Management report, Chattahoochee-Flint Regional Educational Service Agency, an organizational unit of the State of Georgia, year ended June 30, 1999

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MANAGEMENT REPORT CHATTAHOOCHEE-FLINT REGIONAL
EDUCATIONAL SERVICE AGENCY AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA
YEAR ENDED JUNE 30, 1999
STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
254 WASHINGTON STREET ATLANTA, GEORGIA 30334-8400

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY MANAGEMENT REPORT - TABLE OF CONTENTS -

LETTER OF TRANSMITTAL

SECTION I

SELECTED FINANCIAL INFORMATION

EXHIBITS

A COMBINED SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES

IN FUND BALANCES - BUDGET AND ACTUAL

GENERAL AND SPECIAL REVENUE FUNDS

1

B SCHEDULE OF STATE REVENUE

2

C SCHEDULE OF FEDERAL REVENUE

3

D SCHEDULE OF OTHER REVENUE

4

E SCHEDULE OF SALARIES AND TRAVEL

5

SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS

SECTION ID CURRENT YEAR FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS

w. RUSSELL HINTON
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
December 2, 1999

Honorable Roy E. Barnes, Governor Members ofthe General Assembly of Georgia Members of the State Board ofEducation
and Director and Members ofthe Chattahoochee-Flint Regional Educational Service Agency Board of Control
Ladies and Gentlemen:
As part of our audit ofthe general purpose financial statements ofthe State of Georgia presented in the State of Georgia Comprehensive Annual Financial Report and the issuance of a State of Georgia Single Audit Report pursuant to the Single Audit Act Amendments of 1996, as of and for the year ended June 30, 1999, we have performed certain audit procedures at the Chattahoochee-Flint Regional Educational Service Agency. Accordingly, the financial statements and compliance activities of the Chattahoochee-Flint Regional Educational Service Agency were examined to the extent considered necessary in order to express an opinion as to the fair presentation ofthe financial statements contained in the State ofGeorgia Comprehensive Annual Financial Report and to issue reports on compliance and internal control as required by the Single Audit Act Amendments of 1996.
This Management Report contains information pertinent to the financial and compliance activities of the Chattahoochee-Flint Regional Educational Service Agency as of and for the year ended June 30, 1999. The particular information provided is enumerated in the Table of Contents.
This report is intended solely for the information and use ofmanagement ofthe Chattahoochee-Flint Regional Educational Service Agency and members of the Board and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully submitted,
~w.4~ Russell W. Hinton State Auditor
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SECTION I SELECTED FINANCIAL INFORMATION

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY COMBINED SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL GENERAL AND SPECIAL REVENUE FUNDS
YEAR ENDED JUNE 30, 1999

EXHIBIT "A" _

REVENUES
State Funds Federal Funds Other Funds
Total Revenues
EXPENDITURES
Current Instruction Support Services Pupil Services Improvement of Instructional Services General Administration Business Administration Maintenance and Operation of Plant Student Transportation Services Other Support Services
Total Expenditures
Excess of Revenues over (under) Expenditures
FUND BALANCE JULY 1, 1998
Adjustments

GENERAL FUND

BUDGET

ACTUAL

$ 874,590.00 $ 884,945.47

434,664.50

562,603.29

$ 1,309,254.50 $ 1,447,548.76

$ 46,257.80

$ 390,298.00 554,599.00 141,466.00 60,941.00 183,841.00

367,976.21 494,858.38 169,558.00
50,801.99 165,087.57

$ 1,331,145.00 $ 1,294,539.95

$ -21,890.50 $ 153,008.81

429,364.70

448,808.27

-227.42

SPECIAL REVENUE FUND

BUDGET

ACTUAL

$ 85,208.00 $ 84,904.58 1,475,318.00 1,309,182.18
$ 1,560,526.00 $ 1,394,086.76

$ 251,396.00 $ 243,851.26

418,399.00 111,136.00 160,807.00 50,297.00 21,200.00 25,800.00 521,492.00

262,634.97 209,599.74 151,616.73
33,736.35 21,499.89 26,572.00 595,139.03

$ 1,560,527.00 $ 1,544,649.97

$

-1.00 $ -150,563.21

202,488.39

151,411.77

-82,031.64

FUND BALANCE JUNE 30, 1999

$ 407,246.78 $ 601,817.08

$ 120,455.75 $=.....,...84....,8._,5,..6

SUMMARY OF FUND BALANCE
Reserved Federal Programs Inventories
Unreserved Undesignated

$ 20,348.08 581,469.00
$ 601,817.08

$

848.56

0.00

$ =-==84=8=.5=6

-1 -

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF STATE REVENUE
YEAR ENDED JUNE 30.1999

EXHIBIT"B"

AGENCY/FUNDING
GRANTS Education, Georgia Department of Other State Programs Apprenticeship Programs . Health Insurance Regional Educational Service Agencies Supervision and Assessment of Student and Beginning Teachers and PerformanceBased Certification
OTHER Education, Georgia Department of Reimbursement for Consultant's Office Space

GENERAL FUND

SPECIAL REVENUE
FUND

$

79,940.38

8,015.09

794,590.00

$

84,904.58

2,400.00

$ 884,945.47 $ ==8=4=,9=0=4.=58=

-2-

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF FEDERAL REVENUE
. YEAR ENDED JUNE 30, 1999

EXHIBIT "C".

AGENCY/FUNDING
GRANTS Education, U.S. Department of Through Georgia Department of Education Safe and Drug-Free Schools Elementary and Secondary Education Act Title I Migrant Education
Health and Human Resources, U.S. Department of. Through Georgia Department of Education Comprehensive School Health Programs to Prevent the Spread of HIV and Other Important Health Issues
CONTRACTS Education, U.S. Department of Through Georgia Department of Education Elementary and Secondary Education Act Title I Grants to Local Education Agencies Capital Expenses

SPECIAL REVENUE
FUND

$

314,749.86

942,162.32

900.00

15,924.70 35,445.30

$ ======1'3.0.9.=1:':::::18=2=.1=8

-3-

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF OTHER REVENUE
.YEAR ENDED JUNE 30, 1999

EXHIBIT "D" .

Indirect Cost Special Revenue Fund
Interest Earned Sales and Services
Audio Visual Repairs Less: Cost of Goods Sold
Services Provided Shared Services Projects Various Sources
Workshop Fees Other

GENERAL FUND

$

9,649.43

16,786.90

25,039.56 -16,987.54

500,401.69 12,184.13 15,529.12

$ ===5=62::!:,6=0=3=.2=9

-4-

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30, 1999

EXHIBIT"E"

NAME
AFFOLTER, DIANE W. ANDERSON, JAY M. BAILEY, GLORIA N. BARRETT, STEVE R. BYRD, ARLENE W. CARTER, NORMAN K. COLLINS, EMILY C. CURTIS, PHILIP J. JR. DAVIS, WILLIAM E. EXUM DE GONZALEZ, E. GAIL FISHER, MARSHA M. GONZALEZ, JAVIER
GRACIA, JOSE L.
GRANT, JOHN R. Ill HALL, CHARLOTTE R. HECKATHORN, DIANNE
HOWELL, L. GAIL
HUNT, LENA MAE KENNEDY, WAYNER. KENNON, CAROLW. KILBRIDGE-BISCHOFF, MARTHA LEE-TARVER, ALEADA MARTIN, SHARON MCCORKLE, BARBARA A.
MOATES, BARBARA L.
MOORE, ROBERT M. PLESS, GRACE P. REYES, BELINDA REYES, SYLVIA SMITH, BETTY I. SMITH, BILLIE SUE STREETMAN, REBECCA A. VALVERDE-JENSEN, AMY VALVERDE-JENSEN, MIGUEL WALKER, F. MEREDITH WHITTEN, THOMAS M.
WILLIAMS, PATRICIA L.
WRIGHT, LEE
Accruals June 30, 1998 June 30, 1999

TITLE CATEGORY

SALARIES

School Psychologist

$

Plant Operations Technician

Instructional Supervisor

Youth Apprenticeship Coordinator

Secretary

Instructional Supervisor

Instructional Supervisor

Instructional Supervisor

Plant Operations Technician

School Psychologist

Instructional Supervisor

Migrant Ed. Adolescent Outreach

Migrant Ed. Recruiter

Instructional Supervisor

Migrant Ed. Secretary

School Psychologist

Secretary

Custodial Personnel

Plant Operations Technician

School Psychologist

Migrant Ed. Teacher

School Psychologist

Special Education Specialist

Support Services Secretary

Title I Director/Migrant Ed. Director

School Psychologist

Finance & Business Service Manager

Migrant Ed. Paraprofessional

Migrant Ed. Secretary

Gystc Coordinator

Instructional Supervisor

Migrant Ed. Secretary

Migrant Ed. Teacher

Migrant Ed. Recruiter

Director

School Improvement Specialist

Secretary

School Psychologist

48,286.46 $ 937.30
59,887.70 48,232.58 14,759.96 45,327.96 68,974.67 61,387.70 33,240.00 43,050.22 46,007.20 43,925.52
9,580.55 48,232.58 17,612.50
4,462.04 11,370.00 4,368.00 33,600.00 42,550.22 28,116.00 24,610.80 47,780.10 23,040.00 71,829.60 28,661.76 31,560.00
1,922.00 6,396.00 37,481.64 10,169.55 5,883.84 28,130.40 19,875.96 81,000.00 72,400.49 16,626.64 49,814.24

$ 1,271,092.18 $

-5,694.33 13,782.08

TRAVEL
2,058.57
1,458.62 7,399.46
66.00 3,182.50 3,144.98 2,212.97
152.75 2,962.28 2,599.38 6,369.06 3,323.05 3,572.29
452.32
30.00
44.00 893.25 2,343.75 842.25 2,352.11
5,315.36 1,315.43
350.25 221.25
5.75 1,611.50
250.00 1,858.75 4,515.62 4,373.65 3,246.12
91.00 3,143.28
71,757.55

$ 1,279,179.93 $ ====7=1=7,=5=7=55=

-5-

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

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY AUDITEE'S RESPONSE
SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30, 1999

PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS

FINDING CONTROL NUMBER AND STATUS

FS-8724-97-01 FS-8724-98-01

Further Action Not Warranted Unresolved-See Corrective Action/Responses

CORRECTIVE ACTION/RESPONSES

GENERAL FIXED ASSETS/PROPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-8724-98-01

No efforts are being made at this time to establish a General Fixed Assets Account Group. It is our belief that it is not cost beneficial to do so.

SECTION ill CURRENT YEAR FINDINGS AND QUESTIONED COSTS

CHATTAHOOCHEE-FLINT REGIONAL EDUCATIONAL SERVICE AGENCY
SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 1999
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS
GENERAL FIXED ASSETS/PROPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-8724-99-01
The Chattahoochee-Flint Regional Educational Service Agency did not maintain a General Fixed Assets Account Group within the formal accounting records. This condition results in the financial statements of the Agency being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Agency to establish accounting controls and procedures to provide for maintenance of a General Fixed Assets Account Group. These subsidiary records should include an inventory of equipment owned by the Agency 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.