency

Gross costs 23,339,754 $ $  1,242,191 $  1,423,040 $  26,004,985

Less: earned revenue (1,847,957)      ‐                    ‐                          (1,847,957)

Total net program cost 21,491,797         1,242,191     1,423,040     24,157,028

Net cost of operations 21,491,797 $ $  1,242,191 $  1,423,040 $  24,157,028
Delta Regional Authority  Combining Statement of Changes in Net Position

Year Ended September 30, 2022

55

Federal

State and 

Other RCAP Total 

Unexpended appropriations

Beginning balance $  72,172,316   $4,647,619   $   (30,700) $  76,789,235

Appropriations received    180,100,000                    ‐                   ‐     180,100,000

Other adjustments             37,438              37,438

Appropriations used     (17,300,124)                   ‐                   ‐      (17,300,124)

Other:

Cost of operations absorbed by member states

and others                       ‐     1,744,504                   ‐         1,744,504

Cost of operations absorbed by RCAP                       ‐                    ‐    2,381,076         2,381,076

Disbursements of funds provided by member

states and others                       ‐    (1,747,973)                  ‐        (1,747,973)

Disbursements of RCAP funds                       ‐                    ‐   (2,386,979)       (2,386,979)

                 ‐ 

Change in unexpended appropriations    162,837,314           (3,469)         (5,903)    162,827,942

Total unexpended appropriations    235,009,630     4,644,150        (36,603)    239,617,177

Cumulative results of operations

Beginning balance                       ‐                    ‐                   ‐                        ‐ 

Appropriations used 17,300,124                    ‐                   ‐       17,300,124

Other:

Imputed financing from costs absorbed by others             11,032                    ‐                   ‐              11,032

Disbursements of RCAP funds                       ‐                    ‐    2,386,979         2,386,979

Disbursements of funds provided by member

states and others                       ‐     1,747,973                   ‐         1,747,973

     17,311,156     1,747,973    2,386,979       21,446,108

Net cost of operations     (17,311,156)   (1,747,973) (2,386,979)     (21,446,108)

Change in cumulative results of operations                       ‐                    ‐                   ‐                        ‐ 

Total cumulative results of operations                       ‐                    ‐                   ‐                        ‐ 

Net position $235,009,630   $4,644,150   $   (36,603) $239,617,177
Delta Regional Authority  Combining Statement of Changes in Net Position

Year Ended September 30, 2021

56

Federal

State and 

Other RCAP Total 

Unexpended appropriations

Beginning balance $  63,660,961   $3,929,933   $   (30,700) $  67,560,194

Appropriations received      30,000,000                    ‐                   ‐       30,000,000

Appropriations used     (21,488,645)                   ‐                   ‐      (21,488,645)

Other:

Cost of operations absorbed by member states

and others                       ‐     1,959,877                   ‐         1,959,877

Cost of operations absorbed by RCAP                       ‐                    ‐    1,423,040         1,423,040

Disbursements of funds provided by member

states and others                       ‐    (1,242,191)                  ‐        (1,242,191)

Disbursements of RCAP funds                       ‐                    ‐   (1,423,040)       (1,423,040)

Change in unexpended appropriations        8,511,355        717,686                   ‐         9,229,041

Total unexpended appropriations      72,172,316     4,647,619        (30,700)      76,789,235

Cumulative results of operations

Beginning balance                       ‐                    ‐                   ‐                        ‐ 

Appropriations used      21,488,645                    ‐                   ‐       21,488,645

Other:

Imputed financing from costs absorbed by others 3,152                    ‐                   ‐                3,152

Disbursements of RCAP funds                       ‐                    ‐    1,423,040         1,423,040

Disbursements of funds provided by member

states and others                       ‐     1,242,191                   ‐         1,242,191

     21,491,797     1,242,191    1,423,040       24,157,028

Net cost of operations     (21,491,797)   (1,242,191) (1,423,040)     (24,157,028)

Change in cumulative results of operations                       ‐                    ‐                   ‐                        ‐ 

Total cumulative results of operations                       ‐                    ‐                   ‐                        ‐ 

Net position $  72,172,316   $4,647,619   $   (30,700) $  76,789,235
Delta Regional Authority  Combining Reconciliation of Net Cost of Operations (Proprietary to Budget)

Year Ended September 30, 2022

57

Federal 

State and 

Other RCAP Total 

Resources used to finance activities

Budgetary resources obligated

Obligations incurred $   65,030,224   $                ‐   $                ‐  $   65,030,224

Less: spending authority from offsetting collections

and recoveries                        ‐ ‐              ‐                     ‐                      

Obligations net of offsetting collections and

recoveries 65,030,224                          ‐  ‐                          65,030,224

Net obligations 65,030,224                          ‐  ‐                          65,030,224

Other resources

Imputed financing from costs absorbed by others 11,032                                 ‐  ‐                                 11,032

Disbursements of funds provided by member

states and others                             ‐ 1,747,973  ‐                            1,747,973

Disbursements of RCAP funds                                           ‐  ‐     2,386,979        2,386,979

Net other resources used to finance activities 11,032                  1,747,973     2,386,979        4,145,984

Total resources used to finance activities 65,041,256           1,747,973     2,386,979      69,176,208

Resources used to finance items not part of 

the net cost of operations

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided 47,730,100                          ‐  ‐                          47,730,100

Total resources used to finance items not part of

the net cost of operations 47,730,100       ‐                    ‐                          47,730,100

Total resources used to finance net cost of

operations $   17,311,156 $ 1,747,973 $  2,386,979 $   21,446,108
Delta Regional Authority  Combining Reconciliation of Net Cost of Operations (Proprietary to Budget)

Year Ended September 30, 2021

58

Federal 

State and 

Other RCAP Total 

Resources used to finance activities

Budgetary resources obligated

Obligations incurred 4,233,871 $       $                ‐  ‐ $                  $     4,233,871

Less: spending authority from offsetting collections

and recoveries                                           ‐  ‐ ‐                     ‐                      

Obligations net of offsetting collections and

recoveries 4,233,871                            ‐  ‐                            4,233,871

Net obligations 4,233,871                            ‐  ‐                            4,233,871

Other resources

Imputed financing from costs absorbed by others 3,152                                   ‐  ‐                                   3,152

Disbursements of funds provided by member

states and others                             ‐ 1,242,191  ‐                            1,242,191

Disbursements of RCAP funds                                           ‐  ‐     1,423,040        1,423,040

Net other resources used to finance activities 3,152                    1,242,191     1,423,040        2,668,383

Total resources used to finance activities 4,237,023             1,242,191     1,423,040        6,902,254

Resources used to finance items not part of 

the net cost of operations

Change in budgetary resources obligated for goods,

services and benefits ordered but not yet provided (17,254,774)                         ‐  ‐                        (17,254,774)

Total resources used to finance items not part of

the net cost of operations (17,254,774)      ‐                    ‐                        (17,254,774)

Total resources used to finance net cost of

operations $   21,491,797 $ 1,242,191 $  1,423,040 $   24,157,028

Components of the net cost of operations 

that will require or generate resources in the 

future periods

Increase in annual leave liability                                           ‐  ‐ ‐                     ‐                      

Total components of the net cost of operations

that will require or generate resources in the future

periods                                           ‐  ‐ ‐                     ‐                      

Total resources used to finance the net cost of

operations $   21,491,797 $ 1,242,191 $  1,423,040 $   24,157,028
Delta Regional Authority  Schedule of Expenditures

Year Ended September 30, 2022

59

Federal 

State and 

Other  RCAP Total

Grants, subsidies and contributions 15,858,941 $    ‐ $                        $  2,386,979 $  18,245,920

Consulting and other services 443,246            234,769                    ‐ 678,015

Employee benefits 172,570            262,619                    ‐ 435,189

Personnel services 62,943              617,440                    ‐ 680,383

Travel and transportation of persons 239,429            258,844                    ‐ 498,273

Rent, communications and utilities 31,600              61,829                    ‐ 93,429

Supplies and materials 458,325            288,553                    ‐ 746,878

Printing and reproduction 28,725              13,017                    ‐ 41,742

Office expense 15,377              10,902                    ‐ 26,279

Total expenditures 17,311,156 $    $        1,747,973 $  2,386,979 $  21,446,108

Paid From
Delta Regional Authority 

Schedule of Grants Made

Years Ended September 30, 2022, 2021 and 2020

DRA 

Obligated Total Funds

Funding 

%

DRA 

Obligated Total Funds

Funding 

%

DRA 

Obligated 

Basic public infrastructure 6,899,373 $ $ 416,464,638 44.0% $                   ‐ ‐ $ 0.0% 7,981,73

$ 

Transportation infrastructure 2,106,967 4,963,930 13.4% 2,406,710 23,169,087 100.0% 2,442,86

Business development 3,028,629 34,970,431 19.3%                      ‐ ‐ 0.0% 2,644,66

Work development 2,243,063 5,869,398 14.3%                      ‐ ‐ 0.0% 2,550,08

Other 1,407,549 5,104,240 9.0%                      ‐ ‐ 0.0% 131,00

$ 15,685,581 $ 467,372,637 100.0% 2,406,710 $ $ 23,169,087 100.0% 15,750,34

$ 

DRA 

Obligated

State 

Allocation State %

DRA 

Obligated

State 

Allocation State %

DRA 

Obligated

State allocations

Alabama 1,641,142 $ $ 1,917,635 10.1% $                   ‐ ‐ $ 0.0% 1,544,49

$ 

Arkansas 2,225,382 2,674,233 14.1%                      ‐ ‐ 0.0% 2,816,64

Illinois 1,129,234 1,465,061 7.7%                      ‐ ‐ 0.0% 1,228,97

Kentucky 1,452,132 1,702,140 9.0%                      ‐ ‐ 0.0% 1,358,13

Louisiana 3,217,852 4,093,054 21.6%                      ‐ ‐ 0.0% 3,349,35

Mississippi 1,817,557 2,856,357 15.1%                      ‐ ‐ 0.0% 671,38

Missouri 2,461,413 2,176,676 11.5% 2,406,710       ‐ 100.0% 2,684,96

Tennessee 1,740,869 2,045,443 10.8%                      ‐ ‐ 0.0% 2,096,38

$ 15,685,581 $ 18,930,599 100.0% 2,406,710 $    ‐ $ 100.0% 15,750,34

$ 

Obligations may be more than allocated due to deobligation and reobligation of prior years' unused funds.

2021*

*The Delta Regional Authority (DRA) consists of a federal member and the Governors of the eight‐states in the region. No approval for new g

federal member. In FY 2021, DRA was without a federal member for the majority of FY 2021. Fiscal Year 2021 grant fundings have been or w

as a presidential appointee was nominated and confirmed by the U.S. Senate in FY 2022.

2022 2021*2022
Delta Regional Authority 

Schedule of Grants Made

Community Infrastructure Fund (CIF)Years Ended September 30, 2022, 2021 and 2020

DRA 

Obligated Total Funds

Funding 

%

DRA 

Obligated Total Funds

Funding 

%

DRA 

Obligated 

Basic public infrastructure 9,457,781 $ $ 135,741,317 78.3% $                    ‐ ‐ $ 0.0% 8,053,3

$ 

Transportation infrastructure 2,626,939 451,716,090 21.7%                       ‐ ‐ 0.0% 4,047,38

Business development                       ‐ ‐ 0.0%                       ‐ ‐ 0.0%                  

Work development                       ‐ ‐ 0.0%                       ‐ ‐ 0.0%                  

Other                       ‐ ‐ 0.0%                       ‐ ‐ 0.0% 136,40

$ 12,084,720 $ 587,457,407 100.0% $                    ‐ ‐ $ 0.0% 12,237,09

$ 

DRA 

Obligated

State 

Allocation State %

DRA 

Obligated

State 

Allocation State %

DRA 

Obligated

State allocations

Alabama 1,807,831 $ $ 1,807,831 15.0% $                    ‐ ‐ $ 0.0% 732,24

$ 

Arkansas 1,014,000 1,014,000 8.4%                       ‐ ‐ 0.0% 2,509,00

Illinois 664,500 664,500 5.5%                       ‐ ‐ 0.0% 457,25Kentucky 2,294,740 2,294,740 19.0%                       ‐ ‐ 0.0% 3,397,13

Louisiana 3,588,715 3,588,715 29.7%                       ‐ ‐ 0.0% 1,324,73Mississippi 2,235,481 2,235,481 18.5%                       ‐ ‐ 0.0% 2,297,7Missouri 479,453 479,453 4.0%                       ‐ ‐ 0.0%                  Tennessee                       ‐ ‐ 0.0%                       ‐ ‐ 0.0% 1,519,00

$ 12,084,720 $ 12,084,720 100.0% $                    ‐ ‐ $ 0.0% 12,237,09

$ 

20222022

2021* 

*The Delta Regional Authority (DRA) consists of a federal member and the Governors of the eight‐states in the region. No approval for new g

federal member. In FY 2021, DRA was without a federal member for the majority of FY 2021. Fiscal Year 2021 grant fundings have been or w

as a presidential appointee was nominated and confirmed by the U.S. Senate in FY 2022.

2021*