Review report, state of Georgia, Columbus State University, Columbus, Georgia, year ended June 30, 1999

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REVIEW REPORT STATE OF GEORGIA COLUMBUS STATE UNIVERSITY COLUMBUS, GEORGIA YEAR ENDED JUNE 30, 1999
l_~

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STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
254 WASHINGTON STREET
ATLANTA, GEORGIA 30334-8400

COLUMBUS STATE UNIVERSITY - TABLE OF CONTENTS"".

SECTION I

FINANCIAL

INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION

EXHIBITS

FINANCIAL STATEMENTS

A COMBINED BALANCE SHEET

ALL FUND GROUPS

2

B COMBINED STATEMENT OF CHANGES IN FUND BALANCES

ALL FUND GROUPS

4

C STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES,

AND OTHER CHANGES

7

D NOTES TO THE FINANCIAL STATEMENTS

8

SUPPLEMENTARY INFORMATION

E COMBINING BALANCE SHEET

CURRENT FUNDS - UNRESTRICTED

22

F COMBINING STATEMENT OF CHANGES IN FUND BALANCES

CURRENT FUNDS - UNRESTRICTED

23

G COMBINING STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES,'

AND OTHER CHANGES

UNRESTRICTED

25

SCHEDULES

1 SCHEDULE OF REQUIRED SUPPLEMENTARY INFORMATION

26

SCHEDULES OF REVENUES AND EXPENDITURES COMPARED TO BUDGET

2

RESIDENT INSTRUCTION

28

3

LOTTERY FOR EDUCATION

31

4 CHANGES IN INVESTMENT IN PLANT

32

5 SCHEDULE OF FUND BALANCES

CURRENT FUNDS AND PLANT FUNDS

34

6 RECONCILIATION OF SALARIES AND IRAVEL

36

7 RECONCILIATION OF PER DIEM AND FEES

37

COLUMBUS STATE UNIVERSITY - TABLE OF CONTENTS -
SECTIONll AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS

SECTION! FINANCIAL

RUSSELL W. HINTON
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.w" Suite 214 Atlanta, Georgia 30334-8400
November 23,1999

Honorable Roy E. Barnes, Governor Members ofthe General Assembly of Georgia Members of the Board ofRegents of the University System of Georgia
and Honorable Frank D. Brown, President Columbus State University
INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF
FINANCIAL STATEMENTS AND SupPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have reviewed the accompanying financial statements (Exhibits A through D) of Columbus State University as of and for the year ended June 30, 1999, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All infonnation included in these financial statements is the representation ofthe management of Columbus State University.
A review consists principally of inquiries of University personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective ofwhi9h is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.
B"ased on our review, with the exception of the matters described in the fourth and fifth paragraphs, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in confonnity with generally accepted accounting principles.
As disclosed in Note 1 to the financial statements, generally accepted accounting principles require encumbrances to be recorded as a reservation of fund balance. However, in accordance with Georgia Law and State budgetary policy, management recorded encumbrances as expenditures and liabilities. The effects of this departure from generally accepted accounting- principles on the financial statements were- not reasonably determinable.

99ARL-67



.

As disclosed in Note 1 to the financial statements, the University did not report the liability and related

expenditure for compensated absences in the current funds as required by generally accepted accounting

principles. If compensated absences were reported, liabilities would be increased and fund balance would

be decreased by $1,288,685.67 as of June 30, 1999, and the net change in fund balance for the year ended

June 30, 1999, would be decreased by $176,638.80.

Our review was made for the purpose of expressing limited assurance that there are no material modifications that should be made to the financial statements in order for them to be in confonnity with generally accepted accounting principles. The year 2000 supplementary infonnation on Schedule"1" is not a required part of the basic financial statements but .is supplementary infonnation required by the Governmental Accounting Standards Board. The accompanying combining statements (Exhibits E through G) and the financial schedules (Schedules 2 through 7) are presented for supplementary analysis purposes. Such infonnation has been subjected to the inquiries and analytical procedures applied in the review ofthe financial statements, and except for the effects of the matters discussed in the fourth and fifth paragraphs, we are not aware of any material modifications which should be made thereto.

Respectfully submitted,

RWH:gp 99ARL-67

R ssell W. Hinton State Auditor

FINANCIAL STATEMENTS - 1-

COLUMBUS STATE UNIVERSITY COMBINED BALANCE SHEET ALL FUND GROUPS JUNE 30.1999

ASSETS
Cash and Cash Equivalents Investments Accounts Receivable Inventories Prepaid Items Investment in Plant
Total Assets
LIABILITIES AND FUND BALANCES
Liabilities Accounts Payable Student Deposits Deferred Revenue Tuition and Fees Deposits Held in Custody for Others
Total Liabilities
Fund Balances U. S. Government Grants Refundable Institutional Loans - Restricted Endowment Net Investment in Plant Restricted Unrestricted
Total Fund Balances
Total Liabilities and Fund Balances

CURRENT FUNDS UNRESTRICTED RESTRICTED

LOAN FUNDS

$ 3,530,446.22 $
199,230.82 202,711.27 183,514.22

619,661.19 $ 391,070.00 888,539.33

480,604.78 653,484.32

$ 4,115,902.53 $ 1,899,270.52 $ ===1::::,1=34=,0=8:::::9.=10=

$

723,942.35 $

51,430.00

1,661,937.41

32,564.23

$ 2,437,309.76 $

32,564.23

$

515,931.96

618,157.14

$ $ 1,678,592.77
$ 1,678,592.77 $

1,866,706.29 1,866,706.29 $

1,134,089.10

$ 4,115;902.53 $ 1,899,270.52 $ ======1=,1=34:f,O:=8=9.=10=

See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement. -2-

EXHIBIT "A"

ENDOWMENT FUNDS

UNEXPENDED

PLANT FUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

AGENCY FUNDS

TOTAL (Memorandum
Only)

$ 1,257,355.60 $

1,372,559.93 $

1,195,944.55

$

288,181.99

247,741.07

_ _ _ _ _ _ $ 64,615,413.24

156,093.92 $ 59,768.57

8,612,666.19 679,251.99
2,048,764.11 202,711.27 183,514.22
64,615,413.24

$ 1,545,537.59 $

1,620,301.00 $

1,195,944.55 $ 64,615,413.24 $

215,862.49 $ 76,342,321.02

$

1,615,414.82 $

5,500.00

$

1,615,414.82 $

5,500.00

$

75,859.86 $

2,453,281.26

51,430.00

140,002.63

1,661,937.41 140,002.63

$

215,862.49 $

4,306,651.30

$ 1,545,537.59
$ $ 1,545,537.59 $

4,886.18 $ 4,886.18 $

$ 1,190,444.55 1,190,444.55 $

64,615,413.24 64,615,413.24

$

515,931.96

618,157.14

1,545,537.59

64,615,413.24

1,866,706.29

2,873,923.50

$ 72,035,669.72

$ 1,545,537.59 $

1,620,301.00 $

1,195,944.55 $ 64,615,413.24 $

215,862.49 $ 76,342,321.02

-3-

COLUMBUS STATE UNIVERSITY COMBINED STATEMENT OF CHANGES IN FUND BALANCES
ALL FUND GROUPS YEAR ENDED JUNE 30. 1999

REVENUES AND OTHERADDITIONS
Unrestricted Current Fund Revenues State Appropriations
Regular Lottery Proceeds Federal Grants and Contracts State Grants and Contracts Private Gifts, Grants, and Contracts Investment Income Endowment Other Net IncreaseJDecrease in Fair Value of Investments Interest on Loans Receivable Adjustments Prior Years' ExpenditUres/Accounts Payable Expended for Plant Facilities Current Funds Plant Funds
Unexpended Renewals and Replacements Georgia State Financing and Investment Commission Other Additions Recovery of Prior Years' cancelled Loans
Total Revenues and Other Additions
EXPENDITURES AND OTHER DEDUCTIONS
Educational and General Expenditures Auxiliary Enterprises Expenditures Indirect Costs Recovered Remittances to the Board of Regents of the
University System of Georgia Prior Year's Unrestricted Fund Balance (Surplus)
Adjustments Prior Years' Revenues/Accounts Receivable
Loan cancellations and Write-Offs Administrative and Collection Costs Expended for Plant Facilities
Capitalized Noncapitalized DisposalsJDeletions/Adjustments
Total Expenditures and Other Deductions
TRANSFERS BETWEEN FUNDS
Mandatory Investment Income for Principal
Nonmandatory Renewals and Replacements Capital Projects Endowment Principal for Object of Trust
Total Transfers Between Funds
Net Increasel(Decrease) for the Year
FUND BALANCES JULY 1,1998
FUND BALANCES JUNE 30. 1999
See Indeperident Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement.
-4-

CURRENT FUNDS UNRESTRICTED RESTRICTED

LOAN FUNDS

$ 41,720,078.20

$ 15,373,434.13 $ 3,272,015.70 2,601,107.17
148,789.11 15,744.04 28,767.23
23,192.00

-456.87 56,100.00
15,422.33 29,030.76

$ 41,743,270.20 $ 21,439,857.38 $

19,625.55 119,721.n

$ 39,850,003.13 $ 21,059,580.56 1,842,127.14 54,228.44
12,095.90
933.41 $

24,260.38 1,034.15

$ 41,705,159.58 $ 21,113,809.00 $

25,294.53

$

-6,436.10 $

$

-94,276.09

-1,036,640.00

3,382.86

$ -1,130,916.09 $

-3,053.24 $

$ -1,092,805.47 $ 322,995.14 $

2,n1,398.24

1,543,711.15

-4,197.29
5,370.26 1,172.97 95,600.21 1,038,488.89

$ 1,678,592.n $ 1,866,706.29 $ 1,134,089.10

EXHIBIT"B"

ENDOWMENT FUNDS

UNEXPENDED

PLANT FUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

TOTAL (Memorandum
Only)

$

$ 918,600.00 94,000.00 174,221.00

$

4,910.37

1,227,~16.42

3,521.18

342,208.14

4,879.90

$

8,431.55 $ 2,761,325.46 $

0.00 $
0.00 $

$ 41,720,078.20

398,910.84

918,600.00 94,000.00 15,547,198.26 3,272,015.70 4,288,444.80

148,789.11 373,374.51 32,288.41
29,030.76

28,071.90

1,014,661.34

1,014,661.34

2,726,267.23 247,556.58
1,088,397.91

2,726,267.23 247,556.58
1,088,397.91

19,625.55

5,475,793.90 $ 71 ,548,400.26

$

0.00

$ 60,909,583.69 1,842,127.14 54,228.44

$

8,226.68

20,322.58

933.41 24,260.38
1,034.15

2,726,267.23 $ 36,812.05

247,556.58 26,986.67 $

764,843.99

2,973,823.81 63,798.72 764,843.99

$

0.00 $ 2,n1,305.96 $

274;543.25 $

764,843.99 $ 66,654,956.31

$

10,633.39

$

0.00

$

94,276.09

0.00

$

6,640.00

1,030,000.00

0.00

-8,753.12

0.00

$

1,880.27 $

6,640.00 $

1,124,276.09

$

0.00

$

10,311.82 $

-3,340.50 $

849,732.84 $ 4,710,949.91 $ 4,893,443.95

1,535,225.n

8,226.68

340,711.71

59,904,463.33

67,142,225.n

$

1,545,537.59 $

4,886.18 $

1,190,444.55 $ 64,615,413.24 $ 72,035,669.72

-5-

COLUMBUS STATE UNIVERSITY STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES.
AND OTHER CHANGES YEAR ENDED JUNE 30.1999

EXHIBIT "C

REVENUES
State Appropriations Tuition and Fees Federal Grants and Contracts State Grants and Contracts Private Gifts, Grants, and Contracts Endowment Income Sales and Services of Educational Activities Sales and Services of Auxiliary Enterprises Other Sources
Total Revenues
EXPENDITURES AND MANDATORY TRANSFERS
Educational and General Instruction Academic Support Student Services Institutional Support Operation and Maintenance of Plant Scholarships and Fellowships Mandatory Transfers for: Investment Income for Endowment Principal
Auxiliary Enterprises Student Housing Food Services Stores and Shops Intercollegiate Athletics Other Service Units
Total Expenditures and Mandatory Transfers
OTHER TRANSFERS AND ADDITIONS/(DEDUCTIONS)
Excess of Restricted Receipts over
Transfers to Revenues
Transfers for Renewals and Replacements Transfers for Capital Projects Transfers of Endowment Principal for Object of Trust Prior Period Adjustments (Net) Remittances to the Board of Regents
of the University System of Georgia Prior Year's Unrestricted Fund Balance (Surplus)
Total Other Transfers and Additions/(Deductions)

UNRESTRICTED

RESTRICTED

TOTAL (Memorandum
Only)

$ 25,454,693.00

$ 25,454,693.00

13,420,508.90

13,420,508.90

51,693.08 $ 15,317,946.12

15,369,639.20

2,535.36

3,243,077.88

3,245,613.24

2,384,974.56

2,384,974.56

113,582.00

113,582.00

64,472.92

64,472.92

1,306,197.11

1,306,197.11

1,419,977.83

1,419,977.83

$ 41,720,078.20 $ 21,059,580.56 $ 62,779,658.76

$ 19,481,453.64 $

2,370,891.90 $ 21,852,345.54

4,537,645.28

348,922.47

4,886,567.75

2,357,304.26

25,707.65

2,383,011.91

5,057,971.13

233,765.31

5,291,736.44

4,197,244.82

4,197,244.82

4,218,384.00

18,080,293.23

22,298,677.23

6,436.10

6,436.10

509,414.81 62,007.92 54,209.24 961,753.98
254,741.19

509,414.81 62,007.92 54,209.24
961,753.98 254,741.19

$ 41,692,130.27 $ 21,066,016.66 $ 62,758,146.93

$

$

-94,276.09

-1,036,640.00

22,258.59

326,048.38 $ 3,382.86

326,048.38 -94,276.09 -1,036,640.00
3,382.86 22,258.59

-12,095.90 $ -1,120,753.40 $

329,431.24 $

-12,095.90 -791,322.16

Net Increasel(Decrease) in Fund Balances

$ -1,092,805.47 $

See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.

The notes to the financial statements are an integral part of this statement

-7-

322,995.14 $ ==-=76=9::,8=:10=.3=3=

COLUMBUS STAIB UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT "0"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY Columbus State University is one ofthirty-four (34) State supported member institutions ofhigher education in Georgia which comprise the University System of Georgia, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of Columbus State University as a separate reporting entity.
The Board ofRegents has constitutional authority to govern, control and manage the University System of Georgia. This authority includes but is not limited to the power to designate management, the ability to significantly influence operations, the authority to control institutions' budgets, the power to determine allotments of State funds to member institutions and the authority to prescribe accounting systems and administrative policies for member institutions. Columbus State University does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Columbus State University is considered an organizational unit ofthe Board ofRegents ofthe University System of Georgia reporting entity for financial reporting pmposes because of the significance of its legal, operational, and financial relationships with the Board of Regents as defined in Section 2100 of the Governmental Accounting Standards Board Codification of Governmental Accounting and Financial Re.porting Standards.
FUND ACCOUNTING In order to ensure observance of limitations and restrictions placed on the use ofthe resources available to the University, the accounts of the University are maintained in accordance with the principles of fund accounting. This is the procedure by which resources for various pmposes are classified for accounting and reporting pmposes into funds that are in accordance with activities or objectives specified. Separate accounts are maintained for each fund; however, in the accompanying financial statements, funds that have similar characteristics have been combined into fund groups. Accordingly, all financial transactions have been recorded and reported by fund group.
Within each fund group, the University's fund balance allocations and designations represent those portions ofthe fund balances that are reserved, restricted and/or designated for specific future use by legal covenants, State policies, or institutional policies.
Fund groups and funds presented in the accompanying financial statements are as follows:
CURRENT FUNDS
UNRESTRICTED - The fund used to account for those economic resources over which the University retains full control to use for pmposes of performing the primary functions of the University, e.g., instruction, academic support, etc.
RESTRICTED - The fund used to record externally restricted funds which may only be utilized in accordance with the pmposes established by their source. Restricted current funds are recorded as revenues and expenditures when expended for current operating pmposes.
-8-

COLUMBUS STATE DNNERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT "D"

NOTE 1; SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FUND ACCOUNTING
LOAN FUNDS
The fund used to account for resources which have been made available for financial loans to students.
ENDOWMENT FUNDS
Endowment funds are subject to the restrictions ofgift instruments requiring that the principal be invested in perpetuity and income only be utilized.
PLANT FUNDS
UNEXPENDED - The fund used to account for financial resources utilized to acquire or to construct physical properties for institutional purposes.
RENEWALS AND REPLACEMENTS - The fund used to account for resources set aside for the renewal and replacement of institutional properties.
INVESTMENT IN PLANT - The fund which shows the total amounts representing the book value of all physical properties owned by the University. Net Investment in Plant is an equity account showing the total book value ofphysical properties belonging to the University less the amount of any indebtedness to others.
AGENCY FUNDS
The fund used to account for resources held by the University as custodian or fiscal agent for individual students, faculty, staffmembers, and organizations.
BASIS OF ACCOUNTING Except as otherwise disclosed in these notes, the financial statements are prepared on the modified accrual basis ofaccounting, which is materially the same as the accrual basis ofaccounting applicable to colleges and universities prescribed in the American Institute ofCertified Public Accountants' audit guide reporting model. The modified accrual basis ofaccounting is defined as that method ofaccounting in which expenditures, other than accrued interest on general long-term debt, are recorded at the time liabilities are incurred and revenues are recorded when available and measurable to finance expenditures ofthe fiscal period.
Contractual obligations for goods and services which have not been received at the end ofthe fiscal year are recognized as expenditures and liabilities in the accompanying financial statements. This accounting practice causes expenditure-driven grant revenues to be accrued based, in part, ont1l~unexecuted poJ1ion ofcontracts for goods and services. The recognition ofencumbrances as expenditures and'liabilities is in conformity with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but is not
-9-

COLUMBUS STATE UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30.1999

EXHIBIT "D"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF ACCOUNTING consistent with generally accepted accounting principles, which provide for the recording of encumbrances as a reservation of fund balance. Further, revenue recognition for expenditure-driven grants should be based upon expenditures determined in accordance with generally accepted accounting piinciples.

Compensated absences represent obligations of the University relating to employees' rights to receive compensation for future absences based upon services already rendered. This obligation relates only to vesting accumulated annual leave in which payment is probable and can be reasonably estimated. The compensated absences liability of$I,288,685.67 and a related net current year expenditure of$176,638.80 have not been reported in the current funds as required by generally accepted accounting principles.

Prior period adjustments and certain other items are reported as additions to and deductions from fund balances ofcurrent funds in the accompanying financial statements. This presentation is in accordance with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but differs from generally accepted accounting principles in that immaterial adjustments should be reported as current period revenues and expenditures. The effect of this departure is deemed to be immaterial to the fair presentation of the financial statements.

To the extent that Current Funds and Plant Funds are used to finance plant assets, the amounts so provided are accounted for as expenditures. The balances shown on the Combined Balance Sheet as Net Investment in Plant reflect the accumulated expenditures made for plant facilities through Current Funds and Plant Funds and also include expenditures made for plant facilities expended by the Georgia State Financing and Investment Commission on behalfofthe University. Donated fixed assets are recorded at fair market value on the date donated. Disposals are deleted at recorded values. No depreciation has been provided on physical plant and equipment.

The Statement of Current Funds Revenues, Expenditures, and Other Changes is a statement of financial activities ofcurrent funds related to the current reporting period. It does not purport to present the results of operations or the net income or loss for the period as would a statement ofincome or a statement ofrevenues and expenses.

BUDGET

.

The Board of Regents of the University System of Georgia - Administrative Central Office receives State

appropriation allotments for units ofthe University System ofGeorgia. The appropriated budget is adopted

at the Board level and represents appropriations provided by the Amended Appropriations Act of 1998-1999.

The appropriated budget covers current funds and plant funds, except for Auxiliary Enterprises and Student

Activities which are not subject to appropriation. The aIlocation of the appropriated budget is made to the

College by the Administrative Central Office. In addition, the College receives Federal funds and other funds

directly and includes these funds in the budget filed with the Administrative Central Office.

-10 -

COLUMBUS STATE llNNERSITY
NOTES TO THE FINANCIAL STATEMENTS . JUNE 30. 1999

EXHIBIT "D"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET A comparison of anticipated funds available and budgeted expenditures by budget unit object class indicates that the following object classes were overspent by the amounts identified below:

Resident Instruction Year 2000 Project

$ 20.792.00

This overexpenditure ofbudget constitutes a violation ofBoard ofRegents policy, but does not constitute a statutory violation of budget authority. Statutory violations of budget authority are reported at the Board object class level.

CASH AND CASH EQUIVALENTS Cash and Cash Equivalents consist ofpetty cash and demand deposits in authorized financial institutions, and cash management pools that have the general characteristics of demand deposit accounts.

INVESTMENTS Investments are reported at fair value. Funds received by the University as endowments or for restricted purposes are invested according to conditions stipulated by the donor, grantor, or in accordance with the Board ofRegents authorizing resolutions. Gains and losses on investment transactions are accounted for in the funds where such assets are recorded.

ACCOUNTSRECEIVABLE Accounts receivable consist of reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. No provision has been made for an allowance for doubtful accounts within the accompanying financial statements.

INVENTORIES Inventories of consumable supplies are recorded on the consumption method and are valued at cost on the Combined Balance Sheet using the weighted average method.

PREPAID ITEMS Prepaid items are payments made to vendors in advance ofthe receipt ofgoods and services that will benefit periods subsequent to the balance sheet date.

MEMORANDUM ONLY - TOTAL COLUMNS The total columns on the financial statements are captioned "Memorandum Only" because they do not represent consolidated financial information and are presented only to facilitate financial analysis. The columns do not present information that reflects financial position or changes in financial position in conformity with generally accepted accounting principles. Neither are such data comparable to a consolidation.. lnterfund eliminations hav.enotbeen made in the aggregation ofthis data.

-11 -

COLUMBUS STATE UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT "D"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS
STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds belonging to the State ofGeorgia cannot be placed in a depository paying interest longer than ten days without the depository providing a surety bond to the State. In lieu of a surety bond, the depository may pledge as collateral anyone or more ofthe following securities as enumerated in the Official Code of Georgia Annotated Section 50-17-59:
(1) Bonds, bills, certificates ofindebtedness, notes, or other direct obligations of the United States or of the State of Georgia.
(2) Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities of the State of Georgia.
(3) Bonds of any public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use ofthe bonds for this purpose.
(4) Industrial revenue bonds and bonds of development authorities created by the laws ofthe State of Georgia.
(5) Bonds, bills, certificates ofindebtedness, 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, or 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 Mortgage Association.
(6) Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation.
As authorized in the Official Code of Georgia Annotated Section 50-17-53, the State Depository Board has adopted policies which allow agencies of the State of Georgia (which includes organizational units of the Board of Regents of the University System of Georgia) the option of exempting demand deposits from the collateral requirements.
The treasurer of the Board of Regents is responsible for all details relative to furnishing the required depository protection for all units ofthe University System of Georgia.
CATEGORIZATION OF DEPOSITS For purposes of analysis of custodial credit risk, cash deposits consist of all bank balances which include demand deposits and/or interest bearing accounts. The bank balances as of June 30, 1999, are categorized below in order to provide infonnation about the extent to which such deposits are exposed to custodial credit risk:

-12 -

COLUMBUS STATE UNIVERSITY
NOTES TO THE FINANCIAL STATEMENTS
. JUNE 30. 1999

EXHIBIT "D"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS

CATEGORIZATION OF DEPOSITS Category 1 - Amounts covered by depository insurance or collateralized with securities (at fair value) held by the University or by its agent in the University's name.

Category 2 - Amounts collateralized with securities (at fair value) held by the pledging financial institution's trust department or agent in the University's name.

Category 3 - Amounts collateralized with securities (at fair value) held by the pledging financial institution, or by its trust department or agent but not in the University's name, and amounts uncollateralized.

Cash Deposits

Carrying

Bank

Risk Categories

Amount

Balances

.1

2

3

$ 6,728.341.45 $ 7,637,684.64 $ 100,000.00 $ 196,911.71 $ 7.340,772.93

CATEGORIZATION OF INVESTMENTS Investments are summarized and classified as to custodial credit risk within the three categories described below:

Category 1 - Insured or registered, or securities held by the University or its agent in the University's name.

Category 2 - Uninsured and unregistered, with securities held by the counterparty's trust department or agent in :the University's name.

Category 3 - Uninsured and unregistered, with securities held by the counterparty, or by its trust department or agent but not in the University's name.

The carrying amounts of investment balances as ofJune 30, 1999, are categorized below:

- 13 -

COLUMBUS STATE UNIVERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30.1999

EXHIBIT "D"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS

CATEGORIZATION OF INVESTMENTS

Txpe ofInvestment
Common Stock Corporate Bonds Municipal Bonds U. S. Government Securities
Investments Not Subject to Categorizations:

Risk CateiOries

1

2

3

Carrying Amount

$ 634,637.00 $
10,100,00

$ 17,708,00
2.366.00

0.00 $

634,637.00 17,708.00 10,100.00 2,366.00

$ 644.737.00 $ 20.074.00 $,====0=.0=0 $ 664,811.00

Board ofRegents Balanced Income Fund Short-Term Investment Fund
Real Estate Mortgage
Total Investments

1,527,425.08 349,279.66 14,440.99
$ 2.555,956.73

NOTE 3: INVESTMENT IN PLANT

The following is a summary ofInvestment in Plant fixed assets as ofJune 30, 1999:

Land Buildings Improvements Other Than Buildings ' Equipment Library Books and Collections

$ 1,836,732.30 39,658,284.22 3,227,508.86 13,469,789.29 6.423.098.57

Total Investment in Plant

$64.615.413.24

NOTE 4: OPERATING LEASES

Coiumbus State University has entered into a certain agreement to lease equipment which is classified as an operating lease (leases on assets not recorded on the balance sheet). These leases generally contain provisions that, at the expiration date ofthe original term ofthe lease, the University has the option ofrenewing the lease on a year-to-year basis. Future minimum lease payments for the'operating lease as ofJune 30, 1999, is listed below. Amounts are included only for multi-year leases and for cancellable leases for which an option to renew for the subsequent fiscal year has been exercised.

-14 -

COLUMBUS STATE UNIVERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT "D"-

NOTE 4: OPERATING LEASES

Fiscal Year Ending June 30

2000

$ 9.523.80

Expenditures for rental of equipment under the operating lease for the year ended June 30, 1999, totaled $9,523.80.

NOTE 5: RISK MANAGEMENT

Columbus State University is a participant in the Board of Regents of the University System of Georgia Health Benefits Plan, which is. a self-insurance program of health and dental benefits for employees and retirees of the University System of Georgia. The University and participating employees and retirees pay premiums to the Health Benefits Plan for this health insurance coverage. The Health Benefits Plan is included in the financial statements of the Board of Regents of the University System of Georgia - Administrative Central Office. All units ofthe University System of Georgia share the risk of loss for claims of the Health Benefits Plan. The Health Benefits Plan is considered a self-sustaining risk fund that provides health coverage for its members up to a maximum lifetime benefit of $1,000,000.00 per person and dental coverage up to an annual maximum of$I,OOO.OO per person. The Board ofRegents has contracted with Blue Cross Blue Shield of Georgia to process claims in accordance with the Health Benefits Plan as established by the Board ofRegents.

The Department ofAdministrative Services (DOAS) has the responsibility for the State of Georgia ofmaking and carrying out decisions that will minimize the adverse effects of accidental losses that involve State government assets. The State believes it is more economical to manage its risks internally and set aside assets for claim settlement. Accordingly,. DOAS processes claims for risk of loss to which the State is exposed, including general liability, property and casualty, workers' compensation, unemployment compensation, and law enforcement officers' indemnification. Limited amounts of commercial insurance are purchased applicable to property, employee and automobile liability, fidelity and certain other risks. The University, as an organizational unit ofthe Board ofRegents ofthe University System of Georgia, is part of the State of Georgia reporting entity, and as such, is covered by the State of Geor~a risk management program administered by DOAS. Premiums for the risk management program are charged to the various state organizations by DOAS to provide claims servicing and claims payment.

A self-insured program of professional liability for its employees was established by the Board of Regents
of the University System of Georgia under powers authorized by the Official Code of Georgia Annotated Section 45-9-1. The program insures the employees to the extent that they are not immune from liability against personal liability for damages arising out of the performance oftheir duties or in any way connected therewith. The program is administered by DOAS as a Self-Insurance Fund.

- 15-

COLUMBUS STAIB UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS
. JUNE 30. 1999

EXHIBIT"D"

NOTE6: RETIREMENTPLANS
TEACHERS RETIREMENT SYSTEM OF GEORGIA
Plan Description Columbus State University participates in the Teachers Retirement System of Georgia (IRS), 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. IRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System ofGeorgia issues a separate stand alone financial audit report and a copy can be obtained from the Georgia Department ofAudits and Accounts.

Funding Policy

Employees ofthe University who are covered by IRS are required by State statute to contribute 5% oftheir

gross earnings to TRS. The University makes monthly employer contributions to TRS at rates adopted by

the IRS Board ofTrustees in accordance with State statute and as advised by their independent actuary. For

fiscal year 1999, the employer contribution rate was 11.95% for covered employees. In addition, the

University contributed 3.46% to the IRS on behalf of employees electing to participate in the Regents

Retirement Plan. Employer contributions for the current fiscal year and the preceding two fiscal years are as

~~:

.

Fiscal Year

Percentage Contributed

Required Contribution

1999 1998 1997

100% 100% 100%

$ 2,304,276.85 $ 2,140,330.44 $ 2,035,124.48

REGENTS RETIREMENT PLAN

Plan Description The Regents Retirement Plan, a single-employer defined contribution plan, is an optional retirement plan established and administered by the Board ofRegents ofthe University System of Georgia, under which it may purchase annuity contracts for the purpose ofproviding retirement and death benefits for eligible faculty and principal administrators. 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 ofthe annuity contracts.

Funding Policy Member contribution requirements are established by the Board of Trustees of the Teachers Retirement System. Employer contributions are established by statute and may be amended only by the General Assembly ofthe State of Georgia. The employer contributes 8.34% ofthe participating employee's earnable compensation. Employees contribute 5% oftheir earnable compensation. Amounts attributable to all plan
contributions are fully vested and non-forfeitable at a.l! times.

- 16-

COLUMBUS STATE UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30.1999

EXHIBIT"D"

NOTE 6: RETllWMENIPLANS
REGENTS RETIREMENT PLAN
Funding Policy The University and the covered employees made the required contributions of $313,121.00 (8.34%) and $187,722.25 (5%), respectively.
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description Columbus State University participates in the Georgia Defined Contribution Plan (GDCP) which is a singleemployer 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. Ifa 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 ofmaking 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 ofTrustees. 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 1999 amounted to $56,520.87 which represents 7.5% ofcovered payroll. These contributions met the requirements of the plan.
NOTE 7: LEAVEPOUCrnS
Employees earn annual leave ranging from one and one-quarter days to one and three-quarter days each month depending upon the employees' length ofcontinuous State service with maximum accumulation of forty-five days. Employees are paid for unused accumulated annual leave upon retirement or termination of employment. See Note 1- Basis of Accounting (Compensated Absences)
Employees earn one day of sick leave each month with no maximum accumulation established. Unused accumulated sick leave does not vest \Vith the employee and is forfeited upon retirement or termination of employment, except as noted in the subsequent paragraph.
- 17-

COLUMBUS STATE UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT "0"

NOTE 7: LEAVE POLICIES
Certain employees who retire with a minimum ofthree months ofunused sick leave are entitled to additional service credit in the Teachers Retirement System of Georgia.
NOTE 8: CONImGENCIES
Amounts received orreceivable 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 ofexpenditures which may be disallowed by the grantor cannot be detennined at this time although the University expects such amounts, if any, to be immaterial to its overall financial position.
Litigation, claims and assessments filed against Columbus State University (an organizational unit of the Board ofRegents ofthe University System of Georgia), if any, ar~ 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, 1999.
NOTE 9: POSTEMPLOYMENI 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 ofthe University System of Georgia. It is the policy of the Board ofRegents to permit employees ofthe University System of Georgia eligible for retirement or that become permanently and totally disabled to continue as members ofthe group health and life insurance programs. Employees who are eligible for retirement or disability under the criteria established by the Teachers Retirement System of Georgia and who have at least ten years ofservice with the University System of Georgia are eligible for these postemployment 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.
As ofJune 30, 1999, there were 124 employees who had retired or were disabled that were receiving these postemployment health and life insurance benefits. For the year ended June 30, 1999, Columbus State University recognized as incurred $277,124.35 of expenditures, which was net of $76,962.38 of participant contributions.

- 18-

COLUMBUS STATE UNNERSITY
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 1999

EXHIBIT"D"

NOTE 10: ENROLLMENT

The equivalent full-time student enrollment of Columbus State University was as follows:

Regular Tenn Fall Semester, 1998 Spring Semester, 1999

3,597
~

Average

Summer School, 1998

- 19-

SUPPLEMENTARY INFORMATION - 21 -

COLUMBUS STATE UNIVERSITY COMBINING BALANCE SHEET
CURRENT FUNDS - UNRESTRICTED JUNE 30, 1999

EXHIBIT "E".

ASSETS Cash and Cash Equivalents Accounts Receivable Inventories Prepaid Items
Total Assets

RESIDENT LOTIERYFOR AUXILIARY

STUDENT

INSTRUCTION EDUCATION ENTERPRISES ACTIVITIES

TOTAL

$ 1,856,989,46 $ 150,325,13 202,711,27 180,725,22

5,588.n $ 1,299,736.87 $ 368,131.12 $ 3,530,446.22

48,835.19

70.50

199,230.82

202,711.27

2,789.00

183,514.22

$ 2,390,751.08 $

5,588.n $ 1,351,361,06 $ 368,201.62 $ 4,115,902.53

LIABILITIES AND FUND BALANCES
Uabilities Accounts Payable Student Deposits Deferred Revenue Tuition and Fees
Total Uabilities
Fund Balances Unrestricted

$ 709,469,65 $ 1,310,00
1,460,105.32
$ 2,170,884.97 $

5,588.n $ 5,588.n $

3,767,36 $ 5,116,57 $ 723,942.35

50,120.00

51,430.00

163,543.14

38,288.95

1,661,937.41

217,430.50 $ 43,405.52 $ 2,437.309.76

219,866,11

0.00

1,133,930.56 324,796.10

1,678,592.n

Total Uabilities and Fund Balances

$ 2,390,751.08 $

5,588.n $ 1,351,361.06 $ 368,201.62 $ 4,115,902.53

See accompanying notes ancllnclepenclent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information,
-22-

COLUMBUS STATE UNIVERSITY COMBINING STATEMENT OF CHANGES IN FUND BALANCES
CURRENT FUNDS - UNRESTRICTED YEAR ENDED JUNE 30,1999

EXHIBIT"P

RESIDENT INSTRUCTION

LOITERYFOR EDUCATION

AUXILIARY ENTERPRISES

STUDENT ACTIVITIES

TOTAL

REVENUES AND OTHER ADDITIONS

Unrestricted Current Fund Revenues Adjustments
Prior Years' Expenditures/Accounts Payable

$ 39,100,728,20 $ 234,000,00 $ 1,838,605,12 $ 546,744,88 $ 41,720,078,20

21,242,91

518,42

1,430,67

23,192,00

Total Revenues and Other Additions $ 39,121,971,11 $ 234,000.00 $ 1,839,123,54 $ 548,175,55 $ 41,743,270,20

EXPENDITURES AND OTHER DEDUCTIONS

Educational and General Expenditures Auxiliary Enterprises Expenditures Remittances to the Board of Regents of the
University System of Georgia Prior Year's Unrestricted Fund Balance (Surplus)
Adjustments Prior Years' Revenues/Accounts Receivable

$ 39,086,385,50 $ 234,000,00

$ 529,617,63 $ 39,850,003,13

$ 1,842,127,14

1,842,127,14

11,685,52 574,00

410.38

359.41

12,095.90 933.41

Total Expenditures and Other Deductions

$ 39,098,645,02 $ 234,410,38 $ 1,842,486,55 $ 529,617.63 $ 41,705,159.58

TRANSFERS BETWEEN FUNDS

Nonmandatory Renewals and Replacements Capital Projects

$

-94,276,09

$

-94,276,09

-1,030,000,00 $ -6,640.00

-1,036,640.00

Total Transfers Between Funds

$ -1,124,276,09 $ -6,640.00 $ -1,130,916.09

Net Increase/(Decrease) for the Year $

23,326.09 $

-410.38 $ -1,127,639.10 $ 11,917,92 $ -1,092,805,47

FUND BALANCES JULY 1. 1998

196,540.02

410.38

2,261,569.66

312,878,18

2,771,398.24

FUND BALANCES JUNE 30,1999

$

219,866.11 $

0,00 $ 1,133,930.56 $ 324,796,10 $ 1,678,592.77

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
-23 -

COLUMBUS STATE UNIVERSITY COMBINING STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES.
AND OTHER CHANGES UNRESTRICTEP
YEAR ENDED JUNE 30. 1999

EXHIBIT"G"

Net Increasel(Decrease) in Fund Balances

$

23,326.09 $

-410.38 $ -1,127,639.10 $ 11,917.92 $ -1,092,805.47

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
25-

COLUMBUS STATE UNNERSITY

SCHEDULE "1"

SCHEDULE OF REQUlRED SupPLEMENTARY INFORMATION

YEAR 2000 DISCLOSURES

YEAR ENDED JUNE 30. 1999

The year 2000 issue is the result of shortcomings in many electronic data processing systems and other electronic equipment that may adversely affect the University's operations beyond calendar year 1999. The University has identified computer systems and other electronic equipment that may be effected by the year 2000 issue and that are necessary to conducting University operations. The following stages have been identified as necessary to implement year 2000 compliant systems.
Awareness Stage - Encompasses establishing a budget and project plan for dealing with the year 2000 issue.
Assessment Stage - The actual process ofidentifying all systems and individual components ofsystems to check for compliance.
Remediation Stage - The time when changes are made tq systems and equipment.
Validation/Testing Stage - The process of ensuring that the changes made to systems and equipment will produce a year 2000 compliant system.
It will be necessary for the University to progress through all four ofthese stages for each computer and/or electronic system, not already year 2000 compliant, in order to assure that these systems will not be adversely affected.
Columbus State University has identified the following financial systems requiring year 2000 remediation that are supported by the Board ofRegents, University System of Georgia and have been remediated by the Board.
The College and University Fund Accounting System has been remediated, validated and tested.
The Regents Budget Reporting System.is reportedly year 2000 compliant. The awareness, assessment, validation/testing phases were completed in 1997.
The Regents Payrol1/Personnel System has been remediated, validated and tested.
The Regents Property Inventory System is reportedly year 2000 compliant. The awareness, assessment, validation/testing phases were completed in 1997.
The Banner Student Infonnation System is supported by SCT Banner, Inc. The year 2000 version has been released and distributed to the University.

See accompanying notes and Independent Accountant's Combined Report on Review ofFinancial Statements and SupplementarY, Infonnation.
- 26-

COLUMBUS STATE UNNERSITY

SCHEDULE "1"

SCHEDULE OF REQ!JIRED SUPPLEMENTARY INFORMATION

YEAR 2000 DISCLOSURES

YEAR ENDED JUNE 30. 1999

The University has completed an inventory of computer systems and other equipment necessary to University .operations. Based on this inventory, the University is in the process of making deficient areas compliant. Following is a summary of systems likely to be affected by year 2000 and the status ofremediation, if any:
PC's and other computer hardware - The Computer Infonnation and Networking Services Department has been assigned to verify that all PC's are compliant. Testing/Validation is complete and management considers them year 2000 compliant.
Physical Plant Equipment - Plant Operations is responsible for assessing compliance for power systems, elevators, emergency generators, chiller and hot water systems. Validation and testing ofthese systems is complete and management considers them year 2000 compliant.
Auxiliary Services - Validation and testing for systems used in operational activities is complete and management considers them year 2000 compliant.
Because ofthe unprecedented nature ofthe year 2000 issue, its effects and the success ofrelated remediation efforts will not be fully detenninable until year 2000 and thereafter. While management is confident that the University will be year 2000 ready, it cannot assume that its remediation efforts will be successful in whole or in part, or that parties with whom the University does business will be year 2000 ready.

See accompanying notes and Independent Accountant's Combined Report )n Review ofFinancial Statements and Supplemental)' Infonnation.
- 27-

COLUMBUS STATE UNIVERSITY SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET
RESIDENT INSTRUCTION YEAR ENDED JUNE 30.1999

REVENUES
State Appropriations Other Revenues Retained

CURRENT FUNDS UNRESTRICTED RESTRICTED

PLANT FUNDS RENEWALS AND
UNEXPENDED REPLACEMENTS

$ 25,220,693.00

$ 918,600.00

13,880,035.20 $ 21,059,580.56

1,743,845.56 $

=.:0..=.;00:;...

EXPENDITURES
Personal Services: Education, General and Departmental Services Sponsored Operations
Operating Expenses: Education, General and Departmental Services Sponsored Operations
Capital Outlay Special Funding Initiative Year 2000 Project

- - - - - - $ 39,100,728.20 $ 21,059,580.56 $ 2,662,445.56 $

0.00

$ 28,185,890.76 $ 1,377,281.44

9,832,240.50
1,047,462.24 20,792.00

19,682,299.12 $ 2,669,079.28 $

274,543.25

$ 39,086,385.50 $ 21,059,580.56 $ 2,669,079.28 $ _ _;;;.27;...4;.:,;,54;,.;,,;;,;3';;;.25~

Excess of Revenues over Expenditures

$

14,342.70 $

(1) To eliminate tuition waivers not budgeted and to reclassify current year
transfers and prior year fund balances budgeted as revenues.

0.00 $

-6,633.72 $ ==.=27=4~,54==3.=25=

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
-28-

SCHEDULE "2"

TOTAL

ADJUSTMENTS (1)

TOTAL (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$ 26,139,293.00

$ 26,139,293.00 $ 26,139,293.00 $

0.00

36,683,461.32 $ -3,922,192.75 32,761,268.57 34,422,453.00

-1,661,184.43

$ 62,822,754.32 $ -3,922,192.75 $ 58,900,561.57 $ 60,561,746.00 $ -1,661,184.43

$ 28,185,890.76 1,377,281.44

$ 28,185,890.76 $ 28,456,802.00 $

1,377,281.44

1,622,709.00

9,832,240.50 $ 19,682,299.12 2,943,622.53 1,047,462.24
20,792.00

-4,203,376.00

5,628,864.50 19,682,299.12 2,943,622.53 1,047,462.24
20,792.00

5,919,122.00 20,014,473.00
3,501,025.00 1,047,615.00
0.00

270,911.24 245,427.56
290,257.50 332,173.88 557,402.47
152.76 -20,792.00

$ 63,089,588.59 $ -4,203,376.00 $ 58,886,212.59 $ 60,561,746.00 $ 1,675,533.41

$

-266,834.27 $

281,183.25 $ ==1=4~,34=8=.9=8=

$ ===14=,34===:8.:=98=

-29-

COLUMBUS STATE UNIVERSITY SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET
LOTTERY FOR EDUCATION YEAR ENDED JUNE 30. 1999

SCHEDULE -3-

REVENUES State Appropriations

CURRENT FUNDS PLANT FUNDS

TOTAL

UNRESTRICTED UNEXPENDED (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$

234,000.00 $

94,000.00 $ 328,000.00 $ 328,000.00 $

~O,_OO_

EXPENDITURES

Equipment, Technology and Construction

Trust Fund

$

Special Funding Initiatives

228,000.00 6,000.00 $

$ 228,000.00 $ 228,000.00 $

94,000.00

100,000.00 100,000.00

$

234,000.00 $

94,000.00 $ 328,000.00 $ 328,000.00 $

0.00 0.00
O~.;..OO,_

Excess of Revenues over Expenditures

$

0.00 $

0.00 $ ======0.:=00,=

$ =======0.:=00,=

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
- 31 -

COLUMBUS STATE UNIVERSITY CHANGES IN INVESTMENT IN PLANT
YEAR ENDED JUNE 30, 1999

Land Buildings Improvements Other Than Buildings Equipment Ubrary Books and Collections

BALANCE JULY 1,1998

CURRENT FUNDS

UNRESTRICTED

RESTRICTED

$ 1,836,732,30

35,660,198.14

3,180,700,86

12,935,521,22 $

686,711,58 $

196,078,88

6,291,310.81

131,870.88

$ 59,904,463.33 $

818,582.46 $===19=:6:=,0=78=:.8=:8=

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information,
- 32-

ADDITIONS

PLANT FUNDS

RENEWALS AND

UNEXPENDED

REPLACEMENTS

GEORGIA STATE FINANCING AND
INVESTMENT COMMISSION

$

2,622,271.28 $

46,808.00

57,187.95

180,550.89 $

1,088,397.91 $

67,005.69

PRIVATE GIFTS

DEDUCTIONS DISPOSALS! DELETIONS! ADJUSTMENTS

BALANCE JUNE 30,1999

$

1,836,732.30

111,866.00 $

5,000.00

39,658,284.22

3,227,508.86

268,593.64

741,309.67

13,469,789.29

18,451.20

18,534.32

6,423,098.57

$

2,726,267.23 $

247,556.58 $

1,088,397.91 $

398,910.84 $

764,843.99 $ 64,615,413.24

- 33-

COLUMBUS STATE UNIVERSITY SCHEDULE OF FUND BALANCES CURRENT FUNDS AND PLANT FUNDS
JUNE 30,1999

NET INVESTMENT IN PLANT Investment in Plant Facilities
RESTRICTED Designated for Subsequent Years' Expenditures
UNRESTRICTED Designated For Bus Replacement Reserve For Intercollegiate Athletics For Inventory Reserve For Renewals and Replacements Reserve For SUbsequent Years' Expenditures For Uncollectible Accounts Surplus Regular Lottery for Education

RESIDENT INSTRUCTION

CURRENT FUNDS UNRESTRICTED LOTIERY FOR AUXILIARY EDUCATION ENTERPRISES

STUDENT ACTIVITIES

$ 202,000.00

$

54,204.61

4,086,50

1,074,104,97 $ 324,645.60

5,620,98

150,50

13,n9,61

_ _ _ _ _ $ ---,;;,;O';';;'OO~

$ 219,866.11 $

.;.;O';';;'OO=- $ 1,133,930,56 $ 324,796,10

$ 219,866.11 $ =======0,=00= $ 1,133,930,56 $ 324,796,10

See accompanying notes and Independent Accountant's Combin~ Report on Review of Financial Statements and Supplementary Information,
-34-

SCHEDULE "5"

RESTRICTED

PLANT FUNDS UNEXPENDED
LOTIERY FOR RENEWALS AND REGULAR EDUCATION REPLACEMENTS

INVESTMENT IN PLANT

TOTAL

$ 64,615,413.24 $ 64,615,413.24

. $ 1,866,706.29

$ 1,866,706.29

$ 4,886.18 ___ $
$ 4,886.18 $
$ 1,866,706.29 $ 4,886.18 $

$

366,280.19

824,164.36

$ 366,280.19 54,204.61
202,000.00 824,164.36 1,398,750.57
9,857.98

.;;,;0..;;,;00;;... 0.00 $

1,190,444.55

18,669.79 0.00
$ 2,873,923.50

0.00 $

1,190,444.55 $ 64,615,413.24 $ 69,356,043.03

-35-

COLUMBUS STATE UNIVERSITY RECONCILIATION OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30,1999

SCHEDULE "6"

Totals per Annual Supplement

Accruals June 30,1998

Adjustments

Shared Services on Jointly Staffed Personnel

Coastal Georgia Community College

McGinnis, Callie B,

Stratford, Sandra K.

Georgia Institute of Technology

Berger, Elinor E.

Kao,

Tsun-Hsiung

Georgia Southwestern State University

Harbort, Gina

Prepaid Salaries June 30,1999

SALARIES
$ 24,298,729,71 $

TRAVEL 353,443.42

-5,332,50

-180,00 -180,00 -24,000,00 -24,000,00 17,150.02
-77,756,90

$ 24,184,430,33 $===3=53:=,44==3.=42=

See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information,
-36-

Totals per Annual Supplement
Adjustments Liston File

COLUMBUS STATE UNIVERSITY RECONCILIATION OF PER DIEM AND FEES
YEAR ENDED JUNE 30. 1999

SCHEDULE"r

TYPE PAYMENT Various

FEE AMOUNT

EXPENSE AMOUNT

$

882,878.84 $

91,358.20 $

TOTAL 974,237.04

-23,882.50

-23,882.50

$

858,996.34 $

91,358.20 $ ===9=50O,f3:=54;,,;:':;,54=

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-37-

SECTIONll AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS

COLUMBUS STATE UNNERSITY
AUDITEE'S RESPONSE
SUMMARy SCHEDULE OF PRIoR YEAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30. 1999

PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS

FINDING CONTROL NUMBER AND STATUS

FS-530-98-01

Partially Resolved - See Corrective Action/Responses

CORRECTIVE ACTIONIRESPONSES

EXPENDITURESILIABILITIESIDISBURSEMENTS Failure to Report Financial Aid Disbursements Finding Control Number: FS-530-98-01

A revised IncreaselDecrease Award Report was sub~itted to the Department of Education on February 4, 1999. This report lists all correctly calculated, intended and/or increase award recipients who did or did not appear on the final Student Payment Summary. In addition, this report lists all correctly calculated, decreased award recipients who appeared on the final Student Payment Summary. As a result of the revised award report, a request for increase in Federal Pell Grant authorization in the amount of $11,310.00 has been requested. The Department of Education is requiring an Audit Attestation. Upon submission of this report and subsequent approval from the Department of Education, funds in the amount of $11,310.00 will be requested, representing unreimbursed expenditures relative to 1996-1997 Pell Grant funding.