Review report. Georgia Perimeter College, Decatur, Georgia, year ended June 30, 1999 / State of Georgia

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REVIEWREPORT

STATEOF GEORGIA

GEORGIA PERIMETER COLLEGE

DECATUR, GEORGIA

YEARENDEDJUNE 30, 1999

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

GEORGIA PERIMETER COLLEGE - TABLE OF CONTENTS - ,

INDEPENDENT ACCOUNTANTS 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, EXPENDlTURES,

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, EXPENDITIJRES,

AND OTHER CHANGES

UNRESTRICTED

25

SCHEDULES

1 SCHEDULE OF REQUIRED SUPPLEMENTARYINFORMATION

26

SCHEDULES OF REVENUES AND EXPENDTIURES COMPARED TO BUDGET

2

RESIDENT INSTRUCTION

28

3.

LOTIERY 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 TRAVEL

36

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.w., Suite 214 Atlanta, Georgia 30334-8400
August 26, 1999

Honorable Roy E. Barnes, Governor Members of the General Assembly of Georgia Members of the Board of Regents of the University System ofGeorgia
and Honorable Jacquelyn M. Belcher, President Georgia Perimeter College

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 Georgia Perimeter College 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 information included in these financial statements is the. representation of the management of Georgia Perimeter College.

A review consists principally ofinquiries of College 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 of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

Based on our review, with the exception ofthe 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 conformity 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 College 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 $1,774,019.71 as of June 30, 1999, and the net change in fund balance for the year ended June 30,1999, would be decreased by $79,577.21.
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 conformity with generally accepted accounting principles. The year 2000 supplementary information on Schedule"1" is not a required part of the basic financial statements but is supplementary information required by the Governmental Accounting Standards Board. The accompanying combining statements (Exhibits E through G) and the fmancial schedules (Schedules 2 through 6) are presented for supplementary analysis purposes. Such information 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 sell W. Hinton State Auditor

FINANCIAL STATEMENTS - 1-

GEORGIA PERIMETER COLLEGE COMBINED BALANCE SHEET ALL FUND GROUPS JUNE 30,1999

ASSETS
Cashand Cash Equivalents Accounts Receivable Inventories Prepaid Items Due from Other Fund Groups Investment in Plant
Total Assets
LIABILITIES AND FUNDBALANCES
Liabilities Accounts Payable Deferred Revenue Tuition and Fees Deposits Held in Custodyfor Others Dueto Other Fund Groups Capital Lease Obligations
Total Liabilities
Fund Balances U. S. Government Grants Refundable Institutional Loans- Restricted Endowment Quasi-Endowment - Restricted Net Investment in Plant Restricted Unrestricted
Total Fund Balances
Total Liabilities and FundBalances

CURRENT FUNDS UNRESTRICTED RESTRICTED

LOAN FUNDS

$ 3,650,450.85 $ 142,146.53 231,745.75
1,182,631.18 685,550.41

12,410.54 $ 785,141.30

69,046.40 3,071.12

$ 5,892,524.72 $ 797,551.84 $ ======::::::7:=2::,:i1:::1:i:7::.i:5:=2==

$

1,712,229.03

3,628,275.66

$

685,550.41

$ 5,340,504.69 $

685,550.41

$

17,542.67 54,574.85

$

112,001.43

$

552,020.03

$

552,020.03 $

112,001.43 $

72,117.52

$ 5,892,524.72 $ 797,551.84 $ =========7=2:::,:1i::1::i7:::.i:5:=2==

See Independent Accountant's Combined Reporton Review of Financial Statements and Supplementary Information.
The notesto the financialstatements are an integral part of this statement. -2-

EXHIBIT "A"

ENDOWMENT AND SIMILAR
FUNDS

UNEXPENDED

PLANT FUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

AGENCY FUNDS

TOTAL (Memorandum
Only)

$ 50,150.81 $ 2,815,211.09 $

694,404.89

$ 771,192.86 $ 8,062,867.44

331,036.56

1,261,395.51

231,745.75

1,182,631.18

685,550.41

_ _ _ _ _ _ $ 126,529,287.54

126,529,287.54

$ 50,150.81$ 3,146,247.65 $

694,404.89 $ 126,529,287.54 $ 771,192.86 $ 137,953,477.83

$ 2,036,803.12 $

$ 2,036,803.12 $

$

38,740.22

11,410.59

$ 1,109,444.53 $

$

50,150.81 $ 1,109,444.53 $

101,973.81
$ 101,973.81 $

$ 463,753.81 $ 4,314,759.77

2,186,787.55

307,439.05

3,628,275.66 307,439.05 685,550.41
2,186,787.55

2,186,787.55 $ 771,192.86 $ 11,122,812.44

$ 124,342,499.99 592,431.08 592,431.08 $ 124,342,499.99

$

17,542.67

54,574.85

38,740.22

11,410.59

124,342,499.99

112,001.43

2,253,895.64

$ 126,830,665.39

$

50,150.81 $ 3,146,247.65 $

694,404.89 $ 126,529,287.54 $ 771,192.86 $ 137,953,477.83

-3-

GEORGIA PERIMETER COLLEGE COMBINED STATEMENT OF CHANGES IN FUND BALANCES
ALL FUND GROUPS YEARENDED JUNE30. 1999

REVENUES AND OTHER ADDITIONS
Unrestricted CurrentFundRevenues StateAppropriations
Regular LotteryProceeds Federal Grantsand Contracts StateGrantsand Contracts PrivateGifts, Grants, and Contracts Investment Income Endowment Other Intereston Loans Receivable Adjustments PriorYears'Expenditures/Accounts Payable PriorYears'ChecksVoided Expended for Plant Facilities CurrentFunds Plant Funds
Unexpended Renewals and Replacements Georgia State Financing and Investment Commission OtherAdditions Insurance Recoveries Proceeds from Sale of PlantAssets
Total Revenues and OtherAdditions
EXPENDITURES AND OTHERDEDUCTIONS
Educational and GeneralExpenditures AuxiliaryEnterprises Expenditures IndirectCostsRecovered Remittances to the Boardof Regents of the
University Systemof Georgia . PriorYear'sUnrestricted FundBalance (Surplus)
Adjustments PriorYears'Revenues/Accounts Receivable
Loan Cancellations and Write-Offs Expended for Plant Facilities
Capitalized Noncapltalized DisposalSlDeletionS/Adjustments
Total Expenditures and OtherDeductions
TRANSFERS BETWEEN FUNDS
Nonmandatory Renewals and Replacements
Net Inaeasel{Deaease) for the Year
FUNDBALANCES JULY 1. 1998

CURRENT FUNDS UNRESTRICTED RESTRICTED

LOAN FUNDS

$ 65,274,055.50

$ 7,026,449.05 2,990,270.47 32,816.24 $ 3,010.87
48,720.04 6,085.15

3,453.00
310.27 730.00

$ 65,328,860.69 $ 10,052,546.63 $ _ _..4..,:4..9l.3.=.2=7-

$ 64,121,004.32 $ 10,015,886.93 1,033,704.93 50,684.63
80,158.70
13,159.28 $

157.51

$ 65,248,02723 $ 10,066,571.56 $ _ _---:1~5=7...5:1...

$---2=8,5~ 71.~ 05

$

52,262.41 $

499,757.62

-14,024.93 $ 126,026.36

4,335.76 67,781.76

FUNDBALANCES JUNE30. 1999

$

See Independent AccountanfsCombined Reporton Review of Financial Statements and Supplementary Information.
The notesto the financial statements are an integralpart of this statement.

-4-

========== 552,020.03 $ 112,001.43 $

72,117.52

EXHIBIT"B"

ENDOWMENT AND SIMILAR
FUNDS

UNEXPENDED

PLANTFUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

TOTAL (Memorandum
Only)

$

0.00

$ 65,274,055.50

$ 2,625,150.47 275,000.00

2,625,150.47 275,000.00
7,026,449.05 2,990,270.47
36,269.24

347,175.38 $

11,089.71

3,010.87 358,575.36
730.00

1,185.90

49,905.94 6,085.15

$ 3,552,411.15

3,552,411.15

3,326,3n.49 55,701.00
5,556,157.96

3,326,377.49 55,701.00
5,556,157.96

389,002.75 16,479.19

389,002.75 16,479.19

$

0.00 $ 3,653,993.69 $

11,089.71 $ 12,490,647.60 $ 91,541,631.59

$

0.00

$ 74,136,891.25 1,033,704.93 50,684.63

$

6,591.92

86,750.62

13,159.28 157.51

3,326,3n.49 $ 326,430.30

55,701.00 62,248.81
$

1,699,057.52

3,382,078.49 388,679.11
1,699,057.52

$

0.00 $ 3,659,399.71 $

117,949.81 $ 1,699,057.52 $ 80,791,163.34

~~-

$---==..;2,;8;,5.;7;1...0;5;..

$ - - - - =0.-00-

$

0.00 $

-5,406.02 $

-78,289.05 $ 10,791,590.08 $ 10,750,468.25

50,150.81

1,114,850.55

670,720.13 113,550,909.91 116,080,197.14

$

50,150.81 $ 1,109,444.53 $

592,431.08 $ 124,342,499.99 $ 126,830,665.39

-5-

GEORGIA PERIMETER COLLEGE STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES,
AND OTHERCHANGES YEARENDED JUNE 30,1999

EXHIBIT"C"

REVENUES
State Appropriations Tuition and Fees Federal Grantsand Contracts State Grants and Contracts Private Gifts, Grants,and Contracts Endowment Income Salesand Servicesof Educational Activities Salesand Servicesof AuxiliaryEnterprises Other Sources
Total Revenues
EXPENDITURES
Educational and General Instruction Public Service Academic Support Student Services InstitutionalSupport Operationand Maintenance of Plant Scholarships and Fellowships
AuxiliaryEnterprises Food Services Stores and Shops Intercollegiate Athletics Other Service Units
Total Expenditures
OTHERTRANSFERS AND ADDITIONS/(DEDUCTIONS)
Excessof RestrictedReceiptsover Transfersto Revenues
Transfers for Renewals and Replacements Prior PeriodAdjustments (Net) Remittances to the Board of Regents
of the UniversitySystemof Georgia Prior Year's Unrestricted Fund Balance (Surplus)
Total Other Transfersand Additions/(Deductions)

UNRESTRICTED

RESTRICTED

TOTAL (Memorandum
Only)

$ 44,671,732.53 17,908,958.77 51,155.63 $
1,259,420.67 806,510.34 576,277.56

$
6,973,709.61 2,986,063.13
52,614.19 3,500.00

$ 65,274,055.50 $ 10,015,886.93 $

44,671,732.53 17,908,958.77 7,024,865.24 2,986,063.13
52,614.19 3,500.00
1,259,420.67 806,510.34 576,277.56
75,289,942.43

$ 30,574,646,51 $ 202,819.68
6,582,038.29 6,649,716.80 12,527,896.52 7,172,913.67
410,972.85

39,107.84 $
139,152.84 60,487.51
298,337.11
9,478,801.63

147,332.39 190,882.02 553,795.29 141,695.23

$ 65,154,709.25 $ 10,015,886.93 $

30,613,754.35 202,819.68
6,721,191.13 6,710,204.31 12,826,233.63 7,172,913.67 9,889,774.48
147,332.39 190,882.02 553,795.29 141,695.23
75,170,596.18

$

-14,024.93 $

$

-28,571.05

41,645.91

-14,024.93 -28,571.05 41,645.91

-80,158.70

$

-67,083.84 $

-14,024.93 $

-80,158.70 -81,108.77

Net Increasel(Decrease) in Fund Balances

$

52,262.41 $

See Independent Accountant's Combined Reporton Reviewof Financial Statements and Supplementary Information.

The notes to the financialstatementsare an integral part of this statement. -7-

-14,024.93 $ ==========3'8::=,2:13:=7=.=4=8=

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1999

EXHIBIT"D"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY Georgia Perimeter College (formerly DeKalb College) is one of thirty-four (34) State supported member institutions of higher education in Georgia which comprise the University System of Georgia, an organizational unit ofthe State of Georgia The accompanying financial statements reflect the operations of Georgia Perimeter College as a separate reporting entity.
The Board of Regents 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. Georgia Perimeter College does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Georgia Perimeter College is considered an organizational unit of the Board ofRegents of the University System of Georgia reporting entity for financial reporting purposes 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 Rsa>orting Standards.
FUND ACCOUNTING In order to ensure observance of limitations and restrictions placed on the use of the resources available to the College, the accounts ofthe College are maintained in accordance with the principles of fund accounting. This is the procedure by which resources for various purposes are classified for accounting and reporting purposes 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 College's fund balance allocations and designations represent those portions of the 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 College retains full control to use for purposes ofperforming the primary functions ofthe College, e.g., instruction, public service, auxiliary enterprises and student activities.
RESTRICTED - The fund used to record externally restricted funds which may only be utilized in accordance with the-purposes established by their source. Restricted current funds are recorded as
revenues and expenditures when expended for current operating purposes,
-8-

GEORGIA PERIMETER COLLEGE
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 AND SIMILAR FUNDS
The fund used to account for endowment funds and quasi-endowment funds. Endowment funds are subject to the restrictions of gift instruments requiring that the principal be invested in perpetuity and income only be utilized. While quasi-endowment funds have been established by the College for the same purposes as endowment funds, any portion ofquasi-endowment funds may be expended. Restricted quasiendowment funds may be expended only for the purposes established by the source of such funds.
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 INPLANT- The fund which shows the total amounts representing, the book value of all physical properties owned by the College. Net Investment in Plant is an equity account showing the total book value ofphysical properties belonging to the College less the amount of any indebtedness to others.
AGENCY FUNDS
The fund used to account for resources held by the College 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 accmal 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.

-9-

GEORGIA PERIMETER COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30.1999

EXHIBIT "D"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTINGPOLICIES

BASIS OF ACCOUNTING Contractual obligations for goods and services which have not been received at the end of the fiscal year are recognized as expenditures and liabilities in the accompanying financial statements. This accountingpractice causes expenditure-driven grant revenuesto be accruedbased, in part, on the unexecutedportion of contracts for goods and services. The recognition ofencumbrances as expenditures and liabilities is in conformitywith accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but is not consistentwith generally accepted accountingprinciples, which provide for the recording of encumbrances as a reservationoffund balance. Further,revenuerecognition for expenditure-driven grants should be based upon expenditures determined in accordancewith generally accepted accounting principles.

Compensated absences represent obligations of the College 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 compensatedabsencesliabilityof$l,774,019.71 and a relatednet currentyear expenditure of$79,577.21 have not been reported in the currentfunds as required by generallyaccepted accounting principles.

Prior period adjustments and certain other items are reported as additions to and.deductions from fund

balances of current 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 generallyaccepted accountingprinciples 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 ofthe financial statements.

.

To the extent that Current Funds and Plant Funds are used to finance plant assets, the amounts so provided are accountedfor as'expenditures. The balances shown on the Combined Balance Sheet as Net Investment in Plant reflect the accumulated expenditures made for plant facilities throughCurrentFunds and Plant Funds and also include expenditures made for plant facilities expended by the Georgia State Financing and InvestmentCommissionon behalf ofthe College. Donatedfixed assets are recorded at fair market value on the date donated. Disposals are deleted at recordedvalues. No depreciationhas been provided on physical plant and equipment.

It is the policy of Georgia Perimeter College to record assets acquired through capital leases as additions to Investmentin Plant when receivedat the total acquisition cost including interest. The liabilityfor such leases at fiscal year-end is recorded in Investment in Plant including interest. This presentation differs from generallyacceptedaccountingprinciples in that the assetsand the relatedliabilityresultingfrom capital leases should be recorded in Investment in Plant at the inception of the agreement at the net present value of the future minimum lease payments, not to exceed the fair value of the leased property. The effect of this departure is deemed to be immaterial to the fair presentationofthe financial statements.

-10 -

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 1999

EXHIBIT"D"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF ACCOUNTING The Statement of Current Funds Revenues, Expenditures, and Other Changes is a statement of financial activities of current 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 of Georgia. 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 allocation 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.

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 Capital Outlay Year 2000 Project

$ 127,118.60 $ 20,000.00

Lottery for Education . Special Funding Initiative .

87.95

These overexpenditures ofbudget constitute a violation of Board of Regents policy, but do not constitute statutory violations of budget authority. Statutory violations ofbudget authority are reported at the Board object class level.

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

ACCOUNTS RECEIVABLE
Accounts receivable consist of allotments due from the Board of Regents of the University System of Georgia - Administrative Central Office, 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.

- 11-

GEORGIA PERIMETERCOLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30. 1999

EXHIBIT"D"

NOTE 1: SUMMARy OF SIGNIFICANT ACCOUNTING POLICIES
INVENTORIES Inventories of consumable supplies are recorded on the consumption method and are valued at cost on the CombinedBalance Sheet using the first-in, first-out method.
PREPAID ITEMS Prepaiditems are payments made to vendors in advance ofthe receipt of goods and services that will benefit periods subsequentto 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. Interfund eliminations have not been made in the aggregation of this data.
NOTE 2: CUSTODIAL CREPIT RISKS OF CASH DEPOSITS AND INVESTMENTS
STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES. Funds belonging to the StateofGeorgia cannotbe placedin a depository payinginterestlongerthan ten days without the depository providing a surety bond to the State. In lieu of a surety bond, the depository may pledgeas collateral anyone or more ofthe following securities as enumerated in the Official Code ofGeorgia Annotated Section 50-17-59:
(1) Bonds,bills, certificates ofindebtedness, notes, or other direct obligationsofthe United States or ofthe State of Georgia.
(2) Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities ofthe State of Georgia.
(3) Bonds ofanypublicauthority created by the lawsofthe StateofGeorgia, providingthat the statute that created the authorityauthorized the use ofthe bonds for this purpose.
(4) Industrial revenuebonds and bonds ofdevelopment authorities createdby the laws of the State of Georgia.
(5) Bonds,bills, certificates ofindebtedness, notes, or otherobligations ofa subsidiarycorporationof the United States government, which are fully guaranteed by the United States governmentboth as to principaland interest, or debtobligations issuedby the FederalLandBank,the FederalHome Loan Bank, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm CreditBanks,the FederalHomeLoanMortgage Association, and the Federal National Mortgage Association.
-12 -

GEORGIA PERIMETER COLLEGE
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 (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 of the 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 information about the extent to which such deposits are exposed to custodial credit risk:

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

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

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

Cash Deposits

Carrying Amount

Bank Balances

Risk Categories

2

3

s s 5.535.484.86 7.228,303.83 $ 121.228.50 s 7,107,075.33 $=====0.0=0

CATEGORIZATION OF INVESTMENTS At June 30, 1999, the carrying amount of the College's total investments was $2,493,882.58 and consisted entirely of funds in the State Investment Pool administered by the State of Georgia Office of Treasury and Fiscal Services which are not required to be categorized since the College did not own any specific identifiable securities in the pool.

- 13 -

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30,1999

EXHIBIT"D"

NOTE 3: INVESTMENT IN PLANT

The following is a summary of Investment in Plant fixed assets as of June 30, 1999:

Land Buildings Improvements Other Than Buildings Equipment Library Books and Collections

$ 4,220,775.73 87,706,384.62 6,011,297.50 17,903,667.62 10.687,162.07

Total Investment in Plant

$126.529.287,54

NOTE 4: OPERATING LEASES

Georgia Perimeter College has entered into certain agreements to lease buildings which are classified as operating leases (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 College has the option ofrenewing the lease on a year-to-year basis. Future minimum lease payments for operating leases as of June 30, 1999, are 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.

Fiscal Year Ending June 30

2000

$ 1.624.755.48

Expenditures for rental of buildings under operating leases for the year ended June 30, 1999, totaled $1,671,006.83.

NOTE 5: CAPITAL LEASES

Georgia Perimeter College acquires equipment through multi-year capital leases with varying terms and options. These agreements contain fiscal funding clauses in accordance with Official Code of Georgia Annotated Section 50-5-64 which prohibits the creation of a debt to the State of Georgia for the payment of any sums under such agreements beyond the fiscal year of execution if appropriated funds are not available. Ifrenewal of such agreementsis reasonably assured, however, capital leases requiring appropriation by the .. General Assembly of Georgia are considered noncancellable for financial reporting purposes.

As of June 30, 1999, future minimum lease payments under capital leases are as follows:

-14-

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 1999

EXHIBIT"D"

NOTE 5: CAPITAL LEASES

Fiscal Year Endin~ June 30

2000 2001 2002

$ 1,225,384.95 886,419.60 74,983.00

Total Future Minimum Lease Payments

$ 2,186,787.55

NOTE 6: RISK MANAGEMENT

Georgia Perimeter College is a participant in the Board ofRegents ofthe University System ofGeorgia 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 College 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 ofthe 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$l,OOO,OOO.OO per person and dental coverage up to an annual maximum of $1,000.00 per person. The Board of Regents 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 College, as an organizational unit of the Board of Regents of the University System of Georgia, is part of the State of Georgia reporting entity, and as such, is covered by the State of Georgia 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 ofprofessional 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 ofthe performance of their duties or in any way connected therewith. The program is administered by DOAS as a Self-Insurance Fund.

- 15 -

GEORGIA PERIMETER COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30. 1999

EXHIBIT"D"

NOTE 7: RETmEMENIPLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA

Plan Description Georgia Perimeter 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 Georgia Department ofAudits and Accounts.

Funding Policy Employees of the College who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. The 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 1999, the employer contribution rate was 11.95% for covered employees. In addition, the College contributed 3.46% to the TRS on behalfof employees electing to participate in the Regents Retirement Plan. Employer contributions for the current fiscal year and the preceding two fiscal years.are as follows:

Fiscal Year

Percentage Contributed

Required Contribution

1999 1998 1997

100% 100% 100%

$ 3,260,159.89 $ 3,143,221.66 $ 3,167,089.33

REGENTS RETIREMENT PLAN

Plan Description The Regents Retirement Plan, a single-employer defined contribution plan, is an optional retirement plan establishedand 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 ofTrustees of the Teachers Retirement System. Employer contributions are established by statute and may be amended only by the General Assembly ofthe State ofGeorgia. The employer contributes 8.34% ofthe participating employee's earnable compensation. Employees contribute 5% of their earnable compensation. Amounts attributable to all plan contributions are fully vested and non-forfeitable at all times.

-16 -

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30. 1999

EXHIBIT "D"

NOTE 7: RETIREMENT PLANS
REGENTS RETIREMENT PLAN
Funding Policy The College and the covered employees made the required contributions of $622,165.37 (8.34%) and $372,508.93 (5%), respectively.
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description Georgia PerimeterCollege 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 coveragefor 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 ofthe Employees' Retirement Systemof Georgia.
Benefits A member may retire and elect to receiveperiodicpayments after attainment of age 65. The paymentwill be based upon mortalitytablesand interest assumptions to be adopted by the BoardofTrustees. Ifa member has less than $ 3,500.00 credited to his/heraccount, the BoardofTrustees has the option ofrequiringa lump sum distribution to the memberin lieu ofmakingperiodic payments. Upon the death of a member, a lump sum distribution equalingthe 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. Contributionrates are established by State statute. Earnings are creditedto each member's account in a mannerestablished by the BoardofTrustees. Upontermination of employment, the amount of the member's account is refundable upon requestby the member.
Total contributions made by employees during fiscal year 1999 amounted to $448,097.00 which represents 7.5% of coveredpayroll. These contributions met the requirements ofthe plan.
NOTE 8: LEAVEPOLICIES
Employees earn annual leaveranging fromoneandone-quarter days to oneandthree-quarter days eachmonth depending upon the employees' lengthofcontinuous Stateservice with maximum accumulation offorty-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 with the employee and is forfeited upon retirement or termination of employment, except as noted in the subsequent paragraph.
- 17-

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30. 1999

EXHIBIT "D"

NOTE 8: LEAVEPoucrns
Certainemployees who retirewith a minimumofthreemonthsofunusedsick leave are entitledto additional service credit in the TeachersRetirement Systemof Georgia.
NOTE 9: CONTINGENCrnS
Amounts receivedor receivable fromgrantor agencies are subjectto auditand adjustment by grantoragencies. This could result in refunds to the grantor agency for any expenditures which are disallowed under grant terms, The amountofexpenditures whichmaybe disallowed by the grantor cannotbe determined at this time although the College expects such amounts, if any, to be immaterialto its overall financial position.
Litigation, claims and assessments filed against Georgia Perimeter College (an organizational unit of the Board ofRegents ofthe University System ofGeorgia), ifany, are generally considered to be actions against the State of Georgia. Accordingly, significantlitigation, claims and assessments pending against the State ofGeorgiaare disclosedin the State of GeorgiaComprehensive Annual Financial Report for the fiscal year ended June 30, 1999.
NOTE 10: POSTEMPLQYMENT BENEFITS OTHERTHAN PENSIONBENEFITS
Pursuant to the general powers conferredby the Official Code of GeorgiaAnnotated Section 20-3-31, the Board of Regents of the University System of Georgia has established group health and life insurance programsfor regularemployees ofthe University System ofGeorgia. It is the policyofthe Board ofRegents to permit employees ofthe University System ofGeorgia eligible for retirementor that become permanently and totallydisabledto 'continue as members ofthe group healthand life insurance programs. Employees who are eligible for retirement or disabilityunder the criteria established by the TeachersRetirement System of Georgiaand who have at leastten yearsofservice with the University System ofGeorgia are eligiblefor these postemployment health and life insurance benefits. Organizationalunits of the Board of Regents of the University System of Georgiapay the employerportion for groupinsurance for affected individuals.
As ofJune 30,1999, there were 166 employees who had retired or were disabled that were receiving these postemployment health and life insurancebenefits. For the year ended June 30, 1999, Georgia Perimeter College recognized as incurred $322,516.92 of expenditures, which was net of $81,173.04 of participant contributions.
NOTE 11: ENROLLMENT
The equivalent :full-time student enrollment of GeorgiaPerimeterCollegewas as follows:
" "

- 18-

GEORGIA PERIMETER COLLEGE
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30. 1999

NOTE 11; ENROLLMENT
Regular Term Fall Semester, 1998 Spring Semester, 1999
Average
Summer School, 1998

8,219 8.281

EXHIBIT"D"

- 19-

supPLEMENTARY INFORMATION - 21-

GEORGIA PERIMETER COLLEGE COMBINING BALANCE SHEET
CURRENT FUNDS - UNRESTRICTED JUNE30. 1999

EXHIBIT "E"

ASSETS
Cashand CashEquivalents Accounts Receivable Inventories Prepaid Items Duefrom OtherFundGroups

RESIDENT

LOTTERY FOR

AUXILIARY

INSTRUCTION EDUCATION ENTERPRISES

STUDENT ACTIVITIES

TOTAL

$ 2,908,958.87 $ 114,134.63 231,745.75
1,181,185.60 685,550.41

28,170.86 $

226,174.80 $ 487,146.32 $ 3,650,450.85

27,811.90

200.00

142,146.53

231,745.75

615.58

830.00 1,182,631.18

685,550.41

Total Assets

$ 5,121,575.26 $

28,170.86 $ 254,602.28 $ 488,176.32 $ 5,892,524.72

LIABILITIES AND FUNDBALANCES
Uabilities Accounts Payable Deferred Revenue Tuitionand Fees
Total Uabilities
FundBalances Unrestricted

$ 1,585,079.72 $ 3,207,126.n
$ 4.792,206.49 $
329.368.n

27,765.41 $ 27,765.41 $

82,315.91 $ 17,067.99 $ 1,712,229.03

92,102.64 329,046.25 3,628,275.66

s 174,418.55 $ 346,114.24

5,340,504.69

405.45

80,183.73

142,062.08

552,020.03

Total Uabilitiesand FundBalances

$ 5,121,575.26 $ 28,170.86 $ 254,602.28 $ 488,176.32 $ 5,892,524.72

see accompanying notesand Independent Accountanfs Combined Report
on Reviewof Financial Statements and Supplementary Information.
-22-

GEORGIA PERIMETER COLLEGE COMBINING STATEMENT OF CHANGES IN FUNDBALANCES
CURRENT FUNDS - UNRESTRICTED YEAR ENDED JUNE30, 1999

EXHIBIT"F"

RESIDENT INSTRUCTION

LOTTERY FOR

AUXILIARY

EDUCATION ENTERPRISES.

STUDENT ACTIVITIES

TOTAL

REVENUES AND OTHERADDITIONS

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

$ 62,837,213.43 $
32,840.73 6,085.15

46,500.00 $ 1,066,109.70 $ 1,324,232.37 $ 65,274,055.50

14,537.22

1,342.09

48,720.04 6,085.15

Total Revenues and OtherAdditions $ 62,876,139.31 $

46,500.00 $ 1,080,646.92 $ 1.325.574.46 $ 65,328,860.69

EXPENDITURES AND OTHER DEDUCTIONS

Educational and GeneralExpenditures AuxiliaryEnterprises Expenditures Remittances to the Boardof Regents of the
UniversitySystemof Georgia Prior Year's Unrestricted FundBalance (Surplus)
Adjustments Prior Years' Revenues/Accounts Receivable

$ 62,813,370.28 $

46,094.55

$ 1,261.539.49 $ 64,121,004.32

$ 1,033,704.93

1,033,704.93

78,259.24 3,239.32

1,899.46

9,670.12

249.84

80,158.70 13.159.28

Total Expenditures and Other Deductions

$ 62,894,868.84 $

47,994.01 $ 1,043,375.05 $ 1,261,789.33 $ 65,248,027.23

TRANSFERS BEnNEEN FUNDS

Nonmandatory ReneWals and Replacements

$

-28,571.05

$

-28,571.05

Net Increasel(Decrease) for the Year $

-18,729.53 $

-1,494.01 $

8,700.82 $ 63,785.13 $

52,262.41

FUNDBAlANCES JULY 1,1998

348,098.30

1,899.46

71,482.91

78,276.95

499.75762

FUNDBALANCES JUNE 30. 1999

$ 329,368.77 $

405.45 $

80,183.73 $ 142,062.08 $ 552,020.03

See accompanying notes and Independent AccountanfsCombined Report . on Reviewof FinancialStatements and Supplementary Information.
-23 -

GEORGIA PERIMETER COLLEGE COMBINING STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES,
AND OTHER CHANGES UNRESTRICTED
YEARENDED JUNE30,1999

EXHIBIT"G"

REVENUES
State Appropriations Tuitionand Fees Federal Grantsand Contracts Salesand Servicesof Educational Activities Salesand Servicesof AuxiliaryEnterprises OtherSources
Total Revenues
EXPENDITURES
Educational and General Instruction Public Service AcademicSupport StudentServices Institutional Support Operationend Maintenance of Plant Scholarships and Fellowships
AuxiliaryEnterprises FoodServices Storesand Shops Intercollegiate Athletics Other Service Units
Total Expenditures
OTHERTRANSFERS AND APDlTlONSIIDEDUCTIONSl
Transfersfor Renewals and Replacements Prior PeriodAdjustments (Net) Remittances to theBoardof Regents
of theUniversitySystemof Georgia .PriorYear's Unrestricted FundBalance (Surplus)
Total OtherTransfersand Additionsl(Deductions)

RESIDENT INSTRUCTION

LOTTERY FOR

AUXILIARY

EDUCATION

ENTERPRISES

STUDENT ACTIVITIES

TOTAL

s 44,625.232,53 $
16.640.788,17 51,155.63
1.259.420.67
260,616.43
$ 62,837,213.43 $

46,500,00
s

$ 44.671,732,53

$ 1.268,170.60

17,908,958.77

51,155.63

1,259,420.67

806.510.34

806,510.34

259,599.36

56,061.77

576,277.56

46,500.00 $ 1.066,109.70 $ 1.324,232.37 $ 65,274,055.50

$ 30.528.551.96 $ 202,819.68
6,582,038.29 5,388.177.31 12.527.896.52 7,172,913.67
410.972.85
$ 62.813,370.28 $

46,094.55

s 30.574,646.51

202,819.68

s 1,261,539.49

6,582,038.29 6,649,716.80

12.527.896.52

7.172,913.67

410,972.85

$ 147.332.39 190.882.02 553,795.29 141.695.23

147.332.39 190,882.02 553.795.29 141.695.23

46,094.55 $ 1.033,704.93 $ 1,261,539.49 $ 65.154.709.25

$

35,686.56

$

-28.571.05

4.867.10 $

$ 1.092.25

-28.571.05 41,645.91

-78.259.24 $

-1.899.46

-80,158.70

$

-42.572.68 $

-1.899.46 $

-23,703.95 $

1,092.25 $

-87,083.84

Net Increasel(Decrease) in Fund Balances

$

-18,729.53 $

-1.494.01 $

8,700.82 $

63.785.13 $ _ _5iiO2O,2l:62.4_1_

See accompanying notesand Independent AccountanfsCombined Report on Reviewof Financial Statements and Supplementary Information.
-25-

GEORGIA PERIMETER COLLEGE

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 College's operations beyond calendar year 1999. The Collegehas identifiedcomputersystems and otherelectronic equipment that may be affected by the year2000 issue and are necessary to conducting College operations. The following stages have been identified as necessary to implement year 2000 compliant systems.

AwarenessStage - Encompasses establishing a budget and project plan for dealing with the year 2000 issue.

AssessmentStage- The actualprocessof identifying all systems and individual components ofsystems to check for compliance.

Remediation Stage - The time when changes are made to systems and equipment.

Validation/Testing Stage - The process of ensuring that the changesmade to systems and equipment will produce a year 2000 compliant system.

It will be necessary for the College to progress through all four of these stages for each computer and/or

electronic system,not alreadyyear2000 compliant, in orderto assurethat these systemswill not be adversely

affected.

"

The College has completed an inventory of computer systems and other electronic equipment that may be affectedby the year2000 issue and that are necessary to conducting our operations. The following financial systems have been remediated by the Board ofRegents,University System of Georgia.

The College and University Fund AccountingSystemhas been remediated, validated and tested.

The Regents BudgetReporting Systemis reportedly year2000 compliant. The awareness, assessment, validation! testing phases were completedin 1997.

TheRegents PayrolllPersonnel Systemis reportedly year2000 compliant. The awareness, assessment,

validation!testing phases were completedin 1999.

"

""The RegentsPropertyInventorySystemis reportedly year2000 compliant. The awareness, assessment, validation!testing phases were completedin 1997.

The Banner StudentInformation Systemis supported by SCT Banner, Inc. The year 2000 version has been released and distributed to the College.

See accompanyingnotes and IndependentAccountant's CombinedReport on Review ofFinancial Statements and Supplementary,Information.
- 26-

GEORGIA PERIMETER COLLEGE

SCHEDULE "1"

SCHEDULE OF REQUIRED SupPLEMENTARY INFORMATION

YEAR 2000 DISCLOSURES

YEAR ENDED JUNE 30. 1999

The College has completed an inventory of computer systems and other equipment necessary to College operations. Based on this inventory, the College 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 of remediation, if any:
PC's and other computer hardware - The manufacturer has certified that the PC's used by the College are compliant. The Office of Information Technology has assessed all other hardware at the College and has either remediated or identified all risks and prepared appropriate contingency plans.
Physical Plant Equipment - Plant Operations is responsible for assessing compliance for power systems, elevators, emergency generators, chiller and hot water systems. Testing and validation ofthese systems has been completed and certified with the Board ofRegents Y2K Project Office.
Auxiliary Services - The Bookstore, Health Center, Food Services and other similar operational activities ofthe campus have been researched, tested and validated including such items as point ofsale cash registers and student ID card systems.
Because ofthe unprecedented nature ofthe year 2000 issue, its effects and the success ofrelated remediation efforts will not be fully determinable until year 2000 and thereafter. While management is confident that the College 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 College does business will be year 2000 ready. .

See accompanying notes and Independent Accountant's Combined Report on Review ofFinancial Statements and Supplementary Information.
- 27-

GEORGIA PERIMETER COLLEGE SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET
RESIDENT INSTRUCTION YEARENDED JUNE30, 1999

REVENUES
State Appropriations OtherRevenues Retained

CURRENT FUNDS UNRESTRICTED RESTRICTED

PLANTFUNDS RENEWALS AND
UNEXPENDED REPLACEMENTS

$ 44,625,232.53

$ 2,625,150.47

18,211,980.90 $ 10,015,886,93

752,657.32 $ _ _--'1-~1;,,0;8;.9;,.7;.1."-

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

----'----- $ 62,837,213.43 $ 10,015,886.93 $ 3,377,807.79 $

11,089.71

$ 47,991,208.74 $
14,643,691.54
158,470.00 20,000.00

153,515.02
9,862,371.91 $ 3,377,807.79 $

117,949,81

$ 62,813,370.28 $ 10,015,886.93 $ 3,377,807,79 $ _ _..1.;1..7.;,.9;.4.:9.;,;8..1.;~"-

Excess of Revenues over Expenditures

$

23,843.15 $

0,00 $

0.00 $ =====-1=0=6,=86=0=.1=0=

(1) To eliminatetuitionwaiversnot budgeted ana toredassify prioryearfund balances bUdgeted as revenues.

See accompanying notes and Independent Accountant's Combined Report on Reviewof Financial Statements and Supplementary Information.
-28-

SCHEDULE "2"

TOTAL

ADJUSTMENTS (1 )

TOTAL (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$ 47,250,383.00 28,991,614.86 $

$ 47,250,383.00 $ 47,250,383.00 $ -304,112.75 28,687,502.11 32,035,798.00

0.00 -3,348,295.89

$ 76,241,997.86 $

-304,112.75 $ 75,937,885.11 $ 79,286,181.00 $ -3,348,295.89

$ 47,991,208.74 153,515.02
14,643,691.54 $ 9,862,371.91 3,495,757.60
158,470.00 20,000.00

$ 47,991,208.74 $ 48,720,521.00 $

153,515.02

199,881.00

-410,972.85

14,232,718.69 9,862,371.91 3,495,757.60 158,470.00 20,000.00

15,551,469.00 11,090,119.00 3,368,639.00
355,552.00

729,312.26 46,365.98
1,318,750.31 1,227,747.09 -127,118.60
197,082.00 -20,000.00

$ 76,325,014.81 $

-410,972.85 $ 75,914,041.96 $ 79,286,181.00 $ _--'3-,-3'7'2'',1-3-9_.0_4

$ -83,016.95 $

106,860.10 $ c=====23=,=8=4=3=.1:.5o=

23,843.15

-29-

GEORGIA PERIMETER COLLEGE SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET
LOTIERY FOR EDUCATION YEAR ENDED JUNE 30,1999

SCHEDULE "3"

REVENUES State Appropriations

CURRENT FUNDS UNRESTRICTED

PLANT FUNDS UNEXPENDED

TOTAL (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$

46,500.00 $ 275,000.00 $ 321,500.00 $ 321,500.00 $

0.00_

EXPENDITURES

Equipment, Technology and Construction

Trust Fund

$

Special Funding Initiative

24,506.60 $
21,587.95

185,000.00 $
90,000.00

209,506.60 $ 210,000.00 $

111,587.95

111,500.00

$

46,094.55 $ 275,000.00 $ 321,094.55 $ 321,500.00 $

493.40 -87.95
40~ 5.4_ 5

Excess of Revenues over Expenditures

$

405.45 $

0.00 $====4=0=5.=45=

$ = = = = =4=05=.45=

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

GEORGIA PERIMETER COLLEGE CHANGES IN INVESTMENT IN PLANT
YEAR ENDED JUNE 30,1999

Land Buildings Improvements Other Than Buildings Equipment Library Books and Collections
SUMMARY OF INVESTMENT College Capital Leases

BALANCE JULY 1,1998

CURRENT FUNDS UNRESTRICTED

PLANT UNEXPENDED

$

4,220,775.73

80,982,608.59 $

63,340.43 $

2,298,252.35

4,993,049.42

55,241.99

963,006.09

15,190,155.28

2,900,110.67

65,119.05

10,153,444.01

533,718.06

$ 115,540,033.03 $

3,552,411.15 $ ======3=,3=2=6=,3=7:i7::.:4i:9::::

$ 113,550,909.91 $
1,989,123.12

3,552,411.15 $

3,326,377.49

$ 115,540,033.03 $

3,552,411.15 $ ======3=,3=2=6=,3=7:i7::.:4i::9:::

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
- 32-

SCHEDULE "4"

$

55,701.00 $

5,556,157.96 $

1,349,583.60 $

2,850,976.69 $======12=6=,5=2=9,=2=87=.5=4=

$

55,701.00 $

5,556,157.96

$

1,699,057.52 $

124,342,499.99

------$--"'""""-.-....,;..;;1;,.3,4;,9.,5,;8,3".6'-0'-

1,151,919.17

. 2,186,787.55

$

55,701.00 $

5,556,157.96 $

1,349,583.60 $

2,850,976.69 $======1=2=6=,5=2=9=,2=8=7=.5=4=

-33-

GEORGIA PERIMETER COLLEGE SCHEDULE OF FUND BALANCES CURRENT FUNDS AND PLANTFUNDS
JUNE3D. 1999

NET INVESTMENT IN PLANT Investmentin Plant Facilities
RESTRICTED Designated for SUbsequent Years'Expenditures
UNRESTRICTED Designated For Bus Replacement Reserve For DeKalbCountyLocal Funds For Equipment, Technology and Construction Trust Fund For InventoryReserve For Renewals and Replacements Reserve For SUbsequent Years' Expenditures For Uncollectible Accounts Surplus Regular Lotteryfor Education

RESIDENT INSTRUCTION

CURRENT FUNDS

UNRESTRICTED

LOTIERY FOR

AUXILIARY

EDUCATION

ENTERPRISES

STUDENT ACTIVITIES

$ 264,000.00

14,457.46

$

75,217.34 $ 142,062.08

4,966.39

50,911.31

- - - - - $ -_-..40:5.=45~

$ 329,368.n $

405.45 $

80,183.73 $ 142,062.08

$ 329,368.n $

405.45 $

80,183.73 $ 142,062.08

See accompanying notesand Independent Accountant's Combined Report on Reviewof Financial Statements and Supplementary Information.
-34-

SCHEDULE "5"

RESTRICTED

PLANT FUNDS

UNEXPENDED

LOTTERY FOR RENEWALS AND

REGULAR

EDUCATION REPLACEMENTS

INVESTMENT IN PLANT

TOTAL

$ 124,342,499.99 $ 124,342,499.99

$ 112,001.43

112,001.43

$ $ 1,000,215.54
$ 107,879.00

68,405.49

524,025.59

164.09

$

68,405.49

1,000,215.54

107,879.00 264,000.00 524,025.59 217,279.42
19,587.94

1,185.90

$ 1,001,565.53 $

107,879.00 $ _ _..5=.9;;.2;;,;.4:.3;.;1;..;0.;8.;;.;~

52,097.21 405.45
$ 2,253,895.64

$ 112,001.43 $ 1,001,565.53 $ 107,879.00 $

592,431.08 $ :124,342,499.99 $ 126,708,397.06
2

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GEORGIA PERIMETER COLLEGE RECONCILIATION OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30.1999

SCHEDULE "6"

Totals per Annual Supplel5lent
Prepaid Items June 30, 1999
Adjustments Shared Services on Jointly Staffed Personnel Valdosta State University Preston, Deborah

SALARIES

$

40,697,382.04 $

TRAVEL 455,239.78

-1,163,338.94

-1,500.00

$

39,532,543.10 $===:i::::::4::5::5::,=2=3=9.=7=8=

See accompanying notes and Independent Accountant's Combined R~port on Review of Financial Statements and Supplementary Information.
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