Review report, state of Georgia, Gordon College, Barnesville, Georgia, year ended June 30, 1995

GA
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STATE OF GEORGIA DEPARTMENT OF AUDITS
254 WASHINGTON STREET ATLANTA, GEORGIA 30334

REVIEW REPORT STATE OF GEORGIA GORDON COLLEGE BARNESVILLE,GEORGIA YEAR ENDED JUNE 30, 1995

GORDON COLLEGE - TABLE OF CONTENTS -

INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION

EXHIBITS

FINANCIAL STATEMENTS

A COMBINED BALANCE SHEET

ALL FUND GROUPS

2

B COMBINED STATEMENT OF CHANGES IN FUND BALANCES

ALL FUND GROUPS

4

C STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES,

AND OTHER CHANGES

6

D NOTES TO THE FINANCIAL STATEMENTS

7

SUPPLEMENTARY INFORMATION

E COMBINING BALANCE SHEET

CURRENT FUNDS - UNRESTRICTED

20

F COMBINING STATEMENT OF CHANGES IN FUND BALANCES

CURRENT FUNDS - UNRESTRICTED

21

G COMBINING STATEMENT OF CURRENT FUNDS REVENUES, EXPENDITURES,

AND OTHER CHANGES

UNRESTRICTED

23

SCHEDULES

SCHEDULES OF REVENUES AND EXPENDITURES COMPARED TO BUDGET

I

RESIDENT INSTRUCTION

24

2

LOTTERY FOR EDUCATION

26

3 SCHEDULE OF OPERATIONS

LOAN FUNDS

27

4 SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

AGENCY FUNDS

28

5 CASH AND CASH EQUIVALENTS

29

6 ACCOUNTS RECEIVABLE

31

7 CHANGES IN INVESTMENT IN PLANT

32

8 SCHEDULE OF FUND BALANCES

CURRENT FUNDS AND PLANT FUNDS

34

9 SCHEDULE OF REVENUES

CURRENT FUNDS

36

SCHEDULES OF EXPENDITURES BY OBJECT

10

CURRENT FUNDS

38

11

PLANT FUNDS

40

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

DEPARTMENT OF AUDITS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
September 8, 1995

Honorable Zell Miller, Governor Members ofthe General Assembly of Georgia Members ofthe Board ofRegents ofthe University System of Georgia
and Honorable Jerry M. Williamson, President Gordon College
INDEPENDENT ACCOUNTANT'S COMBINED REPORT ON REVIEW OF FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have reviewed the accompanying financial statements (Exhibits A through D) of Gordon College as of and for the year ended June 30, 1995, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All information included in these financial statements is the representation of the management of Gordon College.
A review consists principally of inquiries of College personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.
Based on our review, with the exception of the matters described in the fourth and fifth paragraphs, we are not aware ofany material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles.
As described in Note 1 to the financial statements, Georgia Law and State budgetary policy require the College to prepare its financial statements on a basis which is not consistent with generally accepted accounting principles with respect to the recording of encumbrances as expenditures and liabilities. To conform with generally accepted accounting principles, encumbrances should be recorded as a reservation of fund balance. The effects on the financial statements of this departure from generally accepted accounting principles were not reasonably determinable, but are believed to be material.

95ARL-67

As discussed in Note 1 to the financial statements, the College did not report the liability and related expenditure for compensated absences in the current funds as required by generally accepted accounting principles. Ifcompensated absences were reported, liabilities would be increased and fund balance would be decreased by $146,936.14 as ofJune 30, 1995, and the net change in fund balance for the year ended June 30, 1995, would be decreased by $16,384.22.
Our review was made for the purpose ofexpressing limited assurance that there are no material modifications that should be made to the financial statements in order for them to be in conformity with generally accepted accounting principles. The accompanying supplementary information (Exhibits E through G and Schedules 1 through 11) is presented only for supplementary analysis purposes. Such information has been subjected to the inquiries and analytical procedures applied in the review of the financial statements, and except for the effects of the matters discussed in the fourth and fifth paragraphs, we are not aware of any material modifications which should be made thereto.
Respectfully submitted,

CLV:cm 95ARL-67

Claude L. Vickers State Auditor

FINANCIAL STATEMENTS - 1-

GORDON COLLEGE COMBINED BALANCE SHEET
ALL FUND GROUPS JUNE 30 1995

ASSETS
Cash and Cash Equivalents Accounts Receivable Inventories Prepaid Items Due from other Fund Groups Investment in Plant

CURRENT FUNDS

UNRESTRICTED

RESTRICTED

LOAN FUNDS

$

670,386.98 $

160,084.16

192,582.51

1,940.31

253,442.32

0.00 $

1,632.47 11,151.31

Total Assets

$

1,278,436.28 $

0.00 $

12,783.78

LIABILITIES AND FUND BALANCES

Liabilities Accounts Payable Student Deposits Deferred Revenue Tuition and Fees Deposits Held in Custody for others Due to other Fund Groups

$

412,272.12

45,400.00

206,396.00

Total Liabilities

$

664,068.12

Fund Balances U. S. Government Grants Refundable Net Investment in Plant Restricted Unrestricted

$

$

614 368.16

Total Fund Balances

$

614 368.16 $

$ 0.00
0.00 $

12,783.78 12 783.78

Total Liabilities and Fund Balances

$

1,278,436.28 $

0.00 $

12 783.78

See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement.
- 2-

EXHIBIT"A"

UNEXPENDED

PLANT FUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

AGENCY FUNDS

TOTAL (Memorandum
Only)

$

4,087.00 $

269,982.21

$

14,823.94 $

960,912.60

47,593.75

218,829.22

192,582.51

1,940.31

253,442.32

$ 21,727,020.52

21,727,020.52

$

4,087.00 $

269,982.21 $ 21,727,020.52 $

62,417.69 $ 23,354,727.48

$

141,750.00 $

11,640.00

$

253,442.32

$

395,192.32 $

11,640.00

$

$

-391, 105.32 $

$

-391, 105.32 $

$ 258,342.21 258,342.21 $

21,727,020.52 21,727,020.52

$

4,087.00 $

269,982.21 $ 21,727,020.52 $

45,598.46 $ 16,819.23 62,417.69 $

611,260.58 45,400.00
206,396.00 16,819.23
253,442.32
1,133,318.13

$

12,783.78

21,727,020.52

0.00

481,605.05

$ 22,221,409.35

62,417.69 $ 23,354,727.48

-3-

GORDON COLLEGE COMBINED STATEMENT QF CHANGES IN FUNP BALANCES
ALL FUND GROUPS
YEAR ENDFD JUNE 30 1995

REVENUES ANP OTHER APPmONS
u . . . - CUrr8nt Fund ROYellUM
Stale Approprialiono Regular
Fedefal Granto and ContradB State GranlB and ContradB Private Gifts, Granto, and Contracts lnveotment Income
other I - on Loa,- Receivable Adjuotrnenta
Prior Years' Expendilureo/AccounlB Payable Prior Yun' Checlca Voided Funded ~ the Board of R_,,i. of the Unlver8ily Symem of Georgia
Prior Yeafa Un-.! Fund Balance (Deficit) Expended for Planl Facllitieo
CUrr8nt Funds Plant Funds
Unexpended Renewals and Replacements Georgia Stale Financing and lnveotmenl Commission
Total Revenues and Other Add~ions
EXPENPm.JBES ANP OTHER PEPUCTIONS
Educational and General Expenditures Auxiliary Enlerprioes Expenditures Indirect COIis Recovered
Remillancea to the Board of Regenia of the
Univtnily Symem of Georgia Prior Yeafa U n - Fund Balance (SUtplua)
Adjuairrau Prior Years' R...,,,._,,AccounlB Receivable
Loan cancellations and Write-Offs Expended for Planl Facilities
capitalized Noncapilalized Oiapooala/Delelions/Adjuatments
Total Expenditures and Other Deductions
TRANSFERS BEJWEEN FUNDS
Nonmandalory ROMWala and Replacements capital Projects
Total T,a,-fen, Between Funds
Net lncrease/(Decrease) for the Year
FUNQ BAI ANCES JUbY 1 1994

CURRENT FUNDS

UNRESTRICTED

RESTRICTED

8,391,078.37

1,011,295.70 551,612.12

$
1,343.00 100.00

$

8,392,521.37 $

1,562,907.82 $

$

7,586,811.50 $

1,587,717.90

414,23224

3,689.92

439,050.52
313.88 $

$

8,440,408.14 $

1,591,407.82 $

$

-62,138.66

-407279.43

$

-469,418.09

$

-517,304.86 $

1, 131,673.02

-28,500.00 $ 28,500.00

FUND BAI ANCES JUNE 30 1995

$

See Independent Accountant' Combined Report on Review of Financial Statements and Supplementary Information.

Toe notes to the financial atatements are an integral part of this ataternent.

. 4.

614,388.16 $

0.00 $

LOAN FUNDS
13.30
13.30
0.08 0.08
13.22 12,770.56 12,783.78

EXHIBIT"B"

UNEXPENDED

PLANT FUNDS RENEWALS AND REPLACEMENTS

INVESTMENT IN PLANT

TOTAL (Memorandum
"!:ii

$

$

16,616.08

261.75

434,494.29

451372.12 $

89,411.00 $

$ 4,874.25

8,391,078.37
89,411.00 1,011,295.70
551,612.12 4,87425
16,616.08 13.30
1,604.75 100.00

89,411.00 $

517,603.14
812,653.50 106,260.31 2,895,491.75
4 336,882.95 $

434,494.29
517,603.14
812,653.50 106,260.31 2,895491.75
14 833,108.56

$

1,769.60

812,653.50 $ 2,609.08

106,260.31 $

$

817,032.18 $

106,260.31 $

9,174,529.40 414,232.24 3,689.92

2,873.00 2,873.00 $

440,820.12
313.88 0.08
918,913.81 2,609.08 2,873.00
10,957,981.53

$

$

407279.43

$

407,279.43 $

$

41,619.37 $

-432, 724.69

-391,105.32 $

62,138.66
62,138.66 45,289.35 $ 213,052.86

$
$ 4,334,009.95 $ 17,393,010.57

0.00 0.00
0.00 3,875,127.03
18,346,282.32

258,342.21 $ 21,727,020.52 $ 22,221,409.35

-5 -

GORDON COLLEGE STATEMENT OF CURRENT FUNDS REVENUES EXPENDITURES
AND OTHER CHANGES YEAR ENDED JUNE 30 1995

EXHIBIT"C"

REVENUES
State Appropriations Tuition and Fees Federal Grants and Contracts State Grants and Contracts Sales and Services of Educational Activities Sales and Services of Auxiliary Enterprises Other Sources
Total Revenues
EXPENDITURES
Educational and General Instruction Academic Support Student Services Institutional Support Operation and Maintenance of Plant Scholarships and Fellowships
Auxiliary Enterprises Student Housing Food Services Stores and Shops Intercollegiate Athletics Other Service Units
Total Expenditures
OTHER TRANSFERS AND ADDITIONS/(DEDUCTIONS)
Excess of Restricted Receipts over Transfers to Revenues Transfers for Renewals and Replacements Transfers for Capital Projects Prior Period Adjustments (Net) Remittances to the Board of Regents of the
University System of Georgia Prior Year's Unrestricted Fund Balance (Surplus)
Total Other Transfers and Additions/(Deductions)

UNRESTRICTED

RESTRICTED

TOTAL (Memorandum
Onll!

$

5,500,925.00

$

5,500,925.00

2,202,989.00

2,202,989.00

3,689.92 $

1,007,605.78

1,011,295.70

580,112.12

580,112.12

37,284.85

37,284.85

592,943.49

592,943.49

53,246.11

53,246.11

8,391,078.37 $

1,587,717.90 $

9,978,796.27

$

4,030,162.47

634,621.39

704,599.59

968,753.46

1,218,920.59

29,754.00

$
26,730.01 1,560,987.89

4,030, 162.47 634,621.39 704,599.59 995,483.47
1,218,920.59 1,590,741.89

230,417.16 35,528.05 64,435.45 83,470.65 380.93

230,417.16 35,528.05 64,435.45 83,470.65 380.93

8,001,043.74 $

1,587,717.90 $

9,588,761.64

$ -62,138.66 -407,279.43
1,129.12
-439,050.52
-907,339.49 $

-28,500.00 $ -28,500.00 $

-28,500.00 -62,138.66 -407,279.43
1,129.12
-439,050.52
-935,839.49

Net lncrease/(Decrease) in Fund Balances

-517,304.86 $

-28,500.00 $

-545,804.86

See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement. -6-

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "D"

NOTE I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY Gordon College is one ofthirty-four (34) State supported member institutions of higher education in Georgia which comprise the University System of Georgia, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of Gordon College as a separate reporting entity.
The Board ofRegents has constitutional authority to govern, control and manage the University System of Georgia. This authority includes but is not limited to the power to designate management, the ability to significantly influence operations, the authority to control institutions' budgets, the power to determine allotments of State funds to member institutions and the authority to prescribe accounting systems and administrative policies for member institutions. Gordon College does not have authority to retain unexpended State funds (surplus) for any given fiscal year. Accordingly, Gordon College is considered an organizational unit of the Board of Regents of the University System of Georgia reporting entity for financial reporting purposes because of the significance of its legal, operational, and financial relationships with the Board of Regents as defined in Section 2100 of the Governmental Accounting Standards Board Codification of Governmental Accounting and Financial Reporting Standards.
FUND ACCOUNTING In order to ensure observance oflimitations and restrictions placed on the use of the resources available to the College, the accounts ofthe College are maintained in accordance with the principles 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; however, in the accompanying financial statements, funds that have similar characteristics have been combined into fund groups. Accordingly, all financial transactions have been recorded and reported by fund group.
Within each fund group, the College's fund balance allocations and designations represent those portions of the fund balances that are reserved, restricted and/or designated for 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 College retains full control to use for purposes of performing the primary functions of the College, i.e., instruction, auxiliary enterprises, and student activities.
RESTRICTED - the fund used to record externally restricted funds which may only be utilized in accordance with the purposes established by their source. Restricted current funds are recorded as revenues and expenditures when expended for current operating purposes.

- 7-

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "D"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FUND ACCOUNTING
LOAN FUNDS
The fund used to account for resources which have been made available for financial loans to students.
PLANTFUNDS
UNEXPENDED - the fund used to account for financial resources utilized to acquire or to construct physical properties for institutional purposes.
RENEWALS AND REPLACEMENTS - the fund used to account for resources set aside for the renewal and replacement ofinstitutional properties.
INVESTMENT IN PLANT - the fund which shows the total amounts representing the book value ofall physical properties owned by the College. Net Investment in Plant is an equity account showing the total book value ofphysical properties belonging to the College less the amount ofany indebtedness to others.
AGENCY FUNDS
The fund used to account for resources held by the College as custodian or fiscal agent for individual students, faculty, staff members, and organizations.
BASIS OF ACCOUNTING Except as otherwise disclosed in these notes, the financial statements are prepared on the modified accrual basis ofaccounting, which is materially the same as the accrual basis ofaccounting applicable to colleges and universities prescribed in the American Institute ofCertified Public Accountants' audit guide reporting model. The modified accrual basis ofaccounting is defined as that method of accounting in which expenditures, other than accrued interest on general long-term debt, are recorded at the time liabilities are incurred and revenues are recorded when available and measurable to finance expenditures ofthe fiscal period.
Contractual obligations for services which have not been performed and for goods which have not been delivered at the end of the 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 ofcontracts for goods and services. The recognition of encumbrances as expenditures and liabilities is in conformity with accounting practices prescribed or permitted by statutes and regulations ofthe State ofGeorgia, but is not consistent with generally accepted accounting principles, which provide for the recording ofencumbrances as a reservation offund balance. Further, revenue recognition for expenditure-driven grants should be based upon expenditures determined in accordance with generally accepted accounting principles.

- 8-

GORDON COLLEGE NOTES TO THE FINANCIAL STATEl\1ENTS
JUNE 30 1995

EXHIBIT "D"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING Compensated absences represent obligations of the College relating to employees' rights to receive compensation for future absences based upon services already rendered. This obligation relates only to vesting accumulated leave in which payment is probable and can be reasonably estimated. The compensated absences liability of$146,936.14 and the related current year expenditure of$16,384.22 have not been reported in the current funds as required by generally accepted accounting principles.
Prior period adjustments and certain other items are reported as additions to and deductions from fund balances of current funds in the accompanying financial statements. This presentation is in accordance with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, but differs from generally accepted accounting principles in that immaterial adjustments should be reported as current period revenues and expenditures. The effect of this departure is deemed to be immaterial to the fair presentation of the financial statements.
To the extent that Current Funds and Plant Funds are used to finance plant assets, the amounts so provided are accounted for as expenditures. The balances shown on the Combined Balance Sheet as Net Investment in Plant reflect the accumulated expenditures made for plant facilities through Current Funds and Plant Funds
and also include expenditures made for plant facilities expended by the Georgia State Financing and Investment
Commission on behalf of the College. Donated fixed assets are recorded at fair market value on the date donated. Disposals are deleted at recorded values. No depreciation has been provided on physical plant and equipment.
The Statement of Current Funds Revenues, Expenditures, and Other Changes is a statement of financial activities of current funds related to the current reporting period. It does not purport to present the results of operations or the net income or loss for the period as would a statement of income or a statement of revenues and expenses.
BUDGET The Board ofRegents of the University System of Georgia - Administrative Central Office receives State appropriation allotments for units ofthe University System of Georgia. The appropriated budget is adopted at the departmental level and represents appropriations provided by the Amended Appropriations Act of 19941995. The appropriated budget covers current funds and plant funds, except for Auxiliary Enterprises and Student Activities which are not subject to appropriation. The budget allocation and disbursement ofthese funds is made to the various organizational units by the Administrative Central Office. In addition, the organizational units receive Federal funds and other funds directly and include these funds in the budget filed with the Administrative Central Office.
A comparison ofanticipated funds available and budgeted expenditures by budget unit object class indicates that the following object classes were overspent by the amounts identified below:

- 9-

GORDON COLLEGE NOTES TO THE FINANCIAL STATE:MENTS
JUNE 30 1995

EXHIBIT "D"

NOTE I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET

Operating Expenses: Education, General and Departmental Services
Capital Outlay

$ 49611798 $ 832 lll 89

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 departmental level.

CASH AND CASH EQUIVALENTS Cash and Cash Equivalents consist of petty cash and demand deposits in authorized financial institutions.

ACCOUNTS RECEIVABLE Accounts receivable consist ofreimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available. No provision has been made for an allowance for doubtful accounts within the accompanying financial statements.

INVENTORIES Inventories ofconsumable supplies are recorded on the consumption method and are valued at cost based on the weighted average method.

Inventories ofgoods for resale are valued at cost based on the weighted average method.

MEMORANDUM ONLY - TOTAL COLUMNS The total columns on the financial statements are captioned "Memorandum Only" to indicate that these totals 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

STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds belonging to the State ofGeorgia cannot be placed in a deposit6ry 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:

(I) Bonds, bills, certificates ofindebtedness, notes, or other direct obligations of the United States or of the State of Georgia.

- 10 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHlBIT "D"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS
STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES (2) Bonds, bills, certificates ofindebtedness, notes, or other obligations of the counties or municipalities ofthe State of Georgia.
(3) Bonds ofany public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose.
(4) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia.
(5) Bonds, bills, certificates of indebtedness, notes, or other obligations ofa subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest and debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association.
(6) Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation.
As authorized in the Official Code of Georgia Annotated Section 50-17-53, the State Depository Board has adopted policies which allow agencies of the State of Georgia (which includes organizational units of the Board ofRegents of the University System of Georgia) the option of exempting demand deposits from the collateral requirements.
The treasurer ofthe Board ofRegents is responsible for all details relative to furnishing the required depository protection for all units of the University System of Georgia.
CATEGORIZATION OF DEPOSITS For purposes of analysis of custodial credit risk, cash deposits consist of all bank balances which include demand deposits and interest bearing accounts. The bank balances as ofJune 30, 1995, 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 market value) held by the College or by its agent in the College's name.
Category 2 - Amounts collateralized with securities (at market value) held by the pledging financial institution's trust department or agent in the College's name.
Category 3 - Amounts collateralized with securities (at market value) held by the pledging financial institution, or by its trust department or agent but not in the College's name, and amounts uncollateralized.
- 11 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATE:MENTS
JUNE 30 1995

EXHIBIT "D"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS

CATEGORIZATION OF DEPOSITS
Cmying Amount

Bank Balances

Risk Categories

Cash Deposits

s ~ s ~ s J68l262' S____J).JK! s ~

NOTE 3: INVEST:MENT IN PLANT

The following is a summary of Investment in Plant fixed assets as ofJune 30, 1995:

Land Buildings Improvements Other Than Buildings Equipment Library Books and Collections
Total Investment in Plant

$ 213,874.04 16,091,557.61
1,666,734.68 2,290,391.68 1464462.51
$2) 727 020 52

NOTE 4: RISK MANAGE:MENT

Gordon College is a participant in the Board ofRegents of the University System of Georgia Health Benefits Plan, which is a self-insurance program of health and dental benefits for employees and retirees of the University System of Georgia. The College and participating employees and retirees pay premiums to the Health Benefits Plan for this health insurance coverage. The Health Benefits Plan is included in the audit report ofthe Board ofRegents ofthe University System of Georgia - Administrative Central Office. All units ofthe University System of Georgia share the risk of loss for claims ofthe Health Benefits Plan. The Health Benefits Plan is considered a self-sustaining risk fund that provides health coverage for its members up to a maximum lifetime benefit of $1,000,000.00 per person and dental coverage up to an annual maximum of $1,000.00 per person. The Board of Regents has contracted with Blue Cross Blue Shield of Georgia to process claims in accordance with the Health Benefits Plan as established by the Board ofRegents.

The Department ofAdministrative Seivices (DOAS) has the responsibility for the State of Georgia of making and carrying out decisions that will minimize the adverse effects of accidental losses that involve State government assets. The State believes it is more economical to manage its risks internally and set aside assets for claim settlement. Accordingly, DOAS services claims for risk of loss to which the State is exposed, including general liability, property and casualty, workers' compensation, unemployment compensation, and Jaw enforcement officers' indemnification. Limited amounts ofcommercial insurance are purchased applicable to property, employee and automobile liability, fidelity and certain other risks. The College, as an organizational unit of the Board of Regents of the University System of Georgia, is part of the State of Georgia reporting entity, and as such, is covered by the State of Georgia risk management program administered by DOAS. Premiums for the risk management program are charged to the state agencies by DOAS to provide claims servicing and claims payment.

- 12 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "D"

NOTE 4: RISK MANAGEMENT
A self-insured program of professional liability for its employees was established by the Board ofRegents of the University System ofGeorgia under powers authoriz.ed by the Official Code of Georgia Annotated Section 45-9-1. The program insures the employees to the extent that they are not immune from liability against personal liability for damages arising out ofthe performance oftheir duties or in any way connected therewith. The program is administered by DOAS as a Self-Insurance Fund.
NOTE 5: DEFERRED COMPENSATION PLAN
The State ofGeorgia offers its employees a deferred compensation plan in accordance with Internal Revenue Code Section 457. The plan, available to employees ofthe State of Georgia and county health departments, permits such employees to defer a portion oftheir salary until future years. Participation in the plan is optional. Participants choose the option or options in which they wish to participate. The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. All amounts of compensation deferred under the plan, all property and rights purchased with those amounts, and all income attributable to those amounts, property, or rights are (until paid or made available to the employee or other beneficiary) solely the property and rights of the State of Georgia subject only to the claims of the State's general creditors. Participants' rights under the plan are equal to those of a general creditor of the State of Georgia in an amount equal to the fair market value of the deferred account for each participant. Financial information relative to the plan is presented in the financial report ofthe State Personnel Board - Merit System ofPersonnel Administration for the year ended June 30, 1995.
NOTE6: RETIREMENTPLANS
TEACHERS RETIREMENT SYSTEM OF GEORGIA
Plan Description Gordon College participates in the Teachers Retirement System of Georgia (TRS), a cost-sharing multipleemployer public employee retirement system (PERS) established by the General Assembly of Georgia for the purpose of providing retirement allowances and other benefits for teachers of the State of Georgia. The College's payroll for the year ended June 30, 1995, for employees covered by TRS was $2,713,018.99. The College's total payroll for all employees was $4,444,080.18.
Benefits TRS provides service retirement, disability retirement, and survivor's benefits for its members. A member is eligible for service retirement after the member (1) has attained the age of60 years and has at least ten years ofcreditable service, (2) has at least 30 years of creditable service, regardless of age, or (3) has attained the age of55 years and has at least 25 years of creditable service. For those members with 30 years of service or those age 60 with at least ten years of service, retirement benefits are equal to 2% of the average of the member's two consecutive highest paid years of service multiplied by the number of years of creditable service up to 40 years. Any member who has between 25 and 30 years of creditable service and is at least 55 years ofage shall receive a benefit which is reduced by the lessor of 1/12 of 7% for each month the member is below
- 13 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
ruNE 30 1995

EXHIBIT "D"

NOTE 6: RETIREMENT PLANS
TEACHERS RETIREMENT SYSTEM OF GEORGIA
Benefits age 60, or by 7"/o for each year or fraction thereofby which the member has less than 30 years of service: The nonnal retirement pension is payable monthly for life. Options are available for distribution ofthe member's monthly pension at a reduced rate to a designated beneficiary on the member's death.
Retirement benefits also include death and disability benefits whereby the disabled member or surviving spouse is entitled to receive annually an amount equal to the member's service retirement benefit or disability retirement, whichever is greater. The benefit is based on member's creditable service (minimum of 10 years of service) and compensation up to the date ofdeath or up to the time of disability.
Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contnbutions are refunded with interest.
Contributions Required and Contributions Made Employees of the College who are covered by TRS are required to pay 5% oftheir gross earnings to TRS. The College makes monthly employer contributions to TRS at rates adopted by the TRS Board ofTrustees as advised by their independent actuary. For fiscal year 1995, the employer contribution rate was 11.81% for covered employees. In addition, the College contributed 5.60% to the TRS on behalf of employees electing to participate in the Regents Retirement Plan. The interest rate assumption (rate of return on investments) was 7.50%.
Total contributions to the plan made during fiscal year 1995 amounted to $522,584.92, of which $386,933.34 was made by the College and $135,651.58 was made by employees. These contributions represented 14.26% (College) and 5% (employees) ofcovered payroll.
Funding Status and Progress Pension Benefit Obligation
The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No. 5 of the Governmental Accounting Standards Board (GASB) that is required to be used for reporting purposes. The standardized measurement is the actuarial present value ofcredited projected benefits. This pension valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date and is adjusted for the effects of projected salary increases and any step-rate benefits. A standardized measure of the pension benefit obligation was adopted by the GASB to enable readers ofthe PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among similar PERS.

- 14 -

GORDON COLLEGE NOTES TO TIIE FINANCIAL STATEMENTS
JUNE 30 1995

EXIIlBIT "D"

NOTE6: RETIREMENT PLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA

Funding Status and Progress Pension Benefit Obligation
The total unfunded pension benefit obligation ofTRS as ofJune 30, 1994, which was the latest information available, was as follows:

Total pension benefit obligation

$15,313,743,000.00

Net assets available for benefits, at cost

14 254 785 000.00

Unfunded pension benefit obligation

$ I 058 958 000 00

The measurement ofthe total pension benefit obligation is based on an actuarial valuation as of June 30, 1994. Net assets available for benefits were valued as of the same date. TRS does not make separate measurements of assets and pension benefit obligation for individual employers.

Retirement System Contributions Total contributions from all employers to TRS for the year ended June 30, 1995, were $565,117,811.00. The College's contribution for the year ended June 30, 1995, of $386,933.34 was actuarially determined and represented .0685% oftotal contributions made by all participating employers.

Trend Information Historical trend infonnation is presented in the financial report ofTRS for the year ended June 30, 1995. This information gives an indication of the progress made in accumulating sufficient assets to pay benefits when due.

REGENTS RETIREMENT PLAN

The State of Georgia provides optional pension benefits for eligible faculty and principal administrators through a defined contribution plan. In a defined contribution plan, benefits depend solely on amounts contributed to the plan plus investment earnings.

State legislation requires that the employer contribute 4% and the employee contribute 5% ofthe participating employee's earnable compensation. Amounts attributable to all plan contributions are fully vested and nonforfeitable at all times. The College's payroll for employees covered by the Regents Retirement Plan for the year ended June 30, 1995, was $1,187,958.50. The College's total payroll for all employees was $4,444,080.18.

The College and the covered employees made the required contributions of$47,518.04 (4%) and $59,398.05 (5%), respectively.

- 15 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "D"

NOTE 6: RETIREMENT PLANS
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description Gordon College participates in the Georgia Defined Contribution Plan (GDCP) which is a single-employer defined contribution plan established by the General Assembly of Georgia in July 1993 for the purpose of providing retirement coverage for State employees who are temporary, seasonal, and part-time and are not members ofa public retirement or pension system. GDCP is administered by the Board of Trustees of the Employees' Retirement System of Georgia. The College's payroll for the year ended June 30, 1995, for employees covered by GDCP was $309,508.54. The College's total payroll for all employees was $4,444,080.18.
Benefits A member may retire and elect to receive periodic payments after attainment of age 65. The payment will be based upon mortality tables and interest assumptions to be adopted by the Board of Trustees. If a member has less than$ 3,500.00 credited to his/her account, the Board of Trustees has the option ofrequiring a lump sum distnbution to the member in lieu ofmaking periodic payments. Upon the death of a member, a lump sum distribution equaling the amount credited to his/her account will be paid to the member's designated beneficiary.
Contributions and Vesting Member contributions are seven and one-half percent (7.5%) of gross salary. There are no employer contributions. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination of employment, the amount of the member's account is refundable upon request by the member.
Total contributions made by employees during fiscal year 1995 amounted to $23,213.46 which represents 7.5% of covered payroll. These contributions met the requirements of the plan.
NOTE 7: LEAVE POLICIES
Employees earn annual leave ranging from one and one-quarter days to one and three-quarter days each month depending upon the employees' length of continuous State service with maximum accumulation of forty-five days. Employees are paid for unused accumulated annual leave upon retirement or termination of employment. See Note 1 - Basis of Accounting (Compensated Absences)
Employees earn one day of sick leave each month with no maximum accumulation established. Unused accumulated sick leave does not vest with the employee and is forfeited upon retirement or termination of employment.

- 16 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXIIlBIT "D"

NOTE 8: CONTINGENCIES
Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies. This could result in refunds to the grantor agency for arty expenditures which are disallowed under grant terms. The amount of expenditures which may be disallowed by the grantor cannot be determined at this time although the College expects such amounts, ifany, to be immaterial to its overall financial position.
Litigation, claims and assessments filed against Gordon College (as an organizational unit of the Board of Regents ofthe University System of Georgia), if any, are generally considered to be actions against the State ofGeorgia. Pursuant to the Official Code of Georgia Annotated, the Department of Administrative Services maintains a program of purchased insurance and self-insurance which provides coverage for such litigation, claims and assessments. 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, 1995.
NOTE 9: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
Pursuant to the general powers conferred by the Official Code of Georgia Annotated Section 20-3-31, the Board ofRegents ofthe University System ofGeorgia has established group health and life insurance programs for regular employees ofthe University System of Georgia. It is the policy of the Board of Regents to permit employees ofthe University System of Georgia eligible for retirement or that become permanently and totally disabled to continue as members ofthe group health and life insurance programs. Employees who are eligible for retirement or disability under the criteria established by the Teachers Retirement System of Georgia and who have at least ten years of service with the University System of Georgia are eligible for these postemployment health and life insurance benefits. Organizational units of the Board of Regents of the University System of Georgia pay the employer portion for group insurance for affected individuals.
As of June 30, 1995, there were 9 employees who had retired or were disabled that were receiving these postemployment health and life insurance benefits. For the year ended June 30, 1995, Gordon College recognized as incurred $18,312.20 of expenditures, which was net of$4,570.97 of participant contributions.
NOTE 10: BONDING INFORMATION
The President and all employees of Gordon College are bonded under a Public Employees Blanket Bond written by the Employers Insurance of Wausau, their Bond No. 1450-00-110723, on which the premium has been paid to October I, 1995. Under this agreement, the public employee dishonesty coverage insures Gordon College to a maximum ofSI,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees. The faithful performance of duty coverage insures the College to a maximum ofSI,000,000.00 against loss sustained from failure ofits employees to perform faithfully their duties or to account properly for all monies and property received by virtue of their position or employment.

- 17 -

GORDON COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXIIlBIT "D"

NOTE 10: BONDING INFORMATION

All employees of Gordon College are also bonded under Commercial Crime Policies written by the United States Fire Insurance Company, their Policy Nos. 626 011675 2 and 626 012294 4, on which the premiums have been paid to October 1, 1995. Under these additional public employee dishonesty coverages, the policies insures the College to a maximum of$9,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees.

NOTE 11: ENROLLMENT

The equivalent full-time student enrollment of Gordon College was as follows:

Regular Term Fall Quarter, 1994 Winter Quarter, 1995 Spring Quarter, 1995

1,729 1,639 1 549

Average

Summer School, 1994

- 18 -

SUPPLEMENTARY INFORMATION - 19 -

~QBQQ~ ~I I E~E ~61tilti~ aALAtiQE t:IEEI
C!.!BBEtU E!.l~C - !.!tiBEIBIQIEQ
JUNE 39 1995

EXHIBIT"E"

~
Cash and Cash Equlvalenls A<counls Receivable
1..-
~Items Due ln>m 0lhor Fund Groupe

RESIDENT INSTRUCTION

LOTTERY FOR EDUCATION

AUXILIARY ENTERPRISES

STUDENT ACTIVITIES

TOTAL

$ 594,526.11 $ 107,578.33 19,>8.23 668.00 284306.92

0.00 $

800.00 $ 52,.a5.83 173,174.28

75,260.87 $ 20.00
1,272.31

670,386.88 160,084.16 192,582.51
1,940.31 284306.92

Total-

$ 1 006,487.59 $

0.00 $ 226,260.11 $

76,553.18 $ 1,309,300.88

LIA61LII1f AHQ E!.!~Q ~LA~~f

Liabilities

Accounts Payable

$

Studen!Depooits

Deferred Revenue

Tuition and FNB

Due to 0lhor Fund G>ups

Total Liabilities

$

Fund Balances UnNISlricted

403,483.46 188,596.00 592,079.46 414,>8.13 $

$

6,004.03 $

45,400.00

2,784.83 $

412,272.12 45,400.00

8,900.00 30,884.80

8,900.00

206,396.00 30,884.80

91,168.63 $

11,684.63 $ 694,932.72

0.00

135,091.48

84 668.55

614,368.16

Total Liabilities and Fund Balances

1,006,487.59 $

0.00 $ 226,260.11 $

76,553.18 $ 1,309,300.88

See IICCOl'l'!)Onying notes and lndepeooent Accountanfs Combined Report on Review d Financial Statements and Supplementary Information.
-20-

~BQQH QQLL~I: CQMDIHIH~ SI~l:Ml:NI QE QtiAN!;;if; lt:I EUNQ aeiI !it:IQE
Q!JBBENI E!JN~ ~ !JNBfIBICIEQ YEAB ENQEP J!JNS ;,o 1995

EXHIBIT"P

RESIDENT INSTRUCTION

LOTTERY FOR EDUCATION

AUXILIARY ENTERPRISES

STUDENT ACTIVITIES

TOTAL

B~ENUE ANP QI!:IEB AQQIIIQN

Unrestricted current Fund Revenues Adjustments
Prior Years' Expendttures/Accounts Payable Prior Years' Checks Voided

7,STT,823.10 $ 1,060.54

104,915.00 $

592,476.36 $ 100.00

115,863.91 $ 8,391,076.37

282.-46

1.-.00 100.00

TolalR-ndOU-Additions $ 7,578,883.64 $

104,915.00 $

592,576.36 $

116,1-46.37 $ 8,392,521.37

E~eSNPIIURS ANP QT!:ISB QEQM~IQN

Ed.-.,,,.1 and Gonoral ~ -

$

Auxiliary E-,,rises Expendttures

Remittances to the Board of Regents of the

UnMl!lity System of Georgia

Prior Year's Unrestricted Fund Balance

(Surplus)

Adjustments
Prior Years' Revenues/Accounts Receivable

7,369,888.81 $
439,050.52 73.48

104,915.00

$ 414,232.24

112,007.69 $

7,586,811.50 414,232.24

220.40

20.00

439,050.52 313.88

Total Expenditures and other Doductions

7,809,012.81 $

104,915.00 $

414,452.64 $

112,027.69 $ 8,440,408.14

TMNSFER E!WEEN FUN~

Nonmandatory R...-als and Replacements Capital Projects In Lieu of State Appropriations

$

183,279.00

-62,138.86 -407,279.43 -183,279.00

$

-62,138.66

-407,279.43

0.00

Tolal Transfeni Between Funds

183,279.00

-652,697.09

-469,418.09

Net lncreese/(Docrease) for the Year $

-46,850.17 $

0.00 $ -474,573.37 $

4,118.68 $ -517,304.86

FUND BALANCES JULY 1 1994

461,258.30

0.00

609,664.85

60,749.87

1,131,673.02

FUNQ DaL!iNCes JUtle ~ 1ii

414,408.13 $

0.00 $

135,091.48 $

64,868.55 $

614,368.16

See oc:componying notes and I ~Accountant's Combined Report on Review ol F'mancial Statements and Supplementary Information.
-21-

rJ
/\J
~ vv
Jf'
r-,-:~

~BQQt:I QQLLl;Sll; ~alt:llt:IG SIA]];Ml;tU QE ~!.!BBl;tff E!.!t:IQ Bl;~l;t:l~~l;S r;~el;t:IC!IIUBl;S
!it:IC! 2IHliB ~H!!M~l;S UNRl;SIRICTl;P
YEAR ENPEP JUNE 30 1A95

EXHIBIT"G"

RESIDENT INSTRUCTION

LOTTERY FOR EDUCATION

AUXILIARY ENTERPRISES

STUDENT ACTIVITIES

TOTAL

~

state Appropriations

$ 5,396,010.00 $

Tuition and Fees

2,091,055.00

F - Grants and Contracts

3,689.92

Salos and Services d Educational Activities

37,2&C.85

Salosand ServicesdAuxiliary E ~

OlherSourcN

.CS,783.33

Total R8Y8nues

7,577,923.10 $

l;XPENQITURI;

104,915.00 104,915.00 $

592,943.,49 -467.13
592,476.36 $

111,934.00 3,929.91

5,500,925.00 2,202,989.00
3,689.92 37,2&C.85 592,943..CS 53,246.11

115,863.91 $ 8,391,078.37

- -Educational and Genenll Instruction Academic Support
lnotitutional Support Operation and Maintenance d Plant Scholarships and Fellowships Auxiliary EntorpriMs Student Housing FoodServices -andShopo 1-.:.llagiate Alhlelics OlherServicaUnils
Total Expenditures
OTt:IER TB.aNSFERS ,!iNQ AQQIIIONS/ CQl;QUCTIONS)

4,030,162.47 588,823.36 $ 592,591.90 909,636..CS
1,218,920.59 29,754.00
7,369,888.81 $

45,798.03 59,116.97
104,915.00 $

230,417.16 35,528.05 &C,435.45 83,470.65 380.93
414,232.24 $

112,007.69

4,030,162.47 634,821.39 704,599.59 968,753.46
1,218,920.59 29,754.00

230,417.16 35,528.05 &C,435.45 83,470.65 380.93

112,007.69 $ 8,001,043.74

T,..-. for Renewals and Replacements T . . - lor Capital Projeots T,..-. In Lieu d State Appropriations Prior Period Adjustments (Net) Romitla""" to tho Beard d Regents
d tho Uniwrsily System d ci-gio Prior Year's Unrestricted Fund Balance (Surplus)

183,279.00 987.06
-439,050.52

-62,136.66 -407,279.43 -183,279.00
-120.40 $

262.46

-62,138.66 -407,279.43
0.00 1,129.12

-439,050.52

Total Other Transle!s and Addttions/(Deduclion$)

254, 7&C.46

-652,817.49 $

262.46 $

-907,339.49

Net lncreue/(llecfease) in Fund Balances

-46,850.17 $

0.00 $ -474,573.37 $

4,118.68 $ -517,304.86

See accompanying notes and Independent Accounlant's Combined Report on Review ol Financial Statements and Suppktmentary Information.
-23-

<.'..OBPPN COLLEGE SCHEPUl EOF REYENVliS ANP EXPENPTURES CQMPA,REP IQ BUQGET
BESIPENT INSTRUCTION YEAR ENPEP JUNE 30 1995

~ -Other ARpepvreonpureiastiRonestained

CURRENT FUNDS

UNRESTRICTED

RESTRICTED

PLANT FUNDS

RENEWALS AND

UNEXPENDED

REPLACEMENTS

5,386,010.00 2,181,813.10 $

1,587,717.90 $ -----'-16a,,6;:;;1:.::6:.::.08;:;.

88,411.00

7,5n,823.10 $

1,587,717.90 $

1s,s1s.oa s _ _ _ae~,4_1_1._00_

EXPENPIIURES
Personal SeMeos: Eduoalion, General and Depa-I Servk:o6
Open,ting Expenses: Education, General and Departmenlal SeMeos SponsoNld Operations
Capital Outlay SpoeioJ Funding I -

$

5,355,952.83

1,887,181.118 $
126,754.00

1,587,717.90 $

815,262.58 $

106,260.31

Excess d Revenues OYel" Expenditures

$

7,369,888.81 $

1,587,717.90 $

815,262.58 $

106,260.31

207,934.29 $

0.00 $

s _ _ _ -798,646.50

._1s_.,849__,.3. .1. .

(1) To oliminale tuition -

not budgeted and to reclassify current year

transfers and prior year fund balances budgeted as revenues.

See ocoompanying notes and Independent Accountant's Combined Report on Review d Fmancial Statements and Supplementary Information.
-24-

SCHEDULE "1"

TOTAL

ADJUSTMENTS
(1)

TOTAL
(BudpetBasls)

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

5,485,421.00 3,786,147.08 $

$ 5,485,421.00 $ 5,485,421.00 $

sn,653.74

4,363,800.82 3,941,446.00

0.00 422,354.82

$ 8,271,568.08 $

sn,653.74 $ 8,849,221.82 $ 8,426,867.00 $

422,354.82

$ 5,355,852.83
1,887,181.88 $ 1,587,717.80
921,522.88 126,754.00

-28,754.00

5,355,852.83 $ 6,228,516.00 $

1,857,427.88 1,587,717.80
921,522.88 126,754.00

1,361,310.00 1,618,876.00
88,411.00 126,754.00

873,563.17
-486,117.98 32,158.10
-832, 111.88 0.00

$ 8,878,128.60 $

-28,754.00 $ 8,849,375.60 $ 9,426,867.00 $

-422,508.60

$ -607,561.52 $

607,407.74 $

-153.78

-153.78

-25-

GORDON CO\ I EGE SCHfQlH EOE REVENUES ANP EXPENDITURES CQMpABEP TO BUDGET
LOTTBY FOB EDUCATION VEAR ENPEP JUNE 30 1995

SCHEDULE"'Z'

~ State Appropriations

CURRENT FUNDS UNRESTRICTED

BUDGET

VARIANCEFAVORABLE (UNFAVORABLE)

104,915.oo s 104915.oo s _ _ _ _..:;o;;;.oo;;.

EXPENPJIVREs
EqUipment, Technology and Construction Trust Fund

104,915.oo s 104915.oo s _ _ _ _ _o._oo_

Excess of Revenues owr Expenditures

$=====0=.00=

$=====0=.00=

See accompanying notes and Independent Accountant's Combined Report on RevieW of Financial Statements and Supplementary lnfonnation.
-26-

GOBPQN COLLEGE SCHEDULE OF OPERATIONS
LOAN FUNQS
VEAR ENPEP JUNE 30 1995

SCHEDULE "3"

.El1lll1
U S SiQ~EBNMFNI GRAN:CS BEFUNPA6LE
Nursing Student Loan Fund Perkins Loan Fund

FUND BALANCE JULY 1, 1994

ADDITIONS/ TRANSFERS

DEDUCTIONS/ TRANSFERS

FUND BALANCE JUNE 30, 1995

$

1,716.05

11,054.51 $

13.30 $

0.08

1,716.05 11,067.73

12,770.56 $

13.30 $

0.08 $

12,783.78

BECONCIUAIIQN OF SIUPENT NOTES RECEIVA6L F
Balance July 1, 1984 Deduct:
R__.,t of Loons Loon cancellations and Write-Olis
For Bankruptcy

11,163.09 11.70 0.08

Balance June 30, 1995

11,151.31

See accompanying notes and Independent Accountant's Combined Report on Review d Financial Statements and Supplementary Information.
-27-

!:iQBl2QH ~QLLE!:iE s~1::11;12m E QE ~6St:I BE~EleTS AHD 121S~!JBSEMENIS
11!:zENQYE!.!NC!S
YEIIB ENC!EC! J!,!NE 3Q 1995

SCHEDULE "4"

E!.!NC!
el\YBQLL C!EC!IJ!:;IIQNS
F - Income Tax Slate Income Tax F.I.CA. RGeorgia Defined Contribution Plan Tax Deferrad Annuities Group Insurance Garnishments Mi&cellaneous
EMPLQYER'S i:;QNIBlll!JIIQNS
F.I.C.A. Retirement Group Insurance
QTHER EIJNDS
Academic Contests Community Services Departmental Federal A-nee
Financing System Nursing Pinning Ceremony Retired Employee's Insurance Scholarships
Regents' Scholarship Fund Other Scholarships (List on File) Tree Project

BALANCE JULY 1, 1994

RECEIPTS

DISBURSEMENTS

BALANCE JUNE 30, 1995

$

489,060.39 $

489,060.39

177,775.14

177,775.14

298,564.07

298,564.07

195,049.63

195,049.63

23,213.'46

23,213,46

72,030.00

71,490.00 $

540.00

$

10,638.14

148,171.98

1,46,955.26

11,854.86

4,340.00

4,280.00

60.00

2,721.00

2,721.00

$

10,638.14 $

1,410,925.67 $

1,409,108.95 $

12,454.86

$

298,564.07 $

298,564.07

434,451.38

434,451.38

$

31,517.90

416466.50

414,840.80 $

33,143.80

$

31,517.90 $

1 149,481.95 $

1,147,856.25 $

33,143.60

$

1,864.00 $

1,864.00

1,750.00

985.00 $

765.00

$

400.95

963,301.00

1,011,295.70

-47,593.75

93.57

-93.57

439.34

9,994.66

10,353.60

80.40

11,884.19 247.00

2,100.00 177,824.94

2,100.00 173,888.73

15,820.40 247.00

$

12,971.48 $

1,156,634.60 $

1,200,380.60 $

-30,774.52

$

55127.52 $

3 717 042.22 $

3 757 345.80 $

14823.94

See accompanying notes and Independent Accountant's Combined Report on RevieW of Financial Statements and Supplementary Information.
-28-

GORDON COLLEGE CASH AND CASH EQUIVALENTS
JUNE 30 1995
INTEREST BEARING ACCOUNTS
United Bank, Barnesville, Georgia
N.O.W. Account (Variable)
OTHER
Cash on Hand Petty Cash

SCHEDULE "5"

$

959,620.60

1,292.00 $ ===9=60='=91=2=.6=0

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-29 -

GORDON COLLEGE
ACCOUNTS BECEI\/ABLE JUNE3P 1995

SCHEDULE "6"

CURRENT FUNDS UNRESTRICTED

Other

Departmental Federal As&islance Financing System

Returned Checlcs

$

Student Accounls

Student Notes

Vendor Credl Memos

Other

3,710.50 30,129.56
$ 44,040.67 82,203.43

LOAN FUNDS

AGENCY FUNDS

$

47,593.75 $

11,151.31

TOTAL
47,593.75 3,710.50
30,129.56 11,151.31 44,040.67 82,203.43

$

160,084.16 $

11,151.31 $

47,593.75 $

218,829.22

See accompanying ootes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-31-

GORDON COLLEGE CHANGES IN INVESTMENT IN PLANT
YEAR ENDED JUNE 30 1995

Land Buildings Improvements Other Than Buildings Equipment Library Books and Collections

ADDITIONS

BALANCE JULY 1, 1994

CURRENT FUNDS UNRESTRICTED

PLANT FUNDS

RENEWALS AND

UNEXPENDED

REPLACEMENTS

$

212,739.89

$

1,134.15

12,575,699.05

525,746.50 $

94,620.31

1,373,451.66

281,643.02

11,640.00

1,840,208.40 $

444,052.20

4,129.83

1,390,911.57

73,550.94

$

17,393,010.57 $

517,603.14 $

812,653.50 $

106,260.31

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-32-

SCHEDULE'7"

GEORGIA STATE FINANCING AND
INVESTMENT COMMISSION

$

2,895,491.75

$

PRIVATE GIFTS

DEDUCTIONS DISPOSALS/ DELETIONS/ ADJUSTMENTS

BALANCE JUNE 30, 1995

$

213,874.04

16,091,557.61

1,666,734.68

4,874.25 $

2,873.00

2,290,391.68

1,464,462.51

$

2,895,491.75 $

4,874.25 $

2,873.00 $

21,727,020.52

-33-

GORDON COi I FGe SCHEPUI E OF FUND BALANCES CURRENT FUNDS ANP PLANT FUNQS
JUNE 1995

NET INVESTMENT IN PLANT
1 . -In Plant Facllities
UNRESTRICTED Designated For 1-=ilegiate Alhletics For Inventory R8N!V9 For Renewals and Replacements ReseM> For Subsequent Years' Expenditures For Uncollec:tible Accounts U-gnated Surplus/Deficit Regular lottery for Ed...,._

RESIDENT INSTRUCTION

CURRENT FUNDS

UNRESTRICTED

LOTTERY FOR

AUXILIARY

EDUCATION

ENTERPRISES

STUDENT ACTIVITIES

18,416.66 1,905.00

70,528.33 63,293.59
1,269.56

64,868.55

394,086.47 414,408.13 $

0.00 0.00 $

135,091.48 $ _ __::64::,,868=:::55:c.

414,408.13 $

0.00 $

135,091.48 $ _ _.;84=-=55;;;.

Sea accompanying notes and Independent Accountants Combined Report on RevieW d Financial Statements and Supplementary Information.
-34-

SCHEDULE s

UNEXPENDED REGULAR

PLANT FUNDS RENEWALS ANO REPLACEMENTS

INVESTMENT IN PLANT

TOTAL

21,727,020.52 $ 21.n1.020.S2

258,342.21

70,528.33 81,710.25 258,342.21 64,868.56
3,174.56

--391,105.32 --391,105.32 $ --~2~58~,34=2~.2_1

2,981.15 0.00
$ --~48~1~,605=.05~

--391,105.32 $

258,342.21 $

21.n1.020.S2 s

22,208,625.57

.35.

GORDON COLLEGE SCHEDULE OF REVENUES
CURRENT FUNDS YEAR ENDED JUNE 30 1995

State Appropriations Allotments from the Board of Regents of the University System of Georgia Regular Special Funding Initiative Lottery Proceeds
other Revenues Retained Tuition and Fees Matriculation other
Federal Grants and Contracts Research and Instruction Student Aid Contract overhead
State Grants and Contracts Student Aid
Sales and Services of Educational Activities
Sales and Services of Auxiliary Enterprises
other Sources Administrative Cost Allowances cash over-Short Extension and Public Service Rents Salvage Sales other

RESIDENT INSTRUCTION

LOTTERY FOR EDUCATION

UNRESTRICTED AUXILIARY
ENTERPRISES

$

5,269,256.00

126,754.00

$

$

5,396 010.00 $

104,915.00 104,915.00

$

2,054,641.00

36,414.00

3,689.92

37,284.85
3,691.25 27.16
31,259.50 200.00 830.62
13 774.80
$ _ ___;:;2,:.;.18a..1;.,a,8a..a1.aa3.'""10a..

$

592,943.49

-467.13

$ _ _....;.59;.;;2..4.a.;7..=6;.;;.36~

$

7,577,823.10 $

104,915.00 $ _ _ _5_92_..4_,7_6_.36_

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-36-

SCHEDULE "9''

STUDENT ACTIVITIES

TOTAL

RESTRICTED RESIDENT
INSTRUCTION

TOTAL

s

5,269,256.00

126,754.00

104,915.00

$

5 500,925.00

$

5,269,256.00

126,754.00

104,915.00

$

5,500,925.00

$

2,054,641.00

$

111,934.00

148,348.00

$

2,054,641.00

148,348.00

$ 3,689.92

26,730.01 980,875.77

26,730.01 980,875.77
3,689.92

37,284.85 592,943.49

580,112.12

580,112.12 37,284.85 592,943.49

3,929.91

3,691.25 -439.97 31,259.50 200.00 830.62 17,704.71

3,691.25 -439.97 31,259.50 200.00 830.62 17,704.71

$

115,863.91 $

2,890,153.37 $

1,587,717.90 $

4,477,871.27

$

115,863.91 $

8,391,078.37 $

1,587,717.90 $

9,978,796.27

- 37 -

C"-OBOON 00 l f;GE SQ::tfpt n e 9f EXPENPm JBfS BY 00,lfQI
Cl JRBENT B,JNQS YEAR ENDED JUNE 30 1995

eeRSQNAI SEBYICFS
-Salaries and Wages
Emplc,;er'1 Contributiora for: F.I.C.A
Group lnaurance
UabilitylnllUf'Bf'ICe Unemployment Compen&ation Insurance Woncer&' Compensation lnaurance DrugTesting-
OPFBATING EXPENSES
Travel Motor Vehicle Expenus SuP!)l;esandMRepairs and Maintenance utilities Rents {other than Real Estate) Insurance and Bonding Qaima and Indemnities Tuition and Scholarships
College Work-Study Program Scholarship;, ~ P 6 . Priza, Awards and Other
-..Other Clpelabng Expenus
Publications and Printing Equipment
Non-lrM!ntoly
Reel Estate Rentals TNCOl'TlfflunicationB Per Diem, Fees and Contracts
Per Diem and Fees Contracls Equipment lrM!ntoly
OTHER
EQUIPMENT, TECHNOLOGY AND CONSTRUCTION TRUST FUND
-Olhereo.ts Supplies and Materiat& Equipment Non-lrM!ntoly
Equipment lrM!ntoly
SPECIAL FUNDING INmATIVES Pen.one! Services Salaries and Wape6 Employer'& Contributions for: F.1.C.A. Retirement Group lnaurance

RESIDENT INSTRUCTION

LOTTERY FOR EDUCATION

UNRESTRICTED AUXILIARY
ENTERPRISES

4,212,179.85
284,931."8 416,508.19 396,985.31 29,726.00
2,238.00 13,2641.00
120.00
5 355 952.83

125,'183.37 6,116.TT 7,638.06
11,185.09
150 423.29

26,438.29 7,951.59
365,278.92 173,456.10 349,444.79
12,068.04 16,776.70
180.00
8,909.12 29,754.00 101,745.74 75,935.85
61,255.73 8,576.22 1,700.00 82,004.67
56,482.66 97,312.65
411910.91
1 887181.98

266.82 1,643.67 54,228.16 28,742.48 76,707.41 10,574.12 8,860.50 2,905.15
24,986.17 21,679.27
527.72
74.25
3,828.01
12,971.19 15,814.03
263 808.95

1,113.27
2,728.75 4,225.00
86 847.98 104 915.00

100,652.84
7,499.93 10,305.13
8 296.10
126 754.00
126 754.00 $

104915.00

See accompanying note& and Independent Accaunlant's Combined Report on Review rl Financial Statements and Supplementary Information.

.38.

7 369 888.81 $

104 915.00 $

414 232.24

SCHEDULE ''10"

STUDENT ACTIVmEs

TOTAL

RESTRICTED RESIDENT
INSTRUCTION

TOTAL

5,764.12 S 15.89
5 780.01 S

4,343,427.34
291,064.14 424,146.25 408,170.40
29,726.00 2,238.00
13,264.00 120.00
5 512156.13

4,343,427.34
291,064.14 424,146.25 408,170.40
29,726.00 2,238.00
13,264.00 120.00
5 512156.13

17.26 S 22.25
43,480.25 777.85
11,372.35 ...00
10,249.13 1,941.00 2.=.so
209.00
5,889.00 20,754.84 8 844.25 106 227.68 $

27,122.37 9,617.51 462,987.33 202,976.-43 426,152.20 34,014.51 25,637.20 3,133.15
8,909.12 $ 54,740.17 133,674.14 78,404.57
63,478.23 8,859A7 1,700.00 85,832.68
75,342.85 133,881.52
420 755.16
2 257 218.61 s

26,730.01 1,560,987.89
1 587 717.90 $

27,122.37 9,617.51 462,987.33 202,976.43 426,152.20 34,014.51 25,637.20 3,133.15
35,639.13 1,615,728.06
133,674.14 78,404.57
63,478.23 8,859.47 1,700.00
85,832.68
75,342.85 133,881.52
420 755.16
3 844 936.51

1,113.27
2,728.75 4,225.00 96 847.98
104 915.00

1,113.27
2,728.75 4,225.00
96847.98
104 915.00

100,652.84
7,499.93 10,305.13
8296.10
126 754.00
231 669.00

100,652.84
7,499.93 10,305.13
8 296.10
126754.00
231 669.00

112 007.69 $

8 001 043.74 $

1 567 717.90 $

9 588 761.64

GORDON COLLEGE SCHEDULE OF EXPENDITURES BY OBJECT
PLANT FUNDS YEAR ENDED JUNE 30 1995

SCHEDULE "11

CAPITAL OUTLAY
Repairs and Maintenance other Expenses Equipment
Non-Inventory Per Diem, Fees and Contracts
Contracts Equipment
Inventory

UNEXPENDED REGULAR

RENEWALS AND REPLACEMENTS

TOTAL

$

$

1,880.65

2,609.08

806,643.02

4,129.83

14,771.00 $ 91,489.31

14,771.00 1,880.65 2,609.08
898,132.33
4,129.83

$

815,262.58 $

106,260.31 $ ===9=21=,5=22==.8=9

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary lnfonnation.
-40-