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AUDIT REPORT BERRIEN COUNTY BOARD OF EDUCATION 
NASHVILLE, GEORGIA YEAR ENDED JUNE 30, 1995 
 
 BERRIEN 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 
 
2 
 
B 
 
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND 
 
CHANGES IN FUND BALANCES 
 
ALL GOVERNMENTAL FUND TYPES 
 
3 
 
C 
 
STATEMENT OF REVENUES, EXPENDITURES AND 
 
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL 
 
(NON-GAAP BASIS) 
 
GENERAL AND SPECIAL REVENUE FUNDS 
 
5 
 
D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
6 
 
 ADDITIONAL FINANCIAL INFORMATION 
 
COMBINING STATEMENTS 
 
SPECIAL REVENUE FUND 
 
E 
 
COMBINING BALANCE SHEET 
 
18 
 
F 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES 
 
AND CHANGES IN FUND BALANCES 
 
20 
 
CAPITAL PROJECTS FUND 
 
G 
 
COMBINING BALANCE SHEET 
 
22 
 
H 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND 
 
CHANGES IN FUND BALANCES 
 
23 
 
SCHEDULES 
 
1 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 
 
24 
 
2 CASH AND CASH EQUIVALENTS 
 
25 
 
3 ACCOUNTS RECEIVABLE 
 
26 
 
SCHEDULE OF REVENUE 
 
4 
 
STATE 
 
27 
 
5 
 
LOCAL AND OTHER 
 
28 
 
 BERRIEN COUNTY BOARD OF EDUCATION -TABLE OF CONTENTS- 
 
SECTION I 
 
FINANCIAL 
 
. ADDmONAL FINANCIAL INFORMATION 
 
SCHEDULES 
 
SCHEDULE OF EXPENDITURES BY OBJECT 
 
6 
 
GENERAL AND SPECIAL REVENUE FUNDS 
 
29 
 
7 
 
LOTTERY PROGRAMS 
 
30 
 
ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS 
 
GENERAL FUND- QUALITY BASIC EDUCATION PROGRAMS 
 
8 
 
OVERALL 
 
33 
 
9 
 
BYPROGRAM 
 
34 
 
10 SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS 
 
36 
 
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 GENERAL 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 ill 
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 
 
 BERRIEN COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS - 
SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS 
 
 SECTION I FINANCIAL 
 
 CLAUDE L. VICKERS 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation 
and Superintendent and Members of the Berrien County Board ofEducation 
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATE:tvffiNTS AND SUPPLE:tvffiNTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 
Ladies and Gentlemen: 
We have audited the general purpose financial statements (Exhibits A through D) of the Berrien 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 ofthe 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 and 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 ofthese 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 recei.ved 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 ofthe matters referred to in the preceding paragraph, the general purpose financial statements present fairly, in all material respects, the financial position of the Berrien 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 September 13, 1996, on our consideration of the Board's internal control structure and a report dated September 13, 1996, on its compliance with laws and regulations. 
Our audit was conducted for the purpose offorming an opinion on the general purpose financial statements ofthe Berrien County Board ofEducation taken as a whole. The combining statements (Exhibits E through H) and the financial schedules_ (Schedules 1 through 10 which includes the Schedule of Federal Financial Assistance) are presented for purposes ofadditional analysis and are not a required part ofthe general purpose financial statements ofthe Berrien 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:jy 95ARL-13* 
 
Claude L. Vickers State Auditor 
 
 BERRIEN COUNTY BOARD OF EDUCATION - 1- 
 
 Cash and Cash Equivalents 
Accounts Receivable 
Inventories Food Donated Commodities Purchased Food 
 
BERRIEN COUNTY BOARD Of EDUCATION 
COMBINED BALANCE SHEET 
ALL fUNP TYPES 
JUNE 30. 1995 
 
EXHIBITA 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
CAPITAL 
 
GENERAL 
 
REVENUE 
 
PROJECTS 
 
FUND 
 
FUND 
 
FUND 
 
TOTALS (Memorandum Only) JUNE 301 1995 JUNE 301 1994 
 
$ 1,655,747.61 $ 128,227.90 $ 
 
4,801.75 s 1,188,m.2s s 2,386,652.43 
 
120,692.07 
 
174,212.73 
 
294,904.80 
 
575,144.98 
 
14,836.34 8,816.49 
 
14,836.34 8,816.49 
 
9,447.73 6,500.54 
 
Total Assets 
 
$ 1,776,439.68 $ 326,093.46 $ 
 
4,801.75 $ 2,107,334.89 $ 2,977,745.68 
 
LIABILITIES ANQ fUtU2 EQUITY 
 
UABILJIIES 
 
Accounts Payable 
 
$ 
 
Salaries Payable 
 
Expired Grant Balances Payable 
 
Contracts Payable 
 
Retainages Payable 
 
Deferred Revenue 
 
Total Llabilities 
 
$ 
 
FUND EQUITY 
 
Fund Balances 
 
Reserved 
 
For Bus Replacement Funds 
 
$ 
 
For Continuation of Federal Program 
 
For Expired Grant Balances/Questioned Costs 
 
For Inventories 
 
Food 
 
Donated Commodities 
 
Purchased Food 
 
For State Capital Outlay Project 
 
$ Unreserved 
Undesignated 
 
Total Fund Equity 
 
$ 
 
108,581.71 $ 10,277.10 
118,658.81 $ 
24,340.34 $ 
35,246.79 
59,587.13 $ 1,597,993.74 1,657,580.87 $ 
 
26,426.60 90,458.38 54,202.n 
$ 
171,087.70 $ 
188.93 
14,836.34 8,816.49 23,841.76 131,164.00 $ 155,005.76 $ 
 
Total Liabilities and Fund Equity 
 
$ 1,776,439.68 $ 326,093.46 $ 
 
$ 4,506.23 4,506.23 $ 
 
135,008.31 $ 90,458.38 64,479.82 4,506.23 
294,452.74 $ 
 
31,878.55 56,658.36 10,212.08 192,221.10 29,709.40 
606.05 
321,285.54 
 
$ 
 
24,340.34 $ 
 
34,995.78 
 
188.93 
 
1,502.60 
 
35,246.79 
 
35,246.79 
 
$ 295.52 295.52 $ 
 
14,836.34 8,816.49 
83,428.89 $ 1.n9.453.2e 1.812.882.15 $ 
 
9,447.73 6,500.54 1,846.79 
89,540.23 
2,566,919.91 
2,656,460.14 
 
4,801.75 $ 2,107,334.89 $ 2,977,745.68 
 
The notes to the general purpose financial statements are an integral part of this statement.  2  
 
 coum ai;BB(li;N 
 
aQ!SQ QE li;OUCATION 
 
'6!Ma!Nli;Q llAlEMli;tfi QE B~NUI;, EXPENDITUBI; ~Q Cl:W;l~li; IN E!.!NQ BALANCI; 
 
& ~Q~BNM!;t:Il&. E!.!NQ IX~E 
 
YEAB ENQEQ J!.!NE 30, 1995 
 
EXHIBIT "B" 
 
GENERAL FUND 
 
SPECIAL REVENUE 
FUND 
 
CAPITAL PROJECTS 
FUND 
 
TOTALS 
{Memorandum On!xl 
YEAR ENDED 
JUNE 30, 1995 JUNE 30, 1994 
 
Bi;~NUE 
State Funds Federal Funds Local and Other Funds 
Tolal Revenues 
 
$ 8,251,062.79 $ 670,383.51 $ 1,005,153.30 $ 9,926,599.60 $ 8,503,976.51 
 
23,878.11 
 
2,131,551.92 
 
2,155,430.03 
 
2.312,476.05 
 
2,383,846.53 
 
255,565.56 
 
5,248.70 
 
2,644,660.79 
 
2,449,459.71 
 
s $ 10,658,787.43 $ 3,057,500.99 $ 1,010,402.00 S 14,na,690.42 
 
13,265,912.27 
 
EXPENt>JTUBE 
Current lnstruc:tion Support SeNicas Pupil SeNicas Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support SeNicas Other Support Services Food Services Operation Other Operations of Non-Instructional Services 
Capital Outlay 
Total Expenditures 
Excess of Revenues over (under) Expenditures 
 
s 6,867,087.93 S 813,937.86 
 
s 7,681,025.79 S 6,908,430.94 
 
294,422.69 204,292.78 284,551.45 274,382.77 n5,439.88 112,550.59 1,009,023.63 610,857.43 119,503.42 
94,775.31 124.75 
76,055.13 133,028.33 
s 10,806,096.09 $ 
s -147,308.66 S 
 
211,118.51 166,688.79 114,744.64 127,260.19 
123,435.42 
655,851.10 880,038.72 
9,674.05 $ 3,102,749.28 S 
-45,248.29 $ 
 
1,669,127.60 1,669,127.60 $ 
s -658,n5.60 
 
505,541.20 370,981.57 399,296.09 401,642.96 725,439.88 112,550.59 1,132,459.05 610,857.43  119,503.42 750,626.41 880,163.47 
76,055.13 1,811,829.98 
s 15,511,en.e1 
-851,282.55 $ 
 
354,916.58 355,663.43 287,178.15 433,629.87 677,797.39 
73,127.37 999,290.17 581,709.59 123,968.30 751,069.01 831,259.30 
82,868.83 1 ~66,821.05 
1311211n9.98 
-461,817.71 
 
Qit:11:;B EIN&!CIN~ QUBCE (!.!El 
Operating Transfers In Operating Transfers Out 
 
s 
$ -192,766.80 
 
12,766.80 $ 
 
180,000.00 S 
 
192,766.80 $ -192,766.80 
 
19,892.33 -19,892.33 
 
Total Other Financing Sources (Uses) 
 
$ -192,766.80 $ 
 
12,766.80 $ 180,000.00 S 
 
0.00 $ 
 
0.00 
 
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses $ 
 
-340,075.46 $ 
 
s -32,481.49 $ -478,n5.60 
 
-851,282.55 $ 
 
-461,817.71 
 
FUND BALANCE JULY 1 
Food Inventory - Net Change in Period Donated Commodities Purchased Food 
 
1,997,656.33 
 
179,782.69 
5,388.61 2,315.95 
 
479,021.12 
 
2,656,460.14 
5,388.61 2,315.95 
 
3,121,257.15 
-3,858.36 879.06 
 
FUND BALANCE JUNE 30 
 
$ 11657,580.87 $ 1551005.76 $ 
 
s 295.52 S 118121aa2.15 
 
216561460.14 
 
The notes to the general purpose financial statements are an integral part of this statement -3- 
 
  BERRIEN COUNTY BOARD OF EDUCATION STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
BUDGET AND ACTUAL - CNON-GAAP BASIS) GENERAL AND SPECIAL REVENUE FUNDS 
YEAR ENDED JUNE 30, 1995 
 
EXHIBITc 
 
GENERAL FUND 
 
ACTUAL 
 
(BUDGET 
 
BUDGET 
 
BASIS} 
 
REVENUES 
 
State Funds Federal Funds Local and Othe~ Funds 
 
$ 8,181,138.34 $ 8,251,062.79 
 
32,928.00 
 
23,878.11 
 
2,0521929.63 2,3831846.53 
 
Total Revenues 
 
$ 1012661995.97 $ 10,658,787.43 
 
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 Other Operations of Non-Instructional Services 
Capital Outlay 
 
$ 7,193,759.27 $ 6,867,087.93 
 
289,856.48 233,922.47 400,697.59 272,182.94 709,372.01 119,588.62 1,081,206.96 575,991.59 110,744.77 112,845.00 
88,980.61 180,000.00 
 
294,422.69 204,292.78 284,551.45 274,382.77 725,439.88 112,550.59 1,009,023.63 610,857.43 119,503.42 
94,775.31 124.75 
76,055.13 133,028.33 
 
Total Expenditures 
 
$ 11,369,148.31 $ 10,806,096.09 
 
Excess of Revenues over (under) Expenditures 
 
$ -11102,152.34 $ -147,308.66 
 
OTHER FINANCING SOURCES (USES) 
 
Other Sources Other Uses 
 
$ 
 
-8,195.82 $ -192,766.80 
 
Total Other Financing Sources (Uses) 
 
$ 
 
-8,195.82 $ -192,766.80 
 
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses $ -1,110,348.16 $ -340,075.46 
 
FUND BALANCE JULY 1, 1994 
 
1,948,020.33 1,997,656.33 
 
SPECIAL REVENUE FUND 
 
ACTUAL 
 
(BUDGET 
 
BUDGET 
 
BASIS} 
 
$ 361,924.00 $ 670,383.51 
2,038,1n.ss 2,131,551.92 
 
273,000.00 
 
255,565.56 
 
$ 2,6731101.88 $ 310571500.99 
 
$ 783,901.88 $ 813,937.86 
 
197,596.82 162,454.00 
128,264.00 
 
211,118.51 166,688.79 114,744.64 127,260.19 
 
22,070.00 
 
123,435.42 
 
580,011.00 788,353.15 
 
655,851.10 880,038)2 
 
20,000.00 
 
9,674.05 
 
$ 2,682,650.85 $ 3,102,749.28 
 
$ -9,548.97 $ -45,248.29 
 
$ 
 
8,195.82 $ 12,766.80 
 
$ 
 
8,195.82 $ 12,766.80 
 
$ -1,353.15 $ -32,481.49 
 
130,000.00 
 
163,834.42 
 
FUND BALANCE JUNE 30, 1995 
 
$ 837,672.17 $ 1,657,580.87 
 
$ 128,646.85 $ 131,352.93 
 
The notes to the general purpose financial statements are an integral part of this statement. -5- 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXlllBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
The Berrien County Board ofEducation (Board) was established under the laws ofthe 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 ofthe 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 ofthe 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 Berrien County Board ofEducation. 
Based upon the application ofthe above criteria, the Berrien 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 Berrien 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 to report on its financial position and the results ofits 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 ofaccounts. 
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. 
 
- 6- 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
Note 1: 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 presented in this report are as follows: 
 
GOVERNMENTAL FUND TYPES - are used to account for all of the 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 ofeducation. 
 
 
 
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. 
 
BASIS OF ACCOUNTING 
 
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental 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 ofavailable spendable resources. 
 
Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds. 
 
- 7- 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS 
 
JUNE 30, 1995 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
Governmental funds are accounted for using the modified accrual basis ofaccounting 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 ofthe 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 of these 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. 
BUDGET 
The Berrien County Board ofEducation's budget is a complete :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 
 
- 8- 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXIIlBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATE~S 
 
JUNE 30. 1995 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
 
budget. This final budget is then submitted, in accordance with provisions ofthe 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" ofthis report: 
 
Excess ofRevenues and Other Financing Sources 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 
$ -32,481.49 179,782.69 
-9,447.73 -6,500.54 
$ 131,352.93 
 
CASH AND CASH EQUIVALENTS 
 
COMPOSITION OF DEPOSITS Cash and cash equivalents consist of deposits (including certificates of deposit and 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 ofproceeds from bond issues in certificates of deposit is limited to financial institutions located within this State. 
 
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. 
 
- 9- 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXIIlBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATE1\.1ENTS 
 
JUNE 30, 1995 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
 
PROPERTY TAXES 
 
The Benien County Board ofCommissioners fixed the property tax levy for the 1994 tax year (calendar year) on September 21, 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 Berrien 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 rates levied for the 1994 tax year (calendar year) for the Berrien County Board ofEducation was as follows (a mill equals $1 per thousand dollars of assessed value): 
 
School Operations 
 
~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 transa~ions: 
 
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. 
 
- 10 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS 
 
JUNE 30, 1995 
 
Note 1: SUM:MARY 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 ofthis data. 
Note 2: DEPOSITS 
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 ofthe face value of such surety bond and the market value ofsecurities shall be equal to not less than 110 percent ofthe public funds being secured after the deduction ofthe amount ofdeposit insurance. OCGA Section 45-8-11 provides an officer holding public funds may, in his discretion, waive the requirement for security in the case ofoperating funds placed in demand deposit checking accounts. 
Acceptable security for deposits consists of any one of or any combination of the following: 
(I) 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 ofindebtedness or other obligations of the counties or municipalities ofthe State of Georgia, 
(5) Bonds ofany public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use ofthe bonds for this purpose, 
(6) Industrial revenue bonds and bonds of development authorities created by the laws ofthe State of Georgia, and 
 
- 11 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXEilBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
. 
 
Note 2: DEPOSITS 
 
(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 $2,731,783.33. The amounts of the 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 
Note 3: NON-MONETARY TRANSACTIONS 
 
Bank Balance $ 413,535.32 
2,318,248.01 0.00 
$ 2,731.783 33 
 
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 
 
Note 4: RISK MANAGEMENT 
 
The Board is exposed to various risks ofloss related 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. 
 
- 12 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXIIlBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30. 1995 
 
Note 4: RISK MANAGEMENT 
 
The Board has obtained commercial insurance for risk of loss associated with torts, assets and job related illnesses or injuries to employees. The Board has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Library's insurance coverage in any ofthe past three years. 
 
The Board has elected to self-insure for all losses related to natural disaster and errors or omissions, which includes, among other risks, risks for sexual harassment and discrimination. 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. The Board accounts for claims within the same fund that the employee's salary and benefits were paid. Claims are accounted for with expenditures and liability being reported when it is probable that a loss has occurred, and the amount ofthat 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 
 
EndofYear Liability 
 
1994 1995 
 
$ 
 
0.00 $ 
 
6,856.85 $ 
 
6,856.85 $ 
 
0.00 
 
$ 
 
0.00 $ 
 
7,089.85 $ 
 
7,089.85 $ 
 
0.00 
 
Note 5: OPERATING LEASES 
 
Berrien County Board ofEducation has entered into a lease as lessee for building space for the Migratory Education Program. This lease is considered for accounting purposes to be an operating lease. Lease expenditures for the year ended June 30, 1995, amounted to $12,768.00. Future minimum lease payments for this lease are as follows: 
 
Year Ending 
1996 1997 1998 1999 2000 
Total 
 
Amount 
$ 13,566.00 13,566.00 13,566.00 13,566.00 13,566.00 
$ 6.183Q,QQ 
 
- 13 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXHIBIT D 11 11 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS 
 
JUNE 30, 1995 
 
Note6: 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 dis.allowances, ifany, will be immaterial to its overall financial position. 
The Board is a defendant in various legal proceedings pertaining to matters incidental to the performance of routine Board operations. The ultimate disposition ofthese proceedings is not presently determinable, but are not believed to be material to the general purpose financial statements. 
Note 7: SUBSEQUENT EVENTS 
As a result of the consolidation of the Ray City, Alapaha, and Nashville Schools, the Board conveyed the Alapaha and Ray City school buildings and property to the respective cities in fiscal year 1996. Both transactions were made for no consideration. 
The conveyance to the City ofAlapaha consisted of three parcels ofland totaling 11.614 acres. Parcels 1 and 2 were deeded in fee simple. Parcel 3 was deeded subject to a reverter clause, reverting the property to the Board ifthe property is not used for municipal purposes. Two of the rooms were detached from the buildings and moved by the Board for use by the Berrien County Board of Education (Berrien Elementary School). Insurance valuations of the buildings located on the three parcels deeded to the City of Alapaha totaled $1,210,000.00, including the two rooms retained by the Board. 
The conveyance to Ray City consisted ofone four-acre tract. This property was conveyed subect to a reverter 
clause, reverting the property to the Board ifthe property is not used for municipal purposes. The insurance 
valuation of this property at the time of the conveyance totaled $824,000.00. 
Note 8: RETIRE:MENT 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 1Oyears 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 
 
- 14 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXIIlBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
Note 8: RETIREMENT PLANS 
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 of the 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 IO 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 ofemployer contn'butions 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 $7,465,213.73; total payroll was $8,414,320.64. 
TRS CONTRIBUTIONS REQUIRED AND MADE Employees ofthe Board who are covered by TRS are required by State statute to contribute 5% oftheir 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 $1,254,905.38, ofwhich $881,641.71 was made by the Board and $373,263.67 was made by employees. These contributions represented 11. 81 % (Board) and 5% (employees) of covered payroll. 
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. 
 
- 15 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXlllBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
Note 8: RETIREMENT PLANS 
 
Total unfunded pension benefit obligation ofTRS as ofJune 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 ofJune 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 $881,641.71 was actuarially determined and represented .1560% oftotal 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. 
 
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 of60 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 ifthe 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. Ifa member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contributions are refunded with interest. 
 
- 16 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 1995 
 
Note 8: RETIREMENT PLANS 
There were 85 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 contnoutions from employees ofthe Board made during fiscal year 1995 amounted to $2,840.00. 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 9: SURETY BONDS 
The School Superintendent, Mr. Gerald C. Griffin, is bonded in the amount of$20,000.00 with the Western Surety Company, Sioux Falls, South Dakota, their Bond No. 601053 99, on which premium was paid through December 31, 1995. 
 
- 17 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET SPECIAL REVENUE FUND JUNE 30, 1995 
 
ASSETS 
Cash and Cash Equivalents 
Accounts Receivable 
Inventories Food Donated Commodities Purchased Food 
Total Assets 
LIABILITIES AND FUND EQUITY LIABILITIES 
Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Deferred Revenue 
Total Liabilities 
FUND EQUITY 
Fund Balances Reserved For Continuation of Federal Programs For Inventories Food Donated Commodities Purchased Food 
Unreserved Undesignated 
Total Fund Equity 
Total Liabilities and Fund Equity 
 
SCHOOL FOOD 
SERVICES FUND 
 
STATE PRESCHOOL HANDICAPPED 
PROGRAM 
 
LOTTERY PROGRAMS 
 
DRUG-FREE SCHOOLS AND COMMUNITIES 
ACT 
 
$ 150,568.15 $ 
 
6,425.66 
 
$ 
 
3,594.52 
 
21,803.86 
 
$ 70,713.75 
 
14,836.34 8,816.49 
$ 196,024.84 $ 
 
- - - - - 6,425.66 $ 70,713.75 $ 
 
3,594.52 
 
$ 10,966.44 $ 30,241.57 
$ 41,208.01 $ 
 
$ 1,142.50 5,283.16 
 
53,292.99 $ 
17,420.76 
 
6,425.66 $ 70,713.75 $ 
 
680.78 2,913.74 
3,594.52 
 
$ 14,836.34 8,816.49 
$ 23,652.83 131,164.00 $ 
$ 154,816.83 $ 
$ 196,024.84 $ 
 
0.00 $. 
 
0.00 $ 
 
0.00 
 
0.00 $ 
 
0.00 $ 
 
0.00 
 
----- 6,425.66 $ 70,713.75 $ 
 
3,594.52 
 
See notes to the general purpose financial statements. 
 
-18 - 
 
 ELEMENTARY AND SECONDARY EDUCATION ACT 
 
TITLE II- 
 
CHAPTER 1 
 
EISENHOWER 
 
EDUCATION OF 
 
CHAPTER2 MATHEMATICS 
 
DEPRIVED 
 
MIGRANT BLOCK GRANT - AND SCIENCE 
 
CHILDREN 
 
PROGRAM FLOW THROUGH EDUCATION 
 
TOTALS JUNE 30, 1995 JUNE 30, 1994 
 
$ 
 
33,476.05 
 
$ 
 
2,117.42 $ 
 
188.93 $ 
 
196,370.73 $ 
 
160,222.85 
 
64,000.00 $ 17,695.12 
 
174,212.73 
 
207,976.55 
 
14,836.34 8,816.49 
 
9,447.73 6,500.54 
 
$ 
 
- - - - - - - - - - 97,476.05 $ 17,695.12 $ 
 
2,117.42 $ 
 
188.93 $ 
 
394,236.29 $ 
 
384,147.67 
 
$ 14,849.84 
 
$ 
 
10,699.27 
 
820.19 $ 
 
49,994.82 
 
2,025.09 
 
36,781.96 
 
$ 
 
97,476.05 $ 17,695.12 $ 
 
2,117.42 2,117.42 
 
$ 
 
68,142.83 $ 
 
124,922.03 
 
26,426.60 
 
11,966.46 
 
90,458.38 
 
56,658.36 
 
54,202.72 
 
10,212.08 
 
606.05 
 
$ 
 
239,230.53 $ 
 
204,364.98 
 
$ 
 
$ 
 
0.00 $ 
 
0.00 $ 
 
$ 
 
0.00 $ 
 
0.00 $ 
 
$ 0.00 0.00 $ 
 
$ 
 
s s _ _ _ s 97,476.05 
 
11,s9s.12 
 
2._11_1_.4_2 
 
188.93 $ 
 
188.93 $ 
 
1,502.60 
 
188.93 $ 0.00 
188.93 $ 
 
14,836.34 8,816.49 
23,841.76 $ 131,164.00 
155,005.76 $ 
 
9,447.73 6,500.54 17,450.87 162,331.82 179,782.69 
 
188.93 $ 
 
394,236.29 $ 
 
384,147.67 
 
-19- 
 
 . 
 
BERRIEN COUNTY BOARD OF EDUCATION 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
 
SPECIAL REVENUE FUND 
 
YEAR ENDED JUNE 30, 1995 
 
SCHOOL FOOD 
SERVICES FUND 
 
STATE PRESCHOOL HANDICAPPED 
PROGRAM 
 
LOTTERY PROGRAMS 
 
DRUG-FREE SCHOOLS AND COMMUNITIES 
ACT 
 
REVENUES 
 
State Funds Federal Funds Local and Other Funds 
 
$ 62,388.00 $ 531,526.60 255,445.56 
 
34,199:50 $ 573,796.01 $ 
 
15,083.00 
 
Total Revenues 
 
$ 849,360.16 $ 
 
34,199.50 $ 573,796.01 $ 
 
15,083.00 
 
EXPENDITURES 
 
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration Maintenance and Operation of Plant Central Support Services Other Support Services Food Services Operation Capital Outlay 
 
$ $ 879,760.45 
 
38,810.07 $ 303,030.29 
41,190.66 $ 4i578.43 
114,744.64 4.91 
102,605.61 
 
21,875.09 54.34 
 
9,674.05 
 
Total Expenditures 
 
$ 879,760.45 $ 
 
38,810.07 $ 575,828.59 $ 
 
21,929.43 
 
Excess of Revenues over (under) Expenditures 
 
$ -30,400.29 $ 
 
-4,610.57 $ -2,032.58 $ 
 
-6,846.43 
 
OTHER FINANCING SOURCES 
 
Operating Transfers In 
 
3,843.04 
 
2,032.58 
 
6,846.43 
 
Excess of Revenues and Other Financing Sources 
 
over (under) Expenditures 
 
$ -30,400.29 $ 
 
-767.53 $ 
 
0.00 $ 
 
0.00 
 
FUND BALANCE JULY 1 
 
1TT,512.56 
 
767.53 
 
0.00 
 
0.00 
 
Food Inventory - Net Change in Period Donated Commodities Purchased Food 
 
5,388.61 2,315.95 
 
FUND BALANCE JUNE 30 
 
$ 154,816.83 $ _ _ _ _0._00_$ 
 
----- 0.00 $ 
 
0.00 
 
See notes to the general purpose financial statements. 
 
-20- 
 
 EXHIBIT"P' 
 
ELEMENTARY AND SECONDARY EDUCATION ACT 
 
TITLE II- 
 
CHAPTER 1 
 
EISENHOWER 
 
EDUCATION OF 
 
CHAPTER2 
 
MATHEMATICS 
 
DEPRIVED 
 
MIGRANT 
 
BLOCK GRANT - AND SCIENCE 
 
CHILDREN 
 
PROGRAM FLOW THROUGH EDUCATION 
 
TOTALS YEAR ENDED JUNE 30, 1995 JUNE 30, 1994 
 
$ 
 
384,754.04 $ 1,166,398.28 $ 
 
120.00 
 
18,117.00 $ 
 
$ 15,673.00 
 
670,383.51 $ 2,131,551.92 
255,565.56 
 
173,623.78 2,264,769.22 
269,660.69 
 
$ 
 
384,754.04 $ 1,166,518.28 $ _ _ _18'-'-,1_1_7.'-00~$ 
 
15,673.00 $ 3,057,500.99 $ 2,708,053.69 
 
$ 
 
376,514.56 $ n,466.14 $ 
 
148,052.76 145,147.12 
 
8,239.48 
 
118,893.08 20,829.81 
 
655,851.10 278.27 
 
$ 
 
384,754.04 $ 1,166,518.28 $ 
 
$ 
 
0.00 $ 
 
0.00 $ 
 
18,116.80 $ 
44.95 
18,161.75 $ -44.75 $ 
 
$ 16,963.24 
23.43 
16,986.67 $ -1,313.67 $ 
 
813,937.86 $ 
211,118.51 166,688.79 114,744.64 127,260.19 123,435.42 
655,851.10 880,038.72 
9,674.05 
3,102,749.28 $ 
-45,248.29 $ 
 
597,563.31 
191,587.86 155,743.95 
434.86 166,069.30 56,626.11 49,618.73 663,438.76 829,499.01 
2,710,581.89 
-2,528.20 
 
$ 
 
0.00 $ 
 
0.00 $ 
 
0.00 
 
0.00 
 
44.75 
0.00 $ 0.00 
 
12,766.80 
 
-1,313.67 $ 1,502.60 
 
-32,481.49 $ 179,782.69 
 
5,388.61 2,315.95 
 
19,892.33 
17,364.13 165,397.86 
-3,858.36 879.06 
 
$ _ _ _ _0._00_$ _ _ _ _0._0_0$ _ _ _ _ _0_.0_0$ 
 
188.93 $ 
 
- - - - - 155,005.76 $ 
 
179,782.69 
 
- 21 - 
 
 fi!ERRIE!::l !:;O!,!NlY l;!OARQ OF EQ!,!CA!ION COMBINING l;!ALANC(;; SH!;;!;IT CAPITA!,, PROJ!;!:.I FUNQ JUNE30 1995 
 
EXHIBIT"G" 
 
ASSETS cash and cash Equivalents Accounts Receivable 
 
REGULAR 
 
GEORGIA STATE FINANCING 
 
AND INVESTMENT COMMISSION 
 
PROJECT 
 
PROJECT 
 
PROJECT 
 
92/92S-610-006 92/92S-610-007 
 
94-610-004 
 
TOTALS JUNE 30, 1995 JUNE 30, 1994 
 
$ 
 
295.52 $ 
 
4,506.23 $ 
 
0.00 $ 
 
0.00 $ 
 
4,801.75 $ 
 
486,564.92 
 
272 009.90 
 
Total Assets 
 
$ 
 
295.52 $ 
 
4506.23 $ 
 
0.00 $ 
 
0.00 $ 
 
4801.75 $ 
 
758,574.82 
 
!.I6BI1,.ITIES ANQ FUND !;QUI1Y 
 
!.IABILITl!;S 
 
cash Overdraft Contracts Payable Retainages Payable 
 
Total Liabilities 
 
FUND EQUITY 
 
Fund Balances 
 
Reserved 
 
For State capital Outlay Project 
 
Unreserved 
 
Undesignated 
 
$ 
 
Total Fund Equity 
 
$ 
 
$ $ 
295.52 $ 295.52 $ 
 
4,506.23 4506.23 
0.00 $ 0.00 $ 
 
Total Liabilities and Fund Equity $ 
 
295.52 $ 
 
41506.23 $ 
 
0.00 $ 0.00 $ 
0.00 $ 
 
$ 
 
57,623.20 
 
$ 
 
4,506.23 
 
192,221.10 
 
29 709.40 
 
$ 
 
4 506.23 $ 
 
279,553.70 
 
0.00 $ 0.00 $ 
 
$ 295.52 295.52 $ 
 
1,846.79 477174.33 479 021.12 
 
0.00 $ 
 
4 801.75 $ 
 
758 574.82 
 
See notes to the general purpose financial statements. 
 
-22- 
 
 BERRIEN COVNTY BOARD Of EQUCAI! COMBINING STATEMENT Of REVENUES EXPENDITURES AND CHANGES IN FUND BALANCES 
CAPITAL PB9,IECTS fUNP YEAR ENDED JUNE 30 1995 
 
EXHIBIT"H" 
 
REVENUES 
stateFunda Local and Other Funds 
Total Revenues 
EXPENDITURES 
Capital OUtlay Purcha&ed Prafesaional and Technical Selvices Building and Building lmprcMllllellls Equipment 
Total Expenditures 
Excess d Revenues CM!I' (under) Expenditures 
QI!:IER EINA~ING SOURCES (USES) 
Operating Transfers In Operating Transfers Out 
Total Other F"mancing Sources (Uses) 
Excess d Rewnues and Other F"mancing Sources OYer (under) Expenditures and Other Financing (Uses) 
EUND BALA~E JULY 1 
 
REGULAR 
 
GEORGIA STATE FINANCING 
 
AND INVESTMENT COMMISSION 
 
PROJECT 
 
PROJECT 
 
PROJECT 
 
92192S-S10-006 92192S-S10-007 94-610-004 
 
TOTALS YEAR ENDED 
JUNE 30, 1995 JUNE 30, 1994 
 
s 596,843.09 S 405,439.53 S s 5,248.70 
 
s 
 
5,248.70 S 
 
596,843.09 S 
 
405,439.53 S 
 
2,870.68 S 1,005, 153.30 S 5,248.70 
2,870.68 S 1,010,402.00 S 
 
669,817.25 20,091.52 
689,908.n 
 
s 
 
0.00 S 611, 131.50 S 713,010.91 
 
141,414.52 
 
192,400.63 S 
 
s 
 
0.00 S 752,546.02 S 905,411.54 S 
 
s 5248.70 S -155,702.93 S -499,972.01 S 
 
s 
11170.04 
 
s 
1,324,142.41 
344,985.19 
 
11170.04 S 1,669,127.60 S 
 
-8,299.36 S -658,725.60 S 
 
70,070.40 760,848.20 298,556.63 
1,129,475.23 
-439,566.46 
 
s s -482, 127.51 s -482, 127.51 S 
 
155,702.93 S 155,702.93 S 
 
499,972.01 S 499,972.01 S 
 
6,452.57 S 6452.57 S 
 
682, 127.51 S -482, 127.51 
180,000.00 S 
 
420,479.90 -420,479.90 
0.00 
 
s -476,878.81 S 
4n 174.33 
 
0.00 S 0.00 
 
0.00 S 0.00 
 
-1,846.79 S 1 846.79 
 
-478,725.60 S 479,021.12 
 
-439,566.46 918,587.58 
 
EUND BALAN!;& JUNE 30 
 
s 
 
295.52 S 
 
0.00 S 
 
0.00 S 
 
0.00 S 
 
295.52 S 
 
4791021.12 
 
See notes to the general purpose financial statements. 
 
-23- 
 
 BERRJEN COUNTY BOARD OF EDUCATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 
YEAR ENDED JUNE 3Q 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. Department of Through Georgia Department of Education Food and Nutrition Program Child and Adult Care Food Program 1995 Contract Food Services School Breakfast Program 1994Grant 1995Grant National School Lunch Program 1994Grant 1995Grant Food Distribution Program (1) 
 
10.558 $ 
 
1,545.27 $ 
 
10.553 10.553 
 10.555  10.555 
10.550 
 
96,444.08 
366,581.96 86,955.29 
 
1,545.27 $ 
 
1,545.27 
 
(2) 
 
3,646.84 82,548.21 
3,735.43 358,673.97 N/A 
 
96,444.08 
 
(2) 
 
366,581.96 $ 86,955.29 
 
812,805.18 (3) 86,955.29 
 
Total U. S. Department of Agriculture 
 
$ 531,526.60 $ 
 
450,149.72 $ 531,526.60 $ 
 
879,760.45 
 
Education, U. S. Department of Through Georgia Department of Education Drug-Free Schools and Communities Act 1995Grant Elementary and Secondary Education Act Chapter 1 Education of Deprived Children 1994 Regular 1994 Carry-Over 1995 Regular Migratory Education Program 1994 Regular 1995 Regular Chapter2 Block Grant  Flow Through 1995 Regular Title II Eisenhower Mathematics and Science Education 1994 Regular 1995 Regular Vocational Education - Basic Grants to States High School Program Basic Grant 1994 Grant 1995 Grant Consumer and Homemaking Education 1994 Contract 
 
84.186 $ 
 84.010  84.010  84.010  84.011  84.011 
84.151 
84.164 84.164 
84.048 84.048 84.049 
 
15,083.00 $ 
40,536.00 396,858.00 1,173,738.00 
18,117.00 
15,673.00 
23,878.11 
 
15,083.00 $ 
 
15,083.00 $ 
 
21,929.43 (3) 
 
99,982.92 40,536.00 317,000.00 
50,533.42 1,148,703.16 
 
40,536.00 344,218.04 
1, 186,398.28 
 
18,117.00 
 
18,117.00 
 
40,536.00 344,218.04 
1,186,518.28 (3) 
18,161.75 (3) 
 
15,673.00 
 
15,673.00 
 
1,502.60 15,484.07 
 
12,684.28 
 
6,974.82 
 
23,878.11 
 
(4) 
 
17,575.00 
 
Total U.S. Department of Education 
 
$ 1,683,883.11 $ 
 
1,742,862.60 $ 1,623,903.43 $ 1,608,350.17 
 
Total Federal Financial Assistance 
 
$ 2,215,409.71 $ 
 
2,193,012.32 $ 2,155,430.03 $ 2,488,110.62 
 
Major Programs are identified by an asterisk (") in front of the CFDA number. 
 
(1) The amounts shown for the Food Distribution Program represents the Federally assigned value of nonmonetary assistance for donated commodities received and/or consumed by the system during the current fiscal 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. 
 
See notes to the general purpose financial statements. 
 
 24  
 
 BERRIEN COUNTY BOARD OF EDUCATION CASH AND CASH EQUIVALENTS JUNE 30, 1995 
 
SCHEDULE "2" 
 
NONINTEREST BEARING ACCOUNTS 
Bank of Alapaha, Alapaha, Georgia 
The Citizens Bank, Nashville, Georgia 
The United Banking Company, Nashville, Georgia 
INTEREST BEARING ACCOUNTS 
Bank of Alapaha, Alapaha, Georgia 
N.O.W. Accounts (3.25%) 
The Citizens Bank, Nashville, Georgia 
Certificate of Deposit No. 33999 (6.50%) N.O.W. Accounts (3.25%) 
The United Banking Company, Nashville, Georgia 
Certificate of Deposit No. 16799 (6.10%) Certificate of Deposit No. 16800 (6.10%) N.O.W. Accounts (3.25%) 
OTHER 
Petty Cash 
 
$ 
 
4,123.35 
 
104,144.71 
 
49,987.52 $ 158,255.58 
 
$ 
 
24,589.13 
 
200,000.00 1,117,545.98 
 
100,000.00 200,000.00 -11,663.43 
 
1,630,471.68 
 
50.00 
 
$ 1,788,777.26 
 
See notes to the general purpose financial statements. - 25 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION 
ACCOUNTS RECEIVABLE 
JUNE 30, 1995 
 
SCHEDULE "3" 
 
Berrien County Tax Commissioner County Wide School Tax 
Cook County Board of Education Alternative School Shared Services Contribution 
Education, Georgia Department of Food Services School Breakfast Program National School Lunch Program Vocational Education State Funds Federal Funds Other State Program At-Risk Summer School Program Lottery Programs Alternative School Program Distant Leaming Instructional Technology Federal Programs ESEA - Chapter 1 Education of Deprived Children Migratory Education Program 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
GENERAL 
 
REVENUE 
 
FUND 
 
FUND 
 
TOTAL 
 
$ 
 
22,731.29 
 
$ 
 
22,731.29 
 
69,893.34 
 
69,893.34 
 
$ 
2,046.74 16,903.29 9,117.41 
 
13,895.87 7,907.99 
60,000.00 4,650.-75 6,063.00 
 
64,000.00 17,695.12 
 
13,895.87 7,907.99 
2,046.74 16,903.29 
9,117.41 
60,000.00 4,650.75 6,063.00 
64,000.00 171695.12 
 
$ 
 
120,692.07 $ 
 
------ 174,212.73 $ 
 
294,904.80 
 
See notes to the general purpose financial statements. 
 
- 26 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30. 1995 
 
AGENCY/FUNDING 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
CAPITAL 
 
GENERAL 
 
REVENUE 
 
PROJECTS 
 
FUND 
 
FUND 
 
FUND 
 
GRANTS 
 
Education, Georgia Department of 
 
Quality Basic Education 
 
General and Career Education Programs 
 
$ 4,684,768.00 
 
$ 
 
Special Education Programs 
 
819,443.00 
 
Remedial Education Program 
 
269,922.00 
 
Media Center Programs 
 
208,087.00 
 
Staff Development Programs 
 
67,219.00 
 
Indirect Cost 
 
1,415,195.00 
 
Pupil Transportation 
 
Regular 
 
330,789.00 
 
Bus Replacement 
 
96,917.00 
 
Middle School Incentive 
 
120,074.00 
 
Special Instructional Assistance 
 
64,576.76 
 
In-School Suspension 
 
68,798.00 
 
Mid-term Adjustment 
 
96,433.00 
 
School Counselors Grades 4 and 5 
 
19,971.00 
 
Superintendent's Base Salary 
 
4,866.00 
 
Local Fair Share 
 
-850,833.00 
 
Educational Equalization Funding Grant 
 
650,833.00 
 
Food Services 
 
$ 
 
62,388.00 
 
Vocational Education 
 
51,215.92 
 
Other State Programs 
 
Alternative Programs 
 
106,498.00 
 
At-Risk Summer School Program 
 
9,117.41 
 
Innovative Programs 
 
4,800.00 
 
Mentor Teacher Program 
 
1,380.00 
 
Remedial Summer School Program 
 
3,596.13 
 
Teachers' Retirement 
 
5,396.57 
 
Lottery Programs 
 
Algebra Classrooms 
 
606.05 
 
Alternative School Program 
 
150,000.00 
 
Distant Leaming 
 
10,650.15 
 
Instructional Technology 
 
75,391.82 
 
Media Center and Library Equipment 
 
104,565.14 
 
Pre-Kindergarten Program 
 
131,503.24 
 
Safe Schools Grant 
 
101,079.61 
 
Georgia State Financing and Investment Commission Reimbursement on Construction Projects 
 
$ 1,002,282.62 
 
Transportation, Georgia Department of Through Berrien County Board of Commissioners Paving Contract 
 
2,870.68 
 
OTHER Cook County Board of Education State Preschool Program Education, Georgia Department of Student Information Systems 
 
2,000.00 
 
34,199.50 
 
TOTAL 
4,684,768.00 819,443.00 269,922.00 208,087.00 67,219.00 
1,415,195.00 
330,789.00 96,917.00 120,074.00 64,576.76 68,798.00 96,433.00 19,971.00 4,866.00 
-850,833.00 650,833.00 
62,388.00 51,215.92 
106,498.00 9,117.41 4,800.00 1,380.00 3,596.13 5,396.57 
606.05 150,000.00 10,650.15 75,391.82 104,565.14 131,503.24 101,079.61 
1,002,282.62 
2,870.68 
34,199.50 
2,000.00 
 
$. 8,251,062.79 $ 
 
670,383.51 $ 1,005,153.30 $ 9,926,599.60 
 
See notes to the general purpose financial statements. 
 
- 27  
 
 BERRIEN COUNTY BOARD OF EDUCATION 
SCHEDULE OF LOCAL AND OTHER REVENUE 
YEAR ENDED JUNE 30, 1995 
 
SCHEDULE5" 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
CAPITAL 
 
GENERAL 
 
REVENUE 
 
PROJECTS 
 
FUND 
 
FUND 
 
FUND 
 
Taxes 
 
County Wide School Tax 
 
$ 2,049,133.13 
 
$ 
 
Railroad Car Tax 
 
4,087.78 
 
Real Estate Transfer Tax 
 
4,166.07 
 
Other Canning Plant Operations Compensation for Loss of Assets Donations Indirect Cost Special Revenue Fund Interest Earned Lost and Damaged Books Reimbursements for Salaries and Benefits Behavioral Health Services of South Georgia Program for Exceptional Children Rents Sales Breakfast Lunches School Assets Other Shared Service Contributions Cook County Board of Education Lanier County Board of Education Other 
 
2,828.08 37,362.87 
195.00 
15,288.00 66,606.25 $ 
582.99 6,560.07 
38,931.96 10,681.09 
24,670.94 
69,893.34 34,946.67 17,912.29 
 
3,791.11 $ 
10,691.99 225,483.30 
15,303.44 295.72 
 
5,248.70 
 
TOTAL 
2,049,133.13 4,087.78 4,166.07 
2,828.08 37,362.87 
195.00 
15,288.00 75,646.06 
582.99 6,560.07 
38,931.96 10,681.09 
10,691.99 225,483.30 
24,670.94 15,303.44 
69,893.34 34,946.67 18,208.01 
 
$ 2,383,846.53 $ 
 
- - - - - - 255,565.56 $ 
 
5,248.70 $ 2,644,660.79 
 
See notes to the general purpose financial statements. 
 
- 28 - 
 
 BERRIEN COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT GENERAL AND SPECIAL REVENUE FUNDS 
YEAR ENDED JUNE 30, 1995 
 
SCHEDULE "6" 
 
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 Building and Building Improvements Equipment 
 
GENERAL FUND 
7,448,370.42 $ 1,613,801.49 
53,171.98 91,123.93 
7,412.37 57,630.94 77,106.50 42,764.03 68,806.80 39,727.52 
99,775.31 
555,496.32 334,572.00 
24,626.32 7,296.50 
1,987.00 
131,478.33 150,948.33 
 
SPECIAL REVENUE 
FUND 
965,950.22 $ 228,861.60 
33,886.54 79,852.68 
2,427.19 2,451.96 14,205.16 
7,939.84 1,206.75 4,976.37 54,715.49 594,861.72 416,490.10 2,831.91 400,989.08 
261.74 1,347.70 15,288.00  19,006.98 
9,231.25 245,967.00 
 
TOTAL 
8,414,320.64 1,842,663.09 
87,058.52 170,976.61 
7,412.37 60,058.13 79,558.46 56,969.19 68,806.80 47,667.36 
1,206.75 4,976.37 154,490.80 594,861.72 971,986.42 337,403.91 400,989.08 24,888.06 8,644.20 15,288.00 20,993.98 
140,709.58 396,915.33 
 
Total Expenditures 
 
$ 10,806,096.09 $ 
 
3,102,749.28 $ 13,908,845.37 
 
See notes to the general purpose financial statements. 
- 29 - 
 
 BERRIEN 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 Repair and Maintenance Services Rents Communications Supplies Other Expenditures 
Nonoperating Costs Building and Building Improvements Equipment 
 
ALTERNATIVE 
 
ALGEBRA 
 
SCHOOL 
 
CLASSROOMS PROGRAM 
 
DISTANT LEARNING 
 
INSTRUCTIONAL TECHNOLOGY 
 
$ 
 
1,526.00 
 
$ 
 
442.80 
 
$ 
 
967.89 
 
81,878.55 
 
8,024.15 $ 
 
39,437.09 
 
9,231.25 581563.45 
 
11100.00 
 
361454.07 
 
Total Expenditures 
 
$ 
 
967.89 $ 150,116.05 $ 
 
10,650.15 s _ _ _1_5,.,8_e_1._1_6 
 
See notes to the general purpose financial statements. 
 
- 30 - 
 
 SCHEDULE"r 
 
MEDIA CENTER AND 
LIBRARY EQUIPMENT 
 
PRE-KINDERGARTEN PROGRAM 
 
SAFE 
SCHOOLS GRANT 
 
TOTAL 
 
$ 
 
$ 
 
56,962.87 
 
481657.62 
 
$ 
 
105,620.49 $ 
 
78,735.30 19,068.66 4,737.57  1,500.00 
22.20 216.00 27,151.51 $ 
72.00 
 
$ 13,407.75 
 
78,735.30 19,068.66 4,737.57' 1,500.00 1,526.00 
22.20 658.80 227,829.81 
72.00 
 
87.671.86 
 
9,231.25 2321447.00 
 
131,503.24 $ 101,079.61 $ 575,828.59 
 
- 31 - 
 
  BERRIEN COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL 
GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS YEAR ENDED JUNE 30, 1995 
 
SCHEDULE "8" 
 
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 
 
$ 
 
61064,384.00 $ 
 
2011675.00 
 
$ 
 
6,376,250.01 
 
276,549.03 $ _ _ _...;::2:.;;:32:.r1.1.:..:0:.::5.:.:0~3 
 
$ 
 
6,652,799.04 
 
-71,464.45 $ _ _.;;,;6,!,;;.58.;;.;1;.i.;,3:.::3.;.;4.;.;;.59~ 
 
$ 
 
o.oo $======o=.o=o 
 
See notes to the general purpose financial statements. - 33 - 
 
 BERRIEN COUNJY BOARD OF EQUCATIQN 
ANALYSIS OF MINIMUM EXf'ENDIJlJRE REOUIREMENJS - BY PBQGRAM GENERAL FUND- CUALIIY BASIC EDUCATION PBQGRAMS YEAR ENDED JUNE 30 1995 
 
GENERAL ANQ Q6BEER EDUCATIQ!!I PROGRAMS Kindergarten M Grades 1  3 M SUb-Tatal - K-3 
c, Grades 4 - 5 
Grades 6 - 8 M Grades 9 - 12 M High School LaboratoriN M Vocational Education Laboratories M 
Total General and career Education Programs SPECIAL EDUCATION PBQGRAMS 
Regular Programs category IM Cl!tegory II M category Ill M category IV M SUb-Total - Regular category V (Gifted) M Total Special Education Programs 
REMEDIAL EQUCAIIQ!!I PROGRAM c, 
Total Thirteen Weighted Programs MEDIA CENTER PROGRAMS 
Salaries Operations 
Total Media Center Programs 
Total Thirteen Weighted and Media Center Programs 
STAFF QEYELOPMENT PROGRAMS Cost d Instruction Profe&sional Development 
Total Staff Development (1 Identifies Thirteen Weighted Programs. 
 
ALLOTMENTS FROM DEPARTMENT OF EDUCATION 
 
REQUIRED 
 
ORIGINAL ...!.... ORIGINAL 
 
Ml~TERM 
 
s 479,587.00 
 
s 431,628.30 
 
1.210,744.00 
 
1I143,669.60 s 
 
s 1,750,331.00 90 s 1,575,297.90 s 
 
644,473.00 90 
 
580,025.70 
 
1,032,057.00 90 
 
928,851.30 
 
581,588.00 90 
 
523,429.20 
 
345,348.00 90 
 
310,813.20 
 
330,971.00 90 
 
297,873.90 
 
s 4,684,768.00 
 
s 4,216,291.20 s 
 
10,395.00 10,395.00 56,190.00 15,579.00 
82,164.00 
 
s 704,684.00 
 
s 634,215.60 S 
 
0.00 
 
s 704,684.00 90 s 634,215.60 s 
 
114,759.00 90 
 
103,283.10 
 
s 819,443.00 
 
s 737,498.70 s 
 
s 269,922.00 90 s 242,929.80 s 
 
s 5,TT4, 133.00 
 
s 5,196,719.70 s 
 
0.00 
0.00 0.00 82,164.00 
 
s 163,431.00 90 s 147,087.90 s 
 
0.00 
 
44,656.00 90 
 
40,190.40 
 
s 208,087.00 
 
s 187,278.30 s 
 
0.00 
 
s 5,982,220.00 
 
s 5,383,998.00 S 
 
82,164.00 
 
s 
 
15,824.00 
 
s 
 
15,824.00 s 
 
0.00 
 
51,395.00 
 
51,395.00 
 
0.00 
 
$ 
 
67,219.00 100 $ 
 
67,219.00 $ 
 
0.00 
 
See notes to the general purpo6e financial statements. 
 
- 34 - 
 
 SCHEDULE"9" 
 
TOTAL REQUIRED 
 
ACTUAL EXPENDITURES 
 
SALARIES 
 
OPERATIONS 
 
TOTAL 
 
AMOUNT OF UNDEREXPENDITURE 
FOR REQUIRED ALLOTMENT 
 
$ 
 
C1,628.30 $ 
 
513,564.64 $ 
 
18, 1-46.10 $ 
 
531,710.74 
 
1,154,064.60 
 
1:225?20.29 
 
38,725.C 
 
1,264,445.72 
 
$ 1,585,692.90 $ 1,739,284.93 $ 
 
56,871.53 $ 1,796, 156.-46 $ 
 
0.00 
 
580,025.70 
 
559,114.88 
 
20,921.98 
 
580,036.86 
 
0.00 
 
985,041.30 
 
1,099,178.13 
 
32,894.44 
 
1,132,072.57 
 
0.00 
 
539,008.20 
 
818,826.84 
 
34,298.44 
 
853,125.28 
 
0.00 
 
310,813.20 
 
391,138.09 
 
10,871.35 
 
402,009.44 
 
0.00 
 
297,873.90 
 
3TT,543.71 
 
51,795.87 
 
429,339.58 
 
0.00 
 
$ 4,298,455.20 $ 4,985,086.58 $ 
 
207,653.61 $ 5,192,740.19 
 
$ 
 
634,215.60 
 
$ 
 
15,004.06 $ 254,221.95 486,533.87 
17,922.59 
 
23.65 $ 2,644.82 10,337.98 1,914.86 
 
15,027.71 256,866.TT 496,871.85 
19,837.45 
 
$ 
 
634,215.60 $ 
 
TT3,682.47 $ 
 
14,921.31 $ 788,603.78 
 
0.00 
 
103.283.10 
 
123,641.65 
 
2,100.72 
 
125,742.37 
 
0.00 
 
$ 
 
737,498.70 $ 
 
897,324.12 $ 
 
17,022.03 $ 
 
914,346.15 
 
$ 
 
242,929.80 $ 
 
258,131.86 $ 
 
8,029.39 $ 
 
266,161.25 
 
0.00 
 
$ 5,278,883.70 $ 6,140,542.56 $ 
 
232,705.03 $ 6,373,247.59 
 
$ 
 
147,087.90 $ 
 
235,707.45 
 
$ 
 
235,707.45 
 
0.00 
 
40,190.40 
 
$ 
 
C,844.00 
 
C,844.00 
 
0.00 
 
$ 
 
187,278.30 $ 
 
235,707.45 $ 
 
43,844.00 $ 
 
279,551.45 
 
$ 5,466,162.00 $ 6,376,250.01 $ 
 
276,549.03 $ 6,652,799.04 $ 
 
0.00 
 
$ 
 
15,824.00 
 
51,395.00 
 
s _ _ _s1_.2_1_9_.oo_ 
 
$ 
 
64,096.96 $ 
 
64,096.96 
 
4,382.05 
 
4,382.05 
 
$ 
 
68,479.01 $ 
 
68,479.01 s _ _ _ _ _ _o_.oo_ 
 
 35  
 
 BERRIEN COUNTY BOARD OF EDUCATION SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS 
YEAR ENDED JUNE 30, 1995 
 
SCHEDULE 10" 
 
BOARD MEMBER ADDRESS 
Mr. George W. Rowan, Jr., Chairman (*) Route 3 Nashville, Georgia 31639 
Ms. Lillian P. Houston, Vice-Chairperson(*) 
Ray City Highway Nashville, Georgia 31639 
Mr. Terry Danforth(*) Route 1, Box 523 Lenox. Georgia 31637 
Mr. Steve Dixon (*) Route 1, Box 238 Alapaha, Georgia 31622 
Mr. Robert E. Griffin 1400 Woodland Way Nashville, Georgia 31639 
Mr. Rudy Hancock (*) 
P. 0. Box672 
Nashville, Georgia 31639 
Ms. Eugenia Studstill (*) Route 1 Ray City, Georgia 31645 
Mr. Ricky Tucker (*) Route 1 Enigma, Georgia 31749 
 
COMPENSATION 
 
TRAVEL 
 
$ 
 
1,150.00 
 
1,050.00 
 
1,100.00 
 
1,150.00 
 
300.00 
 
950.00 
 
550.00 $ 
 
62.37 
 
1,100.00 
 
$ 
 
7,350.00 $ = = = =6=2.3=7 
 
(*) Denotes Board Members Serving as of June 30, 1995 
 
See notes to thegeneral purpose financial statements. 
 
- 36 - 
 
 SECTION II COMPLIANCE 
 
 L. CLAUDE VICKERS 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation 
and Superintendent and Members ofthe Berrien 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 Berrien County Board ofEducation as ofand for the year ended June 30, 1995, and have issued our report thereon dated September 13, 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 Berrien 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 granter agencies. This restriction is not intended to limit the distribution of this report which is a 
matter of public record. 
Respectfully s-bmitted, 
IL-~ 
Claude L. Vickers State Auditor 
CLV:jy 95CRL-10 
 
 CLAUDE L. VICKERS 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street. S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation 
and Superintendent and Members of the Berrien 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 of the Berrien County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated September 13, 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 Berrien County Board ofEducation's compliance with the following requirements applicable to each ofits 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) Audit Follow-Up/Resolution 
 
(3) Cash Management 
 
(7) Administrative Requirements 
 
(4) Federal Financial Reports 
 
Our procedures were limited to the applicable procedures described in the Office ofManagement 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. 
 
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 ofthis report. With respect to items not tested, nothing came to our attention that caused us to believe that the Berrien County Board ofEducation had not complied, in all material respects, with those requirements. However, the results of our procedures disclosed immaterial instances ofnoncompliance with those requirements, which are 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, 
 
CLV:jy 95CRL-50 
 
Claude L. Vickers State Auditor 
 
 CLAUDE L. VICKERS 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation 
and Superintendent and Members ofthe Berrien 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 ofthe Berrien County Board ofEducation as ofand for the year ended June 30, 1995, and have issued our report thereon dated September 13, 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 Benien County Board ofEducation's compliance with the requirements governing: 
 
(1) Types of Services Allowed or Unallowed 
 
(5) Applicable Special Tests and Provisions 
 
(2) Eligibility 
 
(6) Monitoring Subrecipients 
 
(3) Matching, Level ofEffort, and/or Earmarking 
(4) Reporting 
 
(7) Other Requirement Claims for Advances and Reimbursements 
 
These requirements are applicable to the major Federal financial assistance programs, which are identified in the Schedule of Federal Financial Assistance, for the year ended June 30, 1995. The management of the Benien County Board ofEducation 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 Berrien County Board ofEducation's compliance with those requirements. We believe that our audit provides a reasonable basis for our opinion. 
In our opinion, the Berrien County Board of Education 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:jy 95CRL-80 
 
Claude L. Vickers State Auditor 
 
 CLAUDE L. VICKERS 
STATE AUDITOR 
.(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members of the General Assembly Members of the State Board ofEducation 
and Superintendent and Members of the Berrien 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 Berrien County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated September 13, 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 Berrien County Board ofEducation 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 transact~ons 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 Berrien County Board ofEducation's compliance with these requirements. Accordingly, we do not express such an opinion. 
 
95CRL-120 
 
 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 Berrien County Board ofEducation had not complied, in all material respects, with those requirements. 
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:jy 95CRL-120 
 
~,r-~ 
Claude L. Vickers State Auditor 
 
 SECTION ill INTERNAL CONTROL 
 
 CLAUDE L. VICKERS 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members ofthe General Assembly Members of the State Board ofEducation 
and Superintendent and Members of the Berrien County Board ofEducation 
REPORT ON INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 
Ladies and Gentlemen: 
We have audited the general purpose financial statements of the Berrien County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated September 13, 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 Berrien 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, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation ofgeneral purpose 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. 
95ICL-3 
 
 In planning and perfonning our audit ofthe general purpose financial statements ofthe Berrien County Board ofEducation for the year ended June 30, 1995, we obtained an understanding ofthe internal control structure. With respect to the internal control structure, we obtained an understanding ofthe design ofrelevant policies and procedures and whether they have been placed in operation, and we assessed control risk in order to detennine our auditing procedures for the purpose ofexpressing 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 ofCertified 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 ofmanagement in the general purpose financial statements. 
As descnbed in the Schedule ofFindings and Improper or Questioned Costs, reportable conditions were noted in the following control categories: 
(1) Accounting Controls (Overall) 
(2) Cash and Cash Equivalents 
(3) General Fixed Assets 
A material weakness is a reportable condition in which the design or operation ofone or more ofthe 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 perfonned in our audit ofthe Berrien County Board ofEducation's financial statements and this report does not affect our report thereon dated September 13, 1996. 
95ICL-3 
 
 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:jy 95ICL-3 
 
 CLAUDE L. VICKERS 
STATE AUDITOR (404) 656-2174 
 
DEPARTMENT OF AUDITS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
September 13, 1996 
 
Honorable Zell Miller, Governor Members of the General Assembly Members of the State Board ofEducation 
and Superintendent and Members of the Berrien County Board ofEducation 
SINGLE AUDIT REPORT ON THE INTERNAL CONTROL STRUCTURE USED IN AD:tv.llNISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS 
Ladies and Gentlemen: 
We have audited the general purpose financial statements of the Berrien County Board of Education as of and for the year.ended June 30, 1995, and have issued our report thereon dated September 13, 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 Berrien County Board of Education's compliance with requirements applicable to major Federal financial assistance programs and have issued our opinion thereon dated September 13, 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 Berrien County Board of Education 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 September 13, 1996. 
95ICL-8 
 
 The management ofthe Benien 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 l9ss 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 of any 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 ofthe design and operation ofpolicies 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 
 
(I) Political Activity (2) Civil Rights (3) Cash Management (4) Federal Financial Reports 
 
(I) Types of Services Allowed or Unallowed 
(2) Eligibility 
(3) Matching, Level of Effort, and/or Earmarking 
 
(5) Allowable Costs/Cost Principles 
 
(4) Reporting 
 
(6) Audit Follow-Up/Resolution (7) Administrative Requirements 
 
(5) Applicable Special Tests and Provisions 
(6) Monitoring Subrecipients 
 
(7) 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 Berrien County Board of Education expended 89% of its total Federal financial assistance under major Federal financial assistance programs. 
 
95ICL-8 
 
 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 
 
are identified in the Schedule of Federal 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 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 of the 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 described in the Schedule ofFindings and Improper or Questioned Costs, reportable conditions were noted in the following control categories: 
 
(I) Cash Management 
 
(2). Administrative Requirements 
 
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 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, as described in the Schedule of Findings and Improper or Questioned Costs, the following control category includes a reportable condition that is also considered to be a material weakness: 
 
Administrative Requirements 
 
This condition was considered in determining the nature, timing, and extent of the procedures to be performed in our audit ofthe Berrien County Board of Education'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 September 13, 1996. 
 
95ICL-8 
 
 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. 
~~ 
 
CLV:jy 95ICL-8 
 
Claude L. Vickers State Auditor 
 
 SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS 
 
 BERRIENCOUNTYBOARDOFEDUCATION 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: $11,077.96 Audit Control Number 6101-93-06 
The audit report for the year ended June 30, 1993, stated that the Board had an underexpenditure of Quality Basic Education (QBE) funds of$11,077.96 for the StaffDevelopment - Professional Development Stipends Program. For the year under review, no adjustment was made to the Board's local fair share by the Georgia Department ofEducation to refund this underexpenditure as required. The underexpenditure ofSl l,077.96 should be returned to the Georgia Department ofEducation through an increase in the Board's local fair share for QBE programs in a subsequent fiscal period. 
AUDIT FOLLOW-UP/RESOLUTION Uncollateralized Deposits Financial Statements Finding Resolved Audit Control Number 6101-94-0 I 
The audit report for the year ended June 30, 1994, disclosed that the Board did not have its bank balances fully collateralized as required by the Official Code of Georgia Annotated Section 45-8-12. For the year under review, audit tests of the Board's bank balances indicated that the Board complied with the State laws governing collateralization of cash deposits. 
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $24,168.83 Audit Control Number 6101-94-02 
The audit report for the year ended June 30, 1994, reported that the Board had an underexpenditure of Quality Basic Education (QBE) funds of$24,168.83 for the StaffDevelopment - Professional Development Stipends Program. For the year under review, no adjustment was made to the Board's local fair share by the Georgia Department ofEducation to refund this underexpenditure as required. The underexpenditure of$24,168.83 should be returned to the Georgia Department ofEducation through an increase in the Board's local fair share for the QBE programs in a subsequent fiscal period. 
-I- 
 
 BERRIENCOUNTYBOARDOFEDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS 
YEAR ENDED JUNE 30, 1995 
PRIOR YEAR AUDIT FOLLOW-UP/RESOLUTION Inadequate Inventory Records Federal Financial Assistance Finding Resolved Audit Control Number 6101-94-04 
The audit report for the year ended June 30, 1994, stated that the Board's property management records maintained by the Board for the National School Lunch Program (CFDA I 0.555) were incomplete and failed to meet Federal property management standards as outlined in 7 CFR 3015.169. During the year under review, the Board installed a property management system which meets the required property management standards as outlined in 7 CFR 3015.169. PRIOR YEAR/CURRENT YEAR ACCOUNTING CONTROLS (OVERALL) - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Reportable Condition - Material Weakness Audit Control Number 6101-93-02 The audit report for the year ended June 30, 1994, stated that the Board did not provide for adequate separation ofemployee duties in the perfonnance ofaccounting functions and related procedures for all funds. In the year under review, no improvement in adequate separation of employee duties was noted. This deficiency was a result ofmanagement's decision to limit the number ofadministrative staffmade responsible for accounting functions. Management should periodically review this decision to determine if employee duties can be reassigned to achieve a higher degree ofinternal control with existing staff. Note:.All Federal financial assistance programs listed in the Schedule ofFederal Financial Assistance, Schedule "l" ofthis report, are affected by this finding. 
-2- 
 
 BERRIEN COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS 
YEAR ENDED JUNE 30, 1995 
PRIOR YEAR/CURRENT YEAR 
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6101-93-03 
The audit report for the year ended June 30, 1994, noted that the management of the Berrien 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. 
CASH AND CASH EQUIVALENTS Inadequate Accounting Procedures Financial Statements Reportable Condition - Material Weakness Audit Control Number 6101-93.-05 
The audit report for the year ended June 30, 1994, stated that the Board's accounting procedures were insufficient to provide for adequate internal control over the bank reconciliation process. Deficiencies continued to exist during the year under review and are summarized as follows: 
(1) Book errors disclosed through the bank reconciliation process were carried as reconciling items for extended periods. 
(2) Monthly bank reconciliations were not performed on all bank accounts held by the Board. Audit adjustments were necessary to reconcile the accounting records with the bank statements. 
These deficiencies resulted from the untimely correction of reconciling items and management's failure to monitor accounting procedures to ensure that all bank reconciliations are performed on a timely basis. The Board should establish internal controls to ensure that monthly bank statements are reconciled with the accounting records and that needed adjustments are recorded on a timely basis. 
-3- 
 
 BERRIEN COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS 
YEAR ENDED JUNE 30, 1995 
PRIOR YEAR/CURRENT YEAR CASH MANAGEMENT Excessive Cash Balances Federal Financial Assistance Major Program Reportable Condition Nonmaterial Noncompliance Audit Control Number 6101-94-03 The audit report for the year ended June 30, 1994, stated that a review of cash management procedures for the Elementary and Secondary Education Program - Chapter 1 - Education of Deprived Children (CFDA 84.010) Program disclosed that cash draws utilizing DE form 0147, "Quarterly Report ofExpenditures and Estimated Requirement for Grant Funds," were made in advance of immediate cash needs, resulting in the accumulation of excessive cash balances.. For the year under review, audit tests of cash management procedures again revealed excessive cash balance accumulations by the Board. During fiscal year 1995, the program had an average cash balance of $22,702.89 with excessive ending monthly cash balances in six months. Also, the Chapter 1 - Migratory Education (CFDA 84.011) Program had an average cash balance of$57,093.66 with excessive ending monthly cash balances in four months. Procedures should be implemented to minimize the time elapsing between the transfer of funds from the Georgia Department of Education and disbursement of such funds by the Board. 
Note: The Berrien County Board ofEducation was provided an opportunity to include pertinent comments from the Board's management concerning these audit findings, conclusions and recommendations. The Board has elected not to provide comments for inclusion in this report. 
-4-