Audit report, Chattahoochee County Board of Education, Cusseta, Georgia, year ended June 30, 1995

GA
A'SOO . RI E2(o
cs
1994-95
STATE OF GEORGIA DEPARTMENT OF AUDITS
254 WASHINGTON STREET ATLANTA, GEORGIA 30334

AUDIT REPORT CHATTAHOOCHEE COUNTY BOARD OF EDUCATION
CUSSETA, GEORGIA YEAR ENDED JUNE 30, 1995

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS -

SECTION I

FINANCIAL

INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIALSTATEMENTS 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

4

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

I

FIDUCIARY FUND TYPE

COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES

AGENCY FUNDS

24

SCHEDULES

1 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE

26

2 CASH AND CASH EQUNALENTS

27

3 ACCOUNTS RECEIVABLE

28

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS -

SECTION I

FINANCIAL

ADDITIONAL FINANCIAL INFORMATION

SCHEDULES

SCHEDULE OF REVENUE

4

STATE

29

5

LOCAL AND OTHER

30

SCHEDULE OF EXPENDITURES BY OBJECT

6

GENERAL AND SPECIAL REVENUE FUNDS

31

7

LOTTERY PROGRAMS

32

ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS

GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS

8

OVERALL

35

9

BY PROGRAM

36

IO SCHEDULE OF COMPENSATION OF BOARD MEMBERS

38

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

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

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS -
SECTIONN 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 AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Chattahoochee County Board ofEducation
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATE1\.1ENTS AND SUPPLE1\.1ENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
Ladies and Gentlemen:
We have audited the general purpose financial statements (Exhibits A through D) ofthe Chattahoochee County Board of Education, as of and for the year ended June 30, 1995, as listed in the table of contents. These financial statements are the responsibility of the Board's management. Our responsibility is to express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of the Office of Management 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*

* 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 received or disbursed.
The aggregate effects on the general purpose financial statements of these variances or omissions have not been determined, but are believed to be material.
In our opinion, except for the effects on the general purpose financial statements of the matters referred to in the preceding paragraph, the general purpose financial statements present fairly, in all material respects, the financial position ofthe Chattahoochee County Board ofEducation 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 May 30, 1996, on our consideration of the Board's internal control structure and a report dated May 30, 1996, on its compliance with laws and regulations.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements of the Chattahoochee County Board ofEducation taken as a whole. The combining statements (Exhibits E through I) and the financial schedules (Schedules 1 through IO which includes the Schedule of Federal Financial Assistance) are presented for purposes of additional analysis and are not a required part of the general purpose financial statements ofthe Chattahoochee County Board of Education. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, except for the effects ofthe 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 ofthe State Auditor and made available
Rzb~ to the press ofthe State, as provided for by Official Code of Georgia Annotated Section 50-6-24.

CLV:cm 95ARL-13*

Claude L. Vickers State Auditor

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION - 1-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION COMBINED BALANCE SHEET ALL FUND TYPES JUNE 30, 1995

ASSETS Cash and Cash Equivalents
Accounts Receivable Inventories
Food Donated Commodities Purchased Food
Amount to be Provided in Future Years For Payment of Bond Debt
Total Assets

GENERAL FUND

GOVERNMENTAL FUND TYPES

SPECIAL

CAPITAL

REVENUE

PROJECTS

FUND

FUND

$ 490,001.80 $

64,395.88 $

30,446.78

15,402.49

51,499.66

872.43 808.23

$

505,404.29 $

117,576.20 $

30,446.78

LIABILITIES AND FUND EQUITY
LIABILITIES
Accounts Payable Salaries Payable Notes Payable Expired Grant Balances Payable Funds Held for Others Deferred Revenue General Obligation Bonds Payable
Total Liabilities
FUND EQUITY
Fund Balances Reserved For Bus Replacement Funds For Continuation of Federal Programs For Debt Service For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities Purchased Food For State Capital Outlay Projects
Unreserved Undesignated
Total Fund Equity
Total Liabilities and Fund Equity

$

8,148.54

43,528.46

362.47

$

52,039.47

$

11,501.92

$

$

11,501.92 $

493,902.37

$ 505,404.29 $

872.43 808.23
$
1,680.66 $
631856.07
65,536.73 $

173.53 173.53 301273.25 30,446.78

$ 505,404.29 $ 117,576.20 $

30,446.78

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

EXHIBIT"A"

DEBT SERVICE
FUND

FIDUCIARY FUND TYPE AGENCY FUNDS

TOTALS

{Memorandum Onlll

JUNE 3011995

JUNE 3011994

$

26,489.30 $

8,360.12 $

619,693.88 $

551,169.39

66,902.15

71,621.13

$

26,489.30 $

872.43 808.23

808.69 678.97
20,000.00

8,360.12 $

688,276.69 $

644,278.18

$'

8,148.54 $

11,042.05

43,528.46

40,216.46

17,789.50

362.47

102.18

$

8,360.12

8,360.12

7,181.24

7,245.92

20,000.00

$

81360.12 $

60,399.59 $

103,577.35

$

261489.30 $

$

261489.30 $

$

26,489.30 $

$
$ 0.00 0.00 $

$
11,501.92
872.43 808.23 173.53 13,356.11 $ 614,520.99 6271877.10 $

21,519.00 558.00
21,240.00 11,501.92
808.69 678.97 173.53
56,480.11
484,220.72
540,700.83

8,360.12 $

688,276.69 $

644,278.18

-3-

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

EXHIBIT"B"

GENERAL FUND

SPECIAL REVENUE
FUND

CAPITAL PROJECTS
FUND

DEBT SERVICE
FUND

TOTALS (Memorandum Only)
YEAR ENDED JUNE 30. 1995 JUNE 30. 1994

REVENUES
state Funds Federal Funds Local and Other Funds
Total R811er1ues

$ 1,728,025.90 $ 3,414.00
371 961.01
$ 2.103.400.91 $

97,687.92

$

443,578.48
40167.55 s_ _ _.....:::9..::.9:..:...1 S _ ___..:2~1...::,06~3~..::::90~

581,433.95 $

9.91 $

21,063.90 $

1,825,713.82 $ 446,992.48 433.202.37
2,705.908.67 $

1,474,182.73 440,238.80 500.609.03
2.415.030.56

EXPENDITURES

CUrrent Instruction Support Selvices 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
capital Outlay Debi Service
Principal Interest Paying Agent Fees

$ 1,263,814.09 $
53,625.62 12,385.87 56,683.45 146,565.98 92,045.88 53,525.75 145,461.44 161,566.40
6,866.00 1,203.01
19,266.40

Total Expendttures

S 2,013,009.89 S

Excess of Revenues over (under) Expendttures $

90,391.02 $

OTHER FINANCING SOURCES [USES)

Operating Transfers In Operating Transfers Out

$ $ _ __;-3::.;;4:..;1:,:2.,.2....,,1..._6

Total Other Financing Sources (Uses)

$

-34 122.16 $

Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses

$

56,268.86 $

FUND BALANCE JULY 1

449,135.43

Food Inventory - Net Change in Period Donated Commodities Purchased Food

261,365.70 $
22,880.00 3,763.05
25,595.21
1,415.23 16,870.16
60,336.87 192,219.29

0.00 $

584 445.51 $ -3011.56 $

0.00 $ 9.91 $

4,122.16 $

30,000.00

4122.16 $ _ __;3:.:0o.:0:.:0.:c0."'0..._0

1,110.60 $ 64,233.13

30,009.91 $ 436.87

63.74 129.26

$
20,000.00 1,240.00 230.00
21 470.00 $ -406.10 $

1,525,179.79 $
76,505.62 16,148.92 56,683.45 172,161.19 92,045.88 53,525.75 146,876.67 178,436.56
6,866.00 61,539.88 192,219.29 19,266.40
20,000.00 1,240.00 230.00
2,618,925.40 $
86,983.27 $

1,276,133.85
77,827.94 14,942.71 47,738.03 165,427.00 75,162.79 49,155.96 151,951.79 112,011.50
8,691.00 34,410.03 162,825.42 23,697.34
20,000.00 2,480.00 170.00
2,220,625.36
194 405.20

$

34,122.16 $

39,128.21

-34122.16

-39,128.21

$

o.oo s____o_.~oo-

-406.10 $ 26,895.40

86,983.27 $ 540,700.83

194,405.20 346,498.17

63.74 129.26

-563.66 361.12

FUND BALANCE JUNE 30

$ 505 404.29 $

65 536.73 $

30446.78 $

26 489.30 $

s _ _ 627,877.10

5__40_1_00_,.8,..3

The notes to the general purpose financial statements are an integral part of thisstatement. -4-

CHATTAHOOCHEE 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

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

GENERAL FUND

ACTUAL

(BUDGET

BUDGET

BASIS}

$ 1,694,352.00 $ 1,728,025.90

3,414.00

344,974.00

371,961.01

$ 2,039,326.00 $ 2,103,400.91

$ 1,270,804.56 $ 1,263,814.09

55,203.63 24,111.76 47,884.51 153,937.98 95,830.93 64,068.36 207,036.80 155,515.37
8,586.00

53,625.62 12,385.87 56,683.45 146,565.98 92,045.88 53,525.75 145,461.44 161,566.40 6,866.00
1,203.01

19,266.40

$ 2,082,979.90 $ 2,013,009.89

$ -43,653.90 $ 90,391.02

$ -34,122.16 $ -34,122.16

$ -43,653.90 $ 56,268.86

442,n5.91

449,135.43

SPECIAL REVENUE FUND

ACTUAL

(BUDGET

BUDGET

BASIS}

$ 180,930.71 $ 97,687.92

336,701.00

443,578.48

7,100.00

40,167.55

$ 524,731.71 $ 581,433.95

$ 230,655.00 $ 261,365.70

37,322.00 3,700.00

22,880.00 3,763.05

32,572.00

25,595.21

500.00 7,606.00
38,446.00 181,750.63

1,415.23 16,870.16
60,336.87 192,219.29

$ 532,551.63 $ 584,445.51 $ -7,819.92 $ -3,011.56

$

4,122.16

$

4,122.16

$ -7,819.92 $

1,110.60

65,912.15

62,745.47

43,283.72

FUND BALANCE JUNE 30, 1995

$ 399,122.01 $ 505,404.29

$ 101,375.95 $ 63,856.07

The notes to the general purpose financial statements are an integral part of this statement. -5-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Chattahoochee County Board of Education (Board) was established under the laws of the State of Georgia and operates under the guidance of a school board elected by the voters and a Superintendent appointed by the Board. 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 of the Board's accounting policies are described below.
REPORTING ENTITY
In evaluating how to define the government unit for financial reporting purposes, management has considered the criteria set forth in GASB Codification of Governmental Accounting and Financial Reporting Standards, Section 2100, "Defining the Financial Reporting Entity". The primary government consists of all the organizations that compose the legal entity of the Chattahoochee County Board ofEducation.
Based upon the application ofthe above criteria, the Chattahoochee County Board of Education is determined to be the lowest level of government exercising oversight responsibility and control over all activities related to public education in Chattahoochee 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, 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 of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities.
A fund is a separate accounting entity with a self-balancing set of accounts.
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-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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 or most of a Board's general activities. Govertunental Fund Types include:
GENERAL FUND - the fund used to account for all financial resources of the Board except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services provided by a board of education.
SPECIAL REVENUE FUND - the fund used to account for the proceeds of specific revenue sources (other than for major capital projects) that are legally restricted to expenditures for specified purposes. These funds are primarily received from the Georgia Department of Education and from the Federal government to accomplish specific objectives and are required to be accounted for separately. Also included are proceeds received from State, Federal, Local and Other sources for operations of the school food services fund. This fund could be accounted for as an enterprise fund; however, the Board chooses not to provide for depreciation, but to maintain the fund on a modified accrual basis and to report the fund as a special revenue fund under governmental fund types, which is acceptable under generally accepted accounting principles for governmental entities.
CAPITAL PROJECTS FUND - the fund used to account for financial resources to be used for the acquisition or construction of major capital facilities.
DEBT SERVICE FUND - the fund used to account for the accumulation ofresources for, and the payment of, general long-term principal, interest and paying agent fees.
FIDUCIARY FUND TYPE - the agency funds are used to account for assets held by a government unit in a trustee capacity or as an agent for individuals, private organizations, other government units and/or other funds. This fund includes:
AGENCY FUNDS - the funds used to account for assets held for other funds or individuals.
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 of available spendable resources.
- 7-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds.
Agency funds are purely custodial in nature and do not involve measurement of results of operations.
Governmental funds are accounted for using the modified accrual basis of accounting under which:
Revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount ofthe transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Those revenues considered susceptible to accrual are property taxes, intergovernmental grants and investment income. Property taxes are considered available if they 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 of Education 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 of the 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.
Agency funds are accounted for using the modified accrual basis of accounting in recognizing assets and liabilities.

- 8-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET

The Chattahoochee 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 of budget 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 of the Board after advertisement, the Board receives comments on the tentative budget, makes revisions as necessary and adopts a final school budget. This final budget is then submitted, in accordance with provisions of the Quality Basic Education Act, OCGA Section 20-2-167, to the Georgia Department of Education. 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 Sources of Financial Resources over (under) Expenditures and Other Financing Uses
Fund Balance July 1, 1994
Adjustments: Inventories July 1, 1994 Food Donated Commodities Purchased Foods
Fund Balance June 30, 1995 (Budget Basis)

Special Revenue
Fund
$ 1,110.60 64,233.13
-808.69 -678.97 $ 63,856.07

- 9-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

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.

PROPERTY TAXES

The Chattahoochee County Board of Commissioners fixed the property tax levy for the 1994 tax year (calendar year) on December 20, 1994 (levy date). Taxes were due on February 20, 1995. The lien date for property taxes was January 1, 1994. Taxes collected within the current fiscal year or within 60 days after yearend are reported as revenue in fiscal year 1995 since their collection meets the criteria of GASB codification section P70.103. The Chattahoochee 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.

Tax millage rates levied for the 1994 tax year (calendar year) for the Chattahoochee County Board of Education were as follows (a mill equals $1 per thousand dollars of assessed value):

School Operations School Bonds

12.62 mills __JQ mills

13.38 mills

- 10 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS

JUNE 30, 1995

Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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 of fund 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 of interfund transactions:
Reimbursements of expenditures 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.
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 of the face value of such surety bond and the market value ofsecurities shall be equal to not less than 110 percent of the public funds being secured after the deduction ofthe amount of deposit insurance. OCGA Section 45-8-11 provides an officer holding public funds may, in his discretion, waive the requirement for security in the case of operating funds placed in demand deposit checking accounts.

- 11 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS

JUNE 30, 1995

Note 2: DEPOSITS
Acceptable security for deposits consists of any one of or any combination of the following:
(1) Surety bond signed by a surety company duly qualified and authorized to transact business within the State of Georgia,
(2) Insurance on accounts provided by the Federal Deposit Insurance Corporation,
(3) Bonds, bills, notes, certificates of indebtedness or other direct obligations of the United States or of the State of Georgia,
(4) Bonds, bills, notes, certificates of indebtedness or other obligations of the counties or municipalities ofthe State of Georgia,
(5) Bonds ofany public authority created by the laws of the State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose,
(6) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia, and
(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 $710,259.19. 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.)

- 12 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 2: DEPOSITS

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

Risk Category

Bank Balance

1

$ 100,000.00

2

76,808.19

3

533,451.00

Total

$ 710 252.12

Note 3: NON-MONETARY TRANSACTIONS

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

Note4: RISKMANAGEMENT

The Board is exposed to various risks of loss 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.

The Board has obtained commercial insurance for risk ofloss associated with torts, assets, errors or omissions and natural disaster. The Board has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Board's insurance coverage in any of the past three years.

The Board is self-insured with regard to unemployment compensation claims. The Board accounts for claims within the General Fund with expenditures and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated. The Board has not incurred any expenditures for unemployment compensation in the last two fiscal years.

The Board participates in the Georgia Education and Government Workers' Compensation Trust, a public entity risk pool organized on December I, 1991 to develop. implement, and administer a program of workers' compensation self-insurance for its member organizations. The Board pays an annual premium to the Fund for its general insurance coverage. Additional insurance coverage is provided through an agreement by the Fund with the Continental Insurance Company to provide coverage for potential losses sustained by the Fund in excess of$250,000.00 loss per occurrence, up to $1,000,000.00.

;.. 13 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 5: GENERAL LONG-TERM DEBT

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

General Obligation
Bonds

Balance July 1, 1994 Deductions Balance June 30, 1995 Note 6: CONTINGENT LIABILITIES

$ 20,000.00

20,000.00

$

000

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

Note 7: RETIREMENT PLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA (TRS)

TRS PLAN DESCRIPTION Substantially all teachers, administrative and clerical personnel employed by local school systems are covered by the Teachers Retirement System of Georgia (TRS), which is a cost-sharing multiple employer public employee retirement system (PERS).

TRS provides service retirement, disability retirement and survivors benefits for its members in accordance with State statute. A member is eligible for service retirement after 30 years of creditable service, regardless of age, or after 10 years of service and attainment of age 60. A member is eligible for early retirement after 25 years of creditable service and attainment of age 55, at a reduced benefit. Retirement benefits paid to members are equal to 2% of the average of the member's two consecutive highest paid years of service multiplied by the number of years of creditable service up to 40 years. The normal retirement pension is payable monthly for life. Options are available for distribution 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 10 years of service) and compensation up to the time of disability or death.

- 14 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 7: RETIREMENT PLANS

Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contributions are refunded with interest.

The Board's payroll for employees covered by TRS for the year ended June 30, 1995, was $1,437,425.92; total payroll was $1,570,603.28.

TRS CONTRIBUTIONS REQUIRED AND MADE Employees ofthe Board who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. The Board makes monthly employer contributions to TRS at rates adopted by the TRS Board ofTrustees in accordance with State statute and as advised by their independent actuary. For fiscal year 1995 that rate for employer contributions was 11.81%. The interest rate assumption (rate of return on investments) was 7.50%.

Total contributions made during fiscal year 1995 amounted to $241,631.87 of which $169,760.23 was made by the Board and $71,871.64 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.

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

Total pension benefit obligation

$15,313,743,000.00

Net assets available for benefits, at cost

14,254,785,000.00

Unfunded pension benefit obligation

$ 1,058 958 000.00

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

- 15 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXIIlBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 7: RETIREMENT PLANS
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 $169,760.23 was actuarially determined and represented .0300% of total contributions made by all participating employers.
Ten year historical trend information is presented in the 1995 TRS Component Unit Financial Report. This information is useful in assessing TRS's accumulation of sufficient assets to pay pension benefits as they become due.
PUBLIC SCHOOL EMPLOYEES RETIREMENT SYSTEM OF GEORGIA (PSERS)
PSERS PLAN DESCRIPTION Substantially all bus drivers, maintenance, custodial, and lunchroom personnel employed by local school systems are covered by the Public School Employees Retirement System of Georgia (PSERS). All employer's contributions are made by the State of Georgia in accordance with State statute.
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 of age 65. A member applying for service retirement with 10 years of service and retires between the ages of 60 and 65 receives a reduced benefit. Monthly retirement benefits paid to members are equal to $8.00 per month multiplied by the number ofyears of creditable service. Options are available for distribution of the member's monthly pension at a reduced rate to a designated beneficiary on the member's death.
Retirement provisions include death and disability benefits. Disability benefits are the same as if the employee had retired at age 65 as long as the employee has 15 or more years of creditable service. Death benefits are dependent upon the number ofyears of service. Ifthere are less than ten years of service, a lump sum refund of the employee's contributions and interest are made to the beneficiary. Ifthere are more than ten years of service, the beneficiary shall receive for life half of what the employee would have received upon retirement.
Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting of employer contributions occurs, but the member's contributions are refunded with interest.
There were 14 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 of Trustees. Total contributions from employees of the Board made during fiscal year 1995 amounted to $456.00. 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.

- 16 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 1995

Note 8: SURETY BONDS
The School Superintendent, Mr. Ronnie E. Burgamy, is bonded in the amount of $20,000.00 with the American States Insurance Company, Indianapolis, Indiana, their Bond No. EX 525 720, on which premium was paid through July 1, 1995.

- 17 -

CHATTAHOOCHEE 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

ELEMENTARY

SCHOOL FOOD
SERVICES FUND

STATE PRESCHOOL HANDICAPPED
PROGRAM

LOTTERY PROGRAMS

CHAPTER 1 EDUCATION OF
DEPRIVED CHILDREN

$ 64,012.20 $

178.32 $

0.00 $

2,967.52

13,295.27

34,979.76

872.43 808.23

Total Assets

$ 78,988.13 $

178.32 $

------ 0.00 $

37,947.28

LIABILITIES AND FUND EQUITY
LIABILITIES
Cash Overdraft Accounts Payable Salaries Payable Notes 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

$

1,726.60

11,724.80 $

$ 13,451.40 $

$

872.43

808.23

$

1,680.66

63,856.07 $

$ 65,536.73 $

178.32 178.32

$

6,321.94

31,625.34

$

37,947.28

0.00 $ 0.00 $

0.00 $ 0.00 $

0.00 0.00

Total Liabilities and Fund Equity

$ 78,988.13 $

178.32 $

-------- 0.00 $

37,947.28

See notes to the general purpose financial statements.

- 18 -

EXHIBIT"E"

AND SECONDARY EDUCATION ACT

TITLE II-

EISENHOWER

CHAPTER2

MATHEMATICS

BLOCK GRANT - AND SCIENCE

FLOW THROUGH EDUCATION

INDIVIDUALS WITH DISABILITIES
EDUCATION ACT TITLE VI, B FLOW THROUGH

JOB TRAINING PARTNERSHIP
ACT

TOTALS JUNE 30, 1995 JUNE 30, 1994

$

362.47 $

0.00

$

67,520.51 $

95,490.04

$

2,100.00 $

1,124.63

51,499.66

46,191.69

872.43 808.23

808.69 678.97

$ _ _ _ _3_6_2_.4_7 $ _ _ _ _o_.o_o $ _ _ _ _2_._10_0_.o_o $ _ _ _1_.1_2_4_.6_3 $

120,700.83 $

143,169.39

$

362.47

$

362.47

$

2,000.00 $

1,124.63 $

3,124.63 $

2,740.00

100.00

8,148.54

10,842.20

43,528.46

40,216.46

17,789.50

362.47

102.18

7,245.92

$

2,100.00 $

1,124.63 $

55,164.10 $

78,936.26

$

0.00 $

0.00 $

$

0.00 $

0.00 $

0.00 $ 0.00 $

$
$ 0.00 0.00 $

$
872.43 808.23 1,680.66 $ 63,856.07 65,536.73 $

558.00
808.69 678.97 2,045.66 62,187.47 64,233.13

$ _ _ _ _3_6_2._47_$ _ _ _ _0_._00_$ _ _ _ _2_._10_0_.0_0$

1,124.63 $

120,700.83 $

143,169.39

-19 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
SPECIAL REVENUE FUND YEAR ENDED JUNE 30, 1995

REVENUES
State Funds Federal Funds Local and Other Funds
Total Revenues
EXPENDITURES
Current Instruction Support Services Pupil Services Improvement of Instructional Services General Administration Maintenance and Operation of Plant Student Transportation Services Other Support Services Food Services Operation
Total Expenditures
Excess of Revenues over (under) Expenditures
OTHER FINANCING SOURCES
Operating Transfers In
Excess of Revenues and Other Financing Sources over (under) Expenditures
FUND BALANCE JULY 1
Food Inventory - Net Change in Period Donated Commodities Purchased Food

SCHOOL FOOD
SERVICES FUND

STATE PRESCHOOL HANDICAPPED
PROGRAM

LOTTERY PROGRAMS

ELEMENTARY
CHAPTER 1 EDUCATION OF
DEPRIVED CHILDREN

$ 10,338.00 $ 143,382.34 40,167.55
$ 193,887.89 $

37,122.00 $

50,227.92 $

268,116.76

37,122.00 $ 50,227.92 $ _ _ _268_,1_1_6._76_

$

$ 192,219.29

$ 192,219.29 $

$

1,668.60 $

14,464.00 $ 22,658.00

26,208.45 $

10,903.00 16,000.00

37,122.00 $ 0.00 $

53,111.45 $ -2,883.53 $

200,917.83
3,224.76 19,499.57
365.23 44,109.37
268,116.76 0.00

2,883.53

$

1,668.60 $

0.00 $

0.00 $

0.00

63,675.13

0.00

0.00

0.00

63.74 129.26

FUND BALANCE JUNE 30

$ 65,536.73 $

0.00 $

o.oo s-~---o=.oo=

See notes to the general purpose financial statements.

-20-

EXHIBITP

AND SECONDARY EDUCATION ACT

TITLE II

EISENHOWER

CHAPTER2

MATHEMATICS

BLOCK GRANT AND SCIENCE

FLOW THROUGH

EDUCATION

INDIVIDUALS WITH DISABILITIES
EDUCATION ACT TITLE VI, B FLOW THROUGH

JOB TRAINING PARTNERSHIP
ACT

TOTALS YEAR ENDED JUNE 30, 1995 JUNE 30, 1994

$

3,596.53 $

6,875.40 $

$

3,596.53 $

6,875.40 $

17,100.00 $ 17,100.00 $

$ 4,507.45
4,507.45 $

97,687.92 $ 443,578.48
40,167.55

78,741.90 438,296.80
31,265.53

581,433.95 $ _......;;548-'-'-',,304.;;..c..,;=2_3_

$

3,587.35 $

7,793.04 $

9.18

14.72

$

3,596.53 $

7,807.76 $

$

0.00 $

-932.36 $

374.36

$

0.00 $

-558.00 $

0.00

558.00

$

o.oo s_____o._oo_ s

4,937.58 $
222.00 538.29 6,071.74
5,967.16 227.50
17,964.27 $
-864.27 $

3,457.45 $
1,050.00
4,507.45 $ 0.00 $

261,365.70 $
22,880.00 3,763.05 25,595.21 1,415.23 16,870.16
60,336.87 192,219.29
584,445.51 $
-3,011.56 $

279,901.05
27,814.00 3,330.58 33,178.99 13,516.43 11,709.01
34,410.03 162,825.42
566,685.51
-18,381.28

864.27 0.00 $ 0.00
0.00 $

0.00 $ 0.00
0.00 $

4,122.16
1,110.60 $ 64,233.13
63.74 129.26

38,419.00
20,037.72 44,,397.95
-563.66 361.12

s _ _ _ 65,536.73

64..,,23-=3_.13,,..

-21 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET CAPITAL PROJECTS FUND JUNE 30, 1995

EXHIBIT"G'

ASSETS Cash and Cash Equivalents

REGULAR

GEORGIA STATE FINANCING AND
INVESTMENT COMMISSION
PROJECT 94-626-018

TOTALS

JUNE 30, 1995

JUNE 30, 1994

$ 30,273.25 $

173.53 $

s_ _ _ _ 30,446.78

43..,6,...8_7

FUND EQUITY
Fund Balances Reserved For State Capital Outlay Projects Unreserved Undesignated

$ $ 30,273.25

Total Fund Equity

$ 30,273.25 $

173.53 $ 0.00
173.53 $

173.53 $ 30,273.25

173.53 263.34

------ 30 446.78 $

436.87

See notes to the general purpose financial statements.

-22-

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
CAPITAL PROJECTS FUND YEAR ENDED JUNE 30, 1995

EXHIBITH"

REVENUES

REGULAR

GEORGIA STATE FINANCING AND
INVESTMENT COMMISSION
PROJECT
94-626-018

TOTALS YEAR ENDED JUNE 30, 1995 JUNE 301 1994

State Funds Local and Other Funds

$

$

9.91

0.00 $

$ 9.91

12,035.51 282.96

Total Revenues

$

9.91 $

0.00 $

9.91 $

12 318.47

EXPENDITURES

Capital Outlay Professional and Technical Services Building and Building Improvements

$

0.00 $

0.00 $

0.00 $

1,464.30 18,332.00

Total Expenditures

$

0.00 $

0.00 $

0.00 $

19,796.30

Excess of Revenues over (under) Expenditures

$

9.91 $

0.00 $

9.91 $

-7 477.83

OTHER FINANCING SOURCES (USES)

Operating Transfers In Operating Transfers Out

$ 30,000.00

$

30,000.00

$

-709.21

Total Other Financing Sources (Uses)

$ 30,000.00

$

30,000.00 $

-709.21

Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses $

30,009.91 $

0.00 $

30,009.91 $

-8,187.04

FUND BALANCE JULY 1

263.34

173.53

436.87

8,623.91

FUND BALANCE JUNE 30

$ 30,273.25 $

173.53 $

30,446.78 $ _ _ _ _4_3_6._8_7

See notes to the general purpose financial statements.

-23-

ARTCWB ASSETS
Cash and Cash Equivalents
LIABILITIES
Funds Held for others
BUILDER'S CLUB ASSETS
Cash and Cash Equivalents
LIABILITIES
Funds Held for others
HOSPITALITY ASSETS
Cash and Cash Equivalents
LIABILITIES
Funds Held for others
K.I.D.CLUB ASSETS
Cash and Cash Equivalents
LIABILITIES
Funds Held for Others
NEWSPAPER ASSETS
Cash and Cash Equivalents
LIABILITIES
Funds Held for Others

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
ADUCIARVFUNDTYPE-AGENCYFUNDS VEAR ENDED JUNE 30 1995

EXH1B1Tr

BALANCE
JULY 11 1994

ADDITIONS

DEDUCTIONS

BALANCE
JUNE 301 1995

$

20.46 $

0.00 $

o.oo s _ _ _ _2_0_.46_

$

20.46 $

0.00 $

o.oo s_ _ _ _2..,o,._.46.,.

$

58.02 $

20.00 $

31.78 s_ _ _ _46.,...24=

$

58.02 $

20.00 $

31.78 s_ _ _ _46...,..2_,4

$

350.31 $

205.00 $

521.90 s _ _ _ _33_.4_1

s_ _...,;;;3so=.3=1 s

205.00 $

521.90 s _ _ __.3..,3,...4=1

$

170.21 $

42.00 $

33.87 s_ _ _ _11_8,..3.4..

$

170.21 $

42.00 $

33.87 s_ _ _,..11_8_.34==

$

184.48 $

113.81 $

43.10 s _ _ _2_54_.59-

$

184.48 $

113.81 $

43.10 s _ _ _2=54~.5=9

-24-

PLAYGROUND EQUIPMENT
ASSETS Cash and Cash Equivalents

CHATTAHOOCHEE COUNTY BOARD Of EDUCATION COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FIDUCIARY FUND TYPE AGENCY FUNDS
YEAR ENDED JUNE 30. 1995

EXHIBIT"r

BALANCE JULY1 1 1994

ADDITIONS

DEDUCTIONS

BALANCE JUNE 301 1995

$

31000.00 $

100.00 $

0.00 $

31100.00

LIABIUTIES Funds Held for Others
STUDENT COUNCIL ASSETS
Cash and Cash Equivalents
LIABILITIES Funds Held for Others

$

31000.00 $

100.00 $

o.oo s _ _ _3_I_100=.oo-

$ ---=1=69=._43== $

79.90 $

14.oo s _ _ _2_3_5._33_

s _ _-=1=ss=.43.,. s _ _ _.1.9.;.;,..90= s

14.oo s _ _ _ _235.......,..33..,

TECHNOLOGY CLUB
ASSETS Cash and Cash Equivalents

$

99.78 $

457.28 $

538.88 s _ _ _ _1_8_.18,_

LIABILmEs Funds Held for Others

$

99.78 $

457.28 $

538.88 s.....,_........1..,8_.18==

VENDING MACHINES
ASSETS Cash and Cash Equivalents

$

3,128.55 $

20,911.31 $

19,566.29 s....,..,.._4,_4_73..,;;;,.5.1..

LIABILmES Funds Held for Others

$

3,128.55 $

20,911.31 $

19,566.29 s ...,_....;;4,.47_3_.5_7

TOTALS-AGENCY FUNDS
ASSETS Cash and Cash Equivalents

$

7,181.24 $

21,929.30 $

20,750.42 $ -==--81..,.360.,..;.;.1.2..

LIABILITIES Funds Held for Others
See notes to the general purpose financial statements.

$

7,181.24 $

21,929.30 $

20,750.42 s _ _ _8=3_6_0._12;;;. 1

-25

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE YEAR ENDED JUNE 3Q 1995

SCHEDULE "1"

FUNDING AGENCY PRQGRAt,YGRANT
AgricuHure, U. S. Department Cll Direct Food and Nutrition Program Summer Food Senrice Program for Children 1995Grant Through Georgia Department Cll Education Food Services School Breakfast Program 1995Grant National School Lunch Program 1994Grant 1995Grant National Education and Training Program 1995 Contract Food Distribution Program {1)
Total U.S. Department Cll Agriculture
Education,U.S.Departmentof Direct P. L. 81-87o4 1995Grant Through Georgia Department of Education Elementary and Secondary Education Act Chapter 1 Education Cll Deprived Children 1993 Carry-Over 1994 Regular 1994 Carry-Over 1995 Regular Chapter2 Block Grant - Flow Through 1995 Regular Tille II Eisenhower Mathematics and Science Education 1994 Regular 1995 Regular Individuals with Disabilities Education Act Title VI, B Flow Through 1993 Carry-Over 1994 Regular 1995 Regular Preschool Program 1993 Carry-Over
Total U. S. Department of Education
Labor, U. S. Department of Through Columbus Consolidated Government Job Training Partnership Act 93-086 95-001
Total U.S. Department of Labor

CFDA

AWARDS

~ IN PERIOD

FEDERAL FUNDS RECEIVED IN PERIOD(NET OF REFUNDS)

FEDERAL REVENUE IN PERIOD

EXPENDITURES IN PERIOD

10.559 $

3,572.80

$

2,707.00 $

2,707.00

10.553
10.555 10.555
10.5&4 10.550
$

31,4&4.&4 $
93,008.57 2,860.00
13,342.13 144,248.14 $

31,4&4.&4
1,033.65 93,008.57
2,860.00 NIA
128,366.86 $

31,o4&4.&4
93,008.57 2,860.00
13,342.13 143,382.34 $

{2)
176,170.16 (3) {2) 13,342.13
192,219.29

8"'.041 $

3,414.00 $

3,414.00 $

3,414.00

{4)

84.010 8"'.010 84.010 84.010
8"'.151
8"'.1&4 84.1&4

52,799.00 231,355.00
3,959.00
7,000.00

12,208.00 23,150.46 52,799.00 180,338.00
3,959.00
-124.60 7,000.00

52,799.00 $ 215,317.76

52,799.00 215,317.76

3,596.53

3,596.53

-124.60 7,000.00

"'33.o40 7,374.36 (3)

84.027 84.027 84.027
84.173
$

17,100.00 315,627.00 $

1,000.00 1,692.00 15,000.00
48.00
300,483.86 $

17,100.00 299,102.69 $

17,9&4.27 {3) 297,485.32

17.250

$

17.250 $, _ _5::.i,05=9.:.:.00=.

3,382.82 $

$

5,059.00 $_ _ _3::.i,38=2.:.:.8=-2 $

3,382.82 $ 1,124.63

3,382.82 1,124.63

4,507.45 $_ _ _.~.50_7_.4_5

Total Federal Financial Assistance

$ 4&4,934.14 $

432,233.54 $

The Board had no major programs as defined by the Single Audit Act of 1984.

{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 these programs 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 Olher Funds.
Expenditures are not maintained by fund source. {o4) Funds eamed on this program do not require reporting of expenditures.

446,992.48 $

494,212.06

See notes to the general purpose financial statements.

26 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION CASH AND CASH EQUIVALENTS JUNE 30, 1995
INTEREST BEARING ACCOUNTS
Columbus Bank and Trust, Columbus, Georgia
Certificates of Deposit No. 10069792 (5.90%) No.10085184 (4.85%) No.1115709 (5.80%)
N.O.W. Accounts (3.55%)

SCHEDULE "2"
$ 120,778.64 78,582.66
100,000.00 320,332.58 $ 619,693.88

See notes to the general purpose financial statements. - 27 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION ACCOUNTS RECEIVABLE JUNE 30, 1995

SCHEDULE "3"

Agriculture, U. S. Department of Summer Food Program for Children
Chattahoochee County Board of Commissioners Field Trips
Chattahoochee County Tax Commissioner County Wide School Tax
Columbus, Georgia Consolidated Government Job Training Partnership Act
Education, Georgia Department of Federal Programs ESEA - Chapter 1 Education of Deprived Children Individuals with Disabilities Education Act TrtleVl,B Flow Through
Marion County Board of Education Shared Service Contributions

GOVERNMENTAL FUND TYPES

SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTAL

$

2,707.00 $ 2,707.00

$

193.75

193.75

15,208.74

15,208.74

1,124.63

1,124.63

34,979.76

34,979.76

2,100.00

2,100.00

10,588.27

10,588.27

$

15,402.49 $

51,499.66 $ 66,902.15

See notes to the general purpose financial statements.

- 28 -

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

SCHEDULE "4"

AGENCY/FUNDING
GRANTS
Education, Georgia Department of Quality Basic Education General and Career Education Programs Special Education Programs Remedial Education Program Media Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Sparsity Grant Special Instructional Assistance School Counseloi:s Grades 4 and 5 Superintendent Base Salary Mid-term Adjustment Local Fair Share Educational Equalization Funding Grant Food Services Other State Programs At-Risk Summer School Program Innovative Programs Mentor Teacher Program Preschool Handicapped Program Teachers' Retirement Lottery Programs Distant Learning Instructional Technology Media Center and Library Equipment Pre-Kindergarten Program Safe Schools Grant Technology Installation
CONTRACTS
Education, Georgia Department of Leadership Seminar - Georgia Education Leadership Academy

GOVERNMENTAL FUND TYPES

SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTAL

$

736,374.00

155,033.00

26,717.00

35,773.00

10,332.00

214,884.00

$ 736,374.00 155,033.00 26,717.00 35,773.00 10,332.00 214,884.00

82,121.00 25,626.00 88,169.00 72,977.00 19,971.00 25,109.00 16,261.00 -115,742.00 320,705.00
$

10,338.00

82,121.00 25,626.00 88,169.00 72,977.00 19,971.00 25,109.00 16,261.00 -115,742.00 320,705.00 10,338.00

2,227.00 3;100.00 1,380.00
3,608.90

37,122.00

2,227.00 3,100.00 1,380.00 37,122.00 3,608.90

2,100.00 15,000.00
7,245.92 6,000.00 9,882.00 10,000.00

2,100.00 15,000.00
7,245.92 6,000.00 9,882.00 10,000.00

3,400.00

3,400.00

$

1,728,025.90 $

97,687.92 $ 1,825,713.82

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

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION SCHEDULE OF LOCAL AND OTHER REVENUE YEAR ENDED JUNE 30. 1995

SCHEDULE "5"

GENERAL FUND

GOVERNMENTAL FUND TYPES

SPECIAL

CAPITAL

REVENUE PROJECTS

FUND

FUND

DEBT SERVICE
FUND

TOTAL

Taxes County Wide Bond Tax County Wide School Tax Railroad Car Tax Real Estate Transfer Tax

$ 327,830.79 6,906.38 2,187.29

$ 19,613.47 $ 19,613.47

327,830.79

415.91

7,322.29

2,187.29

other Indirect Cost Special Revenue Fund Interest Earned Jury Duty Fees Lost and Damaged Books Reimbursement Summer Feeding Program Chattahoochee County Board of Commissions Rents Sales Breakfast and Lunches School Assets Shared Service Contributions Marion County Board of Education Webster County Board of Education Tuition Other

8,288.00 15,464.57 $
948,06 272.06

1,270.38 $

1,050.00 1,111.00
7,381.66 521.20

4,227.60
8,927.95
16,813.27 8,928.35

8,288.00

9.91

1,034.52

17,779.38

948.06

272.06

4,227.60 1,050.00
8,927.95 1,111.00
16,813.27 8,928.35 7,381.66 521.20

$ 371,961.01 $ 40,167.55 $ _ _ _9._91_$ 21,063.90 $ 433,202.37

See notes to the general purpose financial statements.

- 30 -

CHATTAHOOCHEE 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 of Board Members Water, Sewer and Cleaning Services Repair and Maintenance Services Rents Insurance Communications 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 Land and Land Improvements Building and Building Improvements Equipment

GENERAL FUND

SPECIAL REVENUE
FUND

TOTAL

$ 1,288,964.35 $
269,402.28 6,384.61
10,423.21 3,450.00 3,644.40
15,402.64 105.60
9,151.40 6,554.28
6,866.00 9,128.71 117,058.63 52,110.62
36,771.02 8,232.14
370.59

281,638.93 $
53,464.44 4,870.57
11,700.37
590.00 11,173.00
1,050.00
602.82 766.89
40,748.79 35,821.38
81,339.33 3,698.86 1,434.48 8,288.00 1,801.69

1,570,603.28 322,866.72 11,255.18 22,123.58 3,450.00 4,234.40 26,575.64 1,155.60 9,151.40 7,157.10 766.89 6,866.00 49,877.50 152,880.01 52,110.62 81,339.33 40,469.88 9,666.62 8,288.00 2,172.28

2,315.00 16,951.40 149,723.01

45,455.96

2,315.00 16,951.40 195,178.97

Total Expenditures

$ 2,013,009.89 $ 584,445.51 $ 2,597,455.40

See notes to the general purpose financial statements. - 31 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT LOTTERY PROGRAMS YEAR ENDED JUNE 30, 1995

EXPENDITURES
Operating Costs Other Purchased Services Supplies
Nonoperating Costs Equipment

DISTANT LEARNING

INSTRUCTIONAL TECHNOLOGY

MEDIA CENTER
AND
LIBRARY EQUIPMENT

$

1,100.00

1,000.00 $

1,100.00 $

15,762.53

1,540.49 5,705.43

Total Expenditures

$

2,100.00 $

16,862.53 $ ====7=,2==4=5=.9=2

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

SCHEDULE '7"

PRE-KINDERGARTEN PROGRAM

SAFE SCHOOLS
GRANT

TECHNOLOGY INSTALLATION

TOTAL

$

6,000.00

$

10,000.00 $

17,100.00

$

3,958.00

7,598.49

6,945.00

28,412.96

$

6,000.00 $

10,903.00 $

10,000.00 $===53=,1=1=1=.4=5

- 33 -

CHATTAHOOCHEE 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

$

970,158.00 $

26,802.00

$

958,558.13

- - - ~ - - 175,033.77 $

164,849.93

$ 1,133,591.90

-3,557.90 $ 1,130,034.00

$

o.oo $ =====o=.o=o

See notes to the general purpose financial statements. - 35 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS BY PROGRAM
GENERAL FUND OUALITY BASIC EDUCATION PROGRAMS
YEAR ENDED JUNE 3Q 1995

GENERAL ANQ CAREER EDUCATION PROGRAMS
Kindergarten Ci Grades 1 3 Ci
Sub-Total K-3
r) Grades 4 5 r> Grades 6 8
Total General and Career Education Programs SPECIAL EDUCATION PROGRAMS
Regular Programs Category I (") Category V (Gifted) () Total Special Education Programs
REMEQIAL EQUCATION PROGRAM Cl
Total Thirteen Weighted Programs MEDIA CENTER PROGRAMS
Salaries Operations
Total Media Center Programs
Total Thirteen Weighted and Media Center Programs
STAFF DEVELOPMENT PROGRAMS Cost of Instruction Professional Development
Total Staff Development () Identifies Thirteen Weighted Programs.

ALLOTMENTS FROM DEPARTMENT OF EDUCATION

REQUIRED

ORIGINAL

'I(,

ORIGINAL

MID-TERM

$

134,676.00

$

121,208.40 $

285,089.00

256,580.10

$

419,765.00 90 $

377,788.50 $

124,191.00 90

111,771.90

192,418.00 90

173,176.20

$

736,374.00

$

662,736.60 $

0.00 0.00 0.00 0.00 16,261.00 16,261.00

$

152,068.00 90 $

136,861.20 $

2,965.00 90

2,668.50

$

155,033.00

$ . 139,529.70 $

$

26,717.00 90 $

24,045.30 $

$

918,124.00

$

826,311.60 $

0.00 0.00
0.00
0.00 16,261.00

$

28,952.00 90 $

26,056.80 $

0.00

6.821.00 90

6,138.90

0.00

$

35,773.00

$

32,195.70 $

0.00

$-===95=3=,8=9=7.=00=

$

858,507.30 $ _,.....,1=6=,2=6=1.=00-

$

2,432.00

$

2,432.00 $

0.00

7,900.00

7,900.00

0.00

$

10,332.00 100 $

10,332.00 $-====-==0.=00=

See notes to the general purpose financial statements.

36

SCHEDULE"9"

TOTAL REQUIRED

ACTUAL EXPENDITURES

SALARIES

OPERATIONS

TOTAL

AMOUNTOF UNDEREXPENDITURE
FOR REQUIRED ALLOTMENT

$

121,208.40 $

119,033.39 $

18,087.93 $

137,121.32

256,580.10

286,312.96

56,180.99

342,493.95

$ 3n,1aa.so $

405,346.35 $

74,268.92 $

479,615.27 $

0.00

111,n1.so

129,086.48

24,195.12

153,281.60

0.00

189,437.20

223,481.51

38,309.84

261,791.35

0.00

$

678,997.60 $

757,914.34 $

136,n3.aa $

894,688.22

$

136,861.20 $

138,232.n $

25,309.23 $

163,542.00

0.00

2,668.50

5,363.41

2,172.31

7,535.n

0.00

$

139,529.70 $

143,596.18 $

27,481.54 $

111,on.12

$

24,045.30 $

27,900.55 $

594.51 $

28,495.06

0.00

$

842,572.60 $

929,411.07 $

164,849.93 $ 1,094,261.00

$

26,056.80 $

29,147.06

$

29,147.06

0.00

6,138.90 - - - - - - $ _ _ _1_0_,_1__8_3._84_

10,183.84

0.00

$

32,195.70 $

29,147.06 $

10,183.84 $ _ _ _3.9...._330_.9_0

$

874,768.30 $

958,558.13 $

115,033.n $ 1,133,591.90 $-========o.=oo-=

$

2,432.00

7,900.00

$-====1=0=,3=3=2.=00=

$

9,824.69 $

9,824.69

507.31

507.31

$

10,332.00 $

10,332.00 $---===---=o=.oo-

- 37 -

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION SCHEDULE OF COMPENSATION OF BOARD MEMBERS
YEAR ENDED JUNE 30. 1995
BOARD MEMBER ADDRESS Mr. Ben Miller, Chairman (*) Route 1, Box 605 Cusseta, Georgia 31805
Mr. Johnny Baker (*) Route 1, Box 5590 Cusseta, Georgia 31805
Mr. E. L. Burgamy, Jr. (*)
P. 0. Box294
Cusseta, Georgia 31805
Mrs. Joyce Coleman (*) Route 1, Box 70 Cusseta, Georgia 31805
Mrs. Rebecca WebQ (*) P. 0. Box633 Cusseta, Georgia 31805
(*) Denotes Board Members Serving as of June 30, 1995

SCHEDULE u10"

$

700.00

750.00 700.00

600.00

700.00

$

3,450.00

See notes to the general purpose financial statements.

- 38 -

SECTION II COMPLIANCE

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Chattahoochee 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 Chattahoochee County Board of Education as of and for the year ended June 30, 1995, and have issued our report thereon dated May 30, 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 Chattahoochee County Board of Education 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 of our tests disclosed no instances of noncompliance that are required to be reported herein under Government Auditing Standards.

95CRL-10

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

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Chattahoochee 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 Chattahoochee County Board of Education as of and for the year ended June 30, 1995, and have issued our report thereon dated May 30, 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 Chattahoochee County Board of Education's compliance with the following requirements applicable to each of its Federal financial assistance programs, which are listed in the Schedule ofFederal Financial Assistance, for the year ended June 30, 1995:

( 1) Political Activity

(5) Allowable Costs/Cost Principles

(2) Civil Rights

(6) Drug-Free Workplace Act

(3) Cash Management

(7) Audit Follow-Up/Resolution

(4) Federal Financial Reports

(8) Administrative Requirements

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

95CRL-40

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 Chattahoochee County Board of Education 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:cm 95CRL-40

Claude L. Vickers State Auditor

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

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

as of and for the year ended June 30, 1995, and have issued our report thereon dated May 30, 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 Chattahoochee 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 A128, "Audits ofState and Local Governments", we selected certain transactions applicable to certain nonmajor Federal financial assistance programs for the year ended June 30, 1995. As required by 0MB Circular A-128, we have performed auditing procedures on the selected transactions to test compliance with the requirements governing:

( 1) Types of Services Allowed or Unallowed

(2) Eligibility

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

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

95CRL-120

This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,

CLV:cm 95CRL-120

Claude L. Vickers State Auditor

SECTION ID INTERNAL CONTROL

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation
and Superintendent and Members ofthe Chattahoochee 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 Chattahoochee County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated May 30, 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 of the Chattahoochee County Board of Education is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principles. Because of inherent limitations in any internal control structure, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the structure to future periods is subject to risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate.
In planning and performing our audit ofthe general purpose financial statements of the Chattahoochee County
Board of Education for the year ended June 30, 1995, we obtained an understanding of the internal control
95ICL-3

structure. With respect to the internal control structure, we obtained an understanding of the design of relevant 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 of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design
or operation ofthe internal control structure that, in our judgment, could adversely affect the entity's ability
to record, process, summarize, and report financial data consistent with the assertions of management in the general purpose financial statements.
As described in the Schedule ofFindings and Improper or Questioned Costs, reportable conditions were noted in the following control categories:
(1) Accounting Controls (Overall)
(2) General Fixed Assets
A material weakness is a reportable condition in which the design or operation of one or more of the internal control structure elements does not reduce to a relatively low level the risk that errors or irregularities in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions.
Our consideration of the internal control structure would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, we believe that the reportable conditions disclosed above are also considered to be material weaknesses.
These conditions were considered in determining the nature, timing, and extent of the procedures to be performed in our audit ofthe Chattahoochee County Board ofEducation's financial statements and this report does not affect our report thereon dated May 30, 1996.
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 submitted,
t{Lx-zZ
Claude L. Vickers State Auditor
CLV:cm 95ICL-3

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
May 30, 1996

Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation
and Superintendent and Members of the Chattahoochee County Board ofEducation
SINGLE AUDIT REPORT ON THE INTERNAL CONTROL STRUCTURE USED IN ADMINISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS
Ladies and Gentlemen:
We have audited the general purpose financial statements of the Chattahoochee County Board ofEducation as of and for the year ended June 30, 1995, and have issued our report thereon dated May 30, 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; 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.
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 opinion on the Board's general purpose financial statements 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 May 30, 1996.
The management of the Chattahoochee County Board of Education is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, that
95ICL-15

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 ofinherent 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 of the design and operation of policies and procedures may deteriorate.

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

GENERAL REQUIREMENTS

SPECIFIC REQUIREMENTS

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

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

(5) Allowable Costs/Cost Principles

(4) Reporting

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

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

For all of the internal control structure categories listed above, we obtained an understanding ofthe 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 Chattahoochee County Board ofEducation had no major Federal financial assistance programs and expended 60% ofits total Federal financial assistance under the following nonmajor Federal financial assistance program:
Element~ and Secondary Education Act, Chapter I Education ofDeprived Children
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 the aforementioned nonmajor program. 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.

95ICL-15

We noted a certain matter involving the internal control structure and its operation that we consider to be a reportable condition under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control structure that, in our judgment, could adversely affect the Board's ability to administer Federal financial assistance programs in accordance with applicable laws and regulations.
As described in the Schedule ofFindings and Improper or Questioned Costs, a reportable condition was noted in the following control category:
Administrative Requirements
A material weakness is a reportable condition in which the design or operation of one or more ofthe internal control structure elements does not reduce to a relatively low level the risk that noncompliance with laws and regulations that would be material to a Federal financial assistance program may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions.
Our consideration of the internal control structure policies and procedures used in administering Federal financial assistance would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, we believe that the reportable condition described above is also considered to be a material weakness.
This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies and should not be used for any other purpose. This restriction is not intended to limit the distribution of this report which is a matter of public record.
Respectfully submitted,
~~
Claude L. Vickers State Auditor
CLV:cm 95ICL-15

SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS

CHATTAHOOCHEE COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30, 1995
PRIOR YEAR
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $301.56 Audit Control Number 6261-93-04
The audit report for the year ended June 30, 1993, stated that the Board had an underexpenditure of Quality Basic Education (QBE) funds of $301.56 for the StaffDevelopment - Cost oflnstruction Program. For the year under review, no adjustment was made to the Board's local fair share by the Georgia Department of Education to refund this underexpenditure as required. The underexpenditure of $301.56 should be returned to the Georgia Department of Education through an increase in the Board's local fair share for the QBE programs in a subsequent fiscal period.
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $10,939.43 Audit Control Number 6261-94-01
The audit report for the year ended June 30, 1994, stated that the Board had an underexpenditure of Quality Basic Education (QBE) funds of $10,939.43 for the Minimum Expenditure Requirements Overall. For the year under review, no adjustment was made to the Board's local fair share by the Georgia Department of Education to refund this underexpenditure as required. The underexpenditure of $10,939.43 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.
AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $260.93 Audit Control Number 6261-94-02
The audit report for the year ended June 30, 1994, stated that the Board had an underexpenditure of Quality Basic Education (QBE) funds of $260.93 for the operations portion of the Staff Development - Cost of Instruction Program. For the year und.er 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 $260.93 should be returned to the Georgia Department of Education through an increase in the Board's local fair share for the QBE programs in a subsequent fiscal period.
- 1-

CHATTAHOOCHEE 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 6261-93-02
The audit report for the year ended June 30, 1994, noted that the management ofthe Chattahoochee 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 ofthe 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.
ACCOUNTING CONTROLS (OVERALL) - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Reportable Condition - Material Weakness Audit Control Number 6261-93-03
The audit report for the year ended June 30, 1994, stated that the Board did not provide for adequate separation of employee duties in the performance of accounting functions and related procedures. This deficiency was a result ofmanagement's decision to limit the number of administrative staff made responsible for accounting functions. Management should periodically review this decision to determine if employee duties can be reassigned to achieve a higher degree ofinternal control with existing staff. For the year under review, some improvements were made regarding separation of employee duties; however, the Board still did not achieve an adequate degree of internal control.
Note: All Federal financial assistance programs listed in the Schedule of Federal Financial Assistance, Schedule "l " of this report, are affected by this finding.
Note: The Chattahoochee County Board of Education 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.
-2-