Audit report, Bacon County Board of Education, Alma, Georgia, year ended June 30, 1995

GA A~oo . RI
2(o Bi2
1994-95
STATE OF GEORGIA DEPARTMENT OF AUDITS
254 WASHINGTON STREET ATLANTA. GEORGIA 30334

AUDIT REPORT BACON COUNTY BOARD OF EDUCATION
ALMA, GEORGIA YEAR ENDED JUNE 30, 1995

BACON COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS -

SECTION I

FINANCIAL

INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE

EXHIBITS

GENERAL PURPOSE FINANCIAL STATEMENTS

COMBINED STATEMENTS - OVERVIEW

A

COMBINED BALANCE SHEET

ALL FUND TYPES AND ACCOUNT GROUP

2

B

COMBINED STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES

ALL GOVERNMENTAL FUND TYPES

AND EXPENDABLE TRUST FUND

4

C

STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

(NON-GAAP BASIS)

GENERAL AND SPECIAL REVENUE FUNDS

6

D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

7

ADDITIONAL FINANCIAL INFORMATION

COMBINING STATEMENTS

SPECIAL REVENUE FUND

E

COMBINING BALANCE SHEET

20

F

COMBINING STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

22

CAPITAL PROJECTS FUND

G

COMBINING BALANCE SHEET

24

H

COMBINING STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES

25

SCHEDULES

1 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE

26

2 CASH AND CASH EQUIVALENTS

28

3 INVESTMENTS

29

4 ACCOUNTS RECENABLE

30

SCHEDULE OF REVENUE

5

STATE

31

6

LOCAL AND OTHER

32

BACON COUNTY BOARD OF EDUCATION -TABLE OF CONTENTS -

SECTION I

FINANCIAL

ADDITIONAL FINANCIAL INFORMATION

SCHEDULES

SCHEDULE OF EXPENDITURES BY OBJECT

7

GENERAL AND SPECIAL REVENUE FUNDS

33

8

LOTTERY PROGRAMS

34

ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS

GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS

9

OVERALL

37

10

BY PROGRAM

38

11 SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS

40

SECTION II
COMPLIANCE
COMPLIANCE REPORT BASED ON AN AUDIT OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
SINGLE AUDIT REPORT ON COMPLIANCE WITH THE GENE.RAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS
SINGLE AUDIT OPINION ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS
SINGLE AUDIT REPORT ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS

SECTION III
INTERNAL CONTROL
REPORT ON INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
SINGLE AUDIT REPORT ON THE INTERNAL CONTROL STRUCTURE USED IN ADMINISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS

BACON COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS -
SECTIONN FINDINGS AND IMPROPER OR QUESTIONED COSTS SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
SECTIONV PERTINENT VIEWS OF RESPONSIBLE OFFICIALS PERTINENT VIEWS OF RESPONSIBLE OFFICIALS

SECTION I FINANCIAL

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation
and Superintendent and Members of the Bacon County Board ofEducation
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
Ladies and Gentlemen:
We have audited the general purpose financial statements (Exhibits A through D) of the Bacon County Board of Education, as of and for the year ended June 30, 1995, as listed in the table of contents. These financial statements are the responsibility of the Board's management. Our responsibility is to express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of the Office of Management a.Qd Budget Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As described in the notes to the general purpose financial statements, the Board's financial statements have been prepared using certain accounting practices and policies which, in our opinion, vary in some respects from generally accepted accounting principles. These variances are described as follows:
* The general purpose financial statements of the Board did not contain a General Fixed Assets Account Group to account for property and equipment owned by the Board which should be included to conform to generally accepted accounting principles.
95ARL-13*

* School activity accounts maintained at the individual schools are not included in the general purpose financial statements. To conform to generally accepted accounting principles, these accounts should
be included in the general purpose financial statements.
* The Board did not recognize as expenditures, in the year ended June 30, 1995, a portion of salaries and the corresponding employer's cost of related benefits earned for contractual services completed prior to June 30, 1995. Also funds received, subsequent to June 30, 1995, from the Georgia Department ofEducation for the State's share of these unrecorded salaries and related benefits were not recorded as revenue in the year under review. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1994, were improperly recorded in the year ended June 30, 1995. To conform to generally accepted accounting principles, revenues should be recorded when available and measurable and expenditures should be recorded when incurred, rather than when funds are received or disbursed.
The aggregate effects on the general purpose financial statements of these variances or omissions have not been determined, but are believed to be material.
In our opinion, except for the effects on the general purpose financial statements of the matters referred to in the preceding paragraph, the general purpose financial statements present fairly, in all material respects, the financial position of the Bacon County Board of Education as of June 30, 1995, and the results of its operations for the year then ended, in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated April 23, 1996, on our consideration of the Board's internal control structure and a report dated April 23, 1996, on its compliance with laws and regulations.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements of the Bacon County Board ofEducation taken as a whole. The combining statements (Exhibits E through H) and the financial schedules (Schedules 1 through 11 which includes the Schedule of Federal Financial Assistance) are presented for purposes ofadditional analysis and are not a required part of the general purpose financial statements of the Bacon County Board ofEducation. Such information has been subjected to the auditing procedures applied in the audit ofthe general purpose financial statements and, in our opinion, except for the effects of the matters referred to in the third paragraph, such information is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole.
A copy ofthis report has been filed as a permanent record in the office of the State Auditor and made available to the press of the State, as provided for by Official Code of Georgia Annotated Section 50-6-24.
Respectfully submitted,

CLV:cm 95ARL-13*

Claude L. Vickers State Auditor

BACON COUNTY BOARD OF EDUCATION - 1-

BACON COUNTY BOARD OF EDUCAnON COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUP JUNE 30, 1995

ASSETS
Cash and Cash Equivalents
Investments
Accounts Receivable
Inventories Food Donated Commodities Purchased Food
Amount to be Provided in Future Years For Payment of Capital Lease Agreements
Total Assets
LIABILITIES AND FUND EQUITY
LIABILITIES
Accounts Payable Salaries Payable Expired Grant Balances Payable Deferred Revenue Capital Lease Agreements
Total Liabilities
FUND EQUITY
Fund Balances Reserved For Bus Replacement Funds For Continuation of Federal Programs For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities Purchased Food
Unreserved Undesignated
Total Fund Equity
Total Liabilities and Fund Equity

GOVERNMENTAL FUND TYPES

SPECIAL

CAPITAL

GENERAL

REVENUE

PROJECTS

FUND

FUND

FUND

$

110,153.50 $

140,443.13 $

7,934.78

827,420.36

70,165.40

154,496.22

10,096.80 8,639.26

$ 1,007,739.26 $ 313,675.41 $

7,934.78

$

18,659.55 $

28,897.62 $

90,005.14

499.20

$

181659.55 $ 1191401.96 $

6,618.90 61618.90

$

17,558.52

$

3,884.31

3,124.61 3,088.00

10,096.80 81639.26

$

21,442.83 $

24,948.67

9671636.88

1691324.78 $

$

989,079.71 $

1941273.45 $

$ 1,007,739.26 $

313,675.41 $

11315.88 11315.88
7,934.78

The notes to the general purpose financial statements are an integral part of this statement. -2-

EXHIBIT"A"

FIDUCIARY FUND TYPE EXPENDABLE TRUST FUND

$

49,621.43

ACCOUNT GROUP GENERAL
LONG-TERM DEBT

TOTALS

{Memorandum Onl~l

JUNE 3011995

JUNE 30, 1994

$

308,152.84 $

321,553.06

827,420.36

909,726.99

224,661.62

145,223.37

10,096.80 8,639.26

13,297.96 7,564.08

$

323,557.22

323,557.22

193,227.75

$

49,621.43 $

323,557.22 $ 1,702,528.10 $ 1,590,593.21

$

54,176.07 $

66,492.88

90,005.14

79,203.39

1,219.45

499.20

6,477.33

$

323,557.22

323,557.22

193,227.75

$

323,557.22 $

4681237.63 $

346;620.80

$

49 621.43

$

49,621.43

$

49,621.43 $

$

17,558.52 $

3,124.61

6,972.31

9,370.10 854.05
3,884.31

10,096.80 8,639.26

13,297.96 7,564.08

$

46,391.50 $

34,970.50

1,187,898.97

1,209,001.91

$ 11234,290.47 $ 112431972.41

323,557.22 $ 1,702,528.10 $ 1,590,593.21

-3-

BACON COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUND YEAR ENDED JUNE 30, 1995

REVENUES
State Funds Federal Funds Local and other Funds
Total Revenues
EXPENDITURES
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Servic:es General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services other Support Services Food Services Operation Community Service Operations other Operations of Non-Instructional Services
Capital Outlay Debt Service
Principal Interest
Total Expenditures
Excess of Revenues over (under) Expenditures
OTHER FINANCING SOURCES (USES}
Capital Leases Operating Transfers In Operating Transfers Out
Total other Financing Sources (Uses)
Excess of Revenues and other Financing Sources over (under) Expenditures and other Financing Uses
FUND BALANCE JULY 1
Food Inventory - Net Change in Period Donated Commodities Purchased Food

GENERAL FUND

GOVERNMENTAL FUND TYPES

SPECIAL

CAPITAL

REVENUE

PROJECTS

FUND

FUND

$ 6,129,597.26 $ 391,804.66 $

0.00

18,212.60

1,186,038.40

1.369.863.96

1 n1230.95

$ 115111673.82 s 1.755.074.01 $

0.00

$ 4,628,535.96 $ 895,016.07

265,586.97 149,587.70 205,064.03 137,427.61 506,473.20 74,170.25 702,011.72 529,404.44 11,712.61 53,523.65 11,887.14
2,898.69 54,on.oo

76,653.57 28,961.89 19,634.88 59,482.39 5,674.64
8,265.06 6,460.55
398.57 21,161.04 695,576.95 14,255.97
4,456.12 $

52,700.95 11.539.39

35,969.58 10.515.98

$ 713961601.31 $ 118821483.26 $

$ 1211072.51 $ -127.409.25 $

220,219.22
2201219.22 -220.219.22

$

78,000.00 $

-220.371.23

$ -142.371.23 $

141,000.00 152.01 $
141.152.01 $

220,219.22 220.219.22

$ -21,298.72 $ 1,010,378.43

13,742.76 $ 182,656.67

0.00 1,315.88

-3,201.16 1.075.18

FUND BALANCE JUNE 30

$ 989,079.71 $

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

-4-

194,273.45 s _ _ _1_,3_1_s_.BB_

EXHIBITs

TOTAL

FIDUCIARY FUND TYPE EXPENDABLE TRUST FUND

TOTALS
{Memorandum Onl)'.} YEAR ENDED
JUNE 301 1995 JUNE 301 1994

$ 6,521,401.92 $ 1,204,251.00 1.547,094.91
$ 9,272-747.83 $

0.00 $ 0.00 $

6,521,401.92 $ 1,204,251.00 1.547.094.91
9,272,747.83 $

6,344,953.04 1,091,537.64 1,493,858.26
8,930,348.94

$ 5,523,552.03 $
342,240.54 178,549.59 224,698.91 196,910.00 512,147.84 74,170.25 710,276.78 535,864.99
12,111.18 74,684.69 707,464.09 17,154.66 54,on.oo 224,675.34
88,670.53 22,055.37
$ 9,499,303.79 $
$ -226,555.96 $

0.00 $
0.00 $ 0.00 $

5,523,552.03 $
342,240.54 178,549.59 224,698.91 196,910.00 512,147.84 74,170.25 710,276.78 535,864.99
12,111.18 74,684.69 707,464.09 17,154.66 54,on.oo 224,675.34
88,670.53 22,055.37
9,499,303.79 $
-226,555.96 $

5,273,763.40
256,365.88 187,008.46 261,949.n 250,385.24 4TT,412.44 62,402.98 718,333.78 488,973.67 11,387.24 51,789.90 695,485.32 13,174.54 57,133.08 14,055.60
58,929.90 8,004.79
8,886,555.99
43.792.95

$ 219,000.00 220,371.23 -220,371.23
$ 219,000.00

$

-7,555.96

1,194,350.98 $

-3,201.16 1,075.18

$

219,000.00 $

220,371.23

-220,371.23

$

219,000.00 $

$ 49,621.43

-7,555.96 $ 1,243,972.41

-3,201.16 1 075.18

203,795.06 654.50 -654.50
203,795.06
247,588.01 995,861.14
-99.61 622.87

$ 1I184,669.04 $

491621.43 $ 1,234,290.47 $ 1,243,972.41

-5-

BACON COUNTY BOARD OF EDUCATION STATEMENT OF RE~NUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL - (NON-GAAP BASIS) GENERAL AND SPECIAL REVENUE FUNDS
YEAR ENDED JUNE 30, 1995

EXHIBITc

REVENUES
State Funds Federal Funds Local and Other Funds
Total Revenues
EXPENDITURES
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services Other Support Services Food Services Operation Community Service Operations Other Operations of Non-Instructional Services
Capital Outlay Debt Service
Total Expenditures
Excess of Revenues over (under) Expenditures
OTHER FINANCING SOURCES (USES}
Other Sources Other Uses
Total Other Financing Sources (Uses)
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses
FUND BALANCE JULY 1, 1994
Adjustments

GENERAL FUND

ACTUAL

(BUDGET

BUDGET

BASIS}

$ 6,104,952.00 $ 6,129,597.26 18,212.60
1,120,170.00 1,369,863.96
$ 7,225,122.00 $ 7,517,673.82

$ 4,695,059.03 $ 4,628,535.96

232,997.14 162,588.54 202,734.65 138,726.36 515,255.13 73,029.13 811,880.39 548,789.63 13,375.81 36,ns.79 11,043.39
56,092.59

265,586.97 149,587.70 205,064.03 137,427.61 50El,473.20 74,170.25 702,011.72
529,404.44
11,712.61 53,523.65 11,887.14
2,898.69
54,on.~

64,240.34

$ 7,498,351.58 $ 7,396,601.31

$ -273,229.58 $ 121,072.51

$ 78,000.00 -220,371.23
$ -142,371.23
$ -273,229.58 $ -21,298.72 986,962.33 1,010,378.43 -3,867.53

SPECIAL REVENUE FUND

ACTUAL

(BUDGET

BUDGET

BASIS}

$ 306,560.67 $ 391,804.66

1,023,838.71 1,186,038.40

194,638.10

1n,230.95

$ 11525,037.48 $ 1?551074.01

$ 705,034.55 $ 895,016.07

80,848.46 13,853.00 50,924.00 28,175.35
6,048.43

76,653.57 28,961.89 19,634.88 59,482.39
5,674.64

1,580.00 2,154.00 24,158.00 3,756.00 608,505.69

8,265.06 6,460.55
398.57 21,161.04 695,576.95 14,255.97

4,456.12 46,485.56

$ 1,525,037.48 $ 1,882,483.26

$

0.00 $ -127,409.25

$ 141,152.01

$ 141,152.01

$ 13,742.76

$ 182,512.23

161,794.63

122,302.57

FUND BALANCE JUNE 30, 1995

$ 709,865.22 $ 989,079.71

$ 304,814.80 $ 175,537.39

The notes to the general purpose financial statements are an integral part of this statement. -6-

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Bacon County Board ofEducation (Board) was established under the laws of the State of Georgia and operates under the guidance of a school board and Superintendent, both elected by the voters. With the exception ofthe departures from generally accepted accounting principles disclosed in these notes, the financial statements of the Board have been prepared in conformity with generally accepted accounting principles as applied to government units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting standards.
The more significant of the Board's accounting policies are described below.
REPORTING ENTITY
In evaluating how to define the government unit for financial reporting purposes, management has considered the. criteria set forth in GASB Codification of Governmental Accounting and Financial Reporting Standards, Section 2100, "Defining the Financial Reporting Entity". The primary government consists of all the organizations that compose the legal entity ofthe Bacon County Board ofEducation.
Based upon the application ofthe above criteria, the Bacon County Board ofEducation is determined to be the lowest level of government exercising oversight responsibility and control over all activities related to public education in Bacon County, Georgia. The Board is not included in any other governmental "reporting entity" as defined by GASB Codification of Governmental Accounting and Financial Reporting Standards.
Board members were elected by the public and have decision making authority, the power to designate management, except for the Superintendent who was also elected, the ability to significantly influence operations, and primary accountability for fiscal matters. The Board determines the millage rate at which school taxes are levied and may incur bonded indebtedness with voter approval.
FUND ACCOUNTING
The Board uses funds and an account group to report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities.
A fund is a separate accounting entity with a self-balancing set of accounts. An account group is a financial reporting device designed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect expendable available financial resources.
General Fixed Assets are recorded as expenditures in the various funds at the time of purchase. A General Fixed Assets Account Group is not presently maintained by the Board. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types.

- 7-

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Although "school activity accounts" are maintained at the individual schools, neither the assets, liabilities and fund equity, nor the revenues, expenditures and changes in fund balances of these accounts are reflected in these financial statements. To conform to generally accepted accounting principles, these accounts should be recorded in the general purpose financial statements.
The general purpose financial statements account for all State, Federal, Local and Other Funds under control ofthe Board, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. Funds and the account group presented in this report are as follows:
GOVERNMENTAL FUND TYPES - are used to account for all or most ofa Board's general activities. Governmental Fund Types include:
GENERAL FUND - the fund used to account for all financial resources ofthe Board except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services provided by a board of education.
SPECIAL REVENUE FUND - the fund used to account for the proceeds of specific revenue sources (other than for major capital projects) that are legally restricted to expenditures for specified purposes. These funds are primarily received from the Georgia Department of Education and from the Federal government to accomplish specific objectives and are required to be accounted for separately. Also included are proceeds received from State, Federal, Local and Other sources for operations of the school food services fund. This fund could be accounted for as an enterprise fund~ however, the Board chooses not to provide for depreciation, but to maintain the fund on a modified accrual basis and to report the fund as a special revenue fund under governmental fund types, which is acceptable under generally accepted accounting principles for governmental entities.
CAPITAL PROJECTS FUND - the fund used to account for financial resources to be used for the acquisition or construction of major capital facilities.
FIDUCIARY FUND TYPE - the trust fund used to account for assets held by a government unit in a trustee capacity or as an agent for individuals, private organizations, other government units and/or other funds. This fund includes:
EXPENDABLETRUSTFUND Self-Insured Employee Benefit Fund- the fund used to account for unemployment compensation contributions and expenditures.
ACCOUNT GROUP
GENERAL LONG-TERM DEBT ACCOUNT GROUP - used to account for material capital lease obligations.
- 8-

BACON COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds and expendable trust funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are
included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other
financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets. Their reported fund balance is considered a measure of available spendable resources.
Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds. Other liabilities, which are not expected to be financed from available spendable resources, are reported in the General Long-Term Debt Account Group.
Governmental funds and the expendable trust fund are accounted for using the modified accrual basis of accounting under which:
Revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount ofthe transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Those revenues considered susceptible to accrual are property taxes, intergovernmental grants and investment income. Property taxes are considered available ifthey are collected and remitted by the collecting agent to the Board within 60 days after fiscal year-end.
Expenditures are generally recognized when the related fund liability is incurred.
A departure from the above definitions is the accounting treatment afforded the final two payments on General Fund teachers' and bus drivers' contracts, and the resources available from the Georgia Department of Education for the State's share ofthese contracts. During fiscal year 1995, a substantial number of personnel of the Board were employed for a one hundred and ninety day period beginning in late August 1994 and ending in early June 1995. Personnel contracts for this employment period specify that compensation be paid
in twelve equal monthly payments beginning in September 1994 and ending in August 1995. State grants to
fund the State's share ofthese contracts were disbursed from the Georgia Department ofEducation to the Board in the same twelve months. As ofJune 30, 1995, compensation under these employment contracts had been earned, but two of the twelve monthly payments, due for July and August 1995, had not been made. Payments for these two months were made and recorded as expenditures by the Board subsequent to June 30, 1995. Also, the State's portion ofthe compensation paid in July and August 1995 was received and recorded as revenue in the fiscal year subsequent to June 30, 1995. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1994, were recorded in the year ended June 30, 1995. Generally accepted accounting principles require that revenues be recorded when available and measurable and that expenditures be recorded when incurred, rather than when funds are received or disbursed.

- 9-

BACON COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET

The Bacon County Board ofEducation's budget is a complet~ financial plan for the Board's fiscal year and is based upon estimates of expenditures together with probable funding sources. There is no statutory prohibition regarding overexpenditure of the budget at any level. The budget for all governmental funds is prepared by fund, function and object. The legal level ofbudget control was established by the Board at the aggregate level. The budget for governmental funds was prepared on a basis other than generally accepted accounting principles.

The budget process begins when the Board's administration prepares a tentative budget for the Board's approval. After approval of this tentative budget by the Board, such budget is advertised at least once in a newspaper ofgeneral circulation in the locality. At the next regular meeting ofthe Board after advertisement, the Board receives comments on the tentative budget, makes revisions as necessary and adopts a final school budget. This final budget is then submitted, in accordance with provisions of the Quality Basic Education Act, OCGA Section 20-2-167, to the Georgia Department ofEducation. The Board may increase or decrease the budget at any time during the year. All unexpended budget authority lapses at fiscal year end.

The Statement ofRevenues, Expenditures and Changes in Fund Balances - Budget and Actual presents actual and budgeted data for the General Fund and Special Revenue Fund. To facilitate comparison with the budget, the following adjustments have been made to actual revenues, expenditures and fund balance as reflected on Exhibit "B" of this report:

Excess ofRevenues and Other Sources of Financial Resources over (under) Expenditures and Other Financing Uses
Fund Balance July 1, 1994
Adjustments: Inventories July 1, 1994 Food Donated Commodities Purchased Foods
Fund Balance June 30, 1995 (Budget Basis)

Special Revenue
Fund
$ 13,742.76 182,656.67
-13,297.96 -7,564.08
$ 175,537.39

- 10 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
CASH AND CASH EQUIVALENTS
COMPOSITION OF DEPOSITS Cash and cash equivalents consist ofdeposits (including N.O.W. accounts) in authorized financial institutions. Georgia Laws authorize the Board to deposit its funds in one or more solvent banks, insured Federal savings and loan associations, or insured State chartered building and loan associations. The placement of proceeds from bond issues in certificates of deposit is limited to financial institutions located within this State.
INVESTMENTS
COMPOSITION OF INVESTMENTS Investments made by the Board are stated at cost. The Official Code of Georgia Annotated Section 36-83-4 authorizes the Board to invest its funds in the following:
(1) Obligations issued by the State of Georgia or by other states,
(2) Obligations issued by the United States government,
(3) Obligations fully insured or guaranteed by the United States government or a United States government agency,
(4) Obligations ofany corporation of the United States government,
(5) Prime banker's acceptances,
(6) The Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services,
(7) Repurchase agreements, and
(8) Obligations of other political subdivisions of the State of Georgia.
RECEIVABLES
Receivables consist ofgrant reimbursements due from Federal, State or other grantors for expenditures made but not reimbursed and other receivables disclosed from information available. Receivables are recorded when either the asset or revenue recognition criteria has been met. Receivables recorded on the general purpose financial statements do not include any amounts which would necessitate the need for an allowance for uncollectible receivables.

- 11 -

BACON COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEJMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

PROPERTY TAXES

The Bacon County Board ofCommissioners fixed the property tax levy for the 1994 tax year (calendar year) on September 8, 1994 (levy date). Taxes were due on December 20, 1994. The lien date for property taxes was January 1, 1994. Taxes collected within the current fiscal year or within 60 days after year-end are reported as revenue in fiscal year 1995 since their collection meets the criteria of GASB codification section P70.103. The Bacon County Tax Commissioner bills and collects the property taxes for the Board of Education, withholds 2.5% of taxes collected as a fee for tax collection, and remits the balance of taxes collected to the Board.

The tax millage rate levied for the 1994 tax year (calendar year) for the Bacon County Board of Education was as follows (a mill equals $1 per thousand dollars of assessed value):

School Operations

10.5 mills

INVENTORIES

FOOD INVENTORIES Inventories of donated food commodities used in the preparation of meals are reported on the Combined Balance Sheet at their Federally assigned value. Purchased foods inventories are reported on the Combined Balance Sheet at cost. Donated food commodities are recorded as revenues and expenditures at the time commodity items are received. Purchased foods inventories are recorded as expenditures at the time of purchase. The inventories reported on the balance sheet for donated food commodities and for purchased foods are equally offset by reservations offund balance which indicates that these amounts do not constitute "available spendable resources" even though they are a component of net current assets.

INTERFUND TRANSACTIONS

The Board has the following types ofinterfund transactions:

Reimbursements ofexpenditures initially made from a fund that are properly applicable to another fund, are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed.

Operating transfers are recorded for all interfund transactions other than reimbursements.

- 12 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMI\1ARY OF SIGNIFICANT ACCOUNTING POLICIES
MEMORANDUM ONLY - TOTAL COLUMNS
Total columns on the general purpose financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position or results of operations 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. Certain reclassifications have been made to the comparative data to conform to the current year classifications.
Note 2: DEPOSITS AND INVESTMENTS
COLLATERALIZATION OF DEPOSITS Official Code of Georgia Annotated (OCGA) Section 45-8-12 provides that there shall not be on deposit at any time in any depository for a time longer than ten days a sum of money which has not been secured by surety bond, by guarantee ofinsurance, or by collateral. The aggregate of the face value of such surety bond and the market value of securities shall be equal to not less than 110 percent of the public funds being secured after the deduction ofthe amount of deposit insurance. OCGA Section 45-8-11 provides an officer holding public funds may, in his discretion, waive the requirement for security in the case of operating funds placed in demand deposit checking accounts.
Acceptable security for deposits consists of any one of or any combination ofthe following:
(1) Surety bond signed by a surety company duly qualified and authorized to transact business within the State of Georgia,
(2) Insurance on accounts provided by the Federal Deposit Insurance Corporation,
(3) Bonds, bills, notes, certificates ofindebtedness or other direct obligations of the United States or of the State of Georgia,
(4) Bonds, bills, notes, certificates of indebtedness or other obligations of the counties or municipalities ofthe State of Georgia,
(5) Bonds of any public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose,
(6) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia, and

- 13 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 2: DEPOSITS AND INVESTMENTS

(7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest and debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association.

CATEGORIZATION OF DEPOSITS
At June 30, 1995, the bank balances were $940,694.57. The amounts ofthe total bank balances are classified
into three categories of credit risk:

Category 1 - Cash that is insured (e.g., Federal depository insurance) or collateralized with securities held by the Board or by the Board's agent in the Board's name:
Category 2 - Cash collateralized with securities held by the pledging financial institution's trust department or agent in the Board's name.
Category 3 - Uncollateralized deposits. (This includes any bank balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Board's name.)

The Board's deposits are classified by risk category at June 30, 1995, as follows:

Risk Category
1 2
3
Total

Bank Balance
$ 103,500.72 837,193.85 0.00
$ 940,694.57

CATEGORIZATION OF INVESTMENTS
At June 30, 1995, the carrying amount ofthe Board's total investments was $827,420.36 and consisted entirely
offunds in the Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services which are not required to be categorized since the Board did not own any specific identifiable securities in the pool. The investment policy ofthe State of Georgia, Office of Treasury and Fiscal Services for the Local Government Investment Pool does not provide for investment in derivatives or similar investments.

Note 3: NON-MONETARY TRANSACTIONS

The Board receives food commodities from the United States Department of Agriculture (USDA) for school breakfast and lunch programs. These commodities are recorded at their Federally assigned value. See Note 1 - Inventories

- 14 -

BACON COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS

JUNE 30, 1995

Note4: RISKMANAGE:MENT

The Board is exposed to various risks of loss relate~ to torts; theft of, damage to, and destruction of assets; errors or omissions; job related illnesses or injuries to employees; natural disaster; and unemployment compensation.

The Board has obtained commercial insurance for risk of loss associated with torts, assets, and job related illnesses or injuries to employee. The Board has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Board's insurance coverage in any of the past three years.

The Board has obtained commercial insurance for errors and omissions, however the policy excludes coverage for sexual harassment and discrimination claims. In addition, the Board has elected to self-insure for all losses related to natural disasters. The Board has not experienced any losses related to these risks in the past three years.

The Board is self-insured with regard to unemployment compensation claims. A premium is charged by the Expendable Trust Fund to each user fund on the basis ofthe percentage of that fund's payroll to total payroll in order to cover estimated claims budgeted by management based on known claims and prior experience. The Board accounts for claims with expenditures and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated.

Changes in the unemployment compensation claims liability during the last two fiscal years are as follows:

Beginning ofYear Liability

Claims and Changes in Estimates

Claims Paid

End of Year Liability

1994 1995

$

0.00 $

714.00 $

714.00 $

0.00

$

0.00 $

0.00 $

0.00 $

0.00

Note 5: GENERAL LONG-TERM DEBT

CAPITAL LEASES The Bacon County Board ofEducation has entered into various lease agreements as lessee for equipment. These lease agreements qualify as capital leases for accounting purposes and, therefore, have been recorded at the present value ofthe future minimum lease payments as of the date of their inception.

- 15 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 5: GENERAL LONG-TERM DEBT

The changes in General Long-Term Debt during the fiscal year ended June 30, 1995, were as follows:

Balance July 1, 1994
Retroactive Restatement ofPrior Year Balances
Balance July 1, 1994 Restated
Additions
Deductions
Balance June 30, 1995

Capital Leases
s 199,223.85
-5,9%.10
s 193,227.75
219,000.00 88,670.53
s 323 55:Z 22

At June 30, 1995, payments due, by fiscal year which includes principal and interest for these items are as follows:

Fiscal Year Ended June 30
19% 1997 1998 1999
Total Principal and Interest
Deduct: Imputed Interest
Net Present Value ofFuture Minimum Lease Payments

Capital Leases
s 146,621.98
108,629.46 66,168.84 44~86.47
s 365,706.75
42,149.53
s 323 55:Z 22

Note 6: CONTINGENT LIABILITIES

Amounts received or receivable principally from the Federal government are subject to audit and review by grantor agencies. This could result in requests for reimbursement to the grantor agency for any expenditures which are disallowed under grant terms. The Board believes that such disallowances, if any, will be immaterial to its overall financial position.

- 16 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 7: RETIREMENT PLANS
TEACHERS RETIREMENT SYSTEM OF.GEORGIA (TRS)
TRS PLAN DESCRIPTION Substantially all teachers, administrative and clerical personnel employed by local school systems are covered by the Teachers Retirement System of Georgia (TRS), which is a cost-sharing multiple employer public employee retirement system (PERS).
TRS provides service retirement, disability retirement and survivors benefits for its members in accordance with State statute. A member is eligible for service retirement after 30 years of creditable service, regardless ofage, or after 10 years of service and attainment of age 60. A member is eligible for early retirement after 25 years of creditable service and attainment of age 55, at a reduced benefit. Retirement benefits paid to members are equal to 2% of the average of the member's two consecutive highest paid years of service multiplied by the number of years of creditable service up to 40 years. The normal retirement pension is payable monthly for life. Options are available for distribution ofthe member's monthly pension at a reduced rate to a designated beneficiary on the member's death.
Retirement benefits also include death and disability benefits. A disabled member or surviving spouse is entitled to receive annually an amount equal to the member's service retirement benefit or disability retirement, whichever is greater. The death benefit is the amount that would be payable to the member's beneficiary had the member retired on the date of death on either a service retirement allowance or a disability retirement allowance, whichever is larger. The benefit is based on the member's creditable service (minimum of 10 years of service) and compensation up to the time of disability or death.
Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting of employer contributions occurs, but the member's contributions are refunded with interest.
The Board's payroll for employees covered by TRS for the year ended June 30, 1995, was $5,146,107.56; total payroll was $6,106,982.95.
TRS CONTRIBUTIONS REQUIRED AND MADE Employees ofthe Board who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. The Board makes monthly employer contributions to TRS at rates adopted by the TRS Board ofTrustees in accordance with State statute and as advised by their independent actuary. For fiscal year 1995 that rate for employer contributions was 11.81%. The interest rate assumption (rate of return on investments) was 7.50%.
Total contributions made during fiscal year 1995 amounted to $865,062.65, of which $607,755.72 was made by the Board and $257,306.93 was made by employees. These contributions represented 11.81% (Board) and 5% (employees) of covered payroll.

- 17 -

BACON COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEl\ffiNTS

JUNE 30, 1995

Note 7: RETIREl\ffiNT PLANS

TRS FUNDING STATUS AND PROGRESS The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No. 5 ofthe Governmental Accounting Standards Board (GASB) that, with some exceptions, must be used by a PERS. The standardized measurement is the actuarial present value of credited projected benefits. This valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date, and is adjusted for the effects of projected salary increases. A standardized measure ofthe pension benefit obligation was adopted by the GASB to enable readers of PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among other PERS and among other employers.

Total unfunded pension benefit obligation ofTRS as of June 30, 1994, was as follows:

Total pension benefit obligation

$15,313,743,000.00

Net assets available for benefits, at cost

14,254,785,000.00

Unfunded pension benefit obligation

$ 1,058,958,000 00

The measurement ofthe total pension benefit obligation is based on an actuarial valuation as of June 30, 1994. Net assets available to pay pension benefits were valued as of the same date. TRS does not make separate measurements of assets and pension benefit obligation for individual employers.

Total contributions from all employers to TRS for fiscal year ended June 30, 1995 were $565,117,811.00. The Board's contribution for the year ended June 30, 1995 of $607,755.72 was actuarially determined and represented .1075% of total contributions made by all participating employers.

Ten year historical trend information is presented in the 1995 TRS Component Unit Financial Report. This information is useful in assessing TRS's accumulation of sufficient assets to pay pension benefits as they become due.

PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM OF GEORGIA (PSERS)

PSERS PLAN DESCRIPTION Substantially all bus drivers, maintenance, custodial, and lunchroom personnel employed by local school systems are covered by the Public School Employees Retirement System of Georgia (PSERS). All employer's contributions are made by the State of Georgia in accordance with State statute.

- 18 -

BACON COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 7: RETIREMENT PLANS
PSERS provides in accordance with State statute service retirement, disability retirement and survivors benefits for its members. A member is eligible for normal service retirement after 10 years of service and
attainment ofage 65. A member applying for service retirement with 10 years of service and retires between
the ages of 60 and 65 receives a reduced benefit. Monthly retirement benefits paid to members are equal to $8.00 per month multiplied by the number ofyears of creditable service. Options are available for distribution ofthe member's monthly pension at a reduced rate to a designated beneficiary on the member's death.
Retirement provisions include death and disability benefits. Disability benefits are the same as if the employee
had retired at age 65 as long as the employee has 15 or more years of creditable service. Death benefits are
dependent upon the number ofyears of service. Ifthere are less than ten years of service, a lump sum refund ofthe employee's contributions and interest are made to the beneficiary. If there are more than ten years of
service, the beneficiary shall receive for life half ofwhat the employee would have received upon retirement.
Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contributions are refunded with interest.
There were 66 employees covered under PSERS for the year ended June 30, 1995.
PSERS CONTRIBUTIONS REQUIRED AND MADE Covered employees are required by State statute to contribute $4.00 a month for the nine month school year. Unlike TRS, the Board makes no contribution to PSERS. The State of Georgia is required by statute to make employer contributions actuarially determined and approved and certified by the PSERS' Board ofTrustees. Total contributions from employees ofthe Board made during fiscal year 1995 amounted to $2,292.00. Total contribution for all school systems made by the State of Georgia to PSERS for fiscal year ended June 30, 1995, was $9,162,000.00.
Note 8: SURETY BONDS
The School Superintendent, Mr. John P. DeLoach, is bonded in the amount of$50,000.00 with the Western Surety Company, Sioux Falls, South Dakota, their Bond No. 60104811, on which premium was paid through December 31, 1995.

- 19 -

BACON !;;Ql.!!fir BOAR1;2 QE EDUCAT!Qtl
!:.Qti!i!!NI~ BALANCE !:!El;!
f!;Q!&. Rlai;NUE E!.!t:112
JUNE30 1995

~
Cash and Cash Equilllllenls
Accounts R~ble
~
Food Donated Commodities Purdla&ed Food

ELEMENTARY AND

SCHOOL FOOD
SERVICES FUND

ADULT EDUCATION

STATE PRESCHOOL HANDICAPPED PROGRAM

LOTTERY PROGRAMS

DRUG-FREE SCHOOLSAND COMMUNITIES
ACT

CHAPTER1

EDUCATION OF

DEPRIVED

MIGRANT

CHILDREN

PROGRAM

$ 195,736.13 $

1,954.33 $

420.05

$

5,333.45 $

1,241.79

17,34.c.69

$ -46,485.56 $

3,641.92

49,899.05

793.95

10,096.80 8,639.26

TOIIIIA&&als

$ 231,816.88 $

1,954.33 $

420.05 $ -46,485.56 $

3,641.92 $

55.232.50 $

2.035.74

LIABILIT~ ~ E!,!!::!Q EQUITY
LIABILmEs
Cash Owlrdralt Al:counlsPayable Salaries Payable Expired Grant Balances Payable Defemld R-ue
TOIIII Liabilities
FUNQEgUITY
Fund Balances RNeMld For Continuation d Fedenll Programs For Expired Grant Balances/Questioned Com For111119111orias Food Donated Commodities Purdla&ed Food
UnrweMICI Undesignated
TOIIII Fund Equity

$

9,634.60

32,951.16

$ 42,585.76

$

3,124.61

10,096.80 8,639.26 $ 21,860.67
167.370..CS $ $ 189,231.12 $

$ $
1,954.33 $ 1,954.33 $

$ 420.05

41,480.82 $ 1,417.54

420.05 $

499.20 43,397.56 $

2,406.79 1,235.13 $

10,268.58 $ 44,963.92

582.42 1,453.32

3,641.92 $

55,232.50 $

2,035.74

$

3,088.00

$ 0.00 0.00 $

3,088.00 0.00 $
3,088.00 $

0.00 $ 0.00 $

0.00 $

0.00

0.00 $

0.00

TOIIII Liabilities and Fund Equity

$ 231,816.88 $

1,954.33 $

420.05 $ -46,485.56 $

3,641.92 $

55,232.50 $

2,035.74

See notes to the general purpose financial s1atements.

-20-

EXHIBIT"E"

SECONDARY EDUCATION ACT

TITLE 11-

EISENHOWER

CHAPTER2

MATHEMATICS

BLOCK GRANT ANO SCIENCE

FLOW THROUGH EDUCATION

INDMOUAl.S WITH

DISABILITIES EDUCATION PCT

TITLEVI B

FLOW

PRESCHOOL

THROUGH

PROGRAM

s

1,935.00 S

0.00 S

2,319.08 S

554.08

JOB TRAINING PARTNERSHIP
ACT

PROJECT HEAOSTART

TOTALS JUNE301 1995 JUNE 301 1994

s

209,493.91 S

226,638.31

8,748.88

2,203.18 S

10,026.25 S

15,352.74

15.c,.c96.22

103,591.24

s

11935.00 $

10,096.80 8,639.26

13,297.96 7564.08

0.00 S 111067.96 $

2i757.26 S

10026.25 S

15352.74 S

382i726.19 S

3511091.59

s

1,935.00

s

1935.00

s

2,554.75 S

s
633.73

8,513.21

2,123.53

s 11,067.96 S

2,757.26 S

9,840.41 S 185.84
10,026.25 S

15,322.76 S 29.98
15,352.74 S

69,050.78 S 28,897.62 90,00fi.14
499.20
188452.74 S

25,945.95 55,588.80 79,203.39
1,219.45 64TT.33
168,434.92

s

0.00 S

s

0.00 S

s

1935.00 S

0.00 S 0.00 S

0.00 S 0.00 S

0.00 S 0.00 S

0.00 S 0.00 S

s
s
0.00 0.00 S

3,124.61 S 3,088.00
10,096.80 8,639.26 24,948.67 S 169 324.78 194 273.45 $

854.05
13,297.96 7 564.08 21,716.09 160,940.58 182,656.67

0.00 S 111067.96 $

2i757.26 S

10,026.25 $

15,352.74 S

382726.19 S

351 091.59

-21 -

BACON CQUNTY BOARD OF EDUCATION CQMB!NJNG STATEMENT Of REVENUES EXPENDITURES AND CHANGES IN FUND BALANCES
SPECIAi, REVENUE FUND
VEAR ENDED JUNE 30 1995

SCHOOL FOOD
SERVICES FUND

ADULT EDUCATION

STATE
PRESCHOOL HANDIC.APPEO
PROGRAM

LOTTERY PROGRAMS

DRUG-FREE s:HOOLSAND COMMUNITIES
ACT

ELEMENTARY ANO

CHAPTER1

EDUCATION OF

DEPRIVED

MIGRANT

CHILDREN

PROGRAM

REVENUES
Slate Funds Federal Funds Local and Olher Funds
TollllR-

s 51,812.00 S
491,817.91 1n,230.95
s 720,860.86 S

2,097.00 S 2,097.00 S

17,427.00 $ 320,468.66
s
17 427.00 $ 320,468.66 S

10,047.34 S 10047.34 S

413,484.05 $ 14,237.86 413484.05 S 14,237.86

EXPENDITURES

Cu1T811t fn&tnlclion Support Se!vice& Pupil Services lml)RMK"nellt of ln&tructionel Se!vice& Educational Media Services ~ I Administration School Administration Busi- Administration Maintenance end Operation of Plant Student Trenspor1ation Se!vice& Central Support Services Olher Support Services Food Se!vice& Operation Community Selllice Operalions Capital Outley Debt Selllice Principal lntare&t

s
s 695,576.95
14,255.97

Tollll Expenditures

s

s Excess of R - . - CMlt" (under) Expenditures

709,832.92 S 11,027.94 $

1,816.13 S
1816.13 $ 480.87 $

17,181.46 S 328,934.70 S

245.54

52,421.58 8,140.47 5,338.43 1,857.42

6,668.43 4,492.80
1,737.16

4,456.12
35,969.58 10,515.98 17 427.00 $ 458,532.67 $ 0.00 $ -138,064.01 $

8,717.34 S 1,330.00

359,523.21 S 14,237.86
1,240.83 32,334.95
1,278.00 398.57
18,708.69

10047.34 $ 0.00 $

413,484.05 $ 0.00 $

14,237.86 0.00

QT!:!ER FINANCING QUR'-ES
CepitalLOperating Transfers In
Tollll 0lher Financing Sources
Excess of R - . - end Olher Financing Sources CMlt" (under) Expenditures
EUND BALAN'-E JULY 1
Food Inventory - Net Change in Period Donated Commodities Purchesed Food

s 11,027.94 $
180,329.16

480.87 $ 1,473.46

-3,201.16 1,075.18

$ 141,000.00 152.01
$ 141152.01

0.00 $ 0.00

3,088.00 $ 0.00

0.00 $ 0.00

0.00 S

0.00

0.00

0.00

FUt;I!;! BALANQ; JUNE~

$ 189,231.12 $

11954.33 $

0.00 $

3,088.00 S

0.00 $

0.00 $

0.00

See notes to the general purpose financial statements.

-22-

EXHIBIT"P

SECONDARY EDUCATION ACT

TITLE U-

EISENHOWER

CHAPTER2

MATHEMATICS

BLOCK GRANT - ANDSCIENCE

FLOW THROUGH EDUCATION

INDMDUAI.S WITH

DISABILmES EDUCATION />CT

TITLEVI B

FLOW

PRESCHOOL

THROUGH

PROGRAM

JOB TRAINING PARTNERSHIP
ACT

PROJECT HEAD START

TOTALS YEAR ENDED JUNE 301 1995 JUNE 301 1994

$

391,804.66 $

383,089.92

$

14,594.00 $

8,635.00 $

80,868.88 $

18,609.18 $

30,964.73 $

102,979.45

1,186,038.40

1,081,062.22

1 n1230.95

182,699.15

$

14 594.00 $

8,635.00 $

80,668.88$

18,609.18 $

30964.73 $

102,979.45 $ 1?55,074.01 $ 1,646,851.29

$

260.93

$

46,712.37 $

3,268.45 $

22,439.25 $

94,124.37 $

895,016.07 $

668,170.25

$ 14,296.45
36.62

9,460.02 29.03

6,274.81 1,013.75
19,636.44 5,674.64
1,356.87

13,132.36 1,597.49
610.88

2,838.28 .201.n
1,485.43

1,741.00 3,575.25 2,505.01
318.63
715.19

76,653.57 28,961.89 19,634.88 59,482.39 5,674.64
8,265.06 6,460.55
398.57 21,161.04 695,576.95 14,255.97
4,456.12

42,617.35 43,514.10 61,676.72 62,022.07 5,671.34
1,365.55 25,765.18 5,003.96
19,760.37 684,345.32
7,322.35 11,350.00

35,969.58 10,515.98

$

14594.00 $

9489.05 $

80,668.88 $

18,609.18 $

30964.73 $

102,979.45 $ 1,882,483.26 $ 1,638,584.56

$

0.00 $

-854.05 $

0.00 $

0.00 $

0.00 $

0.00 $

-127,409.25 $

8,266.73

$

141,000.00

152.01 $

$

141152.01 $

623.50 623.50

$

0.00 $

-854.05 $

0.00 $

0.00 S

0.00 $

0.00 S

13,742.76 $

8,890.23

0.00

854.05

0.00

0.00

0.00

0.00

182,656.67

173,243.18

-3,201.16 1,075.18

-99.61 622.87

$

0.00 $

0.00 S

0.00 $

0.00 $

0.00 $

0.00 $

194,273.45 $

182,656.67

-23-

BACON COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET CAPITAL PROJECTS FUND JUNE 30.1995

EXHIBIT "G"

Cash and Cash Equivalents

ROOF REPLACEMENT
FUND

$

0.00 $

STADIUM FUND

VOCATIONAL TECHNOLOGY
LAB FUND

TOTALS

JUNE 301 1995

JUNE 301 1994

1.315.88 $

s 1s1a.90 s

7 1934.78

s ____1,,3..,1s_._ss_ 1

LIABILIJIES AND FUND EOUJIY

LIABILITIES

Accounts Payable

$

FUNDEOUJIY

Fund Balances Unraerved Undesignated

0.00 $

0.00 $

6,618.90 $

6,618.90 $

0.00

0.00

1,315.88

0.00

1,315.88

1,315.88

TotaJ Liabilities and Fund Equity $

0.00 $

1,315.88 $

6,618.90 $

7934.78 $

1,315.88

See notes to the general purpose financial statements.

-24-

BACON COUNTY BOARD Of EDUCATION COMBINING STATEMENT Of REVENUES EXPENDITURES AND CHANGES IN FUND BALANCES
CAffiAL PROJECTS FUND
YEAR ENDED JUNE 30, 1995

EXHIBIT"H"

ROOF REPLACEMENT
FUND

STADIUM FUND

VOCATIONAL TECHNOLOGY
LAB FUND

TOTALS YEAR ENDED
JUNE 30, 1995 JUNE 30, 1994

REVENUES None Recorded

s

0.00 S

0.00 $

0.00 S

0.00 S

0.00

EXPENDITURES

Capital Outlay Supplies Building and Building Improvements

s

5,453.52 S

171,369.99

Total Expenditures

s

s 176,823.51

Excess of Revenues over (under) Expenditures

s

s -176,823.51

0.00 S
0.00 $ 0.00 $

16,709.46 S 26,686.25
s 43,395.71 s -43,395.71

22,162.98 198,056.24 S
220,219.22 S
-220,219.22 S

2,705.60 2,705.60 -2,705.60

QTl:lER FINANCING SOURCES

Operating Transfers In

Excess of Revenues and Other Financing Sources

over (under) Expenditures

s

176,823.51 0.00 S

0.00 0.00 $

43,395.71

220~19.22

0.00 S

0.00 S

31.00 -2,674.60

FUND BALANCE JULY 1

0.00

1,315.88

0.00

1,315.88

3,990.48

EYNI:! BALANCE JUNE 30

s

0.00 S 11315.88 $

0.00 S

11315.88 $

11315.88

See notes to the general purpose financial statements.

-25-

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
YEAR ENDED JUNE 30 1995

SCHEDULE 1

FUNDING AGENCY
PROGRAM/GRANT

CFDA NUMBER

AWARDS IN PERIOD

FEDERAL FUNDS RECEIVED IN PERIOD(NET OF REFUNDS)

FEDERAL REVENUE IN PERIOD

EXPENDITURES IN PERIOD

Agriculture,U.S.Departmentof Direct Food and Nutrlion Service Summer Food Service Program for Children 1994Grant Through Alma Housing Authority Food and Nutrition Service .
Summer Food Service Program for Children 1995 Grant
Through Concerted Services, Incorporated Child and Adult Care Food Program 1995Grant
Through Georgia Department of Education Food and Nutrition Program Child and Adult Care Food Program 1995 Contract Food Services School Breakfast Program 1994Grant 1995 Grant National School Lunch Program 1994Grant 1995 Grant Food Distribution Program (1)

10.559

$

10.559 $ 21,020.89

10.558

17,590.95

10.558
10.553 10.553
* 10.555 * 10.555
10.550

3,101.37
94,675.32 304,082.39
541987.30

7,879.00 $

7,076.88 $

7,076.88

17,590.95

10,303.70 17,590.95

7,179.09 (2)

3,101.37
2,433.27 90,891.84
2,864.23 300,824.88 N/A

3,101.37
94,675.32 304,082.39
541987.30

(2)
(2) 640,589.65 (3)
541987.30

Total U. S. Department of Agriculture

$ 4951458.22 $

4251585.54 $ 4911817.91 $

7091832.92

Education,U.S.Departmentof

Through Berrien County Board of Education

d/bla Southern Pine Migrant Education Agency

Elementary and Secondary Education Act

Chapter 1

Migratory Education Program

1994Summer

84.011 $

1995 Regular

84.011

1995Summer

84.011

Through Georgia Department of Education

Elementary and Secondary Education Act

Chapter1

Education of Deprived Children

1994 Regular

* 84.010

1994 Carry-OVer

* 84.010

1995 Regular

* 84.010

Chapter2

Block Grant - Flow Through

1995 Regular

84.151

Title II

Eisenhower Mathematics and Science

Education

1994 Regular

84.164

1995 Regular

84.164

Individuals with Disabilities Education Act

Title VI, B

Flow Through

1994 Regular

84.027

1994 Carry-Over

84.027

1995 Regular

84.027

1,050.00 $ 12,570.00 1,125.00
75,483.00 347,610.00
14,594.00
8,635.00
25,420.00 71,820.00

1,041.09 $ 12,402.82

1,041.09 $ 12,402.82
793.95

1,041.09 12,402.82
793.95

59,068.97 75,483.00 288,102.00
14,594.00

75,483.00 338,001.05
14,594.00

75,483.00 338,001.05
14,594.00

8,635.00

8,635.00

854.05 8,635.00

5,739:62 25,420.00 46,500.00

25,420.00 55,248.88

25,420.00 55,248.88

- 26 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
YEAR ENDED JUNE 30. 1995

SCHEDULE 1

FUNDING AGENCY
PROGRAM/GRANT

CFDA NUMBER

AWARDS IN PERIOD

FEDERAL FUNDS RECEIVED IN PERIOD(NET OF REFUNDS)

FEDERAL REVENUE IN PERIOD

EXPENDITURES IN PERIOD

Education, U. S. Department of Through Georgia Department of Education Individuals with Disabilities Education Act Title VI, B Preschool Program 1994 Regular 1994C8ny-Over 1995 Regular Vocational Education - Basic Grants to States High School Program Basic Grant 1994Grant 1995Grant Through Okefenokee Regional Educational Service Agency Drug-Free Schools and Communities Act 1993 Carry-Over 1994 Grant 1994 carry-Over 1995 Grant

84.173 84.173 $ 84.173
84.048 84.048
84.186 84.186 84.186 84.186

$ 13,306.00 18,900.00
18,212.60
4,455.00 12,489.00

822.02 13,306.00 $
3,100.00

13,306.00 $ 5,303.18

13,306.00 5,303.18

1,833.70

9,012.45

18,212.60

(4)

1,784.00 925.45 813.08
5,592.34

4,455.00 5,592.34

4,455.00 5,592.34

Total U. S. Department of Education

$ 625,669.60 $

574,175.54 $ 578,488.91 $

561,130.36

Health and Human Services, U. S. Department of Through Concerted Services, Incorporated Project Head Start 1994Grant 1995 Grant

93.600

$

93.600 $ 100,075.00

43,448.28 $ 49,888.51

37,738.20 $ 65,241.25

37,738.20 65,241.25

Total U.S. Department of Health and Human Services

$ 100,075.00 $

93,336.79 $ 102,979.45 $

102,979.45

Labor, U. S. Department of

Through Southeast Georgia Regional Development

Center

Job Training Partnership Act

948-05

17.250

958-03

17.250 $

$ 31.782.00

27,027.00 $ 188.66

20,749.82 $ 10,214.91

20,749.82 10,214.91

Total U. S. Department of Labor

$ 31,782.00 $

27,215.66 $ 30,964.73 $

30,964.73

Total Federal Financial Assistance

$ 1,252,984.82 $

1,120,313.53 $ 1,204,251.00 $

Major Programs are identified by an asterisk(*) in front of the CFDA number.

(1) The amounts shown for the Food Distribution Program represent the Federally assigned value of nonmonetary assistance for donated commodities received by the system during the current flSC81 year.
(2) Expenditures for the School Breakfast Program and the Child and Adult Care Food Program were not maintained separately and are included in the 1995 National School Lunch Program.
(3) Expenditures for this program include State, and/or Local and Other Funds. Expenditures are not maintained by fund source.
(4) Expenditures on this program were not maintained by fund source.

1,404,907.46

See notes to the general purpose financial statements.

- 27 -

BACON COUNTY BOARD OF EDUCATION CASH AND CASH EQUIVALENTS JUNE 30, 1995
INTEREST BEARING ACCOUNTS
Alma Exchange Bank and Trust, Alma, Georgia
N.O.W. Accounts (2.75%)
First National Bank of Alma, Alma, Georgia
N.O.W. Accounts (2.75%)

SCHEDULE "2"
$ 3,500.72 304,652.12
$ 308,152.84

See notes to the general purpose financial statements.
- 28 -

BACON COUNTY BOARD OF EDUCATION INVESTMENTS JUNE 30, 1995
INVESTMENT POOL State of Georgia, Office of Treasury and Fiscal Services Local Government Investment Pool (6.032%)

SCHEDULE "3" $ 827,420.36

See notes to the general purpose financial statements.
- 29 -

BACON COUNTY BOARD OF EDUCATION ACCOUNTS RECEIVABLE JUNE 30, 1995

SCHEDULE "4"

Alma Housing Authority Summer Food Service Program
Bacon County Tax Commissioner County Wide School Tax
Berrien County Board of Education d/b/a Southern Pine Migrant Education Agency Migratory Education Program
Concerted Services, Incorporated Project Head Start
Education, Georgia Department of Food Services School Breakfast Program National School Lunch Program Vocational Education State Funds Federal Funds other State Program Remedial Summer School Program Lottery Programs Instructional Technology Technology Installation Federal Programs ESEA- Chapter 1 Education of Deprived Children Individuals with Disabilities Education Act TrtleVl,B Flow Through Preschool Program
Okefenokee Regional Educational Service Agency Drug-Free Schools and Communities Act
Southeast Georgia Regional Development Center Job Training Partnership Act
Various Sources other

GOVERNMENTAL FUND TYPES

SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTAL

$

10,303.70 $ 10,303.70

$

55,726.26

55,726.26

793.95

793.95

15,352.74 15,352.74

1,172.85 9,200.15 3,664.04
402.10

3,783.48 3,257.51
32,512.45 13,973.11

3,783.48 3,257.51
1,172.85 9,200.15
3,664.04
32,512.45 13,973.11

49,899.05 49,899.05

8,748.88 2,203.18

8,748.88 2,203.18

3,641.92

3,641.92

10,026.25 10,026.25

402.10

$

70,165.40 $

154,496.22 $ 224,661.62

See notes to the general purpose financial statements.

- 30 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30, 1995

SCHEDULE "5"

AGENCY/FUNDING
GRANTS Education, Georgia Department of Quality Basic Education General and Career Education Programs Special Education Programs Remedial Education Program Media Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Middle School Incentive Special Instructional Assistance In-School Suspension School Counselors Grades 4 and 5 Superintendents Base Salary Local Fair Share Educational Equalization Funding Grant Food Services Vocational Education Other State Programs At-Risk Summer School Program Preschool Handicapped Program Remedial Summer School Program Teachers' Retirement Lottery Programs Algebra Classrooms Distant Learning Instructional Technology Media Center and Library Equipment Pre-Kindergarten Program Safe Schools Grant Technology Installation
Family and Children Services, Bacon County Department of Adult Education
CONTRACT Education, Georgia Department of Governor's School Leadership Institute
OTHER Education, Georgia Department of Computer Supplies

GOVERNMENTAL FUND TYPES

SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTAL

$ 3,489,721.00 438,584.00 180,011.00 147,796.00 50,446.00
1,053,238.00
249,343.00 81,329.00
139,103.00 95,913.00 65,010.00 19,971.00 10,415.00
-531,756.00 565,901.00
$ 57,527.50
8,865.45
4,905.19 1,274.12

$
51,812.00 17,427.00
1,138.90 5,953.36 41,905.06 5,338.43 237,919.00 14,240.80 13,973.11

3,489,721.00 438,584.00 180,011.00 147,796.00 50,446.00
1,053,238.00
249,343.00 81,329.00
139,103.00 95,913.00 65,010.00 19,971.00 10,415.00
-531,756.00 565,901.00
51,812.00 57,527.50
8,865.45 17,427.00 4,905.19
1,274.12
1,138.90 5,953.36 41,905.06 5,338.43 237,919.00 14,240.80 13,973.11

2,097.00

2,097.00

1,000.00

1,000.00

1 000.00

1 000.00

$ 6,129,597.26 $

391,804.66 $ 6,521,401.92

See notes to the general purpose financial statements.

- 31 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF LOCAL AND OTHER REVENUE
YEAR ENDED JUNE 30, 1995

SCHEDULE "6"

Taxes County Wide School Tax Railroad Car Tax Real Estate Transfer Tax
other Indirect Cost Special Revenue Fund Interest Earned Rents Sales Breakfast and Lunches School Assets Testing Fees Tuition other

GOVERNMENTAL FUND TYPES

SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTAL

$ 1,270,831.15 885.52
2,643.49

$ 1,270,831.15 885.52
2,643.49

6,270.00 71,082.56 $
430.00
7,364.00 2,315.00 6,295.00 1,747.24

5,305.38 171,925.57

6,270.00 76,387.94
430.00
171,925.57 7,364.00 2,315.00 6,295.00 1,747.24

$ 1,369,863.96 $

177,230.95 $ 1,547,094.91

See notes to the general purpose financial statements. - 32 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT GENERAL AND SPECIAL REVENUE FUNDS
YEAR ENDED JUNE 30, 1995

SCHEDULE "7"

EXPENDITURES
Operating Costs Salaries Employee Benefits Travel of Employees Professional and Technical Services Compensation and Travel of Board Members Water, Sewer and Cleaning Services Repair and Maintenance Services Rents Insurance Communications Tuition Commodity Hauling Shared Services Other Purchased Services Supplies
Energy Food Usage Books, Textbooks and Periodicals Dues and Fees Federal Indirect Costs Other Expenditures
Nonoperating Costs Principal and Interest Land and Land Improvements Equipment

GENERAL FUND

SPECIAL REVENUE
FUND

TOTAL

$ 5,231,195.43 $ 1,165,945.78 18,017.81 21,909.13 19,518.62 25,426.55 52,647.50 264.38 19,555.18 19,057.29 7,819.00
50,997.72
262,246.89 248,603.32
34,417.41 4,770.00
3,361.15

875,787.52 $. 6,106,982.95

204,341.76

1,370,287.54

10,560.65

28,578.46

13,161.51

35,070.64

19,518.62

810.00

26,236.55

13,214.25

65,861.75

264.38

671.00

20,226.18

951.45

20,008.74

522.33

8,341.33

4,556.07

4,556.07

50,997.72

14,549.88

14,549.88

141,686.25

403,933.14

359.92

248,963.24

357,268.28

357,268.28

6,125.83

40,543.24

7,625.00

12,395.00

6,270.00

6,270.00

1,954.24

5,315.39

64,240.34 146,607.81

46,485.56 2,035.00
173,546.76

110,725.90 2,035.00
320,154.57

Total Expenditures

$ 7,396,601.31 $ 1,882,483.26 $ 9,279,084.57

See notes to the general purpose financial statements. - 33 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT
LOTTERY PROGRAMS YEAR ENDED JUNE 30. 1995

EXPENDITURES
Operating Costs Salaries Employee Benefits Travel of Employees Professional and Technical Services Communications Other Purchased Services Supplies Books, Textbooks and Periodicals Dues and Fees Other Expenditures
Nonoperating Costs Principal and Interest Land and Land Improvements Equipment

ALGEBRA CLASSROOMS

DISTANT LEARNING

INSTRUCTIONAL TECHNOLOGY (1)

MEDIA CENTER AND
LIBRARY EQUIPMENT

$

873.00 $

$

1,221.27

5,150.00

962.50 $ 5,750.63

4,644.43 694.00

32,512.45 2,679.48

Total Expenditures

$

1,221.27 $

6,023.00 $

41,905.06 $ _ _ _ _5..,_,338_.4_3

(1) Expenditures in the amount of $141,000.00 which are associated with the inception of a capital lease have been excluded from this schedule.

See notes to the general purpose financial statements.

- 34 -

SCHEDULE a

PRE-KINDERGARTEN PROGRAM

SAFE SCHOOLS
GRANT

TECHNOLOGY INSTALLATION

TOTAL

$

156,821.24

36,307.13

3,836.95

1,748.00

17.55

1,737.16

29,052.38 $

11,152.80

1,402.32

365.00

575.00

$

156,821.24

36,307.13

3,836.95

8,227.93

17.55

1,737.16

53,021.08

1,402.32

365.00

575.00

2,035.00 4,021.27

$

13,973.11

46,485.56 2,035.00 6,700.75

$

237,919.00 $

11,152.80 $

13 973.11 $ 317,532.67

- 35 -

?fa

BACON COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL
GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS
YEAR ENDED JUNE 30, 1995

SCHEDULE "9"

Minimum Expenditure Requirements (Total Allotment) Expenditures on Combined Program Basis
Salaries Operations
Less: Expenditures for Media Center Programs in Excess of Total Media Allotment
Expenditures per Audit
Amount of Underexpenditure for Total Allotment

THIRTEEN WEIGHTED AND MEDIA CENTER
PROGRAMS

100% TEST FOR
OPERATIONS PORTION OF
THIRTEEN WEIGHTED PROGRAMS

$ 4,256,112.00 $

161,475.00

$ 4,245,620.75 196,466.29 $ _ __;1;.;;.64...;.!,.,;;.;oo;.;;o=.2~4
$ 4,442,087.04

55,998.15 $ 4,386,088.89

$

o.oo s=====o=.o=o

See notes to the general purpose financial statements.
- 37 -

BACON COUNTY BOARD Of EDUCATION ANALYSIS Of MINIMUM EXPENDITURE BEOUIREMENTS BY PBQGRAM
GENERAL FUND OUALITY BASIC EDUCATION PROGRAMS
YEAR ENDED JUNE 30, 1995

GENl;B&, ~p ~EER EDUCATION PROGRAMS
Kindergarten (") Grades 1 3 (")
Sub-Tolal K-3 Grades 4 5 (") Grades 6 8 (") Grades 9 12 (") High School Laboratories (") Vocational Education Laboratories (")
Total General and Career Education Programs SeEQ!&. EDUCATION PROGRAMS
Regular Programs Category I (")
Category nr>
Category Ill (")
Category nt (")
Sub-ToCal Regular Category V (Gifted) (")
Total Special Education Programs
REMEQ!&, l;Q.YgATIQN PRQGMM 0
Tolal Thirteen Weighted Programs
MEDIA CENTER PROGRAMS
Salaries Operation&
Total Madia Center Programs
Total Thirteen Weighted and Madia Center Program_s

ALLOTMENTS FROM DEPARTMENT OF EDUCATION

REQUIRED

ORIGINAL ....'.!L

ORIGINAL

MID-TERM

$

316,117.00

$

2&4,505.30 $

0.00

821,393.00

739,253.70

0.00

$ 1,137,510.00 90 $ 1,023,759.00 $

0.00

392,787.00 110

353,508.30

0.00

804,840.00 110

n4,356.oo

0.00

627,526.00 90

564,773.40

0.00

196,667.00 90

,n.ooo.30

o.oo

330,391.00 90

297,351.90

0.00

$ 3,489,n1.oo

$ 3,140,748.90 $

0.00

$

430,231.00

$

387,207.90 $

0.00

$

430,231.00 90 $

387,207.90 $

0.00

8,353.00 90

7,517.70

0.00

$

438,584.00

$

394,nS.60 $

0.00

$

180,011.00 90 $

162,009.90 $

0.00

$ 4,108,316.00

$ 3,697,4&4.40 $

0.00

$

113,510.00 90 $

102,159.00 $

0.00

34,286.00 90

30,857.40

0.00

$

147,796.00

$

133,016.40 $

0.00

$ 4,256,112.00

$ 3,830,500.80 $

0.00

STAFF DEVELOPMEfil PROGRAMS Cost of Instruction Professional Development
Total Staff Development (") Identifies Thirteen Weighted Programs. See notes to the general purpose financial statements.

$

11,886.00

$

11,886.00 $

0.00

38,560.00

38,560.00

0.00

$

50.446.00 100 $

50,446.00 $

0.00

38

SCHEDULE "10"

TOTAL REQUIRED

ACTUAL EXPENDITURES

SALARIES

OPERATIONS

TOTAL

AMOUNTOF UNDEREXPENDITURE
FOR REQUIRED ALLOTMENT

$

284,505.30 $

343,117.13 $

7,379.99 $

350,497.12

739,253.70

841,501.96

23,981.65

865,483.61

$ 1,023,759.00 $

1,184,619.09 $

31,361.64 $ 1,215,980.73 $

0.00

353,508.30

396,612.92

13,043.25

409,656.17

0.00

724,356.00

790,127.32

22,683.32

812,810.64

0.00

564,773.40

849,274.21

31,471.39

880,745.60

0.00

1n,ooo.30

183,328.61

8,320.93

191,649.54

0.00

297,351.90

283,867.98

44,641.60

328,509.58

0.00

$ 3,140,748.90 $

3,487,830.13 $

151,522.13 $ 3,639,352.26

$

387,207.90

$

7,891.06 $ 144,695.07 242,805.92 22,700.32

174.87 $ 2,818.03 5,363.43 1,452.23

8,065.93 147,513.10 248,169.35 24,152.55

$

387,207.90 $

418,092.37 $

9,808.56 $

427,900.93

0.00

7,517.70

8,173.37

12.81

8,186.18

0.00

$

394,725.60 $

426,265.74 $

9,821.37 $

436,087.11

$

162,009.90 $

160,196.78 $

2,656.74 $

162,853.52

0.00

$ 3,697,484.40 $ 4,074,292.65 $

164,000.24 $ 4,238,292.89

$

102,159.00 $

171,328.10

$

171,328.10

0.00

30,857.40

$

32,466.05

32,466.05

0.00

$

133,016.40 $

171,328.10 $

32,466.05 $

203,794.15

$ 3,830,500.80 $

4,245,620.75 $

196,466.29 $ 4,442,087.04 $

0.00

$

11,886.00

38,560.00

$ _ _ _so_.&"""""""'..oo.

$

20,844.69 $

20,844.69

30,076.69

30,076.69

$

50,921.38 $

50,921.38 $ _ _ _ _ _ _0_.00_

- 39 -

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS
YEAR ENDED JUNE 30, 1995

SCHEDULE "11"

BOARD MEMBER ADDRESS
Dr. George J. Williams, Chairman (*) 408 East Sixteenth Street Alma, Georgia 31510
Mr. Paul T. Bennett (*) Route 2, Box 64A Alma, Georgia 31510
Mr. Allen T. Johnson Route 3, Box 44 Alma, Georgia 31510
Mr. Jerry King (*) Route 1, Box 197 Mershon, Georgia 31551
Rev. W. Earley Linder (*)
P. 0. Box 117
Alma, Georgia 31510
Mr. Jack J. Tanner(*) Route 1, Box 113 Alma, Georgia 31510
Rev. Wayne A Woods (*)
Route 4, Box 6 Alma, Georgia 31510

COMPENSATION

TRAVEL

$

4,200.00 $

1,064.04

2,450.00

35.50

1,400.00

103.00

1,300.00

503.09

2,300.00

348.21

2,450.00

441.88

2,550.00

372.90

(*) Denotes Board Members Serving as of June 30, 1995

$

16,650.00 $ ===2='=86=8=.6=2

See notes to the general purpose financial statements.

- 40 -

SECTION II COMPLIANCE

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation
COMPLIANCE REPORT BASED ON AN AUDIT OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Ladies and Gentlemen:
We have audited the general purpose financial statements of the Bacon County Board of Education as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements.
We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement.
Compliance with laws, regulations, contracts, and grants applicable to Bacon County Board ofEducation is the responsibility of the Board's management. As part of obtaining reasonable assurance about whether the general purpose financial statements are free of material misstatement, we performed tests of the Board's compliance with certain provisions oflaws, regulations, contracts, and grants. However, the objective of our audit of the financial statements was not to provide an opinion on overall compliance with such provisions. Accordingly, we do not express such an opinion.
The results ofour tests disclosed no instances of noncompliance that are required to be reported herein under Government Auditing Standards.

95CRL-10

This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,
~~,
Claude L. Vickers State Auditor
CLV:cm 95CRL-10

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation

SINGLE AUDIT REPORT ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS

Ladies and Gentlemen:

We have audited the general purpose financial statements ofthe Bacon County Board of Education as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements.

We have applied procedures to test the Bacon County Board ofEducation's compliance with the following requirements applicable to each of its Federal financial assistance programs, which are listed in the Schedule ofFederal Financial Assistance, for the year ended June 30, 1995:

(1) Political Activity

(5) Allowable Costs/Cost Principles

(2) Civil Rights

(6) Drug-Free Workplace Act

(3) Cash Management

(7) Audit Follow-Up/Resolution

(4) Federal Financial Reports

(8) Administrative Requirements

Our procedures were limited to the applicable procedures described in the Office of Management and Budget's "Compliance Supplement for Single Audits of State and Local Governments" and other additional procedures as deemed necessary. Our procedures were substantially less in scope than an audit, the objective of which is the expression of an opinion on the Board's compliance with the requirements listed in the preceding
paragraph. Accordingly, we do not express such an opinion.
I

95CRL-50

With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the second paragraph of this report. With respect to items not tested, nothing came to our attention that caused us to believe that the Bacon County Board ofEducation had not complied, in all material respects, with those requirements. However, the results of our procedures disclosed an immaterial instance ofnoncompliance with those requirements, which is described in the Schedule ofFindings and Improper or Questioned Costs.
This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,
~
Claude L. Vickers State Auditor
CLV:cm 95CRL-50

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation

SINGLE AUDIT OPINION ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS

Ladies and Gentlemen:

We have audited the general purpose financial statements of the Bacon County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general p1,1rpose financial statements.

We have also audited the Bacon County Board ofEducation's compliance with the requirements governing:

(1) Types of Services Allowed or Unallowed

(5) Applicable Special Tests and Provisions

(2) Eligibility
(3) Matching, Level ofEffort, and/or Earmarking

(6) Other Requirement Claims for Advances and Reimbursements

(4) Reporting

These requirements are applicable to the major Federal financial assistance programs, which are identified in the Schedule ofFederal Financial Assistance, for the year ended June 30, 1995. The management of the Bacon County Board of Education is responsible for the Board's compliance with those requirements. Our responsibility is to express an opinion on compliance with those requirements based on our audit.

95CRL-80

We conducted our audit ofcompliance in accordance with generally accepted auditing standards; Government Auditing Standards, issued by the Comptroller General ofthe United States; and Office ofManagement and Budget (0MB) Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether material noncompliance with the requirements referred to above occurred. An audit includes examining, on a test basis, evidence about the Bacon County Board ofEducation's compliance with those requirements. We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the Bacon County Board ofEducation complied, in all material respects, with the requirements as disclosed in the second paragraph that are applicable to its major Federal financial assistance programs for the year ended June 30, 1995.
This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,

CLV:cm 95CRL-80

Claude L. Vickers State Auditor

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation

SINGLE AUDIT REPORT ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS

Ladies and Gentlemen:

We have audited the general purpose financial statements of the Bacon County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements.

In connection with our audit ofthe fiscal year 1995 general purpose financial statements of the Bacon County Board of Education and with our consideration of the Board's control structure used to administer Federal financial assistance programs, as required by Office of Management and Budget (0MB) Circular A-128, "Audits of State and Local Governments", we selected certain transactions applicable to certain nonmajor Federal financial assistance programs for the year ended June 30, 1995. As required by 0MB Circular A-128, we have performed auditing procedures on the selected transactions to test compliance with the requirements governing:

(1) Types of Services Allowed or Unallowed

(2) Eligibility

Our procedures were substantially less in scope than an audit, the objective of which is the expression of an opinion on the Bacon County Board ofEducation's compliance with these requirements. Accordingly, we do not express such an opinion.

With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the second paragraph. With respect to items not tested, nothing came to our attention that caused us to believe that the Bacon County Board ofEducation had not complied, in all material respects, with those requirements.

95CRL-120

This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
a __. . Respectfully submitted,
Claude L. Vickers State Auditor
CLV:cm 95CRL-120

SECTION ill INTERNAL CONTROL

CLAUDE L. VICKERS
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation
REPORT ON INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Ladies and Gentlemen:
We have audited the general pwpose financial statements of the Bacon County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements.
We conducted our audit in accordance with generally accepted auditing standards, and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement.
The management ofthe Bacon County Board of Education is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation ofgeneral pwpose financial statements in accordance with generally accepted accounting principles. Because ofinherent limitations in any internal control structure, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the structure to future periods is subject to risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate.
In planning and performing our audit ofthe general purpose financial statements ofthe Bacon County Board ofEducation for the year ended June 30, 1995, we obtained an understanding of the internal control structure.
95ICL-3

With respect to the internal control structure, we obtained an understanding ofthe design of relevant policies and procedures and whether they have been placed in operation, and we assessed control risk in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide an opinion on the internal control structure. Accordingly, we do not express such an opinion.
We noted certain matters involving the internal control structure and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control structure that, in our judgment, could adversely affect the entity's ability to record, process, summarize, and report financial data consistent with the assertions of management in the general purpose financial statements.
As described in the Schedule ofFindings and Improper or Questioned Costs, reportable conditions were noted in the following control categories:
(I) Accounting Controls (Overall)
(2) General Fixed Assets
A material weakness is a reportable condition in which the design or operation of one or more of the internal control structure elements does not reduce to a relatively low level the risk that errors or irregularities in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions.
Our consideration of the internal control structure would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, we believe that the reportable conditions disclosed above are also considered to be material weaknesses.
These conditions were considered in determining the nature, timing, and extent of the procedures to be performed in our audit of the Bacon County Board ofEducation's general purpose financial statements and this report does not affect our report thereon dated April 23, 1996.
This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,
~~
Claude L. Vickers State Auditor
CLV:cm 95ICL-3

CLAUDE L. VICKERS
STATE AUDllOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 23, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Bacon County Board ofEducation
SINGLE AUDIT REPORT ON THE INTERNAL CONTROL STRUCTURE USED IN ADMINISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS
Ladies and Gentlemen:
We have audited the general purpose financial statements of the Bacon County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated April 23, 1996. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have also audited the Bacon County Board of Education's compliance with requirements applicable to major Federal financial assistance programs and have issued our opinion thereon dated April 23, 1996.
We conducted our audit in accordance with generally accepted auditing standards; Government Auditing Standards, issued by the Comptroller General of the United States; and the provisions of Office of Management and Budget (0MB) Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement and about whether the Bacon County Board ofEducation complied with laws and regulations, noncompliance with which would be material to a major Federal financial assistance program.
In planning and performing our audit for the year ended June 30, 1995, we considered the Board's internal control structure in order to determine our auditing procedures for the purpose of expressing our opinions on the Board's general purpose financial statements and on its compliance with requirements applicable to major Federal financial assistance programs and to report on the internal control structure in accordance with 0MB Circular A-128. This report addresses our consideration of internal control structure policies and procedures relevant to compliance with requirements applicable to Federal financial assistance programs. We have addressed internal control structure policies and procedures relevant to our audit of the general purpose financial statements in a separate report dated April 23, 1996.
95ICL-7

The management ofthe Bacon County Board ofEducation is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that, assets are safeguarded against loss from unauthorized use or disposition, that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principles, and that Federal financial assistance programs are managed in compliance with applicable laws and regulations. Because of inherent limitations in any internal control structure, errors, irregularities, or instances of noncompliance may nevertheless occur and not be detected. Also, projection ofany evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate.

For the purpose of this report, we have classified the significant internal control structure policies and procedures used in administering Federal financial assistance programs in the following control categories:

GENERAL REQUIREMENTS

SPECIFIC REQUIREMENTS

(1) Political Activity (2) Civil Rights (3) Cash Management (4) Federal Financial Reports

(1) Types of Services Allowed or Unallowed
(2) Eligibility
(3) Matching, Level ofEffort, and/or Earmarking

(5) Allowable Costs/Cost Principles

(4) Reporting

(6) Drug-Free Workplace Act (7) Audit Follow-Up/Resolution (8) Administrative Requirements

(5) Applicable Special Tests and Provisions
(6) Other Requirement Claims for Advances and Reimbursements

For all of the internal control structure categories listed above, we obtained an understanding of the design of relevant policies and procedures and determined whether they have been placed in operation, and we assessed control risk.

During the year ended June 30, 1995, the Bacon County Board of Education expended 60% of its total Federal financial assistance under major Federal financial assistance programs.

We performed tests of controls, as required by 0MB Circular A-128, to evaluate the effectiveness of the design and operation of internal control structure policies and procedures that we considered relevant to preventing or detecting material noncompliance with general requirements and specific requirements as described above that are applicable to each of the Board's major Federal financial assistance programs, which

95ICL-7

are identified in the Schedule ofFederal Financial Assistance. Our procedures were less in scope than would be necessary to render an opinion on these internal control structure policies and procedures. Accordingly, we do not express such an opinion.
We noted a certain matter involving the internal control structure and its operation that we consider to be a reportable condition under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control structure that, in our judgment, could adversely affect the Board's ability to administer Federal financial assistance programs in accordance with applicable laws and regulations.
As descnbed in the Schedule ofFindings and Improper or Questioned Costs, a reportable condition was noted in the following control category:
Administrative Requirements
A material weakness is a reportable condition in which the design or operation of one or more ofthe internal control structure elements does not reduce to a relatively low level the risk that noncompliance with laws and regulations that would be material to a Federal financial assistance program may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions.
Our consideration of the internal control structure policies and procedures used in administering Federal financial assistance would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, we believe that the reportable condition described above is also considered to be a material weakness.
This condition was considered in determining the nature, timing, and extent of the procedures to be performed in our audit ofthe Bacon County Board ofEducation's compliance with requirements applicable to its major Federal financial assistance programs for the year ended June 30, 1995, and this report does not affect our report thereon dated April 23, 1996.
This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies and should not be used for any other purpose. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,
c 7 ~ ~~
Claude L. Vickers State Auditor
CLV:cm 95ICL-7

SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30, 1995
PRIOR YEAR
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $3,884.31 Audit Control Number 6031-93-02
The audit report for the year ended June 30, 1993, reported that the Board had an underexpenditure of Quality Basic Education (QBE) funds of $3,884.31 for the StaffDevelopment - Professional Development Program. For the year under review, no adjustment was made to the Board's local fair share by the Georgia Department of Education to refund this underexpenditure as required. The underexpenditure of $3,884.31 should be returned to the Georgia Department of Education through an increase in the Board's local fair share for the QBE programs in a subsequent fiscal period.
PRIOR YEAR/CURRENT YEAR
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6031-93-01
The audit report for the year ended June 30, 1994, noted that the management ofthe Bacon County Board ofEducation had chosen not to maintain a system-wide General Fixed Assets Account Group within the formal accounting records as required by generally accepted accounting principles. In the year under review, the Board did not establish a General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose financial statements of the Board being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Board to establish accounting controls and procedures to provide for maintenance of a General Fixed Assets Account Group. These subsidiary records should include an inventory ofland, buildings and equipment owned by the Board and should include, but may not be limited to, date acquired, acquisition cost, estimated replacement cost, location and description. Detailed records should be maintained of all additions and deletions to the General Fixed Assets Account Group.

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30, 1995
PRIOR YEAR/CURRENT YEAR
ACCOUNTING CONTROLS (OVERALL) - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Reportable Condition - Material Weakness Audit Control Number 6031-94-01
The audit report for the year ended June 30, 1994, stated that the Board did not provide for adequate separation ofemployee duties in the performance of accounting functions and related procedures for all funds. For the year under review, the Board made some improvements regarding separation of employee's duties but still did not achieve an adequate degree of internal control. This deficiency was a result of management's decision to limit the number of administrative staff made responsible for accounting functions. Management should periodically review this decision to determine if employee duties can be reassigned to achieve a higher degree of internal control with existing staff.
Note: Federal financial assistance programs affected by this finding are as follows: Child and Adult Care Food Program (CFDA 10.588) School Breakfast Program (CFDA 10.553) National School Lunch Program (CFDA 10.555) Food Distribution Program (CFDA 10.550)
AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Nonmaterial Noncompliance Audit Control Number 6031-94-02
The audit report for the year ended June 30, 1994, noted that the Board failed to submit a copy of the 1993 audit report to various entities that were the sources ofFederal Financial Assistance. During the year under review, it was noted that the Board did submit a copy of the 1993 audit report to the various entities as required. However, the Board failed to submit a copy of the 1994 audit report to the U. S. Department of Agriculture from whom he Board received Summer Food Service Program for Children (CFDA 10.559) funds.
Paragraph 13fofOMB Circular A-128 requires that the recipients ofFederal financial assistance submit copies ofsingle audit reports to those agencies providing Federal financial assistance. The deficiency was caused by management's failure to comply with report distribution responsibilities. Procedures should be implemented to ensure that reports are submitted to grantor agencies in accordance with audit distribution requirements.

BACON COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30, 1995
CURRENT YEAR
EXPENDITURES/LIABil..ITIES/DISBURSEMENTS Unearned Lottery Funds Financial Statements Nonmaterial Noncompliance Amount: $3,088.00 Audit Control Number 6031-95-01
For the year under review, the Board received $3;088.00 in Lottery Safe School Grant funds in excess of the amount needed to cover program expenditures. This lottery fund balance was the result ofthe Board drawing funds in excess of actual expenditures. Accordingly, the Board should refund unearned lottery funds in the amount of$3,088.00 to the Georgia Department ofEducation.

SECTIONV PERTINENT VIEWS OF RESPONSIBLE OFFICIALS

BACON COUNTY BOARD OF EDUCATION PERTINENT VIEWS OF RESPONSIBLE OFFICIALS
YEAR ENDED JUNE 30, 1995
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $3,884.31 Audit Control Number 6031-93-02
We concur with this finding. This finding has been resolved by Georgia Department ofEducation.
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6031-93-01
We concur with this recommendation. Due to current staffing limitations and budgetary considerations prohibiting the hiring of additional administrative staffthe Board has decided not to pursue the recording of general fixed assets on the financial statements.
ACCOUNTING CONTROLS (OVERALL) - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Reportable Condition - Material Weakness Audit Control Number 6031-94-01
We concur with this finding, however, due to current budgetary constraints, the Board is unable to hire the additional staff required to clear this finding. The Board feels it has provided for the most appropriate assignment of duties with the number of personnel available to perform the accounting functions. With staff limitations, this finding cannot be totally resolved.
AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Nonmaterial Noncompliance Audit Control Number 6031-94-02
We concur with this finding. This finding has been resolved and an audit report was mailed to the one Federal Grantor.

BACON COUNTY BOARD OF EDUCATION PERTINENT VIEWS OF RESPONSIBLE OFFICIALS
YEAR ENDED JUNE 30, 1995
EXPENDITURES/LIABil.,ITIES/DISBURSEMENTS Unearned Lottery Funds Financial Statements Nonmaterial Noncompliance Amount: $3,088.00 Audit Control Number 6031-95-01
We understand this finding, but would like to explain that these funds (Safe School) were drawn down in June
by mistake as the purchase order was not written until after June. We are concerned that we are having to .refund this money not because we overspent the Safe School Grant, but because, in error, we drew the money
down in June prior to a purchase order being written. This purchase was for cameras on buses.