I ATLANTA I METROPOLITAN
I COLLEGE
ATLANTA, GEORGIA
MANAGEMENT REPORT
FOR FISCAL YEAR ENDED
JUNE 30,2010
A Member Institution of the
University System of Georgia

4-.~.

eDepart~ment of~

J:I Ludits end Accounts

State Auditor

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ATLANTA METROPOLITAN COLLEGE - TABLE OF CONTENTS -
SECTION I FINANCIAL LElTER OF TRANSMITTAL SELECTED FINANCIAL INFORMATION EXHIBITS A STATEMENTOFNETASSETS-(GAAPBASIS) B STATEMENT OF REVENUES, EXPENSESAND CHANGES IN NET ASSETS (GAAP BASIS) C STATEMENT OF CASH FLOWS - (GAAP BASIS) D SELECTED FINANCIAL NOTES SUPPLEMENTARY INFORMATION SCHEDULES
1 BALANCE SHEET - (STATUTORY BASIS) BUDGET FUND
2 SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT (STATUTORY BASIS) BUDGET FUND
3 STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING SOURCE COMPARED TO BUDGET (STATUTORY BASIS) BUDGET FUND
4 RECONCILIATION OF SALARIES AND TRAVEL
SECTION II FINDINGS, QUESTIONED COSTS AND OTHER ITEMS SCHEDULE OF FINDINGS, QUESTIONED COSTS AND OTHER ITEMS

Page

SECTION I FINANCIAL

Russell W. Hinton
STATE AUDITOR
(404) 656-2174

DEPARTMENOTF AUDITSAND ACCOUNTS
270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400
November 15,2010

Honorable Sonny Perdue, Governor Members of the General Assembly of Georgia Members of the State Board of Regents of the University System of Georgia
and Honorable Gary McGaha, President Atlanta Metropolitan College
Ladies and Gentlemen:
As part of our audits of the basic financial statements of the University System of Georgia presented in the Annual Financial Reportfor the University System of Georgia, the basic financial statements of the State of Georgia presented in the State of Georgia ComprehensiveAnnual Financial Repod and the issuance of a State of Georgia SingleAudit Report pursuant to the Single Audit Act Amendments, as of and for the year ended June 30, 2010, we have performed certain audit procedures at Atlanta Metropolitan College. Accordingly, the financial statements and compliance activities of Atlanta Metropolitan College were examined to the extent considered necessary in order to express an opinion as to the fair presentation of the financial statements contained in the foregoing documents and to issue reports on compliance and internal control as required by the Single Audit Act Amendments of 1996.
This Management Report contains information pertinent to the financial and compliance activities of Atlanta Metropolitan College as of and for the year ended June 30, 2010. Information contained in this report is a by-product of our audits of the basic financial statements of the University System of Georgia and the basic financial statements of the State of Georgia and is the representation of management. Accordingly, we do not express an opinion or any other form of assurance on it. The particular information provided which includes a section on findings and other items reported in accordance with Commission on Colleges regulation 2.11.1 is enumerated in the Table of Contents.
This report is intended solely for the information and use of the management of Atlanta Metropolitan College, members of the Board of Regents of the University System of Georgia and the Southern Association of Colleges and Schools - Commission on Colleges and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully submitted,
usd dell W. Hinton, CPA, CGFM
State Auditor

SELECTED FINANCIAL INFORMATION

ATLANTA METROPOLITAN COLLEGE
STATEMENT OF NET ASSETS - (GAAP BASIS)
JUNE 30.2010
ASSETS
Current Assets Cash and Cash Equivalents Accounts Receivable, Net (Note 3) Federal Financial Assistance Other Inventories Prepaid Items
Total Current Assets
Noncurrent Assets Capital Assets. Net (Note 4)
Total Assets
LIABILITIES
Current Liabilities Accounts Payable Salaries Payable Deferred Revenue (Note 5) Other Liabilities Deposits Held for Other Organizations Compensated Absences
Total Current Liabilities
Noncurrent Liabilities Compensated Absences
Total Liabilities
NET ASSETS
Invested in Capital Assets, Net of Related Debt Unrestricted
Total Net Assets

EXHIBIT "A"

ATLANTA METROPOLITAN COLLEGE STATEMENT OF REVENUES, EXPENSESAND CHANGES IN NET ASSETS - (GAAP BASIS)
YEAR ENDED JUNE 30.2010
DPERATING REVENUES
Student Tuition and Fees Less: Scholarship Allowances
Grants and Contracts Federal State Other
Sales and Services of Educational Departments Rents and Royal~tles Auxiliary Enterprises
Bookstore Food Sewlces Intercollegiate Athlet~cs Other Organizations Other Operating Revenues
Total Operating Revenues
OPERATING EXPENSES
Salaries Faculty staff
Employee Benefits Other Personal Services Travel Scholarships and Fellowships
Supplies and Other Services
Total Operating Expenses
Operating Income (Loss)
NONOPERATING REVENUES (EXPENSES)
State Appropriations
Federal St~mulus- Stablllzatlon Funds
Grants and Contracts Federal
Glfts Interest and Other Investment Income Other Nonoperatlng Revenues/Expenses
Net Nonoperatlng Revenues
lncome (Loss) Before Other Revenues. Expenses, Gains, or Losses
Capital Grants and Gifts Other
Increase (Decrease) in Net Assets
Net Assets - Beginnlngof Year
Net Assets - End of Year

ATLANTA METROPOLITAN COLLEGE STATEMENT OF CASH FLOWS - (GAAP BASIS)
YEAR ENDEDJUNE 30. 2010
CASH FLOWS FROM OPERAllNG ACTIVITIES Tuition and Fees Grants and Contracts Sales and SeNlces of Educational Departments Payments to Suppliers
Payments m Employees
Payments for Scholarsh~psand Fellowships Auxlllary Enterprise Charges:
Bookstore ~ o o Sd eNIces Intercollegiate AthletlCS Other Organizations Other Receipts (Payments)
Net Cash Provlded (Used) by OperatlngActivities
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES state Appropriations Federal Stlmulus - Stab~l~zat~Founds Agency Funds Transactions Gifts and Grants Received for Other than Capltal Purposes
Net Cash Flows Provided (Used) by Noncapital FinancingAcbvrt~es
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchases of Capltal Assets
CASH FLOWS FROM INVESTING ACTIVITIES Interest on Investments
Net Increase (Decrease] in Cash
Cash and Cash Equivalents - Beginning of Year
Cash and Cash Equivalents - End of Yeat
RECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES:
Operatlng Income (Loss) Adjustments to Reconcile Operating Income to Net Cash
Provided (Used) by operating Actlvltles Depreclabon Cnange in Assets and Liabilities: Accounts Receivable Inventories Prepad Items Accounts Payable Deferred Revenue Other Llabiilbes Compensated Absences
Net Cash Provlded (Used) by Operating Activities
NONCASH ACTIVITY Gin of Capital Assets Reducing Proceeds of Capltal Grants and Gifts

ATLANTA METROPOLITAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30, 2010

NOTE 2: DEPOSITS

DEPOSITS

1. Bonds, bills, notes, certificates of indebtedness, or other direct obligations of the United States or of the State of Georgia.

2. Bonds, bills, notes, certificates of indebtedness or other obligations of the counties or municipalities of the State of Georgia.

3.

Bonds of any public authority created by the laws of the State of Georgia, providing that the

statute that created the authority authorized the use of the bonds for this purpose.

4.

Industrial revenue bonds and bonds of development authorities created by the laws of the

State of Georgia.

5.

Bonds, bills, certificates of indebtedness, notes or other obligations of a subsidiary

corporation of the United States government, which are fully guaranteed by the United States

government both as to principal and interest and debt obligations issued by the Federal Land

Bank, the Federal Home Loan Bank, the Federal Intermediate Credit Bank, the Central Bank

for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association and

the Federal National MortgageAssociation.

6. Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation.

The Treasurer of the Board of Regents is responsible for all details relative to furnishing the required depository protection for all units of the UniversitySystem of Georgia.

At June 30, 2010, the carrying value of deposits was $3,187,366 and the bank balance was $3,355,558. Of the College's deposits, $3,355,558 were uninsured. Of these uninsured deposits, $3,355,558 were collateralized with securities held by the financial institution, by its trust department or agency, but not in the College's name.

NOTE 3: ACCOUNTS RECEIVABLE

Accounts receivable consisted of the following at June 30,2010.

Student Tuition and Fees

$

Auxiliary Enterprises and Other Operating Activities

Federal, State and Private Funds

Georgia State Financing and Investment Commission

Other

771,032 211,508 655,962 320,463 120,283

Less Allowance for Doubtful Accounts Net Accounts Receivable

ATLANTA METROPOLITAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30,2010

EXHIBIT "D"

NOTE 4: CAPITAL ASSETS Followingare the changes in the College's capital assets for the year ended June 30,2010:

Beginning Balance
July 1,2009

Additions

Reductions

Ending Balance
June 30,2010

Capital Assets, Not Being Depreciated: Land Construction Work-In-Progress

$

3,025,433

0 $

398,033 $

$
398,033

3.025.433 0

Total Capital Assets. Not Being Depreciated $

3,025,433$

398,033 $

398,033 $

3,025,433

Capital Assets, Being Depreciated: Building and Building Improvements Facilities and Other Improvements Equipment Library Collections

$

15.959.703

$

122,000 $

15,837,703

Total Assets Being Depreciated

$

22,004,701$

244,853 $

325.452 $

21,924,102

Less: Accumulated Depreciation:

Building and Building Improvements

$

Facilities and Other Improvements

Equipment

Library Collections

Total Accumulated Depreciation

$

Total Capital Assets. Being Depreciated, Net

$

7,867,782$ 665,541
2,045,818 1,883,330
12,462,471$
9,542,230$

412,395 $ 45,941
208,122 19,874
686.332 $
-441.479 $

122,000 $ 200,171
1,472 323,643 $
1,809 $

8,158,177 711,482
2,053,769 1,901.732
12,825.160
9,098,942

Capital Assets, Net

NOTE 5: DEFERRED REVENUE

Deferred revenue consisted of the following at June 30, 2010.

Other Deferred Revenue

$

51,572

NOTE 6: LONG-TERM LIABILITIES

The College's Long-Term liability activity for the year ended June 30, 2 0 1 0 was as follows:

Beginning Balance
July 1,2009

Additions

Reductions

Ending Balance
June 30, 2010

Current Portion

Other Liabilities Compensated Absences $

624.859 $

383,499 $

422,227 $

586,131 $

207,173

ATLANTA METROPOLrrAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30, 2010

EXHIBIT "Dl1

NOTE 7: NET ASSETS Changes in Net Asset activity for the year ended June 30, 2010 are as follows:

Beginning Balance July 1,2009

Additions

Reductions

Ending Balance June 30,2010

Invested in Capital Assets Net of Related Debt

$ 12,567.663 $

-43,446 $ 399,842 $

12,124,375

Unrestricted Net Assets

2,392,213 25,596,888 24,569,602

3,419,499

Total Net Assets

NOTE 8: LEASE OBLIGATIONS
Atlanta Metropolitan College is obligated under various operating leases for the use of real property (land, buildings, and office facilities) and equipment.
OPERATING LEASES Atlanta Metropolitan College's noncancellable operating leases provide for renewal options for periods from one to three years at their fair rental value at the time of renewal. All agreements are cancelable if the State of Georgia does not provide adequate funding, but that is considered a remote possibility. In the normal course of business, operating leases are generally renewed or replaced by other leases. Operating leases are generally payable on a monthly basis. Examples of property under operating leases are copiers, other small business equipment, and buildings.
Noncancellable operating lease rental expenses in 2010 were $179,433 for real property and/or equipment.
FUTURE COMMITMENTS Future commitments for noncancellable operating leases having remaining terms in excess of one year as of June 30,2010, were as follows:
Operating Leases
Year Ending June 30: 2011 20 12 20 13 2014
Total Minimum Lease Payments $ 948,398

ATLANTA METROPOLITAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30, 2010

EXHIBIT "D"

NOTE 9: RETlREMENT PLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA

Plan Description Atlanta Metropolitan College participates in the Teachers Retirement System of Georgia (TRS), a cost-sharing multiple-employer defined benefit pension plan established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State of Georgia. TRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System of Georgia issues a separate stand alone financial audit report and a copy can be obtained from the TRS offices or the Georgia Department of Audits and Accounts.

Funding Policy Employees of Atlanta Metropolitan College who are covered by TRS are required by State statute to contribute 5.25% of their gross earnings to TRS. Atlanta Metropolitan College makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. For fiscal year 2010, the employer contribution rate was 9.74% for covered employees. Employer contributions for the current fiscal year and the preceding two fiscal years are as follows:

Fiscal Year

Percentage Contributed

Required Contribution

REGENTS RETIREMENT PLAN
Plan Description The Regents Retirement Plan, a single-employer defined contribution plan, is an optional retirement plan that was created/established by the Georgia General Assembly in O.C.G.A. 47-21-1et. seq. and is administered by the Board of Regents of the University System of Georgia. O.C.G.A. 47-3-68(a) defines who may participate in the Regents Retirement Plan. An "eligible university system employee" is a faculty member or a principal administrator, as designated by the regulations of the Board of Regents. Under the Regents Retirement Plan, a plan participant may purchase annuity contracts from four approved vendors (AIG-VALIC, American Century, Fidelity, and TIAA-CREF) for the purpose of receiving retirement and death benefits. Benefits depend solely on amounts contributed to the plan plus investment earnings. Benefits are payable to participating employees or their beneficiaries in accordance with the terms of the annuity contracts.
Funding Policy Atlanta Metropolitan College makes monthly employer contributions for the Regents Retirement Plan at rates adopted by the Teachers Retirement System of Georgia Board of Trustees in accordance with State Statute and as advised by their independent actuary. For fiscal year 2010, the employer contribution was 9.24% for the participating employee's earnable compensation. Employees contribute 5%of their earnable compensation. Amounts attributable to all plan contributions are fully vested and nonforfeitable at all times.

ATLANTA METROPOLITAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30, 2010

EXHIBIT "D"

NOTE 9: RETIREMENT PLANS
REGENTS RETIREMENT PLAN
Funding Policy Atlanta Metropolitan College and the covered employees made the required contributions of
$85,342 (9.24%) and $46,181 (5%),respectively.
AIG-VALIC, American Century, Fidelity, and TIAA-CREF have separately issued financial reports which may be obtained through their respective corporate offices.
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description Atlanta Metropolitan College participates in the Georgia Defined Contribution Plan (GDCP) which is a single-employer defined contribution plan established by the General Assembly of Georgia for the purpose of providing retirement coverage for State employees who are temporary, seasonal, and part-time and are not members of a public retirement or pension system. GDCP is administered by the Board of Trustees of the Employees' Retirement System of Georgia.
Benefits A member may retire and elect to receive periodic payments after attainment of age 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board of Trustees. If a member has less than $3,500.00 credited to his/her account, the Board of Trustees has the option of requiring a lump sum distribution to the member in lieu of making periodic payments. Upon the death of a member, a lump sum distribution equaling the amount credited to his/her account will be paid to the member's designated beneficiary. Benefit provisions are established by State statute.
Contributions and Vesting Member contributions are seven and one-half percent (7.5%)of gross salary. There are no employer contributions. Contribution rates are established by State statute. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination of employment, the amount of the member's account is refundable upon request by the member.
Total contributions made by employees during fiscal year 2010 amounted to $76,037 which represents 7.5% of covered payroll. These contributions met the requirements of the plan.
The Georgia Defined Contribution Plan issues a financial report each fiscal year, which may be obtained from the ERS offices.
NOTE 10: CONTINGENCIES
Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies. This could result in refunds to the grantor agency for any expenditures which are disallowed under grant terms. The amount of expenditures which may be disallowed by the grantor cannot be determined at this time although Atlanta Metropolitan College expects such amounts, if any, to be immaterial to its overall financial position.

ATLANTA METROPOLITAN COLLEGE SELECTED FINANCIAL NOTES JUNE 30,2010

EXHIBIT "D"

NOTE 10: CONTINGENCIES
Litigation, claims and assessments filed against Atlanta Metropolitan College (an organizational unit of the Board of Regents of the University System of Georgia), if any, are generally considered to be actions against the State of Georgia. Accordingly, significant litigation, claims and assessments pending against the State of Georgia are disclosed in the State of Georgia Comprehensive Annual Financial Report for the fiscal year ended June 30, 2010.
NOTE 11: POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
Pursuant to the general powers conferred by the Official Code of Georgia Annotated Section 20-3-31, the Board of Regents of the University System of Georgia has established group health and life insurance programs for regular employees of the University System of Georgia. It is the policy of the Board of Regents to permit employees of the University System of Georgia eligible for retirement or that become permanently and totally disabled to continue as members of the group health and life insurance programs. The policies of the Board of Regents of the University System of Georgia define and delineate who is eligible for these post-employment health and life insurance benefits. Organizational units of the Board of Regents of the University System of Georgia pay the employer portion for group insurance for affected individuals. With regard to life insurance, the employer covers the total cost for $25,000 of basic life insurance. If an individual elects to have supplemental, and/or, dependent life insurance coverage, such costs are borne entirely by the employee.
The Board of Regents Retiree Health Benefit Plan is a single employer defined benefit plan. Financial statements and required supplementary information for the Plan are included in the publicly available Consolidated Annual Financial Report of the University System of Georgia. The College pays the employer portion of health insurance for its eligible retirees based on rates that are established annually by the Board of Regents for the upcoming plan year. For the 2009 and 2010 plan years, the employer rate was between 70-75% of the total health insurance cost for eligible retirees and the retiree rate was between 25-30%.
As of June 30, 2010, there were 62 employees who had retired or were disabled that were receiving these post-employment health and life insurance benefits. For the year ended June 30, 2010, Atlanta Metropolitan College recognized as incurred $202,212 of expenditures, which was net of $117,536 of participant contributions.
NOTE 12: AFFILIATED ORGANIZATIONS
The Atlanta Metropolitan College Foundation, Inc., is a legally separate, tax exempt organization whose activities primarily support Atlanta Metropolitan College. This affiliated organization is considered a potential component unit of the State of Georgia in accordance with GASB Statement No. 39, Determining Whether Certain Organizations are Component Unitrs. Therefore, the financial statements of this affiliated organization are not included in these financial statements. Copies of the financial statements for the affiliated organization may be obtained from Atlanta Metropolitan College.

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SUPPLEMENTARY INFORMATION

ATLANTA METROPOLITAN COLLEGE BALANCE SHEET (STATUTORY BASIS)
BUDGET FUND JUNE 30,2010
ASSETS
Cash and Cash Equivalents Accounts Receivable
Federal Financial Assistance Other Prepaid Expenditures Inventories
Total Assets
LIABILITIES AND FUND EOUITY
Liabilities Accrued Payroll Encumbrances Payable Accounts Payable Deferred Revenue Other Liabilities
Total Liabilities
Fund Balances Resewed Department Sales and Services Indirect Cost Recoveries Technology Fees Uncollectible Accounts Receivable Tuition Carry-Over Inventories Unreserved Surplus
Total Fund Balances
Total Liabilities and Fund Balances
Statutory Basis financial tnforrnation was prepared on a prescribed basis of accounting that demonstrates compliance with budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles.

SCHEDULE "1"

ATLANTA METROPOLITAN COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT (STATUTORY BASIS)
BUDGET FUND YEAR ENDED JUNE 30,2010

SCHEDULE "2"

REVENUES
state Approprlatlon State General Funds
Federal Funds Other Funds
Total Revenues
CARRY-OVER FROM PRIOR YEAR
Transfer from Reserved Fund Balance
Total Funds Available

BUDGET

ACTUAL

VARIANCE FAVORABLE (UNFAVORABLE)

Excessof FundsAvailable over Expenditures
FUND BALANCE JULY 1
Reserved Unreserved
Prior Year Payables/Expendltures Prior Year Receivables/Revenues Unreserved Fund Balance (Surplus)Returned
to Boardof Regents- University System Office Year EndedJune 30.2009
Early Return of Surplus in Current FiscalYear Prior Year Reserved Fund Balance Includedin FundsAvailable FUND BALANCEJUNE30
SUMMARY OF FUND BAL4NCE
Resewed DepartmentSales and Services Indlrect Cost Recoveries Technology Fees UncollectlbleAccounts Receivable Tuition Carry-Over Inventories
Total Reserved
Unreserved Surplus
Total Fund Balance

Statutory Baslsfinancial information was preparedon a prescribed basis of accountingthat demonstratescompliancewlth budgetary statutes and regulatlonsof the State of Georg~a,
which is a comprehensive basis of accounting other than generally accepted accounting
principles.
-15-

ATLANTA MEIROPOLITANCOLLEGE STATEMENT OF PRQjRAM REVENUESANDMPENDITURESBY FUNDINGSOURCE COMPARED TO BUDGET
(STATUTORYBASIS) B U f f i E l FUND YEAR ENDED JUNE30.2010

Spacial Funding InRiative State Approprlatlon State General Funds

Orlgnal Appropnatlon

Flnal Budget

Current Year Revenues

FundsAva~laPleCompared to Budget

Prior Year CanyOver

Total FUW6 Ava~IaIe

Varrance Poslt~ve (Negatse)

Toschlng State Approprlauon State General Funds Federal Funds Pimerocan Recoveryand RelnvestmentAct of 2009 Federal Stabml~rattoFnunds OVler Funds

Grand Totala -All Programs

S m m r y Bas~sfonanclal ~nformauonwas prepared on a prercrlbed basts of accounttngthat demonatrates compllanca wlth budgetarystatutes and rsgulabons of tho State of G w w a . which s a comprehenglvsbas,&of aocountlngother than generally accepted acwuntlng pr~nc~ples

Expendlturer Comparedto Budget

Variance

P051uve

Actual

(Negat~ve)

Actual FundsAvallable
Over/(Under) Olpenddures

Early

Prlor Perlod

Other

Rem~ttance

- Adjustments - Adjustments - of Surplus

Program Fund
Balances

Transfers

Program Fund Balances

Reserve

Surplus

Total Fund
- Balance

UnexpendableReserves Uncollen8ble Accounts Recscvable lnventorles

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ATLANTA METROPOLITANCOLLEGE RECONCILIATION OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30,2010

SCHEDULE "4"

Totals per Annual Supplement

Accruals June 30,2010 June 30,2009

Compensated Absences June 30,2010 June 30,2009

Adjustments

Shared Services on Jointly Staffed Personnel

Georgia Institute of Technology

Clark,

Dana

Georgia Gwinnett College

Firestone.

Marie

Kennesaw State University

Devine,

Flora

SALARIES

TRAVEL

SECTION II FINDINGS, QUESTIONED COSTS AND OTHER ITEMS

ATLANTA METROPOLITAN COLLEGE SCHEDULE OF FINDINGS, QUESTIONED COSTS AND OTHER ITEMS
YEAR ENDED JUNE 30,2010
FINANCIAL STATEMENT FINDINGS AND OUESTIONED COSTS
No matters were reported.
FEDERAL AWARD FINDINGS AND QUESTIONED COSTS
No matters were reported.
OTHER ITEMS (NOTED FOR MANAGEMENT'S CONSIDERATION)
REVENUES/RECEIVABLES/RECEIPTS The College could not provide documentation that sufficient due diligence had been performed on written off accounts receivable as listed in the Board of Regents Business Procedures Manual Section 10.7.4. The College should determine if the associated accounts receivable and allowance for doubtful accounts should be re-established on the accounting records. Management should ensure that adequate collection efforts are performed and documented prior to writing off accounts receivable.
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Errors were noted in the expenditure amounts reported on the Schedule of Expenditures of Federal Awards (SEFA) submitted by Atlanta Metropolitan College to the State Accounting Office for inclusion in the State of Georgia's Single Audit Report. The SEFA was corrected to reflect the correct fiscal year expenditures for all Federal activity. Management should ensure that the submitted information for the SEFA is complete and accurately reflects all Federal assistance administered by the College.
RECONCILIATION OF SUBSIDIARY LEDGERS Atlanta Metropolitan College did not have procedures in place to ensure that all subsidiary ledgers were properly reconciled. The College failed to provide accounts receivable documentation that agreed or reconciled to PeopleSoft. In addition, the College did not perform a complete reconciliation of payroll data from ADP to PeopleSoft to ensure salaries and related deductions were correct. The College should establish procedures to ensure that reconciling items are identified and corrected in a timely manner to ensure correct financial reporting.