MANAGEMENT’S DISCUSSION AND ANALYSIS Financial Statements (Continued) Inventories increased by $301 in fiscal year 2019 and decreased by $366 in fiscal year 2018, resulting in a $65 decrease from fiscal year 2017 due to lower dry bulk spare parts. Prepaid expenses increased by $12,893 and $1 in fiscal years 2019 and 2018, respectively. These changes resulted in a total increase of $12,894 due to a construction project deposit with Georgia Department of Transportation. Cash and cash equivalents as presented on the statements of net position increased by $35,668 during the year ended June 30, 2019 and increased by $150,595 during the year ended June 30, 2018, which included the proceeds from the sale of Long-term investments. Long-term assets include certain investments (insurance contracts), notes receivable, pension assets, and capital assets. The Authority’s capital and other long-term assets increased by $172,872 in fiscal year 2019 and decreased by $30,427 in fiscal year 2018. Elements to consider related to these changes include: Long-term investments increased by $1,728 in fiscal year 2019 and decreased $82,895 in fiscal years 2018. The fiscal year 2018 decrease was a result of retiring the GEAP fund, which resulted in the sale of the GEAP investments. Pension assets increased by $2,941 and $6,479 in fiscal years 2019 and 2018, respectively. The two-year increase of $9,420 during fiscal years 2019 and 2018 resulted from the fiduciary net position exceeding the liability of the pension at the measurement date of June 30, 2018. Other noncurrent assets decreased by $594 and by $584 in fiscal years 2019 and 2018, respectively. These results produced a decrease of $1,178 over the two-year period. Capital assets increased by $168,797 and by $46,661 in fiscal year 2019 and 2018, respectively. Included in the increase for both years was the purchase of capital assets in the amount of $335,390, net of disposals. Depreciation expense of $119,932 was incurred during these two years, which offset the overall increase in capital assets. Deferred outflow of resources included contributions made to the pension and Other Postemployment Benefits (OPEB) trusts after the measurement date, differences between the expected and actual economic and demographic experience, the net difference between projected and actual earnings of the pension trust, and assumption changes. 7
