Management report, Department of Insurance, year ended June 30, 1997

MANAGEMENT REPORT DEPARTMENT OF INSURANCE AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA
YEAR ENDED JUNE 30, 1997

- - - - - - - - - - - - - - ----- ----------

----------------~-

STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
254 WASHINGTON STREET
ATLANTA, GEORGIA 30334-8400

DEPARTMENT OF INSURANCE MANAGEMENT REPORT - TABLE OF CONTENTS -

LEITER OF TRANSMITTAL

SECTION I

SELECTED FINANCIAL INFORMATION

EXHIBITS

A ANALYSIS OF CHANGES IN FUND BALANCE

BUDGET FUND

2

B SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES

COMPARED TO BUDGET

BUDGET FUND

3

SECTIONn AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS

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

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.w., Suite 214 Atlanta, Georgia 30334-8400
November 14, 1997

Honorable Zell Miller, Governor Members ofthe General Assembly of Georgia
and Honorable John W. Oxendine, Commissioner Department ofInsurance
Ladies and Gentlemen:
As part of our audit of the statutory basis fmancial statements ofthe State of Georgia presented in the Report ofthe State Auditor, the general purpose financial statements of the State of Georgia presented in the State ofGeorgia Comprehensive Annual Financial Report, and the issuance ofa Statewide Single Audit Report pursuant to the Single Audit Act Amendments, as ofand for the year ended June 30, 1997, we have performed certain audit procedures at the Department. of Insurance. Accordingly, the financial statements and compliance activities of the Department of Insurance were examined to the extent considered necessary in order to express opinion as to the fair presentation of the financial statements contained in the foregoing documents and to issue reports on compliance and internal control as required by the Single Audit Act Amendments of 1996.
This Management Report contains information pertinent to the financial and compliance activities of the Department of Insurance as of and for the year ended June 30, 1997. The particular information provided is enumerated in the Table of Contents.
This report is intended solely for the use of management of the Department of Insurance. However, this report is a matter of public record and its distribution is not limited.
Respectfully submitted,

CLV:gp

Claude L. Vickers State Auditor

SECTION I SELECTED FINANCIAL INFORMATION

DEPARTMENT OF INSURANCE ANALYSIS OF CHANGES IN FUND BALANCE
BUDGET FUND YEAR ENDED JUNE 3D, 1997
FUND BALANCE - JULY 1, 1996 Surplus
ADDITIONS Adjustments to Prior Year's Accounts Payable Excess of Funds Available over Expenditures Exhibit "B"
DEDUCTIONS Unreserved Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 1996 Adjustments to Prior Year's Accounts Receivable
FUND BALANCE - JUNE 30,1997
SUMMARY OF FUND BALANCE Reserved Federal Financial Assistance Surplus

EXHIBIT "A"

$ 1,551,226.95

$

4,992.47

689,966.42

$ 694,958.89

$ 1,551,226.95 274.00
$ 1,551,500.95
$ 694,684.89

$

37,192.34

657,492.55

$ 694,684.89

-2-

DEPARTMENT OF INSURANCE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES
COMPARED TO BUDGET BUDGET FUND
YEAR ENDED JUNE 30. 1997

EXHIBIT"B"

FUNDS AVAILABLE
REVENUES
State Appropriation Federal Revenues Other Revenues Retained

BUDGET

ACTUAL

VARIANCEFAVORABLE (UNFAVORABLE)

$ 15,149,383.00 $ 14,997,889.00 $

1,560,706.00

1,768,610.34

750,360.00

752,086.58

-151,494.00 207,904.34
1,726.58

$ 17,460,449.00 $ 17,518,585.92 $ _ _---.;..58...,:.,1.;..3....;.6_.9_2

EXPENDITURES
Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts

$ 13,517,011.00 $ 13,014,350.09 $

855,314.00

862,251.13

384,754.00

373,714.30

86,733.00

86,688.66

59,129.00

49,215.30

580,235.00

589,212.46

804,647.00

800,227.00

331,334.00

314,111.02

841,292.00

738,849.54

502,660.91 -6,937.13 11,039.70 44.34 9,913.70 -8,977.46 4,420.00 17,222.98
102,442.46

$ 17,460,449.00 $ 16,828,619.50 $ _ _..;;.6~31....:.,8;;.;;2;.;;.9;.;;,.5~0

Excess of Funds Available over Expenditures

$

689,966.42 $ ===6=89:!.,9=:;6=6==:.4=2

-3-

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

DEPARTMENT OF INSURANCE AUDlTEE'S RESPONSE
SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED CQSTS YEAR ENDED JUNE 30, 1997

PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS

~INGCONTROLNUMBERANDSTATUS

408-96-01

Previously Reported Corrective Action Implemented