Treutlen County Board of Education, Soperton, Georgia, report on audit of the financial statements for the fiscal year ended June 30, 2000

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TREUTLEN COUNTY BOARD OF EDUCATION . - TABLE OF CONTENTS -

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 III AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS
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SECTIONN FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS

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SECTION I FINANCIAL
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RussELL W. H1NTON
STATE AUDITOR (404) 8562174

DEPARTMENT OF AUDITS AND ACCOUNTS:
254 Washington Street, S.W.. Suite 214 Atlanta, Georgia 30334-8400
April 19,2001

_Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education
and Superintendent and Members of the Treutlen 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 of the Treutlen 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 of the Treutlen County Board of Education's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit.

We conducted our audit in accordance with 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 perform .the. . audit to obtain reasonable assurance about whether the 'fmancial 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:

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* The general purpose financial statements of the Board did not contain a General. Fixed . . . Assets. Ac.count Group. to account for, property_ and:~quipri1ent o_wnec.l by .the Board',_, " ':_ ; ;- . which should be included to conform to generally accepted.accounting principles: ..., : .

2000ARL-13

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* School activity acc~unts maintained at the individual schools arenot inclhded in the. general purpose financial statements... To conform to generally accepted 1accounting 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 relat~d 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 Staty's share of these umecorded salaries and related benefits were not recorded as revenue. in the year under review. Conversely, the similar expenditures and related revenues for contractual services completed prior to June 30, 1999, were improperly recorded in the 'year ended June 30, 2000. To conform to generally acc~ted accounting principles, revei:iues should be recorded when available and measurable and expenditures should be recorded when incurred, rather than when funds are received or disbursed.

The aggregate effects on the general purpose financial statements of these variances or omissions have not been determined, but are believed to be material.

In our opinion, except for the effects on the general purpose financial statements of the matters

referred to in the preceding paragraph, the general purpose financial statements referred to above

present fairly, in all material respects, the financial position of the Treutlen <2ounty Board of

Education as ofJune 30, 2000, and the results ofits operations for the year then ended, in conformity

with generally accepted accounting principles.



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In accordance with Government Auditing Standards, we have also issued our report dated April 19, 2001, on our consideration of the Treutlen County Board of Education's internal control over financial r~orting and our tests of its compliance with certain provisions of laws, regulations. contracts and grants. That r~ort is an integral part of an audit performed in accordance with Government Auditing Standards and sho11ldbe read in conjunction with this r~ort in considering the results of our audit. ..

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audit was performed for the purpose offom1ing 'an opinion on the general purpose financial

statements of the Treutlen County Board of Education taken as a whole. Th~ accompanying

combining statements (Exhibits E and F) and the financial schedules (Schedules 1 through 4), which

includes the Schedule ofExpenditures ofFederal Awards as required by U. S. Office ofManagement

and Budget Circular A-133, Audits ofStates, Local Governments, andNon-Profit Organizations, are

presented for purposes of additional analysis and are not a required part of the general purpose

financial statements. Such information has been subjected to the auditing procedures applied in the

. audit of the general purpose financial statements and in our opinion; exc~t for the effects ofthe

matters referred to.in the third paragraph, such information is faitiy stated,ciilall material respects,in.

relation to the general purpose nnancial'statemen!s taken as a whole.

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A copy ofthis report has been filed as a permanent record in the office of the 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

State Auditor

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1REUTLEN COUNTY BOARD OF EDUCATION

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TREUTLEN COUNTY BOARD OF EDUCATION COMBINED BALANCE SHEET ALL FUND TYPES JUNE 30, 2000

EXHIBIT "A"_


ASSETS Cash and Cash Equivalents Investments Accounts Receivable Inventories
Food Donated Commodities Purchased Food

GOVERNMENTAL FUND TYPES

_SPECIAL

GENERAL

REVENUE

FUND

FUND

TOTALS (Memorandum Onl:t} JUNE 30, 2000 JUNE 30. 1999

$ 253.740.14 $ 270,237.44 $ 523.977.58 $ 521.992.28

28,674.38

28,674.38

28,674.38

20,939.71

43,276.29

64,216.00

55.161.24

14. 155.44 4 585.09

14,155.44 4 585.09

14,418.15 6 013.68

Total Assets

$ 274,679.85 $ 360 928.64 $ 635,608.49 S====62=6=,2,..5_9_._73.,

LIABILITIES AND FUND EQUITY

LIABILITIES

Accounts Payable

:_, , , ,

Salaries Payable

Expired Grant Balances Payable

Total Liabilities

$ - - 19,669.46 $ 99:101.52 2 147.60
$ 120,918.58 $

19,669.46 $ 99,101.52 2 147.60
120,918.58 $

17.628.97 96,304.81
113 933.78

FUNDEOUITY

Fund Balances

Reserved

:. FotBus Replacemenf'FuncJs

_'$, . 63;812.24.

,. $

.63.812.24 .$ 113,762.54'

t: of .For Continuation Federal Programs... : ,

:. , ' '$ _ . . 2,594.77 ... : ::. 2,594.77 ,.,' , , /.;978.81"

\~'1: FoflriVel'ltOt'i8So;.:<r!:,1'.:,;L.~i-.,;_~- ,,f}.f}h>i.i0'ir+t- .:'f1f;: ?-t!\f;j-.;::1z::4t~t4<:s;:.f;S'{,.,}.:i,l~~ i,;_f:f1t~sls::;:;.:~-. -:?f';_'.:;;:/:i~:.',/'/:('

Food Donated Commodities Purchased Food
Unreserved Undesignated

210,867.61

14,155.44 4,585.09
218 674.76

14,155.44 4,585.09
429,542.37

14,418.15 6,013.68
377152.77

_Total Fund Equity

274,679.85 $ 240,010.06 $ 514 689.91 $ 512,325.95

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. ',TotaiLlabiliUes.~ndF~nd.Etjuiii,,>: $ _, .'274,679.85 $ ,360,928.64 $_

635,608.49 .$,

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

TREUTLEN COUNTY BOARD OF EDUCATION

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COMBINED STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES

ALL GOVERNMENTAL FUND TYPES

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YEAR ENDED JUNE 30. 2000

EXHIBIT "B"

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 Other Support Services Food Services Operation
Capital Outiay
Total Expenditures
Excess of Revenues over (under) Expenditures
FUND BALANCE JULY 1
Food Inventory Net Change in Period Donated Commodities
. Purchased.Food .

GENERAL FUND

SPECIAL REVENUE
FUND

TOTALS (Memorandum Only}
YEAR ENDED JUNE 30, 2000 JUNE 30, 1999

$ 5.581.554.38 $
717,327.28 48 250.59

329.999.55 $ 917,445.78
157,833.22

5,911,553.93 $ 917.445,78 717,327.28 206 083.81

5.688.433.95 1,036.413.80
717,781.27 222,767.66

$ 6,347,132.25 $ 1.405,278.55 $ 7 752 410.80 $ 7,665,396.68

$ 4,103,457.17 $ 695.417.18 $ 4.798,874.35 $ 4.694,764.43

146,769.18 191.458.41 127,165.06 254,015.81 537.236.03 40.479.65 427.894.23 394.563,92 48.029.58
64,289.45

29,610.03 31,630.32
489.16 35.324,70
12,016.39 3,013.06 12,219.92 6,951.37 586,324.92

176,379.21 223.088.73 127,654.22 289,340.51 537.236.03 52.496.04 430.907.29 406,783.84 54.980.95 586.324.92 64 289,45

158.383.11 233,862.41 129.534.13 314.601.09 453,519.44
55,459.92 425,664.38 275.764.54
53.865,91 598,707.82
71 284.44

$ 6,335,358.49 $ 1,412,997.05 $ 7 748 355.54 $ 7465411.62

$ 11,773.76 $ -7,718.50 $

4,055.26 $ 199,985.06

262.906.09

249.419.86

512.325,95

311.345,47

-262.71 - -1,428'.59.

-262.71 -1 428!59. ,

257.53 , .-737.89

FUND BALANCE JUNE 30

$ 274 679.85 $ 240 010.06 $ s14 689.91 s_==5=12,.,3.,2.,,5_,,.9,,.5

The notes to the general purpose financial statements are an lnteg~I part of this statement
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TREUTLEN 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

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ACTUAL

(BUDGET

BUDGET

BASIS)

REVENUES
State Funds ,L Federal Funds Taxes Other Funds
Total Revenues

$ 5,336,764.00 $ 5.581,554,38

, 682.500,00 32 000.00

717.327.28 48 250,59

$ 6,051,264.00 $ 6,347,132.25

EXPENDITURES

Current

Instruction

Support Services

1:,,

Pupil Services Improvement of 1i-lstruction31 SE!rvices

EducationalMedia Service$-'

General Administration

School Administration

' ' Business Administration
,-._ Maintenance and Operation"Ct Plant

Student Transportation Services

Other Support Services . ... Food.Servic.eS oPeration _

Capital Outlay

Total Expenditures C ,
Exces. s of Reven. u~s over (under) Expenditures FUND BALAN!;;I:; JUb)'. 1 19~2

Adjustments 1Fooci"lnventory'tNet Change'ln Period.:,
Donated Commodities Purchased Food

$ 4.056.589, 13 $ 4.103.457.17

130.524,10 . 220,742,86
152,682,87 267,972.22 517,605.50
39,193,64 420,692.29 364,243,58
54,000.00

146.769,18 191,458.41 127,165,06 254,015,81 537,236.03
40,479,65 ' , 427,894,23 394,563.92
48.029,58

71 000,00

64,289,45

$ 6,295,246.19 $ 6,335,358.49

$ -243,982,19 $ 11,773.76

251,574,73

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5,97~8-.7..7 .,

262,9_06.0~ ,
C
C

SPECIAL REVENUE FUND

ACTUAL

(BUDGET

BUDGET

BASIS)

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$ 244,358,58. $ 329,999.55

893,294.00

917,445.78

127,360.00

157,833.22

$ 1,265,012.58 $ 1 405 278.55

$ 673,593.79 $ 695,417.18

33.492.84 25,695.59
7,640.00
'42,,,640,00
9,201.00 13,06
10,058.68' 6,279,00
705,728.21

29.610.03 31,630.32
489.16 35,324,70
12,016,39 3,013.06
12,219.92 6,951,37
586,324,92

$ 1 514 342,17 $ 1,412,997.05

$ -249,329,59 $
'.'
249,419,86

-7,718.50 24,9,419,86

,, -2,075,90 ,:

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-262,71

-1 428.59

FUND BALANCE JUNE 30 2000

$ 13 571,31 $ 274 679,85

$ -1 985.63 $ 240,010.06

The notes to the general purpose financial stateinents are an Integral part of this statement -4-

TREUTLEN COUNTY BOARD OF EDUCATION

i EXHIBIT "D" .

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

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Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

REPORTING ENTITY

The Treutlen 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 biany 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 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.

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General Fixed Assets are recorded as expenditures in the various funds at the time of purchase. A General Fixed Assets Account Group is not presently maintained by the Board'. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost of assets acquired by governmental fund types.:

Although "school activity accounts" are maintained at the individual schools, neither the assets, liabilities and fund equity, nor the revenues, expenditures and changes in fund balances of these accounts are reflected in these finani;ial statements. To conform to generally accepted accounting principles, these accounts should be recorded in the general purpose financial statements.

The general purpose financial statements account for all State, Federal, 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 presented iri this report are as ..

follows:



GOVERNMENTAL FUND TYPES - are used to account for all of the 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 resourc.es obtained and

used for services provided by a board of education.

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SPECIAL REVENUE FUND - the fund used.to account for the proceeds of specific revenue

sources .that arelegally restricted to expenditures for,specified purposes.~ The~i:.funds .are .

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received.primarilyiromthe .Georgia Departmeht,ofEducation:and from.the Federal,goveinmen!' .- .

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TREUTLEN COUNTY BOARD OF EDUCATION

EXHIBIT "D"

._NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30. 2000

Note I: SUMMARY OF SIGNIFICANTACCOUNTING POLICIES _

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.

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Governmental funds are accounted for using the modified accrual basis of accounting under which:

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Revenues are recognized when susceptible to accrual (i.e.; when they become both.measurable and

available). "Measurable" means the amount of the trans.action 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.

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Expe.nditures

are

generally

recognized when
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the

related

fund

liability

is
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incurred.
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A departure from the above definitions is 'theaccounting treatment afforded'.the final two payments

onGeneral Fund teachers' and bus drivers' contracts, and the resources available from.the Georgia

Depllrlment of Education for the Siate'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

periodbeginning in.late.August 1999:and ending in early:June.2000,..Personnel contractsforthis

: _employment period-~pecify that _c9mp(:nsation be paid in twelve _equal molitlypayments be~g ..

. in September.'1999 .and .eridingin August '.2000, Siate" grantsfo fuiii:I the:State's sh'atii ofihese.

contracts were disbursed from the Georgia Department ofEducation to the Board in the same twelve

months. As ofJune 30, 2000, compensation under these employment contracts had been earned, but

.,, two of the twelve monthly payments, due for July and August 2000, had not been made. Payments

for these two months were made and recorded as expenditures by the Board subsequent to June 30,

2000. Also, the State's portion ofthe compensation paid in July and August 2000 was received and

recorded as reveriue 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, 2Q00. Generally accepted accounting principles require that

revenues be recorded when available and. measurable and that expenditures be recorded when

incurred, ratherthan.when funds are received or disbursed.

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TREUTLEN COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

i

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET
I
The Treutlen County Board.ofEducation's budget is a complete financial plan for the Board's fiscal year and is based upon estimates of expenditures together with probable funding sources. There is no statutory prohibition regarding overexpenditure of the budget at any level. The budget for all governmental funds is prepared by fund, function and object. The legal level 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.

INVESTMENTS

.. COMPOSITION OF INVESTMENTS .. . .

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lnvestmentsmade by the Board in nonparticipating interest-earning contracts (such as certificates of

deposit) and repurchase agreements are reported at cost. Participating interest-earning contracts and

money market investments with a maturity at purchase ofone year or less are reported at amortized

cost. Both participating interest-earning contracts and money market investments with a maturity at

purchase greater than one year are reported at fair value. The Official Code of Georgia Annotated

Section 36-83-4 authorizes the Board to invest its funds. In selecting among options for investment

or among institutional bids for deposits, the highest rate of return shall be the objective, given

. equivalent conditions ofsafety and liquidity. Funds ma.y be inve.sted in .t;he f.o.\l.oI~in.g:

(1) Obligations issuedby the StateofGeorgia or by other states,

(2) . Obligations issued by the United States government,.

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(3) 'Obhgat1ons fullymsured or guaranteed.by the Uruted States government or a United ,

States government agency,

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'TREUTLEN COUNTY BOARD OF EDUCATION

EXHIBIT "D"

.'._NOTES TO THE GENERAL'PURPOSE FINANCIAL STATEMENTS

'JUNE 30: 2000

Note I: SUMMARY OF SIGNIFICANT ACCOUNTINC:iPOLICIES. 1:

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(4) Obligations of any corporation of the United States government,

(5) Prime banker's acceptances,:

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.,. ( 6). The L'ocal Government: Investment Pool administered by.the State of Georgia, Office of

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(7) Repurchase agreements, and

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(8) Obligations of other political subdivisions of the StateofGeorgia.

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RECEIVABLES ..

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Receivables consist of grant reimbursements due on Federal; State or other grants for expenditures . madebut not reiiii.bursed'and other receivables disclosed.from infortnaticin'available.. Receivables

are recorded when eitherthe asset orrevenue 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 Treutlen County Board of Commissioners fixed the property tax levy for the 1999 tax year

(calendar year) on October 20, 1999 (levy date). Taxes were due on December20, 1999. The lien

date for property taxes .was January I, 1999. Taxes collected within the current fiscal year or within

60 days after year-end are reported as revenue in fiscal year 2000. The Treutlen County Tax

Commissioner bills and collects the property taxes for the Board of Education, withholds 2.5% of

taies collected.as a fee for tax collection and remits the balance of taxes collected to the Board.

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The tax millage rate.levied for the 1999 tax year (calendar year) for the Treutlen Couilty'Board of

~.:- .Education was as follows (a mill equals $tper thousand dollars ofassessed value): . :,

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FOOD INVENTORIES

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Inventories of-donated food commodities used. in the. preparation .of meals are reported on the'

Combined Balance Sheet attheitFederallyassignedvalue. Purchased foods'.ihventcines are reported .

on the Combined Balance Sheet at cost (first-in, firstsoiit). Donated food commodities are recorded

as revenues.and expenditures at thetime commodity items are received. Purchased foodsinventories".

. are;recofded.as,exjieiidituresat the'tiriie:pfpurchasC-.. ;,Tlle[in~entone{r~orted,cirithe,15lih\nce,sheet.~~:,,
. ., foi d6iiated;food;cormriodities and foripurcliased'foo'diare:equallfC>ffset by,tesetvatii:>ns:offuncf' " .

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TREUTLEN COUNTY BOARD OF EDUCATION

, EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30.-2000

!

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

balance which indicates that these amounts do not constitute "available spendable,resources" even

though they are a component of net current assets.

I

INTERFUND TRANSACTIONS

The Board has the following type of interfund transactions:

Reimbursements of expenditures initially made from a fund that are properly applicable to another fund are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed.

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 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 ofmoney which has not been secured by surety bond. by guarantee of insurance. or by collateral. The aggregate of the face value of such surety bond and the market value ofsecurities pledged shall be equal to not less than 110 percent ofthe public funds being secured after.the.deduction ofthe amount of~eposit insurance. If a depository elects the pooled method (OCGA45-8~ I3.1) the aggregate cifthe market value ofthe
securities pfeaged to secure a pool ofpublic'funds shallbe not.less th:in fl Opercent oftlie dailypool '
balance. OCGA Section 45-8-11 (b) provides an officer holding public funds may, in his discretion, waive the requirement for security in the case ofoperating funds placed in demand deposit checking accounts.

Acceptable security for deposits consists of any one of or any combination of the following:

(I) Surety bond signed by a surety company duly qualified and authorized t(? transact business

within the Sta. t.e,. of Georgia,



(2) Insurance on accounts provided by the Federal Deposit Insurance Corporation,

.

-.

t

, ' .-.i,3)<'BStoantedss.obriollfst,hen:oStet;si>tecoefr-i.iGfiecoartgeisa:o, f/i-n: d.eb..t-e,id;n-,:e-s:,s~;.,-or.o'.th::er.,"dir,,ect:.o.:b.lJig\.atij~cn('s: o.f::.:t..h;>e_"<U-r:i:i:te;d' --

-9-

.,.TREUTLEN-COUNTY BOARD OF EDUCATION

EXHIBIT "D"

. NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS .

JUNE 30.2000

.-, ..
Note 2: DEPOSITS

(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-

, /' . ;,

t:-:.

'.
(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 Intermediate Credit Bank, the

Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home-Loan Mortgage



Association, arid the Federal National Mortgage Association.

, CATEGORIZATION OF DEPOSITS At June 30, 2000, the bank balances were $1,087,447.02. The amounts ofthe total bank balances are

classified into three categories of credit risk:

r

. -,

--

Category I - Cash that is insured (e.g., Federal depository insurance) or collateralized with

securities held by the Board or. by ilie Board's agent in the Board's-name.

Category 2 - Cash collateralized with securities held by the pledging financial institution's

1 ' trust :department or agent in the Board's name. :

Category 3 - Uricollateralized deposits. (This includes any bank balance that is collateralized

, ' :, ',::with securities ,held.bythe pledging firiaricial.institution, .or by...its trust

- ,

. : ' .departmentor.agent but-not in.the Board'sname.)- _ ,

L : ,_ , : .

'

,,' :/l ..... ;-,-,,,_ '],~.-.:. .: :J:, ~ , . , ,r: .,_':I .. '.:,

> -~~ ' -~-~, \~- : . 1. ._J , , ' :~: :_

'.:';l','.;,c

' ,'The Board's deposits are classified'by"risk category at June 30,"2000, as follows:.

J I ':
; Risk Category

.- Bank Balance

I
2 .
3

.. J

,,, : ,_-, 'i

$ 100,000.00 987,447.02 0.00

Total_ ..

Note 3: NON-MONETARY TRANSACTIONS

" i The Board'receives fcjod co~odities'frointhe United StatesDep~ent ofA'.gricultiire(USDA)'for~::-
. - scliooi-breiikfast ihld lurich prcigrams: Thesb ~orruriodities:ate recorded,aitheir Federally iissigrt~'';/s

value. See Note 1 - Inventories



-.'--10-

TREUTLEN COUNTY BOARD OF EDUCATION

, EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30. 2000

Note 4: RISK MANAGEMENT

The Board is exposed to various risks ofloss related to torts; theft of, damage to, and destruction of

assets; errors or omissions; job related illness or injuries to employees; natural disaster and

unemployment compensation.

'

The Board has obtained commercial insurance for risk ofloss associated with torts; assets, errors or

omissions, job related illness or injuries to employees and natural disaster. However, the errors or

.

'

omissions policy excludes coverage for sexual harassment and discrimination., The Board has

neither significantly reduced coverage for these risks nor incurred losses (settlements) which

exceeded the Board's insurance coverage in any of the past three years.

The Board is self-insured with regard to unemployment compensation claims. The Board accounts for claims within the General Fund with expenditure and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated.

Changes in the unemployment compensation claims liability during the last two fiscal years are as follows:

1999 2000

Beginning of Year Liability

Claims and Changes in Estimates

$

0.00 $

5 080.00 $

$

0.00 $

0.00 $

Claims Paid

End of Year Liability

5 080.00 $

0.00

0.00 $

0.00

Th.e

Board

has

purchased
.

surety

bonds

to

provide

additionaf

insurance

coverage

as
'

follows:

Position Covered

Amount

Superintendent Food Service Director Each Principal
Note 5: OPERATING LEASES

$ 50,000.00 $ 15,000.00 $ 15,000.00

Treutlen County Board of Education has entered into various leases as lessee for copiers. These

leases are considered for accounting purposes to be operating leases. Lease expenditures for the year

ended June 30, 2000, amounted to $26,638.80. Future minimum lease payments for theseleases are :

as follows:



- -

\ : < : .





.





'

I

... ..;-
.; -~\~,: .:

- 11 -

'TREUTLEN COUNTY BOARD OF EDUCATION .

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30,'2000

Note 5: OPERATING LEASES YearEnding; ,,. .A., . :,,

.,

Amount'

2001
2002 2003. Jl . ,2004 ,,-' .- ,,_;,

i,'

i.

Total: :.

.I

Note6: ON-BEHALFPAYMENTS

.-': '
j/ '

$ 22,735.80 26,733.36 26,733.36'
_:,, 4 226 ..56
.$..,. ' 80,429.08

The Boardhas-recognized revenues and-expenditures in the'amount of $'!02;509.09.for health insurance and retirement contributions paid on the,Board's behalf by the following State Agencies.

Georgia Department of Educaiion "'

,

. :r

Paid to the Georgia Department of Community Health

For Health Insurance of Non-Certified Personnel

In the amount of$82,776.09 ..

Office of Treasury and Fiscal Services .

Paid to, the Public School ~mployees Retirement System .

For Public School Employees Retirement (PSERS) Employer's Cost

-. fu. the amount of$19,733.00.. '

-

.

"

Nciie 7:' CONTINGENT LIABILITIES

Amounts fe~eived or receivable principally from the Federalgovemment are subject to audit and

, .. r7yi,e~ l?r:gran,t~r ageI1ci~s. T~!,~ c?u,ld resulp11 requests for. ~e~J?ursemen!,to tlle,gr1tor,agency . ,
for any expenditures which are disallowed under grant terms. The. Board belie,ves that such

disall:ow, a.nces, if any, will be immaterial to its overall financial position.



The Board is a defendant in a legal proceeding pertaining to matters incidental tothe performance of

routine Board operations. The ultimate disposition ofthis proceeding is not presently determinable,

but

is

not

believed
. -

to

be

material

to

the

general

purp. ose

f.inancial

statements. '

.

! .

. '

. .





Note-8: RETIREMENT PLANS

TEACHERS RETIREMENTSYSTEM OF GEORGIA (TRS)

TRS PLAN.DESCRIPTION .

.. . .



. ..

. . . Su1:istantiallyallte,achers,:adrr\inistr;itiv'~an~:cleric;ii.pers6nnel,employ~d.1:iy;local sc4<>ql,syste'ins:.'
. are covered by the Teiichers'Retiremerii System df Georgia (TRS); which is a'cost-sharing'multipie

employer defined benefit pension plan. TRS provides service retirement, disability retirement and

- 12.-

TREUTLEN COUNTY BOARD OF EDUCATION

EXHIBIT "D"

NOTES TO 11:IE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30. 2000

/

Note 8: 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.

i

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 11.29% and empl~yer contributions for the current fiscal year and the preceding two fiscal years are as follows:

Fiscal Year

Percentage Contributed

:Required Contribution

2000 1999 1998

100% 100% 100%

$ 486,582.77 $ , 492,643.81 $ 459,893.96

- 13 -

. '',
,(,/-;';;"'};

.'

;.", TREUT~EN CoUNTY BOARD OF EDUCATION.

,- ,,

COMBINiNG BALANCE SHEET

SPECIAL REVENUE FUND

JUNE 30, 2000

1,-.T 'ASSETS Cash and Cash Equivalents
,
Accounts Receivable

SCHOOL. FOOD
'SERViCES FUND

LOTTERY PROGRAMS

$

226,410.82 $

29,654.68

28,674.38 _'; .

.,.

r::' . .

4,58'3 .08

Inventories :,

Food Donated Commodities

Purchased Food

'

' '

I
-

''
14.155.44 4 585.09

I

Total.,,Assets

,, ' C

~

, I.

LIABILITIES AND FUND EQUITY

$

273,825.73 $

34 237.76

LIABILITIES

Cash Overdraft Accounts Payable Salaries Payable _Expired GrantBalances Payable
Total Liabilities

$

2,726.61 $

6,696.28

33,683.83

25,483.86

2 057.62

$

36 410.44 $ _ _,.;34=2ss3"-7.ce7,,_6

FUND EQUITY

Fund Balances Reserved For Continuation of Federal Programs For Inventories Food Donated Commodities Purchased Food Unreserved Undesignated
Total Fund Equity

$

14,155.44

4,585.09

. 218 674.76 $_~....,.--"o.,,.o,,_o

s_ _ _ _ $

237,415.29

,:_o:-"oo,,_

', '-.

. ,;~~-~.

. '
,;:-~.. ;'_,"; .:,-_,_}(;:,-.t;~:j':

-Total Liabilities and FundEquity"

:>:.., . -~- ... -. ' ,, '
..; ;:'.,;:\$,:;\. ''.2ii.~~;;'.;3 $.

See notes to the general purpose financial statements.
t. .-14-

EXHIBIT "E"

FEDERAL PROGRAMS

OTHER PROGRAMS

TOTALS

JUNE 30, 2000

JUNE 30, 1999

$

16,671.94

$

272,737.44 $

270,414.43

28,674.38

28,674.38

36,193.21 $

2,500.00

43,276.29

43,833.00

14,155.44 4 585.09

14,418.15 6 013.68

$

52865.15 $

2 500.00 $

363 428.64 $===3=63_.,3=5=3=.64=

$

$

10,246.57

39,933.83

89.98

$

.50,270.38 $

.. '

J.'

2,500.00 $ 2 500.00 $

2,500.00 19,669.46 $ 99,101.52 2 147.60
123,418.58 $

17,628.97 96,304.81
113 933.78
...

. ,.\ ,;.

.,

;'__: ,;<,/1..._

$

2,594.77

-$

2,594.77 $

978.81

14,155.44 4,585.09

14,418.15 6,013.68

0.00 $

o.oo

218 674.76

228,009.22

$

2 594.77 $

o,oo $

240,010.06 $

249,419.86

$

... . ' ' ,.;t

,,''.. ..

--

, .- I

52 865.15,$

2 500.00 $

, '
. 363 428.64 '$

. ,... \. !,',

' 363,353:s.(

j

. ,:. ,,

... ,_;r-: . '

~ < - ,,
,.

.;,_: F :: ;~ ';'..,

-15-

TREUTLEN COUNTY BOARD OF EDUCATION COMBINING STATEMENT OF REVENUES -EXPENDITURES AND CHANGES IN FUND BALANCES
SPECIAL REVENUE FUND YEAR ENDED JUNE 30. 2000 .

I,

REVENUES

State Funds

1,.'t.

Federal Funds Other Funds

' ,. . . ~
~1 ,,, , .

Total Revenues

EXPENDITURES

Current

Instruction

Support Services

Pupil Services

_ ,1

Improvement of Instructional Services

Educational Media Services

General Administration

Business Administration

Maintenance and Operation of Plant

Student Transportation Services

Other Support Services

Food Services Operation

\
Total Expenditures - ,_ o

Excess of Revenues over (under) Expenditures . --

FUND BALANCE JULY 1
- ~-~;. ~,..:)-:_._:._ -.::.: .

.

. _;,;..,.:':":!.:-. ~

_~.,

~~

'' _;,:"

Food Inventory - Ne!Change'in Period

Donated Commodities

Purchased Food

SCHOOL FOOD
_ SERVICES FUND

-LOTTERY PROGRAMS

',.'." :'YL: '; I

$

40,568.00 $

268,231.55

388,589.24

147 833.22

$--"-'-5'7=6 "99"0-.'4"6- $

268 231.55

$

235,098.18

15,242.43 2,302.20

471.00 12,016.39
3,013.06 88.29

$ " 586,324.92

$

586,324.92 $ ..:.~-_.e,;26,,,8"',2""3'-'-1"'.5"-5

. -:9,334.46 '$'
'. ,..... ' .
248,441.05 --- ---

0.00
0.0'0.,.

-262.71 -1 428.59

FUND BALANCE JUNE 30

~........... \,......;:--:: ...... -~- .

.

,
'.

'

_,.

.

\,. 0,~~/:.,::_. >::j:'.~ -

See notes to the gene_ral purpose financial statements. - 16 -

$

237 415.29 $====,;;O;;:.O,;;,,O

. ''
EXHIBIT"F"

FEDERAL PROGRAMS

OTHER PROGRAMS

TOTALS

YEAR ENDED

JUNE 30, 2000

JUNE 30. 1999

$

$

528,856.54

$

528,856.54 $

21,200.00 $ 10 000.00 31 200.00 $

329,999.55 $ 917,445.78 157,833.22
1,405,278.55 $

311,306.55 1,036,413.80
160 566.30
1,508,286.65

$

439,303.17 $

6,356.76 27,643.95

34,853.70

12,131.63 6,951.37

$

527,240.58 $

$

1,615.96 $

978.81

21,015.83 $ 8,010.84 1,684.17 489.16
31,200.00 $ 0.00 $ 0.00

695,417.18 $
29,610.03 31,630.32
489.16 35,324.70 12,016.39
3,013.06 12,219.92
6,951.37 586,324.92
1.412,997.05 $
-7,718.50 $
249A19.86, ' .
-262.71 -1 428.59

776,309.20
21,044.90 52,336.44
9,925.37 40,654.93
9,846.11 13,532.29
117.52 6,724.31 598,707.82
1.529.198.89
-20,912.24
269,33El.68
'.i'
257,53 737.89

$

2 594.77 $

0.00 $

240 010.06 $-~=24=9='.4=1=9=.8=6

- 17 -

TREUTLEN COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
YEAR ENDED JUNE 30. 2000

SCHEDULE "1"

..
(,':.
~:

FUNDING AGENCY PROGRAM/GRANT

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 Clu"ster.

Other Programs

Pass-Through From Georgia Department of Education

Food and Nutrition Program

Food Distribution Program (1)
c ..



Total U. S. Departm!nl,of Agriculture

Education, U. S. Department Of

Special Education Cluster

-.

Pass-Through From Georgia Department of Education

Individuals with Disab!lities Education Act

Part B - Special Education

capacity Building Improvement

Flow Through

. 1

Preschool

Total Special Education Cluster

-
Other Programs Pass-Through From Gec:;,rgla Department of Education

Elementary and'Secondary Education Ad

-TiUe I

,., Grants to local Educatiorlal Agencies

~TitleII -"

..

Eisenhower Profession~! Development

Title VI Innovative Educiltion:Program Slfcltegies

Class Size Reduction

Goals 2000

State and Local Education Systemic Improvement

Grants Vocational Education - Basic Grants to States
High School Program Basic Grant

Total U. S. Department of Edutation

CFDA NUMBER

PASSTHROUGH
ENTITY ID
NUMBER

FEDERAL REVENUE IN PERIOD

EXPENDITURES IN PERIOD

10.553 .10.555

N/A NIA

$ 86,846.50 ' 269,082.24 $
$ 355,928.74 $

(2) 553,664.42 (3)
553,664.42

10,550

N/A

32,660.50

32,660.50

$ 388,589.24 $

586,324.92

' '

84.173 84.027 84.173
84.010 84,281 84.298 84.340 84.276 84.048

NIA $ 2.480.00 $

NIA

80,434.00 '

NIA

9,792.00

$ 92.706.00 $

2.480.00 80.434.00
9,792.00
92,706.00

., .

, ,

NIA

280.331.54

.. 280.331.54 . i

NIA

16,000.00.

16.897.02

NIA

9.901.00

NIA

40,569.00

9.901.00 40.569.00

NIA

69.495.00

66.982.02

NIA

19,854.00

$ 528,856.54 $

19 854.00 527,240:58

~-,
~~/~ :.; ;:Total Fe~eial Fi~~.n~al.,~-~}fta~~; -:. ~..:
NIA= Not Available

- \ --18-

TREUTLEN COUNTY BOARD OF EDUCATION SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
YEAR ENDED JUNE 30 2000

SCHEDULE "1"

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 colllmodities received and/or consumed by the system during the current fiscal year,
(2) Expenditures for the School Breakfast Program were not maintained separately and are included in the 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 r) 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 Treutlen 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.

- 19 -

TREUTLEN COUNTY BOARD OF EDUCATION SCHEDULE OF STATE REVENUE.
._YEAR ENDED JUNE 30. 2000

SCHEDULE "2"

AGENCY/FUND'ING

GOVERNMENTAL FUND TYPES

: ."' ' GENERAL ,
, r .,. '
FUND

SPECIAL
'' R_EVENUE.
.FUND

TOTAL

GRANTS

Education, Georgia Department of Quality Basic Education

"

- '

General and Career Education Programs;-. $ 2,981,193.00

$ . 2,981,193.00

Special Education Programs

436,300.00

436,300.00

Remedial Education Program

100,577.00

l '

100,577.00

Media Center Programs Staff Development Progra_ms' Indirect Cost Pupil Transportation

124,336.00

1.

31,770.00

-~, ~~

.. 787,369.00' -

'f, 1.

124,33_6.00

., .

31,770.00

. ~87,369.00

' .)

l ', .

Regular

187,287.00

187,287.00

Bus Replacement

44,363.00

44,363.00

Middle School Incentive Program

103,798.00

103,798.00

Special Instructional Assistance

105,062.00

105,062.00

In-School Suspension

72,046.00

. 72,046,.00

Mid-term Adjustment

92,301.00

92,301.00

Counselors

14,019.00

14,019.00

Technology Specialist

28,842.00

28,842.00

Local Five Mill Share

-242,260.00

-242,260.00

Educational Equalization Formula

549,026.00

549,026.00

Food Services

$

40,568.00

40,568.00

Vocational Education

21,332.00

21,332.00

Other State Programs

Apprenticeship Program

Health Insurance

Innovative Programs

Mentor Teachers

Preschool Handicapped Program

-Remedial Summer School

Year 2000 Project Funding

Lottery Programs

_ .

','Assistive Technology .. . ...

2,000.00

82,776.09

5,000.00

1,458.00

19,112.00

3,242.79

10,87.1,50

I

'



2,000.00 82,776.09
5,000.00 1,458.00 19,112.00 3,242.79 10;87,1:50
. .. .:.
'9,166.08 ,, . ~ !i3es.o8' "

Computers in the Classroom

53,000.00

53,000.00

Office of School Readiness Pre-Kindergarten Program

206,065.47

206,065.47

Office of Treasury and Fiscal Services Public School Employees Retirement

19,733.00

19,733.00

CONTRACT Education;Georgia Department of, Reading Firs!Program

21,200.00

21,200.00 .

,:i., .
.,,$:. ,-.5,581,554.38 ;$ ,,. -U329,;d9.55,J;$; ')5,911;553,93.,:/:

.,:

.

a'\ ,<



: ; A,_

See notes to the general purpose financial statements.
.- 20 -

"! ....

TREUTLEN COUNTY BOARD OF EDUCATION

SCHEDULE "3"

ANALYSIS OF MINIMUM-EXPENDITURE REQUIREMENTS OVERALL

GENERAL FUND - QUALITY BASIC EDUCATION PROGRAMS

I

YEAR ENDED JUNE 30, 2000

Minimum Expenditure Requirements {Total Allotment) Expenditures on Combined Program Basis Salaries Operations
Less: Expenditures for Media Center Programs in Excess of Total Media Allotment
Expenditures per Audit
Amount of Underexpenditure for Total Allotment

FOURTEEN WEIGHTED AND MEDIA CENTER
PROGRAMS

,100% TEST FOR' OPERATIONS PORTION OF FOURTEEN WEIGHTED PROGRAMS

$

3.720,848.00 $

115,421.00

$

3.586.133,51

307,501.89 $

$

3,893,635.40

281,972.67

-839.07 $ _ _~3"".8""9"'2"7"."-96~."'33'-

$

0.00 $ ======O;,;;.O.;;,O

... '
". '

. '
See notes to the general purpose financial statements. 21

..' TREUTLEN COUNTY BOARD OF EDUCATION.

,r\~NALYSIS OF MINIMUM EXPENDITURE REQUIREMENTS BY PROGRAM 11

GENERAL FUNDC QUALITY BASIC EDUCATION PROGRAMS - ..

. - - . ,:EAR ENDER JU_NE 30 _20QO ..t.. -

't

J ._,,j ,~

' <;;~N.~RAL.:

AND

CABffB

&Qb.!C6T[QN -~!

P;R: QGRAMS

1_: Kinde1:9arten (*)

r

,.

Gradeis 1 .f 3 (*)

' 1

;i...;

-- . Sllb-Total:.K.3

Gra~es 4 - 5 (*) -:, Grades 6 - 8 (*)

-.. - ---

Grades 9 -12 (*)

l ,(

h ~-- High School Lab0rato_ries r

Vocational Educati~n Laboratories(*)

Total General and Career Education Programs

SPf;QIAL EQU~AT!Q~ PBQ_GBAMS

Regular Programs

Category II (*) Category Ill(*)

',.

Category IV (*)

Sub-Total - Regular

,.

Category VI (Gifted)()

.,

Total Special Education Programs

REMEDIAi,, EDU~6TIQN PBOGRAM (*l

Total Fourteen Weighted Programs
MEQIA ~E~TER eBQGRAMS
Salaries ._, 9pe_ra_tio_ns
Total Media Center Programs

ALLOTMENTS FROM GEORGIA DEPARTMENT OF

REQUIRED

ORIGINAL

~

ORIGINAL

MID-TERM

$

290,629.00

$

261,566.10 $

0.00

829,067.00

746,160.30

$ 1,119,696.00

.1::, \: --:.

417,77?.00

625,267.00

381,036.00

90 $ 1,007,726.40 $

0.00

,.9, 0

-~?~:993.0~ .'

90
(":. I



562,740.30

.,78,442.00

""! ; ~ r,

90

342:932.40

138,901.00 90

125,010.90 ,

298,523.00 90

268,670.70

$ 2,981,193.00

$ 2,683,073.70 $

78,442.00

,.

.,

$

379,030.00

s'"" 341,127.00 $

0.00

)'-.

$

379,030.00 90 $

341,127.00 $

57 270.00 90

51,543.00

$

436,300.00

$

392,670.00 $

$

100,577.00 90 $

90,519.30 $

$ 3,518,070.00

$ 3,166,263.00 $

0.00
0.00 0.00 78 442.00

,$ .100,595.00 90 $
23 741.00 100

$

124,336.00

$

90,535.50 $ 23,741.00
114,276.50 $

0.00 ,_,,._
0.00

Total Fourteen Weighted and Media Center Programs $ 3,642A06.00

$ 3,280,539.50 $

78,442.00

STAFF DEVELOPMENT PROGRAMS
Cost of Instruction Professional Developinent
Total Staff Development Programs (~; ;d~ritfue~. F.~,~~ee~ , Wa"iQht~. ~"?Q~~s.
,~\~._:,', I~:~\-.,;'
See notes to the general purpose financial statements.

$

27,695.52 .

$

27,695.52 $

0.00

4 074.48

4,074.48

0.00

31,770.00 100 $

3(110.00 s=====_,o.,oo.,
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22

SCHEDULE "4"

EDUCATION TOTAL
REQUIRED

ACTUAL EXPENDITURES

SALARIES

OPERATIONS

TOTAL

AMOUNT OF UNDEREXPENDITURE
FOR REQUIRED ALLOTMENT

$

261,566.10 s

s 288,833.85

5,269.77 $

294,103.62

746,160.30

717,209.79

35,786.92

752,996.71

s $ 1,007,726.40

1,006,043.64 $

41,056.69 $ 1,047,100.33 $

0.00

375,993.00

358,655.59

20,269.87

378,925.46

0.00

641,182.30

758,071.67

26,464.38

784,536.05

0.00

342,932.40

528,032.46

49,391.34

577,423.80

0.00

125,010.90

146,788.17

4,008.48

150,796.65

0.00

268,670.70

207,213.71

71,307.62

278,521.33

0.00

s $ 2,761,515.70

3,004,805.24 s

s 212,498.38

3,217,303.62

s

341,127.00

s

134,809.94 $ 161,424.81 26,844.96

18,027.39 $ 42,974.43
49.20

152,837.33 204,399.24
26 894.16

s

s 341,127.00

s 323,079.71

s 61,051.02

384,130.73

0.00

51,543.00

48,879.62

8,153.61

57,033.23

0.00

$

392,670.00 $

s 371,959.33

s 69,204.63

441,163.96

s

s 90,519.30

109,723.09 s

269.66 s

109,992.75

0.00

s s s 3,244,705.00

3,486,487.66

s 281,972.67

3,768,460.33

- ,, s' s 90,535.50 23,741.00

99,645.85
s

s
25,529.22

99,645:85
25,529.22 ., '

0.00 0.00

-'

$

114,276.50 $

s 99,645.85

s 25,529.22

125,175.07

s s s 3,358,981.50

3,586, 133.51

s s 307,501.89

3,893,635.40

0.00

s

27,695.52

4,074.48

s

29,543.00 S

29,543.00

4 939.00

4,939.00

s

34,482.00 $

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- 23 -

SECTION II COMPLIANCE AND INTERNAL CONTROL REPORTS
cl
'
} . ,.

. RussELL W. H1NTON
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS .
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
April 19, 2001

.Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education
and Superintendent and Members of the Treutlen 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 of Treutlen County Board of Education as of and for the year ended June 30, 2000, and have issued our report thereon dated April 19, 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

', __

~--_;__ .: ,-:,, :-.~'"~~,-_-.~ ,_ 'i .' ,

As pari of obtaining reasonable assuranceabout'whetherTreutlen CountyBoaid of Education's

financial statements are free of material misstatement, we performed tests of its compliance with

certain provisions oflaws, regulations, contracts and grants, noncompliance with which could have a

direct and material effect on the determination of financial s_tatement amounts. However, providing

an opinion on compliance with those provisions was not an objective of our 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 -
I
' In planning and performing our audit, we considered Treutlen County Board ofEducation's internal
control over financi!il reportingin order to determine.our_ auditing'ptocedures for the purpose.of
we . expressing o,ur opinion' on'.the fi!lancial :statements and"i1otto,providejissurance on -the in\ernaJ; -
control over financialreporting. 'However, noted a certainmatter. involving the intenialicontrol : . '
2000YB-40

I.

I
over financial reporting and its operation that we consider to be a reportable condition. Reportable conditions involve matters coming to our attention relating to significarit deficiencies in the design or
operation ofthe internal controi over financial reporting that, in ourjudgment, could adversely affect
Treutlen County Board ofEducation'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-7401-00-01.
I
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 performing 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 described above is considered to be a material weakness.
This report is intended solely for the information and use ofmanagement, members of the Treutlen 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,

R\:Vlf:gp 2000YB-40

State Auditor

:~ .' ,,
:,'

-~:,. ' .
,_, _:'.:\~ ,

RUSSELL W. HtNTON
STATE AUDITOR
(404) 656-2174

' I
DEPARTMENT OF AUDITS AND ACCOUNTS;
254 Washington Street, S.W.. Suite 214 Atlanta, Georgia 30334-8400
April I 9, 2001

.. Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the State Board of Education and Superintendent and Members of the Treutlen County Board of Education

REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH 0MB CIRCULAR A-133

Ladies and Gentlemen:

Compliance

We have audited the compliance of Treutlen County Board of Education with the types of

compliance requirements described in the U.S. Office ofManagement and Budget (0MB) Circular

A-133 Compliance Supplement that are applicable to each ofits major Federal programs for the year

ended June 30, 2000. Treutlen County Board ofEducation's major Federal programs are identified

in the accompanying Schedule ofFindings and Questioned Costs. Compliance with the requirements of Jaws, regulations, contracts and grants applicable to each of its major Federa'l programs is the

responsibility ofTreutlen County Board ofEducation's management.. Qur responsibility is to express

an opinion: on_ Treutlen 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 perform the audit to obtain reasonable assurance about whethernoncqmpliance with the types of compliance requirements referred to above that could have a direct and n;iaterial effect on a. major Federal program occurred. An audit includes examining, on a test-basis, evidence about the Treutlen County Board of Education's compliance with those requirements and performing 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 pro.vide a legal determination on -.
.__ Treutlen c;ounty Bom:d of Educat_iq's; coajpli<f!l~e wit~"thos~ ~equirement~.; \:/:: .- '.: .: . .. . _ ,. .';_

2000SA-10

In our opinion, the Treutlen County Board of Education complied, in all inaterial respects, with the requirements referred to above that are applicable to each ofits major Federal programs for the year ended June 30, 2000.
Internal Control Over Compliance
The management of Treutlen 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 Treutlen 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 determine 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.
Our consideration ofthe internal control over compliance would not necessarily disclose all matters in the internal control that might be material weaknesses. A material weakness is a condition in which the design or operation ofone or more ofthe internal control components does not reduce to a relatively low level of risk that noncompliance with applicable requirements of laws, regulations, contracts and grants that would be material in relation to a major Federal program being audited may occur and not be detected within a timely period by employees in the normal course ofperforming their assigned functions. We noted no matters involving the internal control over compliance and its operation that we consider to be material weaknesses.
This report is intended solely for the information and use of management, members of the Treutlen County Board ofEducation, Federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully submitted,

RWH:gp 2000SA-10

State Auditor

;: ,, .
.::;:)::~

SECTION ID AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS

TREUTLEN 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-7401-98-0 I FS-7401-99-01

Further Action Not Warranted Unresolved - See Corrective Actioh!R.esponses

CORRECTIVE ACTION/RESPONSES

GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-7401-99-01 '

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. When additional funds are available additional staff will be employed to correct this finding.

'.

,., .'

. . ' - .

. i
SECTIONN FINDINGS AND QUESTIONED COSTS
. I

TREUTLEN COUNTY BOARD OF EDUCATION

SCHEDULE OF FINDINGS AND QUESTIONED COSTS

1

YEAR ENDED JUNE 30, 2000

1

I SUMMARY OF AUDITOR'S RESULTS

1. Type of Report Issued on the Financial Statements The auditor's opinion on the Treutlen 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 Treutlen County Board ofEducation disclosed a financial statement reportable condition related to the following control category.

General Fixed Assets

The reportable condition described above is considered to be a material weakness.

3. Noncompliance Material to the Financial Statements The audit of the Treutlen County Board of Education disclosed ho instances of noncompliance that were deemed to be material _to the financial statements.

4. Reportable Conditions in Internal Control Over Major Programs The audit report for the Treutlen County Board ofEducation did not disclose any reportable conditions in internal control over major programs.

5. Type of Report Issued on Compliance for Major Programs

,

The auditor's opinion on the Treutlen County Board of Education's report on compliance

with requirements applicable to major programs was unqualified.

6. Audit Findings Required to be Reported by Section .510(a) ofOMB Circular A-133

The Treutlen County Board of Education's audit did not disclose audit firidingsfequired to

.be reportedl>y ~ectiCJn .5l()(a) ofOMB Cir~ular A-133.

. .. _

7. Major Programs Federal awards audited as major programs are as follows: 10.553 Food and Nutrition Program - Food Services - School Breakfast Program 10.555 Food and Nutrition Program - Food Services - National School Lunch Program

8. Type "A" Program Dollar Threshold
. The dollar threshold for type "A" programs was.$300,000.00.

9. Low Risk Auditee

The Treutlen County.Bo~d ofEducation was audited.as a low risk auditee;based on a waiver.

grant;d bythe.lJ. S.,p~artme11t;ofEduc_ati9n._ ....

,.. .

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'

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. ..... .
TREUTLEN COUNTY BOARD OF EDUCATION SCHEDULE OFFINBINGS AND QUESTIONED COSTS
... _YEAR ENDED JUNE 30, 2000 .

II FINANCIAL STATEMENT FINDINGS AND'QUESTIONED COSTS

GENERAL FIXED ASSETS

I '.

Failure to Maintain General Fixed Assets Account Group

Reportable Condition - Material Weakness

Repeated From Prior Year

F:inding Control Nu_mber: _FS-7401-00-01.

. (

(

) .

The Treutlen 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 purposes 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.

' ''

ill FEDERAL AWARD FINDINGS AND QUESTIONED COSTS

No matters were reported.

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