Aeoo . Rl E,21o -C. e/l ILP1- 2fJrf) ..... STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS I CRAWFORD COUNTY SOARD OF EDUCATION ROBERTA, GEORGIA REPORT ON AUDIT OF THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED' JUNE 30, 2000 Russell W. Hinton State Auditor CRAWFORD COUNTY BOARD OF EDUCATION F . . I L _ d FRll - TABLE OF CONTENTS - d ., "" SECTION I FINANCIAL INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS EXHffiITS GENERAL PURPOSE FINANCIAL STATEMENTS COrvffiINED STATEMENTS - OVERVIEW A COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUP B COrvffiINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES C' COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES .. BUDGET AND ACTUAL (NON..GAAP BASIS) GENERAL AND SPECIAL REVENUE FUNDS D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS ADDmONAL FINANCIAL INFORMATION COI\1BINING STATEIvlENTS SPECIAL REVENUE "FUND E COMBINING BALANCE SHEET F COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES CAPITAL PROJECTS FUND G COMBINING BALANCE SHEET H COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND" BALANCES SCHEDULES 1 SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 2 SCHEDULE OF STATE REVENUE ANALYSIS OF EXPENDITURE REQUIREMENTS GENERAL FUND .. QUALITY BASIC EDUCATION PROGRAMS 3 OVERALL 4 BY PROGRAM Page 2 4 7 8 20 22 24 26 28 30 31 32 " CRAWFORD COUNTY BOARD OF EDUCATION I I ,~ .. TAB.L.,. E OF-CONTENTS - SECTIONll COMPLIANCE AND INTERNAL CONTROL REPORTS REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITI-I GOVERNMENT AUD ITI N G STANDARDS REPORT ON CO:MPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 SECTION ill AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS S Y SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS SECTIONN FINDlNGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS t I.. 10 SECTION I FINANCIAL RUSSELI~ W. HINTON STATE AUDITOR (404) 656-2' 74 -.. DEPARTMENT OF AUDITS AND ACCOUNTS 254 V/asllingl(ltl Strccl\ S.W.~ SuilC 214 Atlanta~ Gc()r~iLI 3()3~4-X4()() L June 26, 2001 Honorable Roy E. Barnes, Governor Members of the General Assembly I Members of the State Board of Education -and Superintendent and Members of the Crawford County Board of Education INDEPEN.,sr DENn_T_ AUDITOR'S COM'__B._1I1N''_ EDw_ REPOR__T_ ON GENERAL PURPOSE INFORMATION - FINANCIAL STATEMENTS AND SUPPLEMENTARY ::a:_1s iiIIzbIb. iiIIIIIl . . __ SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Ladies and Gentlemen: We have audited the accompanying general purpose financial statements of the Crawford County Board of Education, as of and for the year ended June 30, 2000, as listed in the table of contents. These general purpose financial statements are the responsibility ofthe Crawford County Board of Education's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica and the standards applicable to financial audits contained in Qov~rmnentAuditing Standards, issued by the Comptroller General ofthe United States. Those standards require that we plan and perfonn the audit to obtain reasonable assurance about whether the financial statements are free ofmaterial 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 ofipnI.a.nnI.coina.l statement presentation. We believe that our audit provides a reasonable basis for our 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: 2000ARL-13A ; * 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. * 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, 2000, a portion of salaries and the corresponding employer's cost of related benefits earned for contractual services completed prior to June 30, 2000. Also funds received, subsequent to June 30, 2000, from the Georgia Department of Education for the State's share of these unrecorded salaries and related benefits were not recorded as revenue in the year under review. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1999, were improperly recorded in the year ended June 30, 2000. 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 detennined, 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 referred to above present fairly, in all material respects, the financial position of the Crawford County Board of Education as ofJune 30, 2000, and the results ofits operations for the year then ended, in confonnity with accounting principles generally accepted in the United States of America. In accordance with Government AuditinKStandards, we have also issued our report dated June 26, 2001, on our consideration of the Crawford County Board of Education's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grants. That report is an integral part of an audit perfonned in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. Our audit was perfonned for the purpose of fonning an opinion on the general purpose financial statements of the Crawford County Board of Education taken as a whole. The accompanying combining statements (Exhibits E through H) and the financial schedules (Schedules 1 through 4), which includes the Schedule of Expenditures of Federal Awards as required by U. S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, are presented for purposes of additional analysis and are not a required part of the general purpose financial statements. Such inf9nnation has been subjected to the auditing procedures applied in the audit ofthe general purpose financial statements and in our opinion, except for the effects ofthe matters referred to in the third paragraph, such infonnation is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. 2000ARL-13A ' A copy ofthis report has been filed as a pennanent record in the office ofthe State Auditor and made available to the press ofthe State, as provided for by Official Code ofGeorgia Annotated Section 50- 6-24. Respectfully submitted, RWH:jb 2000ARL-13A R sell W. Hinton State Auditor CRAWFORD COUNTY BOARD OF EDUCATION il_ & _ ..., W'l FR CRAWFORD COUNTY BOARD OF EDUCATION t16 'II _ COMBINED BALA.N. , CE SHEET ALL Fw UND TYPE S AND A_ CCOUNT GRO,. U.n P ~UNE 3D, 2000 . - . _ ... _-~--- ASSETS Cash and Cash Equivalents Investments Accounts Receivable Inventories Food Donated Commodities Purchased Food Amount Available in Debt Service Fund Amount to be Provided in Future Years For Payment of: Bond Debt Capital Lease Agreements GENERAL FUND 'II " ... u ~ ::air 'iIIIU $ 622,391.06 GOVERNMENTAL FUND TYPES w SPECIAL CAPITAL REVENUE PROJECTS FUND FUND .-. &zL L $ 1,073,506.27 850,000.00 678,634.13 259,805~60 $ 249,274~81 133,568.13 6,645.86 3.023.54 Total Assets $ II ,1 L?32,196.66 $ 2 258,944.21 $ 1,885?08.S3 L'ABILITIES AND FUND EQUITY LIABILITIES T Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Capital Lease Agreements General Obligation Bonds Payable Total Liabilities FUND EQUITY Fund Balances Reserved For Continuation of Federal Programs For Debt Service For Continuation of State Programs For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities Purchased Food For SPLOST Projects For State Capital Outlay Projects Unreserved Undesignated Total Fund EqUity $ 21,549.58 $ 33,751.93 13,030.80 77,386.17 117,706.61 rd. $ 33,751.93 $ __2_2..9..~,6_73~...1....6.. _ $ $ 7,689.90 $ 1!698,444~73 $ 4,182.18 6,645.86 3.023.54 $ 965,199.57 920,231.15 277.81 294 271.05 $ 1,885J708.53 Total Liabilities and Fund Equity $ L2 1!732,196.66 $ _ _2=5=-8~.21 $ ,= 1J88S;708.53_ The notes to the general purpose financial statements are an integral part of this statement. -2- EXHIBIT "A" fr DEBT SERVICE _ _F11U1I_._N11D"______ ACCOUNT GROUP GENERAl LONG-TERM _ DE_BT TOTALS .. (~~!!tQrandum Onl~ _ _JUNE 3D. 2000 JUNE 30, 1999 $ 22,868.82 $ 1,718.766.15 $ 740,655.58 1,528,634.13 1,700,022.09 1,382.74 644,031.28 14,501.01 5,706.59 $ 19,251.56 19,251.56 148,369.09 1,015,748.44 161 ,435.64 1,015,748.44 161,435.64 976,630.91 163,600..70 $ ,24,251.56 $ ~:a::::I:lIllIII_1l==-19-=6~3~.64 $ 5,097,536.60 $ 41296r982.7~ $ 21,549.58 $ 35,538.52 $ 5,000.00 51,782.73 37,441.77 77,386.17 67,894.51 117,706.61 $ 161 ,435.64 161,435.64 163,600.70 Q 1,035,000.00 1,0351POQ.QO 1,125,000.00 $ 5,000.00 $ 1(196,435.64 $ F 1,494:,860~73 $ 1,429,475.50 $ 19,251.56 0.00 $ _ _1..9...,..2...5.._1._56_ $ $ 4,182.18 $ 25.653.79 19,251.56 148,369.09 82.484.63 7,689.90 4.940.83 6,645.86 3,023.54 965,199.57 920,231.15 14,501.01 5.706.59 439,989.90 479,520.00 1,706,452.11 1,666,341.38_ $ 3,6321675.87 $ 2,8671507.22 -3- CRAWFORD COUNTY BOARD OF EDUCATION _Ld d L * LIKEn.. iiiiiMLd . . . COM,BINED STA1.I;MENT OF REVENUES. EXP~~DITUBE ANp_CHANGES IN FUND BALANCES ALL G,.OVERNMENTAL FU.ND TYPES YEAR ENDED ~_y.~~ 30, 200Q REVENUES State Funds Federal Funds Taxes Other Funds Total Revenues EXPENDITURES zI& 11II' 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 Debt Service Principal Interest Paying Agent Fees Total Expenditures Excess of Revenues over (under) Expenditures QTHER FINANCING SOURCES-WSESl Capital Leases Operating Transfers In Operating Transfers Out Total Other Financing Sources (Uses) Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses FUND BALANCE JULY 1 Food Inventory - Net Change in Period Donated Commodities Purchased Food GENERAL FUND SPECIAL REVENUE FUND $ 8,199,108.59 $ 2,901,717.76 155,360.12 $ 11 12561186.47 v $ 402,990.01 1,146,803.45 346,829.94 1%896,623.40 $ 6,543,324.21 $ 476,661.22 439,019.91 233,595.82 230,641.32 268,618.73 670,485.70 71,743.40 . 965,179.57 621.395.63 94,857.46 222~54 84,886.50 340,713~O4 77,611.47 41,372.37 15,806~O2 75.07 1,025,383.65 106,145.06 10.150~76 I- 'll $ 10,-255,380.11 $. 2,062J~Q9.34L $ 1LQ.00,806.~6 $ __ -165,88_9.94 $ 103,980.00 $ d:1,030,806.27 $ 30,806.27 $ 73,980.09 $ 1,624,464.64 -135.079.67 174,888.92 "lIZ' IU -7,855.15 -2)683.05 FUND BALANCE JUNE 30 $. 11698,444.7~ $ The notes to the general purpose financial statements are an integral part of this statement. -4- 2_9,271.05 EXHIBIT "BII CAPITAL PROJECTS -- FU-ND " DEBT SERVICE FUND TOTALS ______{Memorandum Onl~ _ JUNE 30, YEAR 2000 ENDED JUNE 30, 1999 - $ 155,520.00 $ 8,757,618.60 $ 8,796,670.42 1,146,803.45 1,000,375.98 488,330.63 $ 1O,912~83 3,400,961.22 3t087,620~40 " 45,268.62 4, 194~58 551,653.26 452J153.89 $ 689,119.25 $ $ $ 723,195.29 "$ $ ~.23.z~~5.29 $ $ GS. -34,076.04. $ _ 90,000.00 53,325.00 899.94 -12.91117.53 $ 7,019,985.43 $ 523,906.41 574,308.86 230,641.32 346,230.20 711,858.07 71,743.40 980,985.59 621,470.70 94,857.46 222.54 1,025.383.65 723,195.29 196,145.06 63,475.76 8"99.94 m 6,571 t 164.21 434,144.32 419,671.10 208.312.70 322,702.48 538,495.22 49,538.56 1.455,219.19 571.107.78 73,204.91 7,922.20 1,031,062.91 11,973.95 197,590.70 72,349.48 796.59 _I 671 L726.85 $ _ _ 1,371 t~F.19 $ 1,000,000.00 -_. $ 1,OOO,OOO.QQ. $ 103,980.00 $ 1,030,806.27 _ _-1.a.930,806.2r. 96,770.00 479,520.00 -479,20.00 $ 103,980.0C! $ _ .............9..9..~.J......n...o...._. oo_ $ 965.923.96 $ -129,117.53 $ nS,706.85 $ 1,468,334.19 919,784.57 148.369.09 2,867,507.22 1,400,219.56 w ~7,855.15 2,405.05 -2,683.05 _ ................-. _3,451.58 $ _ _1,885,708.53 $ e-P7 1_9,251.56 $ 37632,675.~7 $ 21867 .22 -5- ... CRAWFORD COUNTY BOARD OF EDUCATION _.~ ~9rt1BINED STATEMENT OF REVENUES,I;XPENDITUIiE_S_~ND CHANG~S IN FUND BALANCES BUDGET AND ACTUAL - (N,Q.N-GAAP BASIS} GENERAL AND SPECIAL REVENUE FUNDS YEAR ENDED JUNE 3D, 2009 w EXHIBIT "C" GENERAL FUND ACTUAL (BUDGET BUDGET BASIS)_* REVENUES State Funds Federal Funds Taxes Other Funds $ 8,072,686.38 $ 8,199,108.59 13,683600 2,610,903.32 2,901,717.76 15cl60.12 Totaf Revenues - EXPENDITURES Current Instruction Support Services Pupil Services Improvement of Instructiona' Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services central Support 8elVices Other Support Services Food services Operation Debt service Total Expenditures $ 6.628,850.19 $ 6,543,324.21 471,645.84 363,628.06 206.434.50 251,483.58 816,607.96 71,871.71 . 990,524.09 639,092.74 81,073.89 439,019.91 233,595.82 230t641.32 268,618.73 670,485.70 71,743.40 965.179.57 621,395.63 94,857.46 222.54 . - 116,295.82 $ 10=,521,212.56 $, 10&255,380.11 Excess of Revenues .over (under) Expenditures OTHER FINANCING SQURCES (USES} $ 1761060.14 $ 1,000,806.36 Other Sources Other Uses $ 103.980.00. 1,03Q.l8p.27 Total Other Financing Sources (Uses) Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses $ 176,060~14 $ 73,980.09. FUND BALANCE JULY 1, 1999 1,453,536.97 1,624.464.64 Adjusbnents Food Inventory Net Change in Period Donated Commodities Purchased Food 2,218~44 F - _ _' M SPECIAL REVENUE FUND ... .. b "'. ..... ACTUAL (BUDGET BUDGET azI I bII&& ~AS'S)_ $ 418,303,49 $ 402,990~01 1t 111.420.57 1,146,803645 . =!42,505.00 346,82~.94 $ 458,744.08 $ 476,661.22 86.524694 315,618.70 84.886.50 340,713.04 66,683.18 2,720.00 77,611.47 . 41,372.37 15,806.02 75.07 972,326.93 1,025.383.65 $ -30,388.77 $ -165,885.94 $ 30,806.27 $ ..3...0...,.~8.0.....6. ......2i i i 111.7_ $ -30,388.77 $ -135,079.67 175.151.15 174.888.92 -16.987.81 -7,855.15 -2,683.05 FUND BALANCE JUNE 30, 20g0 $ 1,631 1815.55 $ 1,69~444.73 $ _ _12_7\774.57 $ _ _2_9,271.05 The notes to the general purpose financial statements are an integral part of this statement~ -7- CRAWFORD COUNTY' BOARD OF EDUCATION EXHIBIT ttD" d L NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 3Q\ 2000 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 1 1_ _ &1 _ VIZ 1 REPORTING ENTITY The Crawford 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. The Board is organized as a separate legal entity and has the power to levy taxes and issue bonds. Its budget is not subject to approval by any other entity. Accordingly, the Board is a primary government and consists of all the organizations that compose its legal entity. FUND ACCOUNTING The Board uses funds and an account group to report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities. A fund is a separate accounting entity with a self..balancing set of accounts. An account group is a financial reporting device designed to provide accountabilityfor certain assets and liabilities that are not recorded in the funds because they do not directly affect expendable available financial resources. General Fixed Assets are recorded as expenditures in the various funds at the time of purchase.. A General Fixed Assets Account Group is not presently maintained by the Board. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types. 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 confonn 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, Taxes and Other funds under control of the Board, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. Funds and the account group presented in this report are as follows: GOVERNMENTAL FUND TYPES - are used to account for all or most ofa Board's educational activities. Governmental Fund Types include: GENERAL FUND - the fund used to account for all financial resources ofthe Board except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services provided by a board of education. -8- CRA.WFORD COUNTY BOARD OF EDUCATION b 51 _ EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS ~F'T 2iiiiiii1111LW 'IIIIZ7 ...- '" d _ r I Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - - -- -- t_d _. aJI _ 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 received primarily from the Georgia Department of Education and from the Federal government to accomplish specific educational objectives. 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 ot: generallong-tenn principal, interest and paying agent fees. ACCOUNT GROUP GENERAL LONG-TERM DEBT ACCOUNT GROUP - A financial reporting device used to account for general obligation debt outstanding and capital lease obligations. BASIS OF ACCOUNTING . The accounting and financial reporting treatment applied to a fund is detennined 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 ofthese funds present increases (Le., revenues and other financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets. Their reported fund balance is considered a measure of available spendable resources. Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds. Other liabilities, which are not expected to be financed from available spendable resources, are reported in the General Long-Term Debt Account Group. Governmental funds are accounted for using the modified accrual basis ofaccounting underwhich: Revenues are recognized when susceptible to accrual (Le., when they become both measurable and available). "Measurable" means the amount of the 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, local option sales taxes, intergovernmental grants and investment income. 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 of these contracts. During fiscal year 2000, a -9- eRAWFORD COUNTY BOARD OF EDUCATION &b& + EXHffiIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 2000 Not.... e 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES substantial number of personnel of the Board were employed for a one hundred and ninety day period beginning in late August 1999 and ending in early June 2000. Personnel contracts for this employment period specify that compensation be paid in twelve equal monthly payments beginning in September 1999 and ending in August 2000. 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, 2000, compensation under these employment contracts had been earned, but two of the twelve monthly payments, due for July and August 2000, had not been made. Payments for these two months were made and recorded as expenditures by the Board subsequent to June 30, 2000. Also, the State's portion ofthe compensation paid in July and August 2000 was received and recorded as revenue in the fiscal year subsequent to June 30, 2000. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1999, were recorded in the year ended June 30, 2000. 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 Crawford County Board ofEducation's budget is a complete financial plan for the Board's fiscal year and is based upon estimates ofexpenditures 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 ofthis tentative budget by the Board, such budget is advertised at least once in a newspaper of general 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(c), 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. CASH AND CASH EQUIVALENTS COMPOSITION OF DEPOSITS Cash and cash equivalents consist of deposits in authorized financial institutions. Georgia Laws OCGA 45-8-14 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. . .. 10 .. eRAWFORD COUNTY BOARD OF EDUCATION NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS , __T Sf L a:zI F _ till JUNE 30, 2000 EXHffiIT "DU ...... Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES ,., at... JMIdXIR mn _ TVE J INVESTMENTS COMPOSITION OF INVESTMENTS Investments made by the Board in nonparticipating interest-earning contracts (such as certificates of deposit) and repurchase agreements are reported at cost. Participating interest-earning contracts and money market investments with a maturity at purchase ofone year or less are reported at amortized cost. Both participating interest-earning contracts and money market investments with a maturity at purchase greater than one year are reported at fair value. The Official Code of Georgia Annotated Section 36-83-4 authorizes the Board to invest its funds. In selecting among options for investment or among institutional bids for deposits, the highest rate of return shall be the objective, given equivalent conditions of safety and liquidity. Funds may be invested in the following: (1) Obligations issued by the State of Georgia or by other states, (2) Obligations issued by the United States government, (3) Obligations fully insured or guaranteed by the United States government or a United States government agency, (4) Obligations of any corporation ofthe United States government, (5) Prime banker's acceptances, (6) The Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services, (7) Repurchase agreements, and (8) Obligations of other political subdivisions ofthe State of Georgia. RECEIVABLES Receivables consist of grant reimbursements due on Federal, State or other grants for expenditures made but not reimbursed and other receivables disclosed from infonnation available. Receivables are recorded when either the asset or revenue recognition criteria has been met. Receivables recorded on the general purpose financial statements do not include any amounts which would necessitate the need for an allowance for uncollectible receivables. - 11 .. ._-_. _._-----------------~_.........-_----.---._--------------------------------- CRAWFORD COUNTY BOARD OF EDUCATION . T NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 4ll Q l' , 4 ~ Jsza JUNE 30, 2000 EXHIBIT "D" Note 1: SUMMARY ,. .51 _ W_ _ OF SIGNIFICANT m ACCOUNTING _ POLICIES _ _, PROPERTY TAXES The Crawford County Board of Commissioners fixed the property tax levy for the 1999 tax year (calendar year) on November 23, 1999 (levy date). Taxes were due on January 31,2000. The lien date for property taxes was January 1, 1999. Taxes collected within the current fiscal year or within 60 days after year-end are reported as revenue in fiscal year 2000. The Crawford County Tax Commissioner bills and collects the property taxes for the Board of Education, withholds 2.5% of taxes collected as a fee for tax collection and remits the balance of taxes collected to the Board. The tax millage rate levied for the 1999 tax year (calendar year) for the Crawford County Board of Education was as follows (a mill equals $1 per thousand dollars of assessed value): ,. School Operations 18.50 mills SALES TAXES Special Purpose Local Option Sales Tax is to be used for capital outlay for educational purposes. Special Purpose Local Option Sales Tax revenue during the fiscal year amounted to $488,330.63 and was recorded in the Capital Projects Fund. The State will terminate collection of this tax once an additional.$3,174,096.45 has been collected or on June 30, 2003, whichever occurs first. 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 (first-in, first-out). 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 ofpurchase. 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. COMPENSATED ABSENCES Compensated absences represent obligations of the Board relating to employees' rights to receive compensation for future absences based upon service already rendered. This obligation relates only to vesting accumulating leave in which payment is probable and can be reasonably estimated. No liability has been recorded in the individual funds for the current portion of this obligation as this amount is deemed immaterial to the general purpose financial statements. - 12- CRAWFORD COUNTY BOARD OF EDUCATION .. b T _ EXHffiIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 7RIII 1. V "l&&LZI rq L IIdi L Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES ..... L 9 F51__ _ Additionally, the dollar value of accumulated compensated absences at June 30, which will be payable from future resources has not been recorded in the General Long-Tenn Debt Account Group as this liability is also deemed to be immaterial to the fair presentation ofthese financial statements. GENERAL OBLIGATION BONDS The Board issues general obligation bonds to provide funds for the acquisition and construction of major capital facilities. Bond premiums and discounts, as well as issuance costs, are recognized in the financial statements during the year bonds are issued. In addition, general obligation bonds have been issued to refund existing general obligation bonds. General obligation bonds are direct obligations and pledge the full faith and credit ofthe government. The outstanding amount ofthese bonds is recorded in the General Long-Tenn Debt Account Group. INTERFUND TRANSACTIONS The Board has the following types of interfund transactions: Reimbursements ofexpenditures initially made from a fund that are properly applicable to another fund are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the I 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 ofoperations in confonnity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of thi~ data. Certain reclassifications have been made to the comparative data to confonn to the current year classifications. 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 ofmoney 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 pledged shall be equal to not less than 11 percent ofthe public funds being secured after the deduction ofthe amount ofdeposit insurance. Ifa depository elects the pooled method (OCGA 45-8-13.1 ) the aggregate ofthe market value ofthe securities pledged to secure a pool ofpublic funds shall be not less than 110 perce~t ofthe daily pool . - -13 - eRAWFORD COUNTY BOARD OF EDUCATION. EXHffiIT ltD" T NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS bE , F _ d JUNE.,30,2 ~ooo Note 2: DEPOSITS balance. OCGA Section 45-8-11 (b) 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 anyone 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 of the State of Georgia, (5) Bonds of any 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 ofthe 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 or debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Intennediate 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, 2000, the bank balances were $4,308,704.24. The amounts ofthe total bank balances are classified into three categories of credit risk: Category 1 - Cash that is insured (e.g., Federal depository insurance) or collateralized with securities held by the Board or by the Board's agent in the Board's name. Category 2 - Cash collateralized with securities held by the pledging financial institution's trust department or agent in the Board's name. Category 3 - Uncollateralized deposits. (This includes any bank balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Board's name.) - 14- CRAWFORD COUNTY BOARD OF EDUCATION - AT wmsr &22iiiZI NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS _ ,... , d_V F _ ruNE 30~ 2000 ,. r ..... EXHffiIT "D" Note 2: DEPOSITS .d _ The Board's deposits are classified by risk category at June 30, 2000, as follows: Risk_.Category 1 2 3 Total Bank Balance ilia n _Vb 9 IE , $ 222,274.76 0.00 4;,0862429 .4~ TRANSACTIONS Note 3: NON-MONETARY d.... Jszz.'" Tk j dd j_ _ The Board receives food commodities from the United States Department ofAgriculture (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 illness or injuries to employees; natural disaster and unemployment compensation. The Board has obtained commercial insurance for risk ofloss associated with torts, assets and errors or omissions. The Board has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Board's insurance coverage in any ofthe past three years. The Board has elected to self-insure for all losses related to natural disaster. The Board has not experienced any losses related to this risk 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 expenditure and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated. Changes in the unemployment compensation claims liability during the last two fiscal years are as follows: 1999 2000 Beginning of Year ~iability_ Claims and Changes in Estimates $ ---0-........;;.0--..0 $ 13,057.00 $ $ 0.00 $ 8,294.00 $ Claims Paid End ofYear - Liallility_ 13,057.00 $ 8,294.00 $___ O~.O...O.... O~.O;.".;Q..m - 15- CRAWFORDCOUNTYBOARD OF EDUCATION EXHIBIT "D'" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS , L JUNE 30, 2000 Note 4: RISK MANAGEMENT LL The Board participates in the Georgia School Boards Association Workers' Compensation Fund, a public entity risk pool organized on July 1, 1992, 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 United States Fidelity and Guaranty Company to provide coverage for potential losses sustained by the Fund in excess of$3 50,000.00 loss per occurrence, up to the statutory limit. The Board has purchased surety bonds to provide additional insurance coverage as follows: Position Co-vered Superintendent Blanket Bond (All employees) Amount $ 250,000.00 $ 250,000.00 Note 5: GENERAL LONG-TERM DEBT CAPITAL LEASES The Crawford County Board of Education has entered into various lease agreements as lessee for purchase ofbuses. These lease agreements qualify as capital leases for accounting purposes and, therefore, have been recorded at the present value ofthe future minimum lease payments as of the date oftheir inception. GENERAL OBLIGATION DEBT OUTSTANDING General Obligation Bonds currently outstanding are as follows: _ _ _ _ _P_urp_os_e _ Interest Rate Amount General Government - Refunding - Series 1998 4.74% $: 1,915.ROOQ.OO The changes in General Long-Tenn Debt during the fiscal year ended June 30, 2000, were as follows: - 16- eRAWFORD COUNTY BOARD OF EDUCATION m NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS IF L , b ;JUNE 30, 2000 EXHffiIT "Dtt ....... Note 5: GENERAL LONG-TERM DEBT ,. IZ7 L Wlm-.l _ L Capital Leases azIa General Obligation _d_ Bonds ?IF _. n p Total Balance July 1, 1999 $ 163,600.70 $ 1,125,000.00 $ 1,288,600.70 Additions Capital Leases 103,980.00 103,980.00 . Deductions Debt Retired Balance June 30, 2000 _ 106,145.06 90,000.00 .1.96,145.0Q At June 30, 2000, payments due by fiscal year which includes principal and interest for these items are as follows: Fiscal Year Ended June 30 2001 2002 2003 2004 2005 2006 - 2009 Total Principal and Interest Capital Le-ases General Obligation Bonds Total Debt $ 67;046.62 $ 144,059.00 $ 211,105.62 45,584.14 144,556.00 190,140.14 45,584.14 144,816.00 190,400.14 23,325.06 139,839.00 163,164.06 144,862.00 144,862.00 577,568.00 577,568.00 $ 181,539.96 $.t)2~",1QQ.OO $Ji477.2~2t9g Deduct: Imputed Interest 20,104.32 Net Present Value ofFuture Minimum Lease Payments $ lQl~43~!64 Note 6: ON-BEHALF PAYMENTS The Board has recognized revenues and expenditures in the amount of $166,235.22 for health insurance and retirement contributions paid on the Board's behalfby the following State Agencies. Georgia Department ofEducation Paid to the Georgia Department of Community Health For Health Insurance ofNon-Certified Personnel In the amount of $120,259.60 - 17 - e- RAWFORD COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 301 2000 ".Jt Note 6: ON-BEHALF aI& PRIll Ii.A.... YME. NTS Paid to the Teachers Retirement System of Georgia For Teachers Retirement System (TRS) Employer's Cost In the amount of$12,539.62 Office of Treasury and Fiscal Services Paid to the Public School Employees Retirement System For Public School Employees Retirement (PSERS) Employer's Cost In the amount of $33,436.00 Note 7: SIGNIFICANT II' COMMITMErN. 1TS The following is an analysis ofsignificant outstanding construction or renovation contracts executed by the Board as of June 30, 2000, together with funding available: ~roject Unearned Executed Contracts Funding Available From State L WOO/99S-639-004 The amounts described in this note are not reflected in the general purpose financial statements. Note 8: 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 tenns. The Board believes that such disallowances, if any, will be immaterial to its overall financial position. The Board is a defendant in various legal proceedings pertaining to matters incidental to the perfonnance of routine Board operations. The ultimate disposition of these proceedings is not presently detenninable, but is not believed to be material to the general purpose financial statements.. Note 9: ACCUMULATED- EMPLOYEES' LEAVE At retirement, an employee with a minimum of five years of full time service with the Crawford County Board of Education will be eligible to sell a maximum of 45 days of unused sick leave earned in Crawford County. Days will be bought back at half the current substitute pay for the position held by the employee at the time of retirement. An employee must have accumulated a minimum of 20 days to be eligible for this buy-back provision. See Note 1 - Compensated Absences - 18 - eRAWFORD COUNTY BOARD OF EDUCATION , dF F NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS nprn ''IIP. Is: J :zIa b JUNE 30, 7000 EXHffiIT "D" Note 10: RETIREMENT PLANS ~ s= _ 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 ofGeorgia (TRS), which is a cost-sharing multiple employer defined benefit pension plan. TRS provides service retirement, disability retirement and survivors benefits for -its members in accordance with State statute. The Teachers Retirement System of Georgia issues a separate stand alone financial audit report and a copy can be obtained from the Georgia Department of Audits and Accounts. 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 of Trustees in accordance with State statute and as advised by their independent actuary. The required employer contribution rate is 11.29% and employer contributions for the current fiscal year and the preceding two fiscal years are as follows: Fiscal Year Percentage Contributed Required Contribution 2000 1999 1998 100% 100% 100% $ 733,775.82 . $ 702,585.04 $ 643,412.18 .. - 19- CRAWFORD COUNTY BOARD OF EDUCATION d ~ ~L COMBINING BALANCE rr v .. __IJI. 11III SHEET SPECIAL REVENUE FUND & -- - JUNE 3D, 2000 ASSETS Cash and Cash Equivalents Accounts Receivable Inventories Food Donated Commodities Purchased Food Total Assets LIABILITIES AN.P FUND EQUITY LIABILITIES Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Total Liabilities FUND EQUITY Fund Balances Reserved For Continuation of Federal Programs For Continuation of State Programs For Inventories Food Donated Commodities Purchased Food Unreserved Undesignated Total Fund Equity Total Liabilities and Fund Equity See notes to the general purpose financial statements. - 20- SCHOOL FOOD SERVICES FUND LOTTERY PROGRAMS $ 36,297.86 16,075.01 $ 60,000.00 6,645.86 3,023.54 62 042.27 $ $ f It:1 j I , L: zeL. [ g; $ $ 2,626.01 34,327.39 .- E $ 51.967.70 8tO~.2.30 $ 6,645.86 3.023.54 $ 25,088.87 $ _ _, L O~.O~O~ $ 62,042.27 _... - ._._-_.. . .. _. - - -- - - _. - -- - --_....... - -- - - - - - - -- $ . - .- - .. - . ---_._--- -- .._--- - - - -- -~--- .. EXHIBIT "En ..... FEDERAL PROGRAMS , TOTALS JUNE 301 2000 JUNE 3D, 1999 $ 36,297.86 $ 148,624.27 $ 173,199.80 249,274.81 123,466.75 6,645.86 34 023.54 14,501.01 5,706.59 #- $ 5,879.74 $ 57,847.44 $. 37,816.09 10,404.79 13,030.80 11,699.10 43,058.78 77,386.17 67,894.51 109,674.31 1'1,1.706.61 .- ~ $ 1691017.62 $ 265J971.02 $ .J17,409.70 $ 4,182.18 $ 4,182.18 $ 25,653.79 82,484.63 6,645.86 3.023.54 -- 0.00 U& $ 4J18~.18 , $ _ 29z~71.05 $ -& 14,501.01 5,706.59 1~,542.90 17_4J~~~.92 $ 173,199.80 $ _ _J2_9.5..~:t~.07 $ -- _. -_.. - ..... - .' ..... -- - -- .._. --- . ... . ~ _ _ _ _ d " Jl. - _ _- - 21 - CRAWFORD COUNTY BOARD OF EDUCATION e ... _ . . . . COMBINlt~t~~~TATEMENTOF ~EVENUES, ~XP~NDL"TVR~STAND CHANG~SJN FUND BA~NCES SPECIAL REVENUE FUND a _ "1IIlII& yEAR ENDED JU_NE 30d 200Q REVENUES Ad. IZF77 ~9. I azI _ State Funds Federal Funds Other Funds Total Revenues EXPENDITURES Current Instruction Support Services Pupil Services Improvement of Instructional Services General Administration School Administration Maintenance and Operation of Plant Student Transportation ~ervices Other Support Services Food Services Operation . Tatal 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 FUND BALANCE JUNE 30 SCHOOL FOOD SERVICES FUND LOTTERY PROGRAMS $ 61,244.00 $ 341,746.01 586,186.28 - 346z829~94 $ 994)260.22 $ _ _3_4_1~t7_46_~O_1_ $ 373,186.11 24,597.34 41,372.37 15.806.02. 75.07 - -- - $ 1.025,383.65 . -, $ 1,025,383.65 $ _ _ 4_5nIQ36_.9_1_ $ -31,123.43 $ -113,290.90 ____ , _ I _3_0...,.8_0_6~.2_M7__ $ -31,123.43 $ -82,484.63 66,750.50 82,484.63 -7,855.15 _. -2,683.05 $ 2_5)088.87 $ _r_l ..9..,;.0.0-= See notes to the general purpose financial statements. - 22- EXHIBIT "Fit FEDERAL PROGRAMS 1 TOTALS YEAR ENDED , JUNE 30, 2000 JUNE 3D, 1999 $ 402,990.01 $ 393,580.81 $ 560,617.17 1,146,803.45 992,842.09 346,829.94 340,-997.15 $ 103.475.11 $ 476,661.22 $ 60,289.16 340,713.04 77,611.47 84,886.50 340,713.04 77,611.47 41,372.37 15,806.02 75.07 1,O?,p.z,383.65 Ma $ .5...8..~2~088.78 $. 2,o.p2,509.34 $ $ 21,471.61 $ -165,885.94 $ 358,602.24 57,667.33 207,327.88 70,828.24 6,249.44 297.00 214~27 1,031,062.91 1,732zJ149.31 -4,829.26 - F . 30.1.806.27 $ -21,471.61 $ -135,079.67 $ 25,653.79 174,888.92 -4,829.26 180,764.71 -7,855.15 - . -2!68~~_5 2,405.05 -3d~~1:58 $ 4,182.18 - _.......... -....------ - - ... ... - _. -- .. _... - - -----_._-- . $ 29,271.05 L .... .- ._. _.- - - ......- _ . _ - - _ . . . ..... - - - _. - - - $ 174,888.92 __ ._---_..._---- _. _.-- . .._--_. -- ._-- -- ... -- -23 - - CRAWFORD COUNTY BOARD OF EDUCATION ... F aztzl'R' f.pn, 1 COM.B..INING BALANCE SHEET .C... APITAL PROJECT.S FUND ASSETS Cash and Cash Equivalents Investments Accounts Receivable Total Assets FUND EQUITY $ .... 1"~' 1&&&& il IIIIt Fund Balances Reserved For SPLOST Projects .- For State Capital Outlay Projects Unreserved Undesignated Total Fund Equity RE-GULAR GEORGIA STATE FINANCING AND INVESTMENT COMMISSION r $ 277.81 $ 920,231.15 --$ & 277.81 $ =======9=2=0=,=2=3=1=.1=5== $ 920,231.15 $ 2_7_7._81_ 0.00 'F _.1 _ d_ d $ 277.81 - - - _ . _ - - - - " - - - - - - - - - _........ - $ ,.. 922231.15 .; . See notes to the general purpose financial statements. - 24- EXHIBIT "Gil .:., SPECIAL PURPOSE LOCAL OPTION SALES TAX & TOTALS JUNE 3D, 2000 JUNE 30, 1999 & $ 152,997.31 $ 1,073t506.27 $ 482,719.06 678,634.13 678,634.13 350,022.09 133,568.13 133,568.13 87,043.42 $ 965,199.57 $ 1?88~77.-Q?53 $ ===9=19=,7=84=.57= $ 965,199.57 $ 965,199.57 $ 439,989.90 920,231.15 479,520.00 0.00 277.81 v , q. r. 1 274.67 .. - 25- CRAWFORD COUNTY BOARD OF EDUCATION _ ...., 11"II ....1 COMBINI~G STATEMENT OF REVfl~UES, EXPEf'jDITURES AN.D_CHANGES IN.FUND BALAt4CES CAPITAL PROJECTS FUND &11I YEAR ENDED JUNE 3D, 2090 ........ REVENUES State Funds Taxes Other Funds Total Revenues EXPENDITURES Capital Outlay Land and Land Improvement Building and Building Improvements 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 REGULAR GEORGIA STATE FINANCING AND INVESTMENT COMMISSION $ 155,520.00 $ ------3-.14- 8,386.44 $ 3~14 $ - - - - - - - - 16~z906.44 $ L U1 dd $ .. ., .. $ 0.00 $ 3.14 $ 318,395.87 404,799.42 -559,288.85 adL lEd ILc . . . . . . . 1I OOO,OOOQ9 $ 3.14 $ 440,711.15 274.67 479J52Q.OO FUND BALANCE PI _11" __ ., JUNE 30 $ = 277.81 $ 920,231.15 ....__ - - - _ . - ... ~_._-- See notes to the general purpose financial statements. - 26- EXHIBIT "Hu SPECIAL PURPOSE LOCAL OPTION SALES TAX 9 TOTALS YEAR ENDED JUNE 30, 2000 JUNE 30& 1999 .$ $ 488,330.63 - 36,879.04 _ $ 525,209.67 $ 155,520.00 488,330.63 $ 45,268 ..62 689L119.25 $ 437,572.92 2+519.23 4_4_0.,.0.._. 92_.1_5_ $ $ __......,.. 0.00 $ -- o~.o_..o- $ 318,395.87 $ ';1-04 L799.42 _ ~~~,195.29 $ $ 525,209.67 $ -34.076.04 $ I ' FR 0.00 .b 0_.0_0_ 440,092.15 -.. _1,000,000.00 $ 525,209.67 $ 965,923.96 $ 919,612.15 439l 989.90 919,784.57 172.42 $ ~651 199.57 $ g:g - 27- CRAWFORD CoUNTY BOARD 0F:.J;DUCATION of of SCHEDULE t;XPE"lD'TUR~S FEDERAL AWARDS YEAR f;NP~D JUNE 3D, 2000 SCHEDULE "1" ... FUNDING AGENCY PROGRAM/GRANT .lIlf'III"tIt Agriculture, U. S. Department of Child Nutrition Cluster Pass..Through From Georgia Department of Education Food and Nutrition Program Food Services School Breakfast Program National School Lunch Program Total Child Nutrition Cluster Other Programs Pass-Through From Georgia Department of Education Food and Nutrition Program Food Distribution Program (1) Pass-Through From Office of School Readiness Food and Nutrition Program Child and Adult Care Food Program Total U. S. Department of Agriculture Education, U. S. Department of Special Education Cluster Pass-Th-rough From Georgia Department of Education Individuals with Disabilities Education Act Part B - Special Education Flow Through Preschool Special Innovative Project Capacity Building Improvement Total Special Education Cluster Other Programs Pass-Through From Georgia Department of Education Comprehensive School Refonn Demonstration Elementary and Secondary Education Act Title 1 Grants to Local Educational Agencies Title II Eisenhower Professional Development Title VI Class Size Reduction Innovative Education Program Strategies Vocational Education Basic Grants to States High School Program Basic Grant Total U. S. Department of Education CFDA NUMBER - 1* P PASSTHROUGH ENTITY ID NUMBER FEDERAL REVENUE d at...IN PERIOD d EXPENDITURES IN PERIOD * 10~553 * 10~555 N/A $ N/A $ 163t 357.32 365t750~94 :zbirM: $ ~ 529,108.26 $ (2) 981,045.70 (3) .111& 981,045.70 10.558 N/A 44,337.95 N/A - 12,740.07 - (2) $ 586, 186.28 $ 1,025,383.65 84.027 84.173 84.027 84.173 NJA $ N1A N/A N1A $ 97,394.83 $ 24,920.29 2,128.85 10,927.64 135,371.61 $ 105.717.96 23,669.09 2,128.85 10L927.64 84.332 84.010 84.281 84.340 84.298 84.048 N1A 76.428.48 76.428.48 NlA 287,986.63 288,909.52 .. N1A 7,500.00 7,769.16 . NlA 34,284.92 34,284.92 NlA 5,109.79 6,162.36 NlA $ . 13,935.74 56_0Illlllii.,6_1_7_1__7 $ 26&090.80 58_2_,_0_8_8._78_ Total Federal Financial Assistance = NJA Not Available - 28- - - - - - - - - _ _..__ .._ . CRAWFORD QOUNTY BQJ\RD OF EDUCATION SCHEDULE OF EXPENDITURES OF FEQERAL AWARDS YEAR 'ENDED JUNE 30,2000 SCHEDULE "1" , ... Notes to the Schedule of EX~f'&Utures 21 Federal Awards (1 ) The amounts shown for the Food Distribution Program represent 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 Child and Adult Care Food Program and the School Breakfast Program were not maintained separately and are included in the 2000 National School Lunch Program. (3) Expenditures for this program include State and/or Other Funds~ Expenditures are not maintained by fund source. Major Programs are identified by an asterisk (*) in front of the CFDA number. The Board did not provide Federal Assistance to any Subrecipient. The accompanying schedule of expenditures of Federal awards includes the Federal grant activity of the Crawford County Board of Education and is presented on the modified accrual basis of accounting which is the basis of accounting used in the presentation of the general purpose financial statements. See notes to the general purpose financial statements. -29 - CRAWFORD CoUNTY BoA~D OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNI; 304 2QQO SCHEDULE "2" AGENCY/FUNDING GRANTS Community Affairs, Georgia Department of Local Assistance Grant (1) , G O V E & RN 11II M E N TwA. _L FUND TYPE_S K. SPECIAL CAPITAL GENERAL REVENUE PROJECTS FUND -FU.ND - FUND $ 750.00 $ Education, Georgia Department of Quality Basic Education General and ~areer Education Programs Special Education Programs Remedial Education Program Media Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Middle School Incentive Program Special Instructional Assistance In-School Suspension Midterm Adjustment Counselors Technology Specialist Local Five Mill Share Educational Equalization Funding Grant Food Services Other State Programs AtRisk Summer School Program Environmental Science Prog.ram Health Insurance Preschool Handicapped Program Remedial Summer School Program Teachers'Retirement Lottery Programs Assislive Technology Computers in the Classroom 4,271.174.00 1,107.060.00 240.260.00 189,466.00 57,400.00 1,260,891.00 292,783.00 89~853.00 163,808.00 141,301.00 63,402.00 34t655~OO 16,854.00 28.842.00 -701.546.00 733,212.00 $ 6,820.00 750.00 120.259.60 7.500.00 3,931.37 12.539.62 61,244.00 7,OOO~OO 44,967.70 Georgia State Financing and Investment Commission Reimbursement on Construction Projects $ 155.520.00 Office of School Readiness Pre-Kindergarten Program 289,778.31 Office of Treasury and Fiscal Services Public School Employees Retirement 33,436.00 CONTRACT Education. Georgia Department of Reading First 23,707.00 1 TOTAL mu~ 750.00 4,271 t 174.00 1,107,060.00 240,260.00 189,466.00 57,400.00 1,260,891.00 292,783.00 89.853.00 163,808.00 141,301.00 63,402.00 34,655.00 16,854.00 28.842.00 ..701,546.00 733.212.00 61,244.00 6,820.00 750.00 120,259.60 7,500.00 3.931.37 12,539.62 7,000.00 44,967. 70 155,520.00 33.436.00 23.707.00 .. $ 402,990.01 $ 155,520.00 $ 8.757,618.60 (1 ) The purpose of these funds is to assist with the construction of a Field House. See notes to the general purpose financial statements. - 30- . CRAWFORD COUNTY BOARD OF EDUCATION -- ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL GENERAL FUND -- QUALITY BASIC EDUCATION PROGRAMS , I szb n d 1- YEAR ENQ.ED JUNE 3D, 2000 SCHEDULE "3" 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 FOURTEEN WEIGHTED AND MEDIA CENTER PROGRAMS 100% TEST FOR OPERATIONS PORTION OF FOURTEEN WEIGHTED - PROGRAMS $ 5,842,615.00 $ - - - -1-93-,8-25-.0-0 $ 5,452,849.55 - - 637,713.84 $ _--...-........6--0.d..0.....,..7.. 36.35 $ 6,090,563.39 -37,988.72 $ __.,_ _6.,.O..._52..,.E_7,_4_.6_7 $ 0.00 See notes to the general purpose financial statements. - 31 - CRAWFORD CoU~TY BQARR of EDuCATION ANALYSIS OF MINIMUM EXPENDITURE REQlJlREMENTS BY PROGRAM ~ENERAL FUND eo QUALITY BASIC EDUCATION PROGRAMS YEAR ENDED JUNE 3D, 2000 GENERAL AND CAREER EDUCATION PROGRAMS ....-:uz Kindergarten (*) Grades 1 - 3 (*) Sub-Total - K-3 Grades 4 5 (*) Grades 6 - 8 (*) Grades 9 ~ 12 (*) High School Laboratories (*) Vocational Education Laboratories (.) Total General and Career Education Programs SPEQIAL EDUCATJQ.~FqzPROGRAMS Regular Programs Category I (*)" Category II (*) Category III (*) Category IV f*) Category V f*) Sub-Total - Regular Category VI (Gifted) C') Total Special Education Programs Total Fourteen Weighted Programs ~ED~ PJ;NTER PRQGJ~AMS Salaries Operations Total Media Center Programs ALLOTMENTS FROM GEORGIA DEPARTMENT OF REQUIRED ORIGINAL - % ORIGINAL - MID-TERM $ 432,197.00 $ 1,226,987~OO 111 I $ 1,659,184.00 90 $ 388,977.30 $ 1,104,288.30 1,493t265~60 $ 453,519.00 989.448.00 90 890,503.20 382t 365.00 90 342,604.00 90 344t 128.50 308,343.60 393,663.00 90 354,296~70 $ ........_4-..,2_71....,..-1?.4. ._.0_0_ $ "T 3,844~056.60 $ 0.00 0.00 34o.6M5.-_ 5.0_ 0 $ 1.0021356.00 $ 902,120.40 $ 0.00 J~ . _ . PT. $ 1,0021356.00 90 $ 902.120.40 $ .J_ l1li F 0.00 104.7_0'F4.._I.T00 -- ._-- $ 1,107,060.00 $ 240,260.00 _ _ _.......................1lflIIiM fWII..-I 1lI11111F1'1F $ 5.618.494.00 ... au III 90 94,233.60 _PI $ $ __U1 _ 99m6lr.354~OO 0ou.00_ 90 $ $ - - - - - - 2161234.00 $ U_ F._.' 0.00 5.058,644.60 $ -----3-4.t6-5.5..-0-.0.. $ 149.331.00 40I 135.00 c _.. $ __._1_8_~_1_4_66_._00_ 90 $ 134,397.90 $ 100 40, 135.00 _v- - ,- - - - - - 0,00 s - - - - - - 174,532.90 $ 0.00 ======---_l1li:: Total Fourteen Weighted and Media Center Programs $ 5,807,960.00 I $ - u 5.2p 31,177.50 $ 34=,6=5=5._0.0.. TAFF DEVELoPMENT PROGRAMS Cost of Instruction Professional Development Total 5taff Development Programs (*) Identifies Fourteen Weighted Programs. See notes to the general purpose financial statements. $ 18t612.00 --. 38t788.00 $ ... 18,612.00 $ 38,788~OO U .J T it 0.00 -..- 0.00 $ 57.400.00 .. _. -- -- . .. _.. - --_.. - 100 $ 57t 400.00 .. ... _.~ ~ . .. - - _. _. . --- - .- .- . - -- ._. $ an ::::0r_.0-0= 32 .. SCHEDULE "4" - EDUCATION TOTAL - .REQUIRED .:. i' , ACTUAL EXPENDITURES . SALARIES OPERATIONS TOTAL AMOUNT OF UNDEREXPENDITURE FOR REQUIRED ALLOTMENT $ 388,977.30 $ 402 r661.61 $ 20,618.80 $ 423,280~41 1,104,288.30 52,381.29 $ 1.493,265.60 $ 1,474,673.36 $ 73,OOO~09 $ 1,547,673~45 $ 0.00 453.519.00 528,841.21 21,540.77 550,381.98 0.00 949,639.60 71,781.18 1,021,420.78 0.00 482,968.50 45,183.86 528,152.36 342,998.60 441,043.52 31,943.81 472,987.33 0.00 354,296.70 62,888.12 470.443.39 0.00 $ 3,878,711.60 $ 4,284,721.46 $ 306,337.83 $ 4,591,059.29 $ 902,120.40 $. 389.25 $ 123,277.81 $ 123,667.06 1.057.25 51,219.18 52t 276.43 459,411.82 31.489.62 490,901.44 205,151.26 70,362.30 275,513.56 __ I 8,021.46 1 1 I JI 8 t 0 2 1 . 4 6 $ 902.120.40 S 666tOO9~58 $ 284,370.37 S 950.379.95 -94.233~60 $ 996.354.00 $ 97,265.12 FT_ - 4,682.74 q . 76_3111111i.,2_7_4._7__ $ _ _~_8_9_,O_5_3._1_1 $ 101.947.86 1,052,327.81 ----*---- --_.....---... s 216,234.00 $ 11II _ . I W.. 214.376.16 $ 5,345.41 $ 219.721.57 $ 5,091.299.60 $ 5,262,372.32 $ 600,736.35 S 5,863,108.67 Jb - $ FT_ S 134,397.90 $ 40.135.00 190.477.23 $ . $ _._ _~F...,.9_7_7_.4_9 190,477.23 36,977.49 1_7_~__t5-3-2-.90- $ ...........__19_0.....4. _7_7._2_3 $ 36,977.49 $ ...........iIIIIIIIIIdIId. . . . . . . ._ _ 0.00 0.00 0.00 0.00 3,157.51 $ 5,265,832.50 $ 5.452,849.55 $ 637,713.84 $ 6,090t563.39 ... . ... . .. . . . . - .. - - ... - ... - - - - $ __ - _ - _ _ _. - - __ - -- ._ - - - _. - - _ 3,157.51 _ ~ .- I ~ _ - . $ 18,612.00 sa -38,788.00 s 57.400.00 ._----_. - . --_ .._- - ._-- ... s 55,398.50 S 55,398.50 1,609.59 . 1,609.59 $ 57,008.09 $ 57,008.09 S _- .. ~ " ----.... . .. - ._ _- . ----------_._._. ----- . - .. .. .. 391.91 - . . . - ._.- -- - - _. .. - . . . . . ~'. _.. . - 33 - ~-. SECTIONll COlvlPLIANCE AND INTERNAL CONTROL REPORTS RLJSSELI~ ~T. HINTON STATE AUDITOR (404) 656..2'74 DEPARTMENT OF AUDITS AND ACCOUNTS 254 \\'astlingt(lll Slr~ct~ S.W6' SuilC 214 At lanta_ (_Je()r~ia ?()334-X4()() ..... June 26, 2001 Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education and Superintendent and Members of the . Crawford County Board ofEducation REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL dE F . . . . U_ _ ww .. .......,.... ........ an , . . . . ...-.1 J:IId5IIIR **1dII:1IIIIt.&& W IF :1&-.:1...... d!I vw ~ REPORTr IN_G BASED ON AN AUDIT O. F FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS ..._ - -- _ _m Ladies and Gentlemen: We have audited the financial statements ofCrawford County Board ofEducation as ofand for the year ended June 30, 2000, and have issued our report thereon dated June 26, 2001. 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 auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Compliance As part of obtaining reasonable assurance about whether Crawford County Board of Education's financial statements are free of material misstatement, we perfonned tests of its compliance with certain provisions oflaws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the detennination offinancial statement amounts. However, providing an opinion on compliance with those provisions was not an objective ofour audit, and accordingly, we do not express such an opinion. The results ofour tests disclosed no instances ofnoncompliance that are required to be reported under Government Auditing Standards. 2000YB-40A Jnt~mal G.on!rol Ov~r Finan~ial R~orting In planning and perfonning our audit, we considered Crawford County Board ofEducation's internal control over financial reporting in order to detennine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control over financial reporting. However, we noted a certain matter involving the internal control over financial reporting and its operation that we consider to be a reportable condition. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control over financial reporting that, in ourjudgment, could adversely affect Crawford County Board of Education's ability to record, process, summarize and report financial data consistent with assertions ofmanagement in the financial statements. The reportable condition is described in the accompanying Schedule ofFindings and Questioned Costs as item FS-6391-00- 03. A material weakness is a condition in which the design or operation of one or more ofthe internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the n01111al course of perfonning their assigned functions. Our consideration ofthe internal control over financial reporting would not necessarily disclose all matters in the internal control that might be reportable conditions, and accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, the reportable condition described above is also considered to be a material weakness. This report is intended solely for the infonnation and use ofmanagement, members ofthe Crawford County Board ofEducation, Federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. . Respectfully submitted, RWH:jb 2000YB-40A Ru sell W. Hinton State Auditor RUSSELli W. HINT{)N STATE AUDITOR (404) 656-2'74 n ... DEPARTMENT OF AUDITS AND ACCOUNTS 154 Wasl.. ingt()Jl Street. S.W.~ Suite 214~ June 26, 2001 Honorable Roy E. Barnes, Governor . Members of the General Assembly Members of the State Board of Education and Superintendent and Members of the Crawford County Board of Education REPORT .,ON COMPL~CE WITij REQUJREMENTS APPLICABLE TO EACH MAJ9R PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE W ACCORDANCE WITH 'II III. d _ l1li_ , .... aI. 'V ._ .. _. , FRI & OMB-C, IRCULAR A-133 Ladies and Gentlemen: C.9mpliance We have audited the compliance of Crawford County Board of Education with the types of compliance requirements described in the U.S. Office ofManagement and Budget (OMB) Circular A-133 Compliance Supplement that are applicable to each ofits major Federal programs for the year ended June 30, 2000. Crawford County Board ofEducation's major Federal programs are identified in the accompanying Schedule ofFindings and Questioned Costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to each of its major Federal programs is the responsibility of Crawford County Board of Education's management. Our responsibility is to express an opinion on Crawford County Board of Education's compliance based on our audit. We conducted our audit ofcompliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Gove1l}1l1ent Ayditiqg Stangards, issued by the Comptroller General of the United States; and OMB Circular A133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types ofcompliance requirements referred to above that could have a direct and material effect on a major Federal program occurred. An audit includes examining, on a test basis, evidence about the Crawford County Board of Education's compliance with those requirements and performing such otherprocedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal detennination on Crawford County Board ofEducation's compliance with those requirements. 2000SA-IOA In our opinion, the Crawford County Board ofEducation complied, in all material respects, with the requirements referredto above that are applicable to each ofits major Federal programs for the year ended June 30, 2000. Jntemal ontrol Over ComRli.ance The management of Crawford County Board of Education is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to Federal programs. In planning and performing our audit, we considered Crawford County Board of Education's internal control over compliance with requirements that could have a direct and material effect on a major Federal program in order to detennine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance in accordance with OMB Circular A-I33. Our consideration ofthe internal control over compliance would not necessarily disclose all matters in the internal control that might be material weaknesses. A material weakness is a condition in which the design or operation ofone or more ofthe internal control components does not reduce to a relatively low level of risk that noncompliance with applicable requirements of laws, regulations, - contracts and grants that would be material in relation to a major Federal program being audited may occur and not be detected within a timely period by employees in the nonna! course of performing their assigned functions. We noted no matters involving the internal control over compliance and its operation that we consider to be material weaknesses. This report is intended solely for the infonnation and use ofmanagement, members ofthe Crawford County Board ofEducation, Federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. Respectfully submitted, RWH:jb 2000SA-IOA Ru ell W. Hinton State Auditor .. SECTION ill AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS eRAWFORD COUNTY BOARD OF EDUCATION ~ ,. F' AUDITEE'S RESPONSE SUMMARY SCHEDUL~ OF PRIOR YEAR FINDINGS AND QUESIIONED COSTS YEAR ENDED ~ 30, 200Q PRIOR YEAR .fJNANC~_STATEMENTFIm2INGS AND QUESJJONED COSTS FINDING CONTROL NUMBER AND STATUS 6391--97-03 FS-6391-98-03 FS-6391-98-05 FS-6"391-99-01 Previously Reported Corrective Action Implemented Unresolved - See Corrective ActionJResponses Further Action Not Warranted Unresolved - See Corrective Action/Responses CORRECTIVE ACTIONIRESPONSES EXPENDITURESILIABILITIESIDISBURSEMENTS Failure to Meet Expenditure Requirements Amount: $4,140.48 Finding Control Number: FS-6391-98-03 The underexpenditure of Quality Basic Education (QBE) funds of $1,547.97 for the Category VI - Gifted, Special Education Program and $2,592.51 for the Media Center Program will be returned to the Georgia Department of Education through an increase in the Board's local five mill share for the QBE programs in a subsequent fiscal period. GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-6391-99-01 . The Board is in the process oflooking at vendors to detennine cost for implementing this process as the State DOE is also looking at software to account for fixed assets. --- SECTION IV FINDINGS AND QUESTIONED COSTS CRAWFORD COUNTY BOARD OF EDUCATION '" _ II&w: ... zt .. ~CHEOJ1LEQF FINDING&_.@ID QUESTIONED COSTS YEAR ENDED JJJNE 302 2000 .. I SUMMARY OF AUDITOR'S RESULTS 1. Type of Report Is~ued on the Financ,i~l Statements The auditor's opinion on the Crawford County Board ofEducation's financial statements was qualified for various departures from generally accepted accounting principles. 2. Reportable Conditi,ons i!LInternal.~onlro1..Qisclos~d Q.Y J4e A~dit of the Finap.cial Statements The audit report for the Crawford County Board ofEducation disclosed a financial statement reportable condition related to the following control category. General Fixed Assets The reportable condition described above is considered to be a material weakness. 3. Noncompliance Material to the Financial Statements The audit of the Crawford County Board of Education disclosed no instances of noncompliance that were deemed to be material to the financial statements. 4. Reportable Conditions in Internal Control Over Major Programs The audit report for the Crawford County Board ofEducation did not disclose any reportable conditions in internal control over major programs. 5. me of Report Issued on Compliance for Major Programs The auditor's opinion on the Crawford County Board of Education's report on compliance with requirements applicable to major programs was unqualified. 6. Audit Findings Required to be Reported by Section .5l0W ofOMB Circular A-133 The Crawford County Board ofEducation's audit did not disclose audit findings required to be reported by section .5l0(a) ofOMB Circular A-133. 7. Major Programs Federal awards audited as major programs are as follows: 10.553 Food and Nutrition Program - Food Services - School Breakfast Program .. 10.555 Food and Nutrition Program - Food Services - National School Lunch Program ,. 8. T,ype "A" Program Dollar Threshold The dollar threshold for type "A" programs was $300,000.00. 9. Low Risk Auditee The Crawford County Board ofEducation did not qualify as a low risk auditee as defined by Section .530 ofOMB Circular A-133. - 1- CRAWFORD COUNTY BOARD OF EDUCATION T _ L d ALLIZ _ T SCH~PJJ.LE OF F~INGS AND QUESTIONED COST~ YEAR El'{PED .T1JNE 302 2000 _. II FINANCIAL STATI;MENT FINDINnSmAND QUESTIONEr? COST:; CASH AND CASH EQUIVALENTS Uncollateralized Deposits Nonmaterial Noncompliance Finding Control Number: FS-6391-00-01 As ofJune 30, 2000, the Board failed to have its bank balances fully collateralized as required by the Official Code of Georgia Annotated Section 45-8-12, which states, in part, as follows: "The collecting officer or officer holding public funds may not have on deposit at anyone time in any depository for a time longer than ten days a sum of money belonging to the public body when such depository has not given bond to the public body as set forth in this code section. The aggregate ofthe face value of such surety bond and the market value ofsecurities pledged shall be equal to not less than 110 percent ofthe public funds being secured after the deduction ofthe amount of deposit insurance" This noncompliance occurred because of management's failure to adequately monitor the collateralization ofbalances at individual banks.- The Board should implement adequate procedures to monitor the collateralization of bank balances to ensure compliance at all times with State laws governing deposits and investments. EXPENDITURESILIABILITIESIDISBURSEMENTS Failure to Meet Expenditure Requirements Nonmaterial Noncompliance Amount: $3,549.42 Finding Control Number: FS-6391-00-02 The Crawford County Board ofEducation had underexpenditures ofQuality Basic Education (QBE) funds of$3,157.51 for the Media Center Program and $391.91 for the StaffDevelopment Program. These underexpenditures occurred because the Board expended less than the minimum expenditure requirement for these QBE programs. These funds should be returned to the Office ofTreasury and Fiscal Services. GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Reportable Condition - Material Weakness Repeated From Prior Year Finding Control Number: FS-6391-00-03 The Crawford County Board of Education failed to maintain a system-wide, General Fixed Assets Account Group within the formal accounting records as required by generally accepted accounting principles. 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 -2- CRAWFORD COUNTY BOARD OF EDUCATION T QIIIIIlFF _a b - SmCHEDULE OF FINDINGS ANI? QUESTIONEQ COSTS YEAR ENDED JUNE 30, 2000 II FINANCIAL STATEMENT FINDING~ AND QJJESTIO~D CQ~TS GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Reportable Condition - Material Weakness Repeated From Prior Year Finding Control Number: FS-6391-00..03 should be taken by the Board to establish accounting controls and procedures to provide for maintenance ofa General Fixed Assets Account Group. These subsidiary records should include an inventory of land, 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. ill FEDE~AWARP FINDINGS AND QUESTIONED COSTS No matters were reported. -3 ..