Management report, Heart of Georgia School Systems Regional Educational Service Agency, an organizational unit of the state of Georgia, year ended June 30, 1998

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MANAGEMENT REPORT HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIONAL SERVICE AGENCY AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA
YEAR ENDED JUNE 30, 1998
STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
254 WASHINGTON STREET
ATLANTA, GEORGIA 30334-8400

HEART OF GEORGIA SCHOOL SYSTEMS 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 OTHER REVENUE

3

D SCHEDULE OF SALARIES AND TRAVEL

4

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

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

CLAUDE L. VICKERS
STAlE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
January 11, 1999

Honorable Roy E. Barnes, Governor Members of the General Assembly of Georgia Members of the State Board of Education
and Director and Members of the _Heart of Georgia School Systems Regional Educational Service Agency Board of Control
Ladies and Gentlemen:
As part of our audit ofthe general purpose financial statements of the State of Georgia presented in the State of Georgia Comprehensive Annual Financial Report and the issuance of a State ofGeorgia Single Audit Report pursuant to the Single Audit Act Amendments of 1996, as of and for the year ended June 30, 1998, we have performed certain audit procedures at the Heart of Georgia School Systems Regional Educational Service Agency. Accordingly, the financial statements and compliance activities of the Heart of Georgia School Systems Regional Educational Service Agency were examined to the extent considered necessary in order to express an opinion as to the fair presentation of the financial statements contained in the State of Georgia 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 Heart ofGeorgia School Systems Regional Educational Service Agency as ofand for the year ended June 30, 1998. The particular information provided is enumerated in the Table of Contents.
This report is intended solely for the use of management ofthe Heart of Georgia School Systems Regional Educational Service Agency. However, this report is a matter of public record and its distribution is not limited.
a - ~ Respectfully submitted,
Claude L. Vickers State Auditor
CLV:gp

SECTION I SELECTED FINANCIAL INFORMATION

HEART OF GEORGIA SCHOOL SYSTEMS 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, 1998

EXHIBIT A11 11

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 Other Support Services
Capital Outlay Debt Service
Total Expenditures
Excess of Revenues over (under) Expenditures
OTHER FINANCING SOURCES
Other Sources
Excess of Revenues and Other Financing Sources over (under) Expenditures
FUND BALANCE JULY 1, 1997
Adjustments

GENERAL FUND

BUDGET

ACTUAL

SPECIAL REVENUE FUND

BUDGET

ACTUAL

$ 683,685.00 $ 737,913.27

1,000.00

2721343.00

6721085.21

$ 9561028.00 $ 114101998.48

$

368,724.00 $

361,379.00

1,433,256.09

1,338,908.50

1171366.73

$ 118011980.09 $ 118171654.23

$

115,418.00 $

116,836.78

392,236.00

530,794.35

258,174.00

259,004.85

58,900.00 101,619.00

134,582.33 123,401.21
3,472.36 195,909.77
71199.15

$ 9261347.00 $ 11371,200.80

$

291681.00 $

39z797.68

$

374,359.46 $

537,621.81

706,201.27

739,541.59

336,351.25

154,204.70

146,734.79

125,710.50

184,276.79

12,991.00 277,452.44

12,377.77 182,405.00

$ 11987,270.62 $ 1,8021957.75

$ -185,290.53 $

141696.48

$

711929.70

$

29,681.00 $ 111,727.38

255,111.23

276,357.04

24,074.56

$ -185,290.53 $ 14,535.81 0.71

14,696.48 902.20

FUND BALANCE JUNE 30, 1998

$ 3081866.79 $ 3881084.42

$ -170,754.01 $

151598.68

SUMMARY OF FUND BALANCE
Reserved State Programs Federal Programs Sick and Personal Leave
Unreserved Undesignated

$

51670.00

$

5,670.00

382,414.42

$

2,178.24

13,420.44

$

15,598.68

0.00

$ 388,084.42 - 1-

$

15,598.68

HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIONAL SERVICE AGENCY
SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30, 1998

EXHIBIT"B"

AGENCY/FUNDING
GRANTS Education, Georgia Department of Other State Programs Georgia Learning Resources System Health Insurance Regional Educational Service Agencies Supervision and Assessment of Student and Beginning Teachers and PerformanceBased Certification PSATExam Lottery Program Instructional Technology
CONTRACT Education, Georgia Department of Provide Technology and Support for Department Staff in the Use of the Technology Center
OTHER Education, Georgia Department of Workshop Fees

GENERAL FUND

SPECIAL REVENUE
FUND

$

$

27,904.52

623,564.00

85,208.00 121.75

83,447.00 99,200.00

1115.00

178,732.00

$

737,913.27 $ ==3==6=1,=37=9=.o=o

-2-

HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIONAL SERVICE AGENCY
SCHEDULE OF OTHER REVENUE YEAR ENDED JUNE 30, 1998

EXHIBIT"C"

Indirect Cost Special Revenue Fund
Interest Earned Medicaid Reimbursements Sales and Services
Services Provided Shared Services Projects Boards of Education Bleckley County Dodge County Dublin City Laurens County Montgomery County Pulaski County Telfair County Treutlen County Wheeler County Wilcox County Laurens County Board of Health
Workshop Fees Other

GENERAL FUND

$

87,571.66

5,727.09

166,187.94

SPECIAL REVENUE
FUND

14,878.15 23,492.01 27,732.15 90,983.75 $
9,158.43 11,286.14 14,953.86 46,638.97
9,295.86
89,376.68 741802.52

24,000.00
22,200.00
4,700.00 8,000.00 13,000.00 32,720.49 12z746.24

$

672,085.21 $ ==1=1=7,=36=6=.7=3

-3-

HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIO!'::!!AL SERVICE AGENCY
SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30. 1998

EXHIBIT"D"

NAME

TITLE CATEGORY

SALARIES

TRAVEL

AMERSON,BARBARAJ

OJT Client Service Specialist

$

22,800.00 $

4,850.50

BONNER, ERIC

Clerical Aide

106.43

BOUlWELL, BETTINA B

JTPA Instructor

24,840.00

2,058.25

BRADFIELD, JUNE D

Executive Director

78,449.40

5,558.87

BROOKS, NANCY

Clerical Aide

131.33

BRYANT, RONALD R

Coordinator

42,699.96

2,987.75

CANNON, SHIRLEY

Secretary

20,408.76

416.90

CHRISTIAN, JOYCE M

GLRS Coordinator

59,369.04

3,606.33

DEVOE, TOMIKA

Clerical Aide

1,130.03

FRAISER, PAULA

Science Consultant/Staff Development Coordinator

68,214.20

3,433.43

GAPCZVNSKI, SELINA H

Assessment Specialist

24,050.00

7,406.50

GORNTO, MARLA M

JTPA Employment Specialist

1,877.00

GUNDY, KYRA L

OJT Client Service Specialist

19,200.00

5,792.50

HEMPHILL, JUDYE R

Secretary

16,621.27

36.00

HERRINGTON, B ALANE

Associate School Psychologist

34,127.16

1,972.20

HORNE, TINA

Clerical Aide

126.18

HOWELL, CONNIE A

Reading/Language Arts Consultant

53,721.12

2,186.54

IVEY, PATRICK L

JTPA Case Manager

26,656.63

1,615.25

JONES,ANNS

OJT/Production Skills Coordinator

37,751.96

662.00

KEENE, BETTY H

GLRS Child Serve Coordinator

40,455.80

2,074.74

KERSEY, STEPHANIE D

Assistant Bookkeeper

3,568.50

KINCHEN, GLENDA

MIS Specialist/Monitor

24,831.60

452.85

LEWIS, JUNE G

Director - Technology Center

69,481.20

3,141.58

LOCKE, MARLYN P

JTPA Case Management, Youth Competency,

697.47

and Summer Program Coordinator

44,676.00

MASON, ERIC D

Clerical Aide

126.18

MCCRANIE, JUDYE

JTPA Intake Specialist/Instructor

15,040.56

2,021.50

MCDILDA, LORRAINE D

Associate School Psychologist

48,744.52

2,928.30

MCGRIFF, SHEMEKIA

Clerical Aide

79.83

MOORE, GERALD T

General Clerk

1,148.47

PHILLIPS, TAKESHA L

Clerical Aide

82.40

PITTMAN, SYLVIA

JTPA Case Manager

23,088.00

896.30

ROGERS, DAVID M

Technology Specialist

30,458.35

3,586.62

ROLAND, LINDA

OJT Client Service Specialist

25,440.00

5,452.14

SEWELL, ROBERT G

JTPA Case Manager

8,900.00

1,005.25

SHEFFIELD, JOANNE E

Secretary

13,992.00

251.34

SMITH, JOHN S

Assistant Bookkeeper

2,384.00

SOLES, AMANDA J

Clerical Aide

131.33

STANLEY, JOYS

Finance Director

42,070.68

142.20

STOREY, DANIELE

Technology Center Director

6,TT1.84

SUMNER, CAROLYN R

GLRS Secretary

18,830.04

308.00

'-,

TALLEY, VICKI G

Instructional Technology Specialist

31,500.00

4,041.05

TAYLOR, KIMBERLYM

GLRS Therapist

37,500.00

3,224.06

WEST, CHERYLL

Generalist Consultant

50,794.04

2,820.74

WILLIAMS, JUAQUITA L

JTPA Case Manager

18,912.00

2,011.90

WINSLETTE, JANICE

OJT Client Service Specialist

12,880.00

1,107.75

WOODARD, HOLLY

Clerical Aide

126.18

WYNN, DEBRA T

Registrar

19,800.00

240.00

WYNN, DONNA L

Drug-Free Schools Coordinator

611054.44

31494.98

$ 1,185,148.43 $

82,481.79

Accruals June 30, 1997 June 30, 1998

-50,782.50 381314.82

$

s_ _ _ 11112,680.75

82.,.i4_8_1..,.1.9...

-4 -

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

HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIONAL SERVICE AGENCY
AUDITEE'S RESPONSE SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30, 1998

PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS

FINDING CONTROL NUMBER AND STATUS

8764-93-01 8764-95-01 8764-96-01 FS-8764-97-01

Further Action Not Warranted Further Action Not Warranted Previously Reported Corrective Action Implemented Unresolved - See Corrective Action/Responses

CORRECTIVE ACTION/RESPONSES

GENERAL FIXED ASSETS/PROPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Cpntrol Number: FS-8764-97-01

Due to current staffing limitations and budgetary considerations prohibiting the hiring of additional administrative staff, the Board has decided not to pursue the recording of general fixed assets on the financial statements.

PRIOR YEAR FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS .

FINDING CONTROL NUMBER AND STATUS

8764-96-01

Previously Reported Corrective Action Implemented

SECTION ID CURRENT YEAR FINDINGS AND QUESTIONED COSTS

HEART OF GEORGIA SCHOOL SYSTEMS REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30, 1998
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS
GENERAL FIXED ASSETS/PROPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-8764-98-01
The Heart ofGeorgia School Systems Regional Educational Service Agency does not maintain a system-wide General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose financial statements ofthe Agency being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Agency to establish accounting control 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.