[3'2-~ C9 I qq 3--,L~ STATE OF GEORGIA DEPARTMENT OF AUDITS 254 WASHINGTON STREET ATLANTA. GEORGIA 30334 AUDIT REPORT CRISP COUNTY BOARD OF EDUCATION CORDELE, GEORGIA YEAR ENDED JUNE 30, 1994 CRISP COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS - SECTION I FINANCIAL INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE EXHIBITS GENERAL PURPOSE FINANCIAL STATEMENTS COMBINED STATEMENTS - OVERVIEW A COMBINED BALANCE SHEET ALLFUNDTYPESANDACCOUNTGROUP 2 B COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS 4 C COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET GOVERNMENTAL FUND TYPES 7 D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 8 ADDITIONAL FINANCIAL INFORMATION COMBINING STATEMENTS SPECIAL REVENUE FUND E COMBINING BALANCE SHEET 22 F COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 24 CAPITAL PROJECTS FUND G COMBINING BALANCE SHEET 26 H COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 28 FIDUCIARY FUND TYPE I .COMBINING BALANCE SHEET 30 J COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES EXPENDABLE TRUST FUNDS 31 CRISP COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS - SECTION I FINANCIAL ADDITIONAL FINANCIAL INFORMATION SCHEDULES 1 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 32 2 ANALYSIS OF CASH AND CASH EQUIVALENTS 34 3 INVESTMENTS 35 4 ACCOUNTS RECENABLE 36 5 DEBT SERVICE REQUIREMENTS TO MATURITY 37 SCHEDULE OF REVENUE 6 STATE FUNDS 38 7 LOCAL AND OTHER FUNDS 39 SCHEDULE OF EXPENDITURES BY OBJECT 8 GOVERNMENTAL FUND TYPES 40 9 LOTTERY PROGRAMS 41 10 FIDUCIARY FUND TYPE EXPENDABLE TRUST FUNDS 42 ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS 11 OVERALL 43 12 BY PROGRAM 44 13 SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS 46 SECTION II COMPLIANCE COMPLIANCE REPORT BASED ON AN AUDIT OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS SINGLE AUDIT REPORT ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS SINGLE AUDIT OPINION ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS SINGLE AUDIT REPORT ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS CRISP COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS - 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 SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS SECTION I FINANCIAL CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp County Board ofEducation INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE Ladies and Gentlemen: We have audited the general purpose financial statements (Exhibits A through D) of the Crisp County Board of Education, as of and for the year ended June 30, 1994, 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. Except as discussed in the following paragraph, 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. We did not observe the taking of either the Federal donated commodities inventory or purchased foods inventory at June 30, 1994, nor could we satisfy ourselves as to the accuracy of the amounts stated as inventories through alternative procedures. 94ARL-13 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. 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, 1994, a portion of salaries and the corresponding employer's cost of related benefits earned for contractual services completed prior to June 30, 1994. Also funds received, subsequent to June 30, 1994, 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, 1993, were improperly recorded in the year ended June 30, 1994. 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 ofsuch adjustments, if any, on the Special Revenue Fund, as might have been determined to be necessary had we been able to satisfy ourselves as to the accuracy of the food service inventories as discussed in the third paragraph, and except for the effects on the general purpose financial statements of the matters referred to in the preceding paragraph, the general purpose financial statements present fairly, in all material respects, the financial position of the Crisp County Board of Education as of June 30, 1994, and the results ofits operations for the year then ended, in conformity with generally accepted accounting principles. Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements ofthe Crisp County Board ofEducation taken as a whole. The combining statements (Exhibits E through J) and the financial schedules (Schedules 1 through 13 which includes the Schedule of Federal Financial Assistance) are presented for purposes ofadditional analysis and are not a required part of the general purpose financial statements of the Crisp County Board of Education. Such information has been subjected to the auditing procedures applied in the audit ofthe general purpose financial statements and, in our opinion, except for the effect of adjustments, if any, on the Special Revenue Fund, as might have been determined to be necessary had we been able to satisfy ourselves as to the accuracy of the food service inventories as discussed in the third paragraph, and except for the effects of the matters referred to in the fourth paragraph, such information is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. 94ARL-13 A copy ofthis report has been filed as a pennanent record in the office of the State Auditor and made available to the press of the State, as provided for by Official Code of Georgia Annotated Section 50-6-24. Respectfully submitted, ~,>r,' Claude L. Vickers State Auditor CLV:gp 94ARL-13 CRISP COUNTY BOARD OF EDUCATION - 1- CRISP COUNTY BOARD OF EDUCATION COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUP JUNE 30 1 1994 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 Contract - Cordele Office Building Authority ------------------G-OS-PVE-E-CR-NIA-ML-E-N-T-A-L--F-U-N-DC-A-TP-YIT-PA-E-LS--- GENERAL REVENUE PROJECTS FUND FUND FUND $ $ 4,822,295.12 152,900.27 482,409.19 $ 6,245,534.60 596,142.15 639,934.00 37,105.11 6,954.73 Total Assets LIABILITIES AND FUND EQUITY LIABILITIES Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Contracts Payable Retainages Payable General Obligation Bonds Payable Contract - Cordele Office Building Authority Unearned Lottery Funds Total Liabilities FUND EQUITY Fund Balances Reserved For Continuation of Federal Programs For Debt Service For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities Purchased Food For Contract - Cordele Office Building Authority For State Capital Outlay Projects Unreserved Undesignated Total Fund Balances Total Liabilities and Fund Equity $=4=,=9=7=5==, 1==9=5=.=3=9 $ ==1=, 1==2=2=,=6=1=1=.=1=8 $ ==6=,8=8==5=,4==6=8=.6==0 $ 2,611,336.02 640,906.23 $ 119,449.98 $ 231,787.62 13,636.43 3,070.39 399,428.94 686,910.73 206.64 $3,252,242.25$ 365,080.67 $1,089,410.06 $ 18,714.28 $ 35,601.49 37,105.11 6,954.73 $ 3,838,281.04 ------------- ------------- ----2-2-1-,-0-8-4-.0--6 $ 35,601.49 $ 62,774.12 $ 4,059,365.10 --1-,6--8-7-,3--5-1-.6--5 ----6-9-4-,7--5-6-.3--9 --1-,7-3--6-,6--9-3-.4--4 $--1-,7-2--2-,9--5-3-.1--4 $----7-5-7-,-5-3-0-.5--1 $--5-,7-9--6-,0--5-8-.5--4 $4,975,195.39$ 1,122,611.18 $ 6,885,468.60 The notes to the general purpose financial statements are an integral part of this statement. - 2- EXHIBIT "A" DEBT SERVICE FUND FIDUCIARY FUND TYPE EXPENDABLE TRUST FUNDS ACCOUNT GROUP ---G--EN-E-R-A-L---- LONDEGB-TTERM (MemoraTnOdTuAmLS Only) J-U-N-E--3--0-, --19-9-4----JU-N-E---3-0-, --1-99-3- $ 1,104.97 $ 168,342.80 $6,897,391.56$ 5,852,965.00 4,822,295.12 4,071,375.51 1,388,976.42 2,745,638.96 37,105.11 6,954.73 46,388.13 7,171.99 1,056.21 28,943.79 $ 5,375,000.00 5,375,000.00 5,480,000.00 $ 1,104.97 $ 168,342.80$ 5,375,000.00 $18,527,722.94 $18,233,539.59 ============= ============= ============= ============= ============= $ 2,611,336.02 $ 639,338.78 763,426.60 276,039.06 231,787.62 220,504.93 13,636.43 39,549.19 399,428.94 1,901,264.54 686,910.73 463,657.33 30,000.00 $ 5,375,000.00 5,375,000.00 5,480,000.00 206.64 $ 5,375,000.00 $10,081,732.98 $ 9,050,353.83 $ 1,104.97 $. 168,342.80 $ 1,104.97 $ 168,342.80 $ 18,714.28 $ 9,708.79 1,056.21 35,601.49 17,257.85 37,105.11 6,954.73 3,838,281.04 221,084.06 46,388.13 7,171.99 4,926,852.88 170,141.37 $ 4,157,740.71 $ 5,178,577.22 4,288,249.25 4,004,608.54 $ 8,445,989.96 $ 9,183,185.76 $======1=,1==0=4=.9==7 $====1=6=8=,=3=4=2=.=8=0$==5=,3=7==5=,0=0==0=.0==0 $=1=8=,5==2=7=,7==2=2=.9=4= $=1=8=,2=3=3=,-5-3=9=.-5-=9 - 3- CRISP COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30. 1994 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 Other Operations of Non-Instructional Services Capital Outlay Debt Service Principal Interest Paying Agent Fees Total Expenditures Excess of Revenues over (under) Expenditures OTHER FINANCING SOURCES (USES) 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 Donated Commodities July 1 June 30 Purchased Food July 1 June 30 FUND BALANCE JUNE 30 GENERAL FUND GOVERNMENTAL FUND SPECIAL REVENUE FUND CAPITAL PROJECTS FUND $12,578,952.17$ 1,392,013.85$ 5,472,231.97 188,839.54 3,042,423.13 4,098,470.69 246,438.30 7,108.69 $16,866,262.40$ 4,680,875.28$ 5,479,340.66 $10,620,434.52 $ 2,183,460.45 509,078.23 582,857.27 381,300.00 232,990.99 988,938.90 122,279.62 1,435,285.89 836,498.28 13,458.00 123,950.22 776.97 159,146.54 177,036.05 534,384.59 171,652.01 199,417.29 $ 3,307.11 37,239.12 23,744.45 73,330.44 1,314,189.30 36,571.82 6,606,123.47 105,000.00 360,207.50 ------------- ------------- ------------$-1-6-,6--4-9-,2--3-8-.9--8 $--4-,5-7--3-,9-8--9-.4-7- $-6--,6-0--9-,4-3--0-.5--8 $----2-1-7-,-0-2-3-.4--2 $----1-0-6-,-8-8-5-.8--1 $--1--, -1-3-0-,-0-8-9-.-9-2 $ 4,893.88 $ 92,460.77 $-----9--7-,3-5--7-.8--3 ------------- ------------- $-----9--7-,3-5--7-.8--3 $------4-,8--9-3-.8--8 $-----9-2-,4--6-0-.7--7 $ 119,665.59 $ 111,779.69 $-1,037,629.15 1,603,287.55 655,251.10 6,833,687.69 -46,388.13 37,105.11 -7 ,171.99 ------------- 6,954.73 ------------- ------------- $==1=,7=2==2=,9=5==3=.1==4 $====7=5=7=,5==3=0=.5=1= $==5=,7=9==6=,0=5==8=.5=4= The notes to the general purpose financial statements are an integral part of this statement. - 4- EXHIBIT "B" TYPES DEBT SEFURNVDICE TOTAL FIDUCIARY FUND TYPE ------------TERXUPESNTDAFUBNLEDS TOTALS (Memorandum Only) YEAR ENDED J-U-N-E--3--0-, --19-9-4----JU-N-E---3-0-, --1-99-3- $19,443,197.99 $19,443,197.99 $18,073,130.51 3,231,262.67 3,231,262.67 3,043,685.86 $ 31,335.58 4,383,353.26$ 142,274.00 4,525,627.26 4,610,740.68 $ 31,335.58 $27,057,813.92 $ 142,274.00 $27,200,087.92 $25,727,557.05 $12,803,894.97 $12,803,894.97 $12,120,401.12 1,043,462.82 754,509.28 381,300.00 435,715.39 988,938.90 122,279.62 1,472,525.01 860,242.73 13,458.00 197,280.66 $ 1,314,966.27 159,146.54 6,819,731.34 10,008.52 53,825.89 1,043,462.82 754,509.28 381,300.00 435,715.39 988,938.90 122,279.62 1,472,525.01 860,242.73 13,458.00 207,289.18 1,314,966.27 212,972.43 6,819,731.34 965,567.50 553,522.55 369,009.62 447,840.31 985,374.86 150,671.67 1,347,391.34 814,094.66 64,412.70 126,940.44 1,250,430.11 201,335.73 5,768,346.84 $ 30,000.00 1,080.00 210.00 135,000.00 361,287.50 210.00 135,000.00 361,287.50 210.00 125,000.00 368,757.50 180.00 $ 31,290.00 $27,863,949.03 $ 63,834.41 $27,927,783.44 $25,659,276.95 $ 45.58 $ -806,135.11 $ 78,439.59 $ -727,695.52 $ 68,280.10 $ 3 .18 $ 97,357.83 ------------- -----9--7-,3-5--7-.8--3 $----------3-.-1-8 $----------0-.-0-0 $ 48.76 $ -806,135.11 $ 1,056.21 9,093,282.55 $ 97,357.83 $ 624,315.06 -----9--7-,3-5--7-.8--3 ----6-2--4-,3--1-5-.0--6 $----------0-.-0-0 $----------0-.-0-0 78,439.59 $ -727,695.52 $ 68,280.10 89,903.21 9,183,185.76 9,115,362.86 -46,388.13 37,105.11 -7,171.99 6,954.73 -46,388.13 37,105.11 -7,171.99 6,954.73 -45,721.27 46,388.13 -8,296.05 7,171.99 $ 1,104.97 $ 8,277,647.16 $ 168,342.80$ 8,445,989.96$ 9,183,185.76 ============= ============= ============= ============= ============= - 5- CRISP COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ACTUAL AND BUDGET - GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30, 1994 EXHIBIT "C" ACTUAL ACTUAL PER PER EXHIBIT "B" ADJUSTMENTS BUDGET BASIS BUDGET VARIANCE FAVORABLE (UNFAVORABLE) REVENUES State Funds Federal Funds Local and Other Funds $19,443,197.99 $ 3,231,262.67 4,3B3,353.26 0.00 $19,443,197.99 $13,271,480.00$ 6,171,717.99 3,231,262.67 2,567,210.64 664,052.03 4,383,353.26 4,257,962.57 125,390.69 Total Revenues $27,057,813.92 $ 0.00 $27,057,813.92 $20,096,653.21 $ 6,961,160.71 EXPENDITURES Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services Other Support Services Food Services Operation Other Operations of Non-Instructional Services Capital Outlay Debt Service Total Expenditures $12,803,894.97 $ 0.00 $12,803,894.97 $12,236,736.29 $ -567,158.68 1,043,462.82 754,509.28 381,300.00 435,715.39 988,938.90 122,279.62 1,472,525.01 860,242.73 13,458.00 197,280.66 1,314,966.27 1,043,462.82 754,509.28 381,300.00 435,715.39 988,938.90 122,279.62 1,472,525.01 860,242.73 13,458.00 197,280.66 1,314,966.27 772,584.99 643,991.81 376,864.89 435,297.27 1,043,938.19 119,059.48 1,312,488.19 861,889.08 13,458.00 192,023.88 1,285,526.93 -270,877.83 -110,517 .47 -4,435.11 -418.12 54,999.29 -3,220.14 -160,036.82 1,646.35 0.00 -5,256.78 -29,439.34 159,146.54 159,146.54 154,531.94 -4,614.60 6,841996,,743917..3s4o ------------- ------------- 6,819,731.34 496,497.50 ------------- 5,443,316.22 494,713.00 ------------- -1,376,415.12 ------1--,7-8--4-.5-0- $27,863,949.03 $ 0.00 $27,863,949.03 $25,386,420.16 $-2,477,528.87 Excess of Revenues over (under) Expenditures $ -806,135.11 $ 0.00 $ -806,135.11 $-5,289,766.95 $ 4,483,631.84 OTHER FINANCING SOURCES (USES) Other Sources Other Uses $ 97,357.83 $ -97,357.83 0.00 $ 97,357.83 $ -97,357.83 0.00 $ 97,357.83 -97,357.83 Total Other Financing Sources (Uses) $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses $ -806,135.11 $ FUND BALANCE JULY 1, 1993 9,093,282.55 0.00 $ -806,135.11 $-5,289,766.95 $ 4,.483,631.84 -53,560.12 9,039,722.43 7,296,857.60 1,742,864.83 ADJUSTMENTS Prior Year (Net) FOOD INVENTORY 0.00 0.00 -59,602.70 59,602.70 Donated Commodities July 1 1993 June 36, 1994 Purchased Food July 1 1993 June 36, 1994 -46,388.13 46,388.13 0.00 0.00 37,105.11 -37,105.11 0.00 0.00 -7, 171. 99 7,171.99 0.00 0.00 6,954.73 -6,954.73 0.00 0.00 ------------- ------------- ------------- ------------- ------------- FUND BALANCE JUNE 30, 1994 $=8==,2=7=7==,6=4=7==.1=6= $====-4=4==,0=5=9==.8=4= $=8=,=2=3=3=,=5=8=7=.3=-2- $==1=,9=4==7=,4=8==7=.9=5= $==6=,2=8=6==,0=9=9==.3=7= The notes to the general purpose financial statements are an integral part of this statement. - 7- CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Crisp 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 the following paragraphs, 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 ofGovernmental Accounting and Financial Reporting Standards, Section 2100, "Defining the Financial Reporting Entity". The primary government consists of all the organizations that compose the legal entity ofthe Crisp County Board ofEducation. Based upon the application ofthe above criteria, the Crisp County Board ofEducation is determined to be the lowest level ofgovernment exercising oversight responsibility and control over all activities related to public education in Crisp 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 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 de.signed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect expendable available financial resources. General Fixed Assets are recorded as expenditures in the various funds at the time of purchase. A General Fixed Assets Account Group is not presently maintained by the Board. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types. - 8- CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Although "school activity accounts" are maintained at the individual schools, neither the assets, liabilities and fund equity, nor the revenues, expenditures and changes in fund balances of these accounts are reflected in these financial statements. To conform to generally accepted accounting principles, these accounts should be recorded in the general purpose financial statements. The general purpose financial statements account for all State, Federal, Local and Other Funds under control ofthe Board, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. Funds and the account group presented in this report are as follows: GOVERNMENTAL FUND TYPES - are used to account for all or most of a Board's general activities. Governmental 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 traditionally 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 or, general long-term principal, interest and paying agent fees. FIDUCIARY FUND TYPE-the trust funds 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. These funds include: EXPENDABLE TRUST FUNDS Hospitality Fund - the fund used to account for contributions and expenditures of private funds which are designated to be used for the purchase of refreshments at the Superintendent's discretion. Trade and Industrial Education Scholarship Fund - the fund used to account for the Trade and Industrial Education Scholarship contributions and expenditures. - 9- CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS JUNE 30, 1994 Note 1: SUM11AR.Y OF SIGNIFICANT ACCOUNTING POLICIES Unemployment Compensation Fund - the fund used to account for the Unemployment Compensation contributions and claims. Workers' Compensation Fund -the fund used to account for Workers' Compensation contributions and claims. ACCOUNT GROUP GENERAL LONG-TERM DEBT ACCOUNT GROUP - used to account for an agreement with the Cordele Office Building Authority for the financing of the construction ofvarious school facilities. BASIS OF ACCOUNTING The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds and expendable trust funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets. Their reported fund balance is considered a measure of available spendable resources. Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds. Other liabilities, which are not expected to be financed from available spendable resources, are reported in the General Long-Term Debt Account Group. Governmental funds and expendable trust 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 1994, a substantial number of personnel of the Board were employed for a one hundred and ninety day period beginning in late August 1993 and ending in early June 1994. Personnel contracts for this employment period specify that compensation be paid in twelve equal monthly payments beginning in September 1993 and ending in August 1994. State grants to - 10 - CRISP COUNTY BOARD OF EDUCATION EXIIlBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 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, 1994, compensation under these employment contracts had been earned, but two of the twelve monthly payments, due for July and August 1994, had not been made. Payments for these two months were made and recorded as expenditures by the Board subsequent to June 30, 1994. Also, the State's portion of the compensation paid in July and August 1994 was received and recorded as revenue in the fiscal year subsequent to June 30, 1994. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1993, were recorded in the year ended June 30, 1994. 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 Crisp County Board ofEducation has a legally authorized nonappropriated budget which is formally approved by the Board at the aggregate level. Budgets are prepared to provide a basis for funding operations and there is no legal prohibition regarding overexpenditure of the aggregate budget. The budget process begins when the Board's administration prepares a tentative aggregated 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 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, to the Georgia Department ofEducation. The Board prepares its budget on the modified accrual basis, which is the same basis on which it presents its financial statements. The budget comparison on Exhibit "C" presents actual and budget data for all governmental funds on a combined basis. To facilitate comparison with the budget, donated and purchased food inventories as reflected on Exhibit "B" have been eliminated from fund balance. 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. - 11 - CRISP COUNTY BOARD OF EDUCATION EXIIlBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS JUNE 30, 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES INVESTMENTS COMPOSITION OF INVEST:MENTS Investments made by the Board are stated at cost. The Official Code of Georgia Annotated Section 36-83-4 authorizes the Board to invest its funds in the following: (1) Obligations issued by the State of Georgia or by other states, (2) Obligations issued by the United States government, (3) Obligations fully insured or guaranteed by the United States government or a United States government agency, (4) Obligations of any corporation of the United States government, (5) Prime banker's acceptances, (6) The Local Government Investment Pool administered by the Office of Treasury and Fiscal Services, (7) Repurchase agreements, and (8) Obligations of other political subdivisions of the State of Georgia. RECEIVABLES Receivables consist ofgrant reimbursements due from Federal, State or other grantors for expenditures made but not reimbursed and other receivables disclosed from information available. Receivables are recorded when either the asset or revenue recognition criteria has been met. Receivables recorded on the general purpose financial statements do not include any amounts which would necessitate the need for an allowance for uncollectible receivables. PROPERTY TAXES The Crisp County Board of Commissioners fixed the property tax levy for the 1993 tax year (calendar year) on December 20, 1993 (levy date). Taxes were due on February 20, 1994. The lien date for property taxes was January 1, 1993. Taxes collected within the current fiscal year or within 60 days after year-end are reported as revenue in fiscal year 1994 since their collection meets the criteria of GASB codification section P70.103. The Crisp 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. - 12 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Tax millage rates levied for the 1993 tax year (calendar year) for the Crisp County Board of Education were as follows (a mill equals $1 per thousand dollars of assessed value): School Operations School Bonds 15.353 mills .121 mills 15 474 mills INVENTORIES FOOD INVENTORIES Inventories of donated food commodities used in the preparation of meals are reported on the Combined Balance Sheet at their Federally assigned value. Purchased foods inventories are reported on the Combined Balance Sheet at cost. Donated food commodities are recorded as revenues and expenditures at the time commodity items are received. Purchased foods inventories are recorded as expenditures at the time of purchase. The inventories reported on the balance sheet for donated food commodities and for purchased foods are equally offset by reservations 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. 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-Term Debt Account Group as this liability is also deemed to be immaterial to the fair presentation of these financial statements. GENERAL LONG-TERM DEBT Recorded in the General Long-Term Debt Account Group is the Board's liability for a contractual obligation with the Cordele Office Building Authority for the acquisition and construction of major capital facilities. INTERFUND TRANSACTIONS The Board has the following types of interfund transactions: - 13 - CRISP COUNTY BOARD OF EDUCATION EXIIlBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS JUNE 30, 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Reimbursements ofexpenditures initially made from a fund that are properly applicable to another fund, are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed. Operating transfers are recorded for all interfund transactions other than reimbursements. MEMORANDUM ONLY - TOTAL COLUMNS Total columns on the general purpose financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position or results of operations in conformity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. Note 2: DEPOSITS AND INVEST:MENTS 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 in an amount of not less than 110 percent ofthe public funds being secured after the deduction ofthe amount of deposit insurance. OCGA Section 45-8-11 provides an officer holding public funds may, in his discretion, waive the requirement for security in the case of operating funds placed in demand deposit checking accounts. Acceptable security for deposits consists of any one of or any combination 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 Depos~t Insurance Corporation, (3) Bonds, bills, notes, certificates of indebtedness or other direct obligations ofthe United States or of the State of Georgia, (4) Bonds, bills, notes, certificates ofindebtedness or other obligations of the counties or municipalities ofthe State of Georgia, (5) Bonds ofany public authority created by the laws 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 - 14 - CRISP COUNTY BOARD OF EDUCATION EXIIlBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 2: DEPOSITS AND INVESTMENTS (7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest and debt obligations issued by the Federal Land Bank, the Federal Home Loan Banlc, the Federal Intermediate Credit Bank, the Central Banlc for Cooperatives, the Farm Credit Banlcs, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association. CATEGORIZATION OF DEPOSITS At June 30, 1994, the banlc balances were $5,077,471.03. The amounts of the total banlc 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 banlc balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Board's name.) The Board's deposits are classified by risk category at June 30, 1994, as follows: Risk Category Bank Balance 1 $ 500,000.00 2 797,485.70 3 3,779,985.33 Total $ 5,077 471 03 CATEGORIZATION OF INVESTMENTS Investments are classified as to risk by the three categories described below: Category 1 - Insured or registered, or securities held by the Board or the Board's agent in the Board's _name. Category 2 - Uninsured or unregistered, with securities held by the counterparty's trust department or agent in the Board's name. Category 3 - Uninsured or unregistered, with securities held by the counterparty, or by its trust department or agent but not in the Board's name. Funds invested in an investment pool managed by another government are not required to be categorized unless the investing entity owns specific, identifiable investment securities in the pool. - 15 - CRISP COUNTY BOARD OF EDUCATION EXIIlBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 2: DEPOSITS AND INVESTMENTS At June 30, 1994, the carrying amount of the Board's total investments was $4,822,295.12 and the market value ofthese investments were $4,804,620.90. The investments are classified as to risk categories as follows: Tn,e ofInvestment U.S. Government $ Repurchase Agreements Total $ Local Government Investment Pools Total Investments Bisk Catcgcrics 0.00 $ 322,295.12 $ 500,000.00 000 $ 822 295 12 $ Canying Amount Market Value 0.00 $ 322,295.12 $ 304,620.90 500,000.00 500,000.00 000 $ 822,295.12 $ 804,620.90 4,000,000.00 4,000,000.00 $4 822 295 12 $4 804 620 90 The carrying amounts shown above includes amounts maintained in an investment pool by the Office of Treasury and Fiscal Services in which the Board owns no identifiable securities. 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 Note 4: RISK MANAGEMENT The Board has established a limited risk management program for Workers' Compensation. Estimated claims are budgeted by management based on known claims and prior experience. The General Fund contributes to the Workers' Compensation fund and claims are paid from this fund during the fiscal year. During fiscal year 1994, a total of$52,270.33 was paid in claims. An excess coverage insurance policy covers individual claims in excess of$250,000.00. The Board has established a limited risk management program for Unemployment Compensation. Estimated claims are budgeted by management based on known claims and prior experience. The General Fund contributes to the Unemployment Compensation fund and claims are paid from this fund during the fiscal year. During fiscal year !994, a total of$10,008.52 was paid in claims. Note 5: GENERAL LONG-TERM DEBT Contract - Cordele Office Building Authority - The Board entered into a contract with the Cordele Office Building Authority, dated July 1, 1991, for the financing ofthe construction of various school facilities. Under the terms of the contract, the Authority issued $5,575,000.00 in revenue bonds on behalf of the Board to finance the cost of acquiring, constructing, furnishing and equipping a new high school to be owned by the Board and the costs of making renovations and modifications to existing schools owned by the Board. The - 16 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 5: GENERAL LONG-TERM DEBT Board has contractually agreed to make semi-annual payments, from April 1, 1992 through October 1, 2011, to the Authority sufficient to retire principal and interest on the bonds. The obligation of the Board is absolute and unconditional so long as any ofthe bonds remain outstanding. Under the contract, the Board ofEducation agreed to levy an annual tax on all taxable property within the boundaries of the Board, at such rates, within any limits prescribed by law, as may be necessary to make payments required by the contract. The changes in General Long-Term Debt during the fiscal year ended June 30, 1994, were as follows: Contract Cordele Office Building Authority General Obligation Bonds Total Balance July 1, 1993 $ 5,480,000.00 $ 30,000.00 $ 5,510,000.00 Deductions 105,000.00 30,000.00 135,000.00 Balance June 30, 1994 $ 5,375,000 00 $ 0 00 $ 5,375,000.00 At June 30, 1994, payments due, by fiscal year which includes principal and interest for these items are: Fiscal Year Ended June 30 Contract Cordele Office Building Authority 1995 1996 1997 1998 1999 and thereafter $ 504,537.50 511,212.50 521,725.00 530,902.50 7,216,412.50 Total Principal and Interest $9,284 790 00 Note 6: SIGNIFICANT COMMITMENTS At June 30, 1994, the Board had encumbrances in the amount of $277,065.68 for the unperformed portion of purchase orders, contracts and other commitments for goods and services associated with the Lottery Programs. The Georgia Department of Education has funding available to the Board in an amount equal to these encumbrances. The revenues and expenditures associated with these encumbrances will be recognized - 17 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS JUNE 30, 1994 Note 6: SIGNIFICANT COMMIT:MENTS in the subsequent fiscal year. Encumbrances outstanding do not constitute expenditures or liabilities in the current year because these commitments will be honored during the subsequent year. These encumbrances are identified by Lottery Program as follows: Computers in Classrooms Distant Learning Media Center and Library Equipment Safe Schools Grant $ 67,958.04 5,934.00 85,232.64 117,941.00 $ 277,065 68 The following is an analysis of a significant outstanding construction or renovation contracts executed by the Board as of June 30, 1994, together with funding available: Project Unearned Executed Contracts Funding Available From State 91/91S-640-011 $3,968.493 41 $ 639 934,00 The amounts described in this note are not reflected in the general purpose financial statements. Note 7: CONTINGENT LIABILITIES Amounts received or receivable principally from the Federal government are subject to audit and review by grantor agencies. This could result in requests for reimbursement to the grantor agency for any expenditures which are disallowed under grant terms. The Board believes that such disallowances, if any, will be immaterial to its overall financial position. The Board is a defendant in various legal proceedings pertaining to matters incidental to the performance of routine Board operations. The ultimate disposition ofthese proceedings is not presently determinable, but are not believed to be material to the general purpose financial statements. Note 8: ACCUMULATED EMPLOYEES' LEAVE The Board's administrative staffand certain other full-time employees earn ten days of annual leave each year. Annual leave may be accumulated to a maximum of ten days. The Board does not have a written policy but it is the practice of the Board to pay the employee an amount based on unused leave, up to the maximum accumulation, at the current rate of pay, upon retirement or termination of employment. See Note 1 Compensated Absences - 18 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 9: RETIREMENT PLANS TEACHERS RETmEMENT 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. A member is eligible for service retirement after 30 years ofcreditable 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 ofthe member's monthly pension at a reduced rate to a designated beneficiary on the member's death. Retirement benefits also include death and disability benefits. A disabled member or surviving spouse is entitled to receive annually an amount equal to the member's service retirement benefit or disability retirement, whichever is greater. The death benefit is the amount that would be payable to the member's beneficiary had the member retired on the date of death on either a service retirement allowance or a disability retirement allowance, whichever is larger. The benefit is based on the member's creditable service (minimum of 10 years of service) and compensation up to the time of disability or death. Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting of employer contributions occurs, but the member's contributions are refunded with interest. The Board's payroll for employees covered by TRS for the year ended June 30, 1994, was $11,686,544.94; total payroll was $13,413,447.58. TRS CONTRIBUTIONS REQUIRED AND MADE Employees of the Board who are covered by TRS are required to contribute 6% of their gross earnings to TRS. The Board makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees as advised by their independent actuary. For fiscal year 1994 that rate for employer contributions was 11.81%. The interest rate assumption (rate ofretum on investments) was 7.50%. Total contributions made during fiscal year 1994 amounted to $2,081,117.63, of which $1,379,926.00 was made by the Board and $701,191.63 was made by employees. These contributions represented 11.81% (Board) and 6% (employees) of covered payroll. - 19 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 9: RETIREMENT PLANS TRS FUNDING STATUS AND PROGRESS The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No. 5 ofthe Governmental Accounting Standards Board (GASB) that, with some exceptions, must be used by a PERS. The standardized measurement is the actuarial present value of credited projected benefits. This valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date, and is adjusted for the effects of projected salary increases. A standardized measure ofthe pension benefit obligation was adopted by the GASB to enable readers of PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among other PERS and among other employers. Total unfunded pension benefit obligation ofTRS as of June 30, 1993, was as follows: Total pension benefit obligation $13,912,014,000.00 Net assets available for benefits, at cost 12,821,722,000.00 Unfunded pension benefit obligation $ 1,090,292.000.00 The measurement ofthe total pension benefit obligation is based on an actuarial valuation as ofJune 30, 1993. Net assets available to pay pension benefits were valued as of the same date. TRS does not make separate measurements of assets and pension benefit obligation for individual employers. Total contributions from all employers to TRS for fiscal year ended June 30, 1994 were $521,550,000.00. The Board's contribution for the year ended June 30, 1994 of$1,379,926.00 was actuarially determined and represented .2646% of total contributions made by all participating employers. Ten year historical trend information is presented in the 1994 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. - 20 - CRISP COUNTY BOARD OF EDUCATION EXHIBIT "D" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30, 1994 Note 9: RETIREMENT PLANS PSERS provides 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 of years 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 138 employees covered under PSERS for the year ended June 30, 1994. 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 ofthe Board made during fiscal year 1994 amounted to $4,616.00. Total contribution for all school systems made by the State of Georgia to PSERS for fiscal year ended June 30, 1994, was $9,150,000.00. Note 10: SURETY BONDS The School Superintendent, Dr. J. Vann Sikes, is bonded in the amount of$100,000.00 with the Selective Insurance Company of America, Branchville, New Jersey, their Bond No. B76310, on which premium was paid through July 1, 1994. - 21 - CRISP COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET SPECIAL REVENUE FUND JUNE 30. 1994 ASSETS Cash and Cash Equivalents Accounts Receivable Inventories Food Donated Cannodities Purchased Food SCHOOL FLINT AREA DRUG-FREE FOOD PSYCHO- SCHOOLS AND SERVICES INNOVATIVE EDUCATIONAL LOTTERY COMMUNITIES FUND PROGRAM PROGRAM PROGRAMS ACT ------------- ------------- ------------- ------------- ------------- $ 753,912.43$ 11,562.78 $ 44,069.20 9,273.61 $ 19,179.00 $ 7,940.46 37,105.11 6,954.73 Total Assets $ 807,245.88$ 11,562.78 $ 19,179.00$ 44,069.20$ 7,940.46 ============ =========== ========= ========== =========== LIABILITIES AND FUND EQUITY LIABILITIES Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Unearned Lottery Funds Total Liabilities FUND EQUITY $ 2,170.58 $ 10,091.51 $ 6,402.71 $ 4,742.34$ 31,720.99 1,771.08 58,338.14 12,941.80 3,998.80 1,494.86 12,141.57 206.64 ------------- ------------- ------------- ------------- ------------- $ 68,429.65$ 6,402.71 $ 19,179.00$ 44,069.20$ 7,940.46 ------------- ------------- ------------- ------------- ------------- Fund Balances Reserved For Continuation of Federal Programs For Inventories Food Donated Comnodities Purchased Food $ 5,160.07 $ 37,105.11 6,954.73 ------------- ------------- Unreserved Undesignated $ 44,059.84 $ 5,160.07 694,756.39 0.00 $ 0.00 $ 0.00 $ 0.00 Total Fund Equity $ 738,816.23 $ 5,160.07 $ 0.00 $ 0.00 $ 0.00 Total Liabilities and Fund Equity $ 807,245.88$ 11,562.7,8 $ 19,179.00$ 44,069.20$ 7,940.46 ============= ============= ============ ============= ============ See notes to the general purpose financial statements. - 22 - EXHIBIT "E" ELEMENTARY AND SECONDARY EDUCATION ACT - --------CHAPTER --------1 --------- --------TITLE -I -I - --- - ------------- CHAPTER 2 EISENHOWER EDUCATION OF ------------- MATHEMATICS DEPRIVED BLOCK GRANT - AND SCIENCE CHILDREN FLOW THROUGH EDUCATION ------------- ------------- ------------- INDIVIDUALS WITH DISABILITIES EDUCATION ACT TITLE VI, B FLOW THROUGH DOOLY COUNTY SHARED SERVICES JOB TRAINING PARTNERSHIP ACT TOTALS JUNE 30, 1994 JUNE 30, 1993 $ 1,558.46$ 13,554.21 $ 6,230.68 $ 0.00 $ 830,887.76$ 731,370.25 $ 518,857.58 1,828.33 20,454.75 $ 18,608.42 596,142.15 236,405.59 37,105.11 6,954.73 46,388.13 7,171.99 $ 518,857.58 $ 3,386.79 $ 13,554.21 $ 26,685.43 $ 18,608.42 $ 0.00 $1,471,089.75$ 1,021,335.96 =========== =========== ============= ============= ============= ============ ============= ============ $ 327,699.57 53,624.00 $ 137,534.01 971.02 2,415.77 ------------- ------------- $ 518,857.58 $ 3,386.79 ------------- ------------- $ 18,608.42 $ 10,126.33 16,559.10 ------------- ------------- $ 26,685.43 $ 18,608.42 ------------- ------------- $ 348,478.57 119,449.98 $ 106,030.74 231,787.62 220,504.93 13,636.43 39,549.19 206.64 ------------- ------------- $ 713,559.24 $ 366,084.86 ------------- ------------- $ 13,554.21 $ 18,714.28$ 9,708.79 37,105.11 46,388.13 6,954.73 7,171.99 ------------- ------------- $ 13,554.21 $ 62,774.12 $ 63,268.91 $ 0.00 $ 0.00 0.00 $ 0.00 $ 0.00 $ 0.00 694,756.39 591,982.19 $ 0.00 $ 0.00 $ 13,554.21 $ 0.00 $ 0.00 $ 0.00 $ 757,530.51 $ 655,251.10 $ 518,857.58 $ 3,386.79 $ 13,554.21 $ 26,685.43 $ 18,608.42 $ 0.00 $1,471,089.75$ 1,021,335.96 ============= ============= ============= ============= =========---- =-----===---- =--=====-==== ============= - 23 - CRISP COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES SPECIAL REVENUE FUND YEAR ENDED JUNE 30, 1994 SCHOOL FOOD SERVICES FUND INNOVATIVE PROGRAM FLINT AREA PSYCHO- EDUCATIONAL PROGRAM LOTTERY PROGRAMS DRUG-FREE SCHOOLS AND COMMUNITIES ACT REVENUES State Funds Federal Funds Local and Other Funds $ 105,144.00 $ 1,094,026.38 217,793.12 4,980.00$ 960,196.06$ 321,693.79 33,746.41 288,606.64 $ 64,427.09 Total Revenues $1,416,963.50$ 38,726.41 $1,248,802.70$ 321,693.79 $ 64,427.09 EXPENDITURES Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services Other Support Services Food Services Operation Capital Outlay Total Expenditures $ 11,522.85 $ 741,588.97 $ 234,131.61 25,360.92 310,852.20 8,892.36 74,860.93 $ 61,321.64 11,608.53 3,105.45 122,229.56 303.93 33,964.12 10,946.49 409 .17 $1,314,189.30 20,329.00 683.55 ------------- ------------- ------------- ------------- ------------- $1,314,189.30$ 37,187.70$ 1,248,802.70$ 321,693.79 $ 64,427.09 Excess of Revenues over (under) Expenditures $ 102,774.20$ 1,538.71 $ 0.00 $ 0.00 $ 0.00 OTHER FINANCING SOURCES Operating Transfers In 3,621.36 Excess of Revenues and Other Financing Sources over (under) Expenditures $ 102,774.20$ 5,160.07 $ 0.00 $ 0.00 $ 0.00 FUND BALANCE JULY 1 645,542.31 0.00 0.00 0.00 0.00 Food Inventory Donated Comoodities July 1 June 30 Purchased Food July 1 June 30 -46,388.13 37,105.11 -7,171.99 6,954.73 FUND BALANCE JUNE 30 $ 738,816.23 $ 5,160.07 $ 0.00 $ 0.00 $ 0.00 ============= ============= ============= ============ ============= See notes to thegeneral purpose financial statements. - 24 - EXHIBIT "F" ELEMENTARY AND SECONDARY EDUCATION ACT ------------------------------------------- CHAPTER 1 TITLE II - E-D--U-C-A-T-IO-N---O-F- CHAPTER 2 ------------- EISENHOWER MATHEMATICS DEPRIVED BLOCK GRANT - ANO SCIENCE CHILDREN FLOW THROUGH EDUCATION ------------- ------------- ------------- INDIVIDUALS WITH DISABILITIES EDUCATION ACT TITLE VI, B FLOW THROUGH DOOLY COUNTY SHARED SERVICES JOB TRAINING PARTNERSHIP ACT TOTALS YEAR ENDED JUNE 30, 1994 JUNE 30, 1993 $ 1,318,573.13 $ 46,781.96 $ 25,725.00 $ 162,776.47 $ $ 28,645.18 $1,392,013.85$ 1,167,455.1& 7,760.05 3,042,423.13 2,967,071.86 246,438.30 265,856.90 $1,318,573.13 $ 46,781.96$ 25,725.00$ 162,776.47 $ 28,645.18$ 7,760.05 $4,680,875.28$ 4,400,383.92 $1,107,592.36$ 1,058.35 46,930.65 76,973.72 3,054.08 662.39 46,552.38 36,571.82 97.94 46,519.19 _$ 164.83 $ 21,830.40 49.18 86,251.07 $ 60,930.55 4,622.28 11,422.47 281.11 $ 28,143.15 220.92 1,994.54$ 2,183,460.45$ 2,071,576.21 534,384.59 171,652.01 479,498.09 105,737.83 5,765.51 199,417.29 37,239.12 23,744.45 73,330.44 1,314,189.30 36,571.82 182,513.71 1,857.02 30,093.35 28,474.54 50;911.87 15,379.66 1,250,282.87 46,077.40 $1,319,395.75$ 46,781.96$ 21,879.58$ 163,226.37 $ 28,645.18$ 7,760.05$ 4,573,989.47 $ 4,262,408.55 $ -822.62 $ 0.00 $ 3,845.42 $ -449.90 $ 0.00 $ 0.00 $ 106,885.81 $ 137,975.37 822.62 $ 0.00 $ 0.00 449.90 0.00 $ 0.00 3,845.42 $ 9,708.79 0.00 $ 0.00 0.00 $ 0.00 4,893.88 9,171.05 0.00 $ 111,779.69 $ 147,146.42 0.00 655,251.10 508,561.88 -46,388.13 37,105.11 -7 ,171.99 6,954.73 -45,721.27 46,388.13 -8,296.05 7,171.99 $=========0=.=0=0 $========-0--.=0=0 $ 13,554.21 --------=---= $ 0.00 ============ $ 0.00 ========-===- $ 0.00 ==---=----=-- $ 757,530.51 =---==---=--- $ 655,251.10 =-=========== - 25 - ASSETS Cash and Cash Equivalents Investments Accounts Receivable CRISP COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET CAPITAL PROJECTS FUND JUNE 30. 1994 REGULAR CONTRACT - CORDELE OFFICE BUILDING AUTHORITY ------------PROJECT 90-640-016 $1,736,693.44$ 3,838,281.04$ 107,417.48 Total Assets $1,736,693.44$ 3,838,281.04$ 107,417.48 ============= ============== ============= LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable Contracts Payable Retainages Payable Total Liabilities FUND EQUITY Fund Balances Reserved For Contract - Cordele Office Building Authority For State Capital Outlay Projects Unreserved Undesignated Total Fund Equity $ 3,838,281.04 $ 107,417.48 $ 3,838,281.04$ 107,417.48 $1,736,693.44 0.00 0.00 $1,736,693.44 $ 3,838,281.04 $ 107,417.48 Total Liabilities and Fund Equity $1,736,693.44$ 3,838,281.04 $ 107,417.48 ============= ============== ============= See notes to the general purpose financial statements. - 26 - EXHIBIT "G" GEORGIA STATE FINANCING AND INVESTMENT COMMISSION ---------------------------------------------------------------- PROJECT PROJECT PROJECT PROJECT 91/91S-640-011 92/92S-640-027 92/92S-640-028 93/94-640-029 TOTALS ---------------------------JUNE 30, 1994 JUNE 30, 1993 $ 448,441.46 $ 103,393.62 $ 639,934.00 0.00 $ 11,307.56 $ 6,245,534.60 $ 5,030,583.48 1,749,080.39 639,934.00 2,418,945.69 $ 1,088,375.46$ 103,393.62 $ 0.00 $ 11,307.56 $6,885,468.60$ 9,198,609.56 ============== ============== ============== ============== ============= ============= $ 2,035.79 399,428.94 686,910.73 -------------- $ 1,088,375.46 -------------- $ 1,034.60 $ 3,070.39 399,428.94 $ 1,901,264.54 686,910.73 463,657.33 -------------- ------------- ------------- $ 1,034.60 $ 1,089,410.06 $ 2,364,921.87 -------------- ------------- ------------- $ 103,393.62 $3,838,281.04$ 4,926,852.88 $ 10,272.96 221,084.06 170,141.37 $ 103,393.62 $ 10,272.96$ 4,059,365.10$ 5,096,994.25 $ 0.00 0.00 $ 0.00 0.00 1,736,693.44 1,736,693.44 -------------- -------------- -------------- -------------- ------------- ------------- $ 0.00 $ 103,393.62 $ 0.00 $ 10,272.96 $ 5,796,058.54 $ 6,833,687.69 -------------- -------------- -------------- -------------- ------------- ------------- $ 1,088,375.46$ 103,393.62 $ 0.00 $ 11,307.56 $ 6,885,468.60 $ 9,198,609.56 ============== ============== ============== ============== ============= ============= - 27 - CRISP COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES CAPITAL PROJECTS FUND YEAR ENDED JUNE 30, 1994 REVENUES State Funds Local and Other Funds Total Revenues EXPENDITURES Current Support Services General Administration Professional and Technical Services Capital Outlay Land and Land Improvements Building and Building Improvements Total Expenditures Excess of Revenues over (under-) Expenditures OTHER FINANCING SOURCES (USES) 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 REGULAR CONTRACT - CORDELE OFFICE BUILDING AUTHORITY ------------PROJECT 90-640-016 $ 0.00 $ 0.00 $ 7,108.69 ------------- -------------- ------------- $ 0.00 $ 7,108.69 $ 0.00 ------------- -------------- ------------- $ 0.00 $ 3,307.11 $ 0.00 $ 0.00 $ 3,307.11$ 0.00 $ 0.00 $ 3,801.58 $ 0.00 $ -1,092,373.42 $ -1,092,373.42 $ 0.00 $ -1,088,571.84 $ 1,736,693.44 4,926,852.88 0.00 107,417.48 FUND BALANCE JUNE 30 $1,736,693.44 $ 3,838,281.04 $ 107,417.48 =======-====- ============== ============= See notes to the general purpose financial statements. - 28 - EXHIBIT "H" GEORGIA STATE FINANCING AND INVESTMENT COMMISSION --------------------------------------------------------------- PROJECT PROJECT PROJECT PROJECT 91/91S-640-011 92/92S-640-027 92/92S-640-028 93/94-640-029 TOTALS ---------------------------- YEAR ENDED ---------------------------JUNE 30, 1994 JUNE 30, 1993 $ 4,547,182.19 $ $ 4,547,182.19 $ 0.00 $ 925,049.78$ 0.00 $ 925,049.78 $ 0.00 $ 5,472,231.97 $ 4,559,569.88 7,108.69 230,949.99 0.00 $ 5,479,340.66 $ 4,790,519.87 $ 145,264.99 $ 5,098,922.25 20,989.42 $ 300,434.04 30,267.34 $ 970,724.39 $ 3,307.11 $ 44,550.29 39,521.04 236,042.79 402,727.26 6,370,080.68 5,113,636.55 $ 5,244,187.24 $ 321,423.46$ 1,000,991.73 $ 39,521.04 $ 6,609,430.58 $ 5,560,914.10 $ -697,005.05 $ -321,423.46 $ -75,941.95 $ -39,521.04 $-1,130,089.92 $ -770,394.23 $ 697,005.05 $ 424,817.08$ 63,012.06 $ 697,005.05 $ 424,817.08 $ 63,012.06 $1,184,834.19 $1,303,678.88 -1,092,373.42 -688,534.87 $ 92,460.77 $ 615,144.01 $ 0.00 $ 103,393.62 $ -12,929.89 $ -39,521.04 $-1,037,629.15 $ -155,250.22 0.00 0.00 12,929.89 49,794.00 6,833,687.69 6,988,937.91 $ 0.00 $ 103,393.62 $ 0.00 $ 10,272.96$ 5,796,058.54 $ 6,833,687.69 ============== ============== ============== ============= ============= ============= - 29 - CRISP COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET FIDUCIARY FUND TYPE JUNE 30. 1994 EXHIBIT "I" ASSETS Cash and Cash Equivalents LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable FUND EQUITY Fund Balances Unreserved Undesignated EXPENDABLE TRUST FUNDS HOSPITALITY FUND TRADE AND INDUSTRIAL EDUCATION SCHOLARSHIP FUND SELF-INSURED EMPLOYEE BENEFIT FUNDS UNEMPLOYMENT WORKERS' TOTALS COMPENSATION COMPENSATION ---------------------------- FUND FUND JUNE 30, 1994 JUNE 30, 1993 $ 47B.46 $ 300.00 $ 15,556.66$ 152,007.68$ 168,342.80 $ 89,955.06 ====== ======== ======== ======== ============ =========== $ 51.BS $ 478.46 $ 300.00 $ 15,556.66$ 152,007.68$ 168,342.80 89,903.21 Total Liabilities and Fund Equity $ 478.46 $ 300.00 $ 15,556.66$ 152,007.68$ 168,342.80 $ 89,955.06 ============ ========= =========== =========== ============= =========== See notes to the general purpose financial statements. - 30 - CRISP COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FIDUCIARY FUND TYPE - EXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30, 1994 EXHIBIT "J" HOSPITALITY FUND TRADE AND INDUSTRIAL EDUCATION SCHOLARSHIP FUND SELF-INSURED EMPLOYEE BENEFIT FUNDS TOTALS UNEMPLOYMENT WORKERS' YEAR ENDED COMPENSATION COMPENSATION ---------------------------- FUND FUND JUNE 30, 1994 JUNE 30, 1993 REVENUES Local and Other Funds $ 1,014.17 $ 0.00 $ 16,336.25$ 124,923.58$ 142,274.00 $ 106,432.19 EXPENDITURES Current Support Services Other Support Services Other Operations of NonInstructional Services $ $ 1,555.56 0. 00 $ 10,008.52 $ $ 52,270.33 10,008.52 $ 53,825.89 9,804.93 30,555.42 Total Expenditures $ 1,555.56$ 0.00 $ 10,008.52 $ 52,270.33 $ 63,834.41 $ 40,360.35 Excess of Revenues over (under) Expenditures FUND BALANCE JULY 1 ------------------- $ -541.39 $ 0.00 $ 6,327.73 $ 72,653.25 $ 78,439.59 $ 66,071.84 1,019.85 300.00 9,228.93 79,354.43 89,903.21 23,831.37 ------------ ------------ ------------ ------------ ------------- ------------- FUND BALANCE JUNE 30 $ 478.46 $ 300.00 $ 15,556.66$ 152,007.68 $ 168,342.80$ 89,903.21 ============ ============ ============ ============ ============= =========== See notes to the general purpose financial statements. - 31 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE YEAR ENDED JUNE 30 1 1994 SCHEDULE "l" Page 1 FUNDING AGENCY PROGRAM/GRANT -------------- FEDERAL FUNDS RECEIVED IN FEDERAL CFDA AWARDS PERIOD (NET REVENUE EXPENDIT~ES NUMBER IN PERIOD OF REFUNDS) IN PERIOD IN PERIOD ------------- ------------- ------------- ------------- Agriculture, U. S. Department of Through Georgia Department of Education Food and Nutrition Program Food Services School Breakfast Program 1993 Grant 1994 Grant National School Lunch Program 1993 Grant 1994 Grant Food Distribution Program (1) 10.553 $ 8,448.82 10.553 $ 179,135.70 178,506.11 $ 179,135.70 (2) *10.555 7,364.34 *10.555 806,618.85 797,974.83 806,618.85$ 1,205,917.47(3) 10.550 108,271.83 N/A 108,271.83 108,271.83 ------------- ------------- ------------- ------------- Total U. S. Department of Agriculture $1,094,026.38$ 992,294.10$ 1,094,026.38$ 1,314,189.30 ------------- ------------- ------------- ------------- Education, U. S. Department of Direct P. L. 81-874 1994 Grant 84.041 $ 14,406.00$ Through Georgia Department of Education Drug-Free Schools and Comnunities Act 1993 Grant 84.186 1993 Carry-Over 84.186 12,322.00 1994 Grant 84.186 56,927.00 Elementary and Secondary Education Act Chapter 1 Education of Deprived Children 1993 Regular *84.010 1993 Carry-Over *84.010 198,720.00 1994 Regular *84.010 1,155,661.00 Chapter 2 Block Grant - Flow Through 1993 Regular 84.151 1993 Carry-Over 84.151 4,196.00 1994 Regular 84.151 45,869.00 Innovative Programs 1993 Regular 84.151 1994 Regular 84.151 37,601.00 Title II Eisenhower Mathematics and Science Education 1993 Regular 84.164 1994 Regular 84.164 25,725.00 Individuals with Disabilities Education Act Title VI, B Flow Through 1993 Regular 84.027 1993 Carry-Over 84.027 60,819.00 1994 Regular 84.027 143,766.00 Innovative Special Education Proposal 1994 Regular 84.027 9,475.00 Preschool Program Severely Emotionally Disturbed 1993 Regular 84.173 1993 Carry-Over 84.173 23,550.00 1994 Regular 84.173 151,830.00 Innovative Special Education Proposal 1994 Regular 84.173 15,000.00 Severely Emotionally Disturbed 1992 Carry-Over 84.027 20,000.00 1993 Regular 84.027 1993 Carry-Over 84.027 50,978.00 1994 Regular 84.027 105,589.00 14,406.00$ 14,406.00 (5) 880.77 12,322.00 44,164.63 12,322.00$ 12,322.00 52,105.09 52,105.09 114,833.72 198,720.00 198,720.00 198,720.00 601,280.00 1,119,853.13 1,120,675.75(3) 4,225.44 4,196.00 40,757.63 2,238.04 33,746.41 4,196.00 42,585.96 33,746.41 4,196.00 42,585.96 37,187.70(3) 25,725.00 25,725.00 9,708.79 12,170.79 15,199.45 60,819.00 72,027.72 9,475.00 9,630.88 23,550.00 118,872.50 13,331.00 20,000.00 8,846.04 50,978.00 44,191.00 60,819.00 92,482.47 9,475.00 23,550.00 129,870.42 14,999.54 20,000.00 50,978.00 49,208.68 60,819.00 92,932.37(3) 9,475.00 23,550.00 129,870.42 14,999.54 20,000.00 50,978.00 49,208.68 - 32 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE YEAR ENDED JUNE 30. 1994 SCHEDULE "1" Page 2 FUNDING AGENCY PROGRAM/GRANT CFDA NUMBER AWARDS IN PERIOD FEDERAL FUNDS RECEIVED IN PERIOD (NET OF REFUNDS) FEDERAL REVENUE IN PERIOD EXPENDIT~ES IN PERIOD Education, U. S. Department of Through Georgia Department of Education Vocational Education - Basic Grants to States High School Program Basic Grant 1993 Grant 84. 048 $ 21,494.14 1994 Grant 84.048 $ 123,090.63 46,653.44$ 123,090.63 (4) Through Tift County Board of Education d/b/a Peachtree Migrant Education Agency Elementary and Secondary Education Act Chapter 1 Migratory Education Program 1993 Regular 84.011 1,872.98 Total U. S. Department of Education $ 2,255,524.63 $1,614,436.79 $ 2,078,133.33 $1,941,505.09 Labor, U. S. Department of Through Flint Regional Development Center Job Training Partnership Act 20-C3-00-l-l-19 20-C4-00-l-l-19 17.250 $ 10,216.00$ 17.250 8,670.00 7,760.05 $ 7,760.05$ 7,760.05 Total U. S. Department of Labor $ 18,886.00$ 7,760.05 $ 7,760.05 $ 7,760.05 OTHER FEDERAL ASSISTANCE Defense, U. S. Department of Direct Department of the Army R.O.T.C. Program 1994 Grant $ 51,342.91 $ 51,342.91 $ 51,342.91 (4) Total Federal Financial Assistance $ 3,419,779.92 $ 2,665,833.85 $ 3,231,262.67 $ 3,263,454.44 =========== ============= ============= ============= Major Programs are identified by an asterisk (*) in front of the CFDA nurrber. (1) The aroounts shown for the Food Distribution Program represents the Federally assigned value of nonmonetary assistance for donated c0111Tiodities received and/or consumed by the system during the current fiscal year. (2) Expenditures for the School Breakfast Program were not maintained separately and are included in the 1994 National School Lunch Program. (3) Expenditures for this program include State, and/or Local and Other Funds. Expenditures are not maintained by fund source. (4) Expenditures on this program were not maintained by fund source. (5) Funds earned on this program do not require reporting of expenditures. See notes to the general purpose financial statements. - 33 - CRISP COUNTY BOARD OF EDUCATION ANALYSIS OF CASH AND CASH EQUIVALENTS JUNE 30. 1994 SCHEDULE "2" NONINTEREST BEARING ACCOUNTS Cordele Banking Company, Cordele, Georgia First State Bank, Cordele, Georgia INTEREST BEARING ACCOUNTS Central Savings Bank, Cordele, Georgia Certificate of Deposit No. 98350 N.O.W. Account (2.25%) (3.85%) Cordele Banking Company, Cordele, Georgia N.O.W. Account (2.27%) First State Bank and Trust Company, Cordele, Georgia N.O.W. Account (2.50%) $ -81.95 17,290.09 $ 17,208.14 $ 278,174.47 471,314.61 3,367,350.64 152,007.68 4,268,847.40 $ 4,286,055.54 ============= See notes to the general purpose financial statements. - 34 - CRISP COUNTY BOARD OF EDUCATION INVESTMENTS JUNE 30, 1994 INVESTMENT ACCOUNT Interstate/Johnson Lane, Charlotte, North Carolina U. S. Government Guaranteed Obligations (Variable Rate) INVESTMENT POOL Office of Treasury and Fiscal Services Local Government Investment Pool (4.237%) REPURCHASE AGREEMENT Cordele Banking Company, Cordele, Georgia Repurchase Agreement (4.75%) SCHEDULE "3" $ 322,295.12 4,000,000.00 500,000.00 $ 4,822,295.12 ============= See notes to the general purpose financial statements. - 35 - CRISP COUNTY BOARD OF EDUCATION ACCOUNTS RECEIVABLE JUNE 30. 1994 SCHEDULE "4" GOVERNMENTAL FUND TYPES GENERAL FUND SPECIAL REVENUE FUND CAPITAL PROJECTS FUND TOTAL Crisp County Tax Commissioner County Wide School Tax $ Dooly County Board of Education Shared Services Contributions Education, Georgia Department of Food Services School Breakfast Program National School Lunch Program Vocational Education State Funds Federal Funds Federal Programs Drug-Free Schools and Communities Act ESEA - Chapter 1 Education of Deprived Children ESEA - Chapter 2 Block Grant - Flow Through Individuals with Disabilities Education Act - Title VI, B Fl ow Through Preschool Program Severely Emotionally Disturbed Georgia State Financing and Investment Commission Reimbursement on Construction Projects Riverside Publishing Vendor Overpayment 73,761.96 $ 18,608.42 $ 73,761.96 18,608.42 399.62 76,437.19 629.59 8,644.02 7,940.46 518,573.13 1,828.33 20,454.75 13,179.00 6,000.00 629.59 8,644.02 399.62 76,437.19 7,940.46 518,573.13 1,828.33 20,454.75 13,179.00 6,000.00 2,301.50 $ 639,934.00 639,934.00 284.45 2,585.95 $ 152,900.27 $ 596,142.15$ 639,934.00$ 1,388,976.42 ============= ============= ============= ============= See notes to the general purpose financial statements. - 36 - PAYMENTS DUE IN FISCAL YEAR ENDING JUNE 30 -------------- 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 200B 2009 2010 2011 CRISP COUNTY BOARD OF EDUCATION DEBT SERVICE REQUIREMENTS TO MATURITY JUNE 30 1 1994 SCHEDULE "5" TOTAL DEBT SERVICE ------------- CONTRACT - CORDELE OFFICE BUILDING AUTHORITY ---------------------------- INTEREST PRINCIPAL ------------- ------------- $ 504,537.50 $ 354,537.50 $ 150,000.00 511,212.50 346,212.50 165,000.00 521,725.00 336,725.00 185,000.00 530,902.50 325,902.50 205,000.00 533,602.50 313,602.50 220,000.00 545,182.50 554,992.50 552,982.50 554,742.50 554,917.50 300,182.50 284,992.50 267,982.50 249,742.50 229,917.50 245,000.00 270,000.00 285,000.00 305,000.00 325,000.00 553,467.50 555,525.00 560,550.00 558,350.00 563,600.00 208,467.50 185,525.00 160,550.00 133,350.00 103,600.00 345,000.00 370,000.00 400,000.00 425,000.00 460,000.00 561,400.00 71,400.00 490,000.00 567,100.00 37,100.00 530,000.00 ------------- ------------- ------------- $ 9,284,790.00 $3,909,790.00$ 5,375,000.00 CHANGES IN GENERAL LONG-TERM DEBT Debt Payable at July 1, 1993 Debt Retired During Period Debt Payable at June 30, 1994 CONTRACT TOTAL C.0.B.A. 1964 ISSUE ------------- ------------- ------------- $ 5,510,000.00 $ 5,480,000.00 $ 30,000.00 135,000.00 105,000.00 30,000.00 ------------- ------------- ------------- $ 5,375,000.00 $5,375,000.00$ 0.00 ============= ============= ============= MATURITY DATES Semi-Annual Interest Payment Dates Annual Debt Retirement Date APR 1 - OCT 1 APR l - OCT 1 APR 1 APR l See notes to the general purpose financial statements. - 37 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30. 1994 SCHEDULE "6" AGENCY/FUNDING GOVERNMENTAL FUND TYPES GENERAL FUND SPECIAL REVENUE FUND CAPITAL PROJECTS FUND TOTAL GRANTS Education, Georgia Department of Quality Basic Education General and Career Education Programs Special Education Programs Remedial Education Program Media Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Middle School Incentive Special Instructional Assistance In-School Suspension Local Fair Share Educational Equalization Funding Grant Food Services Vocational Education Other State Programs Innovative Programs Mentor Teacher Program Preschool Handicapped Program Severely Emotionally Disturbed Supervision and Assessment of Student and Beginning Teachers and Performance-Based Certification Teachers' Retirement Lottery Programs Algebra Classrooms Computers in Classrooms Pre-Kindergarten Program $ 7,170,991.00 1,435,647.00 367,334.00 319,675.00 108,389.00 2,227,801.00 372,182.00 122,676.00 267,988.00 116,787.00 65,231.00 -1,242,981.00 1,181,885.00 $ 47,370.00 6,720.00 750.00 10,007.17 105,144.00 4,980.00 208,035.00 752,161.06 2,313.95 27,141.36 292,238.48 $7,170,991.00 1,435,647.00 367,334.00 319,675.00 108,389.00 2,227,801.00 372,182.00 122,676.00 267,988.00 116,787.00 65,231.00 -1, 242,981.00 1,181,885.00 105,144.00 47,370.00 4,980.00 6,720.00 208,035.00 752,161.06 750.00 10,007.17 2,313.95 27,141.36 292,238.48 Financing and Investment Commission, Georgia State Reimbursement on Construction Projects $5,472,231.97 5,472,231.97 OTHER Education~ Georgia Department of Reimbursement for Computer Forms 500.00 500.00 $12,578,952.17 $1,392,013.85 $5,472,231.97 $19,443,197.99 ============= ============= ============ ============= See notes to the general purpose financial statements. - 38 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF LOCAL AND OTHER REVENUE YEAR ENDED JUNE 30, 1994 SCHEDULE "7" Taxes County Wide Bond Tax County Wide School Tax Railroad Car Tax Real Estate Transfer Tax Other Antitrust Milk Settlenent Contributions to Self-Insured Employee Benefit Fund Fran Other Funds For Unemployment Canpensation For Workers' Canpensation Donations William J. Redmond and Son, Incorporated Other Indirect Cost Special Revenue Fund Interest Earned Sales Lunches and Breakfast School Assets Shared Service Contributions Dooly County Board of Education Tuition Other GOVERNMENTAL FUND TYPES FIDUCIARY --------------------------------------------------- FUND TYPE SPECIAL CAPITAL DEBT ----------- GENERAL REVENUE PROJECTS SERVICE EXPENDABLE FUND FUND FUND FUND TRUST FUNDS TOTAL ------------ ----------- ----------- ----------- ----------- ------------ $3,900,609.43 407.23 9,888.01 $ 31,257.65 77 .93 $ 31,257.65 3,900,609.43. 407.23 9,965.94 $ 1,838.24 1,838.24 $ 16,336.25 16,336.25 123,218.07 123,218.07 7,850.00 1,014.17 7,850.00 1,014.17 16,556.00 119,610.80 20,701.55 $ 7,108.69 16,556.00 1,705.51 149,126.55 193,113.13 3,209.66 2,100.00 193,113.13 5,309.66 28,645.18 28,645.18 20,190.80 20,190.80 20,148.76 40.20 20,188.96 ------------ ----------- ----------- ----------- ----------- ------------ $4,098,470.69 $246,438.30$ 7,108.69 $ 31,335.58$ 142,274.00 $4,525,627.26 ============ ========= ========== =========== ======= ========== See notes to the general purpose financial statements. - 39 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30. 1994 SCHEDULE "B" EXPENDITURES Operating Costs Salaries Employee Benefits Travel of Employees Professional and Technical Services Compensation and Travel of Board Members Water, Sewer and Cleaning Services Repair and Maintenance Services Rents Insurance Communications Commodity Hauling Shared Services Other Purchased Services Supplies Energy Food Usage Books, Textbooks and Periodicals Dues and Fees Federal Indirect Costs Other Expenditures Nonoperating Costs Principal and Interest Building and Building Improvements Equipment Total Expenditures GENERAL FUND SPECIAL REVENUE FUND TOTAL $10,BBl,571.06 $ 2,531,B76.52 $13,413,447.58 3,070,635.23 647,795.95 3,718,431.18 43,353.02 38,547.55 81,900.57 87,242.65 115,282.96 202,525.61 6,322.62 6,322.62 98,557.92 4,550.00 103,107.92 125,392.37 37,287.28 162,679.65 67,526.40 37,892.82 105,419.22 49,680.11 49,680.11 71,009.12 11,777.83 82,786.95 8,255.45 8,255.45 13,458.00 13,458.00 29,902.02 23,799.25 53,701.27 731,019.10 273,050.25 1,004,069.35 293,851.15 5,571.86 299,423.01 582,768.64 582,768.64 14B,508.87 3,277.02 151,785.89 27,826.72 10,037.40 37,864.12 16,556.00 16,556.00 10,268.79 15,322.56 25,591.35 465,207.50 465,207.50 96,668.32 96,668.32 331,238.01 210,340.13 541,578.14 ------------- ------------- ------------- $16,649,238.98$ 4,573,989.47 $21,223,228.45 ============= ============= ============= See notes to the general purpose financial statements. - 40 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT LOTTERY PROGRAMS YEAR ENDED JUNE 30, 1994 SCHEDULE "9" EXPENDITURES ------------ Operating Costs Salaries Employee Benefits Travel of Employees Professional and Technical Services Other Purchased Services Supplies Books, Textbooks and Periodicals Other Expenditures Nonoperating Costs Equipment COMPUTERS ALGEBRA IN PRE-KINDERGARTEN CLASSROOMS CLASSROOMS PROGRAM TOTAL ------------- ------------- ---------------- ------------- $ $ 27,141.36 174,453.95 $ 51,586.79 5,950.29 2,784.90 864.34 36,858.84 2,427.73 5,561.30 174,453.95 51,586.79 5,950.29 2,784.90 864.34 64,000.20 2,427.73 5,561.30 $ 2,313.95 11,750.34 14,064.29 ------------- ------------- ---------------- ------------- Total Expenditures $ 2,313.95 $ 27,141.36 $ 292,238.48 $ 321,693.79 ============= ============= ================ ============= See notes t,o the general purpose financial statements. - 41 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT FIDUCIARY FUND TYPE - EXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30. 1994 EXPENDITURES Operating Costs Awards Unemployment Compensation Claims Workers' Compensation Claims Total Expenditures SCHEDULE "10" $ 1,555.56 10,00B.52 52,270.33 $ 63,834.41 ============= See notes to the general purpose financial statements. - 42 - CRISP COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL GEI/ERAL FUND - QUALITY BASIC EDUCATION PROGRAMS YEAR ENDED JUNE 30, 1994 SCHEDULE "11" Minimum Expenditure Requirements (Total Allotment) Expenditures on Combined Program Basis Salaries Operations Less: Expenditures for Media Center Program in Excess of Total Media Allotment Expenditures for Staff Development Programs in Excess of Total Staff Development Allotment for: Cost of Instruction Expenditures per Audit Amount of Underexpenditure for Total Allotment THIRTEEN WEIGHTED AND MEDIA CENTER PROGRAMS STAFF DEVELOPMENT PROGRAM $9,293,647.00$ 108,389.00 $ 9,745,957.94 515,158.72$ 110,924.96 $10,261,116.66$ 110,924.96 -61,625.00 -20,879.60 $10,199,491.66 $ 90,045.36 $ 0.00 $ 18,343.64 ============= ============= See notes to the general purpose financial statements. - 43 - GENERAL AND CAREER EDUCATION PROGRAMS 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 SPECIAL EDUCATION PROGRAMS Regular Programs Category I (*) Category II (*) Category III (*) Category IV(*) Itinerant Supplemental Speech Sub-Total - Regular Category V (Gifted) (*) Total Special Education Programs REMEDIAL EDUCATION PROGRAM(*) MEDIA CENTER PROGRAMS ALLOTMENTS RFREOQMUIRDEEDPARTMENT OF EDUCATION TOIAL ORIGINAL ...!... ORIGINAL MID-TERM REQUIRED $ 674,566.00 90 1,903,215.00 90 $ 2,577,781.00 90 987,547.00 90 1,619,827.00 90 1,095,733.00 90 410,722.00 90 479,381.00 90 $ 607,109.40 $ 1,712,893.50 $2,320,002.90$ 888,792.30 1,457,844.30 986,159.70 369,649.80 431,442.90 $ 7,170,991.00 $6,453,891.90$ 0.00 $ 607,109.40 1,712,893.50 0.00 $ 2,320,002.90 888,792.30 1,457,844.30 986,159.70 369,649.80 431,442.90 0.00 $ 6,453,891.90 $1,343,447.00 $1,209,102.30 $ 0.00 $1,209,102.30 $1,343,447.00 90 92,200.00 90 $1,435,647.00 $ 367,334.00 90 $ 319,675.00 90 $1,209,102.30$ 0.00 $1,209,102.30 82,980.00 82,980.00 $ 1,292,082.30 $_ _ ___,:a.0.:..:.0=0 $ 1,292,082.30 $ 330,600.60 $ 0.00 $ 330,600.60 $ 287,707.50$ 0.00 $ 287,707.50 Total Thirteen Weighted and Media Center $ 91293 1647.00 $ 8,364.282.30 $_ _ _ _o_.o=o $ 8.364 7282.30 STAFF DEVELOPMENT PROGRAMS (1) Cost of Instruction Professional Development $ 36,944.80 100 $ 36,944.80$ 71,444.20 100 71 444.20 0.00 $ 36,944.80 71,444.20 Total Staff Develo1J11E!nt $ 108,389.00 $ 9,402,036.00 $ 108 389.oo $_ _ _...,o....o=o $ 108 389.00 1 1 $ 8,472,671.30 $-====-===o-=.o=o $ 8,472,671.30 (*) Identifies Thirteen Weighted Programs. Note: (1) $12,607.80 of the allotment for Professional Develo1J11ent has been transferred to Cost of Instruction as authorized by OCGA 20-2-182. See notes to the general purpose financial statements. - 44 - SCHEDULE "12" REQUIRED ALLOTMENT S~C:lilHES ACTUAL DISTRIBUTION BY RESPECTIVE PORTIONS AMOONl OF UNDEREXPENDITURE FOR REQUIRED ALLOTMENT REQUIRED ALLOTMENT o~rn~THlNS ACTUAL AMOONl OF UNDEREXPENDITURE FOR REQUIRED ALLOTMENT $ 591,605.10 $ 727,094.52 $ 15,504.30 $ 13,266.73 1,659,799.80 2,129,326.96 53,093.70 63,553.04 $2,251,404.90$ 2,856,421.48 $ 0.00 $ 68,598.00$ 76,819.77 $ 0.00 861,993.00 901,216.91 0.00 26,799.30 32,606.70 0.00 1,415,283.30 1,590,395.53 0.00 42,561.00 71,604.76 0.00 943,412.40 1,220,617.17 0.00 42,747.30 104,156.39 0.00 353,689.20 419,534.20 0.00 15,960.60 18,703.98 0.00 376,227.90 489,243.15 0.00 55,215.00 62,218.26 0.00 $6,202,010.70$ 7,477,428.44 $ 0.00 $ 251,881.20 $ 366,109.86 $ 0.00 $ 33,022.80$ 424,508.40 628,181.10 88,063.20 1,689.30 3,291.30 37,650.01 512,994.03 783,574.70 87,903.20 $ 1,662.30 $ 8,925.30 16,798.50 2,960.10 1,392.72 7,133.80 24,006.10 1,744.71 $1,178,756.10$ 1,422,121.94 $ 0.00 $ 30,346.20$ 34,277.33 $ 0.00 80,723.70 135,058.29 $ 0.00 2,256.30 5,397.47 $ 0.00 $1,259,479.80 $ 1,557,180.23 $ 32,602.50$ 39,674.80 $ 324,912.60 $ 432,690.46 $ 0.00 $ 5,688.00$ 6,732.87 $ 0.00 $ 222,858.00$ 278,658.81 $ 0.00 $ 64,849.50 $ 102,641.19 $ 0.00 $ 8,0091261.10 $ 91745,957.94 $ 0.00 $ 355,021.20 $ 5151158.72 $ 0.00 $ 8.009,261.lO $ 9,745,957.94 $-----===o...o...,o $ 36,944.80$ 71,444.20 57,824.40$ 53,100.56 0.00 18,343.64 $ 108,389.oo $ 110 1924.96 $_ _ _1_8=1-3_4..,3;,;;.6.4 $ 463,410.20$ 626,083.68 $_ _.,.1=8,=34_3...,.6.,..4 - 45 - CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS YEAR ENDED JUNE 30. 1994 SCHEDULE "13" BOARD MEMBER ADDRESS Mr. Eddie Daniels, Sr., Chairman(*) P. 0. Box 1133 Cordele, Georgia 31015 Mr. Ben Morris, Vice-Chairman(*) 1052 Georgia Highway 300 South Cordele, Georgia 31015 Dr. Bill Pannell (*) P. 0. Box 1016 Cordele, Georgia 31015 Mrs. Debbie Reyher (*) 701 East 22nd Avenue Cordele, Georgia 31015 Dr. Wayne Woodward(*) 406 East 22nd Avenue Cordele, Georgia 31015 Mrs. Gladys Wright (*) 1101 South 12th Street Cordele, Georgia 31015 COMPENSATION TRAVEL $ 300.00 $ 842.37 300.00 300.00 300.00 909.17 300.00 2,038.50 300.00 732.58 $ 1,800.00 $ 4,522.62 (*) Denotes Board Members Serving as of June 30, 1994 See notes to the general purpose financial statements. - 46 - SECTION II COMPLIANCE ClAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members of the Crisp County Board of Education 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 Crisp County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitati~n and for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements_ Except as discussed in the following paragraph, 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. We did not observe the taking of either the Federal donated commodities inventory or the purchased foods inventory at June 30, 1994, nor could we satisfy ourselves as to the accuracy of the amounts stated as inventories through alternative procedures. Compliance with laws, regulations, contracts, and grants applicable to Crisp 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. 94CRL-10 The results of our tests indicate that, with respect to the items tested, the Crisp County Board ofEducation complied, in all material respects, with the provisions referred to in the preceding paragraph. With respect to items not tested, nothing came to our attention that caused us to believe that the Board had not complied, in all material respects, with those provisions. 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. CLV:gp 94CRL-10 Claude L. Vickers State Auditor CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp County Board ofEducation SINGLE AUDIT REPORT ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS Ladies and Gentlemen: We have audited the general purpose financial statements ofthe Crisp County Board ofEducation as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitation and 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 Crisp County Board ofEducation's compliance with the following requirements applicable to each of its Federal financial assistance programs, which are listed in the Schedule of Federal Financial Assistance, for the year ended June 30, 1994: ( 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. 94CRL-50 With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the second paragraph ofthis report. With respect to items not tested, nothing came to our attention that caused us to believe that the Crisp County Board of Education had not complied, in all material respects, with those requirements. However, the results of our procedures disclosed an immaterial instance ofnoncompliance with those requirements, which is described in the Schedule ofFindings and Improper or Questioned Costs. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, CLV:gp 94CRL-50 Claude L. Vickers State Auditor CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S,W-, Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp County Board ofEducation SINGLE AUDIT OPINION ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS Ladies and Gentlemen: We have audited the general purpose financial statements of the Crisp County Board ofEducation as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitation and for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have also audited the Crisp County Board of Education's compliance with the requirements governing: (1) Types of Services Allowed or Unallowed (5) Applicable Special Tests and Provisions (2) Eligibility (3) Matching, Level ofEffort, and/or Earmarking (6) Other Requirement Claims for Advances and Reimbursements (4) Reporting These requirements are applicable to the major Federal financial assistance programs, which are identified in the Schedule ofFederal Financial Assistance, for the year ended June 30, 1994_ The management of the Crisp County Board of Education is responsible for the Board's compliance with those requirements_ Our responsibility is to express an opinion on compliance with those requirements based on our audit. 94CRL-80 Except as discussed in the following paragraph, we conducted our audit of compliance in accordance with generally accepted auditing standards; Government Auditing Standards, issued by the Comptroller General of the United States; and Office ofManagement and Budget (0MB) Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether material noncompliance with the requirements referred to above occurred. An audit includes examining, on a test basis, evidence about the Crisp County Board of Education's compliance with those requirements. We believe that our audit provides a reasonable basis for our opinion. We did not observe the taking of either the Federal donated commodities inventory or the purchased foods inventory at June 30, 1994, nor could we satisfy ourselves as to the accuracy of the amounts stated as inventories through alternative procedures. However, this matter has no affect on the Board's compliance with the requirements listed in the second paragraph ofthis report. In our opinion, the Crisp County Board ofEducation complied, in all material respects, with the requirements as disclosed in the second paragraph that are applicable to its major Federal financial assistance programs for the year ended June 30, 1994. 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 ofpublic record. aRespectfully submitted, Claude L. Vickers State Auditor CLV:gp 94CRL-80 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp 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 Crisp County Board ofEducation as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitation and 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 of the fiscal year 1994 general purpose financial statements of the Crisp County Board ofEducation and with our consideration of the Board's internal control structure used to administer Federal financial assistance programs, as required by Office of Management and Budget (0MB) Circular A128, "Audits of State and Local Governments", we selected certain transactions applicable to certain nonmajor Federal financial assistance programs for the year ended June 30, 1994. As required by 0MB Circular A-128, we have performed auditing procedures on the selected transact~ons 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 Crisp County Board of Education's compliance with these requirements. Accordingly, we do not express such an opinion. 94CRL-120 With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the second paragraph. With respect to items not tested, nothing came to our attention that caused us to believe that the Crisp County Board ofEducation had not complied, in all material respects, with those requirements. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, ~~ Claude L. Vickers State Auditor CLV:gp 94CRL-120 SECTION ill INTERNAL CONTROL CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp County Board of Education REPORT ON INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Ladies and Gentlemen: We have audited the general purpose financial statements of the Crisp County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitation and for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. Except as discussed in the following paragraph, 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. We did not observe the taking of either the Federal donated commodities inventory or purchased foods inventory at June 30, 1994, nor could we satisfy ourselves as to the accuracy of the amounts stated as inventories through alternative procedures. In planning and perfornung our audit of the general purpose financial statements of the Crisp County Board of Education for the year ended June 30, 1994, we considered the internal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide assurance on the internal control structure. The management of the Crisp 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, 94ICL-3 assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation ofgeneral purpose financial statements in accordance with generally accepted accounting principles. Because ofinherent limitations in any internal control structure, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the structure to future periods is subject to risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. For the purposes of this report, we have classified the significant internal control structure policies and procedures in the following categories: (I) Cash and Cash Equivalents (2) Investments (3) Inventories (4) Revenue/Receivables/Receipts (5) Procurement (6) Expenditures/Liabilities/ Disbursements (7) Employee Compensation (8) General Ledger (9) General Fixed Assets For all ofthe internal control categories listed above, we obtained an understanding ofthe design of relevant policies and procedures and whether they have been placed in operation, and we assessed control risk. We noted certain matters involving the internal control structure and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control structure that, in our judgment, could adversely affect the entity's ability to record, process, summarize, and report financial data consistent with the assertions of management in the general purpose financial statements. As described in the Schedule ofFindings and Improper or Questioned Costs, reportable conditions were noted in the following control categories: (I) Accounting Controls (Overall) (2) General Fixed Assets A material weakness is a reportable condition in which the design or operation of one or more ofthe specific 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 all of the reportable conditions disclosed above are also considered to be material weaknesses. 94ICL-3 These conditions were considered in determining the nature, timing, and extent of the procedures to be performed in our audit ofthe Crisp County Board ofEducation's financial statements and this report does not affect our report thereon dated February 2, 1995. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, ~ Claude L. Vickers State Auditor CLV:gp 94ICL-3 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 February 2, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Crisp 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 Crisp County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated February 2, 1995. This report was qualified for a scope limitation and for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have also audited the Crisp County Board ofEducation's compliance with requirements applicable to major Federal financial assistance programs and have issued our opinion thereon dated February 2, 1995. Except as discussed in the following paragraph, 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 ofOffice of Management and Budget (0MB) Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement and about whether the Crisp County Board ofEducation complied with laws and regulations, noncompliance with which would be material to a major Federal financial assistance program. We did not observe the taking of either the Federal donated commodities inventory or purchased foods inventory at June 30, 1994, nor could we satisfy ourselves as to the accuracy of the amounts stated as inventories through alternative procedures. In planning and performing our audit for the year ended June 30, 1994, 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 on its compliance with requirements applicable to major Federal financial assistance programs and to report on the internal control structure in accordance with 0MB 94ICL-7 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 February 2, 1995. The management ofthe Crisp County Board ofEducation is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that, assets are safeguarded against loss from unauthorized use or disposition, that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principles, and that Federal financial assistance programs are managed in compliance with applicable laws and regulations. Because of inherent limitations in any internal control structure, errors, irregularities, or instances of noncompliance may nevertheless occur and not be detected. Also, projection ofany evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. For the purpose of this report, we have classified the significant internal control structure policies and procedures used in administering Federal financial assistance programs in the following control categories: GENERAL REQUIREMENTS SPECIFIC REQUIREMENTS (1) Political Activity (2) Civil Rights (3) Cash Management (4) Federal Financial Reports (1) Types of Services Allowed or Unallowed (2) Eligibility (3) Matching, Level 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 of the design of relevant policies and procedures and determined whether they have been placed in operation, and we assessed control risk. During the year ended June 30, 1994, the Crisp County Board ofEducation expended 65% of its total Federal financial assistance under major Federal financial assistance programs. 94ICL-7 We performed tests of controls, as required by 0MB Circular A-128, to evaluate the effectiveness of the design and operation of internal control structure policies and procedures that we considered relevant to preventing or detecting material noncompliance with general requirements and specific requirements, as described above that are applicable to each of the Board's major Federal financial assistance programs, which are identified in the Schedule ofFederal Financial Assistance. Our procedures were less in scope than would be necessary to render an opinion on these internal control structure policies and procedures. Accordingly, we do not express such an opinion. We noted a certain matter involving the internal control structure and its operation that we consider to be a reportable condition under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control structure that, in our judgment, could adversely affect the Board's ability to administer Federal financial assistance programs in accordance with applicable laws and regulations. As 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 a material weakness as defined above. However, we believe that the reportable condition described above is also considered to be a material weakness. This condition was considered in determining the nature, timing, and extent of the procedures to be performed in our audit of the Crisp County Board of Education's compliance with requirements applicable to its major Federal financial assistance programs for the year ended June 30, 1994, and this report does not affect our report thereon dated February 2, 1995. 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:gp 94ICL-7 SECTION IV FINDINGS AND IMPROPER OR QUESTIONED COSTS CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30, 1994 PRIOR YEAR AUDIT FOLLOW-UP/RESOLUTION Overpayment of Salary Financial Statements Amount: $3,269.93 Audit Control Number 6401-93-01 The audit report for the year ended June 30, 1991, reported a salary overpayment of$3,269.93. No action was taken during the period under review. Appropriate action should be taken by the Board to secure reimbursement of the $3,269.93 for deposit to the Board's General Fund. AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $2,475.10 Audit Control Number 6401-93-02 The audit report for the year ended June 30, 1992, disclosed that the Staff Development Program had an underexpenditure ofQuality Basic Education (QBE) funds of $2,475.10 for the required minimum allotment. 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 $2,475.10 should be returned to the Georgia Department ofEducation through an increase in the Board's local fair share for QBE programs in a subsequent fiscal year. AUDIT FOLLOW-UP/RESOLUTION Failure to Meet Expenditure Requirements Financial Statements Amount: $14,782.75 Audit Control Number 6401-93-05 The audit report for the year ended June 30, 1993, disclosed that the Staff Development - Professional Development Program had an underexpenditure of Quality Basic Education (QBE) funds of$14,782.75 for the required minimum allotment. 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 $14,782.75 should be returned to the Georgia Department of Education through an increase in the Board's local fair share for QBE programs in a subsequent fiscal year. CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30, 1994 PRIOR YEAR AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Finding Resolved Audit Control Number 6401-93-06 The audit report for the year ended June 30, 1993, reported the Board failed to submit a copy of the 1992 audit report to the U. S. Department of Education from whom the Board received P. L. 81-874 Program (CFDA 84.041) funds. Subsequent to June 30, 1994, the Board submitted a copy of the fiscal year 1992 audit report to this agency as required. AUDIT FOLLOW-UP/RESOLUTION Inadequate Inventory Records Federal Financial Assistance Finding Resolved Audit Control Number 6401-93-07 The audit report for the year ended June 30, 1993, stated that the Board's property management records for the Elementary and Secondary Education Act - Chapter 1 - Education of Deprived Children Program (CFDA 84.010) were incomplete and failed to meet Federal property management standards. In the year under review, the Board installed a property management system which meets Federal property management standards as set forth in Chapter 8 of the Georgia Financial Accounting Handbook for Local School Systems. PRIOR YEAR/CURRENT YEAR ACCOUNTING CONTROLS (OVERALL) - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Reportable Condition - Material Weakness Audit Control Number 6401-93-03 The audit report for the year ended June 30, 1993, stated that the Board did not provide for adequate separation ofemployee duties in the performance ofaccounting functions and related procedures. For the year under review, our audit noted no improvement regarding adequate separation of employee duties. 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 of internal control with existing staff Note: Federal financial assistance programs affected by this finding are as follows: School Food Services Fund (CFDA 10.550, 10.553 and 10.555) Flint Area Psycho-Educational Program (CFDA 84.027 and 84.173) CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30, 1994 PRIOR YEAR/CURRENT YEAR GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6401-93-04 The audit report for the year ended June 30, 1993, noted that the Board did not maintain a system-wide General Fixed Assets Account Group within the formal accounting records. In the year under review, the management ofthe Crisp County Board ofEducation has chosen not 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 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. CURRENT YEAR EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $18,343.64 Audit Control Number 6401-94-01 For the year under review, the Crisp County Board of Education reported to the Georgia Department of Education on DE form 0420 "General Fund QBE Program Expenditure Summary" expenditures totaling $57,824.40 for the Staff Development - Cost of Instruction Program. A review of the underlying source documentation for the Quality Basic Education (QBE) program disclosed that the Board expended more than 15 percent ofits initial allotment offunds for Professional Development Stipends for Staff Development - Cost of Instruction Program purposes resulting in an underexpenditure of $18,343.64 for the minimum required allotment of$71,444.20 for the StaffDevelopment - Professional Development Program. This questioned cost resulted from management's reliance on incorrect information received from the Georgia Department ofEducation, resulting in a violation of Official Code of Georgia 20-2-182. These funds 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. CRISP COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30, 1994 CURRENT YEAR EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Refund Unearned Lottery Funds Financial Statements Nonmaterial Noncompliance Amount: $206.64 Audit Control Number 6401-94-02 Accounting records applicable to the Lottery Program - Computers in Classrooms reflected an unearned grant balance of$206.64 at June 30, 1994. This balance was the result of the Board receiving a purchase discount after the purchase order price had been established. Instructions pertaining to project completion reports require that unearned lottery grant balances be refunded to Georgia Department of Education. Because a completion report was not submitted to the Georgia Department ofEducation as required, personnel of the Board did not rerund this balance. Accordingly, the unearned grant balance of$206.64 should be refunded with a final program completion report to the Georgia Department of Education. AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Nonmaterial Noncompliance Finding Resolved Audit Control Number 6401-94-03 The Board failed to submit, in a timely manner, a copy of the 1993 audit report to the Office of the Governor from whom the Board received U.S. Department of Energy - Petroleum Violations Escrow Funds - Stripper Well Oil Violation funds. Paragraph 13f of 0MB Circular A-128 requires that the recipients of Federal financial assistance submit copies of single audit reports to those agencies providing Federal financial assistance. Subsequent to June 30, 1994, the Board submitted a copy ofth~ fiscal year 1993 audit report to the Office of the Governor as required. Procedures should be implemented to ensure that reports are submitted to grantor agencies in accordance with audit distribution requirements. Note: The Crisp County Board ofEducation was provided an opportunity to include pertinent comments from the Board's management concerning these audit findings, conclusions and recommendations. The Board has elected not to provide comments for inclusion in this report.