STATE OF GEORGIA 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
 
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PIERCE COUNTY BOARD OF EDUCATION 
BLACKSHEAR, GEORGIA 
REPORT ON AUDIT OF THE FINANCIAL STATEMENTS 
FOR THE FISCAL YEAR ENDED JUNE 30, 2000 
Russell W. Hinton State Auditor 
 
 PIERCE COUNTY BOARD OF EDUC1\TION - TABLE OF CONTENTS - 
 
SECTION I 
 
FINANCIAL 
 
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 
 
EXHIBITS 
 
GENERAL PURPOSE FINANCIAL STATEMENTS 
 
COMBINED STATEMENTS - OVERVIEW 
 
A 
 
COMBINED BALANCE SHEET 
 
ALL FUND TYPES AND ACCOUNT GROUP 
 
B 
 
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND 
 
CHANGES IN FUND BALANCES 
 
ALL GOVERNMENTAL FUND TYPES 
 
C 
 
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND 
 
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL 
 
(NON-GAAP BASIS) 
 
GENERAL AND SPECIAL REVENUE FUNDS 
 
D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
ADDITIONAL FINANCIAL INFORMATION 
 
COMBINING STATEMENTS 
 
SPECIAL REVENUE FUND 
 
E 
 
COMBINING BALANCE SHEET 
 
F 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES 
 
AND CHANGES IN FUND BALANCES 
 
CAPITAL PROJECTS FUND 
 
G 
 
COMBINING BALANCE SHEET 
 
H 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES 
 
AND CHANGES IN FUND BALANCES 
 
DEBT SERVICE FUND 
 
I 
 
COMBINING BALANCE SHEET 
 
J 
 
COMBINING STATEMENT OF REVENUES, EXPENDITURES 
 
AND CHANGES IN FUND BALANCES 
 
SCHEDULES 
1 SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 2 SCHEDULE OF STATE REVENUE 3 SCHEDULE OF APPROVED LOCAL OPTION SALES TAX PROJECTS 
 
Page 
, 
2 
4 
6 7 
20 22 
24 
26 28 
29 
30 32 33 
 
 PIERCE COUNTY BOARD OF EDlJCATION - TABLE OF CONTENTS - 
, 
 
SECTION I 
 
FINANCIAL 
 
ADDITIONAL FINANCIAL INFORMATION 
 
SCHEDULES 
 
ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS 
 
GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS 
 
4 
 
OVERALL 
 
5 
 
BYPROGRAM 
 
Page 
35 
36 
 
SECTION II 
COMPLIANCE AND INTERNAL CONTROL REPORTS 
REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 
REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH 0MB CIRCULAR A-133 
 
SECTION ID AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
. SECTIONIV FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
 
 SECTION I FINANCIAL 
 
  
 
w. RUSSELL 
 
HINTON 
 
STATE AUDITOR 
 
(404) 656-2174 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
254 Washington Street, S.W., Suite 214 Atlanta. Georgia 30334-8400 
March 8, 2001 
 
Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education 
and Superintendent and Members of the Pierce County Board of Education 
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 
Ladies and Gentlemen: 
We have audited the accompanying general purpose financial statements ofthe Pierce County Board of Education, as of and for the year ended June 30, 2000, as listed in the table of contents. These general purpose financial statements are the responsibility ofthe Pierce County Board ofEducation's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. 
We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perfo11n the audit to obtain reasonable assurance about whether the 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 confortn to generally accepted accounting principles. 
2000ARL-13 
 
 * School activity accounts maintained at the individual schools are not included in the 
 
 
 
general purpose financial statements. To confo11n to generally accepted accounting 
 
principles, these accounts should be included in the general purpose financial 
 
statements. 
 
* The Board did not recognize as expenditures, in the year ended June 30, 2000, a portion 
of salaries and the corresponding employer's cost of related benefits earned for contractual services completed prior to June 30, 2000. Also funds received, subsequent to June 30, 2000, from the Georgia Department of Education for the State's share of these unrecorded salaries and related benefits were not recorded as revenue in the year under review. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1999, were improperly recorded in the year ended June 30, 2000. To confom1 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 dete11nined, but are believed to be material. 
 
In our opinion, except for the effects on the general purpose financial statements of the matters referred to in the preceding paragraph, the general purpose financial statements referred to above present fairly, in all material respects, the financial position ofthe Pierce County Board ofEducation as of June 30, 2000, and the results of its operations for the year then ended, in confu11nity with generally accepted accounting principles. 
 
In accordance with Government Auditing Standards, we have also issued our report dated March 8, 2001, on our consideration ofthe Pierce County Board ofEducation's internal control over financial reporting and our tests of its compliance with certain provisions oflaws, regulations, contracts and grants. That report is an integral part of an audit perfo11ned in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. 
 
Our audit was perfo11ned for the purpose of fo1n1ing an opinion on the general purpose financial statements of the Pierce County Board of Education taken as a whole. The accompanying combining statements (Exhibits E through J) and the financial schedules (Schedules 1 through 5), which includes the Schedule of Expenditures of Federal Awards as required by U. S. Office of 
Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, are presented for purposes of additional analysis and are not a required part of the 
general purpose financial statements. Such infurmation has been subjected to the auditing procedures applied in the audit ofthe general purpose financial statements and in our opinion, except for the effects ofthe matters referred to in the third paragraph, such info1mation is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. 
 
2000ARL-13 
 
 A copy ofthis report has been filed as a pern1anent record in the office ofthe State Auditor and made available to the press ofthe State, as provided for by Official Code ofGeorgia Annotated Section 506-24. 
Respectfully submitted, 
 
RWH:gp 2000ARL-13 
 
Ru sell W. Hinton State Auditor  
 
 
 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
 ' 
PIERCE COUNTY BOARD OF EDUCATION COMBINED BALANCE SHEET 
ALL FUND TYPES AND ACCOUNT GROUP JUNE 30, 2000 
 
ASSETS 
Cash and Cash Equivalents 
Investments 
Accounts Receivable 
Inventories Food Donated Commodities Purchased Food 
Amount Available in Debt Service Fund 
Amount to be Provided in Future Years For Payment of: Bond Debt Intergovernmental Contract 
 
GENERAL FUND 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
CAPITAL 
 
REVENUE 
 
PROJECTS 
 
FUND 
 
FUND 
 
$ 
 
216,622.51 $ 593,686.58 $ 
 
214,143.47 
 
493,016.58 
 
129,278.79 
 
735,276.27 
 
659,874.03 
 
36,941.09 
 
212,390.70 
 
19,786.87 6,898.44 
 
Total Assets 
 
$ 1,369,513.12 $ 786,591.77 $ 
 
LIABILITIES AND FUND EQUITY 
LIABILITIES 
Cash Overdraft Accounts Payable Salaries Payable Expired Grant Balances Payable Contracts Payable Retainages Payable Intergovernmental Contracts Payable General Obligation Bonds Payable 
Total Liabilities 
FUND EQUITY 
Fund Balances Reserved For Bus Replacement Funds For Continuation of Federal Programs For Continuation of Lottery Program For Debt Service For Expired Grant Balances/Questioned Costs For Inventories Food Donated Commodities 
 
Purchased Food For SPLOST Projects For State Capital Outlay Projects Unreserved Undesignated 
Total Fund Equity 
 
 
 
$ 
 
55,128.16 $ 
 
51,626.29 $ 
 
3,960.00 
 
203,190.29 
 
78,407.60 
 
39,322.48 
 
39,908.00 
 
$ 
 
55,128.16 $ 333,224.18 $ _ _--'8""-3'--1',-"-90=..4..8.a... 
 
$ 
 
2,907.26 
 
$ 
 
1,261.36 
 
 
19,786.87 6,898.44 $ 
 
967,335.26 61,284.70 
 
1,313,123.60 
 
423,775.02 
 
50,000.00 
 
$ 1,314,384.96 $ 453,367.59 $ 1,078,619.96 
 
Total Liabilities and Fund Equity 
 
$ 1,369,513.12 $ 786,591.77 $ 1,161,810.44 
 
The notes to the general purpose financial statements are an integral part of this statement. -2- 
 
 EXHIBIT" A" 
 
DEBT SERVICE 
FUND 
 
ACCOUNT GROUP GENERAL 
LONG-TERM DEBT 
 
TOTALS 
 
(Memorandum Only) 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
6,099.45 
 
$ 1,030,552.01 $ 
 
744,360.52 
 
1,357,571.64 
 
1,864,723.62 
 
909,205.82 
 
787,898.82 
 
$ 
 
6,099.45 
 
19,786.87 6,898.44 
6,099.45 
 
25,384.19 5,804.11 
25,360.71 
 
3,368,900.55 388,853.42 
 
3,368,900.55 388,853.42 
 
3,654,639.29 403,880.70 
 
$ 
 
6 099.45 $ 
 
3,763,853.42 $ 7,087,868.20 $ 7,512,051.96 
 
$ 
 
141,544.68 
 
$ 
 
110,714.45 
 
110,704.78 
 
203,190.29 
 
202,573.82 
 
78,407.60 
 
76,047.52 
 
39,322.48 
 
231,926.62 
 
39,908.00 
 
38,082.00 
 
$ 
 
388,853.42 
 
388,853.42 
 
403,880.70 
 
3,375,000.00 
 
3,375,000.00 
 
3,680,000.00 
 
$ 
 
3,763,853.42 $ 4,235,396.24 $ 4,884,760.12 
 
$ 
 
6,099.45 
 
0.00 $ _ _~6~,0~9~9._45_ 
 
$ 
 
49,160.75 
 
$ 
 
2,907.26 
 
8,576.27 
 
41,564.00 
 
6,099.45 
 
25,360.71 
 
1,261.36 
 
19,786.87 6,898.44 967,335.26 61,284.70 
 
25,384.19 5,804.11 
869,610.17 19,913.00 
 
1,786,898.62 
 
1,581,918.64 
 
 
$ 2,852,471.96 $ 2,627,291.84 
 
$ 
 
6 099.45 $ 
 
3,763,853.42 $ 7,087,868.20 $ 7,512,051.96 
 
-3- 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
ALL GOVERNMENTAL FUND TYPES 
YEAR ENDED JUNE 30, 2000 
 
REVENUES 
State Funds Federal Funds Taxes Other Funds 
Total Revenues 
EXPENDITURES 
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services Other Support Services Food Services Operation 
Capital Outlay Debt Service 
Principal Interest Paying Agent Fees 
Total Expenditures 
Excess of Revenues over (under) Expenditures 
OTHER FINANCING SOURCES (USES) 
Operating Transfers In Operating Transfers Out 
Total Other Financing Sources (Uses) 
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses 
FUND BALANCE JULY 1 
Food Inventory- Net Change in Period Donated Commodities Purchased Food 
 
GENERAL FUND 
 
SPECIAL REVENUE 
FUND 
 
$ 12,315,110.25 $ 12,261.00 
3,357,146.30 149,308.80 
$ 15,833,826.35 $ 
 
899,722.68 1,926,009.16 
386,625.00 
3,212,356.84 
 
$ 10,683,454.19 $ 
606,584.90 348,445.22 379,120.41 459,835.43 1,204,028.78 
93,266.07 1,063,065.57 
846,656.95 1,302.35 
34,054.07 
 
1,584,998.81 
81,147.12 144,935.44 
162,734.11 1,924.98 512.18 
23,043.59 14,000.00 
21,225.15 1,146,484.85 
 
15,027.28 20,488.16 
 
$ 1517551329.38 $ __3;;;.i.l.;..;18'-'11"0-".;:;.Q6=:.;23a..,. 
 
$ 
 
78 496.97 $ _____3__1.,_,3=5=0-=6-'--1 
 
$ 
$ _ _..-.6.4.--"-",3--70=..;..4_3_ 
 
14,370.43 
 
$ 
 
-64,370.43 $ ___1...4..._,3_7__0_._4__3__ 
 
$ 
 
14,126.54 $ 
 
1,300,258.42 
 
45,721.04 
412,149.54 
 
-5,597.32 1,094.33 
 
FUND BALANCE JUNE 30 
 
$ 1,314,384.96 $ _ _4_5_3_,3_67_._59_ 
 
The notes to the general purpose financial statements are an integral part of this statement. 
 
-4- 
 
 EXHIBIT "B" 
 
CAPITAL PROJECTS 
FUND 
 
DEBT SERVICE 
FUND 
 
TOTALS 
 
(Memorandum Only) 
 
YEAR ENDED 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
436,430.75 
 
$ 13,651,263.68 $ 12,902,916.76 
 
1,938,270.16 
 
1,934,612.23 
 
708,887.86 $ 
 
472,470.13 
 
4,538,504.29 
 
4,131,037.48 
 
37 045.07 _ _ _4..:....:1.:::;8c.:.:15~ 
 
573,397.02 
 
483,321.97 
 
$ 1,182,363.68 $ 
 
472,888.28 $ 20,701,435.15 $ 19,451,888.44 
 
$ 1,043,266.89 $ 
 
$ 1,043,266.89 $ 
 
$ 
 
139,096.79 $ 
 
$ 12,268,453.00 $ 11,338,334.89 
 
687,732.02 493,380.66 379,120.41 622,569.54 1,205,953.76 
93,778.25 1,086,109.16 
860,656.95 1,302.35 
55,279.22 1,146,484.85 1,043,266.89 
 
507,994.13 494,737.34 368,477.35 521,099.51 1,072,899.19 
91,496.03 997,047.72 813,403.29 
57,789.48 1,104,516.12 
551,749.97 
 
305,000.00 185,261.25 
1,888.29 
 
320,027.28 205,749.41 
1,888.29 
 
309,273.13 222,128.56 
1 884.10 
 
492,149.54 $ 20,471,752.04 $ 18,452,830.81 
 
-19,261.26 $ 
 
229,683.11 $ 
 
999,057.63 
 
$ 
 
50,000.00 
 
$ _ _-=5~0,..::;,o..:.;00:..;..o=-=o:.... 
 
$ 
 
189,096.79 $ 
 
889,523.17 
 
$ 
 
64,370.43 $ 
 
13,017.93 
 
-64 370.43 
 
-13,017.93 
 
$ 
 
0.00 $ 
 
0.00 
 
-19,261.26 $ 
25,360.71 
 
229,683.11 $ 
2,627,291.84 
 
999,057.63 1,630,368.06 
 
-5,597.32 1 094.33 
 
-2,682.26 548.41 
 
$ 1,078,619.96 $ 
 
6,099.45 $ 2,852,471.96 $ 2,627,291.84 
 
-5- 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
BUDGET AND ACTUAL (NON-GAAP BASIS) GENERAL AND SPECIAL REVENUE FUNDS 
YEAR ENDED JUNE 30. 2000 
 
EXHIBIT "C" 
 
GENERAL FUND 
 
ACTUAL 
 
(BUDGET 
 
BUDGET 
 
BASIS) 
 
REVENUES 
State Funds Federal Funds Taxes Other Funds 
Total Revenues 
 
$ 11,788,960.00 $ 
3,393,340.00 222,300.00 
 
12,315,110.25 12,261.00 
3,357,146.30 149,308.80 
 
$ 15,404,600.00 $ 15,833,826.35 
 
EXPENDITURES 
 
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Central Support Services Other Support Services Food Services Operation 
Capital Outlay Debt Service 
Total Expenditures 
 
$ 10,884,000.00 $ 10,683,454.19 
 
624,800.00 366,800.00 375,600.00 419,900.00 1,121,400.00 
93,200.00 1,041,300.00 
884,500.00 3,500.00 
34,600.00 
 
606,584.90 348,445.22 379,120.41 459,835.43 1,204,028.78 
93,266.07 1,063,065.57 
846,656.95 1,302.35 
34,054.07 
 
5,000.00 
 
35,515.44 
 
$ 15,854,600.00 $ 15,755,329.38 
 
Excess of Revenues over (under) Expenditures 
. 
OTHER FINANCING SOURCES (USES} 
 
$ -450,000.00 $ -----'7..;:;8,...,4=96=.9=7- 
 
Other Sources Other Uses 
 
$ -50,000.00 $ _ __;64::..:.i::,3:..:..70:..:.4..:..:3:.... 
 
Total Other Financing Sources (Uses) $ -50,000.00 $ _ __;-64::..:.i::,3:..:..70:..:.4..:..:3:.... 
 
Excess of Revenues and Other Financing Sources 
 
over (under) Expenditures and Other Financing 
 
Uses 
 
$ -500,000.00 $ 
 
14,126.54 
 
FUND BALANCE JULY 1, 1999 
 
1,265,927.60 
 
1,300,258.42 
 
Adjustments Food Inventory - Net Change in Period 
Donated Commodities Purchased Food 
 
3,733.83 
 
FUND BALANCE JUNE 30, 2000 
 
$ 769,661.43 $ 1,314,384.96 
 
SPECIAL REVENUE FUND 
 
ACTUAL 
 
(BUDGET 
 
BUDGET 
 
BASIS) 
 
$ 723,522.00 $ 899,722.68 1,764,106.00 1,926,009.16 
 
360,090.00 
 
386,625.00 
 
$ 2,847,718.00 $ 3,212,356.84 
 
$ 1,349,456.27 $ 1,584,998.81 
 
112,549.00 4,500.00 11,712.00 
125,288.00 
399.00 
 
81,147.12 144,935.44 
162,734.11 1,924.98 512.18 
23,043.59 14,000.00 
 
22,000.00 1,147,226.00 
 
21,225.15 1,146,484.85 
 
$ 2,773,130.27 $ 3,181,006.23 
$ 74,587.73 $ __3;;...a1=,3=50=.6aa..1a.. 
 
$ 14,370.43 $ _......;..14=,3=7~0-;..;.43;a... 
 
$ 74,587.73 $ 45,721.04 
 
445,336.47 
 
412,149.54 
 
-0.30 
 
-5,597.32 1,094.33 
 
$ 519,923.90 $ 453,367.59 
 
The notes to the general purpose financial statements are an integral part of this statement. -6- 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
REPORTING ENTITY 
The Pierce County Board of Education (Board) was established under the laws of the State of Georgia and operates under the guidance of a school board elected by the voters and a Superintendent appointed by the Board. The Board is organized as a separate legal entity and has the power to levy taxes and issue bonds. Its budget is not subject to approval by any other entity. Accordingly, the Board is a primary government and consists of all the organizations that compose its legal entity. 
FUND ACCOUNTING 
The Board uses funds and an account group to report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities. A fund is a separate accounting entity with a self-balancing set of accounts. An account group is a financial reporting device designed to provide 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 confu1n1 to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types. 
Although ''school activity accounts" are maintained at the individual schools, neither the assets, liabilities and fund equity, nor the revenues, expenditures and changes in fund balances of these accounts are reflected in these financial statements. To confo11n to generally accepted accounting principles, these accounts should be recorded in the general purpose financial statements. 
The general purpose financial statements account for all State, Federal, Taxes and Other funds under control of the Board, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. Funds and the account group presented in this report are as follows: 
GOVERNMENTAL FUND TYPES - are used to account for all or most ofa Board's educational activities. Governmental Fund Types include: 
GENERAL FUND - the fund used to account for all financial resources ofthe Board except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services provided by a board of education. 
 
-7- 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
SPECIAL REVENUE FUND - the fund used to account for the proceeds of specific revenue sources (other than for major capital projects) that are legally restricted to expenditures for specified purposes. These funds are received primarily from the Georgia Department of Education and from the Federal government to accomplish specific educational objectives. 
CAPITAL PROJECTS FUND - the fund used to account for financial resources to be used for the acquisition or construction of major capital facilities. 
DEBT SERVICE FUND - the fund used to account for the accumulation ofresources for, and the payment of, general long-tenn principal, interest a11d paying agent fees. 
ACCOUNT GROUP 
GENERAL LONG-TERM DEBT ACCOUNT GROUP - A financial reporting device used to account for general obligation debt outstanding and material intergovernmental contract obligations. 
BASIS OF ACCOUNTING 
The accounting and financial reporting treatment applied to a fund is dete1n1ined by its measurement focus. All governmental funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. Operating statements ofthese funds present increases (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-Tt:1111 Debt Account Group. 
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 of the transaction can be dete1mined and ''available'' means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Those revenues considered susceptible to accrual are property taxes, local option sales taxes, intergovernmental grants and investment income. 
Expenditures are generally recognized when the related fund liability is incurred. 
 
-8- 
 
  
PIERCE COUNTY BOARD OF EDUCATION NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
JUNE 30, 2000 
 
EXHIBIT "D" 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
A departure from the above definitions is the accounting treatment afforded the final two payments on General Fund teachers' and bus drivers' contracts, and the resources available from the Georgia Department of Education for the State's share of these contracts. During fiscal year 2000, a substantial number of personnel of the Board were employed for a one hundred and ninety day period beginning in late August 1999 and ending in early June 2000. Personnel contracts for this employment period specify that compensation be paid in twelve equal monthly payments beginning in September 1999 and ending in August 2000. State grants to fund the State's share of these contracts were disbursed from the Georgia Department ofEducation to the Board in the same twelve months. As ofJune 30, 2000, compensation under these employment contracts had been earned, but two ofthe twelve monthly payments, due for July and August 2000, had not been made. Payments for these two months were made and recorded as expenditures by the Board subsequent to June 30, 2000. Also, the State's portion ofthe compensation paid in July and August 2000 was received and recorded as revenue in the fiscal year subsequent to June 30, 2000. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1999, were recorded in the year ended June 30, 2000. Generally accepted accounting principles require that revenues be recorded when available and measurable and that expenditures be recorded when incurred, rather than when funds are received or disbursed. 
BUDGET 
The Pierce County Board of Education's budget is a complete financial plan for the Board's fiscal year and is based upon estimates of expenditures together with probable funding sources. There is no statutory prohibition regarding overexpenditure of the budget at any level. The budget for all governmental funds is prepared by fund, function and object. The legal level ofbudget control was established by the Board at the aggregate level. The budget for governmental funds was prepared on a basis other than generally accepted accounting principles. 
The budget process begins when the Board's administration prepares a tentative budget for the Board's approval. After approval ofthis tentative budget by the Board, such budget is advertised at least once in a newspaper of general circulation in the locality. At the next regular meeting of the Board after advertisement, the Board receives comments on the tentative budget, makes revisions as necessary and adopts a final school budget. This final budget is then submitted, in accordance with provisions of the Quality Basic Education Act, OCGA Section 20-2-167(c), to the Georgia Department of Education. The Board may increase or decrease the budget at any time during the year. All unexpended budget authority lapses at fiscal year-end. 
CASH AND CASH EQUIVALENTS 
COMPOSITION OF DEPOSITS Cash and cash equivalents consist of deposits in authorized financial institutions. Georgia Laws OCGA 45-8-14 authorize the Board to deposit its funds in one or more solvent banks, insured Federal savings and loan associations, or insured State chartered building and loan associations. 
 
-9- 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
INVESTMENTS 
COMPOSITION OF INVESTMENTS Investments made by the Board in nonparticipating interest-earning contracts (such as certificates of deposit) and repurchase agreements are reported at cost. Participating interest-earning contracts and money market investments with a maturity at purchase of one year or less are reported at amortized cost. Both participating interest-earning contracts and money market investments with a maturity at purchase greater than one year are reported at fair value. The Official Code of Georgia Annotated 
Section 36-83-4 authorizes the Board to invest its funds. In selecting among options for investment 
or among institutional bids for deposits, the highest rate of return shall be the objective, given equivalent conditions of safety and liquidity. Funds may be invested in the following: 
(1) Obligations issued by the State of Georgia or by other states, 
(2) Obligations issued by the United States government, 
(3) Obligations fully insured or guaranteed by the United States government or a United States government agency, 
(4) Obligations of any corporation of the United States government, 
(5) Prime banker's acceptances, 
(6) The Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services, 
(7) Repurchase agreements, and 
(8) Obligations of other political subdivisions of the State of Georgia. 
RECEIVABLES 
Receivables consist of grant reimbursements due on Federal, State or other grants for expenditures made but not reimbursed and other receivables disclosed from info11nation 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 
Litigation challenging property reassessments delayed the Pierce County Board ofCommissioners 
setting of the 1999 tax year (calendar year) property tax levy until August 1, 2000 (levy date). The 
 
- 10 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
 
final due date for taxes was November 30, 2000. The lien date for property taxes was January 1, 1999. As a result of the delays in establishing the 1999 property tax levy, tax collections for the current fiscal year were based on the 1998 tax digest. Taxes collected within the current fiscal year or within 60 days after year-end are reported as revenue in fiscal year 2000. The Pierce County Tax 
Commissioner bills and collects the property taxes for the Board of Education, withholds 2.5o/o of 
taxes collected as a fee for tax collection and remits the balance of taxes collected to the Board. 
 
The tax millage rate levied for the 1999 tax year (calendar year) for the Pierce County Board of Education was as follows (a mill equals $1 per thousand dollars of assessed value): 
 
School Operations 
 
13.87 mills 
 
SALES TAXES 
 
Special Purpose Local Option Sales Tax is to be used for capital outlay for educational purposes and debt service. Special Purpose Local Option Sales Tax revenue during the fiscal year amounted to $1,174,647.86 and was recorded in the Capital Projects and Debt Service Funds. The State will terrninate collection ofthis tax once an additional $3,181,120.17 has been collected or on June 30, 2002, whichever occurs first. 
 
INVENTORIES 
 
FOOD INVENTORIES Inventories of donated food commodities used in the preparation of meals are reported on the Combined Balance Sheet at their Federally assigned value. Purchased foods inventories are reported on the Combined Balance Sheet at cost (first-in, first-out). Donated food commodities are recorded as revenues and expenditures at the time commodity items are received. Purchased foods inventories are recorded as expenditures at the time ofpurchase. The inventories reported on the balance sheet for donated food commodities and for purchased foods are equally offset by reservations of fund balance which indicates that these amounts do not constitute ''available spendable resources'' even though they are a component of net current assets. 
 
COMPENSATED ABSENCES 
 
Compensated absences represent obligations of the Board relating to employees' rights to receive compensation for future absences based upon service already rendered. This obligation relates only to vesting accumulating leave in which payment is probable and can be reasonably estimated. No liability has been recorded in the individual funds for the current portion of this obligation as this amount is deemed immaterial to the general purpose financial statements. 
 
Additionally, the dollar value of accumulated compensated absences at June 30, which will be payable from future resources has not been recorded in the General Long-Terrn Debt Account Group as this liability is also deemed to be immaterial to the fair presentation ofthese financial statements. 
 
- 11 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
GENERAL OBLIGATION BONDS 
The Board issues general obligation bonds to provide funds for the acquisition and construction of major capital facilities. Bond premiums and discounts, as well as issuance costs, are recognized in the financial statements during the year bonds are issued. General obligation bonds are direct obligations and pledge the full faith and credit ofthe government. The outstanding amount ofthese bonds is recorded in the General Long-Tertn Debt Account Group. 
INTERFUND TRANSACTIONS 
The Board has the following types of interfund transactions: 
Reimbursements ofexpenditures initially made from a fund that are properly applicable to another fund are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed. 
Operating transfers are recorded for all interfund transactions other than reimbursements. 
MEMORANDUM ONLY - TOTAL COLUMNS 
Total columns on the general purpose financial statements are captioned ''Memorandum Only'' to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position or results ofoperations in conforrnity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. 
Note 2: DEPOSITS AND INVESTMENTS 
COLLATERALIZATION OF DEPOSITS Official Code of Georgia Annotated (OCGA) Section 45-8-12 provides that there shall not be on deposit at any time in any depository for a time longer than ten days a sum ofmoney which has not been secured by surety bond, by guarantee ofinsurance, or by collateral. The aggregate ofthe face value of such surety bond and the market value of securities pledged shall be equal to not less than 11 Opercent ofthe public funds being secured after the deduction ofthe amount ofdeposit insurance. Ifa depository elects the pooled method (OCGA 45-8-13.1) the aggregate ofthe market value ofthe securities pledged to secure a pool ofpublic funds shall be not less than 110 percent ofthe daily pool balance. OCGA Section 45-8-11 (b) provides an officer holding public funds may, in his discretion, waive the requirement for security in the case ofoperating funds placed in demand deposit checking accounts. 
 
- 12 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 2: DEPOSITS AND INVESTMENTS 
Acceptable security for deposits consists of any one of or any combination of the following: 
(1) Surety bond signed by a surety company duly qualified and authorized to transact business within the State of Georgia, 
(2) Insurance on accounts provided by the Federal Deposit Insurance Corporation, 
(3) Bonds, bills, notes, certificates of indebtedness or other direct obligations of the United States or of the State of Georgia, 
(4) Bonds, bills, notes, certificates of indebtedness or other obligations of the counties or municipalities of the State of Georgia, 
(5) Bonds of any public authority created by the laws of the State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose, 
(6) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia, and 
(7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest or debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Inte1n1ediate Credit Bank, the Central Bank for Cooperatives, the Fa1m Credit Banks, the Federal Home Loan Mortgage 
 Association, and the Federal National Mortgage Association. 
CATEGORIZATION OF DEPOSITS At June 30, 2000, the bank balances were $2,718,751.76. The amounts ofthe total bank balances are classified into three categories of credit risk: 
Category 1 - Cash that is insured (e.g., Federal depository insurance) or collateralized with securities held by the Board or by the Board's agent in the Board's name. 
Category 2 - Cash collateralized with securities held by the pledging financial institution's trust department or agent in the Board's name. 
Category 3 - Uncollateralized deposits. (This includes any bank balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Board's name.) 
The Board's deposits are classified by risk category at June 30, 2000, as follows: 
 
- 13 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 2: DEPOSITS AND INVESTMENTS 
 
Risk Category 
 
Bank Balance 
 
1 
 
$ 257,388.10 
 
2 
 
176,990.46 
 
3 
 
2,284,373.20 
 
Total 
 
$2,718,751.76 
 
CATEGORIZATION OF INVESTMENTS At June 30, 2000, the carrying value of the Board's total investments was $1,228,292.85 which is materially the same as fair value. This investment consisted entirely of funds invested in the Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services which are not required to be categorized since the Board did not own any specific identifiable securities in the pool. The investment policy ofthe State ofGeorgia, Office ofTreasury and Fiscal Services for the Local Government Investment Pool (Primary Liquidity Portfolio) does not provide for investment in derivatives or similar investments. A description of the Primary Liquidity Portfolio is as follows: 
 
The Primary Liquidity Portfolio consists of Georgia Fund 1, which is a combination local and state government investment pool, and Fund 6. Georgia Fund 1 is a stable net asset value investment pool which follows Standard and Poor's criteria for AAAm rated money market funds. The pool is not registered with the SEC as an investment company but does operate Georgia Fund 1 in a manner consistent with Rule 2a-7 ofthe Investment Company Act of 1940 and is considered to be a Rule 2a7 like pool. The pool's primary objectives are safety of capital, investment income, liquidity and diversification while maintaining principal ($1.00 per share value). Net asset value is calculated weekly to ensure stability. The pool distributes earnings (net of management fees) on a monthly basis and values participant's shares sold and redeemed based on $1.00 per share. Pooled cash and cash equivalents and investments are reported at cost which approximates fair value. The pool does not issue any legally binding guarantees to support the value ofthe shares. Participation in the pool is voluntary and deposits consist of funds from local governments; operating and trust funds of Georgia's state agencies, colleges and universities; and current operating funds of the State of 
Georgia's General Fund. 
 
Investments in Georgia Fund 1 and Fund 6 are directed toward short-term instruments such as U.S. Treasury obligations, securities issued or guaranteed as to principal and interest by the U. S. Government or any of its agencies or instrumentalities, banker's acceptances and repurchase agreements. The weighted average maturity of Georgia Fund 1 may not exceed 60 days. The weighted average maturity for Georgia Fund 1 on June 30, 2000, was 23 days. The average investment duration for Fund 6 on June 30, 2000, was .80 year. 
 
- 14 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 3: NON-MONETARY TRANSACTIONS 
 
The Board receives food commodities from the United States Department ofAgriculture (USDA) for school breakfast and lunch programs. These commodities are recorded at their Federally assigned 
value. See Note 1 - Inventories 
 
Note 4: RISK MANAGEMENT 
 
The Board is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors or omissions; job related illness or injuries to employees; natural disaster and unemployment compensation. 
 
The Board has ~btained commercial insurance for risk ofloss associated with torts, assets, errors or omissions and job related illness or injuries to. employees. The Board has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Board's insurance coverage in any of the past three years. 
 
The Board has elected to self-insure for all losses related to natural disaster. The Board has not experienced any losses related to this risk in the past three years. 
 
The Board is self-insured with regard to unemployment compensation claims. The Board accounts for claims within the same fund that the employee's salary and benefits were paid. Claims are accounted for with expenditure and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated. 
 
Changes in the unemployment compensation claims liability during the last two fiscal years are as follows: 
 
Beginning 
of Year 
Liability 
 
Claims and Changes in Estimates 
 
Claims Paid 
 
End ofYear 
Liability 
 
1999 2000 
 
$ 
 
0.00 $ 
 
0.00 $ 
 
o.oo $._ _ _...,,o=.o=o 
 
$ 
 
0.00 $ 
 
1,538.00 $ 
 
1,538.00 $_ _ _-"'o=.o"""o 
 
The Board has purchased surety bonds to provide additional insurance coverage as follows: 
 
Position Covered 
Superintendent Each Administrator 
 
Amount 
$ 50,000.00 $ 1,000.00 
 
- 15 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 . 
 
Note 5: GENERAL LONG-TERM DEBT 
 
INTERGOVERNMENTAL CONTRACT The Pierce County Board of Education entered into an intergovernmental contract with the City of Blackshear to construct water and sewer facilities for educational sites. The principal amount of $441,429.85 and interest at the annual rate of 5.163/o will be paid over a twenty year period. 
 
GENERAL OBLIGATION DEBT OUTSTANDING General Obligation Bonds currently outstanding are as follows: 
 
Purpose 
 
Interest Rates 
 
General Government - Series 1977 General Government - Series 1993 
 
5.503/o - 6.253/o 3.00% - 5.50% 
 
Amount 
$ 540,000.00 2,835,000.00 
$3,375,000.00 
 
The changes in General Long-Terrn Debt during the fiscal year ended June 30, 2000, were as follows: 
 
Intergovernmental Contract 
 
General Obligation 
Bonds 
 
Total 
 
Balance July 1, 1999 
 
$ 403,880.70 $ 3,680,000.00 $ 4,083,880.70 
 
Deductions Debt Retired 
 
15,027.28 
 
305,000.00 
 
320,027.28 
 
Balance June 30, 2000 
 
$ 388,853.42 $3,375,000.00 $3,763,853.42 
 
At June 30, 2000, payments due by fiscal year which includes principal and interest for these items are as follows: 
 
 
 
- 16 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 5: GENERAL LONG-TERM DEBT 
 
Fiscal Year Ended June 30 
 
Intergovernmental Contract 
 
General Obligation 
Bonds 
 
Total Debt 
 
2001 2002 2003 2004 2005 2006 - 2010 2011-2015 2016 - 2020 
 
$ 35,515.44 35,515.44 35,515.44 35,515.44 35,515.44 177,577.20 177,577.20 412371.31 
 
$ 488,660.00 486,038.75 429,182.50 273,040.00 271,098.75 
1,368,732.75 1,378,387.50 
 
$ 524,175.44 521,554.19 464,697.94 308,555.44 306,614.19 
1,546,309.95 1,555,964.70 
412371.31 
 
Total Principal and Interest $ 574,102.91 $ 4,695,140.25 $ 5,269,243.16 
 
Deduct Imputed Interest 
 
1852249.49 
 
Net Present Value of Future Minimum Lease Payments $ 388,853.42 
 
Note 6: ON-BEHALF PAYMENTS 
 
The Board has recognized revenues and expenditures in the amount of $287,395.62 for health insurance and retirement contributions paid on the Board's behalfby the following State Agencies. 
 
Georgia Department of Education Paid to the Georgia Department of Community Health For Health Insurance ofNon-Certified Personnel In the amount of $217,092.01 
 
Paid to the Teachers Retirement System of Georgia For Teachers Retirement System (TRS) Employer's Cost In the amount of $26,453.61 
 
Office of Treasury and Fiscal Services Paid to the Public School Employees Retirement System For Public School Employees Retirement (PSERS) Employer's Cost In the amount of $43,850.00 
 
Note 7: SIGNIFICANT COMMITMENTS 
 
The following is an analysis ofsignificant outstanding construction or renovation contracts executed by the Board as of June 30, 2000: 
 
- 17 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 7: SIGNIFICANT COMMITMENTS 
 
Project 
 
Unearned Executed Contracts 
 
OOG/99S-713-055 Chiller Installation 
 
$ 1,132.00 181,220.00 
 
$ 182,352.00 
 
- 
The amounts described in this note are not reflected in the general purpose financial statements. 
 
Note 8: CONTINGENT LIABILITIES 
 
Amounts received or receivable principally from the Federal government are subject to audit and review by grantor agencies. This could result in requests for reimbursement to the grantor agency for any expenditures which are disallowed under grant terms. The Board believes that such disallowances, if any, will be immaterial to its overall financial position. 
 
The Board is a defendant in a legal proceeding pertaining to matters incidental to the performance of routine Board operations. The ultimate disposition ofthis proceeding is not presently determinable, but is not believed to be material to the general purpose financial statements. 
 
Note 9: ACCUMULATED EMPLOYEES' LEAVE 
 
Employees retiring under the Teachers Retirement System ofGeorgia will be eligible for buy-back of all unused leave up to the 100 days maximum accumulation, at $15.00 per day. The employee must have a minimum of five consecutive years of employment with the Pierce County School System, contiguous with retirement, in order to qualify. 
 
Employees who terrninate employment (in good standing) with the Pierce County School System may apply for buy-back of unused leave, at $7.50 per day, in excess of 45 days not to exceed 100 days. The employee must have a minimum offive consecutive years ofemployment with the Pierce 
County School System, contiguous to voluntary tt:r111ination, in order to qualify. See Note 1 Compensated Absences 
 
Note 10: 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 defined benefit pension plan. TRS provides service retirement, disability retirement and 
 
- 18 - 
 
 PIERCE COUNTY BOARD OF EDUCATION 
 
EXHIBIT "D" 
 
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS 
 
JUNE 30, 2000 
 
Note 10: RETIREMENT PLANS 
 
survivors benefits for its members in accordance with State statute. The Teachers Retirement System of Georgia issues a separate stand alone financial audit report and a copy can be obtained from the Georgia Department of Audits and Accounts. 
 
TRS CONTRIBUTIONS REQUIRED AND MADE Employees of the Board who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. The Board makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. The required employer contribution rate is 11.293/o and employer contributions for the current fiscal year and the preceding two fiscal years are as follows: 
 
Fiscal Year 
2000 1999 1998 
 
Percentage Contributed 
 
 
Required Contribution 
 
100% 100% 100% 
 
$ 1,210,102.61 $ 1,177,498.70 $ 1,071,819.84 
 
 
 
- 19 - 
 
  
PIERCE COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET SPECIAL REVENUE FUND JUNE 30, 2000 
 
ASSETS 
Cash and Cash Equivalents 
Investments 
Accounts Receivable 
Inventories Food Donated Commodities Purchased Food 
 
SCHOOL FOOD 
SERVICES FUND 
 
LOTTERY PROGRAMS 
 
$ 
 
227,810.04 $ 
 
61,596.28 
 
129,278.79 
 
491.34 
 
19,786.87 6 898.44 
 
Total Assets 
 
$ 
 
384,265.48 $ ===6=1;,;;,5=96==28= 
 
LIABILITIES AND FUND EQUITY 
LIABILITIES 
Accounts Payable Salaries Payable Expired Grant Balances Payable 
Total Liabilities 
FUND EQUITY 
Fund Balances Reserved For Continuation of Federal Programs For Continuation of Lottery Programs For Inventories Food Donated Commodities Purchased Food Unreserved Undesignated 
Total Fund Equity 
 
$ 
 
5,573.78 $ 
 
14,869.94 
 
63,657.18 
 
46,726.34 
 
$ 
 
69,230.96 $ ---=6c.:.,;1,z.,:.59::.:6:.:2. :,::8;_ 
 
$ 
 
19,786.87 
 
6,898.44 
 
288,349.21 $ _ _ ____:0::.:.:.0~0;_ 
 
$ 
 
315,034.52 $ _ _ ____:0::.:.:.0~0;_ 
 
Total Liabilities and Fund Equity See notes to the general purpose financial statements. 
- 20 - 
 
$ 
 
384,265.48 $ ===6=1='5=96==28= 
 
 EXHIBIT "E" 
 
FEDERAL PROGRAMS 
 
OTHER PROGRAMS 
 
TOTALS 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
187,554.80 $ 
 
116,725.46 $ 
 
593,686.58 $ 
 
463,650.15 
 
129,278.79 
 
52,514.38 
 
13,358.00 
 
23,091.75 
 
36,941.09 
 
193,822.41 
 
19,786.87 6 898.44 
 
25,384.19 5 804.11 
 
$ 
 
200,912.80 $ 
 
139 817.21 $ 
 
786591.77 $ ====74=11=7=5.=24= 
 
$ 
 
29,448.92 $ 
 
90,149.02 
 
78 407.60 
 
$ 
 
198,005.54 $ 
 
1,733.65 $ 2,657.75 
4 391.40 $ 
 
51,626.29 $ 203,190.29 
78 407.60 
 
50,404.36 202,573.82 
76,047.52 
 
333,224.18 $ _ ___;3::.:2=9=,0=25=.;..;70:;_ 
 
$ 
 
2,907.26 
 
$ 
 
2,907.26 $ 
 
8,576.27 
 
41,564.00 
 
19,786.87 6,898.44 
 
25,384.19 5,804.11 
 
0.00 $ _ _1.;.;;3=5.;..;,4=2=5.;;;;.81~ 
 
423,775.02 
 
330,820.97 
 
$ 
 
2 907.26 $ 
 
135,425.81 $ 
 
453,367.59 $ _ _4.;.1.;.;;2;.i.1;..;.4.;.;9;.;;;.54-'-- 
 
 
 
$ 
 
200,912.80 $ 
 
139,817.21 $ 
 
786 591.77 $ ==7=4=1...,1..,7..,5...,24= 
 
- 21 - 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES 
SPECIAL REVENUE FUND YEAR ENDED JUNE 30, 2000 
 
REVENUES 
State Funds Federal Funds Other Funds 
Total Revenues 
EXPENDITURES 
Current Instruction Support Services Pupil Services Improvement of Instructional Services Educational Media Services General Administration School Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Other Support Services Food Services Operation 
Total Expenditures 
Excess of Revenues over (under) Expenditures 
OTHER FINANCING SOURCES 
Operating Transfers In 
Excess of Revenues and Other Financing Sources over (under) Expenditures 
FUND BALANCE JULY 1 
Food Inventory - Net Change in Period Donated Commodities Purchased Food 
 
SCHOOL FOOD 
SERVICES FUND 
 
LOTTERY PROGRAMS 
 
$ 
 
93,006.00 $ 
 
619,441.68 
 
760,767.20 
 
348,625.00 
 
$ 1,202,398.20 $ _ _.:;.6-'--'19'"'"4""'""4-'-1'-'-6. ;;..;8'- 
 
$ 
 
533,991.87 
 
67,932.12 3,594.88 
 
$ __1...,.1_4_6_.._,4-'-84_.-'-85-'-- 
 
16,242.31 1,924.98 512.18 
22,651.19 14,000.00 
495.86 
 
$ 1,146,484.85 $ _ _6_6_1..._,3_45_.3_9_ 
 
$ 
 
55,913.35 $ 
 
-41,903.71 
 
339.71 
 
$ 
 
55,913.35 $ 
 
263,624.16 
 
-41,564.00 41,564.00 
 
-5,597.32 1 094.33 
 
FUND BALANCE JUNE 30 
See notes to the general purpose financial statements. - 22 - 
 
$ 
 
315,034.52 $ ====0==00=== 
 
  
EXHIBIT "F" 
 
FEDERAL PROGRAMS 
 
OTHER PROGRAMS 
 
TOTALS 
 
YEAR ENDED 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
46,908.00 $ 
 
1,165,241.96 
 
$ 1,212,149.96 $ 
 
140,367.00 $ 
38,000.00 
178 367.00 $ 
 
899,722.68 $ 
1,926,009.16 386,625.00 
3,212,356.84 $ 
 
869,435.09 1,934,612.23 
359,527.49 
3,163,574.81 
 
$ 1,002,805.76 $ 
13,215.00 34,381.26 
146,491.80 
 
392.40 20,729.29 
 
$ 1,218,015.51 $ 
 
$ 
 
-5,865.55 $ 
 
48,201.18 $ 1,584,998.81 $ 1,472,287.94 
 
106,959.30 
 
81,147.12 144,935.44 
162,734.11 1,924.98 512.18 
23,043.59 14,000.00 21,225.15 1,146,484.85 
 
74,001.07 178,865.97 
1,771.42 151,642.00 
883.89 103.00 442.00 10,658.23 21,706.39 1,104,516.12 
 
155,160.48 $ 3,181,006.23 $ 3,016,878.03 
 
23,206.52 $ 
 
31,350.61 $ 
 
146,696.78 
 
196.54 
 
13 834.18 
 
14 370.43 
 
12,424.43 
 
$ 
 
-5,669.01 $ 
 
37,040.70 $ 
 
45,721.04 $ 
 
159,121.21 
 
8,576.27 
 
98,385.11 
 
412,149.54 
 
255,162.18 
 
-5,597.32 1 094.33 
 
-2,682.26 548.41 
 
$ 
 
2 907.26 $ 
 
135,425.81 $ 
 
453,367.59 $ ==4=1=2.,.;1,...49==54,;,., 
 
- 23 - 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET CAPITAL PROJECTS FUND JUNE 30, 2000 
 
ASSETS Cash and Cash Equivalents Investments Accounts Receivable 
 
REGULAR 
 
GEORGIA STATE FINANCING AND 
INVESTMENT COMMISSION 
 
$ 
 
50,000.00 $ 
 
61,284.70 
 
Total Assets 
 
$ 
 
50,000.00 $ =====6""'1=28...,4=.7=0= 
 
LIABILITIES AND FUND EQUITY 
LIABILITIES 
Cash Overdraft Accounts Payable Contracts Payable Retainages Payable 
Total Liabilities 
FUND EQUITY 
 
Fund Balances Reserved For SPLOST Projects For State Capital Outlay Projects Unreserved Undesignated 
Total Fund Equity 
Total Liabilities and Fund Equity 
 
$ 
 
61,284.70 
 
$ _ _....;5;.;;;0..i.;;,0"""0.;:;.;0.=00;;_ 
 
0.00 
 
$ 
 
50,000.00 $ _ _......;;;.6..;..1,=28"-4'-'-.7;..;;0;... 
 
50,000.00 $ 61,284.70 $ ---- - 
 
- - - -- ----- 
 
- 
 
--- -- - - - ------ 
 
See notes to the general purpose financial statements. - 24 - 
 
  
EXHIBIT "G" 
 
SPECIAL PURPOSE LOCAL OPTION SALES TAX 
 
$ 
 
64,228.34 $ 
 
735,276.27 
 
194 468.65 
 
LOTTERY PROJECT 
 
TOTALS 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
38,630.43 $ 
 
214,143.47 $ 
 
7,766.00 
 
735,276.27 
 
798,231.20 
 
17,922.05 
 
212,390.70 
 
502,845.27 
 
$ 
 
993,973.26 $ 
 
56,552.48 $ 
 
1,308,842.47 
 
$ - 149,310.68 
 
$ 
 
3,960.00 
 
$ 
 
3,960.00 
 
$ 
 
39,322.48 
 
39,322.48 
 
22,678.00 
 
17,230.00 
 
39,908.00 
 
231,926.62 38,082.00 
 
$ 
 
26,638.00 $ 
 
56,552.48 $ 
 
83I190.48 $ _ _4.;..;1~9=,3..;.;19::;.;..3.;:;.;0~ 
 
$ 
 
967,335.26 
 
$ 
 
967,335.26 $ 
 
869,610.17 
 
61,284.70 
 
19,913.00 
 
o.oo $ ____.;c.;o.=oo"- 
 
50,000.00 
 
0.00 
 
$ 
 
967,335.26 $ 
 
0.00 $ 1,078,619.96 $ ----'8;;.;;;8;.;;;.9=,5=23::;.;...;..;17'--- 
 
$ 
 
993,973.26 $ 
 
56,552.48 $ 
 
1,161,810.44 $ 
----------- 
 
1-,-3-08- -,8-- 4-2-.4-7- 
 
- 25- 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
CAPITAL PROJECTS FUND 
YEAR ENDED JUNE 30, 2000 
 
REVENUES 
State Funds Taxes Other Funds 
Total Revenues 
EXPENDITURES 
Capital Outlay Building and Building Improvements Equipment 
Total Expenditures 
Excess of Revenues over (under) Expenditures 
OTHER FINANCING SOURCES (USES) 
Operating Transfers In Operating Transfers Out 
Total Other Financing Sources (Uses) 
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses 
FUND BALANCE JULY 1 
 
REGULAR 
 
GEORGIA STATE FINANCING AND 
INVESTMENT COMMISSION 
 
$ 
 
269,356.75 
 
$ _ _ _ __;o;..;..o;:;,.;o;_ 
 
$ 
 
0.00 $ _ _--=2:;.;;;6.;;.9.,;;;,3.;;.56=..;..75;c.__ 
 
$ 
 
0.00 $ 
 
208,072.05 
 
$ 
 
0.00 $ ----=2:..;;;0.;;;.8.,;;0;.,.;.;72~.;;.,;05;c.__ 
 
$ 
 
0.00 $ _ __..;:;6.,:..1,i=;:2.;;;.84..:..:..;...70;c.__ 
 
$ 
 
50,000.00 
 
$ _ _...:::5:.::,0i0,:.:.,:::.;00::.:..0::::..:0~ 
 
$ 
 
50,000.00 $ 
 
0.00 
 
61,284.70 0.00 
 
FUND BALANCE JUNE 30 
 
$ 
 
50,000.00 $ =====6=1.2..,..84==70= 
 
See notes to the general purpose financial statements. 
- 26 - 
 
 EXHIBIT "H" 
 
SPECIAL PURPOSE LOCAL OPTION SALES TAX 
 
LOTTERY PROJECT 
 
TOTALS 
 
YEAR ENDED 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
167,074.00 $ 
 
436,430.75 $ 
 
326,160.95 
 
$ 
 
708,887.86 
 
708,887.86 
 
608,939.49 
 
37 045.07 
 
37 045.07 
 
21 848.01 
 
$ 
 
745 932.93 $ 
 
167074.00 $ 1,182,363.68 $ _ _9"'-'5'-"6"""',9_4.;...8.~45=-- 
 
 
 
$ 
 
386,484.90 $ 
 
353,644.00 $ 
 
948,200.95 $ 
 
479,314.65 
 
95 065.94 
 
95,065.94 
 
59 115.00 
 
$ 
 
481 550.84 $ 
 
353,644.00 $ 1,043,266.89 $ _ _5=3:.;;8.1,.;,4;.:;:;2.;:;.;9'=65=-- 
 
$ 
 
264,382.09 $ 
 
-186,570.00 $ 
 
139,096.79 $ _ _4.;...1'-"8.L.,;;,5~1.;:;.;8..;;..80=-- 
 
$ $ _ _-1.:.;:6:.:::6..1..6::,..::;5.:...;7=00=-- 
 
$ 
 
-166 657.00 $ 
 
. 166,657.00 $ 166,657.00 $ 
 
216,657.00 $ -166,657.00 
 
112,620.50 -112,027.00 
 
50,000.00 $ _ _ _--"5-"-93"-.',.;:;.;50;;.... 
 
$ 
 
97,725.09 $ 
 
-19,913.00 $ 
 
189,096.79 $ 
 
419,112.30 
 
869,610.17 
 
19,913.00 
 
889,523.17 
 
470 410.87 
 
$ 
 
967,335.26 $ 
 
0.00 $ 1,078,619.96 $==8=8=9=,5=23==17.,.. 
 
 
- 27 - 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINING BALANCE SHEET DEBT SERVICE FUND JUNE 30, 2000 
 
EXHIBIT "I" 
 
ASSETS Cash and Cash Equivalents Accounts Receivable 
Total Assets 
 
PROPERTY TAXES FOR BOND DEBT 
 
SPECIAL PURPOSE LOCAL OPTION SALES TAX 
 
TOTALS 
 
JUNE 30, 2000 
 
JUNE 30, 1999 
 
$ 
 
6,099.45 $ 
 
0.00 $ 
 
6,099.45 $ 
 
24,468.42 
 
16,778.54 
 
$ 
 
6,099.45 $ 
 
0.00 $ 
 
6,099.45 $===4=1,!;;2=46==96= 
 
LIABILITIES AND FUND EQUITY 
LIABILITIES 
Cash Overdraft 
FUND EQUITY 
Fund Balances Reserved For Debt Service Unreserved Undesignated 
Total Fund Equity 
 
$ 
 
6,099.45 
 
0.00 $ 
 
$ 
 
6,099.45 $ 
 
$ _ _....;1..::.5i.:;,8:::.;86::..:..2=.;5~ 
 
$ 0.00 0.00 $ 
 
6,099.45 $ 
 
25,360.71 
 
0.00 
 
0.00 
 
6,099.45 $ _ _-"2=5.._,3..::.60-'-'.-'--71'-- 
 
Total Liabilities and Fund Equity 
 
$ 
 
6,099.45 $ 
 
0.00 $ 
 
6,099.45 $===4=11=2=46=.9=6= 
 
See notes to the general purpose financial statements. 
 
- 28 - 
 
 PIERCE COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES 
DEBT SERVICE FUND 
YEAR ENDED JUNE 30, 2000 
 
EXHIBIT "J" 
 
REVENUES 
Taxes Other Funds 
Total Revenues 
EXPENDITURES 
Debt Service Principal Interest Paying Agent Fees 
Total Expenditures 
Excess of Revenues over (under) Expenditures 
OTHER FINANCING SOURCES (USES) 
Operating Transfers In Operating Transfers Out 
Total Other Financing Sources (Uses) 
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses 
FUND BALANCE JULY 1 
 
 
PROPERTY TAXES FOR BOND DEBT 
 
SPECIAL PURPOSE LOCAL OPTION SALES TAX 
 
TOTALS YEAR ENDED 
JUNE 30, 2000 JUNE 30, 1999 
 
$ 6,710.13 $ 418.15 
$ 7,128.28 $ 
 
465,760.00 $ 465,760.00 $ 
 
472,470.13 $ 418.15 
 
513,349.85 474.14 
 
472,888.28 $ _ _;5::..:1..::.3'-=,8::;23:.:..9::..:9c.... 
 
$ 
$ 1,888.29 $ 1,888.29 $ $ 5,239.99 $ 
 
305,000.00 $ 185,261.25 
490,261.25 $ -24,501.25 $ 
 
305,000.00 $ 185,261.25 
1,888.29 
 
295,000.00 200,886.25 
1 884.10 
 
492,149.54 $ 497,770.35 
 
-19,261 .26 $ _ ___;1.,::.6J.:C0.I::.;53:.:.6=-4c.... 
 
$ 
$ -24,501.25 
$ -24,501.25 $ 
 
24,501.25 $ 
 
24,501.25 -24,501.25 
 
24,501.25 $ _ _ __;0:..:..0::..:0c.... 
 
$ -19,261.26 $ 25,360.71 
 
0.00 $ 0.00 
 
-19,261.26 $ 25,360.71 
 
16,053.64 9,307.07 
 
FUND BALANCE JUNE 30 
 
$ 6,099.45 $ 
 
0.00 $ 
 
6,099.45 $ ====2=5=,3=60==71= 
 
See notes to the general purpose financial statements. 
 
- 29- 
 
  
PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 
YEAR ENDED JUNE 30, 2000 
 
SCHEDULE "1" 
 
FUNDING AGENCY PROGRAM/GRANT 
 
CFDA NUMBER 
 
PASS THROUGH 
ENTITY ID 
NUMBER 
 
FEDERAL  REVENUE IN PERIOD 
 
EXPENDITURES IN PERIOD 
 
Agriculture, U. S. Department of Child Nutrition Cluster Pass-Through From Georgia Department of Education Food and Nutrition Program Food Services School Breakfast Program National School Lunch Program 
Total Child Nutrition Cluster 
 
10.553 10.555 
 
N/A 
 
$ 153,879.39 
 
(2) 
 
N/A 
 
538,042.83 $ 1,093,675.54 (3) 
 
$ 691,922.22 $ 1,093,675.54 
 
Other Programs Pass-Through From Georgia Department of Education Food and Nutrition Program Food Distribution Program (1) Pass-Through From Office of School Readiness Food and Nutrition Program Child and Adult Care Food Program 
Total U. S. Department of Agriculture 
 
10.550 10.558 
 
N/A 
 
52,809.31 
 
52,809.31 
 
N/A 
 
16,035.67 
 
(2) 
 
$ 760,767.20 $ _ _.:.1,c.:_14.:.:6:.,_,4.:.:84:..:.:8.:.;:..5 
 
Education, U. S. Department of Special Education Cluster Pass-Through From Georgia Department of Education Individuals with Disabilities Education Act Part B - Special Education Flow Through Preschool Capacity Building Improvement 
Total Special Education Cluster 
 
84.027 84.173 84.173 
 
N/A $ 228,656.35 $ 
 
NIA 
 
27,534.00 
 
N/A 
 
7,700.00 
 
$ 263,890.35 $ 
 
228,656.35 27,534.67 (3) 7,700.00 
263,891.02 
 
Other Programs Pass-Through From Georgia Department of Education Elementary and Secondary Education Act Title I Grants to Local Educational Agencies Title II Eisenhower Professional Development 
Title 111 
Technology Literacy Challenge Fund Grants Title VI 
Innovative Education Program Strategies Class Size Reduction 
Goals 2000 
State and Local Education Systemic Improvement 
Grants Vocational Education - Basic Grants to States 
High School Program Basic Grant 
Pass-Through From Berrien County Board of Education d/bla Southern Pines Migrant Education Agency Elementary and Secondary Education Act Title I Migrant Education 
Pass-Through From Okefenokee Regional Educational Service Agency Safe and Drug-Free Schools 
 
 84.010 
84.281 
84.318 84.298 84.340 
 84.276 
84.048 
84.011 84.186 
 
Total U. S. Department of Education 
 
NIA 
 
555,922.63 
 
556,112.28 (3) 
 
NIA 
 
16,792.00 
 
13,884.74 
 
NIA 
 
8,576.27 
 
NIA 
 
21,758.00 
 
21,758.00 
 
NIA 
 
79,344.00 
 
79,350.22 (3) 
 
NIA 
 
129,705.00 
 
176,613.00 (3) 
 
NIA 
 
40,541.50 
 
40,541.50 
 
NIA 
 
19,153.59 
 
19,153.59 
 
NIA 
 
12,261.00 
 
12,261.00 
 
$ 1,139,368.07 $ _ _:...1,..:..:19:::2:,.;1,:..:4.:.:1c::;62=- 
 
 30- 
 
 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 
YEAR ENDED JUNE 30, 2000 
 
SCHEDULE "1" 
 
FUNDING AGENCY PROGRAM/GRANT 
Labor, U. S. Department of Pass-Through From Southeast Regional Development Center Job Training Partnership Act JTPA-99B-02 JTPA-OOB-02 
Total U. S. Department of Labor 
 
CFDA NUMBER 
 
PASSTHROUGH 
ENTITY ID 
NUMBER 
 
FEDERAL REVENUE IN PERIOD 
 
EXPENDITURES IN PERIOD 
 
17.250 17.250 
 
N/A 
 
$ 25,776.89 $ 
 
N/A 
 
12,358.00 
 
25,776.89 12,358.00 
 
$ 38,134.89 $ - - - ~38~,134-.8-9 
 
Total Federal Financial Assistance NIA= Not Available . 
 
$ 1,938,270.16 $ ===2,3=76=,7=61=.36- 
 
Notes to the Schedule of Expenditures of Federal Awards 
 
(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 Child and Adult Care Food Program and the School Breakfast Program were not maintained separately and are included in the 2000 National School Lunch Program. 
(3) Expenditures for this program include State, and/or Other Funds. Expenditures are not maintained by fund source. 
 
Major Programs are identified by an asterisk (*) in front of the CFDA number. 
 
The Board did not provide Federal Assistance to any Subrecipient. 
 
The accompanying schedule of expenditures of Federal awards includes the Federal grant activity of the Pierce County Board of Education and is presented on the modified accrual basis of accounting which is the basis of accounting used in the presentation of the general purpose financial statements. 
 
 
 
See notes to the general purpose financial statements. 
 
- 31 - 
 
 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30, 2000 
 
SCHEDULE "2" 
 
AGENCY/FUNDING 
GRANTS Education, Georgia Department of Quality Basic Education General and Career Education Programs Special Education Programs Remedial Education Program Media Center Programs Staff Development Programs Indirect Cost Pupil Transportation Regular Bus Replacement Middle School Incentive Program Special Instructional Assistance In-School Suspension Mid-term Adjustment Migrant Education Counselors Grades 4 and 5 Technology Specialist Local Five Mill Share Educational Equalization Funding Grant Food Services Vocational Education Other State Programs Alternative Program Apprenticeship Program At-Risk Summer School Program Health Insurance Mentor Teacher Program Preschool Handicapped Program Remedial Summer School Program Special Education Low Incidence Grant Teachers' Retirement Year 2000 Project Funding Lottery Programs Assistive Technology Computers in the Classroom Exceptional Growth-Capital Outlay 
Georgia State Financing and Investment Commission Reimbursement on Construction Projects 
Office of the Governor Sexuality Education 
Office of School Readiness Pre-Kindergarten Program 
Office of Treasury and Fiscal Services 
Public School Employees Retirement 
CONTRACT Education, Georgia Department of Reading First Program 
 
GOVERNMENTAL FUND TYPES 
 
SPECIAL 
 
CAPITAL 
 
GENERAL 
 
REVENUE 
 
PROJECTS 
 
FUND 
 
FUND 
 
FUND 
 
TOTAL 
 
$ 7,060,913.00 
920,319.00 181,794.00 293,273.00 
78,850.00 1,857,099.00 
 
$ 7,060,913.00 
920,319.00 181,794.00 293,273.00 
78,850.00 1,857,099.00 
 
367,836.00 109,399.00 262,999.00 281,612.00 
67,219.00 64,872.00 
1,538.00 27,803.00 28,842.00 -941,443.00 1,117,501.00 
98,231.00 
 
$ 93,006.00 
104,000.00 
 
367,836.00 109,399.00 262,999.00 281,612.00 
67,219.00 64,872.00 
1,538.00 27,803.00 28,842.00 -941,443.00 1,117,501.00 93,006.00 202,231.00 
 
50,845.00 2,000.00 
12,775.51 217,092.01 
2,592.00 35,867.00 
5,092.12 5,391.00 26,453.61 34,495.00 
 
50,845.00 2,000.00 
12,775.51 217,092.01 
2,592.00 35,867.00 
5,092.12 5,391.00 26,453.61 34,495.00 
 
15,779.95 70,201.00 
 
$ 167,074.00 
 
15,779.95 70,201.00 167,074.00 
 
269,356.75 36,367.00 533,460.73 43,850.00 
 
269,356.75 36,367.00 
533,460.73 43,850.00 
 
46,908.00 
 
46,908.00 
 
$ 12,315,110.25 $ 899,722.68 $ 436,430.75 $ 13,651,263.68 
 
See notes to the general purpose financial statements. 
 
- 32 - 
 
 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF APPROVED LOCAL OPTION SALES TAX PROJECTS 
YEAR ENDED JUNE 30, 2000 
 
SCHEDULE "3" 
 
PROJECT 
Retirement of and the reduction of certain outstanding general obligation debts 
Renovation, construction, improvement, retrofitting and technology equipping at Pierce County High School, Pierce County Middle School, Patterson Elementary School and Blackshear Elementary School 
 
ORIGINAL ESTIMATED 
COST (1) 
 
CURRENT ESTIMATED COSTS (2) 
 
AMOUNT EXPENDED IN CURRENT 
YEAR (3) 
 
AMOUNT EXPENDED 
IN PRIOR YEARS 
 
$ 2,784, 168.00 $ 2,784, 168.00 $ 490,261.25 $ 923,573.43 
 
3,615,832.00 
 
3,615,832.00 
 
1,043,266.89 
 
580,527.62 
 
$ 6,400,000.00 $ 6,400,000.00 $ 1,533,528.14 $ 1,504,101.05 
 
(1) The Board's original cost estimate as specified in the resolution calling for the imposition of the Local Option Sales Tax. 
(2) The Board's current estimate of total cost for the projects. Includes all cost from project inception to completion. 
(3) The voters of Pierce County approved the imposition of a 1/o sales tax to fund the above projects. Amounts expended for these projects may include sales tax proceeds, state, local property taxes and/or other funds over the life of the projects. 
 
See notes to the general purpose financial statements. 
 
- 33- 
 
  
PIERCE COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS - OVERALL 
GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS 
YEAR ENDED JUNE 30, 2000 
 
SCHEDULE "4" 
 
Minimum Expenditure Requirements (Total Allotment) Expenditures on Combined Program Basis 
Salaries Operations 
Less: Expenditures for Media Center Programs in Excess of Total Media Allotment 
Expenditures per Audit 
Amount of Underexpenditure for Total Allotment 
 
FOURTEEN WEIGHTED AND MEDIA CENTER 
PROGRAMS 
 
100/o TEST FOR 
OPERATIONS PORTION OF FOURTEEN WEIGHTED PROGRAMS 
 
$ 
 
8,521,171.00 $ _ __;;;;,.27;..;;;2;.,.;,5;;.;;;2=5,;.;;;.0..;...0 
 
$ 
 
9,361,096.33 
 
670,299.61 $ ---=58;;.;:;5-',;;,5;..;.0.;:;.;8=14~ 
 
$ 
 
10,031,395.94 
 
' 
-91,454.80 
 
$ 
 
9,939,941.14 
 
$ 
 
0.00 $ =====O=.O=O 
 
See notes to the general purpose financial statements. 
- 35 - 
 
 PIERCE COUNTY BOARD OF EDUCATION ANALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS. BY PROGRAM 
GENERAL FUND QUALITY BASIC EDUCATION PROGRAMS YEAR ENDED JUNE 30. 2000 
 
GENERAL AND CAREER EDUCATION PROGRAMS 
Kindergarten (*) 
Grades 1 - 3 (*) 
Sub-Total K-3 
Grades 4 - 5 (*) Grades 6  8 (*) 
Grades 9 - 12 (*) High School Laboratories (*) Vocational Education Laboratories (*) 
Total General and Career Education Programs SPECIAL EDUCATION PROGRAMS 
Regular Programs Category I (*) Category II (*) Category Ill (*) Category IV (*) Category V (*) Sub-Total Regular Category VI (Gifted)(*) 
Total Special Education Programs 
REMEDIAL EDUCATION PROGRAM{*) Total Fourteen Weighted Programs 
MEDIA CENTER PROGRAMS Salaries Operations Total Media Center Programs 
 
ALLOTMENTS FROM GEORGIA DEPARTMENT OF 
 
REQUIRED 
 
ORIGINAL 
 
% 
 
ORIGINAL 
 
MID-TERM 
 
$ 
 
729.181.00 
 
$ 
 
656,262.90 
 
2,014,553.00 
 
-------- 1.813,097.70 $ 
 
12,974.40 
 
$ 2,743,734.00 90 $ 2,469,360.60 $ 
 
12,974.40 
 
829,993.00 90 
 
746,993.70 
 
19,461.80 
 
1,574,462.00 90 
 
1,417,015.80 
 
1,003,569.00 90 
 
903,212.10 
 
19,461.60 
 
284,883.00 90 
 
256,394.70 
 
624,272.00 90 
 
561,844.80 
 
$ 7,060,913.00 
 
$ 6,354,821.70 $ ---'5'-1"'"',8"'"9_7.;.;.8.a.O 
 
$ 
 
832,401.00 
 
$ 
 
749,160.90 $ 
 
0.00 
 
$ 
 
832,401.00 _ 90 $ 
 
749,160.90 $ 
 
0.00 
 
87,918.00 90 
 
79,126.20 
 
6,487.00 
 
$ 
 
920,319.00 
 
$ 
 
s_ _ 828,287.1 o 
 
......;;6.._,4""'"8_7.;. ; .o.a. o 
 
$ 
 
181,794.00 90 $ 
 
163,614.60 $ _ _......;;6.._,4;.;;8..;..7;.;;;2.a..O 
 
$ 8,163,026.00 
 
s $ 7,346,723.40 ---'6'-4"'"',8'-'-7.;;;.2."""o.a..o 
 
$ 
 
233,891.00 90 $ 
 
210,501.90 $ 
 
0.00 
 
59,382.00 100 
 
59,382.00 
 
$ 
 
293,273.00 
 
$ 
 
269,883.90 $ _ _ ___;;0.;.;;.0~0 
 
Total Fourteen Weighted and Media Center Programs $ -----8-,-4-5-6-,2-9- 9.00- 
 
STAFF DEVELOPMENT PROGRAMS 
Cost of Instruction Professional Development 
 
$ 
 
25,619.00 
 
53,231.00 
 
------= $ 7,616,607.30 $ 
 
64,872.00 
 
$ 
 
25,619.00 $ 
 
0.00 
 
53,231.00 
 
0.00 
 
Total Staff Development Programs (*) Identifies Fourteen Weighted Programs. See notes to the general purpose financial statements. 
 
$ 
 
78,850.00 100 $ 
 
----- 78,850.00 $ 
 
0...0..0.. 
 
 36  
 
  SCHEDULE "5" 
 
EDUCATION TOTAL 
REQUIRED 
 
ACTUAL EXPENDITURES 
 
SALARIES 
 
OPERATIONS 
 
TOTAL 
 
AMOUNT OF UNDEREXPENDITURE 
FOR REQUIRED ALLOTMENT 
 
$ 
 
656,262.90 $ 
 
730,621.82 $ 
 
20,375.12 $ 
 
750,996.94 
 
 
 
1,826,072.10 
 
2,327,885.19 
 
113,502.33 
 
2,441,387.52 
 
$ 2,482,335.00 $ 
 
3,058,507.01 $ 
 
133,877.45 $ 3,192,384.46 $ 
 
0.00 
 
766,455.50 
 
751,887.56 
 
68,040.86 
 
819,928.42 
 
0.00 
 
1,417,015.80 
 
1,604,892.17 
 
130,209.47 
 
1,735,101.64 
 
0.00 
 
922,673.70 
 
1,215,498.03 
 
169,355.26 
 
1,384,853.29 
 
0.00 
 
256,394.70 
 
371,214.02 
 
13,342.68 
 
384,556.70 
 
0.00 
 
561,844.80 
 
687,311.05 
 
63,428.05 
 
750,739.10 
 
0.00 
 
$ 6,406,719.50 $ 
 
7,689,309.84 $ 
 
578,253.77 $ 8,267,563.61 
 
$ 
 
749,160.90 
 
$ 
 
$ 
173,838.46 711,981.40 
67,505.13 2,555.60 
 
97.07 $ 607.41 
 
97.07 173,838.46 712,588.81 67,505.13 
2,555.60 
 
$ 
 
749,160.90 $ 
 
955,880.59 $ 
 
704.48 $ 
 
956,585.07 
 
0.00 
 
85,613.20 
 
114,361.66 
 
4,524.59 
 
118,886.25 
 
0.00 
 
$ 
 
834,774.10 $ 
 
1,070,242.25 $ 
 
5,229.07 $ 1,075,471.32 
 
$ 
 
170,101.80 $ 
 
301,607.91 $ 
 
2,025.30 $ _____3_03=,6_3=3=.2-"-1 
 
0.00 
 
$ 7,411,595.40 $ 
 
9,061,160.00 $ 
 
585,508.14 $ 9,646,668.14 
 
$ 
 
210,501.90 $ 
 
299,936.33 
 
$ 
 
299,936.33 
 
59,382.00 - - - - - - $ _ _...;8:;..4;:.;7,;.:9;.:.1.:..:.4..;...7 
 
84,791.47 
 
$ 
 
269,883.90 $ 
 
299,936.33 $ 
 
84,791.47 $ _ _.:;;38:;..4;:.;,7;.:2;.:..7:..::.8:..0 
 
0.00 0.00 
 
$ 7,681,479.30 $ 
 
9,361,096.33 $ 
 
670,299.61 $ 
 
10,031,395.94 $ - - - - - - - -- - -- - 
 
- 
 
0.00- 
 
$ 
 
25,619.00 
 
53,231.00 
 
s ===78=,8=s=o=.o=o 
 
$ 
 
49,091.53 $ 
 
49,091.53 
 
33,997.63 
 
33,997.63 
 
$ 
 
s_ _ _ _ _ _ _ 83,089.16 
 
$ 
 
------ 
 
8 
- 
 
3-, 
 
0-8-9 
 
. 
 
1 
 
6 
 
o_.o-=o 
 
- 37 - 
 
 SECTION II COMPLIANCE AND INTERNAL CONTROL REPORTS 
 
 
 RusSELL W. HINTON 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
March 8, 2001 
 
Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education 
and Superintendent and Members of the Pierce County Board of Education 
REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS 
Ladies and Gentlemen: 
We have audited the financial statements ofPierce County Board ofEducation as ofand for the year ended June 30, 2000, and have issued our report thereon dated March 8, 2001. This report was qualified for various departures from generally accepted accounting principles, as identified in the auditor's report on the general purpose financial statements. We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. 
Compliance 
As part of obtaining reasonable assurance about whether Pierce County Board of Education's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the dete1mination offinancial statement amounts. However, providing an opinion on compliance with those provisions was not an objective ofour audit, and accordingly, we do not express such an opinion. The results ofour tests disclosed no instances ofnoncompliance that are required to be reported under Government Auditing Standards. 
Internal Control Over Financial Reporting 
In planning and perfor111ing our audit, we considered Pierce County Board of Education's internal control over financial reporting in order to dete1mine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control over financial reporting. However, we noted a certain matter involving the internal control 
2000YB-40 
 
 over financial reporting and its operation that we consider to be a reportable condition. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the desigi1 or operation ofthe internal control over financial reporting that, in ourjudginent, could adversely affect Pierce County Board of Education's ability to record, process, summarize and report financial data consistent with assertions of management in the financial statements. The reportable condition is described in the accompanying Schedule ofFindings and Questioned Costs as item FS-7131-00-01. 
A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the financial statements being audited may occur and not be . detected within a timely period by employees in the normal course of perforrning their assigned functions. Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control that might be reportable conditions, and accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, the reportable condition noted above is considered to be a material weakness. 
This report is intended solely for the information and use of management, members of the Pierce County Board ofEducation, Federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. 
.,,---..R..e..s:pectfully submitted, 
 
 
RWH:gp 2000YB-40 
 
Ru sell W. Hinton State Auditor 
 
 RussELL W. H1NTON 
STATE AUDITOR 
(404) 6562174 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
March 8, 2001 
 
Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education 
and Superintendent and Members of the Pierce County Board of Education 
REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH 0MB CIRCULARA-133 
Ladies and Gentlemen: 
Compliance 
We have audited the compliance ofPierce County Board ofEducation with the types ofcompliance requirements described in the U.S. Office of Management and Budget (0MB) Circular A-133 Compliance Supplement that are applicable to each ofits major Federal programs for the year enped June 30, 2000. Pierce County Board of Education's major Federal programs are identified in the accompanying Schedule ofFindings and Questioned Costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to each of its major Federal programs is the responsibility ofPierce County Board of Education's management. Our responsibility is to express an opinion on Pierce County Board of Education's compliance based on our audit. 
We conducted our audit ofcompliance in accordance with generally accepted auditing standards; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and 0MB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and 0MB Circular A-133 require that we plan and perforrn the audit to obtain reasonable assurance about whether noncompliance with the types ofcompliance requirements referred to above that could have a direct and material effect on a major Federal program occurred. An audit includes examining, on a test basis, evidence about the Pierce County Board ofEducation's compliance with those requirements and perfo1n1ing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on Pierce County Board of Education's compliance with those requirements. 
2000SA-40 
 
 In our opinion, the Pierce County Board of Education complied, in all material respects, with the requirements referred to above that are applicable to each of its major Federal programs for the year ended June 30, 2000. 
Internal Control Over Compliance 
The management of Pierce County Board of Education is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to Federal programs. In planning and performing our audit, we considered Pierce County Board ofEducation's internal control over compliance with requirements that could have a direct and material effect on a major Federal program in order to dete1mine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on internal control over compliance in accordance with 0MB Circular A-133. 
We noted a certain matter involving the internal control over compliance and its operation that we consider to be a reportable condition. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation ofthe internal control over compliance that, in our judgment, could adversely affect the Pierce County Board of Education's ability to administer a major Federal program in accordance with applicable requirements oflaws, regulations, contracts and grants. The reportable condition is described in the accompanying Schedule of Findings and Questioned Costs as item FA-7131-00-01. 
A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level of risk that noncompliance with the applicable requirements oflaws, regulations, contracts and grants that would be material in relation to a major Federal program being audited may occur and not be detected within a timely period by employees in the no1mal course of perfor1ning their assigned functions. Our consideration of the internal control over compliance would not necessarily disclose all matters in the internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses. However, we believe the reportable condition described above is not a material weakness. 
This report is intended solely for the info11nation and use of management, members of the Pierce County Board ofEducation, Federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. 
Respectfully submitted, 
l<l. ..._ 
sell W. Hinton State Auditor 
RWH:gp 
2000SA-40 
 
  
SECTION ill 
AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
  
PIERCE COUNTY BOARD OF EDUCATION AUDITEE'S RESPONSE 
SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 2000 
 
PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
 
FINDING CONTROL NUMBER AND STATUS 
 
FS-7131-98-01 FS-7131-99-01 FS-7131-99-02 
 
Further Action Not Warranted Previously Reported Corrective Action Implemented Unresolved - See Corrective Action/Responses 
 
CORRECTIVE ACTION/RESPONSES 
 
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-7131-99-02 
 
Due to current staffing limitations and budgetary considerations prohibiting the hiring of additional administrative staff, the Board has decided not to pursue the recording ofgeneral fixed assets on the financial statements. 
 
 SECTION IV FINDINGS AND QUESTIONED COSTS 
 
 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
YEAR ENDED JUNE 30, 2000 
I SUMMARY OF AUDITOR'S RESULTS 
1. Type of Report Issued on the Financial Statements The auditor's opinion on the Pierce County Board of Education's financial statements was qualified for various departures from generally accepted accounting principles. 
 
2. Reportable Conditions in Internal Control Disclosed by the Audit of the Financial Statements The audit report for the Pierce County Board of Education disclosed a financial statement reportable condition related to the following control category. 
General Fixed Assets 
The reportable condition described above is considered to be a material weakness. 
3. Noncompliance Material to the Financial Statements The audit ofthe Pierce County Board ofEducation disclosed no instances ofnoncompliance that were deemed to be material to the financial statements. 
4. Reportable Conditions in Internal Control Over Major Programs The audit report for the Pierce County Board ofEducation disclosed a reportable condition in internal control over major programs for the following compliance requirement. 
Cash Management 
The reportable condition described above is not considered to be a material weakness. 
 
5. Type of Report Issued on Compliance for Major Programs The auditor's opinion on the Pierce County Board ofEducation's report on compliance with requirements applicable to major programs was unqualified. 
6. Audit Findings Required to be Reported by Section .510{a) of 0MB Circular A-133 The Pierce County Board of Education's audit disclosed an audit finding required to be reported by section .510(a) ofOMB Circular A-133. This audit finding is included in section 
N of this report. 
7. Major Programs Federal awards audited as major programs are as follows: 84.010 Elementary and Secondary Education Act -Title I- Grants to Local Educational Agencies 84.276 Goals 2000 - State and Local Education Systemic Improvement Grants 
8. Type ''A'' Program Dollar Threshold The dollar threshold for type "A'' programs was $300,000.00. 
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 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
YEAR ENDED JUNE 30, 2000 
I SUMMARY OF AUDITOR'S RESULTS 
9. Low Risk Auditee The Pierce County Board of Education was audited as a low risk auditee based on a waiver granted by the U.S. Department of Education. 
II FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Reportable Condition - Material Weakness Repeated From Prior Year Finding Control Number: FS-7131-00-01 
The Pierce County Board of Education did not maintain a system-wide General Fixed Assets Account Group within the formal accounting records as required by generally accepted accounting principles. This condition results in the general purpose financial statements of the Board being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Board to establish accounting controls and procedures to provide for maintenance ofa General Fixed Assets Account Group. These subsidiary records should include an inventory of land, buildings and equipment owned by the Board and should include, but may not be limited to, date acquired, acquisition cost, estimated replacement cost, location and description. Detailed records should be maintained of all additions and deletions to the General Fixed Assets Account Group. 
III FEDERAL AWARD FINDINGS AND QUESTIONED COSTS 
CASH MANAGEMENT Excessive Cash Balances Reportable Condition Nonmaterial Noncompliance U.S. Department of Education Through Georgia Department of Education Amount: $1,261.36 Finding Control Number: FA-7131-00-01 
A review of cash management procedures and internal controls for the Title I - Grants to Local Educational Agencies (CFDA 84.010) and Goals 2000 - State and Local Education Systemic Improvement Grants (CFDA 84.276) programs disclosed that cash draws were made in advance of immediate cash needs, resulting in the accumulation ofexcessive cash balances. During fiscal year 2000, the Title I program had an average cash balance of$42,753.44 with excessive ending monthly cash balances in five months. The Goals 2000 program had an average cash balance of$3,688.02 with excessive ending monthly cash balances in six months. 
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 PIERCE COUNTY BOARD OF EDUCATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS. 
YEAR ENDED JUNE 30, 2000 
III FEDERAL AWARD FINDINGS AND QUESTIONED COSTS CASH MANAGEMENT Excessive Cash Balances Reportable Condition Nonmaterial Noncompliance U.S. Department of Education Through Georgia Department of Education Amount: $1,261.36 Finding Control Number: FA-7131-00-01 In accordance with A-102 Common Rule paragraph 21 (h)2(1), interest earned on advances by local government grantees is required to be submitted promptly to the Federal granter agency. Up to $100.00 per year may be kept for administrative expenses. The ESEA - Title I program earned interest amounting to $1,361.36 of which $1,261.36 should have been submitted to the Georgia Department ofEducation. The interest earned on this program was recorded in the Board's General Fund. The Goals 2000 program did not have excessive interest earnings. Management should become familiar with the Federal regulations for the ESEA - Title I and Goals 2000 programs, in order to develop adequate control procedures designed to provide for the achievement of compliance objectives. In addition, excessive interest earning totaling $1,261.36 should be refunded to the Georgia Department of Education. 
 
 
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