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MANAGEMENT REPORT NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY
rn 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

NORTHWEST GEORGIA 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
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
January 14, 1999

Honorable Roy E. Barnes, Governor Members ofthe General Assembly of Georgia Members of the State Board of Education
and Director and Members ofthe Northwest Georgia Regional Educational Service Agency Board of Control
Ladies and Gentlemen:
As part of our audit ofthe general pwpose financial statements ofthe State of Georgia presented in the State ofGeorgia 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 Northwest Georgia Regional Educational Service Agency. Accordingly, the financial statements and compliance activities of the Northwest Georgia 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 Northwest Georgia Regional Educational Service Agency as of and 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 of the Northwest Georgia Regional Educational Service Agency. However, this report is a matter ofpublic record and its distribution is not limited.
Respectfully submitted,
~~
Claude L. Vickers State Auditor
CLV:ds

SECTION I SELECTED FINANCIAL INFORMATION

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY COMBINED SCfjEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL GENERAL AND SPECIAL REVENUE FUNDS
YEAR ENDED JUNE 30, 1998

EXHIBIT"A"

R~NUES
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
Total Expenditures
Excess of Revenues over (under) Expenditures
FUND BALANCE JULY 1, 1997
Adjustments

GENERAL FUND

BUDGET

ACTUAL

$

900,060.00 $

962,575.31

2521979.00

4441150.20

$ 1,153,039.00 $ 1,406,725.51

SPECIAL REVENUE FUND

BUDGET

ACTUAL

$ 2,188,700.00 $ 2,188,500.98

685,446.00

666,111.75

4,792.29

$ 2,874,146.00 $ 2,859,405.02

$

767,181.00 $

982,222.29

146,583.00

153,376.50

86,125.00 87,700.00 651450.00

90,999.55 79,865.09 65,739.51

$ 1,153,039.00 $ 1,372,202.94

$

0.00 $

34,522.57

336,313.78

336,323.53

-21881.65

$ 1,678,798.00 $ 1,676,047.20

343,941.00 634,152.00
11,298.00 33,260.00 100,473.00 2,500.00 69,724.00

342,264.38 619,468.65
12,219.77 33,528.63 99,274.92 2,500.00 71,334.93

$ 2,874,146.00 $ 2,856,638.48

$

0.00 $

2,766.54

38,808.75

9,436.87

-291371.88

FUND BALANCE JUNE 30, 1998

$

333,432.13 $

370,846.10

$

9,436.87 $

12,203.41

SUMMARY OF FUND BALANCE
Unreserved Undesignated

$ 3701846.10

$

12,203.41

-1-

NORTHWEST GEORGIA 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 PSATExam Regional Educational Service Agencies Severely Emotionally Disturbed Supervision and Assessment of Student and Beginning Teachers and PerformanceBased Certification
CONTRACTS Education, Georgia Department of Costs Associated with Leadership Training

GENERAL FUND

SPECIAL REVENUE
FUND

$

76,097.00

$

62,374.81

139.50

764,853.00

2,112,403.98

85,208.00

50,000.00

$

962,575.31 $ 2,188,500.98

-2-

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY
SCHEDULE OF OTHER REVENUE YEAR ENDED JUNE 30, 1998

EXHIBIT"C"

Indirect Cost Special Revenue Fund
Interest Earned Sales and Services
Cooperative Purchasing Agency Less: Cost of Goods Sold
Services Provided Shared Services Projects Boards of Education Bartow County Bremen, City of Calhoun, City of Cartersville, City of Catoosa County Chattooga County Chickamauga, City of Dade County Floyd County Gordon County Haralson County Paulding County Polk County Rome, City of Trion, City of Walker County
Workshop Fees Other

GENERAL FUND

SPECIAL REVENUE
FUND

$

25,098.28

6,223.13

$

235,422.02

-230,629.73

25,260.00 3,280.00 5,205.00 7,660.00
21,570.00 7,130.00 3,205.00 5,940.00
24,615.00 13,392.50 8,212.50 30,175.00 16,860.00 12,060.00
3,025.00 21,377.50 201,682.01
2,179.28

$

444,150.20 $ ===4=,7=9=2==.2=9

-3-

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30. 1998

EXHIBIT"D"

NAME

TITLE CATEGORY

AGAN,DONDRA ALEXANDER,RHONDA ALLEN.AMY ALLEN,GERALD L ALLEN,ROSE MARY ALLGOOD,MARTHA J ASKEW,SYLVESTER ATKINS,CAROL BAKER,MAXINE BALDWIN,EDWINA BARRINGER,WANDA BEA VER,L YNN BELL,ANDREA BENTON,STACY S BICE,TIFFANY BOLLEN,SONYA MICHELLE BOWEN.KERRY W BRADDY,MONA S BRADLEY,GLORIA BRADLEY.SHERYL LYNN BRAND,CATHERINE LORRAINE BRASS,VELDA BROWN,IRIS BRUCE,MARY BUNN,MARIL YN BUTLER.GREGORY N CAMERON,ANNIE L CAMP,GWENDOLYN J CARRl,S JANE CASEY,DEBORAH J CASEY,JOAN CASH,SEWELL CHAPMAN,IVA MADDEN CHILDERS.TAMMY S CLARK,AMBER KIM CLEMENTS,JENNIFER CLINE.BARBARA COATES,JANICE L COBB,GAILB COOK,HERSCHELENE COOPER,JENNIFER A COUCH,KATHERINE M COVINGTON.THOMAS R COX,CHRISTY CRAWFORD,JEFFREY A CRAWFORD-COBB, VICTORIA

Psych-Ed Parapro/Teacher Aide Substitute Substitute Technology Specialist Support Serv Secretary/Clerk Psych-Ed Parapro/Teacher Aide Substitute Substitute Substitute Substitute Family Services Coordinator Substitute Psych-Ed Parapro/Teacher Aide Instructional Supervisor Substitute Substitute Psycho-Ed School Psychologist Psych-Ed Parapro/Teacher Aide Substitute Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Psycho-Ed Spec Ed Specialist Substitute Substitute Psych-Ed Parapro/Teacher Aide Psycho-Educational Teacher Substitute Psych-Ed Parapro/Teacher Aide Psycho-Educational Teacher Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Substitute Substitute Support Serv Secretary/Clerk Support Serv Secretary/Clerk Psycho-Ed Spec Ed Specialist Psych-Ed Parapro/Teacher Aide Substitute Finance/Business Service Mgr Substitute Psycho-Ed School Sec/Clerk Substitute Substitute Psycho-Educational Teacher Psycho-Educational Teacher Psycho-Educational Teacher

-4-

SALARIES

TRAVEL

$

7,649.10

36.05

108.15

40,040.04 $

1,246.20

16,764.84

587.62

16,516.46

151.00

72.10

97.50

45.00

36.05

19,326.51

834.25

1,347.50

8,989.61

45.00

2,402.52

29.50

62.00

36.05

52,356.02

1,589.16

90.00

31,195.10

14,557.51

47,636.78

2,926.00

36.05

90.00

2,809.26

30,955.30

8,990.18

13,146.82

23.00

34,163.16

45.00

39,161.10

1,772.13

10,654.24

24.09

36.05

<..

2,275.00

15,727.26

62.04

397.50

31,668.30

3,338.45

11,423.30

16.00

72.10

27,560.04

564.68

135.00

24,000.00

696.97

168.00

1,865.50

42,200.32

34,163.16

94.50

20,681.60

263.75

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30, 1998

EXHIBIT"D"

NAME
CRAWL,JAMES CROSS,CAROL CZENTNAR,MARY K DALE.ELIZABETH A DAVIDSON.DENISE DAVIS,ALOUA DAVIS,BETTY M DECKER,DOUGLAS DENSON,LAKEICIA DICKENS,TOM DODSON,STAN DUKE.MARGARET FARMER,LINDA G FORSYTH,DEBRA M FOSTER,JOHNNIE MAE FOUTS,MARY K FRANKLIN,DAVID FREEMAN,DIANA M FULLER,LEON GAMMON,JANE GANTT,LORA M GIBSON,ELLEN GLOVER,CHARLES W GLOVER.VIRGINIA B GRANT,CASSANDRA S GRA Y,MICHAEL GREEN,SHERRY A GRIMES,JUDY A GUILLEBEAU,SUSAN DEA HALE,PAULA HALL.PATTY HANEY.EDNA HANSARD.MARY HARNER.LOIS HARPER.MARY NELL HARRIS,ANGELA L HARVEY,PEGGY J HERRING,DONNA HESTER,AMELIA J HIBBETS.DONNA B HICKS,DENNIS R HOLT,STEVE J HOWARD,PAM HUNTLEY,HELEN JANE INGRAM,CAREY N JENNINGS,SHELIA L

TITLE CATEGORY
Psycho-Educational Teacher Substitute Instructional Supervisor Substitute Substitute Substitute Substitute Psycho-Educational Teacher Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Psycho-Educational Teacher Substitute Psycho-Educational Teacher Substitute Substitute Family Services Coordinator Substitute Director of Child Serve Substitute Psych-Ed Parapro/Teacher Aide Psycho-Educational Teacher Substitute Director of Psycho-Ed Program Substitute Family Services Coordinator Psycho-Educational Teacher Psycho-Ed Spec Ed Specialist Psycho-Educational Teacher Substitute Substitute Substitute Psych-Ed Parapro/Teacher Aide Substitute Substitute Psycho-Educational Teacher Psycho-Educational Teacher Substitute Technology Director Psycho-Educational Teacher Staff Development Specialist Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Director of Child Serve RESA Director Psycho-Educational Teacher Substitute
-5-

SALARIES

TRAVEL

$

4,967.40

5,881.50 $

93.25

45,847.56

2,601.48

45.00

450.00

36.05

1,683.00

500.00

3,455.92

18,931.69

357.25

2,747.99

25,656.60

176.50

645.00

37,607.12

279.75

9,408.12

216.30

13,133.96

1,701.00

93.00

2,573.80

130.50

45.00

6,797.60

33,836.62

105.75

36.05

63,999.96

2,554.55

682.00

13,303.16

608.75

33,591.60

588.75

7,122.16

31,195.10

137.00

112.10

80.00

220.00

216.66

<,.

10,089.76

45.00

36.05

4,964.50

33,194.50

9.00

188.15

65,300.04

1,907.97

27,946.92

58,872.36

1,925.50

35,035.42

13,303.16

12.50

54,049.71

2,118.86

78,793.20

941.44

39,865.76

900.35

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30, 1998

EXHIBIT"D"

NAME
JOHNSON.CATHY T JOHNSON.KENNETH D JOHNSTON.CHARLSIE M JOLLY.LOU 0 KENNEDY.SUSAN H KLUSACK,CAROLYN LANIER.CHRIS LAWSON,KATHY LEONARD.BETTY DIANE LINDSEY.BRANDY A LINLEY,JACQUELYN R LIPSCOMB.REBECCA E LOGGINS.ELIZABETH C LOVE.MELANIE LOYD.PAULA MADDEN.BARBARA J MCALISTER,DEBORAH D MCBRYDE,CATHY A MCCURDY,TEENA MCELVEEN,DEBRA L MCGEE.ANNETTE V MCGONIGAL.MARTYR MEDLOCK.DAVID 0 MILLER,GEORGIA MOBLEY.VIRGINIA DAWN MOON,KATHLEEN MOORE.BARBARA J MOORE.BETTY G MORELAND,LOLETHIA MORENO,LAURA MORGAN.BARBARA ANN MORGAN,KATIE MARIE B MORGAN,KELLIE L MURRAY.MICHAEL NELSON,JOHN H NESLIN,BARBARA M NICHOLS.JULIA NIKS,MARILYN ODOM.ALLISON L OLIVER.NORMA ORR.KENNETH WAYNE OSBURN.CHRIS OWEN.PATRICIA G OWENS.JAMES J PARKER.JOYCE PATRICK,DALLAS

TITLE CATEGORY
Substitute Substitute Support Serv Secretary/Clerk Staff Development Specialist Substitute Substitute Substitute Substitute Substitute Psych-Ed Parapro/Teacher Aide Substitute Substitute Psycho-Educational Teacher Substitute Substitute Psycho-Educational Teacher Substitute Substitute Substitute Finance/Business Personnel Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Substitute Substitute Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Psych-Ed Parapro/Teacher Aide Psych-Ed Parapro/Teacher Aide Substitute Psych-Ed Parapro/Teacher Aide Psych-Ed Parapro/Teacher Aide Substitute Psycho-Educational Teacher Psych-Ed Parapro/Teacher Aide Substitute Staff Development Specialist Substitute Substitute Psycho-Educational Teacher Substitute Substitute Psych-Ed Parapro/Teacher Aide Substitute Psycho-Educational Teacher Substitute Psych-Ed Parapro/Teacher Aide
-6-

SALARIES

TRAVEL

$

9,030.75

2,598.40

26,734.52 $

134.20

52,597.72

1,724.21

80.00

36.05

90.00

80.00

72.10

9,215.76

41.00

28,197.62

45.75

62.00

19,719.32

108.15

45.00

32,773.46

4.25

22,373.30

101.50

36.05

45.00

15,578.42

55.75

41,617.62

189.00

9,882.63

40,586.40

277.00

612.85

5,437.82

9,784.30

13.50

15,713.30

25.00

12,088.00

1,316.25

250.00

7,620.48

89.50

13,799.62

88.00

135.00

<,

3,980.42

11,232.20

51.00

200.00

41,922.21

2,947.51

124.00

2,750.00

27,946.92

61.25

40.00

1,977.65

8,305.00

192.00

62.00

20,268.62

270.00

1,149.04

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30. 1998

EXHIBIT"D"

NAME

TITLE CATEGORY

PAYNE.PHYLLIS S

Staff Development Specialist

PAYNE,SANDY

Psych-Ed Parapro/Teacher Aide

PERRY,SARA E

Substitute

PETITT,JANET D

Substitute

POWELL,R SELENA

Finance/Business Personnel

PRICE,PATTY

Substitute

PROCTOR,DANA M

Psych-Ed Parapro/Teacher Aide

PRUITT,BARBARA

Substitute

PULLEN,JOE T

Director of GLRS

PURDY,JERILYNN

Substitute

RAINES,DAMON A

Substitute

RAINES.PATTI

Substitute

RIAD,BARBARA

Substitute

RICHARDS.TAMI

Substitute

RITCH,SHARON D

Substitute

ROBERTS,MICHAEL SHANE

Psycho-Educational Teacher

ROGERS,DEBORAH J

Staff Development Specialist

ROSS,BRIAN

Psycho-Educational Teacher

RUSSELL,SHIRLEY E

Substitute

RUTLEDGE,TRACY

Psycho-Educational Teacher

SALMON,CAROLE E

General Admin Secretary/Clerk

SEAY,MARGARET

Substitute

SHERFIELD,SANDRA E

Psycho-Ed Spec Ed Specialist

SIMMONS.MAURICE

Substitute

SMITH,FANDRICK JANE

Substitute

SMITH.GWEN

Substitute

SMITH,JANICE M

Substitute

SMITH,SANDRA S

Family Services Coordinator

STANSELL,BRENDA

Instructional Supervisor

STIEFEL,NANCY A

Psycho-Educational Teacher

STOKER.JAN

Substitute

STRAWTER,BARBARA J

Substitute

TERRELL,PEGGY

Staff Development Specialist

THOMASON.MARTHA J

Support Serv Secretary/Clerk

THOMPSON,TAMMIE R

Substitute

TUCKER.BRENT LAMAR

Substitute

TUCKER.REBECCA S

Psych-Ed Parapro/Teacher Aide

WALKER,LINDA ELLYN

Psycho-Educational Teacher

WALLIN.REBECCA

Substitute

WARREN.PAMELA ANN LINDSE Psycho-Ed School Sec/Clerk

WATERS,KRISTY

Psycho-Educational Teacher

WATERS.ROSEMARY F

Substitute

WEMMER.JOY M

Psycho-Ed Spec Ed Specialist

WEST,DAN

Substitute

WHITE,MARCIA

Substitute

WHITE,RAE L

Psych-Ed Parapro/Teacher Aide

-7 -

SALARIES

TRAVEL

$

65,579.16 $

423.00

13,146.76

704.70

7,642.50

55.20

29,696.04

979.59

315.00

9,455.62

1,543.16

59,889.00

4,758.23

40.00

315.00

24,970.00

302.75

124.00

72.10

11,391.52

3,890.16

54,049.68

2,790.50

21,776.60

97.50

62.00

24,970.00

246.50

33,560.04

550.36

45.00

48,896.92

1,474.00

3,604.20

186.05

36.05

1,685.82

25,221.96

534.75

38,684.40

2,921.87

27,524.61

10,924.30

58.00

180.00

'~,

4,112.82

136.00,

22,880.04

131.75

8,120.80

271.75

25,573.56

80.00

12,379.60

440.75

5,290.66

560.00

14,730.12

142.75

15,100.70

36.05

6,606.66

50.00

9,324.24

19.50

9,408.12

NORTHWEST GEORGIA REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30, 1998

EXHIBIT"D"

NAME
WILLIAMS.BRENDA A WILSON,MARGARET J WISE.JENNIFER WYATT.ELLEN C WYATT,SUZANNE WYLIE,TERESA JO YORK.KIMBERLY A
Accruals June 30, 1997 June 30, 1998

TITLE CATEGORY
Psych-Ed Parapro/Teacher Aide Substitute Family Services Coordinator Psycho-Ed Spec Ed Specialist Staff Development Specialist Psycho-Ed School Sec/Clerk Substitute

SALARIES

TRAVEL

$

11,683.92 $

45.00

7,105.05

46,027.99

47,983.20

18,502.92

108.15

31.50
909.30 1,370.02 3,667.45
37.50

$ 2,683,532.84 $

59,302.17

-241,060.68 264,042.42

$ 2,706,514.58 $

59,302.17

-8-

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

NORTHWEST GEORGIA 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

8504-93-01 FS-8504-97-01

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-8504-97-01

Due to current staffing limitations and budgetary considerations prohibiting the hiring of additional administrative staff, Northwest Georgia Regional Educational Service Agency has decided not to pursue the recording of general fixed assets on the financial statements. We shall continue to review and discuss this with the Northwest Georgia Regional Educational Service Agency Board of Control.

SECTION ill CURRENT YEAR FINDINGS AND QUESTIONED COSTS

NORTHWEST GEORGIA 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-8504-98-01
The Northwest Georgia Regional Educational Service Agency does not maintain a General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose 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 piaintained of all additions and deletions to the General Fixed Assets Account Group.