PIONEER 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 III CURRENT YEAR FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS RUSSELL W. HINTON STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS AND ACCOUNTS 254 Washington Street, S.w., Suite 214 Atlanta, Georgia 30334-8400 November 21,2000 Honorable Roy E. Barnes, Governor Members of the General Assembly of Georgia Members of the State Board of Education and Director and Members ofthe Pioneer Regional Educational Service Agency Board of Control Ladies and Gentlemen: As part ofour audit ofthe general purpose financial statements ofthe State ofGeorgia presented in the State ofGeorgia Comprehensive Annual Financial Report and the issuance ofa State ofGeorgia Single Audit Report pursuant to the Single Audit Act Amendments of 1996, as of and for the year ended June 30, 2000, we have performed certain audit procedures at the Pioneer Regional Educational Service Agency. Accordingly, the financial statements and compliance activities ofthe Pioneer 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 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 Pioneer Regional Educational Service Agency as of and for the year ended June 30, 2000. The particular information provided is enumerated in the Table of Contents. This report is intended solely for the information and use of management of the Pioneer Regional Educational Service Agency and members ofthe Board and is not intended to be and should not be used by anyone other than these specified parties. Respectfully submitted, ~to~'~ State Auditor RWH:gp SECTION I SELECTED FINANCIAL INFORMATION PIONEER 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, 2000 EXHIBIT nAn GENERAL FUND BUDGET ACTUAL REVENUES State Funds Federal Funds Other Funds $ 1,137,388.00 $ 853,781.40 1,221,167,20 5,220.42 1,456,695,57 Total Revenues $ 1,991,169.40 $ 2,683,083,19 EXPENDITURES Current Instruction Support Services Pupil Services Improvement of Instructional Services General Administration Business Administration Student Transportation Services Maintenance and Operation of Plant Central Support Services Other Support Services $ 395,101,20 $ 351,925.00 503,937,95 210,741,08 68,696.66 41,515.46 89,819,80 452,487.88 1,351,387.29 275,916,50 74,173,15 62,049.73 95,621.13 460,648,55 Total Expenditures $ 1,762,300.03 $ 2,671,721.35 Excess of Revenues over (under) Expenditures $ 228,869.37 $ 11,361.84 FUND BALANCE JULY 1.1999 365,548,38 366.740.00 FUND BALANCE JUNE 30, 2000 $ 594,417.75 $ 378,101.84 SPECIAL REVENUE FUND BUDGET ACTUAL $ 2,096,056,00 $ 2,117,689,05 1,141,162,00 1,383,359,79 1,421 ,237.00 1,827,119,40 $ 4,658,455,00 $ 5,328,168.24 $ 2,627,570.80 $ 2,938,322.24 204,516,20 713,722.00 208,535,00 738,555,04 1,200,00 97,519.96 126,391.08 999,099,16 228,326,68 666,286.53 249,129.67 60,500,00 61,000,00 $ 4,652,119.00 $ 5,268,555.36 $ 6,336.00 $ 59,612.88 63,607.03 388,646,13 $ 69,943.03 $ 448,259.01 SUMMARY OF FUND BALANCE Reserved State Programs Federal Programs Inventories Prepaid Items Unreserved Undesignated $ 86,156.82 91,121.67 $ 177,278.49 200,823,35 $ 6,000,00 4,016,39 396,410.81 $ 406,427.20 41,831,81 $ 378,101.84 $ 448,259.01 - 1- PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30, 2000 EXHIBIT"B" AGENCY/FUNDING GRANTS Education, Georgia Department of Other State Programs Georgia Leaming Resources System Health Insurance Regional Educational Service Agencies Severely Emotionally Disturbed Youth Apprenticeship Lottery Programs Educational Technology Centers CONTRACTS Education, Georgia Department of Curriculum and Reading Curriculum and Reading Guide Elementary School Foreign Language Model Program Literature and Composition Training Manual Provide Technology and Support for Department Staff in the Use of the Technology Center Resource Guide Georgia Environmental Facilities Authority Electric Vehicle Education Project OTHER Education, Georgia Department of Workshop Fees GENERAL FUND SPECIAL REVENUE FUND $ 90,762.00 $ 81,214.28 771,590.00 1,944,294.00 80,000.00 61,000.00 15,000.00 15,000.00 58,281.00 565.00 189,385.00 9,706.92 21,633.05 425.00 $ 1,221,167.20 $ 2,117,689.05 - 2- PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF FEDERAL REVENUE YEAR ENDED JUNE 30. 2000 EXHIBIT"C" AGENCY/FUNDING GRANTS Corporation for National and Community Service Through Georgia Department of Education Learn and Serve America School and Community Based Programs Education, U. S. Department of Through Georgia Department of Education Safe and Drug-Free Schools Elementary and Secondary Education Act Even Start Individuals with Disabilities Education Act Part B - Special Education Special Projects Georgia Learning Resources System Severely Emotionally Disturbed Preschool Part D - Special Education Personnel Development and Parent Training Georgia Learning Resources System Title I Grants to Local Educational Agencies Title II Eisenhower Professional Development State Grants Cooperative Agreements to Support Comprehensive School Health Programs to Prevent the Spread of HIV and Other Important Health Problems GENERAL FUND SPECIAL REVENUE FUND $ 4,620.42 $ 163,322.94 317,000.00 246,749.44 167,394.00 239,903.81 43,756.00 587.12 154,646.48 50,000.00 600.00 $ 5,220.42 $ 1,383,359.79 - 3- PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF OTHER REVENUE YEAR ENDED JUNE 30, 2000 EXHIBIT"D" Administrative Fees Departmental Copy Charges Indirect Cost Special Revenue Fund Interest Earned Medicaid Reimbursement Sales and Services Audio Visual Repairs Less: Cost of Goods Sold Business Machine Repairs Less: Cost of Goods Sold Computer Repairs Less: Cost of Goods Sold Cooperative Purchasing Agency Less: Cost of Goods Sold Printing Less: Cost of Goods Sold Services Provided Shared Services Projects Various Sources Other Workshop Fees GENERAL FUND SPECIAL REVENUE FUND $ 35,884.00 25,191.92 7,386.35 23,176.20 $ 584,936.88 8,674.96 20,304.83 -16,591.13 328.22 -325.07 33,207.20 -36,168.01 42,457.54 -23,142.35 3,218,062.51 -2,340,120.65 517,351.69 27,413.34 215,283.96 835,775.71 104,726.87 $ 1,456,695.57 $ 1,827,119.40 -4- PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30, 2000 EXHIBIT"E" NAME ADAMS,LYNN OSANI ADAMS,SHIRLEY J ALLEY,NANCY S ARMOUR,JUDITH ANN BAGHOSE,JUDITH A BALBUZE,MAUREEN BATEY,CAROL L BECKER,ANNA MARIE BENNETT,ROGER E BERGHOLM,BONNY E BERRONG,DONNA D BERRY,GINA D BIGGERS,CHARMANE G BIGGS,DENNIS R BLACK,RITA A BORDERS,DEBRA S BRANCH,SUSAN K BRISCOE,HARRIET A BROOKS,MARC BROWN,INGE A BRUCE,NANCY BAILEY BRYANT,JOHNNY LAMAR BURRELL,CHERYL B CAGLE,TERRIE Y CARTER,TERESA A CATES,CHRISTINE W CHAMBERS,HEATHER L CHRISTMAS,KATHLEEN LEE COCHRAN,BONNIE L COLLlNS,J LAMAR CONYERS,ALVIN B COOK,ELlZABETH S CRAIG,EDITH I CRAWFORD,ANNIE MAE DEVEL,KAREN S DOCKINS,JANET DORSEY,HELEN H DORSEY,TRACY S DUNN,RITAP DYER,GLENDA FARIST,JANIE FARMER,HOWARD LEE FRANKS,DIANNE S FREEMAN,SHIRLEY A GEORGE,HEATHER H GERRELL,JERILYN GOWAN,BONEL GRANT,JERRY A GREEN,CLASSIE P HARKINS,KARYN R HARRISON,JAMES J JR TITLE CATEGORY Psych-Ed Paraprorreacher Aide Psycho-Ed Spec Ed Specialist Psycho-Educational Teacher Support Serv Secretary/Clerk Psycho-Educational Teacher Psycho-Educational Teacher Paraprofessionalrreacher Aide Psych-Ed Paraprorreacher Aide Instructional Supervisor Psycho-Educational Teacher Psycho-Educational Teacher Psych-Ed Paraprorreacher Aide Support Serv Secretary/Clerk Instructional Supervisor Support Serv Secretary/Clerk Psycho-Educational Teacher Technology Specialist Instructional Supervisor Technology Specialist Psych-Ed Paraprorreacher Aide Psych-Ed Paraprorreacher Aide Psycho-Educational Teacher Psycho-Educational Teacher Support Serv Secretary/Clerk Psych-Ed Paraprorreacher Aide Grades K-5 Teacher Psych-Ed Paraprorreacher Aide Psych-Ed Paraprorreacher Aide Business Serv Secretary/Clerk Warehouseman Psycho-Educational Teacher Psych-Ed Paraprorreacher Aide Psych-Ed Paraprorreacher Aide Support Serv Secretary/Clerk Substitute Substitute Support Serv Secretary/Clerk Substitute Diagnostician Psych-Ed Paraprorreacher Aide Substitute Technology Specialist Psych-Ed Paraprorreacher Aide Support Serv Secretary/Clerk Substitute Psycho-Ed School Sec/Clerk Psych-Ed Paraprorreacher Aide Vocational Director (RESA) Psych-Ed Paraprorreacher Aide Substitute Technology Specialist -5- SALARIES TRAVEL $ 23,235.21 $ 54,649.16 41,208.14 31,335.00 44,220.96 6,179.50 12,897.24 18,765.14 39,699.27 40,901.30 30,893.63 16,941.30 15,604.20 55,802.30 1,097.76 29,817.46 3,526.60 53,003.37 37,965.12 12,464.77 9,646.00 52,649.14 5,190.62 26,042.21 4,776.34 41,608.31 11,606.70 9,588.50 37,034.69 51,889.92 30,098.00 14,230.84 1,873.14 20,091.00 1,091.80 42.00 436.44 546.00 27,578.60 22,208.70 41.20 39,104.04 19,496.82 25,450.80 80.00 26,214.00 20,035.24 28,941.96 5,389.12 206.00 39,104.04 627.25 1,277.96 680.50 3,889.35 152.00 3,290.87 1,243.00 3,973.30 4,467.14 45.60 26.00 125.50 133.00 118.75 448.12 165.20 287.90 3,755.30 32.50 115.25 242.75 26.00 1,308.23 78.26 PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30, 2000 EXHIBIT"E" NAME TITLE CATEGORY HELTON ,TAMMY ANN HENNING,DIANA L HOBERG,JUDY G HOLCOMB,JOYCE HOOTS,RAYMOND J HORSLEY,JUDITH W HULSEY,CURTIS HUMPHRIES,SHERRY L HUNTER,KATHERIN HUNTER, MARLENE HYDE,CYNTHIA B JACKSON,DOUG JACKSON,TIFFANY S JOINER,MELINDA S JONES,ANGELA CHARLENE KEIL,JANE KELLEY,SHELLY KIDD,MARY KIMSEY,JAIME A KIMSEY,JAMES H KIMSEY,MARILYN P KINSEY,BUFORD 0 KRAUSE,BOBBIE L LEWALLEN,MARSHA L1POLD,MARTHA H LOYLESS,CAROLYN R MAXWELL,THERESA SHANNON MCCLEARY,SHEILA J MCCONNELL,VICKIE C MCDOWELL,MICHAEL C MCGHEE,GILBRETIA S MERITI,TONNIE C MILLER,DONNA K MOFFETI,MALVI NA MOFFETI,WAYNE NEAVE,SHELIA NESBITI-ROPER,THERESA A NICHOLS,wILLARD M NORRELL,EDITH OKEEFE,KATHLEEN H PALMER,BARBARA G PALMER,DANNY PALMER,DARREN J PALMER,JIMMY R PARKER,SUSAN C PARTIN,LARRY A PARTIN,MELANIE L PATIERSON,GLORIANNE PIERCE,ESTELEE SCOTI POOLE,CYNTHIA L PORTER-WHITMIRE,DERRICK Substitute Psycho-Ed School Psychologist Instructional Supervisor Support Serv Secretary/Clerk Plant Operations Director/Mgr Occupational Therapist (OT) Warehouseman ParaprofessionallTeacher Aide Substitute Psycho-Ed School Sec/Clerk Diagnostician Psych-Ed ParaprolTeacher Aide Psych-Ed ParaprolTeacher Aide Psycho-Educational Teacher Psycho-Educational Teacher Substitute Support Serv Secretary/Clerk Substitute ParaprofessionallTeacher Aide Youth Apprenticeship Director IS Personnel - General Admin Other Transportation Instructional Supervisor Technology Specialist Technology Specialist School Psychologist Psycho-Educational Teacher Psycho-Educational Teacher General Admin Secretary/Clerk IS Personnel - Other Support Finance/Business Service Mgr Psych-Ed ParaprolTeacher Aide Psycho-Educational Teacher Psycho-Educational Teacher Director of Psycho-Ed Prog Psycho-Educational Teacher Psycho-Educational Teacher Technology Specialist Substitute Instructional Supervisor Support Serv Secretary/Clerk Warehouseman Warehouseman Warehouseman Director of Child Serve Custodial Personnel Support Serv Secretary/Clerk Instructional Supervisor Subtitute Physical Therapist (PT) Psycho-Ed Spec Ed Specialist - 6- SALARIES TRAVEL $ 523.71 48,905.54 $ 59,797.36 9,491.04 65,000.04 47,356.78 29,278.76 14,681.66 45.00 30,441.96 59,065.20 19,640.00 14,927.82 33,839.50 32,371.26 45.00 852.53 82.40 11,850.99 65,962.80 6,275.97 34,658.04 53,570.22 61,224.84 50,015.88 8,608.00 43,209.36 40,901.30 29,644.68 65,962.80 43,804.80 8,838.53 31,451.00 36,975.30 81,564.96 52,649.14 39,542.00 41,604.06 765.00 73,565.16 25,450.92 35,408.41 30,510.57 2,304.32 61,206.95 1,961.98 8,371.15 11,577.14 2,313.84 48,517.74 58,249.16 1,188.46 3,987.10 26.25 853.62 2,739.75 61.25 4,560.78 442.00 5,796.47 126.50 3,879.60 2,052.69 1,596.14 337.50 355.50 3,950.48 26.25 310.22 2,034.75 5,022.01 64.23 5,079.07 50.75 2,727.35 421.51 432.00 4,270.77 PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF SALARIES AND TRAVEL YEAR ENDED JUNE 30, 2000 EXHIBIT "E" NAME PRICE,STELLA W REYNOLDS,CONICE MARIE ROBINSON,JESSIE L ROGERS,CARL SAUNDERS,ANNE H SHANNON-WILEY,JULIA SHOOK,SHIRLEY SIMMONS,CHRISTY J SISK,DOCK SLONE,ANNE SMITH,MICHELLE SMITH,PAMELA W SOSBY,BARBARA L SPERIN,WILLIAM R SPOON,MARY M SPRAYBERRY,GREG L STANCIL,RUSSELL STANDRIDGE,STEPHANIE STOCKTON,SUZANNE STOKES,GERALD G STOVER,STAN STRAIT,RAMONA B STRICKLAND,FAYE S STUDEBAKER,PRISCILLA TAYLOR,L1SA A THOMAS,C RONALD THOMAS,CAROLE L THOMASON,TERESIA G VANDIVER,JENNIFER WATKINS,KENNETH H WILLS,KATHRYN P WILSON,MICHELLE F WINDHAM,SHERYL WINKLER,MARGIE WRIGHT,PHILIP R WRIGHT,SONYA M WRIGHT,YONAH SEWELL YORK,BEATRICE C Accruals June 30,1999 June 30, 2000 TITLE CATEGORY Grades K-5 Teacher Psych-Ed ParaprofTeacher Aide Substitute Warehouseman RESA Director Psych-Ed ParaprofTeacher Aide Substitute Psych-Ed ParaprofTeacher Aide Planning/Evaluation Personnel Psych-Ed ParaprofTeacher Aide Substitute Psycho-Ed Spec Ed Specialist Psych-Ed ParaprofTeacher Aide Technology Specialist Psycho-Educational Teacher Technology Specialist Other Transportation Substitute Speech-Language Pathologist Psycho-Educational Teacher Psycho-Ed Spec Ed Specialist Occupational Therapist (OT) Psych-Ed ParaprofTeacher Aide Psych-Ed ParaprofTeacher Aide Psycho-Educational Teacher Other Transportation Support Serv Secretary/Clerk Diagnostician Technology Specialist IS Personnel-Instruction Serv Grades K-5 Teacher Substitute Diagnostician Psycho-Educational Teacher Director of GLRS Psycho-Educational Teacher Psych-Ed ParaprofTeacher Aide Support Serv Secretary/Clerk SALARIES TRAVEL $ 44,907,34 $ 9,245.46 210,00 34,920.49 93,999,96 17,877,99 40.00 13,913.26 5,075.84 19,371.42 202.64 50,436.20 13,816.00 57,837.96 38,225.30 3,788.58 34,658.04 51.00 48,730.84 28,487.50 66,963.00 13,940.35 5,829.60 19,732.66 39,542.00 35,668.87 23,368.68 41,542.04 24,519.00 59,065.20 42,840.78 126.00 54,083.48 51,640.01 69,462.84 30,568.08 18,941.30 21,954.00 1,661.42 4,208,93 1,049.38 152.41 3,678.74 4,370.22 584.72 1,998.22 1,132.25 9.25 345.00 26.00 447.00 3,458.18 2,920.76 1,892.61 3,642.05 712.27 2,922.01 $ 3,912,945.88 $ 114,114.15 -285,087.75 294,119.33 $ 3,921,977.46 $ 114,114.15 -7- SECTIONll AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY 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-8544-98-01 FS-8544-99-01 Further Action Not Warranted Unresolved - See Corrective Action/Responses CORRECTIVE ACTIONIRESPONSES GENERAL FIXED ASSETSIPROPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-8544-99-01 Due to changes in administration and changes injob descriptions this past year, and with limited staff we were unable to pursue the recording of fixed assets on our financial statements. It is however a major goal for our planning as we move into the FY 01 fiscal year. SECTIONID CURRENT YEAR FINDINGS AND QUESTIONED COSTS PIONEER REGIONAL EDUCATIONAL SERVICE AGENCY SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 2000 FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS GENERAL FIXED ASSETSIPRQPERTY MANAGEMENT Failure to Maintain General Fixed Assets Account Group Finding Control Number: FS-8544-00-01 The Pioneer 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 ofthe 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 ofa General Fixed Assets Account Group. These subsidiary records should include an inventory ofequipment 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.