This report is the collective responsibility of the managements of the three state universities. It is intended solely for the information and use of the Arizona Governor's Office of Strategic Planning and Budgeting and the addressees, and is not intended to be and should not be used by anyone other than these specified parties.

An audit of the financial statements of the business-type activities and aggregate discretely presented component units of ASU which collectively comprise the University's financial statements. Reports include consideration of the results of the other auditors' testing of internal control over financial reporting that are reported on separately by those other auditors.

Transportation excise tax money is statutorily restricted to street and highway purposes or transportation projects. Gila County demonstrated that it spent excise tax monies during calendar years 2009 through 2013 to address traffic safety and congestion issues and deteriorating road conditions. Also, in January 2014, the County completed the Gila County Transportation Study, which identified the most critical future transportation infrastructure needs and recommended projects to address those needs. We also determined that the County spent its excise tax monies solely for street and highway purposes or transportation projects as required by Arizona Revised Statutes §28-6392(B), and implemented all but one of our prior audit recommendations.