GA A'600 . RI E39 IGQs -gb STATE OF GEORGIA DEPARTMENT OF AUDITS 254 WASHINGTON STREET ATLANTA. GEORGIA 30334 REVIEW REPORT STATE OF GEORGIA EAST GEORGIA COllEGE SWAINSBORO, GEORGIA YEAR ENDED JUNE 30, 1996 EAST GEORGIA COLLEGE - TABLE OF CONTENTS - INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION EXHIBITS FINANCIAL STATEMENTS A COMBINED BALANCE SHEET ALL FUND GROUPS 2 B COMBINED STATEMENT OF CHANGES IN FUND BALANCES ALL FUND GROUPS 4 C STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES, AND OTHER CHANGES 6 D NOTES TO THE FINANCIAL STATEMENTS 7 SUPPLEMENTARY INFORMATION E COMBINING BALANCE SHEET CURRENT FUNDS - UNRESTRICTED 20 F COMBINING STATEMENT OF CHANGES IN FUND BALANCES CURRENT FUNDS - UNRESTRICTED 21 G COMBINING STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES, AND OTHER CHANGES UNRESTRICTED 23 SCHEDULES SCHEDULES OF REVENUES AND EXPENDITURES COMPARED TO BUDGET 1 RESIDENT INSTRUCTION 24 2 LOTTERY FOR EDUCATION 26 3 SCHEDULE OF OPERATIONS ENDOWMENT FUNDS 27 4 SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS AGENCY FUNDS 28 5 CASH AND CASH EQUIVALENTS 29 6 ACCOUNTSRECENABLE 30 7 CHANGES IN INVESTMENT IN PLANT 31 8 SCHEDULE OF FUND BALANCES CURRENT FUNDS AND PLANT FUNDS 32 9 SCHEDULE OF REVENUES CURRENT FUNDS 34 SCHEDULES OF EXPENDITURES BY OBJECT 10 CURRENT FUNDS . 36 11 PLANT FUNDS 38 CLAUDE L. VICKERS STATE AUDITOR (404) 656-2174 DEPARTMENT OF AUDITS 254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 November 19, 1996 Honorable Zell Miller, Governor Members of the General.Assembly of Georgia Members ofthe Board ofRegents ofthe University System of Georgia and Honorable Jeremiah J. Ashcroft, President East Georgia College INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION Ladies and Gentlemen: We have reviewed the accompanying financial statements (Exhibits A through D) of East Georgia College as of and for the year ended June 30, 1996, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All information included in these financial statements is the representation of the management of East Georgia College. A review consists principally of inquiries of College personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion. Based on our review, with the exception of the matters described in the fourth and fifth paragraphs, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles. As disclosed in Note 1 to the financial statements, generally accepted accounting principles require encumbrances to be recorded as a reservation of fund balance. However, in accordance with Georgia Law and State budgetary policy, management recorded encumbrances as expenditures and liabilities. The effects ofthis departure from generally accepted accounting principles on the financial statements were not reasonably determinable. 96ARL-67 As disclosed in Note 1 to the financial statements, the College did not report the liability and related expenditure for compensated absences in the current funds as required by generally accepted accounting principles. Ifcompensated absences were reported, liabilities would be increased and fund balance would be decreased by $103,952.66 as ofJune 30, 1996, and the net change in fund balance for the year ended June 30, 1996, would be decreased by $6,450.15. Our review was made for the purpose ofexpressing limited assurance that there are no material modifications that should be made to the financial statements in order for themto be in conformity with generally accepted accounting principles. The accompanying supplementary information (Exhibits E through G and Schedules 1 through 11) is presented only for supplementary analysis purposes. Such information has been subjected to the inquiries and analytical procedures applied in the review of the financial statements, and except for the effects of the matters discussed in the fourth and fifth paragraphs, we are not aware of any material modifications which should be made thereto. Respectfully submitted, ~M4,;r:~ ..J Claude L. Vickers State Auditor CLV:jy 96ARL-67 FINANCIAL STATEMENTS - 1- EAST GEORGIA COLLEGE COMBINED BALANCE SHEET ALL FUND GROUPS JUNE 30, 1996 ASSETS Cash and Cash Equivalents Accounts Receivable Inventories Prepaid Ite~s Due from Other Fund Groups Investment in Plant CURRENT FUNDS UNRESTRICTED RESTRICTED LOAN FUNDS $ 338,053.43 $ 21,412.38 $ 600.00 8,381.74 21,038.83 2,247.00 91,250.90 700.00 12,342.08 Total Assets $ 450,728.15 $ 42,451.21 $ =======::!2,=84..7..=.0=0 LIABILITIES AND FUND BALANCES Liabilities Accounts Payable Deferred Revenue Tuition and Fees Deposits Held in Custody for Others Due to Other Fund Groups Total Liabilities Fund Balances Jnstitutional Loans - Restricted Endowment Net Investment in Plant Restricted Unrestricted Total Fund Balances $ 199,115.~0 87,769.00 $ 12,342.08 $ 286,884.30 $ 12.342.08 $ $ 30,109.13 $ 163,843,85 $ 163,843.85 $ 30,109.13 $ 2,847,00 2,847.00 Total Liabilities and Fund Balances $ 450.728.15 $ 42,451.21 $ =======2,=84=7=.0==0 See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information. The notes to the financial statements are an integral part of this statement. -2- EXHIBIT "A" ENDOWMENT FUNDS UNEXPENDED PLANT FUNDS RENEWALS AND REPLACEMENTS INVESTMENT IN PLANT AGENCY FUNDS TOTAL (Memorandum Only) $ 32,500.00 $ 428,064.36 $ 48,693.89 $ 28,193.93 $ 897,517.99 44,846.00 76,513.57 91,250.90 700.00 _ _ _ _ _ _ $ 6,061,229.49 12,342.08 6,061,229.49 $ 32,500.00 $ 472,910.36 $ 48,693.89 $ 6,061,229.49 $ 28,193.93 $ 7,139,554.03 $ 470,099.88 $ 470,099.88 $ 32,500.00 $ $ 32,500.00 $ 2,810.48 $ 2,810.48 $ $ 32,500.00 $ 472,910.36 $ $ 13,020.31 $ 682,235.49 15,173.62 87,769.00 15,173.62 12,342.08 $ 28,193.93 $ 797,520.19 $ 6,061,229.49 48,693.89 48,693.89 $ 6,061,229.49 $ 2,847.00 32,500.00 6,061,229.49 30,109.13 215,348.22 $ 6,342,033.84 48,693.89 $ 6,061,229.49 $ 28,193.93 $ 7,139,554.03 -3- EAST GEORGIA COLLEGE COMBINED STATEMENT OF CHANGES IN FUND BALANCES ALL FUND GROUPS YEAR ENDED JUNE 30,1996 REVENUES AND OTHER ADDITIONS Unrestricted Current Fund Revenues State Appropriations Major RepairslRehabilitation Funds Lottery Proceeds Federal Grants and Contracts State Grants and Contracts Private Gifts, Grants, and Contracts Investment Income Endowment Other Adjustments Prior Years' Expenditures/Accounts Payable Funded by the Board of Regents of the University System of Georgia Prior Year's Unrestricted Fund Balance (Deficit) Expended for Plant Facilities Current Funds Plant Funds Unexpended Total Revenues and Other Additions EXPENDITURES AND OTHER DEDUCTIONS Educational and General Expenditures Auxiliary Enterprises Expenditures Indirect Costs Recovered Remittances to the Board of Regents of the University System of Georgia Prior Year's Unrestricted Fund Balance (Surplus) Expended for Plant Facilities Capitalized Noncapitalized Total Expenditures and Other Deductions TRANSFERS BETWEEN FUNDS Nonmandatory Renewals and Replacements Endowment Corpus Total Transfers Between Funds Net Increase/(Decrease) for the Year FUND BALANCES JULY 1. 1995 CURRENT FUNDS UNRESTRICTED RESTRICTED LOAN FUNDS $ - 3,481,696.66 $ 0.00 $ 457,469.15 167,730.75 23,876.65 1,269.70 1,017.30 1,731.55 $ 3,484,445.51 $ 650,346.25 $ 0.00 $ 3,436,004.60 $ 644,241.95 $ 0.00 19,271.16 2,945.65 $ 3,455,275.76 $ 647.187.60 $ 0.00 $ -9,714,15 $ -328.12 $ -9,714,15 $ -328.12 $ 19,455.60 $ 2,830.53 144,388.25 27,278.60 $ 2,847.00 FUND BALANCES JUNE 30, 1996 $ See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information. The notes to the financial statements are an integral part of this statement. -4- 30,109,13 $ 2.,.8.4.7.,;,,;;.0.0. EXHIBIT"B" ENDOWMENT FUNDS PLANT FUNDS RENEWALS AND UNEXPENDED REPLACEMENTS INVESTMENT IN PLANT TOTAL (Memorandum Only) $ 0.00 $ 3,481,696.66 $ 239,230.00 350,653.00 26,693.00 239,230.00 350,653.00 457,469.15 167,730.75 $ 4,619.00 55,188.65 21,169.88 $ 993.84 1,269.70 22,163.72 606.10 1,623.40 1,731.55 169,238.59 169,238.59 531,315.27 531,315.27 $ 0.00 $ 638,351.98 $ 993.84 $ 705,172.86 $ 5,479,310.44 $ 0.00 $ $ 10.84 531,315.27 106,429.83 $ 0.00 $ 637,755.94 $ 0.00 $ 0.00 $ 0.00 $ 4,080,246.55 19,271.16 2,945.65 10.84 531,315.27 106,429.83 0.00 $ 4,740,219.30 $ 328.12 $ 328.12 $ 328.12 $ 32,171.88 $ $ 596.04 $ 2,214.44 9,714.15 $ 0.00 0.00 9,714.15 $ 0.00 10,707.99 $ 705,172.86 $ 739,091.14 37,985.90 5,356,056.63 5,602,942.70 $ 32,500.00 $ 2,810.48 $ 48,693.89 $ 6.061,229.49 $ 6,342,033.84 -5- Net Increasel(Decrease) in Fund Balances $ 19,455.60 $ 2,830.53 $ 22_,.2.8-.6;,,;.1.3 See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information. The notes to the financial statements are an integral part of this statement. -6- EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXHIBIT "D" NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES REPORTING ENTITY East Georgia College is one of thirty-four (34) State supported member institutions of higher education in Georgia which comprise the University System ofGeorgia, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of East Georgia College as a separate reporting entity. The Board of Regents has constitutional authority to govern, control and manage the University System of Georgia. This authority includes but is not limited to the power to designate management, the ability to significantly influence operations, the authority to control institutions' budgets, the power to determine allotments of State funds to member institutions and the authority to prescribe accounting systems and administrative policies for member institutions. East Georgia College does not have authority to retain unexpended State funds (surplus) for any given fiscal year. Accordingly, East Georgia College is considered an organizational unit of the Board of Regents of the University System of Georgia reporting entity for financial reporting purposes because ofthe significance ofits legal, operational, and financial relationships with the Board of Regents as defined in Section 2100 of the Governmental Accounting Standards Board Codification of Governmental Accounting and Financial Reporting Standards. FUND ACCOUNTING In order to ensure observance oflimitations and restrictions placed on the use of the resources available to the College, the accounts ofthe College are maintained in accordance with the principles offund accounting. This is the procedure by which resources for various purposes are classified for accounting and reporting purposes into funds that are in accordance with activities or objectives specified. Separate accounts are maintained for each fund; however, in the accompanying financial statements, funds that have similar characteristics have been combined into fund groups. Accordingly, all financial transactions have been recorded and reported by fund group. Within each fund group, the College's fund balance allocations and designations represent those portions of the fund balances that are reserved, restricted and/or designated for specifiG future use by legal covenants, State policies, or institutional policies. Fund groups and funds presented in the accompanying financial statements are as follows: CURRENT FUNDS UNRESTRICTED - The fund used to account for those economic resources over which the College retains full control to use for purposes of performing the primary functions of the College, e.g., instruction, auxiliary enterprises, and student activities. RESTRICTED - The fund used to record externally restricted funds which may only be utilized in accordance with the purposes established by their source. Restricted current funds are recorded as revenues and expenditures when expended for current operating purposes. - 7- EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 3D. 1996 EXHIBIT"D" NOTE 1: SUM:MARY OF SIGNIFICANT ACCOUNTING POLICIES FUND ACCOUNTING LOAN FUND The fund used to account for resources which have been made available for financial loans to students for the Student Government Association Loan Fund. ENDOWMENT FUNDS The fund used to account for gifts that are subject to the restrictions by the donors requiring that the principal be invested in perpetuity and income only be utilized. PLANT FUNDS UNEXPENDED - The fund used to account for financial resources utilized to acquire or to construct physical properties for institutional purposes. RENEWALS AND REPLACEMENTS - The fund used to account for resources set aside for the renewal and replacement of institutional properties. INVESTMENT IN PLANT - The fund which shows the total amounts representing the book value ofall physical properties owned by the College. Net Investment in Plant is an equity account showing the total book value ofphysical properties belonging to the College less the amount of any indebtedness to others. AGENCY FUNDS The fund used to account for resources held by the College as custodian or fiscal agent for individual students, faculty, staffmembers, and organizations. BASIS OF ACCOUNTING Except as otherwise disclosed in these notes, the financial statements are prepared on the modified accrual basis ofaccounting, which is materially the same as the accrual basis of accounting applicable to colleges and universities prescribed in the American Institute of Certified Public Accountants' audit guide reporting model. The modified accrual basis ofaccounting is defined as that method of accounting in which expenditures, other than accrued interest on general long-term debt, are recorded at the time liabilities are incurred and revenues are recorded when available and measurable to finance expenditures of the fiscal period. - 8- EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 1996 EXHIBIT"D" NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF ACCOUNTING Contractual obligations for goods and services which have not been.received at the end ofthe fiscal year are recognized as expenditures and liabilities in the accompanying financial statements. This accounting practice causes expenditure-driven grant revenues to be accrued based, in part, on the unexecuted portion of contracts for goods and seIVices. The recognition of encumbrances as expenditures and liabilities is in conformity with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but is not consistent with generally accepted accounting principles, which provide for the recording of encumbrances as a reservation offund balance. Further, revenue recognition for expenditure-driven grants should be based upon expenditures determined in accordance with generally accepted accounting principles. Compensated absences represent obligations of the College relating to employees' Ijghts to receive compensation for future absences based upon seIVices already rendered. This obligation relates only to vesting accumulated annual leave in which payment is probable and can be reasonably estimated. The compensated absences liability of$103,952.66 and the related current year expenditure of $6,450. 15 have not been reported in the current funds as required by generally accepted accounting principles. Prior period adjustments and certain other items are reported as additions to and deductions from fund balances of current funds in the accompanying financial statements. This presentation is in accordance with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but differs from generally accepted accounting principles in that immaterial adjustments should be reported as current period revenues and expenditures. The effect of this departure is deemed to be immaterial to the fair presentation of the financial statements. To the extent that Current Funds and Plant Funds are used to finance plant assets, the amounts so provided are accounted for as expenditures. The balances shown on the Combined Balance Sheet as Net Investment in Plant reflect the accumulated expenditures made for plant facilities through Current Funds and Plant Funds and also include expenditures made for plant facilities expended by the Georgia State Financing and Investment Commission on behalf of the College. Donated fixed assets are recorded at fair market value on the date donated. Disposals are deleted at recorded values. No depreciation has been provided on physical plant and equipment. The Statement of Current Funds Revenues, Expenditures, and Other Changes is a statement of financial activities of current funds related to the current reporting period. It does not purport to present the results of operations or the net income or loss for the period as would a statement of income or a statement of revenues and expenses. - 9- EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30.1996 EXHIBIT"D" NOTE 1: SUM:MARY OF SIGNIFICANT ACCOUNTING POLICIES BUDGET The Board of Regents of the University System of Georgia - Administrative Central Office receives State appropriation allotments for units of the University System of Georgia. The appropriated budget is adopted at the departmental level and represents appropriations provided by the Amended Appropriations Act of 19951996. The appropriated budget covers current funds and plant funds, except for Auxiliary Enterprises and Student Activities which are not subject to appropriation. The budget allocation and disbursement ofthese funds is made to the various organizational units by the Administrative Central Office. In addition, the organizational units receive Federal funds and other funds directly and include these funds in the budget filed with the Administrative Central Office. A comparison of anticipated funds available and budgeted expenditures by budget unit object class indicates that the following object class was overspent by the amount identified below: Operating Expenses: Education, General and Departmental Services $ 59,261 78 This overexpenditure ofbudget constitutes a violation ofBoard ofRegents policy, but does not constitute a statutory violation of budget authority. Statutory violations of bu'dget authority are reported at the departmental level. CASH AND CASH EQUIVALENTS Cash and Cash Equivalents consist of petty cash, demand deposits, certificates of deposit and temporary investments in authorized financial institutions. ACCOUNTS RECEIVABLE Accounts receivable consist of allotments due from the Board of Regents of the University System of Georgia - Administrative Central Office, reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. No provision has been made for an allowance for doubtful accounts within the accompanying financial statements. INVENTORIES Inventories of consumable supplies are recorded on the consumption method and are valued at cost on the Combined Balance Sheet using the weighted-average cost method. Inventories ofgoods for resale are valued at cost using the first-in-first out method. MEMORANDUM ONLY - TOTAL COLUMNS The total columns on the financial statements are captioned "Memorandum Only" because they do not represent consolidated financial information and are presented only to facilitate financial analysis. The columns do not present information that reflects financial position or changes in financial position 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. - 10 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30.1996 EXHlBIT"D" NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds belonging to the State ofGeorgia cannot be placed in a depository paying interest longer than ten days . without the depository providing a surety bond to the State. In lieu of a surety bond, the depository may pledge as collateral anyone or more ofthe following securities as enumerated in the Official Code of Georgia Annotated Section 50-17-59: (1) Bonds, bills, certificates ofindebtedness, notes, or other direct obligations of the United States or ofthe State of Georgia. (2) Bonds, bills, certificates ofindebtedness, notes, or other obligations ofthe counties or municipalities of the State of Georgia. (3) Bonds ofany public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose: (4) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia. (5) Bonds, bills, certificates ofindebtedness, notes, 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, and the Federal National Mortgage Association. (6) Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation. As authorized in the Official Code of Georgia Annotated Section 50-17-53, the State Depository Board has adopted policies which allow agencies of the State of Georgia (which includes organizational units of the Board of Regents of the University System of Georgia) the option of exempting demand deposits from the collateral requirements. The treasurer ofthe Board ofRegents is responsible for all details relative to furnishing the required depository protection for all units of the University System of Georgia. CATEGORIZATION OF DEPOSITS For purposes of analysis of custodial credit risk, cash deposits consist of all bank balances which include demand deposits and/or interest bearing accounts. The bank balances as of June 30, 1996, are categorized below in order to provide information about the extent to which such deposits are exposed to custodial credit risk: - 11 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXHIBIT "D" NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS CATEGORIZATION OF DEPOSITS Category 1 - Amounts covered by depository insurance or collateralized with securities (at market value) held by the College or by its agent in the College's name. Category 2 - Amounts collateralized with securities (at market value) held by the pledging financial institution's trust department or agent in the College's name. Category 3 - Amounts collateralized with securities (at market value) held by the pledging financial institution, or by its trust department or agent but not in the College's name, and amounts uncollateralized. Cash Deposits Carrying Amount Bank Balances Risk Categories 3 $ 89726799 $ 1 17713255 $ 273397 89 $,====!o~o~o $ 90373466 NOTE 3: INVESTMENT IN PLANT The following is a summary ofInvestment in Plant fixed assets as ofJune 30, 1996: Land Buildings Improvements Other Than Buildings EgUlpment Library Books and Collections Total Investment in Plant $ 152,859.45 2,178,862.48 1,518,018.44 1,250,280.13 961,208.99 $ 6 061.229.49 NOTE 4: RISK MANAGEMENT East Georgia College is a participant in the Board of Regents of the University System of Georgia Health Benefits Plan, which is a self-insurance program ofhealth and dental benefits for employees and retirees ofthe University System of Georgia. The College and participating employees and retirees pay premiums to the Health Benefits Plan for this health insurance coverage. The Health Benefits Plan is included in the audit report ofthe Board ofRegents ofthe University System of Georgia - Administrative Central Office. All units ofthe University System of Georgia share the risk ofloss for claims of the Health Benefits Plan. The Health Benefits Plan is considered a self-sustaining risk fund that provides health coverage for its members up to a maximum lifetime benefit of $1,000,000.00 per person and dental coverage up to an annual maximum of $1,000.00 per person. The Board of Regents has contracted with Blue Cross Blue Shield of Georgia to process claims in accordance with the Health Benefits Plan as established by the Board ofRegents. - 12 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXlllBIT "D" NOTE 4: RISK MANAGEMENT The Department ofAdministrative Services (DOAS) has the responsibility for the State of Georgia of making and carrying out decisions that will minimize the adverse effects of accidental losses that involve State government assets. The State believes it is more economical to manage its risks internally and set aside assets for claim settlement. Accordingly. DOAS processes claims for risk of loss to which the State is exposed. including general liability. property and casualty. workers' compensation, unemployment compensation, and law enforcement officers' indemnification. Limited amounts of commercial insurance are purchased applicable to property. employee and automobile liability. fidelity and certain other risks. The College. as an organizational unit of the Board of Regents of the University System of Georgia, is part of the State of Georgia reporting entity. and as SUCh. is covered by the State of Georgia risk management program administered by DOAS. Premiums for the risk management program are charged to the various state organizations by DOAS to provide claims servicing and claims payment. A self-insured program of professional liability for its employees was established by the Board ofRegents of the University System ofGeorgia under powers authorized by the Official Code of Georgia Annotated Section 45-9-1. The program insures the employees to the extent that they are not immune from liability against personal liability for damages arising out ofthe performance oftheir duties or in any way connected therewith. The program is administered by DOAS as a Self-Insurance Fund. NOTE 5: DEFERRED COMPENSATION PLAN The State ofGeorgia offers its employees a deferred compensation plan in accordance with Internal Revenue Code Section 457. The plan, available to employees of the State of Georgia and county health departments. pennits such employees to defer a portion oftheir salary until future years. Participation in the plan is optional. Participants choose the option or options in which they wish to participate. The deferred compensation is not available to employees until termination, retirement. death, or unforeseeable emergency. All amounts of compensation deferred under the plan. all property and rights purchased with those amounts, and all income attributable to those amounts. property, or rights are (until paid or made available to the employee or other beneficiary) solely the property and rights of the State of Georgia subject only to the claims of the State's general creditors. Participants' rights under the plan are equal to those of a general creditor of the State of Georgia in an amount equal to the fair market value of the deferred account for each participant. Financial information relative to the plan will be presented in the State of Georgia Comprehensive Annual Financial Report for the fiscal year ended June 30. 1996. NOTE 6: RETffiEMENTPLANS TEACHERS RETIREMENT SYSTEM OF GEORGIA Plan Description East Georgia College participates in the Teachers Retirement System of Georgia (TRS), a cost-sharing multiple-employer public employee retirement system (PERS) established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State of Georgia. - 13 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30.1996 EXIllBIT "D" NOTE 6: RETIREMENTPLANS TEACHERS RETIREMENT SYSTEM OF GEORGIA Plan Description The College's payroll for the year ended June 30, 1996, for employees covered by TRS was $1,238,219.48. The College's total payroll for all employees was $1,973,152.29. Benefits TRS provides service retirement, disability retirement, and survivor's benefits for its members. A member is eligible for service retirement after the member (1) has attained the age of 60 years and has at least ten years ofcreditable service, (2) has at least 30 years of creditable service, regardless of age, or (3) has attained the age of55 years and has at least 25 years of creditable service. For those members with 30 years of service or those age 60 with at least ten years of service, retirement benefits are equal to 2% of the average of the member's two consecutive highest paid years ofservice multiplied by the number ofyears of creditable service up to 40 years. Any member who has between 25 and 30 years of creditable service .and is at least 55 years ofage shall receive a benefit which is reduced by the lessor of 1/12 of 7% for each month the member is below age 60, or by 7% for each year or fraction thereofby which the member has less than 30 years of service. The normal retirement pension is payable monthly for life. Options are available for distribution of the member's monthly pension at a reduced rate to a designated beneficiary on the member's death. Retirement benefits also include death and disability benefits whereby the disabled member or surviving spouse is entitled to receive annually an amount equal to the member's service retirement benefit or disability retirement, whichever is greater. The benefit is based on member's creditable service (minimum of 10 years of service) and compensation up to the date of death or up to the time of disability. Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contributions are refunded with interest. Contributions Required and Contributions Made Employees of the College who are covered by TRS are required to pay 5% of their gross earnings to TRS. The College makes monthly employer contributions to TRS at rates adopted by the TRS Board ofTrustees as advised by their independent actuary. For fiscal year 1996, the employer contribution rate was 11.81% for covered employees. In addition, the College contributed 4.87% to the TRS on behalf of employees electing to participate in the Regents Retirement Plan. The interest rate assumption (rate ofretum on investments) was 7.50%. Total contributions to the plan made during fiscal year 1996 amounted to $236,044.61, of which $174,133.19 was made by the College and $61,911.42 was made by employees. These contributions represented 14.06% (College) and 5% (employees) of covered payroll. - 14 - EAST GEORGIA COLLEGE NOTES TO nIB FINANCIAL STATEMENTS JUNE 30,1996 EXIllBIT "D" NOTE 6: RETIREMENTPLANS TEACHERS RETIREMENT SYSTEM OF GEORGIA Funding Status and Progress Pension Benefit Obligation The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No.5 of the Governmental Accounting Standards Board (GASB) that is required to be used for reporting purposes. The standardized measurement is the actuarial present value ofcredited projected benefits. This pension valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date and is adjusted for the effects of projected salary increases and any step-rate benefits. A standardized measure of the pension benefit obligation was adopted by the GASB to enable readers ofthe PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among similar PERS. The total unfunded pension benefit obligation ofTRS as ofJune 30, 1995, which was the latest information available, was as follows: Total pension benefit obligation $ 17,442,607,000.00 Net assets available for benefits, at cost 15,857,066,000.00 Unfunded pension benefit obligation $ 1.585 541.000,00 The measurement ofthe total pension benefit obligation is based on an actuarial valuation as of June 30, 1995. Net assets available for benefits were valued as of the same date. TRS does not make separate measurements of assets and pension benefit obligation for individual employers. Retirement System Contributions Total contributions from all employers to TRS for the year ended June 30, 1996, were $607,274,559.00. The College's contribution for the year ended June 30, 1996, of $174,133.19 was actuarially determined and represented .0287% of total contributions made by all participating employers. Trend Information Historical trend information is presented in the TRS June 30, 1996, financial report. This information gives an indication of the progress made in accumulating sufficient assets to pay benefits when due. - 15 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXlllBIT "D" NOTE 6: RETIREMENT PLANS REGENTSRETIrnEMENTPLAN The State of Georgia provides optional pension benefits for eligible faculty and principal administrators through a defined. contribution plan. In a defined contribution plan, benefits depend solely on amounts contributed to the plan plus investment earnings. State legislation requires that the employer contribute 4% and the employee contribute 5% ofthe participating employee's earnable compensation. Amounts attributable to all plan contributions are fully vested and nonforfeitable at all times. The College's payroll for employees covered by the Regents Retirement Plan for the year ended June 30, 1996, was $571,303.48. The College's total payroll for all employees was $1,973,152.29. The College and the covered employees made the required contributions of $22,915.14 (4%) and $30,956.39 (5%), respectively. GEORGIA DEFINED CONTRIBUTION PLAN Plan Description East Georgia College participates in the Georgia Defined Contribution Plan (GDCP) which is a singleemployer defined contribution plan established by the General Assembly of Georgia for the purpose of providing retirement coverage for State employees who are temporary, seasonal, and part-time and are not members of a public retirement or pension system. GDCP is administered by the Board of Trustees of the Employees' Retirement System of Georgia. The College's payroll for the year ended June 30, 1996, for employees covered by GDCP was $50,504.77. The College's total payroll for all employees was $1,973,152.29. Benefits A member may retire and elect to receive periodic payments after attainment of age 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board of Trustees. If a member . has less than $ 3,500.00 credited to his/her account, the Board of Trustees has the option of requiring a lump sum distribution to the member in lieu ofmaking periodic payments. Upon the death of a member, a lump sum distribution equaling the amount credited to his/her account will be paid to the member's designated beneficiary. Contributions and Vesting Member contributions are seven and one-half percent (7.5%) of gross salary. There are no employer contributions. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination of employment, the amount ofthe member's account is refundable upon request by the member. Total contributions made by employees during fiscal year 1996 amounted to $3,787.92 which represents 7.5% of covered payroll. These contributions met the requirements of the plan. - 16 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXHIBIT"D" NOTE 7: LEAVE POLICIES Employees earn armualleave ranging from one and one-quarter days to one and three-quarter days each month depending upon the employees' length of continuous State service with maximum accumulation offorty-five days. Employees are paid for unused accumulated armualleave upon retirement or termination of employment. See Note 1 - Basis of Accounting (Compensated Absences) Employees earn one day of sick leave each month with no maximum accumulation established. Unused accumulated sick leave does not vest with the employee and is forfeited upon retirement or termination of employment. NOTE 8: CONTINGENCIES Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies. This could result in refunds to the grantor agency for any expenditures which are disallowed under grant terms. The amount of expenditures which may be disallowed by the grantor cannot be determined at this time although the College expects such amounts, if any, to be immaterial to its overall financial position. Litigation, claims and assessments filed against East Georgia College (as an organizational unit of the Board ofRegents ofthe University System ofGeorgia), ifany, are generally considered to be actions against the State ofGeorgia. Accordingly, significant litigation, claims and assessments pending against the State of Georgia are disclosed in the State ofGeorgia Comprehensive Annual Financial Report for the fiscal year ended June 30, 1996. NOTE 9: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS Pursuant to the general powers conferred by the Official Code of Georgia Annotated Section 20-3-31, the Board ofRegents ofthe University System ofGeorgia has established group health and life insurance programs for regular employees ofthe University System of Georgia. It is the policy of the Board ofRegents to permit employees ofthe University System ofGeorgia eligible for retirement or that become permanently and totally disabled to continue as members ofthe group health and life insurance programs. Employees who are eligible for retirement or disability under the criteria established by the Teachers Retirement System of Georgia and who have at least ten years of service with the University System of Georgia are eligible for these postemployment health and life insurance benefits. Organizational units of the Board of Regents of the University System of Georgia pay the employer portion for group insurance for affected individuals. As of June 30, 1996, there were 13 employees who had retired or were disabled that were receiving these postemployment health and life insurance benefits. For the year ended June 30, 1996, East Georgia College recognized as incurred $25,896.95 of expenditures, which was net of $7,621.50 of participant contributions. - 17 - EAST GEORGIA COLLEGE NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 1996 EXHIBIT "D" NOTE 10: BONDING INFORMATION The President and all employees bfEast Georgia College are bonded under a Public Employees Blanket Bond written by the Employers Insurance ofWausau, their Bond No. 1450-02-110723, on which the premium was paid to October 1, 1996. Under this agreement, the public employee dishonesty coverage insures East Georgia College to a maximum of $1,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees. The faithful performance of duty coverage insures the College to a maximum of $1,000,000.00 against loss sustained from failure ofits employees to perform faithfully their duties or to account properly for all monies and property received by virtue of their position or employment. All employees of East Georgia College are also bonded under Commercial Crime Policies written by the United States Fire Insurance Company, their Policy Nos. 626011675 2 and 626 012294 4, on which the premiums were paid to October 1, 1996. Under these additional public employee dishonesty coverages, the policies insure the College to a maximum of $9,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees and from failure ofits employees to perform faithfully. NOTE 11: ENROLLMENT The equivalent full-time student enrollment ofEast Georgia College was as follows: Regular Term Fall Quarter, 1995 593 Winter Quarter, 1996 639 Spring Quarter, 1996 592 Average 608 Summer School, 1995 237 - 18 - SUPPLEMENTARY INFORMATION - 19 - EAST GEORGIA COLLEGE COMBINING BALANCE SHEET CURRENT FUNDS - UNRESTRICTEP JUNE 30, 1996 EXHIBIT-E- ASSETS Cash and Cash EqUivalents Accounts Receivable Inventories Prepaid Items Due from Other Fund Groups Total Assets RESIDENT LOITERYFOR AUXILIARY STUDENT INSTRUCTION EDUCATION ENTERPRISES ACTIVITIES TOTAL $ 262,844,07 $ 6,739.25 4,621.85 700.00 12,342,08 2,489.16 $ 62,473,68 $ 1,582,49 86,629.05 10,246.52 $ 60.00 338,053.43 8,381.74 91,250.90 700.00 12,342,08 $ 287,247.25 $ 2.489,16 $ 150,685,22 $ 10,306,52 $ 450,728,15 LIABILITIES ANp FUND BALANCES Liabilities Accounts Payable $ Deferred Revenue Tuition and Fees Total Liabilities $ Fund Balances Unrestricted 196,626.14 $ 84,829,00 281,455,14 $ 5,792,11 2,489,16 2,489,16 $ 199,115,30 $ 2,940,00 87,769,00 $ 2,940,00 $ 286,884.30 $ 150,685,22 7,366,52 163,843,85 Total Liabilities and Fund Balances $ 287,247,25 $ 2,489,16 $ 150,685.22 $ 10,306.52 $ 450,728,15 See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -20- EAST GEORGIA COLLEGE COMBINING STATEMENT Of CHANGES IN FUND BALANCES CURRENT FUNDS - UNRESTRICTED yEAR ENDED JUNE 30 1996 EXHIBIT -F" REVENUES AND OTHER ADDITIONS Unrestricted Current fund Revenues Adjustments Prior Years' Expenditures/Accounts Payable Funded by the Board of Regents of the University System of Georgia Prior Year's Unrestricted Fund Balance (Deficit) Total Revenues and Other Additions EXPENDITURES AND OTHER DEDUCTIONS Educational and General Expenditures Auxiliary Enterprises Expenditures Total Expenditures and Other Deductions TRANSFERS BETWEEN FUNDS Nonmandatory Renewals and Replacements Net Increasel(Decrease) for the Year FUND BALANCES JULY 1.1995 RESIDENT LOITERYFOR AUXILIARY STUDENT INSTRUCTION EDUCATION ENTERPRISES ACTIVITIES TOTAL $ 3,389.974.89 $ 1,017~3O 27.700.00, $ 38,326.27 $ 25,695.50 $ 3,481.696.66 1,017.30 1,731.55 $ 3,392,723.74 $ 27,700.00 $ 1,731.55 38,326.27 $ 25,695.50 $ 3,484.445.51 $ 3,389,200.08 $ 27,700.00 $ $ 19,104.52 $ 3,436,004.60 19,271.16 19,271.16 $ 3,389,200.08 $ 27,700.00 $ 19,271.16 $ 19,104.52 $ 3,455,275.76 $ 3,523.66 $ 2,268.45 $ 0.00 $ 0.00 -9,714.15 9,340.96 $ 141,344.26 $ -9,714.15 6,590.98 $ 19,455.60 n5.54 144,388.25 FUND BALANCES JUNE 30, 1996 $ 5,792.11 $ 0.00 $ 150,685.22 $ 7,366.52 $ 163,843.85 See accompanying notes and Independent Accountant's Combined Report on Review of financial Statements and Supplementary Information. - 21 - 22- I -I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I I EAST GEORGIA COLLEGE COMBINING SIDEMENT Of CURRENT FUNDS REVENUES EXPENDITURES. AND OTHER CHANGES UNRESTRICTED yEAR ENDED JUNE 30,1996 Net Increasel(Decrease) in Fund Balances $ 3,523.66 $ 0,00 $ 9,340.96 $ See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -23 - EAST GEORGIA COLLEGE SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET RESIDENT INSTRUCTION YEAR ENDED JUNE 30, 1996 REVENUES State Appropriations Other Revenues Retained CURRENT FUNDS UNRESTRICTED RESTRICTED PLANT FUNDS RENEWALS AND UNEXPENDED REPLACEMENTS $ 2,561,213.00 828,761.89$ 239,230.00 47,862.88 $ ...;993=':=,84.,:.. $ 3,389,974,89 $ 644,241.95 $ 287,092.88 $ 993.....;..,84_ EXPENDITURES Personal Services: Education, General and Departmental Services $ 2,498,436.30 $ Operating Expenses: Education, General and DepartmentalServices 848,899,78 Sponsored Operations $ 644,241.95 Capital Outlay $ 287,092,73 Special FUnding Initiative 41,864.00 $ 3,389,200.08 $ 644,241.95 $ 287,092.73 $ Excess of Revenues over Expenditures $ 774.81 $ 0.00 $ 0.15 $ 0.00 . ;,0,;.;;.00. ;;. . 9..9..3..8..4. . See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -24- TOTAL BUDGET VARIANCEFAVORABLE (UNFAVORABLE) $ 2,800,443.00 $ 2,800,443.00 $ 1,521,860.56 1,891,652.00 0.00 -369,791.44 $ 4,322,303.56 $ 4,692,095.00 $ _ _-369~,~79;;..;1..;...;.44~ $ 2,498,436.30 $ 2,557,478.00 $ 848,899.78 644,241.95 287,092.73 41,864.00 789,638.00 660,579.00 642,536.00 41,864.00 59,041.70 -59,261.78 16,337.05 355,443.27 0.00 $ 4,320,534.76 $ 4,692.095.00 $_~3;.;,7..;.:1,~560=.2~4 $ 1,768.80 $ _ _-.i1d,.768-.0;;.8.0.. -25 - EAST GEORGIA COLLEGE SCHEDULE OF REVENUES AND EXPENDITURES COMpARED TO BUDGET LOTTERY FOR EpUCATION YEAR ENDED JUNE 30 1996 SCHEDULE "2" REVENUES State Appropriations CURRENT FUNDS PLANT FUNDS TOTAL UNRESTRICTED UNEXPENDED (BUdget Basis) BUDGET VARIANCE FAVORABLE (UNFAVORABLE) $ 27,700.00 $ 350,653.00 $ 378,353.00 $ 378,353.00 $ 0.00 EXPENDITURES Capital Outlay $ 30,000.00 $ 30,000.00 $ 30,000.00 $ 0.00 EqUipment, Technology and Construction Trust Fund $ 0.00 230,652.37 230,652.37 230,653.00 0.63 Special Funding Initiatives 27,700.00 90,000.00 117,700.00 117,700.00 0.00 $ 27,700.00 $ 350,652.37 $ 378,352.37 $ 378,353.00 $ 0.63 Excess of Revenues over Expenditures $ 0.00 $ 0.63 $ 0.63 $ 0.63 See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -26- BlliQ East Georgia College Faculty Scholarship Fund Shearhouse, Mr. and Mrs, E. C. Memorial Scholarship Fund Smith, George L., II, Scholarship Fund EAST GEORGIA COLLEGE SCHEDULE OF OPERATIONS ENDOWMENT FUNDS YEAR ENDED JUNE 30,1996 SCHEDULE "3" FUND BALANCE ADDITIONSI JULY 1, 1995 TRANSFERS DEDUCTIONSI FUND BALANCE TRANSFERS JUNE 30.1996 $ 15,000,00 $ 0,00 $ 15,000.00 9,671.88 $ 328.12 10,000.00 7,500,00 7,500,00 $ 32,171.88 $ 328.12 $ 0,00 $ 32,500,00 See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -27 - EAST GEORGIA COLLEGE SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS AGENCY FUNDS YEAR ENDED JUNE 30,1996 Blli.Q PAYROLL DEDUCTIONS Federal Income Tax State Income Tax F.J.CA Retirement Georgia Defined Contribution Plan Tax Deferred Annuities Group Insurance U. S. Savings Bonds GamishmentslTax Levies Charitable Contributions EMPLOYER'S CONTRIBUTIONS F.I.CA Retirement Group Insurance OTHER FUNDS AAU Administrative Allowance Baptist Student Union BRAG Come Home to Emanuel County Continuing Education Fees Department of Education Cash Account Earth Awareness East Georgia College Foundation East Georgia College Foundation Faculty Development Emanuel County Fair Association Gamma Beta Phi Group Insurance Premiums - Direct Richard L. Brown Memorial Richard L. Brown Scholarship Fund Scholarships and Grants Regents' Scholarship Fund Other Scholarships (List on File) Student Deposits Student Professional Association of Georgia Educators Swainsboro Garden Club Nature Trail BAlANCE JULY 1, 1995 RECEIPTS BAlANCE DISBURSEMENTS JUNE 30,1996 $ 218,712.08 $ 79,859.19 134,611.91 90,557.02 3,787.92 35,120.00 $ 4,121.18 69,549.31 3,000.00 159.20 12,024.85 88.00 2,719.72 $ 4,368.38 $ 649,942.00 $ 218,712.08 79,859.19 134,611.91 90,557.02 3,787.92 35,120.00 69,373.33 $ 3,000.00 12,184.05 2,737.72 649,943.22 $ 4,297.16 70.00 4,367.16 $ 134,611.91 $ 197,048.33 $ 8,751.80 191.295.15 $ 8,751.80 $ 522,955.39 $ 134,611.91 197,048.33 191 ,393.80 $ 523,054.04 $ 8.653.15 8,653.15 $ 22.01 $ 100.00 1,550.00 $ 969.75 50.00 9.850.00 6,277.04 688.50 1,141.52 452.724.00 143.00 1,090.00 10.821.21 17.004.40 259.40 19.30 10.80 171.00 708.00 9.414.71 57,666,01 8,625.00 88.00 1.000.00 6,400.00 390.70 152.36 988.40 207.00 100.00 $ 14,162.73 $ 574.469.38 $ $ 1,550.00 110.32 9.850.00 6,277.04 1,553.10 452,724.00 1,046.69 24.702,35 430.40 19.30 423.43 9,116.36 57,666,01 1,000.00 5,900.00 478,70 183,54 427.25 573,458.49 $ 122.01 909.43 276.92 186.31 3.123.26 284.57 309.15 8.625,00 500.00 175.82 661.15 15.173.62 $ 27.282.91 $ 1,747.366.77 $ 1.746,455.75 $ 2.8.1;,;;;.9.3.-.93. See accompanying notes a"nd Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information. -28- EAST GEORGIA COLLEGE CASH AND CASH EQUIVALENTS JUNE 30, 1996 SCHEDULE "5" INTEREST BEARING ACCOUNTS Citizens Bank of Swainsboro, Swainsboro, Georgia Passbook Savings Account (3.25%) Durden Banking Company, Swainsboro, Georgia Certificates of Deposit (4.85% - 5.60%) Metter Banking Company, Metter, Georgia Certificate of Deposit (6,35%) Spivey State Bank, Swainsboro, Georgia N.O.W. Account (3.00%) Passbook Savings Account (3.00%) OTHER Cash on Hand Petty Cash $ 374.68 112,OOO.pO 30,000.00 $ 753,355,61 1,537.70 754,893.31 $ 897,267,99 250.00 $ 897,517.99 See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information. - 29- EAST GEORGIA COLLEGE ACCOUNTS RECEIVABLE JUNE 30,1996 SCHEDULE "6" CURRENT FUNDS UNRESTRICTED RESTRICTED Slate Appropriations Allotment from the Board of Regents of the University System of Georgia Federal Grants and Contracts Student Aid $ 4,395.83 Slate Grants and Contracts Student Aid 16,643.00 Other Student Accounts Student Notes Vendor Credit Memos Other $ 7,192.39 $ 45.85 1,143.50 LOAN FUNDS PLANT FUNDS UNEXPENDED $ 18,153,00 $ 2,247.00 26,693,00 TOTAL 18,153.00 4,395.83 16,643.00 7,192.39 2,247.00 45.85 27,836,50 $ 8,381.74 $ 21,038.83 $ 2,247.00 $ 44,846.00 $ 76,513.57 See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -30- EAST GEORGIA COLLEGE CHANGES IN INVESTMENT IN PLANT YEAR ENDED JUNE 30, 1996 SCHEDULE ...,. BALANCE JULY 1,1995 CURRENT FUNDS UNRESTRICTED ADDITIONS PLANT FUNDS UNEXPENDED Land $ 152,859,45 Buildings 2,121,516,48 $ 57,346,00 Improvements Other Than Buildings 1,261,758.44 256,260,00 Equipment 887,818,26 $ 140,133.60 217,709.27 $ Ubrary Books and Collections 932,104,00 29,104,99 PRIVATE GIFTS BALANCE JUNE 30,1996 $ 152,859,45 2,178,862,48 1,518,018.44 4,619.00 1,250,280.13 961,208.99 $ 5,356,056,63 $ 169,238,59 $ 531,315.27 $ 4,619,00 $ 6,061,229,49 See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information, - 31 - EAST GEORGIA COLLEGE SCHEDULE OF FUND BALANCES CURRENT FUNDS AND PLANT FUNDS JUNE 30,1996 RESIDENT INSTRUCTION CURRENT FUNDS UNRESTRICTED AUXILIARY STUDENT ENTERPRISES ACTIVITIES RESTRICTED NET INVESTMENT IN PLANT Investment in Plant Facilities RESTRICTED Designated for SUbsequent Years' Expenditures $ 30......-10"",,9.:..1:;,~3 UNRESTRICTED Designated For Capital Projects (GSFIC) For Inventory Reserve $ 4,000,00 $ 86,269.05 For Renewals and Replacements Reserve For Subsequent Years' Expenditures 64,416.17 $ 7,366.52 Undesignated Surplus Regular 1,792.11 Lottery for Education $ 5,792.11 $ 150,685.22 $ _ _7:..L,3=6;.::,6.:.::;.5~2 $ 5,792.11 $ 150,685.22 $ 7,366.52 $ 30,109.13 See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. - 32- SCHEDULE "8" PLANT FUNDS UNEXPENDED LOTIERY FOR RENEWALS AND REGULAR EDUCATION REPLACEMENTS INVESTMENT IN PLANT TOTAL $ 6,061,229.49 $ 6,061,229.49 $ 30,109.13 $ 2,203.60 $ 48,693.89 $ 2,203.60 90,269.05 48,693.89 71,782.69 416.42 _ _ _ _ _ $ _ _---:.;:19:.::;0.:..:.4=-6 $ 2,620.02 $ 190.46 $ _ _.....:4..;:,l8,..:;.;69;.=3~.8;.;:;..9 2,208.53 190.46 $ 215,348.22 $ 2,620.02 $ 190.46 $ 48,693.89 $ 6,061,229.49 $ 6,306,686.84 - 33- EAST GEORGIA COLLEGE SCHEDULE OF REVENUES CURRENT FUNDS YEAR ENDED JUNE 30,1996 State Appropriations Allotments from the Board of Regents of the University System of Georgia Regular Special Funding Initiative Lottery Proceeds Other Revenues Retained Tuition and Fees Matriculation Other Federal Grants and Contracts Research and Instruction Student Aid Contract Overhead State Grants and Contracts Student Aid Private Gifts, Grants, and Contracts Research and Instruction Student Aid Sales and Services of Educational Activities Sales and Services of Auxiliary Enterprises Other Sources Administrative Cost Allowances Extension and Public Service Graduation Fees Interest Earned Rents Other RESIDENT iNSTRUCTION LOTTERY FOR EDUCATION UNRESTRICTED AUXILIARY ENTERPRISES $ 2,519,349.00 41,864.00 $ $ 2,561 ,213.00 $ 27,700,00 27,700.00 $ 771,721.30 15,279.00 2,945.65 910.25 124,16 30,150.00 7,631,53 $ 828.761.89 $ 28,392,17 2,200,00 3,605,28 1,720,76 2,408.06 $ 38.326,27 $ 3,389,974.89 $ 27,700.00 $ -====3=.!8,=32=6,;;;;.2==7 See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information, - 34- SCHEDULE "9" STUDENT ACTIVITIES TOTAL RESTRICTED RESIDENT INSTRUCTION TOTAL $ 2,519,349.00 41,864.00 27,700.00 $ 2,588,913.00 $ 2,519,349.00 41,864.00 27,700.00 $ 2,588,913.00 $ 25,512.75 $ 797,234.05 15,279.00 $ 797,234.05 15,279.00 $ 2,945.65 14,455.00 440,068.50 14,455.00 440,068.50 2,945.65 167,730.75 167,730.75 910.25 28,392.17 8,636.70 13,351.00 8,636.70 13,351.00 910.25 28,392.17 182.75 124.16 30,150.00 2,200.00 3,605.28 1,720.76 10,222.34 124.16 30,150.00 2,200.00 3,605.28 1,720.76 10,222.34 $ 25,695.50 $ 892,783.66 $ 644,241.95 $ 1,537,025.61 $ 25,695.50 $ 3,481,696.66 $ 644,241.95 $ 4,125,938.61 - 35- EAST GEORGIA COLLEGE SCHEDULE OF EXPENDITURES BY OBJECT CURRENT FUNDS YEAR ENDED JUNE 30,1996 PERSONAL SERVICES Salaries and Wages Employer's Contributions for: F.I.CA. Retirement Group Insurance Liability Insurance Unemployment Compensation Insurance Workers' Compensation Insurance OPERATING EXPENSES Travel Motor Vehicle Expenses Supplies and Materials Repairs and Maintenance Utilities Rents (Other than Real Estate) Insurance and Bonding Tuition and Scholarships College Work-Study Program Scholarships, Fellowships, Prizes, Awards and Other Other Operating Expenses Publications and Printing Equipment Non-Inventory Software Telecommunications Per Diem, Fees and Contracts Per Diem and Fees Contracts Equipment Motor Vehicle Purchases Inventory OTHER SPECIAL FUNDING INITIATIVES Personal Services Salaries and Wages Employer's Contributions for: F.I.CA. Retirement Group Insurance Other Costs Travel Motor Vehicle Expenses Supplies and Materials Other Expenses Software Telecommunications Equipment Non-Inventory Equipment Inventory See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information. -36- RESIDENT INSTRUCTION UNRESTRICTED LOTTERY FOR AUXILIARY EDUCATION ENTERPRISES $ 1,936,989.28 132,038.31 193,254.97 186,941.74 17,844.00 366.00 31.002.00 $ 2,498,436.30 $ 11,938.01 820.05 1,286.64 687.01 $ 14l31.71 $ 25,486.45 12,850.37 131,481.45 29,327.32 154,575.04 5,409.89 9,292.10 3,818.00 137,980.27 11,934.68 60,022.18 59,363.33 29,071.34 20,893.39 13,400.38 14,300.00 129,693.59 $ 848,899.78 $ 39.69 2,220.00 789.92 1,021.00 468.84 $ 4,539.45 $ 24,225.00 1,753.55 2,506.72 3,666.40 $ 32,151.67 553.01 $ 389.00 1,604.30 981.02 6,185,00 $ 41,864.00 $ 118.23 1,614.02 1,229.94 444.00 5,233.81 19.060,00 27,700.00 $ 3,389,200,08 $ 27,700,00 $=~='9=,2=7=,=.1=6 SCHEDULE "10" STUDENT ACTMTIES TOTAL RESTRICTED RESIDENT INSTRUCTION TOTAL $ 1,948,927.29 132,858.36 194.541.61 187,628.75 17,844.00 366.00 31,002.00 $ 2,513,168.01 $ 1,948,927.29 132,858.36 194,541.61 187,628.75 17,844.00 366.00 31,002.00 $ 2,513,168.01 $ 25,486.45 $ 12,890.06 $ 2,946.47 136,647.92 590.00 29,917.32 154.575.04 5,409.89 9,292.10 53.00 $ 848.59 25,539.45 12,890.06 137,496.51 29,917.32 154,575.04 5,409.89 9,292.10 1,200.00 9,187.73 2.380.32 3,818.00 1,200.00 147,957.92 14,315.00 11,455.00 620.550.25 3,481.67 153.44 15,273.00 621,750.25 151,439.59 14,468.44 61,043.18 59,363.33 29,540.18 61,043.18 59,363.33 29,540.18 2.800.00 23.693.39 13,400.38 7.700.00 31,393.39 13,400.38 14,300.00 129,693.59 14,300.00 129,693.59 $ 19,104.52 $ 872,543.75 $ 644,241.95 $ 1,516,785.70 $ 24,225.00 1,753.55 2,506.72 3,666.40 $ 32,151.67 553.01 118.23 2,003.02 1,229.94 444.00 6,838.11 981.02 25,245.00 $ 69,564.00 $ 24,225.00 1,753.55 2,506.72 3,666.40 $ 32,151.67 553.01 118.23 2,003.02 1,229.94 444.00 6,838.11 981.02 25,245.00 $ 69,564.00 $ 19,104.52 $ 3,455,275.76 $ 644,241.95 $ 4,099,517.71 37 EAST GEORGIA COLLEGE SCHEDULE OF EXPENDITURES BY OBJECT PLANT FUNDS YEAR ENDED JUNE 30, 1996 SCHEDULE "11" CAPITAL OUTLAY Software Per Diem, Fees and Contracts Contracts Equipment Inventory OTHER EQUIPMENT, TECHNOLOGY AND CONSTRUCTION TRUST FUND Other Costs Supplies and Materials Repairs and Maintenance Software Equipment Non-Inventory Per Diem, Fees and Contracts Contracts Equipment Inventory SPECIAL FUNDING INITIATIVES Other Costs Supplies and Materials Equipment Non-Inventory Equipment Inventory UNEXPENDED LOTIERYFOR REGULAR EDUCATION TOTAL $ 15,168.76 $ 266,260.00 5,663.97 $ 287,092.73 $ 337.00 $ 29,663.00 30,000.00 $ 15,505.76 295,923.00 5,663.97 317,092,73 $ 6,030.76 $ 6,030.76 700,14 700.14 37,445.40 37,445.40 20,172,17 20,172.17 32,626.02 32,626.02 133,677,88 133,677.88 230,652.37 $ 230,652.37 $ 4,234.92 $ 4,234.92 7,397,66 7,397.66 78,367,42 78,367,42 $ 90,000,00 $ _---"-9o..;..:.,o.;;..,;;o;.,;;.o=.o~0 $ 287,092.73 $ 350,652.37 $ 637,745.10 See accompanying notes and Independent Ac~ountant's Combined Report on Review of Financial Statements and Supplementary Information. - 38-