Board of Regents of the University System of Georgia, Administrative Central Office (Oversight Unit), report on audit of the financial statements for the fiscal year ended June 30, 2001

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
- TABLE OF CONTENTS -

SECTION I

FINANCIAL

INDEPENDENT AUDITOR'S COMBINED REPORT ON 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, EXPENDITIJRES,

AND OTHER CHANGES

7

D NOTES TO THE FINANCIAL STATEMENTS

8

SUPPLEMENTARY INFORMATION

E COMBININGBALANCESHEET

CURRENT FUNDS -UNRESTRICTED

26

F COMBINING STATEMENT OF CHANGES IN FUND BALANCES

CURRENT FUNDS -UNRESTRICTED

28

COMBINING STATEMENTS OF CURRENT FUNDS REVENUES, EXPENDITIJRES,

AND OTHER CHANGES

G

UNRESTRICTED

30

H

RESTRICTED

33

SCHEDULES

SCHEDULESOFREVENUESANDEXPENDITURESCOMPAREDTOBUDGET

1

"A" RESIDENT INSTRUCTION

34

2

"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES 36

3

"D" LOTIERY FOR EDUCATION

39

SCHEDULES OF APPROVED BUDGET

4

"A" RESIDENT INSTRUCTION

40

5

"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES 42

6

"D" LOTIERY FOR EDUCATION

44

SCHEDULES OF BUDGET TRANSFERS TO OTHER UNITS

7

"A" RESIDENT INSTRU.CTION

46

8

"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES 50

9

"D" LOTIERY FOR EDUCATION

52

10 CHANGES IN INVESTMENT IN PLANT

54

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
- TABLE OF CONTENTS -

SECTION I

FINANCIAL

SCHEDULES

11 SCHEDULE OF FUND BALANCES

CURRENT FUNDS AND PLANT FUNDS

56

SCHEDULES OF ALLOTMENTS TO UNITS OF THE UNIVERSITY SYSTEM

OF GEORGIA

12

"A" RESIDENT INSTRUCTION

58

13

"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED

ACTIVITIES

61

14

"D"LOTIERYFOREDUCATION

62

15 ANALYSIS OF PRIOR YEAR'S SURPLUS FUNDS COLLECTED FROM

INSTITUTIONS AND REDISTRIBUTED TO INSTITUTIONS WITH

DEFICITS

64

16 RECONCILIATION OF SALARIES AND TRAVEL

66

SECTIONll 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

SECTION I FINANCIAL

RussELL \\'. Hlr-;TON STATE AUDITOR
(404) 6562174

DEPARTMENT OF AuDITS AND AccouNTS
254 Washington Street. S.W.. Suite 214 Atlanta. Georgia 30334-R400
January 9, 2002

Honorable Roy E. Barnes, Governor Members ofthe General Assembly ofG.eorgia Members of the Board ofRegents of the University System of Georgia
and Honorable Thomas C. Meredith, Chancellor
INDEPENDENT AUDITOR'S COMBINED REPORT ON FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have audited the accompanying financial statements (Exhibits A through D) of 'the Administrative Central Office (Oversight Unit) ofthe Board ofRegents ofthe University System of Georgia as of and for the year ended June 30, 2001. These financial statements are the responsibility of the Administrative Central Office's management. Our responsibility is to express an opinion on these financial statements based on our audit.
The financial statements referred to above include only the activities of the oversight unit of the Board of Regents of the University System of Georgia. Financial activities of other organizational units (the various State colleges and universities) are not included.
We conducted our audit in accordance with auditing standards generally accepted in the United States of America~ Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As described in Note 1 to the financial statements, Georgia Law and State budgetary policy require the Administrative Central Office to prepare its financial statements on a basis which is not consistent with accounting principles generally accepted in the United States ofAmerica with respect to the recording of encumbrances as expenditures and liabilities. To conform with accounting principles generallyaccepted in the United States ofAmerica, encumbrances should be recorded as a
01ARL-62X

reservation of fund balance. The effects on the financial statements ofthis departure from accounting principles generally accepted in the United States of America were not reasonably determinable, but are believed to be material.
As disclosed in Note 1 to the financial statements, the Administrative Central Office did not report the liability and related .expenditure for compensated absences in the current funds as required by accounting principles generally accepted in the United States ofAmerica. If compensated absences were reported, liabilities would be increased and fund balance would be decreased by $1,790,453.43 as of June 30, 2001, and the net change in fund balance for the year ended June 30, 200 l, would be decreased by $268,953.18.
In our opinion, except for the effects on the financial statements of the matters discussed in the fourth and fifth paragraphs, the financial statements referred to above present fairly, in all material respects, the financial position ofAdministrative Central Office a5 ofJune 30, 2001, and the changes in fund balances and the current operating funds revenues, expenditures, and other changes for the year then ended in conformity with accounting principles generally accepted in the United States of America.
Our audit was made for'the purpose of forming an opinion on the financial statements taken as a whole. The accompanying combining statements (Exhibits E through H) and the financial schedules (Schedules 1 through 16) are presented for purposes of additional analysis and are not a required part ofthe financial statements ofAdministrative Central Office. Such information has been subjected to the auditing procedures applied in the audit ofthe financial statements and, in our opinion, except for the effects of the matters discussed in the fourth and fifth paragraphs, such information is fairly presented in all material respects in relation to the financial statements taken as a whole.
Respectfully submitted,

RWH:gp 01ARL-62X

State Auditor

FINANCIAL STATEMENTS - 1-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) COMBINED BALANCE SHEET ALL FUND GROUPS JUNE 30. 2001

ASSETS
Cash and Cash Equivalents Investments Accounts Receivable Investment in Plant

CURRENT FUNDS UNRESTRICTED RESTRICTED

ENDOWMENT AND SIMILAR
FUNDS

$ 65,568,620.50 $ 5,053,588.51 $ 10,583,356.77

10,067,899.92

69,619.32

403.08

Total Assets

$ 75,706,139.74 $ 5,053,991.59 $ 10,583,356.77

LIABILITIES AND FUND BALANCES

Liabilities Accounts Payable Employee Health Benefits Claims . Deposits Held in Custody for Others Capital Lease Obligations

$ 12,830,740.06 35,179,138.50

Total Liabilities

$ 48,009,878.56

Fund Balances Endowment Quasi-Endowment - Restricted Net Investment in Plant Restricted Unrestricted

$ 3,612,043.20 6,971,313.57
$ 5,053,991.59 $ 27,696,261.18

Total Fund Balances

$ 27,696,261.18 $ 5,053,991.59 $ 10,583,356.77

Total Liabilities and Fund Balances

$ 75,706,139.74 $ 5,053,991.59 $ 10,583,356.77

The notes to the financial statements are an integral part of this statement. - 2-

EXHIBIT"A"

PLANT FUNDS

INVESTMENT

UNEXPENDED

IN PLANT

AGENCY FUNDS

TOTAL (Memorandum
Only)

$ 5,020,534.46 ------ $

$
169,022,1~5.19

136,530,241.60 $

222,756,341.84 10,067,899.92 70,022.40
169,022,145.19

$ 5,020,534.46 $ 169,022,145.19 $ 136,530,241.60 $ 401,916,409.35

$

2,682.00 $ 12,833,422.06

35,179,138.50

136,527,559.60

136,527,559.60

$ 3,410,745.02

3,410,745.02

$ 3,410,745.02 $ 136,530,241.60 $ 187,950,865.18

$ 165,611,400.17 $ 5,020,534.46 $ 5,020,534.46 $ 165,611,400.17

$

3,612,043.20

6,971,313.57

165,611,400.17

5,053,991.59

32,716,795.64

$ 213,965,544.17

$ 5,020,534.46 $ 169,022,145.19 $ 136,530,241.60 $ 401,916,409.35

- 3-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT)
COMBINED STATEMENT OF CHANGES IN FUND BALANCES ALL FUND GROUPS
YEAR ENDED JUNE 30. 2001

REVENUES AND OTHER ADDITIONS
Unrestricted Current Fund Revenues Federal Grants and Contracts State Grants and Contracts Private Gifts. Grants, and Contracts Investment Income
Endowment Other Net Increase/Decrease in Fair Value of Investments Adjustments Prior Years' Expenditures/Accounts Payable Prior Years' Checks Voided Remittance of Uncommitted Regents Scholarships from Units of the University System of Georgia Remittance of Uncommitted Regents Opportunity Grants from Units of the University System of Georgia Remittance of Surplus from Units of the University System of Georgia
Year Ended June 30, 2000 Remittance of Surplus from
Georgia Public Libraries Year Ended June 30, 2000
Expended for Plant Facilities Current Funds Plant Funds Unexpended
Other Additions Insurance Recovery Office of Public Library Services- See Note "13"
Transfer from Department of Technical and Adult Education in Accordance with Official Code of Georgia Annotated Section 20-5-2
Total Revenues and Other Additions
EXPEND IT~ RES AND OTHER DEDUCTIONS
Educational and General Expenditures Adjustments
Prior Years' Revenues/Accounts Receivable Administrative Fees Allotments to Units of the University System of Georgia
Georgia Eminent Scholars Endowment Funds Unrestricted Fund Balance (Surplus)
Returned to Office of Treasury and Fiscal Services Year Ended June 30, 2000
Expended for Plant Facilities Capitalized
Disposals/Deletions/Adjustments
Total. Expenditures and Other Deductions
TRANSFERS BETWEEN FUNDS
Mandatory Investment Income for Endowment Principal Restricted Quasi-Endowment Funds Allocated State Appropriations for Restricted Quasi-Endowment Fund
Nonmandatory Endowment Principal for Object of Trust
Total Transfers Between Funds
Net lncreasei(Decrease) for the Year
FUNQ BALANCES JULY 1 2000
FUNQ BALANCES JUNE 30. 2001
The notes to the financial statements are an integral part of this statement.
-4-

CURRENT FUNDS

UNRESTRICTED

RESTRICTED

$ 324,175,031.94 $ 9, 173,160.56 162.156.22 405,450.00
466,293.10

636,320.26 1,061.03 547.16 1,862.00
1,956,055.63
14,422.14

4 213 067.00 $ 331,000,407.36 $ 10,249,081.90

$ 325,690,589.39 $ 9,720,797.20

805.00

40,969.34

3,116,566.26

2,250,566.55

$ 331,260,529.20 $ 9,761,766.54

$ -169,996.00

$

3,116,566.26

-4,500,000.00

64 551.60

$

-1 361 431.74 $ -125,446.40

$

-1,641,553.58 $

361,666.96

29,337,614.76

4,692,122.63

$

271696,261.16 $ 510531991.59

EXHIBIT"B"

ENDOWMENT AND SIMILAR
FUNDS

PLANT FUNDS

INVESTMENT

UNEXPENDED

IN PLANT

TOTAL (Memorandum
Only)

$

156,699.82

$

90.089.02

23,615.28

$ 324,175,031.94 9,173.180.58 182,158.22 405.450.00
488,293.10 156,699.82 113,704.30
636,320.26 1,081.03
547.16
1,862.00

1.958,055.83

$ 105,008.30

5,633,677.04 212,767.50
3,510,197.48

14,422.14 5,633,677.04
212.767.50
105,008.30 3,510,197.48.

4,213,087.00

$

90,089.02 $

285,323.40 $ 9,356,642.02 $ 350,981,543.70

$

0.00

$

7,668.55

$ 335.611,386.59
805.00 48,637.89
3,118,568.26

2,250,566.55

212.767.50 $ 39,319,038.20

212,767.50 39,319,038.20

$

0.00 $

. 220,436.05 $ 39,319,038.20 $ 380,561.769.99

$

189.998.00

-3,118,568.26

4,500,000.00

-64 551.60

$ 1,506,878.14

$ 1,596,967.16 $

8,986,389.61

$

0.00

0.00

0.00

0.00

$

0.00

64,887.35 $ -29,962,396.18" $ -29,580,226.29

4 955 647.11

195,573.796.35 243,545,770.46

$ 10,583,356.77 $ 5,020.534.46 $ 165,611.400.17 $ 213,965,544.17

-5-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES. AND OTHER CHANGES
YEAR ENDED JUNE 30. 2001

EXHIBIT"C"

UNRESTRICTED RESTRICTED

TOTAL (Memorandum
Only)

REVENUES

State Appropriations Federal Grants and Contracts State Grants and Contracts Private Gifts, Grants, and Contracts Endowment Income Other Sources

$ 147,955,471 '11

$ 147,955,471 '11

$ 8,994,681 .85

8,994,681.85

103,400.81

103,400.81

367,019.72

367,019.72

255,694.82

255,694.82

176,219,560.83

176,219,560.83

Total Revenues

$ 324,175,031.94 $ 9,720,797.20 $ 333,895,829.14

EXPENDITURES AND MANDATORY TRANSFERS

Educational and General Public Service Institutional Support Operation and Maintenance of Plant Scholarships and Fellowships Mandatory Transfers for: Investment Income for Endowment Principal Restricted Quasi-Endowment Funds Allocated State Appropriations for Restricted Quasi-Endowment Fund

$ 63,199,554.72 $ 4,515,499.32 $ 67,715,054.04

261,623,605.31

4,949,603.06 266,573,208.37

467,429.36

467,429.36

600,000.00

255,694.82

855,694.82

-3,118,568.26

189,998.00

189,998.00 -3,118,568.26

4,500,000.00 .

4,500,000.00

Total Expenditures and Mandatory Transfers

$ 327,272,021.13 $ 9,910,795.20 $ 337,182,816.33

OTHER TRANSFERS AND ADDITIONS/{DEDUCTIONS)

Excess of Restricted Receipts over Transfers to Revenues Transfers of EndoWment Principal for Object of Trust Administrative Fees Allotments of Georgia Eminent Scholars Endowment Funds $ Prior Period Adjustment (Net) Remittance of Uncommitted Regents Scholarships
from Units of the University System of Georgia Remittance of Uncommitted Regents Opportunity Grants
from Units of the University System of Georgia Remittance of Surplus from Units of the
University System of Georgia Year Ended June 30, 2000
Remittance of Surplus from Georgia Public Libraries Year Ended June 30, 2000.
Transfer from Department of Technical and Adult Education in Accordance with Official Code of Georgia Annotated Section 20-5-2
Unrestricted Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 2000

$
-3,118,568.26 636,596.29 547.16 1,862.00
1 ,958,055.83
14,422.14
4,213,087.00
-2,250,566.55

528,284.70 $ 64,551.60 -40,969.34

528,284.70 64,551.60 -40,969.34 -3,118,568.26 636,596.29

547.16

1,86.2.00

1 ,958,055.83

14,422.14

4,213,087.00

-2,250,566.55

Total Other Transfers and Additions/(Deductions)

$

1,455,435.61 $ 551,866.96 $ 2,007,302.57

Net lncrease/(Decrease) in Fund Balances

$ -1 ,641 ,553.58 $ 361,868.96 $ -1,279,684.62

The notes to the financial statements are an integral part of this statement. -7-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIDIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

REPORTING ENTITY The Board of Regents of the University System of Georgia, an organizational unit of the State of Georgia, was created by the "Reorganization Act of 1931 ". As of June 30, 2001, the Board of Regents ofthe University System ofGeorgia was composed of34 institutions (4 research university level, 2 regional university level, 13 state universities/colleges and 15 associate degree colleges), Skidaway Institute of Oceanography and an administrative central office, which is the oversight unit, responsible for implementation ofBoard policies and administrative support. The Board ofRegents, which is composed ofsixteen members appointed by the Governor and confirmed by the Senate, has constitutional authority to govern, control, and manage the University System, as reaffirmed in the approval of the revised State Constitution in 1982. These powers include the authority for program approval or discontinuance, internal reallocation ofthe budget, facilities construction, or closure or merger of institutions. The Chancellor is appointed by the Board of Regents as chief executive officer and serves at the pleasure ofthe Board.

The Board ofRegents ofthe University System ofGeorgia does not have authority to determine the amount of funding it will receive from the State of Georgia for any given fiscal year. Such authority is vested in the General Assembly of Georgia. The Board ofRegents also does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, the Board of Regents ofthe University System ofGeorgia is included within the State ofGeorgia reporting entity for financial reporting purposes because of the significance of its legal, operational and financial relationship with the State of Georgia. These reporting entity relationships are defined in Section 2100 ofthe Governmental Accounting Standards Board Codification ofGovernmental Accounting and Financial Reporting Standards.

The Administrative Central Office ofthe Board ofRegents ofthe University System of Georgia is the "Oversight Unit" of the Board of Regents and performs administrative functions and provides guidance to the thirty-four (34) State colleges and universities and Skidaway Institute of Oceanography which are organizational units of the Board of Regents of the University System of Georgia.

The accompanying financial statements represent only the financial position and results ofoperations

of the Administrative Central Office ofthe Board ofRegents. The financial position and results of

operations of other organizational units of the Board of Regents (various State colleges and

universities) are not included in these financial statements.



FUND ACCOUNTING In order to ensure observance of limitations and restrictions placed on the use of the resources available to the Board ofRegents, the accounts ofthe Administrative Central Office are maintained in accordance with the principles of fund 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;

-8-

......... ' . '"
.

. .

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIDIT "D"

ADMINISTRATNE CENTRAL OFFICE (OVERSIGHT UNIT)

/

NOTES TO THE FINANCIAL STATEMENTS

JUNE 30, 2001

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FUND ACCOUNTING 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 Administrative Central Office's fund balance allocations and designations represent those portions of the fund balances that are reserved, restricted and/or designated for specific 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 Administrative Central Office retains full control to use for purposes of performing its primary functions.
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.
ENDOWMENT AND SIMILAR FUNDS
The fund used to account for endowment funds and quasi-endowment funds. Endowment funds are subject to the restrictions of gift instruments requiring that the principal be invested in perpetuity and income only be utilized. While quasi-endowment fun.ds have been established by the Administrative Central Office for the same purposes as e~dowment funds, any portion of quasi-endowment funds maybe expended. Restricted quasi-endowment funds maybe expended only for the purposes established by the source of such funds.
PLANT FUNDS
UNEXPENDED - The fund used to account for financial resources utilized to acquire or to construct physical properties for institutional purposes.
INVESTMENT IN PLANT - The fund which shows the total amounts representing the book value of all physical properties owned by the Administrative Central Office. Net Investment in Plant is an equity account showing the total book value of physical properties belonging to the Administrative Central Office less the amount of any indebtedness to others.

- 9-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 1: SUMMARY OF SIGNIFICANTACCOUNTING POLICIES

FUND ACCOUNTING

AGENCY FUNDS

The fund used to account for resources held by the Administrative Central Office as custodian or

fiscal agent for individuals and organizations.

.

BASIS OF ACCOUNTING Except as otherwise disclosed in these notes, the financial statements are prepared on the modified accrual basis of accounting, 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 of accounting 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.

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 services. The recognition of encumbrances as expenditures and liabilities is in conformity with acc:ounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but is not consistent with accounting principles generally accepted in the United States ofAmerica, which provide for the recording ofencumbrances as a reservation of fund balance. Further, revenue recognition for expenditure-driven grants should be based upon expenditures determined in accordance with accounting principles generally accepted in the United States of America.

Compensated absences represent obligations of the Administrative Central Office relating to employees' rights to receive compensation for future absences based upon services 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$1,790,453.43 and a related net current year expenditure of$268,953.18 have not been reported in the current funds as required by accounting principles generally accepted in the United States of America.

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 an~ regulations ofthe State of Georgia, but differs from accounting principles generally accepted in the United States ofAmerica in that immaterial adjustments should be reported as current period revenues and expenditures. The effect ofthis departure is deemed_ to be immaterial to the fair presentation ofthe financial statements.

- 10-

.....
BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 2001

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF ACCOUNTING 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 Administrative Central Office. Donated fixed assets are recorded at fair market value on the <;late 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.

BUDGET The Board ofRegents 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 Board level and represents appropriations provided by the Amended Appropriations Act of2000-2001. The appropriated budget covers current funds and plant funds, except for Auxiliary Enterprises and Student Activities which are not subject to appropriation. The allocation of the appropriated budget 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 ~he Administrative Central Office.

A comparison of anticipated funds available and budgeted expenditures by budget unit object class indicates that the following object classes were overspent by the. amounts identified below:

"A" Resident Instruction Personal Services: Education, General and Departmental Services Sponsored Operations Operating Expenses: Sponsored Operations Special Funding Initiative Research Consortium

$ 301.367.80 $ 119.604.42
$ 4.301.933.30 $ 611.338.58 $ 750.000.00

- 11-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIDIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS , JUNE 30, 2001

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET. "B" Regents Central Office and Other Organized Activities Personal Services: Sponsored Operations Operating Expenses: Education, General and Departmental. Services Sponsored Operations Capital Outlay "D" Lottery for Education Internet Connection Initiative Special Funding Initiative

$ 339.370.34
$ 5.724.028.59 $ 4.332.841.14 $ 113.032.50
$. 108.68 $ 2.108.79

These. overexpenditures of budget constitute a violation of Board of Regents policy, but do not

constitute statutory violations of budget authority. Statutory violations of budget authority are

reported at the Board object class level.



CASH AND CASH EQUIVALENTS

.

Cash and Cash Equivalents consist ofdemand deposits and temporary investments in authorized

financial institutions, and cash management pools that have the general characteristics of demand

deposit accounts.

INVESTMENTS Investments are reported at fair yahie. Funds received by the Administrative Central Office as endowments or for restricted purposes are invested according to conditions stipulated by the donor, grantor, or in accordance with the Board of Regents authorizing resolutions. Gains and losses on investment transactions are accounted for in the funds where such assets are recorded.

Investments in the various investment pools maintained by the Administrative Central Office consist, in part, ofrepurchase agreements and certain U.S. Government Securities which include mortgage- , backed securities such as collateralized mortgage obligations and adjustable rate mortgages. These mortgage-backed securities are reported as U. S. Government Securities in the disclosure note of custodial credit risk. (See Note 2 on Categorization oflnvestments) Investments in the investment pools are transacted by an external investment firm under direc.tion of an investment advisory agreement executed between the Administrative Central Office and the inves~ent management firm. As ofJune 30,2001, the Administrative Central Office had $24,476,287.90 invested in U.S. Agency mortgage-backed securities.

ACCOUNTS RECEIVABLE Accounts receivable consist of allotments due from the Office of Treasury and Fiscal Services, Federal, State and other receivables disclosed from information available.

- 12-

BOARD OF REGENTS OF THE lJNNERSITY SYSTEM OF GEORGIA EXHIDIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT lJNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
INVENTORIES No inventories of supplies are reported in these financial statements. Expendable supplies are recorded as expenditures at the time of purchase.
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 ofthis data.
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 any one or more ofthe following securities as enumerated in the Official Code of Georgia Annotated Section 50-17-59:
(1) Bonds, bills, certificates of indebtedness, notes, or other direct obligations ofthe United States or of the State of Georgia.
(2) Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities of the State of Georgia.
(3) Bonds of any public authority created by the laws of the State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purj,ose.
(4) Industrial revenue bonds and bonds ofdevelopment authorities created by the laws ofthe State of Georgia.
(5) Bonds, bills, certificates of indebtedness, 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 Farin 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.
- 13-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE.2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS

STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES

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 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 Oeorgia.

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, 2001, are categorized below in order to provide information about the extent to_which such deposits are exposed to custodial credit risk:

Category 1 - Amounts covered by depository insurance or collateralized with securities (at fair value) held by the Administrative Central Office or by its agent in the Administrative Central Office's name.

Category 2- Amounts collateralized with securities (at fair value) held by the pledging financial institution's trust department or agent in the Administrative Central Office's name.

Category 3- Amounts collateralized with securities (at fair value) held by the pledging financial institution, or by its trust department or agent but not in the Administrative Central Office's name, and amounts uncollateralized.

Cash Deposits Investment Portfolio
Accounts
Total Cash Deposits

Carrying Amount

Bank Balances

Risk Categories

2

3

$68,025,500.70 $102,555,607.83 $

0.00 $

0.00 $102,555,607.83

17.766,284.54- 17.766.284.54 17.766.284.54

0.00

0.00-

$85 791 785 24 $120 321 892 37 $17 766 284 54 $====0~.0~0 $102 555 607.83

CATEGORIZATION OF INVESTMENTS

Investments are summarized and classified as to custodial credit risk within the three categories

. described below:



Category 1 - Insured or registered, or securities held by the Administrative Central Office or its agent in the Administrative Central Office's name.

- 14-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATNE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS

CATEGORIZATION OF INVESTMENTS Category 2 - Uninsured and unregistered, with securities held by the counterparty's trust department or agent in the Administrative Central Office's name.

Category 3 - Uninsured and unregistered, with securities held by the counterparty, or by its trust department or agent but not in the Administrative Central Office's name.

The carrying amounts of investment balances as of June 30, 2001, consisted solely of an external investment pool. (See Note 3) The following is a risk categorization of the pooled investments of the Administrative Central Office's "mixed" external investment pool, as of June 30, 2001:

Tvoe of Investment

Risk Categories 2

Common Stock

$

Corporate Bonds

Repurchase Agreements

U. S. Government Securities

0.00 $ 53,545,708.29 $ 13,147,568.38 16,346,000.00 63,993,179.85

Total Investments

$====:l0<.0~0 $1~:Z Q32,456.52 $

Carrying

3

Amount

0.00 $ 53,545,708.29 13,147,568.38 16,346,000.00 63,993,179.85

Q,QO $147,032,456.52

NOTE 3: EXTERNAL INVESTMENT POOL

The Administrative Central Office serves as fiscal agent for various units ofthe University System of Georgia and cooperative organizations. The Administrative Central Office pools the monies ofthese organizations with the Administrative Central Office's monies for investment purposes. The Administrative Central Office cannot allocate pool investments between the internal (University System) and external (cooperative organizations) investment pool portions. The investment pool is not registered with the SEC as an investment company. The fair value ofinvestments is determined
a daily. The pool does not issue shares; Each participant is allocated pro rata share of each
investmentat fair value along with a pro rata share ofthe interest that it earns. Condensed financial information for the investment pool follows:

- 15-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIDIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 3: EXTERNAL INVESTMENT POOL

Statement ofNet Assets- June 30, 2001

Assets Cash Investments Interest Receivable
Net Assets Held in Trust for Pool Participants Internal Portion External Portion

$ 6,683,817.90 14 7,032,456.52 1,014,566.72
$154.730.841.14
$ 20,353,626.45 134,3 77.214.69
$154.730.841.14

Statement of Changes in Net Assets- Year Ended June 30, 2001

Revenues
Interest Income Net Increase in Fair Value of Investments
Total Revenues

$ 5,142,058.20 653,242.45
$ 5,795,300.65

Expenses
Operating Expenses Administrative Expenses .
Net Increase in Assets Resulting from Operations
Distribution to Participants Capital Transactions
Total Increase in Net Assets
Net Assets July 1, 2000
Net Assets June 30, 2001

435.123.88 $ 5,360, 176.77
-46,63 7,284.46 84,426,995.18 $ 43,149,887.49 111,580,953.65 $154.730.841.14

- 16-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIDIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 4: INVESTMENT IN PLANT

The following is a summary of Investment in Plant fixed assets as of June 30, 2001:

Land Equipment Library Books and Collections Construction in Progress

$ 2,501,877.00" 30,242,835.62 31,384.30 136,246,048.27

Total Investment in Plant

$169.022.145.19

NOTE 5: OPERATING LEASES

The Administrative Central Office has entered into certain computer software license agreements and agreements to lease real property which are classified as operating leases (leases on assets not recorded on the balance sheet). These leases generally contain provisions that, at the expiration date of the original term of the lease, the Administrative Central Office has the option of renewing the lease on a year-to-year basis. Future minimum lease payments for operating leases as of June 30, 2001, are listed below. Amounts are included only for multi-year leases and for cancellable leases for which an option to renew for the subsequent fiscal year has been exercised.

Fiscal Year Ending June 30

2002

$ 436.740.00

Expenditures for computer software license agreements and agreements to lease real property under operating leases for the year ended June 30, 2001, totaled $2,165,569.62.

NOTE 6: CAPITAL LEASES

The Administrative Central Office acquires certain equipment through multi-year capital leases with varying terms and options. These agreements contain fiscal funding clauses in accordance with Official Code of Georgia Annotated Section 50-5-64 which prohibits the creation of a debt to the State of Georgia for the payment of any sums under such agreements beyond the fiscal year of execution if appropriated funds are not available. If renewal of such agreements is reasonably assured, however, capital leases requiring appropriation-by the General Assembly of Georgia are considered noncancellable for financial reporting purposes.

As of June 30, 2001, future minimum lease payments under capital leases are as follows:

- 17-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE 6: CAPITAL LEASES

Fiscal Year Ending June 30

2002 2003 2004

$ 1,739,426.67 1,561,172.76 385,659.54

Total Future Minimum Lease Payments

$ 3,686,258.97

Less: Amounts Representing Interest

275,513.95

Present Value of Future Minimum Lease Payments

$ 3.410.745.02

NOTE 7: DEFICIT FUND BALANCE

The Employee Health Benefits Plan Fund, a part of Unrestricted Current Funds, has a deficit fund balance of$2,103,363.15 which is not readily apparent from the financial statements.

NOTE 8: RISK MANAGEMENT

The Board of Regents of the University System of Georgia maintains a self-insured program of . health and dental benefits for its employees and retirees. This plan is funded jointly through
premiums paid by participants covered under the plan and employer contributions paid by the Board ofRegents and its organizational units. All units ofthe University System of Georgia share the risk ofloss for claims of the Employee Health Benefits Plan. Participants are covered up to a maximum
lifetime benefit of $2,000,000.00 per person and dental coverage up to an annual maximum of
$1,000.00 per person.

The Board ofRegents has contracted with Blue Cross - Blue Shield to process all medical and dental claims in accordance with medical coverage guidelines as established by the Board ofRegents. All claims submitted by program participants are remitted directly to Blue Cross- Blue Shield from the . various organizational units for verification of coverage, processing, and payment through a bank account maintained for this purpose by Blue Cross - Blue Shield. Blue Cross - Blue S}:lield maintains an eligibility file based on information furnished by the various organizational units ofthe University System of Georgia.

Effective January 1, 2001, Express Scripts, Incorporated became administrator of the Board of Regents' prescription drug plan. Pharmacy drug claims will be processed in accordance with guidelines established for the Board of Regents' Prescription Drug Benefit Program. Generally, claims are submitted by participating pharmacies directly to Express Scripts for verification,

- 18-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATN CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCiAL STATEMENTS JUNE 30, 2001

NOTE 8: RISK MANAGEMENT

processing and payment. Express Scripts maintains an eligibility file based on information furnished by Blue Cross- Blue Shield on behalf ofthe various organizational units ofthe University System of Georgia.

A reconciliation oftotal estimated claims liabilities for the fiscal year ended June 30,2001, is shoWn below:

Unpaid Claims and Claim Adjustments July 1, 2000

$ 28,400,000.00

Incurred Claims and Claim Adjustments Expenses - Provisions for Insured Events ofthe Current Year

183,300,197.49

Payments- Claims and Claim Adjustments Attributable to Insured Events of the Current Year and ofPrior Years

176,521,058.99

Unpaid Claims and Claim Adjustments June 30, 2001

$ 35.179.138.50

The Department of Administrative Services (DOAS) has the responsibility for the State of Georgia ofmaking and carrying out decisions that will minimize the adverse effects of accidental losses that involve State goveminent 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, 'Yorkers' 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 Administrative Central Office, as an organizational unit ofthe Board ofRegents of the University System of Georgia, is part ofthe 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 of Regents of the University System of Georgia 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 of the performance of their duties or in any way connected therewith. The program is administered by DOAS as a SelfInsurance Fund.

- 19-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIDIT "D" .ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001

NOTE9: RETffiEMENTPLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA

Plan Description The Administrative Central Office participates in the Teachers Retirement System ofGeorgia (TRS), a cost-sharing multiple-employer defined benefit pensiori plan established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers ofthe State of Georgia. TRS provides service retirement, disability retirement, and survivor's benefits for its members in accordance with State statute. The Teachers Retirement System of Georgia issues a . separate stand alone financial audit report and a copy can be obtained from the Georgia Department of Audits and Accounts.

Funding Policy Employees of the Administrative Central Office who are covered by TRS are required by State statute to contribute 5% of their gross earnings "to TRS. The Administrative Central Office makes monthly employer contributions to TRS at rates adopted by the TRS Board ofTrustees in accordance with State statute and as advised by their independent actuary. For fiscal year 2001, the employer contribution rate was 11.29% for covered employees.. In addition, the Administrative Central Office contributed 2.33% to the TRS on behalf of employees electing to participate in the Regents Retirement Plan. Employer contributions for the current fiscal year and the preceding two fiscal years are as follows:

Fiscal Year

Percentage Contributed

Required Contribution

2001 2000 1999

100% 100% 100%

$ 1,388,030.80 $ 1,264,146.38 $ 1,101,433.18

REGENTS RETIREMENT PLAN

Plan Description The Regents Retirement Plan, a single-employer defined contribution plan, is an optional retirement plan established and administered by the Board of Regents of the University System of Georgia, under which it may purchase annuity contracts for the purpose of providing retirement and death benefits for eligible faculty and principal administrators. Benefits depend solely on amounts contributed to the plan plus investment earnings. BeneMs are payable to participating employees or their beneficiaries in accordance with the terms of the annuity contracts.

-20-

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA EXHffiiT "D" .ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001
NOTE9: RETrnEMENTPLANS
REGENTS RETIREMENT PLAN
Funding Policy Member contribution requirements are established by the Board of Trustees of the Teachers Retirement System. Employer contributions are established by statute and may be amended only by the General Assembly oftheState of Georgia. The employer contributes 8.81% ofthe participating employee's earnable compensation. Employees contribute 5% of their earnable compensation. Amounts attributable to all plan contributions are fully vested and non-forfeitable at all times.
The Administrative Central Office and the covered employees made the required contributions of $163,508.72 (8.81 %) and $92,796.69 (5%), respectively.
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description The Administrative Central Office participates in the Georgia Defined Contribution Plan (GDCP) which is a single-employer defined contribution plan established by the General Assembly of Georgia for the purpose of providing retirement coverage for State employees who are temporary, seasonal, and part-time and are not members of a public retirement or pension system. GDCP is administered by the Board of Trustees of the Employees' Retirement System of Georgia.
Benefits A member may retire and elect to receive periodic payments after attainment ofage 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board ofTrustees. If a member has less than$ 3,500.00 credited to his/her account, the Board ofTrustees.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. Benefit provisions are established by State statute.
Contributions and Vesting Member contributions are seven and one-halfpercent (7.5%) of gross salary. There are no employer contributions. Contribution rates are established by State statute. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination of employment, the amount of the member's account is refundable upon request by the member.
Total contributions made by employees during fiscal year 2001 amounted to $1,483.50 which represents 7.5% of covered payroll. These contributions met the requirements of the plan.
- 21 -

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA EXHIBIT "D" ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30. 2001
NOTE 10: LEAVE POLICIES
Employees earn annual leave ranging from one and one-half days to two days each month depending upon the employees' length of continuous State service with maximum accumulation of forty- five days.. Employees are paid for unused accumulated annual leave upon retirement or termination of employment. See Notel- Basis 9f 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, e~cept as noted in the subsequent paragraph.
Certain employees who retire with a minimum of three months of unused sick leave are entitled to additional service credit in the Teachers Retirement System of Georgia.
NOTE 11: 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 expef,lditures which may be disallowed by the grantor cannot be determined at this time although the Board ofRegents expects such amounts, ifany, to be immaterial to its overall financial position.
Litigation, claims and assessments filed against the Administrative Central Office (an organizational unit ofthe Board ofRegents ofthe University System of Georgia), ifany, are generally considered to be actions against the State of Georgia. Accordingly, significant litigation, claims and assessments . pending against the State of Georgia are disclosed in the State of Georgia Comprehensive Annual Financial Report for the fiscal year ended June 30, 2001.
NOTE 12: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
Pursuant to the general powers conferred by the Official Code of Georgia Annotated Section 20-331, the Board of Regents of the University System of Georgia has established group health and life insurance programs for regular employees ofthe University System ofGeorgia. It is the policy ofthe Board ofRegents to permit employees ofthe University System ofGeorgia eligible for retirement or that become permanently and totally disabled to continue as members of the 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 ofservice 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.
. -22-

BOARD OF REGENTS OF THE UNNERSITY SYStEM OF GEORGIA EXHIBIT "D" ADMINISTRATNE CENTRAL OFFICE (OVERSIGHT UNIT) NOTES TO THE FINANCIAL STATEMENTS JUNE 30, 2001
NOTE 12: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
As of June 30, 2001, there were 56 employees who had retired or were disabled that were receiving these postemployment health and life insurance benefits. For the year ended June 30, 2001, the Administrative Central Office recognized as incurred $85,455.06 ofexpenditures, which was net of $56,687.02 of participant contributions.
NOTE 13: OFFICE OF PUBLIC LIBRARY SERVICE
On July 1, 2000, the Office of Public Library Service became administratively attached to the Administrative Central Office of the Board of Regents of the University System of Georgia in accordance with Official Code of Georgia Annotated Section 26-5-2. The Office ofPublic Library Service serves as the state library, administers the public library program and provides a variety of services to the libraries and citizens of Georgia.
NOTE 14: SIGNIFICANT TRANSACTIONS
GEORGIA CENTER FOR ADVANCED TELECOMMUNICATIONS TECHNOLOGY (GCATT) The GCATT construction project located on the Georgia Institute of Technology campus was completed as ofJune 30, 200~. Total expenditures of$32,863,966.65, which, in past years, had been recorded as Construction in Progress in the Investment in Plant Fund ofthe Administrative Central Office ofthe Board ofRegents ofthe University System of Georgia, were transferred to the Georgia Institute ofTechriology to be recorded in the Institute's Investment in Plant account.
ALBANY STATE UNIVERSITY The Board of Regents of the University System of Georgia - Administrative Central Office is recording the cost of repairs and reconstruction due to extensive flood damage to the Albany State University's campus in 1994 and 1998. These expenditures are included in the Unexpended Plant Fund and capital expenditures. are recorded as Construction in Progress in the Investment in Plant Fund of the Administrative Central Office. The Administrative Central Office will continue to record all capital expenditures related to this project as Construction in Progress. Upon project completion, the Administrative Central Office will transfer the appropriate balance of the Construction in Progress account to Albany State University to be recorded in the University's Investment in Plant account. The capitalized expenditures to date on this project are $136,146,313.27 and include $113,032.50 of current year expenditures which were recorded as Construction in Progress. These expenditures are funded by insurance recoveries, Federal and State grants and State lottery appropriations.
- 23-

SUPPLEMENTARY INFORMATION -25-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) COMBINING BALANCE SHEET CURRENT FUNDS- UNRESTRICTED JUNE 30. 2001

ASSETS Cash and Cash Equivalents Investments Accounts Receivable
Total Assets
LIABILITIES AND FUND BALANCES Liabilities
Accounts Payable Employee Health Benefits Claims
Total Liabilities Fund Balances
Unrestricted
Total Liabilities and Fund Balances

"A" RESIDENT INSTRUCTION

REGENTS CENTRAL OFFICE AND
OTHER ORGANIZED ACTIVITIES

$ 35,398,830.75 $ 62,586.94

5,766,123.00 7 032.38

$ 35,461,417.69 $======5~,;,;77=3~1,;;,5;;;,;5=38;;,

$ 6,902,469.74 $ $ 6,902,469.74 $
28,558,947.95

5,290,744.03 5,290,744.03
482 411.35

$ 35,461,417.69 $===5~=77=3:!:,1=5=5.=38;;,

See notes to the financial statements.

-26-

EXHIBIT"E"

"D" LOTTERY FOR
EDUCATION

EMPLOYEE HEALTH BENEFITS PLAN

TOTAL

$ 1,395,791.32 $ 23,007,875.43 $ 65,568,620.50

10,067,899.92

10;067,899.92

69,619.32

$ 1,395,791.32 $ 33,075,775.35 $ 75;706,139.74

$ 637,526.29

$ 12,830,740.06

- - - - - $ 35,179,138.50

35,179,138.50

$ 637,526.29 $ 35,179,138.50 $ 48,009,878.56

758,265.03

-2,103,363.15

27,696,261.18

$ 1,395,791.32 $ 33,075,775.35 $ 75,706,139.74

-27-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
COMBINING STATEMENT OF CHANGES IN FUND BALANCES CURRENT FUNDS- UNRESTRICTED YEAR ENDED JUNE 30. 2001

REVENUES AND OTHER ADDITIONS
Unrestricted Current Fund Revenues Adjustments
Prior Years' Expenditures/Accounts Payable Prior Years' Checks Voided Remittance of Uncommitted Regents Scholarships from Units of the University System of Georgia Remittance of Uncommitted Regents Opportunity Grants from Units of the University System of Georgia Remittance of Surplus from Units of the University System of Georgia
Year Ended June 30, 2000 Remittance of Surplus from
Georgia Public Libraries Year Ended June 30, 2000
Transfer from Department of Technical and Adult Education in Accordance with Official Code of Georgia Annotated Section 20-5-2
Total Revenues and Other Additions
EXPENDITURES AND OTHER DEDUCTIONS
Educational and General Expenditures Adjustments
Prior Year's Revenues/Accounts Receivable Allotments to Units of the University System of Georgia
Georgia Eminent Scholars Endowment Fund Unrestricted Fund Balance (Surplus)
Returned to the Office of Treasury and Fiscal Services Year Ended June 30, 2000
Total Expenditures and Other Deductions
TRANSFERS BETWEEN FUNDS
Mandatory Restricted Quasi-Endowment Funds Allocated State Appropriations for: Employee Health Benefits Plan Restricted Quasi-Endowment Fund
Total Transfers Between Funds
Net lncrease/(Decrease) for the Year
FUND BALANCES JULY 1. 2000

FUND BALANCES JUNE 30 2001 See notes to the financial statements.

-28-

"A" RESIDENT INSTRUCTION

"B" REGENTS CENTRAL
OFFICE AND OTHER ORGANIZED
ACTIVITIES

$ ~8.880,491 .43 $ 212,861.03 1,071.03
1 ,533,129.05
$ 90,627,552.54 $

68,759,523.23 423,459.23 10.00 547.16 1,862.00
322,321.31
14,422.14
4,213,087.00 73,735,232.07

$ 52,662,995.54 $ 805.00
3,118,568.26

72,928,090.25

1 ,657,482.94 $ 57,439,851.74 $

380,912.35 73,309,002.60

$ 3,118,568.26 -3,371,675.00 -4,500,000.00
$ -4,753,106.74 $ 28,434,594.06 $
124,353.89
$ 28,558,947.95 $

426,229.47 56181.88
482 411.35

EXHIBIT"F"

"D" LOTIERYFOR
EDUCATION

EMPLOYEE HEALTH BENEFITS PLAN

TOTAL

$ 9,212,000.00 $ 157,323,017.28 $ 324,175,031.94 636,320.26 1,081.03
547.16
1,862.00

102,605.47

1 ,958,055.83

14,422.14

4,213,087.00 $ 9;314,605.47 $ 157,323,017.28 $ 331,000,407.36

$ 8,453,734.97 $ 191,845,768.63 $ 325,890,589.39 805.00 .
3,118,568.26

212,171.26

2,250,566.55

$ 8,665,906.23 $ 191,845,768.63 $ 331,260,529.20

$ 3,118,568.26

$ 3,371,675.00

0.00 -4,500,000.00

$ 3,371,675.00 $ -1 381 431.74

$

648,699.24 $ -31 '151 ,076.35 $ ~1,641,553.58

109,565.79

29,047,713.20

29,337,814.76

$

758,265.03 $ -2,103,363.15 $ 27,696,261.18

-29-

r------------------------~~~-~--~
BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
COMBINING STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES. AND OTHER CHANGES UNRESTRICTED
YEAR ENDED JUNE 30. 2001

REVENUES
State Appropriations Other Sources
Total Revenues
EXPENDITURES AND MANDATORY TRANSFERS
Educational and General Instruction Public Service Institutional Support Operation and Maintenance of Plant Scholarships and Fellowships Mandatory Transfers for: Restricted Quasi-Endowment Funds Allocated State Appropriations for: Employ~ee Health Benefits Plan Restricted Quasi-Endowment Fund
Total Expenditures and Mandatory Transfers
OTHER TRANSFERS AND ADDITIONS/{DEDUCTIONS)
Allotments of Georgia Eminent Scholars Endowment Funds Prior Period Adjustments (Net) Remittance of Uncommitted Regents Scholarships
from Units of the University System of Georgia Remittance of Uncommitted Regents Opportunity Grants
from Units of the University System of Georgia Remittance of Surplus from Units of the
University System of Georgia Year Ended June 30, 2000
Remittance of Surplus from Georgia Public Libraries Year Ended June 30, 2000
Transfer from Department of Technical and Adult Education in Accordance with Official Code of Georgia Annotated Section 20-5-2
Unrestricted Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 2000
Total Other Transfers and Additionsi(Deductions)

"A".
RESIDENT ~iNSTRUCTION

"811
REGENTS CENTRAL OFFICE AND
OTHER ORGANIZED ACTIVITIES

$ 70,890,656.11 $ 17,989,835.32
$ 88,880,491.43 $

67,852,815.00 906,708.23
68,759,523.23

$ $ 52,662,995.54
-3,118,568.26 3,371 ,675.00 4,500,000.00 $ 57,416,102.28 $

63,199,554.72 8,661 '106.17 467,429.36 600,000.00
72,928,090.25

$ -3' 118,568.26 213,127.06 $
1,533,129.05

:423,469.23 547.16
1,862.00 322,321.31
14,422.14 4,213,087.00 .

-1,657,482.94 $ -3,02' 9,795.09 $

-380,912.35 4 594 796.49

Net lncrease/(Decrease) in Fund Balances
See notes to financial statements.

-30-

$ 28,434,594.06 $ =~=~4~2~6,522~9;,;.4~7=

EXHIBIT "G"

ltD" LOTTERY FOR
EDUCATION

EMPLOYEE HEALTH
BENEFITS PLAN

TOTAL

$ 9,212,000.00

$ 147,955,471.11

- - - - - - $ 157,323,017.28 176,219,560.83

$ 9,212,000.00 $ 157,323,017.28 $ 324,175,031.94

$ 63,199,554.72 $ 8,453,734.97 $ 191,845,768.63 261,623,605.31
467,429.36 600,000.00

-3,118,568.26

-3,371,675.00

0.00 4,500,000.00

$ 8,453,734.97 $ 188,474,093.63 $ 327,272,021.13

$

102,605.47

$ -3,118,568.26 . 636,596.29 547.16 1,862.00
1 ,958,055.83
14,422.14
4,213,087.00

-212,171.26 $ -109,565.79

-2,250,566.55 $ 1,455,435.61

$ 648,699.24 $ -31,151,076.35 $ -1,641,553.58

-31- .

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
COMBINING STATEMENT OF CURRENT FUNDS REVENUES. EXPENDITURES, Af-JD OTHER CHANGES RESTRICTED
YEAR ENDED JUNE 30, 2001

EXHIBIT"H"

RESIDENT INSTRUCTION

REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES

TOTAL

REVENUES

Federal Grants and Contracts State Grants and Contracts Private Gifts, Grants, and Contracts Endowment Income

$ 4,481 ;632.53 $ 4,513,049.32 $ 8,994,681.85

83,801.43.

19,599.38

103,400.81

64,569.76

302,449.96

367,019.72

255,694.82

255,694.82

Total Revenues

$ 4,630,003.72 $ 5,090,793.48 $ 9,720,797.20

EXPENDITURES AND MANDATORY TRANSFER

Educational and General Public Service Institutional Support Scholarships and Fellowships Mandatory Transfer for: Investment Income for Endowment Principal

$ 4,515,499.32 $ 4,515,499.32

$ 4,630,003.72

319,599.34

4,949,603.06

255,694.82

255,694.82

189,998.00

189,998.00

Total Expenditures and Mandatory Transfer

$ 4,820,001.72 $ 5,090,793.48 $ 9,910,795.20

OTHER TRANSFERS AND ADDITIONS/(DEDUCTIONS)

Excess of Restricted Receipts over Transfers to Revenues $ Transfers of Endowment Principal for Object of Trust Administrative Fees

485,823.09 $ -10,138.71

42,461.61 $ 64,551.60 -30,830.63

528,284.70 64,551.60 -40,969.34

Total Other Transfers and Additions/(Deductions) $ 475,684.38 $ 76,182.58 $ 551,866.96

Net Increase in Fund Balances

$ 285,686.38 $ 76,182.58 $ 361,868.96

See notes to the financial statements.

-33-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TOBUDGET "A" RESIDENT INSTRUCTION YEAR ENDED JUNE 30. 2001

REVENUES
State Appropriations Other Revenues Retained

CURRENT FUNDS UNRESTRICTED RESTRICTED

TOTAL

$ 70,890,656.11

$ 70,890,656.11

171989,835.32 $ 4,6301003.72 2216191839.04

$ 88,880,491.43 $ 4,630,003.72 $ 93,510,495.15

EXPENDITURES

Personal Services:.

Education, General and Departmental Services $

8,697,781.80

$ 8,697,781.80

Sponsored Operations

$ 278,070.42

278,070.42

Operating Expenses:

Education, General and Departmental Services

30,377,725.16

30,377,725.16

Sponsored Operations

4,351,933.30

4,351,933.30

Capital Outlay

945,334.00

945,334.00

Special Funding Initiative

11,792,154.58

. 11 ;7:.1_2, 154.58

Research Consortium

8501000.00

8501000.00

$ 52,662,995.54 $ 4,630,003.72 $ 57,292,999.26

Excess of Revenues over Expenditures

$ 36,217,495.89 $===~0=.0=0 $ 36,217,495.89

(1) To reclassify transfers of State Appropriations for Employee Health Benefits Plan. Also, to adjust for Unexpended Plant Fund revenues and expenditures budgeted in Resident Instruction.

See notes to the financial statements.

-34-

SCHEDULE "1"

ADJUSTMENTS

ENCUMBRANCE

OTHER (1)

TOTAL (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$

0.00

______ $

$ 70,890,656.11 $ 65,140,656.00 $

99,735.00

22,719,574.04

18,027,599.00

5,750,000.11 4,691,975.04

$ - - - - -0.0-0 $

. 99,735.00 $ 93,610,230.15 $ 83,168,255.00 $

10,441,975.15

$ 8,697,781.80 $ 8,396,414.00 $

278,070.42

158,466.00

$ 3,371,675.00 99,735.00
$ 28,350,341.00

33,749,400.16 4,351,933.30 1,045,069.00 11,792,154.58 2912001341.00

33,840,375.00 50,000.00
1,091,843.00 11,180,816.00 2814501341.00

-301,367.80 -119,604.42
90,974.84 -4,301,933.30.
46,774.00 .-6~ 1,338.58 -7501000.00

$ 28,350,341.00 $ 3,471,410.00 $ 89,114,750.26 $ 83,168,255.00 $ -5,946,495.26

$ -28,350,341.00 $ -3,371,675.00 $ 4,495,479.89

$ ==4=,4=9=5=,4=7=9.=89=

-35-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET "B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES YEAR ENDED JUNE 30i 2001

REVENUES
State Appropriations Other Revenues Retained

CURRENT FUNDS UNRESTRICTED RESTRICTED

PLANT FUNDS UNEXPENDED

$ 67,852,815.00 906,708.23 $ 5,090,793.48 $ _ _::;28:..::5:..r..:,3;.:2~3.:..:.4=-0

$ 68,759,523.23 $ 5,090,793.48 $ _ _2:.;8:..:5.:.:,3:.:;2.;:.3.;.;.40.;:.

EXPENDITURES
Personal Services: Education, General and Departmental Services Sponsored Operations
Operating Expenses: Education, General and Departmental Services Sponsored Operations
Capital Outlay SREB Payments Regents Opportunity Grants Rental Payments to Georgia Military College Direct Payments to the Georgia Public
Telecommunications Commi.ssion for Operations Public Libraries Salaries and Operations

$

7,011,942.66

$ 339,370.34 .

9,358,247.59
1,335,990.00 600,000.00
1,390,021.00

4,751,423.14 $

212,767.50

22,341 ,428.00 30,890,461.00

$ 72,928,090.25 $ 5,090,793.48 $ _ _2:.;1..;;2.:.:,7.;.6.;_7.;.:.5.;_0

Excess of Revenues over Expenditures

$ -4,168,567.02 $

(1) To eliminate Unexpended Plant Fund revenue and expenditures budgeted in Resident Instruction.

0.00 $ ===7=2=,5=5=5.=90=

See notes to the financial statements.

-36-

SCHEDULE "2"

TOTAL

ADJUSTMENTS (1)

TOTAL (Budget Basis)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$ 67,852,815.00 6,282,825.11 $

$ 67,852,815;00 $ 67,852,815.00 $

-99,735.00

6,183,090.11

3,034,639.00

0.00 3,148,451.11

$ 74,135,640.11 $

-99,735.00 $ 74,035,905.11 $ 70,887,454.00 $ _ _..:..;3,~14...;..;8:..!.,4.;..;5;...;.1.;_;.1_;_1

$ 7,011,942.66 339,370.34
9,358,247.59 4,751,423.14
212,767.50 $ 1,335,990.00
600,000.00 1,390,021.00
22,341 ,428.00 30,890,461.00

$ 7,011,942.66 $ 8,747,872.00 $

339,370.34

0.00

1, 735,929.34 -339,370.34

-99,735.00

9,358,247.59 4,751,423.14
113,032.50 1,335,990.00
600,000.00 1,390,021.00

3,634,219.00 418,582.00 0.00
1,379,525.00 600,000.00
1,390,021.00

I
22,341,428.00
30,890,461.00

22,341 ,428.00 32,375,807.00

-5,724,028.59 -4,332,841.14
-113,032.50 43,535.00 0.00 0.00
0.00 1 ,485,346.00

$ 78,231,651.23 $

-99,735.00 $ 78,131,916.23 $ 70,887,454.00 $

-7,244,462.23

$ -4,096,011.12 $=====0=.0=0 $ -4,096,011.12

$

-4,096,011.12

-37-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
SCHEDULE OF REVENUES AND EXPENDITURES COMPARED TO BUDGET "D" LOTIERY FOR EDUCATION YEAR ENDED JUNE 30. 2001

SCHEDULE "3"

REVENUES State Appropriations
EXPENDITURES . Georgia Public Telecommunications
Commission Internet Connection Initiative Special Funding Initiative Equipment - Public Libraries
Excess of Revenues over Expenditures

CURRENT FUNDS UNRESTRICTED

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

$

9,212,000.00 $ 9,212,000.00 $ _ _ _ _,;;,0,;,;;.0~0

$

4,371 ,000.00 $ 4,371,000.00 $

0.00

1,400, 108.68 1,400,000.00

-108.68

2,643,108.79 2,641 ,000.00

-2,108.79

39,517.50

800,000.00

760,482.50

$

8,453,734.97 $ 9,212,000.00 $ _ _ _7;.,;5;,;;,8..:..;;,2;;:;.6.:;,.:5...:;.03:;_

$======7=58::::!:,2=6=5=.0=3

$===7=5=8=,2=6=5..0..3=

See notes to the financial statements.

-39-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULEOFAPPROVEDBUDGET "A" RESIDENT INSTRUCTION YEAR ENDED JUNE 30. 2001

REVENUES
State Appropriations Other Revenues Retained

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

GOVERNOR'S EMERGENCY FUND

$ 1,434,370,525.00 $ 1,378,458,264.00

98,333,380.00 $ 291,235,412.00

125,000.00

$ 2,812,828,789.00 $ 389,568,792.00 $ ===~1~25~,0;;;,;0~0~.0~0

EXPENDITURES

Personal Services: Education, General and Departmental Services Sponsored Operations
Operating Expenses: Education, General and Departmental Services Sponsored Operations
Capital Outlay Special Funding Initiative Office of Minority Business Enterprises Student EducationEnrichment Program Forestry Research Research Consortium

$ 1,516,828,682.00 $ 215,731,047.00
373,145,021.00 637,169,805.00
550,000.00 52,579,707.00
1,147,473.00 370,842.00
1,009,322.00 14,296,890.00

86,767,918.00 40,709,517.00
35,100,875.00 $ 103,203,790.00 60,986,797.00
1,750,000.00
61,049,895.00

125,000.00

$ 2,812,828,789.00 $ 389,568,792.00 $ ===~1~25~,0;;;,;0~0~.0~0

See notes to the financial statements.

-40-

SCHEDULE "4"

BUDGET ADJUSTMENTS

TOTAL APPROVED
BUDGET

LESS: BUDGET TRANSFERS TO OTHER UNITS

TOTAL

$ 1,532,828,905.00 $ 1,467,688,249.00 $ 65,140,656.00

$ 325,132,647.00 1,994,826,323.00

1,976,798,724.00

18,027,599.00

$ 325,132,647.00 $ 3,527,655,228.00 $ 3,444,486,973.00 $ 83,168,255.00

$ -49,539,568.00 $ 1,554,057,032.00 $ 1,545,660,618.00 $

68,006,37 4.00

324,446,938.00

324,288,472.00

8,396,414.00 158,466.00

101 ,864,378.00 64,324,380.00 150,290,144.00
5,274.00
181,665.00 -10,000,000.00

510,235,274.00 804,697,975.00 211,826,941.00
54,329,707.00 1'152,747.00 370,842.00 1,190,987.00
65,346,785.00

476,394,899.00 804,647,975.00 210,735,098.00
43,148,891.00 1,152,747.00 370,842.00 1'190,987 .00
36,896,444.00

33,840,375.00 . 50,000.00
1,091,843.00 11 '180,816.00
0.00 0.00 0.00 28,450,341.00

$ 325,132,647.00 $ 3,527,655,228.00 $ 3,444,486,973.00 $ 83,168,255.00

-41-

-- r-------------------------------------------------------------------------------~.
BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULE OF APPROVED BUDGET
"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES YEAR ENDED JUNE 30. 2001

REVENUES
State Appropriations Other Revenues Retained
EXPENDITURES
Personal Services: Education, General and Departmental Services Sponsored Operations
Operating Expenses: Education, General and Departmental Services Sponsored Operations
Capital Outlay Agricultural Research Advanced Technology Development Center/
Economic Development Institute Center for Rehabilitation Technology SREB Payments Regents Opportunity Grants Rental Payments to Georgia Military College Direct Payments to the Georgia Public
Telecommunications Commission for Operations Public Libraries Salaries and Operati_ons Student Information System

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

$ 247,172,285.00 $

4,688,077.00

510,663,012.00

-131,023,109.00

$ 757,835,297.00 $ -126,335,032.00

$ 317,957,396.00 $ -188,922,143.00

119,541 '146.00

-53,794,979.00

144,992,577.00 61,560,179.00
2,784,785.00

-54,215,998.00 163,795,478.00
1,298,000.00

18,796,405.00 6,016,213.00 897,525.00 600,000.00 1,390,021.00

3,340,918.00 288,507.00 482,000.00'

20,923,243.00 32,375,807.00 30,000,000.00

1 ,393,185.00

$ 757,835,297.00 $ -126,335,032.00

See notes to the financial statements.

-42-

SCHEDULE "5"

BUDGET ADJUSTMENTS

TOTAL APPROVED
BUDGET

LESS: BUDGET TRANSFERS TO OTHER UNITS

TOTAL

$

37,500.00 $ 251,897,862.00 $

-69,263,919.00 310,375,984.00

184,045,047.00 $ 67,852,815.00

307,341 ,345.00

3,034,639.00

$ -69,226,419.00 $ 562,273,846.00 $ 491,386,392.00 $ 70,887,454.00

$

-333,526.00 $ 128,701 '727.00 $

2,000,000;oo

67,746,167.00

4,186,542.00 -75,266,402.00

94,963,121.00 150,089,255.00
1,298,000.00 2,784,785.00

153,600.00 8,367.00

22,290,923.00 6,313,087.00 1,379,525.00 600,000.00 1,390,021.00

25,000.00

22,341 ,428.00 32,375,807.00 30,000,000.00

119,953,855.00 $ 67,746,167.00

8,747,872.00 0.00

91,328,902.00 149,670,673.00
1,298,000.00 2,784,785.00

3,634,219.00 418,582.00 0.00 0.00

22,290,923.00 6,313,087.00

0.00 0.00 1,379,525.00 600,000.00 1,390,021.00

30,000,000.00

22,341,428.00 32,375,807.00
0.00

$ -69,226,419.00 $ 562,273,846.00 $ 491,386,392.00 $ 70,887,454.00

-43-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA

I_

ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)

SCHEDULE OF APPROVED BUDGET

"D" LOTIERY FOR EDUCATION

YEAR ENDED JUNE 30. 2001

REVENUES
State Appropriations
EXPENDITURES
Equipment, Technology and Construction Trust Fund
Georgia Public Telecommunications Commission Internet Connection Initiative Special Funding Initiatives Technology Equipment Initiative Equipment- Public Libraries Student Information System Educational Technology Center

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

$

31 ;947,000.00 $ =~2~2,,;:;,67;,;;9~,2~2,;:,;2.~00~

$

15,000,000.00

$

2,071,000.00

2,300,000.00

1,500,000.00

7,466,000.00

3,579,222.00

800,000.00

20,000,000.00

9101000.00

110001000.00

$. 31,947,000.00 $ =~22~1=67=9i5,2~2=2.=00=

See notes to the financial statements.

-44-

SCHEDULE "6"

TOTAL APPROVED
BUDGET

LESS: BUDGET TRANSFERS TO OTHER UNITS

TOTAL

$ 54,626,222.00 $

45,414,222.00 $ 9,212,000.00

$ 15,000,000.00 $ 4,371 ,000.00 1,500,000.00 7,466,000.00 3,579,222.00 800,000.00
20,000,000.00 1,910,000.00

15,000,000.00 $
100,000.00 4,825,000.00 3,579,222.00
20,000,000.00 1,910,000.00

0.00 4,371,000.00 1 ,400,000.00 2,641 ,000.00
0.00 800,000.00
0.00 0.00

$ 54,626,222.00 $

45,414,222.00 $ 9,212,000.00

-45.-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULE OF BUDGET TRANSFERS TO OTHER UNITS "A" RESIDENT INSTRUCTION YEAR ENDED JUNE 30. 2001

UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA
RESEARCH UNIVERSITIES
Georgia Institute of Technology Research Consortium Regular Special Funding Initiative Regular
Georgia State University Research Consortium Regular Special Funding Initiative Office of Minority Business Enterprise
Medical College of Georgia Research Consortium Student Education Enrichment Program Special Funding Initiative
University of Georgia Forestry Research Office of Minority Business Enterprise Research Consortium Regular Special Funding Initiative
REGIONAL UNIVERSITIES
Georgia Southem University Special Funding Initiative
Valdosta State University Special Funding Initiative
STATE UNIVERSITIES/COLLEGES
Albany State University Office_ of Minority Business Enterprise Special Funding Initiative
Annstrong Atlantic State University Research Consortium Special Funding Initiative
. Augusta State University Office of Minority Business Enterprise
Special Funding Initiative Clayton College and State University
Special Funding Initiative Columbus State University
Special Funding Initiative Fort Valley State University
Special Funding Initiative Georgia College and State University
Special Funding Initiative Georgia Southwestern State University
Special Funding Initiative Kennesaw State University
Research Consortium Special Funding Initiative North Georgia College and State University Special Funding Initiative
See notes to the financial statements.

PERSONAL SERVICES

EDUCATION,

GENERAL AND

DEPARTMENTAL

SPONSORED

SERVICES

OPERATIONS

APPROVED BUDGET

OPERATING EXPENSES

EDUCATION,

GENERAL AND

DEPARTMENTAL

SPONSORED

SERVICES

OPERATIONS

$ 226,661,662.00 $ 68,295,614.00 $ 76,905,723.00 $ 92.704,386.00

183,924,420.00

30,000,000.00"

67,140,443.00

120,000,000.00

104,960,985.00 106,440,597.00

26,420,112.00

15,394,251.00

354,097,449.00

75,000,000.00

114,897,953.00

200,000,000.00

83,236,087.00 51,438,355.00

3,041, 754.00 1,595,082.00

22,134,992.00 12,063,636.00

74,958,246.00 35,984.526.00

22,997,483.00

5,050,351.00

27,583,827.00

722,820.00

27,222,754.00

368,893.00

23,750,856.00 29,804,122.00 19,658,948.00 29,879,128.00 14,406,676.00 64,931,045.00

1,531,438.00 2,702,390.00 8,518,363.00
345,033.00 1,582,698.00 2,546,328.00

20,539,896.00

711,299.00

3,825,311.00

25,498,689.00

7,995,244.00

8,027,976.00

5,890,263.00

8,372,058.00

10,025,910.00 7,530,244.00 5,613,577.00 7,138,715.00 5,240,900.00 21,487,271.00

9,419,743.00 25,999,080.00 26,529,873.00 17,627,356.00
6,152,581.00 14,257,600.00

5,073,185.00

6,538,405.00

-46-

SCHEDULE "7"

CAPITAL OUTLAY

OTHER

TOTAL

STATE FUNDS

FUNDING PROVIDED OTHER
REVENUES RETAINED

TOTAL

$ 48,921,600.00

$ 513,488,985.00 $ 157,030,191.00 $ 356,458,794.00 $ 513,488,985.00

$ 15,851,420.00

15,851,420.00

15,851,420.00

15,851,420.00

29,725.455.00

13,277,189.00

13,277,189.00 430,790,318.00

13,277,169.00 161,938,499.00

268,851,819.00

13,277,189.00 430,790,318.00

5,400,780.00 69,166,761.00

10,124,477.00 2,790,142.00
100,000.00
1,753,330.00 370,842.00 .
1,927,673.00
1,190,987.00 532,747.00

10,124,477.00 2.790,142.00
100,000.00 258,616,725.00
1,753,330.00 370,842.00
1,927,673.00 813,162,163.00
1,190,987.00 532,747.00

10,124,477.00 2,790,142.00
100,000.00 105,942,694.00
1,753,330.00 370,842.00
1,927,673.00 341,151,325.00
1,190,987.00 532,747.00

152,674,031.00 472,010,838.00

10,124,477.00 2,790,142.00
100,000.00 258,616,725.00
1,753,330.00 370,842.00
1,927,673.00 813,162,163.00
1,190,987.00 532,747.00

8,150,986.00 3,536,508.00

8,150,986.00 3,536,508.00

8,150,986.00 3,536,508.00

8,150,986.00 3,536,508.00

5,368,000.00 3,009,455.00

1,455,853.00 674,982.00

188,739,079.00 1,455,853.00
104,091,054.00 674,982.00

72,906,399.00 1,455,853.00
45,938,721.00 674,982.00

115,832:680.00 58,152,333.00

188,739,079.00 1,455,853.00
104,091,054.00 674,982.00

748,007.00
1,319,545.00
2,191,162.00
1,095,419.00 4,961,500.00 3,533,808.00 2,985,710.00 2,253,035.00 3,234,855.00
1,502,821.00

120,000.00 986,551.00
320,353.00 509,797.00
200,000.00 244,690.00
471,748.00
279,272.00
3,517,824.00
1,095,635.00
765,615.00
151,878.00 864,093.00
1,227,160.00

58,119,841.00 120,000.00 986,55UO
45,649,412.00 320,353.00 509,797.00
44,045,130.00 200,000.00 244,690.00
45,823,366.00 471,748.00
70,997,336.00 279,272.00
63,854,569.00 3,517,824.00
57,975,942.09 1,095,635.00
29,635,890.00 765,615.00
106,457,099.00 151,878.00 864,093.00
34,365,606.00 1,227,160.00

19,631,582.00 120,000.00 986,551.00
24,712,148.00 320,353.00 509,797.00
24,579,410.00
200,000~00
244,690.00 18,380,774.00
471,748.00 26,736,906.00
279,272.00 20,228,975.00
3,517,824.00 27,996,144.00
1,095,635.00 13,969,830.00
765,615.00 52,411,211.00
151,878.00 864,093.00 19,006,419.00 1,227,160.00

38,486,259.00
20,937,264.00
19,465,720.00
27,442,592.00 44,260,430.00 43,625,594.00 29,979,798.00 15,666,060.00 54,045,888.00
15,359,187.00

58,119,841.00 120,000.00 986,551.00
45,649,412.00 320,353.00 509,797.00
44,045,130.00 200,000.00 244,690.00
45,823,366.00 471,748.00
70,997,336.00 279,272.00
63,854,569.00 3,517,824.00
57,975,942.00 1,095,635.00
29,635,890.00 765,615.00
106,457,099.00 151,878.00 864,093.00
34,365,606.00 1,227,160.00

-47-

----

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULE OF BUDGET TRANSFERS TO OTHER UNITS "A" RESIDENT INSTRUCTION YEAR ENDED JUNE 30. 2001

UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA
STATE UNIVERSITIES/COLLEGES
Savannah State University Special Funding Initiative
Southern Polytechnic State University Research Consortium Special Funding Initiative
State University of West Georgia Special Funding Initiative
ASSOCIATE DEGREE COLLEGES
Abraham Baldwin Agricultural College Special Funding 1nitiative
Atlanta Metropolitan College Office of Minority Business Enterprise Special Funding Initiative
Bainbridge College Special Funding Initiative
Coastal Georgia Community College Special Funding Initiative
Dalton State College Research Consortium Special Funding Initiative
Darton College Special Funding Initiative
East Georgia College Special Funding Initiative
Floyd College Special Funding Initiative
Gainesville College Special Funding Initiative
Georgia Perimeter College Special Funding Initiative
Gordon College Special Funding Initiative
Macon State College Special Funding Initiative
Middle Georgia College Special Funding Initiative
South Georgia College Special Funding Initiative
Waycross College Special Funding Initiative
OTHER
Skidaway Institute of Oceanography Research Consortium Special Funding Initiative

PERSONAL SERVICES

EDUCATION,

GENERAL AND

DEPARTMENTAL

SPONSORED

SERVICES

OPERATIONS

APPROVED BUDGET

OPERATING EXPENSES

EDUCATION,

GENERAL AND

DEPARTMENTAL

SPONSORED

SERVICES

OPERATIONS

$ 17,091,079.00 $ 3,986,643.00 $

22,947,067.00

1,071,361.00

5,619,824.00 $ 18,305,246.00

5,851,536.00

9,387,805.00

44,063,749.00

1,822,237.00

12,114,864.00

28,342,058.00

12,837,835.00 9,068,840.00

888,074.00 655,979.00

4,608,596.00 7,202,907.00 10,856,625.00

1,015,772.00 990,869.00
2,097,260.00

11,433,574.00 4,043,181.00 10,435,263.00 12,252,666.00 50,457,537.00 9,367,935.00 15,148,051.00 . 10,138,461.00 5,365,595.00 3,247,964.00

1,216,313.00 72,039.00
352,695.00 281,696.00 209,103.00
808,397.00 198,904.00 162,500.00
5,970.00

3,654,806.00 2,163,849.00

3,118,153.00 4,217,028.00

1,250,086.00 2,121 ,387.00 3,454,224.00

2,761,969.00 3,171,193.00 6,252,209.00

3,331 ,069.00 1,527,906.00 4,396,499.00 2,768,169.00 16,474,653.00 2,652,375.00 3,603,974.00 2,349,721.00 2,377' 135.00 1,299,323.00

5,423,057.00 1 ,928,209.00 2,220,837.00 3,385,278.00 13,790,897.00 3,797,322.00 3,894,229.00 4,026,028.00 1,810,000.00 1,351,687.00

$ 1,545.660,618.00 $ 324,288.472.00 $ 476,394,899.00 $ 804,647,975.00

See notes to the financial statements.

-48.

SCHEDULE "7"

CAPITAL OUTLAY

OTHER

TOTAL

STATE FUNDS

FUNDING PROVIDED OTHER
REVENUES RETAINED

TOTAL

$ 1,479,535.00

$

$ 853,694.00

692,834.00

30,000.00

1,277,793.00

5,086,254.00

1,360,801.00

46,482,327.00 $ 853,694.00
39,950,603.00 30,000.00
1,277,793.00 91,429,162.00
1,360,801.00

18,666,149.00 $ 853,694.00
20,963,725.00 30,000.00
1.277,793.00 39,940,553.00
1,360,801.00

27,816,178.00 $ 18,986,878.00
51,488,609.00

46,482,327.00 853,694.00
39,950,603.00 30,000.00
1,277,793.00 91,429,162.00
1,360,801.00

1,348,884.00 559,700.00
278,388.00 738,217.00 1,130,065.00
246,200.00 382,975.00 960,345.00 662,000.00 7,004,570.00 745,639.00 1,017,610.00 1,718,409.00 638,000.00 413,268.00

172,970.00 200,000.00 158,550.00 133,250.00 195,530.00
14,000.00 137,803.00 570,068.00 1,227,320.00 310,869.00 667,407.00 456,690.00 100,866.00 1,022,249.00 559,597.00 137,288.00 131,052.00

21,847,752.00 172,970.00
16,665,396.00 200,000.00 158,550.00
9,914,811.00 133,250.00
14,224,573.00 195,530.00
23,790,383.00 14,000.00
137,803.00 21,650,233.00
570,068.00 7,954,310.00 1,227,320.00 18,365,639.00
310,869.00 19,349,809.00
667,407.00 87,936,760.00
456,690.00 16,563,271.00
100,866.00 24,472,261.00
1,022,249.00 18,431,523.00
559,597.00. 10,353,230.00
137,288.00 6,318,212.00
131,052.00

12,984,241.00 172,970.00
8,290,829.00 200,000.00 158,550.00
4,695,224.00 133,250.00
7,426,003.00 195,530.00
10,705,149.00 14,000.00
137,803.00 10,813,936.00
570,068.00 4,095,107.00 1,227,320.00 11,464,286.00
310,869.00 11,106,134.00
667,407.00 46,957,994.00
456,690.00 9,094,344.00
100,866.00 13,965,724.00
1,022,249.00 10,944,488.00
559,597.00 6,117,861.00
137,288.00 3,921,071.00
131,052.00

8,863,511.00 8,374,567.00
5,219,587.00 6,798,570.00 13,085,234.00
10,836,297.00 3,859,203.00 6,901,353.00 8,243,675.00 40,978,766.00 7,468,927.00 10,506,537.00 7,487,035.00 4,235,369.00 2,397,141.00

21,847,752.00 172,970.00
16,665,396.00 200,000.00 158,550.00
9,914,811.00 133,250.00
14,224,573.00 195,530.00
23,790,383.00 14,000.00
137,803.00 21,650,233.00
570,068.00 7,954,310.00 1,227,320.00 18,365,639.00
310,869.00 19,349,809.00
667,407.00 87,936,760.00
456,690.00 16,563,271.00
100,866.00 24,472,261.00
1,022,249.00 18,431,523.00
559,597.00 10,353,230.00
137,288.00 6,318,212.00
131,052.00

214,292.00

500,000.00 50,362.00

214,292.00 500,000.00
50,362.00

214,292.00 500,000.00
50,362.00

214,292.00 500,000.00
50,362.00

$ 210,735,098.00 $ 82,759,911.00 $ 3,444,486,973.00 $ 1,467.688,249.00 $ 1,976,798,724.00 $ 3,444,486,973.00

-49-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULE OF BUDGET TRANSFERS TO OTHER UNITS
"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES YEAR ENDED JUNE 30. 2001

UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA
RESEARCH UNIVERSITIES
Georgia Institute of Technology Education Extension Services Advanced Technology Development Center Georgia Tech Research Institute Agricultural Research Center for Rehabilitation Technology State Data Center Student Information System
Medical College of Georgia Medical College of Georgia Hospital and Clinics Georgia Radiation Therapy Center
University of Georgia Agricultural Experiment Station Athens and Tifton Veterinary Laboratories Cooperative Extension Service Marine Institute Marine Resources Extension Center Veterinary Medicine Experiment Station Agricultural Research Veterinary Medicine Teaching Hospital
OTHER
Skidaway Institute of Oceanography

PERSONAL SERVICES

EDUCATION,

GENERAL AND

DEPARTMENTAL . SPONSORED

SERVICES

OPERATIONS

APPROVED BUDGET

OPERATING EXPENSES

EDUCATION,

GENERAL AND

DEPARTMENTAL

SPONSORED

SERVICES

OPERATIONS

$

23,360,546.00 $ 43,077,078.00 $

22,128,965.00 $ 24,050,000.00

1,302,716.00

3,796,901.00

2,224,653.00

42,181,462.00 89,811.00
41,013,072.00 833,525.00
1,496,834.00 2,207,170.00

10,700,000.00 . 2.797,454.00
8,500,000.00 575,000.00 350,000.00

3,185,067.00

36,154,655.00 1,401,157.00
14,830,388.00
6,575,630.00 385,366.00 759,525.00
. 304,280.00
4,346,430.00

108,335,792.00
9,300,000.00 1,956,516.00 5,000,000.00
125,000.00 150,000.00

2,058,999.00

1,746,635.00

645,605.00

753,385.00

$ 119,953,855.00 $ 67,746,167.00 $

91,328,902.00 $ 149,670,673.00

See notes to the financial statements.

-50-

SCHEDULE "8"

CAPITAL OUTLAY

OTHER

TOTAL

STATE FUNDS

FUNDING PROVIDED OTHER
REVENUES RETAINED

TOTAL

$ .22,290,923.00 $ 22,290,923.00 $ 9,530,323.00 $ 12,760,600.00 $ 22,290,923.00

112,616,589.00

3,316,276.00

109,300,313.00

112,616,589.00

1,727,010.00

1,727,010.00

1,679,957.00

47,053.00

1,727,010.00

6,313,087.00

6,313,087.00

5,252,262.00

1,060,825.00

6,313,087.00

5,099,617.00

5,099,617.00

5,099,617.00

30,000,000.00

30,000,000.00

30,000,000.00

30,000,000.00

144,490,447.00 3,625,810.00

35,961 '155.00

108,529,292.00 3,625,810.00

144,490,447.00 3,625,810.00

$ 800,000.00 498,000.00

1,057,775.00

77,811 ,850.00 4,843,781.00
61,586,702.00 1,918,891.00 2,756,359.00 2,511,450.00 1,057'775.00 7,531,497.00

46,350,255.00 89,811.00
38,009,168.00 1,110,858.00 1,646,559.00 2,511,450.00 1,057,775.00 576,097.00

31,461,595.00 4,753,970.00
23,577,534.00 808,033.00
1,109,800.00
6,955,400.00

77,811 ,850.00 4,843,781.00
61,586,702.00 1,918,891.00 2,756,359.00 2,511,450.00 1,057,775.00 7,531,497.00

5,204,604.00

1,853,484.00

3,351 '120.00

5,204,604.00

$ 1,298,000.00 $ 61,388,795.00 $ 491,386,392.00 $ 184,045,047.00 $ 307,341,345.00 $ 491,386,392.00

-51 -

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE {OVERSIGHT UNIT} SCHEDULE OF BUDGET TRANSFERS TO OTHER UNITS "D" LOTTERY FOR EDUCATION YEAR ENDED JUNE 30. 2001

UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA
RESEARCH UNIVERSITIES
Georgia Institute of Technology Educational Technology Center
Student Information System Georgia State University Medical College of Georgia University of Georgia
Technology Equipment Initiative
REGIONAL UNIVERSITIES
Georgia Southern University Valdosta State University
STATE UNIVERSITIES/COLLEGES
Albany State University Armstrong Atlantic State University Augusta State University Clayton College and StateUniversity
Internet Connection Initiative Technology Equipment Initiative Columbus State University Fort Valley State University Georgia College and State University Georgia Southwestern State University Kennesaw State University North Georgia College and State University Savannah State University Southern Polytechnic State University State University of West Georgia
ASSOCIATE DEGREE COLLEGES
Abraham Baldwin Agricultural College Atlanta Metropolitan College Bainbridge College Coastal Georgia Community College Dalton State College Darton College East Georgia College Floyd College
Internet Connection Initiative Technology Equipment Initiative Gainesville College Georgia Perimeter College Gordon College Macon State College Middle Georgia College South Georgia College Waycross College
OTHER
Skidaway Institute of Oceanography
See notes to the financiai statements.

EQUIPMENT, TECHNOLOGY
AND CONSTRUCTION
TRUST FUND

APPROVED BUDGET

SPECIAL FUNDING INITIATIVE

OTHER

$

3,577,798.00 $ 165,000.00

$ 1,910,000.00

20,000,000.00

1,386,778.00

265,000.00

818,694.00

165,000.00

3,680,632.00

310,000.00

3,200,000.00

503,292.00 446,526.00

165,000.00 165,000.00

186,234.00 242,898.00 242,898.00 200,000.00
242,908.00 120,942.00 242,908.00 120,944.00 304,496.00 186,440.00 138,940.00 186,234.00 304,496.00

120,000.00 120,000.00 120,000.00 495,000.00
120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00

50,000.00 196,057.00

133,058.00 73,514.00 73,514.00 73,514.00 165,902.00 133,058.00 43,742.00 135,000.00
133,058.00 294,270.00 133,056.00 165,904.00 133,058.00
73,514.00 43,744.00

75,000.00 75,000.00 75,000.00 75,000.00 120,000.00 75,000.00 75,000.00 450,000.00
75,000.00 120,000.00 75,000.00 120,000.00
75,000.00 75,000.00 75,000.00

50,000.00 183,165.00

58,036.00

20,000.00

$

15,000,000.00 $ 4,825,000.00 $ 25,589,222.00

-52-

SCHEDULE "9"

TOTAL

STATE FUNDS

FUNDING PROVIDED OTHER
REVENUES RETAINED

TOTAL

$ 3,742,798.00 $ 3,742,798.00 $

1,910,000.00

1,910,000.00

20,000,000.00 20,000,000.00

1,651,778.00

1,651,778.00

983,694.00

983,694.00

3,990,632.00

3,990,632.00

3,200,000.00

3,200,000.00

668,292.00 611,526.00

668,292.00 611,526.00

0.00 $

3,742,798.00 1 ,910,000.00 20,000,000.00 1,651,778.00
983,694.00 3,990,632.00 3,200,000.00

668,292.00 611,526.00

306,234.00 362,898.00 362,898.00 695,000.00
50,000.00 196,057.00 362,908.00 240,942.00 362,908.00 240,944.00 424,496.00 306,440.00 258,940.00 306,234.00 424,496.00

306,:234.00 362,898.00 362,898.00 695,000.00
5o,oop.oo 196,057.00 362,908.00 240,942.00 362,908.00 240,944.00 424,496.00 306,440.00 258,940.00 306,234.00 424,496.00

208,058.00 148,514.00 148,514.00 148,514.00 285,902.00 208,058.00 118,742.00 585,000.00
50,000.00 183,165.00 208,058.00 414,270.00 208,056.00 285,904.00 208,058.00 148,514.00 118,744.00

208,058.00 148,514.00 148,514.00 148,514.00 285,902.00 208,058.00
118~742.00
585,000.00 50,000.00 183,165.00
208,058.00 414,270.00 208,056.00 285,904.00 208,058.00 148,514.00 118,744.00

78,036.00

78,036.00

$ 45.414,222.00 $ 45,414,222.00 $

306,234.00 362,898.00 362,898.00 695,000.00
50,000.00 196,057.00 362,908.00 240,942.00 362,908.00 240,944.00 424,496.00 306.440.00 258,940.00 306,234.00 424,496.00
208,058.00 148,514.00 148,514.00 148,514.00 285,902.00 208,058.00 118,742.00 585,000.00 50,000.00 183,165.00 208,058.00 414,270.00 208,056.00 285,904.00 208,058.00 148,514.00 118,744.00
78,036.00
0.00 $ 45,414,222.00

-53-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) CHANGES IN INVESTMENT IN PLANT YEAR ENDED JUNE30. 2001

Land Equipment Library Books and Collections Construction in Progress
SUMMARY OF INVESTMENT Administrative Central Office Capital Leases

BALANCE JULY 1, 2000

CURRENT FUNDS UNRESTRICTED RESTRICTED

$

2,501,877.00

25,902,955.40 $

4,644,017.04 $ 989,660.00

31,384.30

16818971247.42

$ 197,333,464.12 $

4,644,017.04 $ 989,660.00

$ 195,573,796.35 $ 11759,667.77

4,644,017.04 $ 989,660.00

$ 197,333,464.12 $

4,644 017.04 $ 989,660.00

See notes to the financial statements.

-54-

SCHEDULE "10"

ADDITIONS
PLANT FUNDS UNEXPENDED

CAPITAL LEASES

OFFICE OF PUBLIC LIBRARY
SERVICES

DEDUCTIONS DISPOSALS/ DELETIONS/ ADJUSTMENTS

BALANCE JUNE 30, 2001

$

2,501,877.00

$ 3,452,672.24 $

3,510,197.48 $ 8,256,666.54

30,242,835.62

31,384.30

$

212,767.50

32,863,966.65

136,246,048.27

$

212,767.50 $. 3,452,672.24 $

3,510,197.48 $ . 41,120,633.19 $ 169,022,145.19

$

212,767.50

$

_ _ _ _ __;. $ 3,452,672.24

3,510,197.48 $ 39,319,038.20 $ . 165,611,400.17

1,801,594.99

3,410,745.02

$

212,767.50 $ 3,452,672.24 $

3,510,197.48 $ 41,120,633.19 $ 169,022,145.19

-55-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNITl SCHEDULE OF FUND BALANCES CURRENTFUNDSANDPLANTFUNDS JUNE 30. 2001

NET INVESTMENT IN PLANT Investment in Plant Facilities
RESTRICTED Designated for Subsequent Years' Expenditures
UNRESTRICTED Designated For Capital Outlay- Albany State University Flood Recovery Project For Capital Outlay - Savannah Sta~e University Fire Recovery Project For Employee Health Benefits Plan For Encumbrance For Office of Public Library Services PINES Project For Property Reserve Surplus Regular Lottery for Education

"A" RESIDENT INSTRUCTION

CURRENT FUNDS

UNRESTRICTED

"8"

REGENTS CENTRAL

OFFICE AND

"D"

OTHER ORGANIZED LOTTERY FOR

ACTIVITIES

EDUCATION

$ 28,350,341.00

$

758,265.03

208,606.95 $ $ 28,558,947.95 $

482,411.35
482 411.35 $

0.00 758,265.03

$ 28,558,947.95 $

482 411.35 $ =====7=58=,2=6=5=.0=3

See notes to the financial statements.

-56-

'

SCHEDULE "11"

EMPLOYEE HEALTH BENEFITS PLAN

RESTRICTED

PLANT FUNDS

UNEXPENDED

INVESTMENT

REGULAR

IN PLANT

TOTAL

$ 165,611,400.17 $ 165,611,400.17

$ 5,053,991.59

$ 5,053,991.59

$ -2,103,363.15

$ 2A74,895.o8 5,273.30
2,540,366.08

$ -2,103,363.15

$ 5,020,534.46

$ 2,474,895.08
5,273.30 -2,103,363.15 28,350,341.00
758,265.03 2,540,366.08
~
691,018.30 0.00
$ 32,716,795.64

$ -2,103,363.15 $ 5,053,991.59 $ 5,020,534.46$ 165,611,400.17 $ 203,382,187.40

-57-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
SCHEDULE OF ALLOTMENTS TO UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA "A" RESIDENT INSTRUCTION YEAR ENDED JUNE 30. 2001

RESEARCH UNIVERSITIES
Georgia Institute of Technology Georgia State University Medical College of Georgia University of Georgia
REGIONAL UNIVERSITIES
Georgia l)outhern University Valdosta State University
STATE UNIVERSITIES/COLLEGES
Albany State University Armstrong Atlantic State University Augusta State University Clayton College and State University Columbus State University Fort Valley State University Georgia College and State University Georgia Southwestern State University Kennesaw State University North Georgia College and State University Savannah State University Southern Polytechnic State University State University of West Georgia
ASSOCIATE DEGREE COLLEGES
Abraham Baldwin Agricultural College Atlanta Metropolitan College Bainbridge College Coastal Georgia Community College Dalton State College Darton College East Georgia College Floyd College . Gainesville College Georgia Perimeter College Gordon College Macon State College Middle Georgia College South Georgia College Waycross College
OTHER
Skidaway Institute of Oceanography
See notes to the financial statements.

REGULAR

GOVERNOR'S EMERGENCY
FUNDS

CAPITAL OUTLAY

$ 157,030,191.00 161 ,938,499.00 105,942,694.00 331 '1 06,325.00 $

45,000.00 $ 10,000,000.00

72,881,399.00 45,938,721 .00

25,000.00

19,631 ,582.00 24,712,148.00 24,579,410.00 18,380,774.00 26,736,906.00 20,228,975.00 27,996,144.00 13,969,830.00 52,411 ,211 .00 19,006,419.00 18,666,149.00 20,963,725.00 39,935,553.00

5,000.00

12,959,241.00 8,290,829.00 4,695,224.00 7,426,003.00 10,685,149.00 10,813,936.00 4,095,107.00 11 ,464,286.00 11,106,134.00 46,952,994.00 9,094,344.00 13,965,724.00 10,694,488.00 6,117,861.00 ~.921 ,071.00

25,000.00 20,000.00

5,000.00

250,000.00

2141292.00

$ 1,374,553,338.00 $

125,000.00 $ 10,250,000.00

-58-

SCHEDULE "12"

SPECIAL FUNDING INITIATIVE

OFFICE OF. MINORITY BUSINESS ENTERPRISE

STUDENT EDUCATION ENRICHMENT PROGRAM

FORESTRY RESEARCH

RESEARCH CONSORTIUM

TOTAL

$ 13,277,189.00 2,290,142.00 $ 1,927,673.00 3,536,508.00

100,000.00 $
532,747.00

370,842.00 $

$ 1,190,987.00

12,851 ,420.00 $ 10,124,477.00
1,003,330.00 6,650,986.00

183,158,800.00 174,453,118.00 109,244,539.00 353,062,553.00

1 ,455,853.00 674,982.00

74,362,252.00 46,613,703.00

986,551.00 509,797.00 244,690.00 471,748.00 279,272.00 3,517,824.00 1,095,635.00 765,615.00 864,093.00 1,227,160.00 853,694.00 1,277.793.00 1,360,801.00

120,000.00 200,000.00

320,353.00 .
151,878.00 30,000.00

20,738,133.00 25,542,298.00 25,024,100.00 18,852,522.00 27,016,178.00 23,746,799.00 29,091,779.00 14,735,445.00 53,427,182.00 20,233,579.00 19,519,843.00 22,271,518.00 41,301,354.00

172,970.00 158,550.00 133,250.00 195,530.00 137,803.00 570,068.00 . 1,227,320.00 310,869.00 667,407.00 456,690.00 100,866.00 1,022,248.89 559,597.00 137,288.00 131,052.00

200,000.00

14,000.00

13,157,211.00 8,649,379.00 4,828,474.00 7,621,533.00
10,856,952.00 11,384,004.00
5,322,427.00 11,775,155.00 11,773,541.00 47,414,684.00
9,195,210.00 14,987,972.89 11,504,085.00
6,255,149.00 4,052,123.00

50,362.00

500,000.00

764 654.00

$ 42,648,890.89 $ 1,152,747.00 $

370,842.00 $ 1,190,987.00 $ 31,646,444.00 $ 1,461.938,248.89

-59-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA

SCHEDULE "13"

ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT!

SCHEDULE OF ALLOTMENTS TO UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA

"B" REGENTS CENTRAL OFFICE AND OTHER ORGANIZED ACTIVITIES

YEAR ENDED JUNE 30. 2001

RESEARCH UNIVERSITIES
Georgia Institute of Technology Education Extension Services Advanced Technology Development Center State Data Center Student Information System' Georgia Tech Research Institute Agricultural Research Center for Rehabilitation Technology
Medical College of Georgia Medical College of Georgia Hospital and Clinics
University of Georgia Agricultural Experiment Station Athens and Tifton Veterinary Laboratories Cooperative Extension Service Marine Institute Marine Resources Extension Center Veterinary Medicine Experiment Station Agricultural Research Veterinary Medicine Teaching Hospital

$

9,530,323.00

5,099,617.00

30,000,000.00

3,316,276.00

1,679,957.00

5,252,262.00

35,961,155.00

46,350,255.00 89,811.00
38,009,168.00 1,110,858.00 1,646,559.00 2,511,450.00 1,057,775.00 576,097.00

Skidaway Institute of Oceanography

1,853,484.00

$ 184,045,047.00

See notes to the financial statements.

- 61 -

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT)
SCHEDULE OF ALLOTMENTS TO UNITS OF THE UNIVERSITY SYSTEM OF GEORGIA "D'~ LOTTERY FOR EDUCATION YEAR ENDED JUNE 30. 2001

RESEARCH UNIVERSITIES
Georgia Institute of Technology Georgia State University Medical College of Georgia University of Georgia
REGIONAL UNIVERSITIES
Georgia Southern University Valdosta State University
STATE UNIVERSITIES/COLLEGES
Albany State University Armstrong AUantic State University Augusta State University Clay1on College and State University Columbus State University Fort Valley State University Georgia College and State University Georgia Southwestern State University Kennesaw State University North Georgia College and State University Savannah State University Southern Poly1echnic State University State University of West Georgia
ASSOCIATE DEGREE COLLEGES
Abraham Baldwin Agricultural College Atlanta Metropolitan College Bainbridge College Coastal Georgia Community College . Dalton State College Darton College .East Georgia College Floyd College Gainesville College Georgia Perimeter College Gordon College Macon State College Middle Georgia College South Georgia College Waycross College
OTHER
Skidaway Institute of Oceanography
See notes to the financial statements.

EQUIPMENT, TECHNOLOGY
AND CONSTRUCTION
TRUST FUND

SPECIAL FUNDING INITIATIVE

EDUCATIONAL TECHNOLOGY
CENTER

$

3,577,798.00 $ 165,000.00 $ 1,910,000.00

1,386,778.00

265,000.00

818,694.00

165,000.00

3,680,632.00

310,000.00

503,292.00 446,526.00

165,000.00 165,000.00

186,234.00 242,898.00 242,898.00 200,000.00 242,908.00 120,942.00 242,908.00 120,944.00 304,496.00 186,440.00 138,940.00 186,234.00 304,496.00

120,000.00 120,000.00 120,000.00 495,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00. 120,000.00

133,058.00 73,514.00 73,514.00 73,514.00 165,902.00 133,058.00
4~.742.00
135,000.00 133,058.00 294,270.00 133,056.00 165,904.00 133,058.00
73,514.00 43,744.00

75,000.00 75,000.00 75,000.00 75,000.00 ' 120,000;00 75,000.00 75,000.00 450,000.00 75,000.00 120,000.00 75,000.00 120,000.00 75,000.00 75,000.00 75,000.00

58,036.00

20,000.00

$

15,000,000.00 $ 4,825,000.00 $ 1,910,000.00

-62-

SCHEDULE "14"

STUDENT INFORMATION
SYSTEM

TECHNOLOGY EQUIPMENT INITIATIVE

INTERNET CONNECTION
INITIATIVE

TOTAL

$ 20,000,000.00 $ 3,200,000.00

$

25,652,798.00

1,651 ,778.00

983,694.00

7,190,632.00

668,292.00 611,526.00

196,057.00 $

50,000.00

306,234.00 362,898.00 362,898.00 941,057.00 362,908.00 240,942.00 362,908.00 240,944.00 424,496.00 306,440.00 258,940.00 306,234.00 424,496.00

183,165.00

50,000.00

208,058.00 148,514.00 148,514.00 148,514.00 285,902.00 208,058.00 118,742.00 818,165.00 208,058.00 414,270.00 208,056.00 285,904.00 208,058.00 148,514.00 118,744.00

78 036.00

$ 20,000,000.00 $ 3,579,222.00 $

100,000.00 $

45,414,222.00

-63-

BOARD OF R!;G!;NTS OF TH!; !.JNIV!;RSITY l:lYT!;M OF GEQRGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT !.JNIT}
ANALYSIS OF PRIOR YEAR' SURPLUS FUNDS CQLLE!:;T5Q FROM INSTIT!.JTIONS AND REDISTRIBUT!;D TQ INTIT!.JTIQN WITH DEFICITS YEAR ENDSD JUNE 30 2001

TOTAL COLLECTED REDISTRIBUTED

CURRENT

RESIDENT INSTRUCTION

REGULAR

LOTIERY FOR EDUCATION

COLLECTED REDISTRIBUTED COLLECTED REDISTRIBUTED

R!;SEARCH UNIVERITIES
Georgia Institute of Technology Georgia State University Medical College of Georgia University of Georgia

$ 239,704.19 $

239,704.19

239,704.19

$

0.00

54,459.02

$ 19,271.48

s 16,109.47

229,782.38

212,841.07

499,160.99

364,583.49

38,516.78

BEGIONAb !.JNIVERITI!;S
Georgia Southern University Valdosta State University

150,210.52 3,939.18

146,414.00 3,390.20

123.08 548.98

STATE !.JNIVERSITIES/COLLEGE
Albany State University Armstrong Atlantic State University Augusta State University Clayton College and State University Columbus State University Fort Valley State University Georgia College and State University Georgia Southwestern State University Kennesaw State University North Georgia College and State University Savannah State University Southern Polytechnic State University State University of West Georgia

235,591.64 7,835.82. 34,014.66
110,311.73 16,503.56 55,479.04 23,161.37 5,436.43 146,728.81 569.93 109,638.30 141,071.31 43,403.14

69,119.38

226,895.73 7,835.82 31,204.00 93,803.30 15,978.88 54,941.05 19;205.57 5,357.71
111,757.98 161.55
105,008.41 141,071.31
39,614.04

4,283.34 8.00
3,359.00 58.02
33,170.79 2,665.20
0.70

ASSOCIAT5 DEGREE CObbsGsS
Abraham Baldwin Agricultural College Atlanta Metropolitan College Bainbridge College Coastal Georgia Community College Dalton State College Darton College East Georgia College Floyd College Gainesville College Georgia Perimeter College Gordon College Macon State College Middle Georgia College South Georgia College Waycross College

787.88 81,929.46
7,724.24 12,273.81
442.44 16,031.39
760.11 11,607.67
1,313.50 58,851.18 2,372,703.83
8,466.31 2,198.20 35,776.44 1,557.89

12.266.76 2,353,037.28
93,359.46

783.00 80,634.96
6,159.87 12,273.81
392.44 15,185.40
644.08 11,607.67
1,313.50 58,523.72 2,372,703.83
7,042.38
1,554.47

0.50

1.03

93,359.46

147.19 1,575.06

QII::IB Skidaway Institute of Oceanography

6,116.53

$ 4, 725,542.90 $ 2,767,487.07 $ 4,168,154.72 $

333,063.65 $ 100,567.14 $

0.00

Current Funds - Unrestricted Surplus - Exhibit "F"

1,958,055.83 $ 4,725,542.90 $ =,;4;;,,7;,:2~5~,5:;;,42;;;;;90;,

See notes to the financial statements.

-64-

SCHEDULE "15"

FUNDS

OTHER ORGANIZED ACTIVITIES

REGULAR

LOTTERY FOR EDUCATION

COLLECTED REDISTRIBUTED COLLECTED REDISTRIBUTED

. PLANT FUNDS

REGULAR

LOTTERY FOR EDUCATION

COLLECTED REDiSTRIBUTED COLLECTED REDISTRIBUTED

$ 239,704.19 $
642.70 75,657.69

0.00

$

$

1,700.45

0.00 19,076.07 16,096.61 16,502.36

$

0.00

3,673.44

4,412.57
2.602.66 13,149.43
128.78 537.99 3,955.80
78.72 1,800.04
408.36 1,964.69
s
3,788.40

$ 69,119.36

337.88

4.86 1,294.00 1,564.37
50.00 645.99 115.00
327.46
1,276.74 623.14
35,776.44 3.42

12,266.76 2.353,037 2 8

5,916.53

200.00

$ 322.321.31 $

0.00 $

1,700.45. $

s s 0.00 $ 132.461.40

2.434,423.42

337.66 $

0.00

-65-

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) RECONCILIATION OF SALARIES AND TRAVEL YEAR ENDED JUNE 30. 2001

SCHEDULE "16"

Totals Per Annual Supplement
Adjustments Shared Services on Jointly Staffed Personnel Georgia Perimeter College Neill, Gretchen

SALARIES $ 14,885,226.31 $

TRAVEL 804,351.69

-81,098.60
1
$ 14,804,127.71 $====8=04=,3=5=1=.6=9

See notes to the financial statements.

-66-

SECTIONll AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS

BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) AUDITEE'S RESPONSE
SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30,2001

PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS

FINDING CONTROL NUMBER AND STATUS

FS-472-00-01 FS-472-00-02

Partially-Resolved- See Corrective Action/Responses Previously Reported Corrective Action Implemented

CORRECTIVE ACTION/RESPONSES

EXPENDITURES/LIABILITIES/DISBURSEMENTS Voucher Sample Exceptions and Inadequate Accounting Procedures Finding Control Number: FS-472-00-01

New forms and procedures were implemented following the flUdit report and during the last six months of fiscal year 2001 to address finding number FS-472:..00-01. Those procedures resulted in a reduction in exceptions, but room for improvement still exists to completely correct the situation.

We will continue to require adherence to the new procedures as well as constantly review our processes to determine problem areas and methods to manage and resolve those situations.

SECTION ill CURRENT YEAR FINDINGS AND QUESTIONED COSTS

BOARD OF REGENTS OF THE UNNERSITY SYSTEM OF GEORGIA ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 2001
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS
EXPENDITURES/LIABILITIES/DISBURSEMENTS Voucher Sample Exceptions. Finding Control Number: 472-01-01
An examination of 100 randomly selected expenditure transactions was performed to test the validity and accuracy of the Administrative Central Office's expenditures. The results of our examination revealed the following deficiencies:
(1) Ten (10) expenditure transactions were paid from a copy and/or fax copy of an invoice rather than an original invoice.
(2) Three (3) expenditure transactions contained no evidence of receiving reports.
(3) Eleven (11) expenditure transactions had either no indication of administrative approval or contained inappropriate authorization. Also, two (2) expenditure transactions were approved by persons whose "Approval Authorization" was obtained after the expenditures were incurred.
(4) One (1) expenditure requisition for $3,144.00 was split into two voucher packages of $1,572.00 each in an apparent'attempt to circumvent the bidding process. Additional testing for this vendor revealed a second'instance where purchase orders with an aggregate value of$6,136.12 were split into three vouchers and paid within a three-day consecutive period. Both of these circumstances violate the Board of Regents' purchasing policy, which requires competitive bids for purchases exceeding $2,500.00, and explicitly prohibits splitting of purchase orders.
(5) Three (3) travel expenditures were paid from a memorandum and the supporting documentation for these travel reimbirrsements could not be located. A fourth travel expenditure was reimbursed without odometer readings to support mileage.
(6) Two (2) expenditure transactions contained nominal monetary errors.
a These conditions were result of management's failure to adequately monitor and implement
procedures to ensure that all expenditure transactions are reviewed for accuracy, proper documentation and proper approval prior to payment and recording in the financial statements. The Administrative Central Office should implement and monitor appropriate procedures to strengthen internal accounting controls over the expenditure process.