G.q ABOo ,Rl [;U,, E3 /'113 -9 STATE OF GEORGIA DEPARTMENT OF AUDITS 254 WASHINGTON STREET ATLANTA. GEORGIA 30334 AUDIT REPORT ELBERT COUNTY BOARD OF EDUCATION ELBERTON,GEORGIA YEAR ENDED JUNE 30, 1994 ELBERT COUNTY BOARD OF EDUCATION -TABLE OF CONTENTS- SECTION I FINANCIAL INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE EXHIBITS GENERAL PURPOSE FINANCIAL STATEMENTS COMBINED STATEMENTS- OVERVIEW A COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUP 2 B COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUND TYPES 4 C COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -ACTUAL AND BUDGET GOVERNMENTAL FUND TYPES 5 D COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUNDS 6 E COMBINED STATEMENT OF CASH FLOWS FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUNDS 7 F NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 8 ADDITIONAL FINANCIAL INFORMATION COMBINING STATEMENTS SPECIAL REVENUE FUND G COMBINING BALANCE SHEET 20 H COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 22 FIDUCIARY FUND TYPE COMBINING BALANCE SHEET 25 ELBERT COUNTY BOARD OF EDUCATION - TABLE OF CONTENTS - SECTION I FINANCIAL ADDITIONAL FINANCIAL INFORMATION SCHEDULES 1 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 26 2 ANALYSIS OF CASH AND CASH EQUIVALENTS 28 3 ACCOUNTS RECEIVABLE 29 SCHEDULE OF REVENUE 4 STATE FUNDS 30 5 LOCAL AND OTHER FUNDS 31 SCHEDULE OF EXPENDITURES BY OBJECT 6 GOVERNMENTAL FUND TYPES 33 7 LOTTERY PROGRAMS 34 ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS GENERAL FUND- QUALITY BASIC EDUCATION PROGRAMS 8 OVERALL 37 9 BY PROGRAM 38 10 SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS 40 SECTION II COMPLIANCE COMPLIANCE REPORT BASED ON AN AUDIT OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS SINGLE AUDIT REPORT ON COMPLIANCE WITH THE 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 ELBERT 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 SECTIONV PERTINENT VIEWS OF RESPONSIBLE OFFICIALS SCHEDULE OF PERTINENT VIEWS OF RESPONSIBLE OFFICIALS 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 June 30, 1995 Honorable Zell Miller, Governor Members ofthe General Assembly Members of the State Board ofEducation and Superintendent and Members of the Elbert 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 F) of the Elbert County Board ofEducation, 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. We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards issued by the Comptroller General of the United States, and the provisions of the Office of Management and Budget Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. As described in the notes to the general purpose financial statements, the Board's financial statements have been prepared using certain accounting practices and policies which, in our opinion, vary in some respects from generally accepted accounting principles. These variances are described as follows: * The general purpose financial statements of the Board did not contain a General Fixed Assets Account Group to account for property and equipment owned by the Board which should be included to conform to generally accepted accounting principles. 94ARL-13 * School activity accounts maintained at the individual schools are not included in the general purpose financial statements. To conform to generally accepted accounting principles, these accounts should be included in the general purpose financial statements. * The Board did not recognize as expenditures, in the year ended June 30, 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 ofEducation for the State's share ofthese unrecorded salaries and related benefits were not recorded as revenue in the year under review. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 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 on the general purpose financial statements ofthe matters referred to in the preceding paragraph, the general purpose financial statements present fairly, in all material respects, the financial position of the Elbert County Board of Education as of June 30, 1994, and the results of its operations and the cash flows of its nonexpendable trust funds for the year then ended, in conformity with generally accepted accounting principles. Our audit was conducted for the purpose offorming an opinion on the general purpose financial statements of the Elbert County Board ofEducation taken as a whole. The combining statements (Exhibits G through I) and the financial schedules (Schedules 1 through 10 which includes the Schedule of Federal Financial Assistance) are presented for purposes ofadditional analysis and are not a required part of the general purpose financial statements of the Elbert 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 effects of the matters referred to in the third paragraph, such information is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. A copy ofthis report has been filed as a permanent record in the office of the State Auditor and made available to the press of the State, as provided for by Official Code of Georgia Annotated Section 50-6-24. Respectfully submitted, d~~ Claude L. Vickers State Auditor CLV:djf 94ARL-13 ELBERT COUNTY BOARD OF EDUCATION - 1- ELBERT COUNTY BOARD OF EDUCATION COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUP JUNE 30 1994 ASSETS Cash and Cash Equivalents Accounts Receivable Inventories Food Donated Commodities Purchased Food Amount to be Provided in Future Years For Payment of Capital Lease Agreements Total Assets GOVERNMENTAL FUND TYPES SPECIAL CAPITAL GENERAL REVENUE PROJECTS FUND FUND FUND $ 755,366.62 $ 315,424.53 $ 105.13 55,311.39 189,230.57 19,568.53 12,912.08 $ 810,678.01 $ 537135.71 $ 105.13 LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable Salaries Payable Expired Grant Balances Payable Deferred Revenue Capital Lease Agreements Total Liabilities FUND EQUITY Fund Balances Reserved For Bus Replacement Funds For Continuation of Federal Programs For Endowment Corpus For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities Purchased Food For State Capital Outlay Projects Unreserved Undesignated Total Fund Equity Total Liabilities and Fund Equity $ 11.31 $ 26,082.42 135,744.56 7,143.35 21,335.14 3,202.41 $ 7,154.66 $ 186,364.53 $ 1,869.39 $ 11,703.93 19,568.53 12,912.08 $ $ 1,869.39 $ 44,184.54 $ 801,653.96 306,586.64 $ 803,523.35 $ 350,771.18 $ $ 610 676.01 $ 537 135.71 $ 105.13 105.13 0.00 105.13 105.13 The notes to the general purpose financial statements are an integral part of this statement. -2 - EXHIBIT"A" FIDUCIARY FUND TYPES TRUST FUNDS $ 17,637.54 871.88 ACCOUNT GROUP GENERAL LONG-TERM DEBT TOTALS (Memorandum Onlll JUNE 30, 1994 JUNE 30, 1993 $ 1,088,533.82 $ 832,434.29 245,413.84 166,794.95 19,568.53 12,912.08 25,342.70 12,095.48 $ 194,913.98 194,913.98 224,154.03 $ 18 509.42 $ 194913.98 $ 1,561,342.25 $ 1,260,821.45 $ 1,000.00 $ 27,093.73 $ 29,810.52 135,744.56 137,210.56 28,478.49 683.61 3,202.41 $ 194,913.98 194,913.98 224,154.03 $ 1,000.00 $ 194,913.98 $ 389,433.17 $ 391,858.72 $ 15,262.43 $ 15,262.43 2,246.99 $ 17,509.42 $ $ 15,262.43 13,573.32 19,568.53 12,912.08 105.13 $ 61,421.49 $ 1,110,487.59 $ 1,171,909.08 $ 1,172.00 4,000.00 15,229.60 1,952.86 25,342.70 12,095.48 105.13 59,897.77 809,064.96 868,962.73 $ 18 509.42 $ 194,913.98 $ 1,561,342.25 $ 1,260,821.45 -3- ELBERT COUNTY RQAAD OF EDUCATION CQMBINFP STATfMf;NI Of BE\/ENUFS EXPENDITURES ANP CHANGES IN FUND BAI ANCES GOYEBNMENTAl FUND nPES YEAR ENPEP JUNE :3Q 1994 EXHIBIT"B" ~ Slate Fund& Federal Fund& Local and Other Fund& TOlal Revenues EXPENDmJRES Cum,nt lnatruction Support Services Pup;I Services Improvement ol lnstroctlonal Services Educational Media Semces General Administration School Administration Busine&& Administration Maintenance and Operation of Plant Student Transpoftation Services Central Support Services Olher Support Services Food Services Operation Community Services -Other Operations of NorMnstructional Services Capital Outlay DebiPrincipal Total Expenditures ex.es. ol Revenues"""' (u_,) Expenditures Qil:IFB El~~INg $~RQE2 CY.1;) Capital leases Operating Transfers ln Operating Tninslen, Qui Total Other Financing Sources (Uses) Excess of Revenues and Other Financing Sources ewer (under) Expenditures and Other Financing Uses FUNP BAI ANC'!E JULY 1 Food Inventory- Net Change in Period Donated Commodities Pun:hased Food GENERAi. FUND SPECIAL REVENUE FUND CAPITAL PROJECTS FUND TOTALS 10,754,568.10 $ 117,070.53 3104 837.16 410,528.84 $ 1,833,542.90 474 807.62 13 976475.79 $ 2 718 879.36 $ 0.00 $ 11,165,096.94 $ 1,950,613.43 3 579 644.78 10,461,935.52 1,874,809.61 3 404 921.09 0.00 $ 16695355.15 $ 15 741 666.22 9,105,669.33 $ 994,052.35 $ 320,162.09 290,822.05 374,123.79 235,904.78 1,053,139.93 n,194.72 1,190,165.33 742,767.45 28,298.52 86,617.19 2,478.27 195,241.65 41,150.30 16,231.26 62,914.83 30,198.39 962.98 3,143.00 193,563.76 1,256,874.12 23,449.40 87,311.30 32 166.18 13 823 062.58 $ 2 622 540.39 $ 153413.21 $ 96338.97 $ 0.00 $ 10,099,721.66 $ 9,606,584.51 361,312.39 307,053.31 374,123.79 298,819.81 1,053,139.93 n,194.72 1,220,363.72 743,730.43 31,441.52 280,180.95 1,256,874.12 2,478.27 196,241.65 23,449.40 449,547.13 245,388.64 366,303.08 407,029.33 1,071,385.67 74,734.67 1,079,325.81 662,266.90 85,844.66 103,735.26 1,122,570.84 1,584.67 189,636.25 35,678.11 87,311.30 32166.18 0.00 $ 16 445 602.97 $ 15 541 617.55 0.00 $ 249 752.18 $ 200 048.67 58,071.25 58071.25 211,484.46 $ 592,038.89 96,338.97 S 259,389.78 .s,n4.17 816.60 0.00 $ 105.13 58,071.25 $ 58071.25 $ 307,823.43 $ 851,533.80 -s.n.11 816.60 3,233.02 -3~33.02 0.00 200,048.67 614,046.95 25,342.70 12 095.48 FUNP BA.l ANCE JUNE 3n 803 523.35 $ 350n1.18 $ 105.13 $ 1154 399.66 $ 851 533.80 The notes to the general purpose financial statements are an integral part of this statement. -4- l;Ll;BI rQ!.!ND'.: ~BBQ OF EQ!.!QATIQN ~a[N1;12 IA!EMl;tf! QE B~l;N~~I;~ 1;25Pl;~QIT!:!RI; AHQ ~JjBN~I;~ IN F~JNQ aBLBN~J; 6QI!.!BL AHQ ~!:!~l:I - ~Q~l;RNMl;HTBL E!.!tiQ :r::t:EJ; Yl;AR ENPEP J!.!NE 30 1994 EXHIBIT"C- ACTUAL PER EXHIBIT"B" ADJUSTMENTS ACTUAL PER BUDGET BASIS BUDGET VARIANCE FAVORABLE !UNFAVORABLE) ~ State Funds F-Funds Loc:al and Other Funds 11,165,096.94 $ 1,950,613.43 3,579 644.78 0.00 $ 11,165,096.94 $ 11,438,217.54 $ 1,950,613.43 1,940,063.43 3 579,644.78 3,222 080.00 -273,120.60 10,550.00 357,564.78 Total Revenues 16,695,355.15 $ 0.00 $ 16,695,355.15 $ 16 600,360.97 $ 94,994.18 EieEMClnJRES Current Instruction SupportSelvices Pupil Selvices Improvement of Instructional Services Edueational Media Servioes General Administration Schoot Administration Business Administration Maintenance and Operation of Plant Student Trall$pOl'tation Services Central Support Selvices Other Support Services Food Services Operation Community Services Other Operations of Non-lnstnlotional Servioes Capital Outlay lloblService 10.099,n1.68 $ 361,312.39 307,053.31 374,123.79 298,819.61 1,053,139.93 77,194.n 1,220,363.n 743,730.43 31,441.52 280,180.95 1,256,874.12 2,478.27 196,241.65 23,449.40 119,477.48 0.00 $ 10,099.n1 .68 $ 10,426,233.56 $ 361,312.39 307,053.31 374,123.79 298,819.61 1,053, 139.93 77,194.n 1,220,363.n 743,730.43 31,441.52 280,180.95 1,256,874.12 2,478.27 196,241.65 23,449.40 119,477.48 364,920.19 349,688.21 519,641.80 338,351.78 1,036,616.65 80,086.40 1,214,108.42 916,918.33 31,366.52 378,672.27 1,141,852.00 3,150.00 204,278.98 21,170.00 326,511.88 3,607.80 42,634.90 145,518.01 39,532.17 -16,523.28 2,891.68 -6,255.30 173,187.90 -75.00 98,491.32 -115,222.12 671.73 8,037.33 -2,279.40 -119,477.48 T'"81 Expenditures $ 16,445,602.97 $ 0.00 $ 16,445,602.97 $ 17,026,855.11 $ 581,252.14 Exl:ess of R......,ues over (under) Expenditures 249,752.18 $ 0.00 $ 249,752.18 $ --426,494.14 $ 676,248.32 QIHEB FINAH~ING SQUR~E (Y~l;l Other Sources Other u... $ 58,071.25 $ 0.00 $ 58,071.25 $ 67,905.00 $ -67,905.00 -8,833.75 67,905.00 Tatal Other Fmancing Sources (Uses) 56,071.25 $ 0.00 $ 56,071.25 $ 0.00 $ 56,071.25 Excess d Revenues and other Financing Sources over (under) Expenditures and other Financing Uses 307,823.43 $ 0.00 $ 307,823.43 $ --426,494.14 $ 734,317.57 EY~Cl lle,Ll,NQ~ JYLY 1 1993 851,533.80 -37,438.18 814,095.62 829,834.n -15,739.10 ACY!.!filMl;~I 0.00 0.00 16,088.11 -16,088.11 EQQQ IM~EHTQRY - NE! ~1:tAN~E IN PEBIQP Donated Commodities Purchased Food -5,774.17 5,774.17 0.00 0.00 816.60 -816.60 0.00 0.00 F!JHQ M~~~E JUN~~ l ~ $ 1,154,399.66 $ -32,480.61 $ 1,121,919.05 $ 419,428.69 $ 702,490.36 The notes to the general purpose financial statements are an integral part of this statement. -5- ELBERT COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES EXPENSES AND CHANGES IN FUND BALANCES FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30 1994 EXHIBIT "D" OPERATING REVENUES None Recorded OPERATING EXPENSES Current Scholarships Operating Income (Loss) NONOPERATING REVENUE Interest Earned Total Income (Loss) FUND BALANCE JULY 1 ADJUSTMENTS Initial Contribution by Benefactor Reimbursement of Prior Year Award ENDOWMENT FUNDS JOHN OLIN JULIA COHEN VICKERY WOLFE SCHOLARSHIP SCHOLARSHIP FUND FUND TOTALS (Memorandum Onli) YEAR ENDED JUNE 30, 1994 JUNE 30, 1993 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 500.00 $ 300.00 $ 800.00 $ 800.00 $ -500.00 $ -300.00 $ -800.00 $ -800.00 547.66 $ 47.66 $ 12,199.33 182.83 -117.17 $ 5,229.60 730.49 -69.51 $ 17,428.93 2,828.93 2,028.93 0.00 150.00 150.00 15,400.00 F!,!ND BALANCE JUNE 30 $ 12,246.99 $ 5,262.43 $ 17,509.42 $ 17,428.93 The notes to the general purpose financial statements are an integral part of this statement. -6- ELBERT COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF CASH FLOWS FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUNDS YEAR ENDED JUNE 30 1994 EXHIBIT "E" ENDOWMENT FUNDS JOHN OLIN JULIA COHEN VICKERY WOLFE SCHOLARSHIP SCHOLARSHIP FUND FUND TOTALS (Memorandum Only) YEAR ENDED JUNE 30, 1994 JUNE 30, 1993 Cash Flows from Operating Activities: Cash Paid for Scholarships $ _ _ _ _.=.0."'00.c. $ -450.00 $ -450.oo $ _ _ _---=o'-'.oo=- Net Cash Provided (Used) by Operating Activities $ _ _ _ _,::0-:.=00=.. $ -450.00 $ -450.oo $ _ _ _---=o.:.:.oo=- Cash Flows from Noncapital Financing Activities: Initial Contnbution by Benefactor 15,400.00 Cash Flows from Investing Activities: Interest Received on lnvestmen1s 295.15 $ 295.15 $ _ _...;2::.,392=.:.:39:::. Net Increase (Decrease) in Cash 0.00 $ -154.85 $ -154.85 $ _ _-'-17'-',7'-'92=.39=- Cash and Cash Equivalents - July 1 12,392.39 $ 5,400.00 $ 17,792.39 $ _ _ _--'o"'.oo"'" Cash and Cash Equivalents - June 30 12,392.39 $ 5,245.15 $ 17,637.54 $ _ _..;.17.;.:,_79_2_.39;;;. The notes to the general purpose financial statements are an integral part of this statement -7- ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Elbert County Board ofEducation (Board) was established under the laws of the State of Georgia and operates under the guidance of a school board and Superintendent, both elected by the voters. With the exception of the departures from generally accepted accounting principles disclosed in the following paragraphs, the financial statements of the Board have been prepared in conformity with generally accepted accounting principles as applied to government units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting standards. The more significant ofthe Board's accounting policies are described below. REPORTING ENTITY In evaluating how to define the government unit for financial reporting purposes, management has considered the criteria set forth in GASB Codification of Governmental Accounting and Financial Reporting Standards, Section 2100, "Defining the Financial Reporting Entity". The primary government consists of all the organizations that compose the legal entity of the Elbert County Board of Education. Based upon the application of the above criteria, the Elbert County Board ofEducation is determined to be the lowest level of government exercising oversight responsibility and control over all activities related to public education in Elbert County, Georgia. The Board is not included in any other governmental "reporting entity" as defined by GASB Codification of Governmental Accounting and Financial Reporting Standards. Board members were elected by the public and have decision making authority, the power to designate management, except for the Superintendent who was also elected, the ability to significantly influence operations, and primary accountability for fiscal matters. The Board determines the millage rate at which school taxes are levied and may incur bonded indebtedness with voter approval. FUND ACCOUNTING The Board uses funds and an account group to report on its financial position and the results ofits operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities. A fund is a separate accounting entity with a self-balancing set of accounts. An account group is a financial reporting device designed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect expendable available financial resources. General Fixed Assets are recorded as expenditures in the various funds at the time of purchase. A General Fixed Assets Account Group is not presently maintained by the Board. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types. - 8- ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" 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 confollD to generally accepted accounting principles, these accounts should be recorded in the general purpose financial statements. The general purpose financial statements account for all State, Federal, Local and Other Funds under control ofthe Board, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. Funds and the account group presented in this report are as follows: GOVERNMENTAL FUND TYPES - are used to account for all or most ofa Board's general activities. Governmental Fund Types include: GENERAL FUND - the fund used to account for all financial resources ofthe Board except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services 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 State Financing and Investment Commission project No. 88-652-060 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: NONEXPENDABLETRUSTFUNDS John Olin Vickery Scholarship Fund and the Julia Cohen Wolfe Scholarship Fund - the funds used to account for endowments of which the corpus is to be invested and preserved intact with the resultant income to be used to provide awards to High School Students for future education. - 9- ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES ACCOUNT GROUP GENERAL LONG-TERM DEBT ACCOUNT GROUP - used to account for material capital lease obligations. BASIS OF ACCOUNTING The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets. Their reported fund balance is considered a measure of available spendable resources. 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. All nonexpendable trust funds are accounted for on a flow of economic resources measurement focus. With this measurement focus, all assets and liabilities associated with the operation of these funds are included on the balance sheet. Operating statements present increases (e.g., revenues) and decreases (e.g., expenses) in net total assets. Governmental funds are accounted for using the modified accrual basis ofaccounting under which: Revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount ofthe transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities 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 fund the State's share of these contracts were disbursed from the Georgia Department of Education to the - 10 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATE:MENTS JUNE 30 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 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. The accrual basis of accounting, as required by generally accepted accounting principles, is utilized by nonexpendable trust funds. Under the accrual basis of accounting, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. BUDGET The Elbert County Board of Education 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 ofgeneral circulation in the locality. At the next regular meeting of the Board after advertisement, the Board receives comments on the tentative budget, makes revisions as necessary and adopts a final school budget. This final budget is then submitted, in accordance with provisions of the Quality Basic Education Act, OCGA Section 20-2-167, to the Georgia Department of Education. The Board 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 savings accounts) in authorized financial institutions. Georgia Laws authorize the Board to deposit its funds in one or more solvent banks, insured Federal savings and loan associations, or insured State chartered building and loan associations. The placement of proceeds from bond issues in certificates of deposit is limited to financial institutions located within this State. - 11 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 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 Elbert County Board of Commissioners fixed the property tax levy for the 1993 tax year (calendar year) on September 13, 1993 (levy date). Taxes were due on December 20, 1993. 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 Elbert County Tax Commissioner bills and collects the property taxes for the Board of Education, withholds 2.5% of taxes collected as a fee for tax collection, and remits the balance of taxes collected to the Board. The tax millage rate levied for the 1993 tax year (calendar year) for the Elbert County Board ofEducation was as follows (a mill equals $1 per thousand dollars of assessed value): School Operations .1.U.6 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. INTERFUND TRANSACTIONS The Board has the following type ofinterfund transactions: Reimbursements of expenditures/expenses initially made from a fund that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses in the fund that is reimbursed. - 1.2 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES MEMORANDUM ONLY - TOTAL COLUMNS Total columns on the general purpose financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of operations or cash flows 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 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 ofnot less than 110 percent ofthe public funds being secured afler 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 Deposit Insurance Corporation, (3) Bonds, bills, notes, certificates of indebtedness or other direct obligations of the United States or of the State of Georgia, (4) Bonds, bills, notes, certificates ofindebtedness or other obligations ofthe 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 ofthe bonds for this purpose, (6) Industrial revenue bonds and bonds of development authorities created by the laws ofthe State of Georgia, and - 13 - ELBERT COUNTY BOARD OF EDUCATION EXIIlBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE30 1994 Note 2: DEPOSITS (7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest and debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association. CATEGORIZATION OF DEPOSITS At June 30, 1994, the bank balances were $2,366,190.34. The amounts of the total bank balances are classified into three categories of credit risk: Category 1 - Cash that is insured (e.g., Federal depository insurance) or collateralized with securities held by the Board or by the Board's agent in the Board's name. Category 2 - Cash collateralized with securities held by the pledging financial institution's trust department or agent in the Board's name. Category 3 - Uncollateralized deposits. (This includes any bank balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Board's name.) The Board's deposits are classified by risk category at June 30, 1994, as follows: Risk Category 1 2 3 Total Note 3: NON-MONETARY TRANSACTIONS Bank Balance $ 212,392.39 2,153,797.95 0.00 $2 366190 34 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 Unemployment Compensation. Estimated claims are budgeted by management based on known claims and prior experience. Each fund contributes their pro rata share to the General Fund to cover Unemployment Compensation claims made during the fiscal year. During fiscal year 1994, a total of$1,053.00 was paid in claims. - 14 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 5: GENERAL LONG-TERM DEBT CAPITAL LEASES The Elbert County Board ofEducation has entered into various lease agreements as lessee for the purchase ofschool buses and office equipment. These lease agreements qualify as capital leases for accounting purposes and, therefore, have been recorded at the present value of the future minimum lease payments as of the date of their inception. The changes in General Long-Term Debt during the fiscal year ended June 30, 1994, were as follows: Capital Leases Balance July 1, 1993 $ 224,154.03 Additions 58,071.25 Deletions 87311.30 Balance June 30, 1994 $ 124 913 28 At June 30, 1994, payments due, by fiscal year which includes principal and interest for these items: Fiscal Year Ended June 30 Capital Leases 1995 1996 1997 1998 1999 $ 131,709.23 80,194.23 29,356.20 29,356.20 12 231.75 Total Principal and Interest $ 282 847.61 Deduct: Imputed Interest $ 87 933.63 Net Present Value ofFuture Minimum Lease Payments $ 124 213 98 - 15 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE30 1994 Note 6: SIGNIFICANT COMMITMENTS At June 30, 1994, the Board had encumbrances in the amount of$247,342.70 for the unperformed portion of purchase orders, contracts and other commitments for goods and services associated with the Lottery Programs. Lottery funds in the amount of $247,314.70 are available to fund these encumbrances. Encumbrances outstanding do not constitute expenditures or liabilities in the current year because these commitments will be honored during the subsequent fiscal year. These encumbrances are identified by Lottery Program as follows: Computers in Classrooms Distant Learning Media Center and Library Equipment Safe Schools (GPTC) Distant Leaming $ 70,564.00 5,941.00 104,286.29 63,349.00 3 202 41 $ 247 342 70 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 disaJlowed under grant terms. The Board believes that such disallowances, if any, will be immaterial to its overall financial position. Note 8: RETIREMENT PLANS TEACHERS RETIREMENT SYSTEM OF GEORGIA (TRS) TRS PLAN DESCRIPTION Substantially all teachers, administrative and clerical personnel employed by local school systems are covered by the Teachers Retirement System of Georgia (TRS), which is a cost-sharing multiple employer public employee retirement system (PERS). TRS provides service retirement, disability retirement and survivors benefits for its members. A member is eligible for service retirement after 30 years of creditable service, regardless of age, or after 10 years of service and attainment of age 60. A member is eligible for early retirement after 25 years of creditable service and attainment of age 55, at a reduced benefit. Retirement benefits paid to members are equal to 2% of the average of the member's two consecutive highest paid years of service multiplied by the number ofyears 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. - 16 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 8: RETIREMENT PLANS 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 ofemployer contributions occurs, but the member's contributions are refunded with interest. The Board's payroll for employees covered by TRS for the year ended June 30, 1994, was $9,308,274.65; total payroll was $10,572,221.59. 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 ofreturn on investments) was 7.50%. Total contributions made during fiscal year 1994 amounted to $1,657,803.85, ofwhich $1,099,308.72 was made by the Board and $558,495.13 was made by employees. These contributions represented 11.81% (Board) and 6% (employees) of covered payroll. TRS FUNDING STATUS AND PROGRESS The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No. 5 ofthe Governmental Accounting Standards Board (GASB) that, with some exceptions, must be used by a PERS. The standardized measurement is the actuarial present value of credited projected benefits. This valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date, and is adjusted for the effects of projected salary increases. A standardized measure ofthe pension benefit obligation was adopted by the GASB to enable readers of PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among other PERS and among other employers. Total unfunded pension benefit obligation ofTRS as ofJune 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 - 17 - ELBERT COUNTY BOARD OF EDUCATION EXHIBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 8: RETIREMENT PLANS 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 $1,099,308.72 was actuarially determined and represented .2108% oftotal 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. PSERS provides service retirement, disability retirement and survivors benefits for its members. A member is eligible for normal service retirement after 10 years ofservice and attainment of age 65. A member applying for service retirement with 10 years of service and retires between the ages of60 and 65 receives a reduced benefit. Monthly retirement benefits paid to members are equal to $8.00 per month multiplied by the number 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 ofthe 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 107 employees covered under PSERS for the year ended June 30, 1994. - 18 - ELBERT COUNTY BOARD OF EDUCATION EXIIlBIT "F" NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS JUNE 30 1994 Note 8: RETIREMENT PLANS 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 $3,732.00. 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 9: SURETY BONDS The School Superintendent, Mr. Frank Griffith, is bonded in the amount of$10,000.00 with the United States Fidelity and Guaranty Company, Baltimore, Maryland, their Bond No. 02-0170-10201-93-8, on which premium was paid through January 1, 1995. - 19 - ELBERT COi JNTV BQARQ OF fQUCATIQN COMBINING RA! ANCE SHEET SPECIAL REYfNl If FUND JUNE 30 1994 ~ Cash and Cash Equivalents Accounts Receivable lnvemooes Food Donated Commodities Purchased Food ELEMENTARY SCHOOL FOOD SERVICES ~ ADULT ~ LOTTERY PROGRAMS DRUG-FREE SCHOOLS ANO COMMUNmES ACT CHAPTER 1 EDUCATION OF DEPRIVED CHILDREN $ 313,296.26 $ 723.49 2,187.78 17,504.01 30,557.85 $ 9,148.59 81,906.29 19,568.53 12 912.08 Total Assets 9148.59 $ 84094.07 I lABfl lTIES ANQ Fl JNQ EQUITY llill!l.!IlE cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Deferred Revenue Total Liabilities Elllill.mill!r Fund Balances Re&eNed For Continuation cl Federal Programs For Expired Grant Balanoes/Ouestioned Coats For lrwentones Food Donated Commodities Purchased Food Unreserved Undesignated Total Fund Equity 3,867.57 58,507.58 $ 11,131.70 $ 723.49 16,223.74 ~ 6,308.96 352.94 $ 1,337.32 1,149.37 17,804.15 65,514.84 11.43 9 148.59 $ 83 330.42 19,568.53 12 912.08 32,480.61 268425.12 $_________Q;QQ_$______QJm..$ _ _ _~0=.00~ $ 300905.73 S_________Q;QQ_S_________Q;QQ_S _ _ _~0=.00~$ 763.65 763.65 0.00 763.65 Total Liabilities and Fund Equity 9 148.59 $ 84 094.07 See notes to the general purpose financial statements EXHIBlT''G" AND SECONDARY EDUCATION A<::r TITLE 11 INDIVIDUALS WITH EISENHOWER OJSABILlTIES EDUCATION ACT MATHEMATICS TITLE VI B AND SCIENCE FOREIGN FLOW PRESCHOOL EDUCATION LANGUAGES ~ PROGRAM JOB TRAINING PARTNERSHIP ACT ENVIRONMENTAL FAMILY EDUCATION CONNECTION TOTALS ACT ~ JUNE30 1994 JUNE30 1993 20,394.42 $ 0.00 34,903.59 $ 371,505.54 $ 256,341.12 6,366.10 $ 22,964.28 4,988.44 8,309.97 $ 1,000.00 6,485.04 189,230.57 130,949.62 6366.10 s 22964.28 s 25382.ae s---2-22.s 8 309.97 $ 19,568.53 12 912.08 25,342.70 12 095.48 424 728.92 6,366.10 $ 22,964.28 $ 4,057.76 10,384.82 6366.10 $ ~ $ 14442.58 8,309.97 $ 8 309.97 $ 1,000.00 3,227.11 56,081.01 26,082.42 $ 135,744.56 21,335.14 ~ 1 000.00 $ ~ $ 242 445.54 $ 27,444.97 137,210.56 683.61 165 339.14 10,940.28 $ 11,703.93 4,000.00 10,940.28 _ _ __,o=.oo=s~ ______QQQ_S______Q:2,Q_S _ _~o=.00=$_ _ __,o=.oo=s _ _ __,o=.oo=s~s 10940.28 s______Q:2,Q_s _ _~o=.oo~s _ _ _...,o=.oo=s 19,568.53 25,342.70 12 912.08 ------'1""2""09""5"'.48~ 44,184.54 $ 41,438.18 38161.52 306586.64 38161.52 s 350771.18 s 217 951.60 259 389.78 6366.10 $ 22964.28 S 25382.86 S--2..QQ.S 8 309.97 $ 1 000.00 $ 41 388.63 $ 593 216.72 $ 424 728.92 -21 - El RfRT CQI INIY RQABQ Of EQI JCATIQN CQMEW>JING STATfMfNT Of RfVfNI If$ fXPfNpm JRf ANQ CHANGES 1N Ft JNP RA! ANCES PfCIAI Rf\{ENtJf FlJNQ Y!;AR EN PEP It JNF go 1 Q94 SCHOOL FOOD SERVICES FUND ADULT EDUCATION LOTIERY PROGRAMS DRUG-FREE SCHOOLS AND COMMUNITIES ACT ELEMENTARY CHAP1ER1 EDUCATION OF DEPRIVED CHILDREN State Funds Federal Funds Local and Other Funds Total Revenues EXPfNQITURES current Instruction Support Services Pup,ISe!vices I m ~ of ln&tfuctional Services Educational Media Services General Administration Maintenance and Operation of Plant student Transportation .Services Central Support Services other Support Services Food Se!vices Operation Capital outlay Total Expenditures Excess rl Revenues over (under) Expenditures OJHER FINANCING SQLJRCf Operating Transfers In Excess of Revenues and Other Financing Sources a.ier (under) Expenditures AJNP RAI ANCf ll ll Y 1 Food lrr.ientoly- Net Change in Period Donated Commodities PulChasedFood RJND BALANCE JUNE 30 83,994.00 799,765.36 $ 423 588.28 $ 1 307 347.64 $ $ 33,733.89 1 957.07 35 690.76 $ 226,801.24 $ 226 801.24 $ 36,124.36 $ 36124.36 $ 678,213.53 678 213.53 35,690.76 $ 152,492.12 $ 39,975.81 2,217.57 $ 1,256,874.12 30,198.39 962.98 954.37 $ 1256874.12 $ 50,473.52 $ 35 690.76 $ 0.00 S 226 801.24 $ 0.00 $ 15,536.80 $ 17,444.56 3,143.00 36124.36 $ 0.00 $ 583,504.49 1,174.49 2,325.51 45,002.08 21,993.91 23 449.40 677 449.88 763.65 50,473.52 $ 255,389.78 -5,774.17 816.60 0.00 $ 0.00 0.00 $ 0.00 0.00 $ 0.00 763.65 0.00 300 905.73 s_____o_.oo_s _____o_.oo_s _ _ _..;o_.oo_s ______1,_63_.65_ See notes to the general purpose financial statements -22- EXHIBIT"H' AND SECONDARY EDUCATION Ac:r TITLE II INDIVIDUALS WITH EISENHOWER DISABILITIES EDUCATION Ac:r MATHEMATICS TITLE VI 8 ANO SCIENCE FOREIGN FLOW PRESCHOOL EDUCATION ~~~ JOB TRAINING PARTNERSHIP ACT ENVIRONMENTAL FAMILY TOTALS EDUCATION CONNECTION YEAR ENDED ACT ~ JUNE30 1994 JUNE30 1993 11,688.18 S 49,452.68 $ 113,439.08 $ 28,197.00 $ - - - - 10940.28 - - - - 11688.18 $ 49452.68 $ 124379.36 $ 28197.00 $ 60,629.45 $ $ 1,000.00 ____,== 60629.45 $ _ _ 1000.00 $ 99,733.60 $ 410,528.84 $ 21,299.57 1,833,542.90 38 321.99 474 807.62 159355.16 $ 2718879.36 $ 126,055.39 1,819,862.26 514 800.83 2 460 718.48 $ 49,452.68 $ 87,559.24 $ 9,655.00 $ 11,688.18 25,879.84 18,542.00 0.00 $ 0.00 S 10,940.28 $ 0.00 $ 60,161.26 $ 994,052.35 $ 891,672.39 41,150.30 16,231.26 468.19 5,000.00 $ $-------"== 60629.45 5 000.00 $ 121,193.64 62,914.83 30,198.39 962.98 3,143.00 193,563.76 1,256,874.12 23 449.40 121193.64 $ 2 622 540.39 $ 0.00 $ -4,000.00 $ 38,161.52 $ 96,338.97 $ 135,414.47 12,066.33 30,738.95 66,133.83 1,599.09 30,535.96 66,287.01 1,118,450.07 25 014.00 2 377 912.10 82,806.38 ---- ---- ---- ---- 3 233.02 0.00 $ 0.00 0.00 $ 0.00 10,940.28 $ 0.00 0.00 $ 0.00 0.00 $ 0.00 -4,000.00 S 4,000.00 38,161.52 $ 0.00 96,338.97 $ 259,389.78 86,039.40 135,912.20 -5,774.17 816.60 25,342.70 12 095.48 0.00 $ 38161.52 $ 350771.18 $ 259 389.78 -23- ELBERT COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET FIDUCIARY FUND TYPE JUNE 30 1994 EXHIBIT"!" ASSETS Cash and Cash Equivalents Accounts Receivable NONEXPENDABLE TRUST FUNDS ENDOWMENT FUNDS JOHN OLIN JULIA COHEN VICKERY WOLFE SCHOLARSHIP SCHOLARSHIP FUND FUND TOTALS JUNE30 1994 JUNE30 1993 $ 12,392.39 $ 5,245.15 $ 17,637.54 $ 17,792.39 854.60 17.28 871.88 436.54 Total Assets $ 13,246.99 $ 5,262.43 $ 18,509.42 $ 18,228.93 LIABILITIES AND FUND EQUITY LIABILITIES Accounts Payable $ FUND EQUITY Fund Balances Reserved For Endowment Corpus $ Unreserved Undesignated Total Fund Equity $ 1000.00 10,000.00 $ 2246.99 12246.99 $ $ 1 000.00 $ 800.00 5,262.43 $ 5262.43 $ 15,262.43 $ 2246.99 17509.42 $ 15,229.60 2199.33 17 428.93 Total Liabilities and Fund Equny $ 13,246.99 $ 5,262.43 $ 18,509.42 $ 18,228.93 See notes to the general purpose financial statements. -25- fL~fBI !:;QUNIY l!QARQ OF EQU!:;AI[QN S~l::tEClJI E QE EEQEBAL El~A~~IAL ASSISIA~CE VEAR ENQEQ JUNE 3Q 1994 SCHEDULE "1" FUNDING AGENCY PBQGRAM/GRANT CFDA NUMBER AWARDS IN PERIOD FEDERAL FUNDS RECEIVED IN PERIOD (NET OF REFUNDS) FEDERAL REVENUE IN PERIOD EXPENDITURES IN PERIOD Agric!Jlt!Jre, U. S. Department of Through Geo,267.91 33,884.84 5,322.08 6,366.10 9,299.93 6,267.91 33,884.84 -112.75 1,112.00 107,338.64 2,380.00 4,175.68 28,197.00 16,248.44 1,112.00 112,327.08 28,197.00 21,299.57 1,112.00 112,327.08 28,197.00 21,299.57 17,347.00 30,584.83 32,566.83 (4) ELBERT COUNTY BOARD OF EDUCATION SCHEPULf OF FEDERAL FINANCIAi ASSISTANCE YEAR ENDED JUNE 30 1994 SCHEDULE "1" FUNDING AGENCY PROGRAM/GRANT CFDA NUMBER AWARDS IN PERIOD FEDERAL FUNDS RECEIVED IN PERIOD(NET OF REFUNDS) FEDERAL REVENUE IN PERIOD EXPENDITURES IN PERIOD Education, U. S. Department of Through Georgia Department of Education Vocational Education Basic Grants to States High School Program Tech-Prep Education 1993 Grant 84.243 $ 1,654.00 1994Grant 84.243 $ 45667.65 10477.00 $ 45667.65 (41 Total U. S. Department of Education $ 1194 521.48 $ 1 000 806.56 $ 1,050 382.57 $ 973341.51 Environmental Protection Agency, U. S. Direct Environmental Education Grant 1992Award 66.951 1 000.00 $ 5,000.00 Labor, U. S. Department of Through Northeast Georgia Regional Development Center Job Training Partnership Act 93-ELBBOE Summer Program Classroom Experience 17.250 17.250 58,371.00 $ 3446.76 52,319.48 $ 58,115.15 $ 2514.30 58,115.15 2514.30 Total U. S. Department of Labor $ 61 817.76 $ 52 319.48 $ 60 629.45 $ _ _.:;60:a,;629=cc45,._ OTHER FEDERAL ASSISTANCE Defense, U. S. Department of Direct Department of the Army R.O.T.C. Program 38 836.05 $ 38836.05 $ 38836.05 (4) Total Federal Financial Assistance $ 2 094 940.65 $ 1813=.65 $ 1950613.43 $ 2295845.08 Major Programs are identified by an asterisk c) in front of the CFDA number. (1) The amounts shoWn for the Food Distribution Program represents the Federally assigned value of nonmonetary assistance for donated commodities received and/or consumed by the system during the current fiscal year. (2) Expenditures for the School Breakfast and Child and Adult Care Food Programs were not maintained separately and are included in the 1994 National School Lunch Program. (3) Expend~ures for this program include State, and/or Local and Other Funds. Expenditures are not maintained by fund source. (4) Expenditures on this program were not maintained by fund source. See notes to the general purpose financial statements. 27 ELBERT COUNTY BOARD OF EDUCATION ANALYSIS OF CASH AND CASH EQUIVALENTS JUNE 30 1994 SCHEDULE "2" NONINTEREST BEARING ACCOUNTS Granite City Bank, Elberton, Georgia $ 17,347.26 INTEREST BEARING ACCOUNTS First National Bank in Elberton, Elberton, Georgia Certificate of Deposit No. 7249 (7.00%) Certificate of Deposit No. 7250 (3.55%) Granite City Bank, Elberton, Georgia Certificate of Deposit No. 50498 (6.00%) Money Market Account (2.75%) $ 3,122.54 9,269.85 5,245.15 1 053,549.02 1,071,186.56 $ 1,088,533.82 See notes to the general purpose financial statements. - 28 - ELBERT COUNTY BOARD OF EDUCATION ACCOUNTS RECEIVABLE JUNE 30 1994 SCHEDULE"3" Education, Georgia Department of Food Services Child and Adult Care Food Program School Breakfast Program National School Lunch Program Vocational Education Federal Funds Lottery Programs Media Center and Library Equipment Safe Schools Grant Federal Programs Drug-Free Schools and Communities Act ESEA- Chapter 1 Education of Deprived Children ESEA-Title II Eisenhower Mathematics and Science Education Foreign Languages Assistance Program Individuals With Disabilities Education kt. Title VI, B Flow Through Special Projects Family Connection State Federal Other Slate Programs Slate Foreign Languages Program GOVERNMENTAL FUND TYPES SPECIAL GENERAL REVENUE FUND FUND $ 88.76 3,049.07 14,366.18 $ 44,316.00 359.46 30,198.39 9,148.59 81,294.44 6,366.10 22,964.28 10,440.45 4,988.44 1,433.91 5,051.13 FIDUCIARY FUND TYPE TRUST FUNDS $ TOTAL 88.76 3,049.07 14,366.18 44,316.00 359.46 30,198.39 9,148.59 81,294.44 6,366.10 22,964.28 4,988.44 1,433.91 5,051.13 10,440.45 Environment,! Protection Agency, U. S. Environmental Education Grant 1,000.00 1,000.00 First National Bank in Elberton Interest Earned $ 854.60 854.60 Granite City Bank Interest Earned 17.28 17.28 Northeast Georgia Regional Development Center Job Training Partnership kt. 8,309.97 8,309.97 Riverside Publishing Company Vendor Overpayment 554.94 611.85 1,166.79 $ 55,311.39 $ 189,230.57 $ 871.88 $ 245,413.84 See notes to the general purpose financial statements. - 29 - ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30 1994 SCHEDULE 4 AGENCY/FUNDING GRANTS Education, Georgia Department of Quality Basic Education General and Ca..- Education Programs Special Education Programs Remedial Education Program Madia Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Limited English Speaking Middle School Incentive In-School Suspension Mid-term Adjustment Local Fair Share Educational EqualiZation Funding Grant Food Services Vocational Education Other State Programs Family Connection Mentor Teacher Program Preschool Handicapped Program Supervision and Assessment of Student and Beginning Teachers and Performance-Based Certification Teachers' Retirement Lottery Programs Algebra Classrooms Computers in Classrooms Madia Center and Library Equipment Pre-Kindergarten Program Safe Schools Grant Georgia Public Telecommunications Commission Lottery Programs Distant Leaming Medical Assistance, Georgia Department of Family Connection Program Reimbursement CONTRACTS Education, Georgia Department of lmpiementation of Department's Elementary School Foreign Languages Program OTHER Education, Georgia Department of Reimbursement for Computer Supplies See notes to the general purpose financial statements. GOVERNMENTAL FUND TYPES SPECIAL GENERAL REVENUE FUND FUND TOTAL $ 6,275,811.00 1, 188,606.00 112,174.00 272,783.00 91,789.00 1,898,534.00 444,705.00 138,792.00 3,616.00 239,332.00 64,959.00 59,826.00 -1,095,506.00 940,537.00 $ 3,034.00 5,280.00 43,724.00 750.00 19,450.32 $ 6,275,811.00 1,188,606.00 112,174.00 272,783.00 91,789.00 1,898,534.00 83,994.00 444,705.00 138,792.00 3,616.00 239,332.00 64,959.00 59,826.00 -1,095,506.00 940,537.00 83,994.00 3,034.00 95,105.89 95,105.89 5,280.00 43,724.00 2,316.00 36,170.80 359.46 156,224.00 30,198.39 750.00 19,450.32 2,316.00 36,170.80 359.46 156,224.00 30,198.39 1,532.59 4,627.71 1,532.59 4,627.71 45,371.78 45,371.78 1,000.00 1.000.00 $ 10,754.568.10 $ 410.528.84 $ 11 165,096.94 - 30 - ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF LOCAL AND OTHER REVENUE YEAR ENDED JUNE 30 1994 SCHEDULE 5 GOVERNMENTAL FUND TYPES SPECIAL GENERAL REVENUE FUND FUND TOTAL Taxes County Wide School Tax Railroad Car Tax Real Estate Transfer Tax $ 2,934,641.39 167.62 15,748.02 $ 2,934,641.39 167.62 15,748.02 Other Adult Education Action, Incorporated Elbert County Department of Family and Children Services Donations Family Connection Program Metropolitan Atlanta Community Georgia Project 2061 Team American Association for the Advancement of Science Indirect Cost Special Revenue Fund Interest Earned Lost and Damaged Books Recovery of Anti-Trust Lawsuit Reimbursement Northeast Georgia Regional Educational Service Agency Salary and Benefits Rent Sales Meals Contracted Meals School Assets Other $ 1,500.00 89,281.53 7,419.68 17,933.57 971.36 1,634.12 322.95 38,321.99 2,190.04 1,634.12 322.95 1,500.00 38,321.99 89,281.53 7,419.68 17,933.57 971.36 2,190.04 1,780.00 11,192.50 24,201.49 10,940.28 320.00 366,686.69 52,276.24 1,300.00 815.31 10,940.28 2,100.00 366,686.69 52,276.24 12,492.50 25,016.80 $ 3,104,837.16 $ 474,807.62 $ 3,579,644.78 See notes to the general purpose financial statements. - 31 - ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30 1994 SCHEDULE "6" EXPENDITURES Operating Costs Salaries Employee Benefits Travel of Employees Professional and Technical Services Compensation and Travel of Board Members Water, Sewer and Cleaning Services Repair and Maintenance Services Rents Insurance Communications 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 GENERAL FUND SPECIAL REVENUE FUND TOTAL $ 9,357,101.02 $ 1,215,120.57 $ 10,572,221.59 2,525,625.30 333,944.76 2,859,570.06 39,302.79 11,667.53 50,970.32 55,774.95 26,817.04 82,591.99 13,191.70 13,191.70 49,705.10 49,705.10 190,026.35 3,926.61 193,952.96 20,505.04 20,505.04 12,100.00 12,100.00 29,922.33 2,900.00 32,822.33 4,997.28 4,997.28 35,225.00 44,421.84 79,646.84 49,080.00 954.37 50,034.37 379,590.98 151,068.70 530,659.68 459,188.98 459,188.98 605,590.84 605,590.84 125,844.84 13,727.24 139,572.08 17,567.17 6,355.00 23,922.17 7,419.68 7,419.68 19,819.10 5,006.55 24,825.65 119,477.48 324,014.45 23,449.40 165,172.98 119,477.48 23,449.40 489,187.43 Total Expenditures $ 13,823,062.58 $ 2,622,540.39 $ 16,445,602.97 See notes to the general purpose financial statements. - 33 - ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES BY OBJECT LOTTERY PROGRAMS YEAR ENDED JUNE 30 1994 EXPENDITURES Operating Costs Salaries Employee Benefits Travel of Employees Supplies Other Purchased Services Dues and Fees other Expenditures Nonoperating Costs Equipment ALGEBRA CLASSROOMS COMPUTERS IN CLASSROOMS MEDIA CENTER AND LIBRARY EQUIPMENT $ 2,316.00 $ 4,977.70 $ 359.46 31,193.10 Total Expenditures $ 2,316.00 $ 36 170.80 $====35=9=.4=6 See notes to the general purpose financial statements. - 34 - SCHEDULE "7" PRE-KINDERGARTEN PROGRAM SAFE SCHOOLS GRANT G.P.T.C. DISTANT LEARNING TOTAL $ 92,756.18 23,825.85 1,355.17 29,233.32 954.37 485.00 551.69 $ 92,756.18 23,825.85 1,355.17 $ 1,532.59 38,419.07 954.37 485.00 551.69 7,062.42 $ 30,198.39 68,453.91 $ 156,224.00 $ 30,198.39 $ 1,532.59 $ 226,801.24 - 35 - ELBERT COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS YEAR ENDED JUNE 30 1994 SCHEDULE "8" Minimum Expenditure Requirements (Total Allotment) Expenditures on Combined Program Basis Salaries Operations Less: Expenditures for Media Center Programs in Excess of Total Media Allotment Expenditures per Audit Amount of Underexpenditure for Total Allotment THIRTEEN WEIGHTED AND MEDIA CENTER PROGRAMS STAFF DEVELOPMENT PROGRAM $ 7,890,957.00 $ 91,789.00 $ 8,549,993.81 359,334.32 $ $ 8,909,328.13 $ 91,718.82 91,718.82 -101,264.55 $ 8,808,063.58 $ 91,718.82 $ 0.00 $ 70.18 See notes to the general purpose financial statements. - 37 - ELBERT CQlJNJY RQARQ Qf EQI IQATIQN ANAi YSIS Of MINIM\ JU EXPENPID IRE Rf9U1REMfNT BY PROGRAM GENERAi 8 INQ QI.JAi CTX BASIC fpt !CATION ffiOGRAMS YEAR ENPEP JLJNE 30 1994 Gl;NERAL AND CARffR fnt.JCATIQN PRQGRAMS K;ndelgarten (1 Grad51 -3 (1 Sub-Total K-3 Grad54-5 (1 Grad56-8(1 Grades 9 -12 (j H;gh School Laboratones (') Vocational Education Laboratories M Total General and Career Education Programs SPECIAi EDI JCATIQN PROGRAMS Regular Programs category I (1 Category II(') Category Ill (1 category IV (') Itinerant Supplemental Speech Sub-Total - Regular Category V (Gifted) (') Total Special Education Programs REMfQIAI fptJCATION PROGRAM r, MfQIA CENTER PROGRAMS Total Thirteen Weighted and Media Center STAFF QEVELOPMfNT PROGRAMS (1) Co6t of Instruction Total staff OeYelopment ("") Identifies Thirteen Weighted Programs Note (1) $4,221.07 of the allotment for Professional De\/elopment has been transferred to Cost of Instruction as authorized by OCGA 20-2-182 See notes to the general purpose financial statements ORIGINAL ALLOTMENTS FROM DEPARTMENT OF EDUCATION REQUIRED TOTAL ....1L ORIGINAL MID-TERM REQUIRED 640,400.00 576,360.00 $ 1 761,601.00 1585440.90 $ 2,402,001.00 90 $ 2,161,800.90 $ 848,043.00 90 763,238.70 1,344,729.00 90 1,210,256.10 783,414.00 90 705,072.60 364,963.00 90 328,466.70 532 661.00 90 479 394.90 6 275 811.00 $ 5 648 229.90 $ 0.00 $ 576,360.00 1 585440.90 0.00 $ 2,161,800.90 19,488.00 782,726.70 1,210,256.10 22,095.00 727,167.60 328,466.70 479 394.90 41 583.00 $ 5 689 812.90 1,068,433.00 979,589.70 $ 0.00 $ 979,589.70 1,068,433.00 100173.00 1 188 606.00 112174.00 272 763.00 90 $ 90 90 $ 90 979,589.70 $ 90155.70 1069745.40 $ 100,956.60 $ 245 504.70 0.00 $ 0.00 $ 0.00 $ 0.00 $ 979,589.70 90 155.70 1069745.40 100 956.60 245,504.70 7,849,374.00 7,064,436.60 $ 41,583.00 $ 7,106 019.60 24,836.07 100 $ 66,952.93 100 24,836.07 $ 66,952.93 0.00 $ 24,836.07 66 952.93 91,789.00 91,789.00 $ 0.00 $ 91,789.00 7,941,163.00 $ 7,156,225.60 $ 41,583.00 $ 7,197,808.60 36 SCHEDULE"9" REQUIRED ALLOTMENT SALARIES ACTUAL DISTRIBUTION BY RESPECTIVE PORTIONS AMOUNT OF UNOEREXPENDITURE FOR REQUIRED ALLOTMENT REQUIRED ALL01MENT OPERATIONS AMOUNT OF UNOEREXPENDITURE FOR REQUIRED ACTUAL ALLOTMENT 561,593.70 $ 739,315.46 1 536139.80 1665325.40 2,097,733.50 $ 2,404,640.86 $ 759,621.00 908,654.74 1,174,780.80 1,454,946.41 694,387.10 1,285,745.78 314,227.80 356,784.04 417 818.70 552,899.39 $ 5 458 568.90 $ 6,963 671.22 $ 14,766.30 $ 17,351.85 49 301.10 58 736.87 0.00 64,067.40 $ 76,088.72 $ 0.00 0.00 23,105.70 24,082.41 0.00 0.00 35,475.30 40,015.87 0.00 0.00 32,780.50 35,195.61 0.00 0.00 14,238.90 35,404.94 0.00 0.00 61 576.20 60 010.32 1,565.88 0.00 231 244.00 $ 270,797.87 $ 1,565.88 14,616.00 454,214.70 $ 444,320.10 38,975.40 1,636.20 2 251.80 956,014.20 $ 87 694.20 1043708.40 $ 99 214.20 $ 190 559.70 $ 461,277.45 482,621.46 51,362.78 995,261.69 $ 113162.63 $ 1108 424.32 162 535.39 $ 315 362.88 $ 6,792,051.20 $ 8,549,993.81 $ 738.90 9,589.50 $ 11,931.30 1,315.80 9,920.12 9,532.32 6,425.10 0.00 23,575.50 $ 25,877.54 $ 0.00 2 461.50 2 228.17 $ 26 037.00 $ 28 105.71 0.00 1 742.40 $ 1 746.07 $ 0.00 54 945.00 $ 58 684.67 $ 0.00 233.33 0.00 0.00 0.00 313,968.40 $ 359 334.32 $ 1,799.21 6,792,051.20 $ 8,549,993.81 $ 24,836.07 $ 66 952.93 24,765.89 $ 66 952.93 70.18 0.00 91,789.00 $ 91,718.82 $ 70.18 0.00 405 757.40 $ 451,053.14 $ 1,869.39 - 39 - ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF COMPENSATION AND TRAVEL OF BOARD MEMBERS YEAR ENDED JUNE 30 1994 SCHEDULE "10" BOARD MEMBER ADDRESS Mr. Denny Seymour, Chairman () P. 0. Box458 Bowman, Georgia 30624 Mr. Frank Eaves() 2755 Guy Wilson Road Elberton, Georgia 30635 Mr. Steve Howe () 152 Brookside Drive Elberton, Georgia 30635 Ms. Marcia Jenkins () 348 Heard Street Elberton, Georgia 30635 Mr. Welchel Long () 2715 Pulliam Mill Road Dewy Rose, Georgia 30634 COMPENSATION TRAVEL $ 2,400.00 2,400.00 2,400.00 2,400.00 $ 1,191.70 2,400.00 () Denotes Board Members Serving as of June 30, 1994 $ 12,000.00 $ 1191.70 See notes to the general purpose financial statements. - 40 - 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 June 30, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Elbert County Board ofEducation COMPLIANCE REPORT BASED ON AN AUDIT OF THE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Ladies and Gentlemen: We have audited the general purpose financial statements of the Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. Compliance with laws, regulations, contracts, and grants applicable to Elbert County Board ofEducation is the responsibility of the Board's management. As part of obtaining reasonable assurance about whether the general purpose financial statements are free of material misstatement, we performed tests of the Board's compliance with certain provisions oflaws, regulations, contracts, and grants. However, the objective of our audit of the financial statements was not to provide an opinion on overall compliance with such provisions. Accordingly, we do not express such an opinion. The results of our tests indicate that, with respect to the items tested, the Elbert County Board of Education 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. 94CRL-10 This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, ~ Claude L. Vickers State Auditor CLV:djf 94CRL-10 CLAUDE L. VICKERS STATE AUDITOR j404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 June 30, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members of the Elbert County Board ofEducation SINGLE AUDIT REPORT ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS Ladies and Gentlemen: We have audited the general purpose financial statements of the Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have applied procedures to test the Elbert County Board of Education's compliance with the following requirements applicable to each ofits Federal financial assistance programs, which are listed in the Schedule ofFederal Financial Assistance, for the year ended June 30, 1994: (1) Political Activity (5) Allowable Costs/Cost Principles (2) Civil Rights (6) Audit Follow-Up/Resolution (3) Cash Management (7) Administrative Requirements (4) Federal Financial Reports Our procedures were limited to the applicable procedures described in the Office 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 of this report. With respect to items not tested, nothing came to our attention that caused us to believe that the Elbert County Board ofEducation had not complied, in all material respects, with those requirements. However, the results of our procedures disclosed immaterial instances ofnoncompliance with those requirements, which are described in the Schedule of Findings and Improper or Questioned Costs. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, ~/~ Claude L. Vickers State Auditor CLV:djf 94CRL-50 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 June 30, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Elbert County Board ofEducation SINGLE AUDIT OPINION ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS Ladies and Gentlemen: We have audited the general purpose financial statements ofthe Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have also audited the Elbert 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 Elbert 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 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 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 material noncompliance with the requirements referred to above occurred. An audit includes examining, on a test basis, evidence about the Elbert County Board of Education's compliance with those requirements. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the Elbert 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 of public record. ~~ Claude L. Vickers State Auditor CLV:djf 94CRL-80 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 June 30, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members of the Elbert 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 ofthe Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. In connection with our audit ofthe fiscal year 1994 general purpose financial statements of the Elbert County Board of Education 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 ofState 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 transactions to test compliance with the requirements governing: (1) Types of Services Allowed or Unallowed (2) Eligibility Our procedures were substantially less in scope than an audit, the objective of which is the expression ofan opinion on the Elbert County Board ofEducation'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 Elbert County Board of Education had not complied, in all material respects, with those requirements. This report is intended for the information of management, the Federal cognizant audit agency and other Federal granter agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. Respectfully submitted, If~~ Claude L. Vickers State Auditor CLV:djf 94CRL-120 SECTION III INTERNAL CONTROL CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 June 30, 1995 Honorable Zell Miller, Governor Members of the General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Elbert County Board ofEducation REPORT ON INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Ladies and Gentlemen: We have audited the general purpose financial statements of the Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We conducted our audit in accordance with generally accepted auditing standards, and Government Auditing Standardt 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. In planning and performing our audit of the general purpose financial statements of the Elbert 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 ofthe Elbert 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 ar.e to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation ofgeneral purpose financial statements in accordance with generally accepted accounting principles. Because ofinherent limitations in any internal control structure, errors or irregularities may nevertheless occur and not 94ICL-3 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: (1) Cash and Cash Equivalents (6) Employee Compensation (2) Inventories (7) General Ledger (3) Revenue/Receivables/Receipts (8) General Fixed Assets (4) Procurement (5) Expenditures/Liabilities/ Disbursements For all ofthe internal control categories listed above, we obtained an understanding of the design of relevant policies and procedures and whether they have been placed in operation, and we assessed control risk. We noted a certain matter involving the internal control structure and its operation that we consider to be a reportable a 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 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, a reportable condition was noted in the following control category: General Fixed Assets A material weakness is a reportable condition in which the design or operation of one or more of the 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 the reportable condition disclosed above is also considered to be a material weakness. 94ICL-3 This condition was considered in detemrining the nature, timing, and extent of the procedures to be performed in our audit ofthe Elbert County Board ofEducation's financial statements and this report does not affect our report thereon dated June 30, 1995. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies. This restriction is not intended to limit the distribution of this report which is a matter of public record. t t ~ ~ Respectfully submitted, Claude L. Vickers State Auditor CLV:djf 94ICL-3 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 June 30, 1995 Honorable Zell Miller, Governor Members ofthe General Assembly Members ofthe State Board ofEducation and Superintendent and Members ofthe Elbert 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 Elbert County Board of Education as of and for the year ended June 30, 1994, and have issued our report thereon dated June 30, 1995. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We have also audited the Board's compliance with requirements applicable to major Federal financial assistance programs and have issued our opinion thereon dated June 30, 1995. We conducted our audit in accordance with generally accepted auditing standards; Government Auditing Standards, issued by the Comptroller General of the United States; and the provisions of Office of Management and Budget (0MB) Circular A-128, "Audits of State and Local Governments". Those standards and 0MB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement and about whether the Elbert County Board ofEducation complied with laws and regulations, noncompliance with which would be material to a major Federal financial assistance program. In planning and performing our audit for the year ended June 30, 1994, we considered the Board's internal control structure in order to determine our auditing procedures for the purpose of expressing our opinions on the Board's general purpose financial statements and on its compliance with requirements applicable to major Federal financial assistance programs and to report on the internal control structure in accordance with 0MB Circular A-128. This report addresses our consideration of internal control structure policies and procedures relevant to compliance with requirements applicable to Federal financial assistance programs. We have addressed internal control structure policies and procedures relevant to our audit of the general purpose financial statements in a separate report dated June 30, 1995. 94ICL-6 The management ofthe Elbert 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 of any evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. For the purpose of this report, we have classified the significant internal control structure policies and procedures used in administering Federal financial assistance programs in the following control categories: GENERAL REQUIREMENTS SPECIFIC REQUIREMENTS (1) Political Activity (2) Civil Rights (3) Cash Management (4) Federal Financial Reports (1) Types of Services Allowed or Unallowed (2) Eligibility (3) Matching, Level ofEffort, and/or Earmarking (5) Allowable Costs/Cost Principles (4) Reporting (6) Audit Follow-Up/Resolution (7) Administrative Requirements (5) Applicable Special Tests and Provisions (6) Other Requirements 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 Elbert County Board ofEducation expended 63% of its total Federal financial assistance under major Federal financial assistance programs. We performed tests of controls, as required by 0MB Circular A-128, to evaluate the effectiveness of the design and operation of internal control structure policies and procedures that we considered relevant to preventing or detecting material noncompliance with general requirements and specific requirements, as 94ICL-6 described above that are applicable to each of the Board's major Federal financial assistance programs, which are identified in the Schedule of Federal Financial Assistance. Our procedures were less in scope than would be necessary to render an opinion on these internal control structure policies and procedures. Accordingly, we do not express such an opinion. We noted certain matters involving the internal control structure and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation 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, reportable conditions were noted in the following control categories: (I) Federal Financial Reports (2) Allowable Costs/ Cost Principles A material weakness is a reportable condition in which the design or operation of one or more of the internal control structure elements does not reduce to a relatively low level the risk that noncompliance with laws and regulations that would be material to a Federal financial assistance program may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control structure policies and procedures used in administering Federal financial assistance would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, we believe none of the reportable conditions described above is a material weakness. This report is intended for the information of management, the Federal cognizant audit agency and other Federal grantor agencies and should not be used for any other purpose. This restriction is not intended to limit the distribution ofthis report which is a matter of public record. Respectfully submitted, ~/~ Claude L. Vickers State Auditor CLV:djf 94ICL-6 SECTIONN FINDINGS AND IMPROPER OR QUESTIONED COSTS ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30 1994 PRIOR YEAR AUDIT FOLLOW-UP/RESOLUTION Uncollateralized Deposits Financial Statements Finding Resolved Audit Control Number 6521-93-01 The audit report for the year ended June 30, 1993, disclosed that the Elbert County Board ofEducation did not have its bank balances fully collateralized as required by the Official Code of Georgia Annotated Section 45-8-12. For the year under review, audit tests of the Elbert County Board of Education's bank balances indicated that the Board complied with the State laws governing collateralization of cash deposits. AUDIT FOLLOW-UP/RESOLUTION Salary Underpayments Financial Statements Finding Resolved Audit Control Number 6521-93-02 The audit report for the year ended June 30, 1993, noted that salary underpayments of$489.10 were made to employees due to errors on the individual salary computations. During the year under review, payments of $489.10 were made to the various individuals to resolve the underpayments. AUDIT FOLLOW-UP/RESOLUTION Excessive Cash Balances Federal Financial Assistance Finding Resolved Audit Control Number 6521-93-04 The audit report for the year ended June 30, 1993, stated that a review of cash management procedures for the Elementary and Secondary Education Act - Chapter 1 - Education of Deprived Children Program (CFDA 84.010) disclosed that cash draws utilizing DE form 0147, "Quarterly Report of Expenditures and Estimated Requirement for Grant Funds", were made in advance of immediate cash needs, resulting in the accumulation of excessive cash balances. For the year under review, audit test of cash management procedures revealed no excessive cash balance accumulations by the Board. ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30 1994 PRIOR YEAR AUDIT FOLLOW-UP/RESOLUTION Inaccurate Indirect Cost Calculation Federal Financial Assistance Finding Resolved Audit Control Number 6521-93-06 The audit report for the year ended June 30, 1993, noted errors in the Board's indirect cost calculations which resulted in an overpayment of $1,952.86 by the Elementary and Secondary Education Act - Chapter 1 Education ofDeprived Children, 1992 Carry-Over program and 1993 Regular program (CFDA 84.010) to the General Fund. During the year under review, a refund of this overpayment was made to the Georgia Department of Education from the Board's General Fund. PRIOR YEAR/CURRENT YEAR GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6521-93-03 The audit report for the year ended June 30, 1993, noted that the management of Elbert County Board of Education had chosen not to maintain a system wide General Fixed Assets Account Group within the formal accounting records as required by generally accepted accounting principles. In the year under review, the Board did not establish a General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose financial statements of the Board being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Board to establish accounting controls and procedures to provide for maintenance of a General Fixed Assets Account Group. These subsidiary records should include an inventory ofland, buildings, and equipment owned by the Board and should include but may not be limited to date acquired, acquisition cost, estimated replacement cost, location and description. Detailed records should be maintained of all additions and deletions to the General Fixed Assets Account Group. EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Expend Funds in Compliance with Trust Agreement Financial Statements Nonmaterial Noncompliance Amount: $117.17 Audit Control Number 6521-93-05 The audit report for the year ended June 30, 1993 indicated that the Board was not in compliance with the Trust Agreement for the Julia Cohen Wolfe Scholarship Fund. In the year under review, the Board received a refund in the amount of $50.00 for the award in excess of the Trust Agreement during fiscal year 1993. ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR OlJESTIONED COSTS YEAR ENDED ITJNE 30 1994 PRIOR YEAR/CURRENT YEAR EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Expend Funds in Compliance with Trust Agreement Financial Statements Nonmaterial Noncompliance Amount: $117.17 Audit Control Number 6521-93-05 Additionally, the Trust Agreement specified that the award for 1994 should not exceed the income earned. A review of the award documentation revealed that $300.00 was awarded during fiscal year 1994, and this amount exceeded income earned by $117.17. This condition occurred because management disregarded the provisions ofthe Trust Agreement. The Board should seek reimbursement for the $117.17 awarded in excess of income earned as stipulated in the trust agreement. These funds should be deposited to the Julia Cohen Wolfe Scholarship Fund and added to the fund's corpus. CURRENT YEAR EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $1,799.21 Audit Control Number 6521-94-01 For the year under review, the Board had underexpenditures of Quality Basic Education (QBE) funds of $1,565.88 for the operations portion of the Vocational Education Laboratories program and $233.33 for the operations portion of the Gifted Program. These questioned costs resulted from expenditures of these programs being less than the minimum expenditure requirements. These funds should be returned to the Georgia Department of Education through an increase in the Board's local fair share for the QBE programs in a subsequent fiscal period. EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $70. 18 Audit Control Number 6521-94-02 For the year under review, the Elbert County Board of Education reported to the Georgia Department of Education on DE form 0420 "General Fund QBE Program Expenditure Summary" expenditures totaling $24,905.89 for the Staff Development Cost oflnstruction Program. A review of the underlying source ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30 1994 CURRENT YEAR EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $70.18 Audit Control Number 6521-94-02 documentation for the Quality Basic Education (QBE) program disclosed actual expenditures of $24,765.89 resulting in an underexpenditure of $70. 18 for the minimum required allotment of $24,836.07. This questioned cost resulted from management's failure to reduce expenditures upon receipt ofa vendor refund for expenditures charged to this program. 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. FEDERAL FINANCIAL REPORTS Failure to Refund Unexpended Grant Balance Federal Financial Assistance Nonmajor Program Reportable Condition Nonmaterial Noncompliance Amount: $10,940.28 Audit Control Number 6521-94-03 The project completion report submitted by the Board for the Individuals with Disabilities Education Act, Title VI, B -Flow Through 1994 Regular program (C FDA 84.027) included expenditures which were reimbursed from another Agency. This reimbursement was erroneously deposited to the Board's general fund instead ofbeing recorded as an expense credit in the Title VI, B fund. An audit adjustment has been made to record this reimbursement in the appropriate fund. The resulting unexpended grant balance of$10,940.28 should by refunded to the Georgia Department of Education. ALLOWABLE COSTS/COST PRINCIPLES Expired Grant Balance/Questioned Cost Federal Financial Assistance Major Program Reportable Condition Nonmaterial Noncompliance Amount: $763.65 Audit Control Number 6521-94-04 The project completion report submitted by the Elbert County Board of Education for the Elementary and Secondary Education Act - Chapter 1 - Education ofDeprived Children Program (CFDA 84.010) included expenditures which were not net of applicable vendor credits. Audit adjustments reducing expenditures by ELBERT COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS YEAR ENDED JUNE 30 1994 CURRENT YEAR ALLOWABLE COSTS/COST PRINCIPLES Expired Grant Balance/Questioned Cost Federal Financial Assistance Major Program Reportable Condition Nonrnaterial Noncompliance Amount: $763.65 Audit Control Number 6521-94-04 $763.65 are included in the financial statements of this report. The unexpended grant balance resulted from management's failure to reduce expenditures upon receipt of vendor reimbursements for this program. The $763.65 should be refunded to the Georgia Department of Education. AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Nonrnaterial Noncompliance Audit Control Number 6521-94-05 The Board failed to submit a copy ofthe 1993 audit report to various entities that were the sources of Federal Financial Assistance, as follows: Fiscal Year 1993 Program Athens Technical Institute Adult Education (CFDA 84.002) U.S. Environmental Protection Agency Environmental Education Grant (CFDA66.951) Paragraph 13f of 0MB Circular A-128 requires that recipients ofFederal financial assistance submit copies ofsingle audit reports to those agencies providing Federal financial assistance. Even though formally notified in writing ofthese report distribution responsibilities by the Georgia Department of Audits, management failed to provide reports to all entities that provided Federal financial assistance as required. Procedures should be implemented to ensure that reports are submitted to grantor agencies in accordance with audit distribution requirements. SECTIONV PERTINENT VIEWS OF RESPONSIBLE OFFICIALS ELBERT COUNTY BOARD OF EDUCATION PERTINENT VIEWS OF RESPONSIBLE OFFICIALS YEAR ENDED JUNE 30 1994 GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Financial Statements Reportable Condition - Material Weakness Audit Control Number 6521-93-03 We concur with this recommendation. Due to current staffing limitations and budgetary considerations prohibiting the hiring of additional administrative staff the Board has decided not to pursue the recording of general assets on the financial statements. EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Expend Funds in Compliance with Trust Agreement Financial Statements Nonmaterial Noncompliance Amount: $117.17 Audit Control Number 6521-93-05 We concur with this finding and have asked for reimbursement from the High School. EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $1,799.21 Audit Control Number 6521-94-01 We concur with this finding. This finding will be resolved by Georgia Department of Education through a future increase in the Board's local fair share portion of QBE allotments. EXPENDITURES/LIABILITIES/DISBURSEMENTS Failure to Meet Expenditure Requirements Financial Statements Nonmaterial Noncompliance Amount: $70.18 Audit Control Number 6521-94-02 We concur with this finding. This finding will be resolved by Georgia Department of Education through a future increase in the Board's local fair share portion of QBE allotments. ELBERT COUNTY BOARD OF EDUCATION PERTINENT VIEWS OF RESPONSIBLE OFFICIALS YEAR ENDED JUNE 30 1994 FEDERAL FINANCIAL REPORTS Failure to Refund Unexpended Grant Balance Federal Financial Assistance Nonrnajor Program Reportable Condition Nonrnaterial Noncompliance Amount: $10,940.28 Audit Control Number 6521-94-03 We concur with this finding. We have issued the Georgia Department of Education a check in the amount of $10,940.28. This came about from an employee that was listed on VI-B being reimbursed from another agency, as of FY 96 we are now paying this employee locally. ALLOWABLE COSTS/COST PRINCIPLES Expired Grant Balance/Questioned Cost Federal Financial Assistance Major Program Reportable Condition Nonmaterial Noncompliance Amount: $763.65 Audit Control Number 6521-94-04 We concur with this finding. We are issuing a check in the amount of$763.65 to the Georgia Department of Education. We have asked that the teachers when returning materials to please ask for replacement material instead of cash refund whenever possible. AUDIT FOLLOW-UP/RESOLUTION Audit Distribution Requirements Federal Financial Assistance Nonmaterial Noncompliance Audit Control Number 6521-94-05 We concur with this finding. These audit reports were mailed the day the auditors brought this to our attention. We will make sure this does not happen again.