Review report, state of Georgia, Department of Public Safety, year ended June 30, 1995

GA A.'l.00 .\\\
P~1
1994-9'5
STATE OF GEORGIA DEPARTMENT OF AUDITS
254 WASHINGTON STREET ATLANTA. GEORGIA 30334

REVIEW REPORT STATE OF GEORGIA DEPARTMENT OF PUBLIC SAFETY YEAR ENDED JUNE 30, 1995

DEPARTMENT OF PUBLIC SAFETY - TABLE OF CONTENTS -

~

SECTION I

FINANCIAL

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

EXHIBITS

FINANCIAL STATEMENTS

A COMBINED BALANCE SHEET (STATUTORY BASIS)

ALL FUND TYPES AND ACCOUNT GROUPS

2

B COMBINED STATEMENT OF CHANGES IN FUND BALANCES

(STATUTORY BASIS)

GOVERNMENTAL FUND TYPES

5

C STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

BUDGET FUND

6

STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

COMPARED TO BUDGET

BUDGET FUND

D

"A" DEPARTMENT OF PUBLIC SAFETY

9

"B" UNITS ATTACHED FOR ADMINISTRATIVE PURPOSES ONLY

E

1. ATTACHEDUNITS

10

F

2. OFFICE OF HIGHWAY SAFETY

II

G STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS

STATE REVENUE COLLECTIONS FUND

12

H NOTES TO THE FINANCIAL STATEMENTS

13

SUPPLEMENTARY INFORMATION

COMBINING BALANCE SHEET (STATUTORY BASIS)

BUDGET FUND

30

J COMBINING STATEMENT OF CHANGES IN FUND BALANCES

(STATUTORY BASIS)

BUDGET FUND

31

K COMBINING STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

BUDGET FUND

32

L COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES

FIDUCIARY FUND TYPE - AGENCY FUNDS

34

DEPARTMENT OF PUBLIC SAFETY -TABLE OF CONTENTS-

SECTION I

FINANCIAL

SUPPLEMENTARY INFORMATION

SCHEDULES

SCHEDULE OF APPROVED BUDGET

"A" DEPARTMENT OF PUBLIC SAFETY

35

"B" UNITS ATTACHED FORADMINISTRATIVE PURPOSES ONLY

2

1. ATTACHEDUNITS

36

3

2. OFFICEOFHIGHWAYSAFETY

37

4 CASH AND CASH EQUIVALENTS

38

5 INVESTMENTS

39

6 SCHEDULE OF GOVERNOR'S EMERGENCY FUND

40

7 SCHEDULE OF FEDERAL REVENUES

41

8 SCHEDULE OF OTHER REVENUES RETAINED

42

9 SCHEDULE OF OTHER OPERATING EXPENSES

43

10 SCHEDULE OF EXTRAORDINARY EXPENDITURES

44

11 SUMMARY OF SALARIES, TRAVEL, AND PER DIEM AND FEES

45

SECTION II FINDINGS AND IMPROPER OR QUESTIONED COSTS SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS

SECTION I FINANCIAL

CLAUDE L. VICKERS
STATE AUDITOR (404) 156-217~

DEPARTMENT OF AUDITS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
October 10, 1995

Honorable Zell Miller, Governor Members ofthe General Assembly of Georgia Members ofthe Board ofPublic Safety
and Honorable Sid R. Miles, Commissioner Department ofPublic Safety
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 H) of the Department of Public Safety as ofand 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. As described in Note 1, these financial statements were prepared on a prescribed basis of accounting that demonstrates compliance with the budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles. All information included in these financial statements is the representation of the management of the Department ofPublic Safety.
A review consists principally of inquiries of agency 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 ofan opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware ofany material modifications that should be made to the accompanying financial statements in order for them to be in confonnity with the basis of accounting described in Note 1.
Our review was made for the purpose of expressing limited assurance that there were no material modifications that should be made to the financial statements in order for them to be in confonnity with the basis of accounting described in Note 1. The accompanying supplementary information (Exhibits I through L and Schedules 1 through 11) is presented only for supplementary analysis purposes. Such information has been

95ARL-4

subjected to the inquiries and analytical procedures applied in the review of the financial statements and we are not aware ofany material modifications that should be made thereto.
Respectfully submitted,
~~,x~
Claude L. Vickers State Auditor
CLV:cm 95ARL-4

FINANCIAL STATEMENTS -I-

~
cash and cash Equivalents (See Schedule)
1.-(See Schedule)
Accounls Rocelvable State~ Federal Financial Assistance other
Inventories
FixedAsaels Equipment
Amount lo be Provided for Payment of Accl\led Compensated Absences Installment Purchase/capital Lease Commitments
Total Aaaets
LIABILITIES AND FUND EOUIJY
Liabillties cash Clverdratl Accounts Payable Payroll Wllhholdings Funds Held for Others Compensated Absences Installment Purchases/capital Leases
Total Liabillties
Fund Equity Investment in General Fixed Assets Fund Balances Reserwd Federal Financial Assistance Inventories Drug Asset Sharing Program Fuller E. ca11away Foundation McCollum Airport Construction State Revenue Collections Fund Unreserved Designated Surplus
Total Fund Equity
Total Liabillties and Fund Equity

GOVERNMENTAL FUND TYPES

STATE

REVENUE

BUDGET

COLLECTIONS

FIDUCIARY FUND TYPE
AGENCY

$
$ 3,072,567.15 609,283.72 63991,1.37
$ 4 321 838.24 $ 1 586 968.96

0.00 $_~290=7~08~-~03~ $_~1=00_000==00~

$ 5 908 807.22 $

o.oo s _....3._9_0 7_08_..03_

$ 55,614.69 2,677,542.32 10,886.52
$ 2 744 043.53

$

390,708.03

$_~390~7_08~.03_

0.00

1,586,968.96

1,238,021.16

1,914.38

0.00

$

0.00

337859.17 $ 3164763.69 $ _ _ _~0~.00=

$ 5 908 807.22 $

o.oo s ____3_00_1_08_..o_J

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"

ACCOUNT GROUPS

GENERAL

GENERAL

FIXED

LONG-TERM

ASSETS

DEBT

TOTALS CMen101andum On!}'.) JUNE 30 1995 JUNE 30 1994

$

290708.03 $

415766.40

$

100000.00 $

100000.00

$ 3,on,567.15 s 6,116,638.n

609,283.n

563,267.46

639987.37

603978.21

$ 4 321 838.24 $ 7483884.39

$ 1 566 968.98 $ 1691244.04

$ 38 451 929.95

$ 38 451 929.95 $ 35 744 697.64

$ 7,465,097.98 $ 105942.26
$ 7 571 040.24 $

7,465,097.98 $ 105942.26
7 571 040.24 $

7,147,449.62 173901.05
7321350.67

$ 38 451 929.95 $ 7 571 040.24 $ 52 322 465.44 $ 52 756 943.14

$
$ 7,465,097.98 105942.26

55,614.69 $ 2,877,542.32
10,886.52 390,708.03 7,465,097.98
105942.26

1,810,223.53 2,458, 166.80
8,966.21 515,766.40 7,147,449.62
173901.05

$ 7 571 040.24 $ 10705791.80 $ 12114473.61

$ 38,451,929.95

$ 38,451,929.95 $ 35,744,697.64

0.00 1,566,968.98
1,238,021.16 1,914.38
0.00 0.00

10,000.00 1,691,244.04 1,267,283.82
3,756.28
50,000.00 0.00

$ 38 451 929.95

337859.17

1875487.75

$ 41 616 693.64 $ 40 642 469.53

$ 38 451 929.95 $ 7 571 040.24 $ 52322485.44 $ 52 756 943.14

. 3.

t-T
'>\ g \fY_)\

D!iPARTME!fi OF PUBLIC SAFETY COMBINED STATEMENT OF CHANGES IN FUND BALANCES (STATUTORY BASIS}
GOVERNMENTAL FUND TYPES
YEAR ENDED JUNE' 30 1995

EXHIBIT"B"

FUND BALANCES JULY 1
Re&enllld Urv--1
Designallld Surplus
ADDITIONS
Adjustments to Prior Year's Accounts Payable Cash Receipts for the Year
Exhibit"G" Excess of Funds Available CMII' Expenditures
Exhibit"C" Increase in Reserve for Inventories
DEDUCTIONS
Unraservad Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 1993 Year Ended June 30, 1994
Adjustments to Prior Year's Accounts Receivable
Decrease in Reserve for Inventories Cash Disbursements for the Year
Exhibit"G" Reserved Fund Balance Carried Over from
Prior Year as Funds Available
FUND BALANCES JUNE 30
(To Exhibit "A")

BUDGET

STATE REVENUE COLLECTIONS

TOTALS !Memorandum Onll)
YEAR ENDED JUNE 30, 1995 JUNE 30, 1994

$ 3,022,284.14 $
1,875,487.75 $ 4,897,n1.89 s

0.00 S 3,022,284.14 $ 3,431,026.53

1,875.487.75

396,091.06

0.00 $ 4.897n1.89 s 3.827,117.59

$ 143,127.39

$

143,127.39 $

144,825.44

$ 36,279,403.78 36,279,403.78 37,868,486.28

1,508,557.75 35,994.60

1,508,557.75 35,994.60

3,066,790.04 58,823.00

$ 1,687,679.74 $ 36,279,403.78 $ 37,967,083.52 $ 41,138,924.76

$

0.00

1,875,487.75

0.00 $ 1,875,487.75

396,091.06 0.00

73,890.43 140,269.66

73,890.43 140,269.66

5,087.63 0.00

$ 36,279,403.78 36,279,403.78 37,868,793.78

1,331,040.10

1,331,040.10

1,798,297.99

$ 3,420,687.94 $ 36,279,403.78 $ 39,700,091.72 $ 40,068,270.46

3164 763.69 $

0.00 $ 3,164,763.69 $ 4897n1.89

See Independent Accountant's Combined Report on Review of Financial Slatements and Supplementary Information.
The notes to the financial slatements are an integral part of this slatement. -5-

DEPWMENT OF PYBLIQ SAfEIY STATEMENT OF FUNDS A\IAILABLE AND EXeeNPITYBES
BUDGEIRJND YsAB ENDED JUNE ;,o 1ffi

EXHIBIT"C"

fUNPS AY:!:U &Bl E
~
STATE APPROPRIATION Genonl Appn,priotion -.cled Appn,priotion Governor'sE - Fund (Sea Schodule) Budget-
Loss: l.apMd Funds
Tallll Sim Appropriation
FEDERAL REVENUES (Sea SChedule)
OTHER REVENUES RETAINED (Sea SChedule)
Total Revenues
CARRV:QYEB FROM PRIOR YEAR
Transfor fn>m R - Fund Balance Federal Financial Assistance CourtllrMlrs' Licenses and Vehicle Registration R e i Drug Asset Sharing Pn,gram Fuller E. Callaway Foundation McCollum Airport Conslruc:tion Underground Gasoline Tank Clean-up Pn,gram
Tallll Cany.0-fn>m Prior Year

TOTALS

YEAR ENDED

JUNE 30 1995

JUNE 30 1994

107,115,432.00 S 2,622,923.00 25,000.00 -105000.00

100,081,371.00 80,000.00 15,000.00 0.00

s

109,658,355.00 S

100,196,371.00

"699'16.00

0.00

109,188,4109.00 $

100,196,371.00

6,242,096.25

5,050,643.81

4230073.67

3983614.43

119660581.92 $

109230 629.24

10,000.00 S 0.00
0.00 1,267,283.82
3,758.28 50,000.00
0.00
1 331 040.10 S

0.00 50,000.00
199,531.50 1,424,ns21
4,50628 0.00
119535.00
1 798.297.99

Total Funds Available

120 991 622.02 $

111 028927.23

EXPENDITURES
PERSONAL, SERVICES
Salaries and Wages Employe(s Contributions for:
F.I.CA Reti"""""1 Health Insurance P<nonal Lial>llity lnsunlnce Unemployment Compensation Insurance Workels' Compensation Insurance Assessments by Merit Syslam Drug Tasting
See Independent Accountant's Combined Report on Review of Financial Statements and Supplemantary lnfomlation.
The notes to the financial smtem&nts are an integral part of this statement.
-6-

s7,n4,531.29 s

53,074,786.48

4,197,141.70 10,512,267.35
7,207,622.74 694,388.00 36,507.00
1,708,650.00 315,639.61 30170.50

3,852210.84 9,690,887.13 6,621,126.06
583,845.00 46,917.00
1,342,453.00 299.256.21 26612.00

s_ _ 82476918.19

-"75~538=ec093=.72:.

DEPARTMENT OF PtJRI IC SAfEIY STATEMENT OF FUND$ AVAIJ .&Al EANQ EXPENpl]l..lRE.S
RtJt>GEI RJNP VEAR ENDEP JUNE :30 1995

EXHISIT"C"

EXPEHPfTYRfS
REGULAR QPfRATING EXPE;NSES
Ma- _,vehlclee_..
Supplies and Ropoirsand
~
R - (Olhorthan Roal em.) lnsunince and Bonding Claims and Indemnities Tu- and Scholanships
Olhor Open,ting e _ , . . . (See Schedule)
- r y ~ i t u n , s (See Schedule) Duplicating and Rapid Copy Publications and Printing
~
MOTOR YsHICI E P\JRCHASES
~
Eq~~ LNse/Pun:haseolEquipment Rental ol Equipment
COMPUTER CHARGES
OlhorCosls Supplies and Materials Repairs and Maintenance
Olhor Open,ting e _ . . (See Schedule)
Sollware Equipment
Equipment Purchases Per Diem, Fees and Contracts
Per Diem and Fees
~
Computar Billing,, DOAS
REAL ESTATE RENTALS
TF;LECOMMUNJCATIQNS
PJ;R QtEM FEES ANP CQNIRACTS
Per Diem and FOO$
~

TOTALS

YEAR ENDED

JUNE 30 1995

JUNE 30 1994

2,820,976.78 $ 4,194,962.110 1,857,008.23 1,633,53225
39,371.38 737,554.110
35,698.14 1,414.06
412,987.87 22,894.83 9,510.31 1145 513.54
12611416.00 $
286a11.u s
4 475 426.36 $

2,637,280.80 3,587,2~.98 1.807.-.11 1,941,279.92
~.035.52 857,141.99
17,24328 0.00
378,504.04 101,126.62 37,848.93 1042737.60
119558n.79
204 408.31
3585,!!70.39

$

1,3n.sso.45 s

74,613.65

110088.41

1~352.51 $

1,066,829.70 82,868.08 50681.38
1 200379.16

39,394.72 S 118,973.09
13,981.36 78,993.47
415,036.52
5,580.00 0.00
3121117.96
3 793 067.12 $
1 894 947.60 $
12!!!!495.31 $

45,187.57 101,085.60
9,053.00 90,881.20
301,810.60
891.00 2,000.00 3949499.24
4a!!Q,W21
238081.110
1~~-85

1,722,818.83 $ 602553.78
2 325 372.61 $

1,111,868.39 528057.18
1 639925.57

See Independent Accoumanfs Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement.
7-

QEPNUMENT OF PUBLIC SAFfD' STATEMENT OF FUNDS AYA.ltABLE ANP EXPENDITURES
BUQGEIFUNP YEAR ENDEP:AJNE ;v, 1ffl

EXHIBIT"C"

EXF1ENPID,JRES CAP[[AL cxrru.y
Pwlliom, FeN and Conncls Conncls

TOTALS

YEAR ENDED

JUNE 30 1995

JUNE 30 1994

175,000.00 $ _ _ _ _~0=.00~

CONVICTION REPORTS OlherCoots
Olher Operating ra__. (See Schedule)
6TATE PATROL P06T6 REPAIR AND MAINTENANCE OlherCoots Ropolrs and Mainlanance
DRIVER LICENSE PROCE661NG OlherCoots Public:ation and Printing
PEACE OFFICER& TRAINING GRANT& OlherCoots Grants 1D Counties. Cities, and Civil Divisions
HIGHWAY 6AFETY GRANT& Personal Senllc:es O In House Grants 5alaries and Wages E~~for: F.I.CA Reliramont Health Insurance OlherCoots Grants 1D Counties. Cities, and Civil Divisions
Total Other
Total Expenditun,s
Excess of Funds Available """'Expenditures

285069.75 $

309169.50

244 932.29 $

170798.42

1 030393.57 $

1125,103.56

3748854.84 $

3.227 666.08

89,867.84 $
6.522.67 18.573.60
3,629.90
2868306.67
2986900.68 $ 8296151.13 $
119.483,08427 $
1508557.75

168.605.52
12,290.92 35.284.24 21,082.82 2973.l!l!.33
3~10799.83 8043837.39
107,962,137.19
3066790.04

120 991622.02 $

111 02892723

See Independent Accountants Combined Report on RevieW of Financial Statements and Supplamonlaoy lnlcnnation. The notes to the financial statements are an integral part of this statement.
-8-

DEPARTMENT OF puet IC SAFETY
STATEMENT Of EllNPS AVAILAB\f ANP EXPENDITURES
COMPARED TO BUDGET
BUDGETFUNp
"A" DEPARTMfNT OF pusuc SAFETY
YEAR ENDED JUNE 30 1995

EXHIBIT"D"

FUNDS AVAILABLE ~
State Appropriation F-..I Revenues other Revenues Retained
CARRY-OYJ:R FROM PRIOR YEAR Transfer from Reserved Fund Balance

BUDGET

ACTUAL

VARIANCEFAVORABLE !UNFAVORABLE)

$

95,565,610.00 $

2,607,951.00

2,719,126.00

$

100,892,687.00 $

95,095,664.00 $ 2,270,306.36 2,427,640.25
99,793,810.61 $

-469,946.00 -337,644.64 -291,285.75
-1,098,876.39

50,000.00

1,317,283.82

1,267,283.82

$

100,942,687.00 $

101,111,094.43 $

168,407.43

EXPENDITURES
Personal Services Regular Operating Expenses Travel Motor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Capital Outlay Conviction Reports Stale Patrol Posts Repairs and Maintenance Driver License Processing

$

74,999,137.00 $

74,583,061.20 $

9,622,770.00

9,715,702.22

174,117.00

176,720.50

4,301,891.00

4,381,663.65

1,431,145.00

1,303,698.56

4,120,969.00

3,471,815.96

1,739,434.00

1,729,916.43

1,440,889.00

1,424,232.54

1,354,585.00

1,330,511.84

175,000.00

175,000.00

290,000.00

285,069.75

245,000.00

244,932.29

1,047,750.00

1,030,393.57

416,075.60 -92,932.22
-2,603.50 -79,m.ss 127,446.44 649,153.04
9,517.57 16,656.46 24,073.16
0.00 4,930.25
67.71 17,356.43

$

100,942,687.00 $

99,852,718.51 $

1,089,968.49

Excess of Funds Available over Expenditures

$

1,258,375.92 $

1,258,375.92

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. -9-

PEF>ABTMENI OE PUBUC SAEFJY
STATEMENT Of fUNDs AVAIJABLE AND EXPENDITURES
COMPARED IO BUPGEI BUPGETFUNP
s UNITS ATTACHEP FOB APMINISTBAJIYf PURPOSES ONbY
1 ATTACHED UNITS
YEAR ENDED JUNE 3P 1995

EXHIBIT"E"

FUNDS AVAlLABLE
.BMN.l/.E.S state Appropriation
Federal Revenues other Revenues Retained
QARBY-OllER FROM PBIQB YEAR Transfer from Reserved Fund Balance

BUDGET

ACTUAL

VARIANCEFAVORABLE (UNFAVORABLE)

$

13,785,227.00 $

13,785,227.00 $

497,852.00

384,078.40

1,847,746.00

1,802,233.42

$

16,130,825.00 $

15,971,536.82 $

0.00 -113,m.eo -45,512.58
-159,286.18

0.00

13,756.28

13,756.28

$

16,130,825.00 $

15,985,295.10 $

-145,529.90

EXPENDITURES
Personal Services Regular Operating Expenses Travel Mctor Vehicle Purchases Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Paace Officers Training Grants

$

7,518,274.00 $

7,395,784.73 $

2,911,725.00

2,s11, 1os.eo

106,744.00

93,172.34

93,100.00

93,762.71

256,274.00

254,328.96

278,966.00

279,508.74

102,114.00

90,082.40

160,088.00

158,517.14

901,017.00

828,326.40

3,802,523.00

3,748,854.84

122,489.27 100,619.40
13,571.66 -8;2.71 1,945.04 -542.74
12,031.eo 1,570.86
72,690.60 53,666.16

$

16.130.825.00 $

15,753,443.86 $

377,381.14

Excess of Fu- Available over Expenditures

231,851.24 $

231,851.24

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.
-10-

DEPARTMENT OF PUBLIC SAFEJY STATEMENT OF FUNDS AVAILABt E AND EXPENDITURES
COMPARED JO BUDGET BUQGETFUNP
s UNITS AUACHEP FOB APMINISIRATIYE PURPOSES ONLY ;1 OFFICE OF HIGHWAY SAFEJY
YEAR ENDED JUNE 3Q 1995

FUNDS AVAILABLE

BUDGET

ACTUAL

EXHIBIT"F"
VARIANCEFAVORABLE (UNFAVORABLE)

state Appropriation Federal Revenues
other Revenues Retained

307,518.00 $ 4,076,914.00
650.00

307,518.00 $ 3,587,714.49
0.00

0.00 -489,199.51
-650.00

4,385,082.00 $

3,895,232.49 $ ------'-,849_._51_

EXPENDITURES
Personal Services Regular Operating Expenses Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Highway Safely Grants

$

548,384.00 $

498,072.26 $

126,640.00
23,na.oo

84,608.18 16,324.60

5,068.00

4,324.99

42,090.00

41,742.42

78,161.00

74,648.n

4,800.00

3,745.63

214,190.00

166,534.37

3,341,971.00

2,986,900.68

50,311.74 42,031.82 7,453.40
743.01 347.58 3,512.23 1,054.37 47,655.63 355,070.32

$

4,385,082.00 $

3,876,901.90 $

508,180.10

Excess of Funds Available over Expenditures

$

18,330.59 $

18,330.59

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. -11-

QEPARTUfNT OE PUBLIC SAEEIX STATEMENT Of CASH RECEIPT$ AND DISBURSEMENTS
STATE REVENUE COLLECTIONS FUND YEAR ENPEP JUNE 30 1995

EXHIBIT"G"

STATE BEVFNUE COLLECTIONS
Drivers' Llcenle F -
e.a A and BU--
Four (4) v - -4,682 at $15.00
C.. Cand MU-Four (4) Years-1,201,28511! $15.00
Commerdal Drivers' Llcenle llepartment of Pui>llc Safely Tooting Four (4) YNIII - 1,318 at $65.00
a.-nFooru.r(u4) Y-NI-S - 56,413 llt $15.00 One (1) Yeor-140,226 111 $10.00 E--...ni.
4,147 llt $5.00 44911!$10.00 Handicapped Drivers' ldenllfication Cardo 126111$5.00 lndigenl ldenllfication Cards 2,319 Ill $5.00 LlmiledPermlla 2,415 Ill $25.00 -ryU-547 Ill $200.00 1,303 Ill $210.00 Public ldentHic:ation Canis 71,964111$10.00
OtherF--.!Reports Commercial Drivers' Llcenle Application Commercial Driverl' Training Commercial Drivers' Road Teol Driver Improvement Driver Selvic:es - Molor Vehicle Reports Emergency Light Application Implied Conoent Tranocript Copies Incident
LMimotloterdVellhrMiclnegIn-spection Stickers and Certificateo News Media 1-ication Card Application Fees No Faul Restoration and Conviction
Revocation and 8 - Reotoration
SrnaU Firearms Licenle Unldentllied
Tolal Caoh Receipts
CASH ANP CASH EQUIVALENTS - JULY 1 1994

CASH RECEIPI

$

70,230.00

18,019,275.00

85,670.00 846,195.00
1,402,260.00
20,735.00 4,490.00
630.00
11,595.00
60,375.00
109,400.00 273,630.00
719640.00 $ 21,624,125.00

$ 224,660.00 682,011.06 2,911.00
600.00 5,580.00 992,470.00 56,166.00 2,777.00
197.00 1,250.00 9n,142.oo
650.00 2,796,189.17 8,894,514.84
42,270.00 690.71

14 655 278.78

$ 36,279,403.78

0.00

$ 36 279 403.78

TRANSFERS To Office of Treasury and Fiscal Services
CASH AND CASH EOUI\/ALENTS - JUNE 30 1995

DISBURSEMENTS

$ 36,279,403.78 0.00

See I ~Accountant' Combined Report on Review of Financial Statements and Supplementary Information. Toe notes to the financial statements are an integral part of this statement.
-12-

$ 36 279 403.78

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT"H"

NOTE I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES.

REPORTING ENTITY The Department ofPublic Safety, an organizational unit ofthe State ofGeorgia, is part ofthe executive branch of the government of the State of Georgia. The Board of Public Safety, which consists of ten members, establishes general policy for the Department and with the Governor's approval, appoints the Commissioner ofPubic Safety. The Commissioner is empowered to supervise, administer and execute the functions vested in the Department, subject to the general policy ofthe Board ofPublic Safety.

In addition, certain agencies created by the General Assembly ofGeorgia have been administratively assigned to the Department ofPublic Safety in accordance with Official Code of Georgia Annotated Section 50-4-3. This code section provides that any agency attached to a department for "administrative purposes only'' will exercise its policy-making function, prepare its budget and submit its budget requests through the department, and hire its own personnel if provided for by the State of Georgia's Constitution or by statute. The code section further directs the department to which an agency is assigned to provide attached units the necessary administrative functions, and to include within the departmental budget the agency's budgetary request as a separate part of the budget and exactly as prepared and submitted by the agency. The agencies attached to the Department ofPublic Safety for administrative purposes only are as follows:

Budget Unit "B" 1.

Budget Unit "B" 2.

Georgia Fire Academy Georgia Firefighter Standards
and Training Council Georgia Peace Officer Standards
and Training Council Georgia Police Academy Georgia Public Safety Training
Center

Office of.Highway Safety

The Department ofPublic Safety and the attached agencies do not have authority to determine the amount of funding they will receive from the State ofGeorgia for any given fiscal year. Such authority is vested in the General Assembly ofGeorgia. The Department and the attached agencies also do not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, the Department of Public Safety and the attached agencies are included within the State of Georgia reporting entity for financial reporting purposes because of the significance of their legal, operational and financial relationships with the State of Georgia. These reporting entity relationships are defined in Section 2100 of the Governmental Accounting Standards Board Codification ofGovernmental Accounting and Financial Re_porting Standards.

FUND ACCOUNTING The Department of Public Safety uses funds and account groups to report on its financial position and the results ofits operations determined in conformity with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia. A fund is an independent fiscal and accounting entity with a selfbalancing set ofaccounts. Fund accounting segregates funds according to their intended purpose and is used

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DEPARTMENT OF PUBLIC SAFETY NOTES TO TifE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT"H"

NOTE I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FUND ACCOUNTING
to aid management in demonstrating compliance with finance-related legal and contractual provisions. The minimum number offunds are maintained consistent with legal and managerial requirements. Account groups are a reporting device used to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. Funds and account groups presented in the accompanying financial statements are as follows:
GOVERNMENTAL FUND TYPES
BUDGET FUND - The fund used to account for activities and functions as set forth in the Amended Appropriations Act of 1994-1995. The Budget Fund is similar in nature to a General Fund as identified in generally accepted accounting principles in that the Budget Fund is used to account for all activities except those required to be accounted for in some other fund.
STATE REVENUE COLLECTIONS FUND - The fund used to account for the collection of specific revenues ofthe State ofGeorgia as provided by statute or administrative action and the subsequent transfer of such funds to the Office of Treasury and Fiscal Services. This presentation differs from generally accepted accounting principles in that such activity should be included in the General Fund of the governmental organization.
FIDUCIARY FUND TYPE
AGENCY FUNDS - The funds used to account for assets held for use by other funds, governments, or individuals.
ACCOUNT GROUPS
GENERAL FIXED ASSETS - The account group used to account for fixed assets used in governmental fund type operations. Fixed assets purchased are recorded at cost or at estimated historical cost if historical cost is not practically determinable. Donated fixed assets are recorded at fair market value on the date dC\ratoo. Disposals are deleted at recorded values. No depreciation has been provided on general fixed assets.
The cost ofnormal maintenance and repairs that do not add to the value of the asset or materially extend assets' lives are not included in the General Fixed Assets Account Group. Material improvements adding to the value or useful life of the assets are included in the General Fixed Assets Account Group.
GENERAL LONG-TERM DEBT - The account group used to report the noncurrent portions of certain governmental long-term liabilities, such as claims, judgments and compensated absences, which will be paid from future resources.
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DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT"H"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING MEASUREMENTFOCUS
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. Governmental funds should be accounted for using the flow of current financial resources measurement focus. Wrth this measurement focus, operating statements present increases and decreases in net current assets and unreserved fund balance is a measure ofavailable spendable resources. In accordance with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, the Budget Fund remits its unreserved fund balance (surplus) to the Office of Treasury and Fiscal Services in the subsequent fiscal year.
GOVERNMENTAL FUND TYPES BUDGET FUND
Except as disclosed in the following paragraphs, units of government of the State of Georgia record their Budget Fund revenues and expenditures in accordance with the modified accrual basis of accounting. Under the modified accrual basis ofaccounting, revenues are recognized when susceptible to accrual (i.e., when they are "measurable and available"). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. Revenues that are accrued include primarily State appropriations, Federal grants and entitlements, and certain amounts earned under operating agreements with other parties. Expenditures are recorded when the related fund liability is incurred, except for unmatured interest on general long-term debt which is recognized when due, and certain compensated absences, claims and judgements which are recognized when the obligations are expected to be liquidated with expendable available financial resources.
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 of contracts for goods and services. The recognition ofencumbrances 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 of encumbrances as a reservation offund balance. Further, revenue recognition for expenditure-driven grants should be based upon expenditures determined in accordance with generally accepted accounting principles.
Prior period adjustments and certain other items are reported as additions to and deductions from fund balances ofthe Budget Fund 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.
STATE REVENUE COLLECTIONS FUND The State Revenue Collections Fund is maintained on the Cash Receipts and Disbursements basis of accounting as prescribed or permitted by statutes and regulations of the State of Georgia. This basis of accounting is defined as that method of accounting in which certain revenue and the related assets are
- 15 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXIIlBIT "H"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING GOVERNMENTAL FUND TYPES STATE REVENUE COLLECTIONS FUND
recognized when received rather than when earned, and certain expenses are recognized when paid rather than when the obligation is incurred. The State Revenue Collections Fund, which should be included in the General Fund in accordance with generally accepted accounting principles, should be maintained on the modified accrual basis ofaccounting.
FIDUCIARY FUND TYPE AGENCY FUNDS
Agency Funds are custodial in nature and do not measure results of operations or have a measurement focus. The modified accrual basis of accounting is utilized for recognizing assets and liabilities.
BUDGET Appropriation allotments to the Department ofPublic Safety are on the basis of budgets submitted by the Department and approved by the Legislature and the Governor. The budgets are adopted on a basis consistent with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia and are compiled in the same manner as all State departments. Expenditures are classified by budget unit object classes as provided in Act No. 1208 of Georgia Laws 1994 (as approved April 18, 1994) and amended by Act No. 6 ofGeorgia Laws 1995 (as approved February 22, 1995), which is an appropriated budget and is referred to in these notes as the Amended Appropriations Act of 1994-1995.
Overexpenditure of a budget unit object class, except for the "common object classes", included in the Department's final amended budget is in violation of Section 80 ofthe 1994-1995 Amended Appropriations Act. Expenditures ofno more than 102% of the stated amount for each common object class are authorized by Section 80. However, the total expenditure for the group of common object classes may not exceed the sum of the stated amounts for the separate object classes ofthe group. The common object classes include Personal Services, Regular Operating Expenses, Travel, Motor Vehicle Purchases, Equipment, Computer Charges, Real Estate Rentals, Telecommunications and Postage.
CASH AND CASH EQUIVALENTS Cash and Cash Equivalents include currency on hand, demand deposits with banks and other financial institutions, and cash management pools that have the general characteristics of demand deposit accounts in that the Department may deposit additional cash at any time and also may withdraw cash at any time without prior notice or penalty.
INVESTMENTS Investments are defined as those financial instruments with terms of three months or more from the date of purchase and certain other securities held for the production of revenue. Investments are stated at cost.

- 16 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT"H"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
INVENTORIES Inventories ofsupplies are valued at cost on the Combined Balance Sheet (Statutory Basis) based on the last price paid for each item. The purchases method is used to account for inventories whereby supply items are recorded as expenditures when purchased.
RESERVED FUND BALANCE Reserves represent those portions of fund equity not appropriable for expenditure or legally segregated for a specific future use. The following is a brief description of the reserves reflected in the accompanying financial statements:
INVENTORIES Reported inventories, under the purchases method, are equally offset by an amount to indicate that they do not constitute "available spendable resources" even though they are a component of net current assets.
DRUG ASSET SHARING PROGRAM Funds received for this program represent the residual portion of drug related asset seizures not yet expended or encumbered. This amount is restricted for expenditure in future years.
FULLER E. CALLAWAY FOUNDATION Funds donated to the Georgia Peace Officer Standards and Training Council for the purpose of Police Chaplain Training. This amount is restricted for expenditure in future years.
UNRESERVED FUND BALANCE In accordance with accounting practices prescribed or permitted by statutes and regulations of the State of Georgia, the Budget Fund's unreserved fund balance is remitted to the Office of Treasury and Fiscal Services in the subsequent fiscal year as surplus. This amount of unexpended general appropriations is available to the State for reappropriation in subsequent years.
COMPENSATED ABSENCES Compensated absences represent obligations of the Department ofPublic Safety relating to employee's rights to receive compensation for future absences based upon services already rendered. This obligation relates only to vesting accumulating annual leave in which payment is probable and can be reasonably estimated. No liability has been recorded in the individual funds for the current portion of this obligation as this amount will not be liquidated with expendable available financial resources. Funds are provided in the appropriation of funds each year to the Department to cover the cost of annual leave paid to terminated employees.
The liability for compensated absences at year end is reported in the General Long-Term Debt Account Group for governmental funds.

- 17 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT"H"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
MEMORANDUM ONLY - TOTAL COLUMNS Total columns on the Combined Statements (Statutory Basis) 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, results of operations 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.
COMPARATIVE DATA Comparative total data for the prior year have been presented in selected sections of the accompanying financial statements in order to provide an understanding of the changes in the Department's financial position and operations. Comparative totals have not been included on statements where their inclusion would not provide enhanced understanding of the Department's financial position and operations or would cause the statements to be unduly complex and difficult to understand. Also, certain amounts presented in the prior year data have been reclassified in order to be consistent with the current year's presentation.
NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS
STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds of the State of Georgia 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:
(I) Bonds, bills, certificates of indebtedness, notes, or other direct obligations ofthe United States or of the State of Georgia.
(2) Bonds, bills, certificates ofindebtedness, 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 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.
- 18 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT "H"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS AND INVESTMENTS

STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES (6) Guarantee or insurance ofaccounts 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 ofthe State of Georgia the option of exempting demand deposits from the collateral requirements.

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, 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 Department or by its agent in the Department's name.

Category 2 - Amounts collateralized with securities (at market value) held by the pledging financial institution's trust department or agent in the Department'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 Department's name, and amounts uncollateralized.

Cash Deposits

Carrying Amount

Bank Balances

Risk Categories

s 223 3JO s1 s s 25s 263 50 s 1314 021 66 s._==ad<.ooo.., s 6 211 962 J4

CATEGORIZATION OF INVESTMENTS Investments are stated at cost. The carrying amount of the investment balance as ofJune 30, 1995, shown below is maintained in an investment pool by the Office of Treasury and Fiscal Services and is not subject to risk categorization.

Type oflnvestment

Carrying Amount

Market Value

State Investment Pool

$ 37 543 64 $ 37 543 64

NOTE 3: OPERATING LEASES

The Department has entered into certain agreements to lease real property and equipment which are classified as operating leases. These leases generally contain provisions that, at the expiration date of the original term of the lease, the Department of Public Safety has the option of renewing the lease on a year-to-year basis.

- 19 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXlilBIT "H"

NOTE 3: OPERATING LEASES

Future minimum commitments for operating leases as of June 30, 1995, 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

1996

$ 295 247 ]6

Expenditures for rental of real property and equipment under operating leases for the year ended June 30, 1995, totaled $2,044,107.40.

NOTE 4: INSTALLMENT PURCHASE AND CAPITAL LEASE COMMITMENTS

The Department of Public Safety acquires certain property and equipment through multi-year installment purchases or capital leases with varying terms and options. The majority ofthese agreements contain fiscal funding clauses in accordance with O.C.G.A. 50-5-64 which prohibits the creation ofa 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, installment purchases/capital leases requiring appropriation by the General Assembly of Georgia are considered noncancellable for financial reporting purposes.

At June 30, 1995, future minimum commitments under installment purchases and capital leases for equipment are as follows:

Fiscal Year Ending June 30
1996 1997 1998
Total Future Minimum Commitments
Less: Amounts Representing Interest
Present Value of Future Minimum Commitments
Installment Purchases Capital Leases

$ 69,526.25 37,651.04 12 684.80
$ 119,862.09
13 919.83
$ ]05 942 26
$ 105,168.36 773.90
$ 105 94226

NOTE 5: CHANGES IN GENERAL FIXED ASSETS

In accordance with the statutory definition of moveable personal property as defined in Official Code of Georgia Annotated Section 50-16-161, only those items with an acquisition cost ofSl,000.00 or greater are reflected in the General Fixed Assets Account Group.

-20-

DEPARTMENT OF PUBLIC SAFETY NOTES TO TiiE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "H"

NOTE 5: CHANGES IN GENERAL FIXED ASSETS

The following is a summary of changes of equipment in the General Fixed Assets Account Group during the fiscal year:

Balance July I, I994
Additions Deductions
Balance June 30, 1995
NOTE 6: GENERAL LONG-TERM DEBT

$35,744,697.64
6,149,474.01 3 442 241.70
$38 451 929 95

CHANGES IN GENERAL LONG-TERM DEBT A summary of changes in General Long-Term Debt for the year ended June 30, 1995, follows:

Compensated Absences

Balance July I, I994

$7,147,449.62

Additions Annual Leave Earned and Utilized (Net) Salaries Salary Related Fringe Benefits

295,075.11 22,573.25

Deductions

Balance June 30, 1995

$ 7 465 097 98

Installment
Purchase/ Capital Lease Commitments

Total

$ 173,901.05 $7,321,350.67

295,075.11 22,573.25

67 958.79

67 958.79

$ 105 942 26 $ 7 571 04Q 24

NOTE 7: RISK MANAGEMENT

Public Entity Risk Pool

The State Personnel Board, Merit System of Personnel Administration internally administers for the State of Georgia a program of health benefits for the employees ofunits ofgovernment ofthe State of Georgia and units of county government and local education agencies located within the State of Georgia. This plan is funded by participants covered in the plan, by employers' contributions paid by the various units of government participating in the plan, and appropriations made by the General Assembly of Georgia. The State Personnel Board, Merit System ofPersonnel Administration has contracted with Blue Cross Blue Shield of Georgia to process claims in accordance with the State Employees' Health Benefit Plan as established by the State Personnel Board.

- 21 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO TIIB FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT"H"

NOTE 7: RISK MANAGEMENT
Other Risk Management
The Department ofAdministrative Services (DOAS) has the responsibility for the State of Georgia of making and carrying out decisions that will minimize the adverse effects of accidental losses that involve State government assets. The State believes it is more economical to manage its risks internally and set aside assets for claim settlement. Accordingly, DOAS services claims for risk of loss to which the State is exposed, including general liability, property and casualty, workers' compensation, unemployment compensation, and law enforcement officers' indemnification. Limited amounts of commercial insurance is purchased applicable to property, employee and automobile liability, fidelity and certain other risks. The Department of Public Safety 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.
NOTE 8: DEFERRED COMPENSATION PLAN
The State ofGeorgia offers its employees a deferred compensation plan in accordance with Internal Revenue Code Section 457. The plan, available to employees of the State of Georgia and county health departments, 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 or rights of the State of Georgia subject only to the claims of the State's general creditors. Participant's rights under the plan are equal to those of a general creditor ofthe State of Georgia in an amount equal to the fair market value of the deferred account of 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.
NOTE 9: RETIREMENT PLANS
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA
Plan Description The Department of Public Safety participates in the Employees' Retirement System of Georgia ("ERS"), a single-employer, defined benefit plan established by the General Assembly of Georgia for the purpose of providing retirement allowances for employees ofthe State ofGeorgia. The Department's payroll for the year ended June 30, 1995, for employees covered by ERS was $56,262,885.50. The Department's total payroll for all employees was $57,864,399.13.

- 22 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXHIBIT "H"

NOTE9: RETIREMENTPLANS
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA
Benefits The benefit structure ofERS was significantly modified on July 1, 1982. Unless elected otherwise, an employee who currently maintains membership with ERS based upon State employment that started prior to July 1, 1982, is an "old plan" member subject to the plan provisions in effect prior to July 1, 1982. All other members are "new plan" members subject to the modified plan provisions.
Members become vested after 10 years of creditable service. A member may retire and receive nonnal retirement benefits after completion of 1Oyears of creditable service and attainment of age 65. Retirement benefits paid to members are based upon a fonnula which considers the monthly average of the member's highest eight consecutive calendar quarters of salary, the number of years of creditable service, and the member's age at retirement. Postretirement cost-of-living adjustments are also made to member's benefits. The normal retirement pension is payable monthly for life; however, options are available for distribution of the member's monthly pension at reduced rates to a designated beneficiary upon the member's death. Death and disability benefits are also available through ERS. If 10 years of service is completed and age 60 is reached, the member may retire with a reduced benefit. Additionally, there are certain provisions allowing for retirement after 30 years of service regardless ofage.
Contributions Required and Contributions Made Under the old plan, member contributions consist of employee contributions paid by the employee of 1.25% of annual compensation and 4. 75% ofannual compensation paid by the Department on behalf of the employee. Under the new plan, member contributions consist solely of 1.25% of annual compensation paid by employee. The Department also is required to contribute at a specified percentage of active member payroll determined annually by actuarial valuation. For the year ended June 30, 1995, the ERS employer contribution rate for the Department amounted to 17.88% of covered payroll and included the 4.75% contributed on behalf of the employee referred to above. Contributions are also made on amounts paid for accumulated leave of retiring employees.
Total contributions to the plan made during fiscal year 1995 amounted to $10,760,998.57, of which $10,057,712.S I was made by the Department and $703,286.06 was made by employees. These contributions met the requirements of the plan.
Funding Status and Progress Pension Benefit Obligation
The amount shown as the "pension benefit obligation" is a standardized disclosure measure of the present value ofpension benefits, adjusted for the effects ofprojected salary increases and step-rate benefits, estimated to be payable in the future as a result of employee service to date. The measure is intended to help users assess the funding status ofERS on the going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due and make comparisons among employers. The measure is the actuarial present value of credited projected benefits, and is independent of the funding method used to determine contributions to the plan.
-23 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT "H"

NOTE9: RETIREMENTPLANS

EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA

Funding Status and Progress Pension Benefit Obligation
The pension benefit obligation was computed as part of an actuarial valuation performed as ofJune 30, 1994. Significant actuarial assumptions used in the valuation include the following:

1) The present value offuture pension benefits paid was computed using a discounted rate of 7.5 percent. This rate is also the same rate assumed to be earned on investments in the plan in future years.
2) Future pension payments reflect the following assumed salary increases as a result of inflation and merit
increases:

~

Percentage

20

9.5%

25

8.5%

30

6.5%

35

6.0%

40 to 65

5.7%

3) ERS has the authority to grant cost-of-living adjustments by state statute. As of June 30, 1994, cost-ofliving adjustments have been included in the pension benefit obligation.

The total unfunded pension benefit obligation ofERS as of June 30, 1994, was $310,149,000, as follows:

Pension Benefit Obligation:
Retirees and Beneficiaries Currently Receiving Benefits and Terminated Employees Entitled to Benefits but Not Yet Receiving Benefits
Current Employees
Accumulated Contributions
Employer-Financed Vested
Employer-Financed Nonvested
Total Pension Benefit Obligation
Net Assets Available for Benefits
Unfunded Pension Benefit Obligation

$ 2,227,653,000
648,516,000 1,085,190,000 1206805 000 $5,168,164,000 4 858 015 000 $ 310 149 000

- 24-

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXIIlBIT "H"

NOTE9: RETIREMENTPLANS
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA
Funding Status and Progress Pension Benefit Obligation
The measurement ofthe total pension benefit obligation is based on an actuarial valuation as ofJune 30, 1994. Net assets available for benefits were valued as ofthe same date. ERS does not make separate measurements ofassets and pension benefit obligation for individual employers.
Funding Policy The ERS funding policy provides for periodic employer contributions at actuarially determined rates that, expressed as percentages ofannual payroll, are sufficient to accumulate sufficient assets to pay benefits when due. Level percentage of payroll employer contribution rates are determined using the entry age funding method. ERS also uses the level percentage of payroll method to amortize the unfunded liability within approximately 20 years following the valuation date.
Total contributions from all employers to ERS for the year ended June 30, 1995, were $256,624,679.00. The Department's contribution was actuarially determined and represented 3.92% of total contributions made by all participating employers.
Significant actuarial assumptions used to compute contributions are the same as those used to compute the standardized measure of pension obligation.
Trend Information Historical trend information is presented in the financial report ofERS 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.
GEORGIA DEFINED CONTRIBUTION PLAN
Plan Description The Department of Public Safety participates in the Georgia Defined Contribution Plan ("GDCP") which is a single-employer defined contribution plan established by the Georgia General Assembly in July 1993 for the purpose ofproviding 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 Employees' Retirement System Board of Trustees. The Department's payroll for the year ended June 30, 1995, for employees covered by GDCP was $131,107.59. The Department's total payroll for all employees was $57,864,399.13.

- 25 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT "H"

NOTE9: RETIREMENTPLANS
GEORGIA DEFINED CONTRIBUTION PLAN
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. If a member has less than $ 3,500 credit to hi&'her account, the Board has the option of requiring a lump sum distribution to the member in lieu of making 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 contnbutions. Earnings are credited to each member's account in a manner established by the Board. Upon termination ofemployment, 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 $9,833.55 which represents 7.50% of covered payroll. These contributions met the requirements of the plan.
NOTE 10: LEAVE POLICIES
Employees earn ten hours of sick leave each month with a maximum accumulation of ninety days. Unused accumulated sick leave does not vest with the employee and is forfeited upon retirement or termination of employment.
Employees earn annual leave ranging from ten to fourteen hours each month depending upon the employees' length ofcontinuous State service with a maximum accumulation of forty five days. Employees are paid for unused accumulated annual leave upon retirement or termination of employment. See Note 1 - Compensated Absences.
Certain employees who retire with one hundred and twenty days or more of forfeited annual and sick leave are entitled to additional service credit in the Employees' Retirement System of Georgia.
NOTE 11: NONMONETARYTRANSACTIONS
The Georgia State Financing and Investment Commission (GSFIC), a unit of State government, is responsible for the issuance of state debt and for the investment and accounting for proceeds derived from the issuance of state debt. In addition, GSFIC is authorized to acquire and construct projects for the benefit of units of State government or to contract with units of State government for the construction or acquisition of capital outlay projects. During the fiscal year ended June 30, 1995, the Georgia State Financing and Investment Commission paid $198,549.65 to various vendors for approved projects related to the Department ofPublic Safety.

- 26 -

DEPARTMENT OF PUBLIC SAFETY NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXIIlBIT "H"

NOTE 12: CONTINGENCIES
Amounts received or receivable from granter agencies are subject to audit and adjustment by granter agencies. This could result in refunds to the granter agency for any expenditures which are disallowed under grant terms. The amount of expenditures which may be disallowed by the granter cannot be determined at this time although the Department expects such amounts, if any, to be immaterial to its overall financial position.
Litigation, claims and assessments filed against the Department of Public Safety, if any, are generally considered to be actions against the State of Georgia. 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.
State law and Federal regulations require that underground storage tank systems throughout the State of Georgia meet certain standards by December 1998. These requirements are mandated by the Official Code ofGeorgia Annotated Title 12 Chapter 13 Underground Storage Tanks and Title 40 of the Code ofFederal Regulations, Part 280. Cost estimates for the Department of Public Safety to upgrade existing facilities to comply with these standards range from $1,132,400.00 to $1,242,200.00. As ofthe date ofthis report, the State ofGeorgia is evaluating various options for ensuring compliance with the standards. As a result, a final estimate could not be accurately projected.
NOTE 13: BONDING INFORMATION
The Commissioner and all employees ofthe Department ofPublic Safety are bonded under a Public Employees Blanket Bond written by Employers Insurance of Wausau, their Bond No. 1450-00-110723, on which the premium was paid to October 1, 1995. Under this agreement the Public Employee Dishonesty Coverage insures the Department to a maximum ofSl,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees. The Faithful Performance ofDuty Coverage insures the Department to a maximum of $1,000,000.00 against loss sustained from failure of its employees to perform faithfully their duties or to account properly for all monies and property received by virtue of their position or employment.
All employees ofthe Department of Public Safety are also bonded under Commercial Crime Policies written by the United States Fire Insurance Company, their Policy Nos. 626 012292 6 and 626 012294 4, on which premiums were paid to October 1, 1995. Under these additional public employee dishonesty coverages, the policies insure the Department to a maximum of$9,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees.

-27 -

Blank

SUPPLEMENTARY INFORMATION -29-

EXHIBIT"I"

~
cash and cash Equivalents Accounts Receivable
state Appropriation Federal Financial - n e e Other
Inventories
Tolal Aasets
LIA!!ILITIE ANQ FUNQ EQlllD'. Liabilities
Cash OVerdraft Accounts Payable Payroll Withholdings
Tolal Liabilities Fund Equity
Fund Balances Reserved Inventories Drug Asset Sharing Program Fuller E. CallaWay Foundation Unreserved Designated Surplus Tolal Fund Equity
Tolal Liabiltties and Fund Equity

"A" DEPARTMENT OF PUBLIC SAFETY

"B" UNITS ATTACHED FOR

ADMINISTRATIVE PURPOSES ONLY

1.ATTACHED

2. OFFICE OF

UNITS

HIGHWAY SAFETY

TOTAL

$

1426811.37

$

2,071,133.72 $

383,665.46

424958.98

$

2879758.16 $

$

1 249 549.06 $

1,365.39 $ 107,102.17 215028.39
323495.95 $
337419.92

$

4129307.22 $

2087727.24 $

$ 1426 811.37

1,000,068.04 $ 118,516.09 0.00
1118584.13 $
$

3,072,567.15 609,283.72 639987.37
4321838.24
1586968.98

1118584.13 $ 7335618.59

$

4n,593.20

$

1,137,033.92 $

1,445,194.36

10886.52

$

1 625 513.64 $

1 445 194.36 $

1,004,832.86 $ 95,314.04
1100146.90 $

1,482,426.06 2,6n,542.32
10886.52
4170854.90

$

1,249,549.06 $

1,238,021.16

16 223.36

$

2 503 793.58 $

337,419.92 1,914.38
303198.58 $ 642532.88 $

4129 307.22 $

2 087 727.24 $

$ 1,586,968.98 1,238,021.16
1,914.38

18437.23 18437.23 $

337 859.17 3164 763.69

1118584.13 $ 7335 618.59

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

DEPARTMENT OF pueuc SAFETY
COMBINING STATEMENT OE CHANGES IN FUNP BAlANCfS JSTAT\ITPRY BASIS>
BUDGET FUND
YEAR ENDED JUNE 3Q 1995

EXHIBIT"J"

EL!tU~ MLAt:i~~S ~ J!JI Y l
ReseMld UIVN8Mld
Designated Surplus
~ Adjusbnents to Prior Yea(s Accounts Payable Excess of Funds Available over Expenditures E>chibit"K" Increase In Reserve for Inventories
DfDUCT!ONS
Unreserved Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 1994
Adjusbnents to Prior Yea(s
Accounts Receivable Decrease In Reserve for Inventories Reserved Fund Balance carried Over from
Prior Year as Funds Available
FUf!!D B,!ll ,!INCl;aS JUNE ilQ
(To Exhibit "I")

"A" DEPARTMENT OF PUBLIC SAFETY

"B" UNITS ATTACHED FOR

ADMINISTRATIVE PURPOSES ONLY

!.ATTACHED

2. OFFICE OF

UNITS

HIGHWAY SAFETY

TOTAL

$

2,707,102.54 $

315,181.60

1 514457.12

354521.17 $

$

4 221 559.66 $

669702.77 $

$ 3,022,284.14

6509.46

1875487.75

6509.46 $ 4897771.89

$

66,245.99 $

76,774.76 $

1,258,375.92

231,851.24 35994.60

$

1324621.91 $

344620.60 $

106.64 $

143,127.39

18,330.59

1,508,557.75 35994.60

18437.23 $ 1687679.74

$

1,514,457.12 $

354,521.17 $

70,377.39 140,269.66

3,513.04

1 317283.82

13756.28

$

3 042 387.99 $

371790.49 $

$

2 503 793.58 $

642532.88 $

6,509.46 $ 1,875,487.75 73,890.43 140,269.66
1 331 040.10 6 509.46 $ 3420687.94
18437.23 $ 3164763.69

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

QEPABJUfNT QE ptJRL IC AFfIY COMR1NING STATEMENT Of Ft INQ AVAILABl EAND fXPENQffiJBFS
BUQGEJFUNP YEAR ENPfP nNF 39 1995

EXHIBIT"K"

RJNQS AVAIi AR\ E

~

STAlE APPROPRIATION

General Appropriation

Amended Appropriation

Gowmor'o Erne,gency Fund

~ AdjUlllmenls

La- Leas:

Furm

Total Slate Appropriation

FEDERAL REVENUES

OTHER REVENUES RETAINED (See Schedule)

Total Re-..enues

CARRY:Q\IEB FROM PRIOR YfAR

Transfer from Re&eNed Fund Balance Federal Financial Assi&tance Drug Asset Sharing Program Fuller E. Callaway Foundation McCollum Airport Construction

Total Carry-C)wer from Prior Year

A"
DEPARTMENT OF PUBLIC SAFETY

"B" UNITS ATTACHED FOR

ADMINISTRATIVE PURPOSES ONLY

1. AIIAti-lEb

2. 61-FICb Of

UNITS

HIGH\NAY SAFETY

TOTAL

93,109,840.00 S 2,560,no.oo
-105 000.00

13,698,074.00 S 62,153.00 25,000.00

95,565,610.00 S 13,785,227.00 $ "1699"6.00

95,095,664.00 $ 13,785,227.00 $

2,270,306.36

384,078..40

2427 840.25

1802233.42

99 793 810.61 S 15 971 538.82 $

$ 1,267,283.82
50 000.00
1 317 283.82 $

10,000.00 3,756.28
13 756.28

307,518.00 $

107,115,432.00 2,622,923.00 25,000.00 -105 000.00

307,518.00 S 109,658,355.00 "1699"6.00

307,518.00 $ 109,188,>9.00

3,587,714.49

6,242,099.25

4 230073.67

3 895 232.49 $ 119660581.92

10,000.00 1,267,283.82
3,756.28 50 000.00
1 331 040.10

Total Funds Available

101111 094.43 S 15 985 295.10 $

3 895 232.49 S 120 991 622.02

EXPENPffiJRfS
PEBSQNA( SfRVICfS
Salaries and Wages Emplo'y'er's Contributions for
F.1.C.A Retirement Health Insurance Personal Liability Insurance Unemployment Compensation Insurance Workers' Compensation Insurance Assessments by Mem System Drug Testing
REGU[ AR QPFRATING EXPENSES
Motor Vehicle Expenses Supplies and Materials Repairs and Maintenance Utilities Rents (Other than Real Estate) Insurance and Bonding Claims and Indemnities Tuition and Scholarships Other Operating Expenses (See Schedule) Extraordinary Expenditures (See Schedule) Duplicating and Rapid Copy Publications and Printing
TRAVEi
MOTOR VfHICL E PURCHASES
fQlllPMENT
Equipment Purchases Lease/Purchase of Equipment Rental of Equipment

52,026,835.60 $
3,784,222.41 9,618,906.50 6,500,936.31
660,790.00 32,775.00
1,630,628.00 297,808.88 30158.50
74 583 061.20 S

5,380,990.00 S
386,029.30 837,549.31 661,515.09
32,028.00 3,652.00
76,617.00 17,392.03
12.00
7 395 784.73 S

2,682,323.48 $ 2,821,211.44 1,601,467.04
802,281.32 25,058.57
679,244.47 35,698.14
306,412.00 22,884.83 9,148.60
729 972.33
9 715 702.22 S
176 720.50 S
4 381 663.65 S

137,565.26 $ 1,338,632.04
253,254.19 831,250.93
11,908.43 57,887.33
1,414.06 91,240.50
104.25 87 848.61
2 811105.60 $
93172.34 $
93 762.71

1,160,832.29 $ 37,501.53
105 364.74
1 303 698.56 $

215,625.52 $ 37,112.12 1 591.32
254 328.96 $

366,705.69 $
26,889.99 55,811.54 45,171.34
1,570.00 80.00
1,405.00 438.70
498 072.26 $

57,774,531.29
4,197,141.70 10,512,267.35
7,207,622.74 694,388.00 36,507.00
1,708,650.00 315,639.61 30 170.50
82 476 918.19

1,088.04 S 35,119.32
2,288.00
2,404.39 423.00
15,335.37
257.46 27 692.60
84608.18 $
16 324.60 S

2,820,976.78 4,194,962.80 1,857,009.23 1,633,532.25
39,371.39 737,554.80
35,698.14 1,414.06
412,987.87 22,884.83 9,510.31
845 513.54
12 611 416.00
286 217.44
4 475 426.36

1,192.64 S 3132.35 4 324.99 $

1,377,650.45 74,613.65
110 088.41
1562352.51

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

EXPENQITVBES
CQMP!,JTfB QHARGfS
Cllhereo.ts S-ondMRepairs and Maintenance Cllhero,,erating-(See Sehedule)
Software Equipment
Equipment Purcilaes Per Diem, Fees and Contracts
Per Diem and Fees Computer Bimngs, DOAS
REAi ESTAJE RFNIAJ S JELgcouu1 tNICA'MONS el;:B QIEM B;E. ~Q QQr:!!BArn
Per Diem and Fees
~
CAPITAL Qlm,AY
Per Diem, Fees and Contracts
Contracts
QI!:IER
CONVICTION REPORTS Cllhereo.ts Other Operating _,... (See Schedule)
STAlE PATROL POSTS REPAIRS AND MAINTENANCE Cllhereo.ts Repairs and Maintenance
DRIVER LICENSE PROCESSING OtherCost& Publieation and Printing
PEACE OFFICERS TRAINING GRANTS Other Costs Grants to Counties, Cities and Civil Divisions
HlGH\NAY SAFETY GRANTS Personal Services. In House Grants Salaries and Wages Employer's Contributions for: F.1.C.A. Retirement Health ln&Urance Other Costs Grants to Counties, Cities and Civil Divisions
Total other
Tota! Expenditures
Excess ~ Funds Available over Expenditures

EXHIBIT"K"

"A" DEPARTMENT OF PUBLIC SAFETY

"B'' UNITS ATTACHED FOR

ADMINISTRATIVE PURPOSES ONLY

1. Ai iACHEb

2. OFFICE bi-

UNITS

HIGHWAY SAFETY

TOTAL

14,301.70 $ 104,963.39
28,855.01
250,005.72
190.00 3 073 500.14
3 471 815.96 $
1 729 916.43 $
1 424 232.54 $

24,021.17 $ 13,623.33 13,981.36 48,961.53
148,086.98
5,390.00 25 444.37
279508.74 S
90082.40 S
158 517.14 S

967,600.37 $ 362 911.47
1330511.84 $

706,221.91 $ 122104.49
828 326.40 S

175 000.00

1,061.85 $ 386.37
1,176.93 16,943.82
22173.45 41 742.42 $
74648.n s
3 745.63 S

39,384.72 118,973.09
13,981.36 78,993.47
415,036.52
5,580.00 3121117.96
3 793067.12
1894647.60
1586495.31

48,996.55 S 117 537.82
166 534.37 $

1,722,818.83 602553.78
2 325 372.61

175 000.00

285 069.75 244 932.29 1030393.57
3 748 854.84

1 560 395.61 $ 99,852,718.51 $
1258375.92

3 748 854.84 $ 15,753,443.86 S
231 851.24

101111 094.43 $ 15 985 295.10 $

285 069.75

2-44 932.29

1030393.57

3 748 854.84

89,867.84 $
6,522.67 18,573.60
3,629.90
2 868 306.67
2 986 900.68 $
2 986 900.68 $
3,876,901.90 $
18 330.59

89,867.84
6,522.67 18,573.60
3,629.90
2 868 306.67
2 986 900.68
8 296151.13
119,483,064.27
1508557.75

3 895 232.49 $ 120 991 622.02

see accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary /nformat,on
.33.

DEPARTMENT OF PUBLIC SAFETY COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FIDUCIARY FUND TYPE - AGENCY FUNDS YEAR ENDED JUNE 30 1995

EXHIBIT"L"

FUND Bureau of Safety Responsibility Fund Death Benefit Fund Georgia Public Safety Memorial Fund Georgia Public Safety Training Center Memorabilia Sales Fund

ASSETS/ LIABILITIES JULY 1 1994

ADDITIONS

DELETIONS

ASSETS/ LIABILITIES JUNE 30 1995

$

49,168.93 $ 11,126.90 $ 22,752.19 $

37,543.64

175,651.11

103,332.14

108,323.44

170,659.81

282,739.32

45,007.63

152,472.75

175,274.20

8 207.04

102 303.70

103 280.36

7 230.38

$ 515,766.40 $ 261,770.37 $ 386,828.74 $

390,708.03

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-34-

FUNQSAVAll..ABlc
~ State Appropriation Federal Revenues Other R<MlnuN Relained
~BY:2ll;B EBQM PB!QB yg!!B Transferfrom RNeMld Fund Balance
EXPENQIDJRES
PersonalSemces Regular Operating Expenses Travel Moler Vehicle Purchases Equipment Computer Cha,Real Estate Rentab. T eJecommunications Per Diem, Fees and Contracts Capital Outlay Canviclion Reports State Patrol Posts Repairs and Maintenance Drive, Llcense Pnx:es&ing

PEPMTIFNT OF PUBLIC SAFfIY SCHEDULE OF AppRQVEP BLJQGEI A DfPARJMENT QF PUBLIC SAFeTV
VEAR FNQsP JUNE ?A 19!?

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

BUDGET ADJUSTMENTS

SCHEDULE 1 TOTAL

93,109,IMO.OO $ 1,SS0,000.00
94,759,IM0.00 $

2,560,770.00 $ 2,580,770.00 $

-105,000.00 $ 2,807,951.00 1,069,126.00
3,sn.on.oo $

95,585,810.00 2,807,951.00 2,719,126.00
100,892,887.00

0.00

0.00

50,000.00

50,000.00

94,759,IMO.OO $

2,sso,no.00 $

3.622,on.oo $

100,942,887.00

73,358,-1()7.00 $ 9,248,426.00
158,417.00 3,"3,500.00
ns,32s.oo 4,092,061.00
71,414.00 1,212,000.00
576,5-ICl.00 25,000.00
290,000.00 180,000.00 1,047,750.00

857,320.00 $ 25,000.00 5,000.00 -42,050.00
193,500.00 0.00
1,800,000.00 7,000.00
50,000.00
85,000.00

983,410.00 $ 349,344.00 10,700.00 570,441.00 511,320.00 28,908.00 88,020.00 221,889.00 na,04s.oo 150,000.00

74,999,137.00 9,822,no.oo
174,117.00 4,301,891.00 1,431,145.00 4,120,989.00 1,739,434.00 1,4-ICl,889.00 1,354,585.00
175,000.00 290,000.00 245,000.00 1,047,750.00

94.759.IM0.00 $

2,580,no.oo $

3,622,on.oo $

100,942,887.00

See accompanying notes and Independent Accountant's Combined Report on Reviei.Y of Financial Statements and Supplementary Information.
.35.

- -~

B.!~C ~!IL~eL.~

Federal Revenues

Other Revenues Retained

- -~QIIllBE
Regular Operating Expenses Tnr,,ef Motor Vehicle Purchases Equipment
Computer ChaReal Estate Rentals Telecommunications Per Diem, Fees and Contracts Peace Officers Training Grants

~&llMEfil QE ~ml IQ ~Em ~EC!!.!I EQE !PPR~ WJQ.C;.zf;I
~ U~II ~!2:IEQ FQB i!iQMlt:fl~~ a ! R ~ Qllll.l
1 AII!QHEQ~lm VJ-AB ENDED llJNE ! 1005

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

GO\IERNOR'S EMERGENCY

BUDGET ADJUSTMENTS

SCHEDULE'?' TOTAL

13,698,074.00 S 1,095,1'.XXUXl
14 793,074.00 $

62,153.00 S 62,153.00 $

25,000.00
s

$ 497,852.00 752,746.00

13,785,227.00 497,852.00
1,847-746.00

25,000.00 S

1 250 598.00 S

16130,825.00

7,203, 1 0.00 2,588,935.00
87,970.00 68,500.00 198,860.00 235,708.00 102,114.00 144,490.00 646,987.00 3.518,370.00 $
14,793 074.00 $

62,153.00 $ 62,153.00 $

25,000.00

315,134.00 $ 324,790.00
18,774.00 24,600.00 57,414.00 43,258.00
0.00 15,598.00 254,030.00 197.000.00

7,518,274.00
2,911,725.00 106,744.00 93,100.00 256,274.00 278,966.00 102,114.00 160,088.00 901,017.00
3,802,523.00

25,000.00 $

1,250 598.00 $

16,130,825.00

See accompanying notes and Independent Accountant's Combined Report on ReYiew or Financial statements and Supplementary lnfonnation
.36.

DEPARTMENT OF PUBLIC SAFETY
SCHEDULE OF APPROVED BUDGET "B" UNITS ATTACHED FOR ADMINISTRATIVE PURPOSES ONLY
2 OFFICE OF HIGHWAY SAFETY
VEAR ENDED JUNE 30 1995

SCHEDULE "3"

FUNDS AYAH ABLE
~
State Appropriation Federal Revenues Other Revenues Retained

ORIGINAL APPROPRIATION

BUDGET ADJUSTMENTS

TOTAL

$

307,518.00

$

307,518.00

3,050,000.00 $

1,026,914.00

4,076,914.00

650.00

650.00

$

3.357,518.00 $

1,027,564.00 $

4,385,082.00

EXPENDITURES
Personal Services Regular Operating Expenses Travel Equipment Computer Charges Real Estate Rentals Tefecommunications Per Diem, Fees and Contracts Highway Safety Grants

$

429,531.00 $

28,450.00

9,828.00

3,168.00

37,080.00

78,161.00

3,800.00

7,500.00

2,760,000.00

118,853.00 $ 98,190.00 13,950.00
1,900.00 5,010.00
0.00 1,000.00 206,690.00 581,971.00

548,384.00 126,640.00 23,778.00
5,068.00 42,090.00 78,161.00
4,800.00 214,190.00 3,341.971.00

$

3,357,518.00 $

1,027,564.00 $

4,385,082.00

see accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-37-

DEPARTMENT OF PUBLIC SAFETY CASH AND CASH EQUIVALENTS JUNE 30 1995

SCHEDULE 4

NONINTEREST BEARING ACCOUNTS
Bank South, N.A., Forsyth, Georgia
Wachovia Bank of Georgia, Atlanta, Georgia
INTEREST BEARING ACCOUNTS
NationsBank of Georgia, N.A., Atlanta, Georgia
Wachovia Bank of Georgia, Atlanta, Georgia
Funds on Deposit with Office of Treasury and Fiscal Services State Investment Pool
OTHER
Cash on Hand

$

7,230.38

-129,853.58 $ -122,623.20

$

175,274.20

70,659.81

245,934.01 37,543.64

74,238.89

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-38-

INVESTMENT TYPE
Certificate of Deposit The Bank of Covington, Covington, Georgia No. S24801

DEPARTMENT OF PUBLIC SAFETY INVESTMENTS JUNE 30 1995

PURCHASE DATE

MATURITY DATE

SCHEDULE "5" AMOUNT

October 16, 1992

October 16, 1997

$ 100 000.00

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-39-

DEPARTMENT OF PUBLIC SAFETY SCHEDULE OF GOVERNOR'S EMERGENCY FUND
YEAR ENDED JUNE 30 1995
Georgia Peace Officer Standards and Training Council - Purchase Supplies and Materials for the Regional Law Enforcement Training Centers

SCHEDULE"6" $ 25,000.00

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

DEPARTMENT OF PUBLIC SAFETY SCHEDULE OF FEDERAL REVENUES
YEAR ENDED JUNE 30 1995

PROGRAM
Agriculture, U.S. Department of Cooperative Forestry Assistance Direct
Defense, U. S. Department of Eligibility Listing Direct
Energy, U.S. Department of Petroleum Violation Escrow Funds Through Georgia Environmental Facilities Authority
Federal Emergency Management Agency Disaster Assistance Through Office of the Governor
Justice, U.S. Department of Drug Control and System Improvement - Formula Grant Through Office of the Governor Metro AUanta Auto Theft Task Force Direct Organized Crime Drug Enforcement Task Force Direct
Selective Service System Eligibility Listing Direct
Transportation, U.S. Department of State and Community Highway Safety Direct
Treasury, U.S. Department of U. S. Secret Service-Fraud Investigations Direct

CFDA NUMBER
10.664 NIA
NIA
83.516 16.579
NIA NIA NIA
20.600
NIA

SCHEDULE "7"

AMOUNT

$

10,000.00

680.00

15,798.00

1,627,408.50

880,670.09 417.18
3,246.54

700.00

3,690,609.62

12,569.32

$ 6,242,099.25

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-41 -

PsPARJMfNTQE pt 'Bl IC $AffIY SCHfPlH EQf OD:1ER RfYENUfS RfIAINfp
Ye'B fNRfQ lllNF M 1

SCHEllULE"B"

T-Commiuions Vending Machine
~-"-1.qaCcqxntion Telecarnrnunicat SuPNme Court of Georgia Court..-
United Stain MlrshaJ's SefVice National Asset Seizln9 and Forfeilln Progiam Drug Asset Sharing Progiam
Court Restitution Fees Donations Drivers' Licenses and Vehicle Registration
Reinstatement Fees Escort:SeMce Facility Charges
Facilityl.Jsage laundry Lodging
Tuition
.F.-.o..o..d.-.,_ Geotgia PublicSafetyTraining Center
-lndi1'9Ct Services Funding Department d Adminmrati'le Services Insurance Recoveries
Reimbursements For Aviation Expense Fot Building Modifications For 0owd eontroi.,\llanta Motor Speedway Fot Damage ID Equipment For Equipment Purchases Fot Georgia Fne Academy Confemlces/Seminars Fot Helicopter Overhaul For Lost Equipment For Network Services For Photography Service ForSU~ies FotTrwel For Utilities Fot Vehicle Expense
Salos
Pri-Books
SurplusProt,erty UsedG,.... Vodeos Training Fees Georgia Peace Officers Standards and Training Council Georgia Public Safety Tnaining Center
Georgia Police Academy MolDrcycle Safety Training Utilities Georllia Public Safety Training Center
WitnessFees

A DEPARTMENT OF PUBUC SAFETY

"B"UNTTS ATTACHED FOR ADMINISTRATIVE PURPOSESONtY
1. ATTACHED UNJTS

TOTAL

8,840.24 S

-43,583.27 S 23,530.47

50,423.51 23,530.47

4,418.08 54,036.00

4,418.06 54,036.00

71,BUll.81 5,M4.83 8,447.00
S,055.85 13,963.03
1,850,000.00 1-43,095.26 1,242.10 174.225.00 19,091.35 8,000.00 8,000.96 8,919.94 100,000.00 317.40 244.91 4,592.49
.20
302.00 "7.79
2,060.62 380.00
2,180.00
74,480.59
93.00

21!0.00
5.072.44 4,996.60 02,322.35 33.089.88 13,581.47 eeo,"33.48
110.00
8,-432.12
237,807.00
261.94
1,123.10 23,287.03 84,289.48
188.70
209,-437.93 92,540.00
297,151.16 52.00

71,819.81 5,M4.03 8,. .7.00
99,315.85 13,963.03
5,Dn.44 4,996.eo oZ322.35 33,099.88 13,581.47
eeo,533.48 110.00
1,850,000.00 151,527.38 1.242.10
174,225.00 19,091.35 8,000.00 8,000.96 8,919.94
237,807.09 100,000.00
317.40 244.91 4,592.49 266.14 302.00 "7.79 1,123.10
25,347.85 84,289.48
380.00 188.70 2,180.00
209,-437.93 m.93
92,540.00 74,480.SQ
297,151.18 145.00

2 427 840.25 S

1 802 233.42 S

4230073.87

See accompanying notes and Independent Ac:oountanfs Combined Report on Review of Financial Statements and Supplementary lnfonnation.
-42-

BE!i!.!La!B Qfl:IW]t: Exe:EtES
Bank- Charges ClippingClolhingCourt~ CnditlrMstigationo Evidence Purchased Examinations and Tasting
Freight.ElcprnsandS~
Mall-- lnmalo l.unc:Ms
Laundry
Parking Physical Elaomlnations Regisntion F Relocation Elcpense Subscriptions and Duos V-,ye_,_
COMPUTER CHARGES
Regsstration Fees
CONVICTION REPORTS
Conviction ROj)Orts

QE.PARTMEtfi QE a.!aLIQ SAFETY &l:::liit&ALE QE OTHER OPt;AA~ EXeEt:E~
VEAR ENPEP JUNE 39 1995

SCHEDULE"9"

"A" DEPARTMENT OF PUBUC SAFETY

e- UNITS ATTACHED FOR

ADMINISTRATIVE PURPOSES ONLY

1.ATTACHED

2.0FFICEOF

UNITS

HIGHWAY SAFETY

TOTAL

s s.1n.01
869.80 25,682.81
4,545.86 1,832.70 1s,n&.oo 8,265.78 96.119.76
237.52 24,647.78 56,007.24
66.00 6,629.95 20,442.50 1,509.38 29,598.73 1.983.15

467.74 919.35 $ 309.90
7.385.58 6.38
5,592.90 201.25
27,446.90 48,910.49

306412.00 $

91240.50 S

1,509.65
5.111.n
1,917.00 6,736.95

8,844.75 3,298.80 25,682.81 4,855.76 1,832.70 1s,n&.oo 8,265.78 108,Sn.12
243.90 30,240.68 56,007.24
267.25 6,629.85 49,806.40 1,509.38 65,246.17 1983.15

15335.37 $

412987.87

285069.75

13981.36

13981.36 265069.75

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and S upplernenta,Y Information.
.43.

DEPARTMENT OF PUBLIC SAFETY SCHEDULE OF EXTRAORDINARY EXPENDITURES
YEAR ENDED JUNE 30 1995
REGULAR OPERATING EXPENSES Underground Gasoline Tank Storage Cleen-up

SCHEDULE "10"
"A" DEPARTMENT OF PUBLIC SAFETY
s _____22_.._a84..;.;.a..,3;.

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-44-

DEPARTMENT OF PUBLIC SAFETY SUMMARY OF SALARIES TRAVEL AND PER Dll;M AND FEES
YEAR ENDED JUNE 30 1995

SCHEDULE "11"

BUDGET FUND
Regular Computer Charges Highway Safety Grants

SALARIES

TRAVEL

PER DIEM AND FEES

$ 57,774,531.29 $ 89,867.84

286,217.44 $

1,722,818.83 5,580.00

$ 57,864,399.13 $ 286,217.44 $ 1,728,398.83

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements
and Supplementary Information. -45-

SECTION II FINDINGS AND IMPROPER OR QUESTIONED COSTS

DEPARTMENT OF PUBLIC SAFETY SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30 1995
CURRENT YEAR
EXPENDITURES/LIABILITIES/DISBURSEMENTS Inadequate Documentation Financial Statements Audit Control Number 466-95-01
The Peace Officers Standards and Training Council (POSTC) is attached to the Department ofPublic Safety for administrative purposes only. The Council contracts with various police academies throughout the State to provide training to law enforcement officers. Our examination of expenditures made by the Council to reimburse police academies for training related expenditures revealed the following deficiencies:
1. Reimbursements were made to police academies without proper or adequate documentation to support expenditures claimed.
2. Reimbursements were made to police academies without approvals by appropriate Council personnel.
The above deficiencies occurred because POSTC's accounting procedures did not include adequate internal controls over the reimbursement process for payments made to police academies.
The Peace Officers Standards and Training Council should establish the necessary internal controls to ensure all expenditures are properly approved and evidenced by complete and adequate documentation.
EXPENDITURES/LIABILITIES/DISBURSEMENTS Improper Expenditure Financial Statements Amount: $19,369.00 Audit Control Number 466-95-02
In the year under review, the Peace Officers Standards and Training Council (POSTC), which is administratively attached to the Department ofPublic Safety, made a payment to the North Central Georgia Law Enforcement Academy for a classroom facility that the academy never purchased. Payments by POSTC to academies should be made on a reimbursement basis for actual expenses incurred that are supported by proper documentation.
The above situation occurred because POSTC's accounting procedures did not provide for adequate controls over the expenditure process.
The Peace Officers Standards and Training Council should review its accounting procedures to ensure that only claims with proper documentation are paid. Appropriate action should be taken by the Peace Officers Standards and Training Council to secure reimbursement of$19,369.00 for this undocumented claim.