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C. The revenue and receipts, both restricted and unrestricted to particular purposes for <br />the fiscal year•, <br />D. The expenses or disbursements for both general and unrestricted purposes during the <br />fiscal year; <br />E. The substantial activities and projects begun, in progress, and completed during <br />the fiscal year•, <br />F. The annual report will include a report of an independent accountant, or in lieu <br />of such report, the certificate of an authorized officer of the District that such <br />statements were prepared without audit from the books and records of the District <br />and are true and correct. <br />7.12 The Board shall require that an independent audit of the District's financial records be <br />made annually. The annual audit shall be available for public inspection during all <br />normal business hours at the District office. The District shall adopt sound financial <br />management policies and procedures and shall comply with requirements of funding <br />entities. <br />8.1. The Executive Director, subject to approval by the Board, shall appoint a physician <br />licensed and in good standing in the State of Texas as an officer of the District to serve as <br />the Health Authority. If no local physician can be found who is willing to so serve, then <br />the designated Medical Director of the Texas Department of State Health Services or its <br />successor or his/her designee shall serve as the Health Authority. <br />8.2 A Health Authority appointed under the provisions of Section 121.021 of the Act has <br />certain duties prescribed by State Law that are necessary to implement, enforce and <br />protect the public health. The Health Authority shall aid the Board in all <br />matters of local quarantine, disease prevention and suppression, sanitation <br />inspection and control of contagious, infectious and epidemic diseases within <br />the District's jurisdiction. It is the intent of this Agreement that any Health <br />Authority of the District shallbe an "employee" as defined by Section 101.001(2) of the <br />Texas Civil Practices and Remedies Code for the purposes of the Texas Tort Claims Act. <br />A Health Authority is a state officer when performing duties prescribed by state law. <br />(Section 121.024 of the TexasHealth & Safety Code). <br />8.3 The Board, along with input from the Executive Director, shall be responsible for <br />developing and managing an employee benefits plan for District employees that covers <br />but is not limited to: health insurance, workers compensation insurance, retirement plan <br />and leave policies. <br />Page 8 of 10 <br />