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STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
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1776
I
KINCHAFOONEE REGIONAL LIBRARY
DAWSON, GEORGIA REPORT ON AUDIT
OF THE FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2000
Russell W. Hinton State Auditor

KINCHAFOONEE REGIONAL LIDRARY - TABLE OF CONTENTS -
-"

SECTION I

FINANCIAL
,
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION

EXHIDITS

GENERAL PURPOSE FINANCIAL STATEMENTS

COMBINED STATEMENTS - OVERVIEW

A

COMBINED BALANCE SHEET

ALL FUND TYPES AND ACCOUNT GROUP

B

STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES

ALL GOVERNMENTAL FUND TYPES

C

STATEMENT OF REVENUES, EXPENDITURES AND

CHANGES IN FUND BALANCES - BUDGET AND ACTUAL

GENERAL FUND

D NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

ADDmONAL FINANCIAL INFORMATION

SCHEDULES

SCHEDULE OF REVENUE

1

STATE

2

FEDERAL

3

LOCAL

4 SCHEDULE OF SALARIES AND TRAVEL

SECTIONll FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS

Page
2 3
5
6
14
15
16
17

SECTION I
FINANCIAL

RUSSELL W. HINTON
STATE AUDITOR
(404) 6562174

DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W.. Suite 214 Atlanta. Georgia 30334-lW)()
July 18, 2001

Honorable Roy E. Barnes, Governor Members of the General Assembly Members of the Board of Regents of the University System of Georgia
and Director and Members of the Kinchafoonee Regional Library Board
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENERAL PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have audited the accompanying general purpose financial statements of the Kinchafoonee Regional Library, as ofand for the year ended June 30, 2000, as listed in the table ofcontents. These general purpose financial statements are the responsibility ofthe Kinchafoonee Regional Library's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States ofAmerica. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free ofmaterial misstatement.
An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As described in the notes to the general purpose financial statements, the Library's financial statements have been prepared using a certain accounting practice and policy which, in our opinion, varies in some respects from generally accepted accounting principles. This variance is described as follows:
* The general purpose financial statements ofthe Library did not contain a General Fixed
Assets Account Group to account for property, equipment and inexhaustible collections and books owned by the Library which should be included to conform to generally accepted accounting principles.
2000ARL-42A

The aggregate effects on the general purpose financial statements of this omission have not been



determined, but are believed to be material.

In our opinion, except for the effects on the general purpose financial statements of the matter referred to in the third paragraph, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the Kinchafoonee Regional Library as of June 30, 2000, and the results of its operations for the year then ended, in conformity with accounting principles generally accepted in the United States of America.

Our audit was performed for the purpose of forming an opinion on the general purpose financial statements of the Kinchafoonee Regional Library taken as a whole. The accompanying financial schedules (Schedules 1 through 4), as listed in the table of contents, are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the Kinchafoonee Regional Library. Such information has been subjected to the auditing procedures applied in the audit ofthe general purpose financial statements and in our opinion is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole.

A copy ofthis report has been filed as a permanent record in the office ofthe State Auditor and made available to the press ofthe State, as provided for by Official Code ofGeorgia Annotated Section 506-24.

Respectfully submitted,

RWH:jb 2000ARL-42A

Rus ell W. Hinton State Auditor



-'

KINCHAFOONEE REGIONAL LIDRARY


KINCHAFOONEE REGIONAL LIBRARY COMBINED BALANCE S!::l&..U
ALL FUND TYPES AND ACCOUNT GROUP JUNE 30. 2QOO

EXHIBIT "A"

. . ._ a
ASSETS Cash and Cash Equivalents Investments Accounts Receivable Amount to be Provided in Future Years
For Payment of Compensated Absences

GOVERNMENTAL FUND TYPE GENERAL FUND

$

250,238.72

37,345.35

18,289.96

ACCOUNT GROUP
GENERAL LONG-TERM
DEBT

TOTALS

(Memorandum Only):..-_ _

JUNE 30, 2000

JUNE 30, 1999

$

250,238.72 $

200,845.08

37,345.35

36,923.91

18,289.96

166.67

_ _ _ _ _ _ _ $ _ _.....::;23~,9~8~0.:.:::.0.:::.6

23.980.06

25,078.34

Total Assets

$

~30;:,;:,5!874.03 $

23,980.06 $

329.854.09 $ _ _,.;,26_.3.,.0_1=4;.;;'0~0

LIABILITIES AND FUND EQUITY
LIABILITIES
Accounts Payable Expired Grant Balances Payable Compensated Absences
Total Liabilities
FUND EQUITY
Fund Balances Unreserved Designated for Affiliated Library Accounts Undesignated
Total Fund Equity

$

21,277.21

$

42.68

_ _ _ _ _ _ $ _ _--=.23::L,9~8~0.:.:::.0""_6

$

21,319.89 $

23,980.06 $

$

55,023.10

$

229,531.04

$

....!:2:l::84~,~554~.1~4

$

21,277.21 $
42.68 23,980.06

9,171.44 924.17
25,078.34

45,299.95 $ _ _-=:35,...,.:.:17,-=3"".9:.::..5

55,023.10 $ 229,531.04

73,436.26 154,403.79

284,554.14 $ _ _.:2:.;27"""8:..4;.:0",,.0:=.,5

Total Liabilities and Fund Equity

$

305,874.03 $

23,980.06 $

329,854.09 $

26.3.,014.00

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

KINCHAFOONEE REGIONAL LIBRARY STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30, 2000
..'

EXHIBIT "B"

GENERAL FUND

TOTALS

(Memorandum Only.L.)

_

YEAR ENDED

JUNE 30, 2000 JUNE 30, 1999

REVENUES

State Funds Federal Funds Local Funds Other Funds

$ 412,033.23 $
3,894.00 199,381.02
91,344.36

412,033.23 $
3,894.00 199,381.02 91,344.36

403,422.18
184,148.68 30,358.51

Total Revenues

$ 706,652.61 $

706,652.61 $ _---:6:::...1:...:.7.z.::9,:::2~9.:.::.37.:..

EXPENDITURES

Current Public Services Technical Services Support Services Maintenance and Operation Information Technology
Capital Outlay Debt Service
Principal Interest

$ 393,787.66 $
66.253.09 130,448.66 44,457.38
14.991.73

393,787.66 $
66.253.09 130,448.66 44,457.38
14.991.73

350,870.57 64,595.66
145.290.90 40,473.03 13.985.44 64.673.98
644.56 28.91

Total Expenditures Excess of Revenues over (under) Expenditures

$ 649,938.52 $

$

56,714.09 $

649.938.52 $ _ _6~8::.::0:z::,5::.::6::::..3:.:::.0~5 56.714.09 $ _ _....:-6::::2:.t.6:.~3:::.3.:.::::6~8

OTHER FINANCING SOURCES (USES)

Operating Transfers In Operating Transfers Out

$

4,033.73

-4.033.73

Total Other Financing Sources (Uses)

$

~O~.O~O

Excess of Revenues and Other Financing Sources
over (under) Expenditures and Other Financing Uses $

56.714.09 $

56,714.09 $

-62.633.68

FUND BALANCE JULY 1

227,840.05

227,840.05

290,473.73

FUND BALANCE JUNE 30

$ 284,554.14 $

284.554.14 $ =......;2;.:;.27.:.l.,8;;;;;4~0,;,;;;.0~5

The notes to the general purpose financial statements are an integral part of this statement. -3-

KINCHAFOONEE REGIONAL LIBRARY

EXHIBIT "C"

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES

BUDGET AND ACTUAL

GENERAL FUND

-'

YEAR ENDED JUNE 30, 2000

REVENUES
State Funds Federal Funds Local Funds Other Funds
Total Revenues
EXPENDITURES
Current Public Services Technical Services Support Services Maintenance and Operation Information Technology
Total Expenditures
Excess of Revenues over (under) Expenditures
FUND BALANCE JULY 1, 1999
FUND BALANCE JUNE 30, 2000

BUDGET

ACTUAL

$ 413,400.27 $
199,191.35 38,434.90

412,033.23 3,894.00
199,381.02 91,344.36

$ 651 ,026.52 $ _---:..7.::.;06::..t;,6::.::5;:;.2:.6::.:.:..1

$ 371,414.91 $

393,787.66

67,285.51

66,253.09

163,093.53

130,448.66

40,090.00

44,457.38

16,700.00 .. _ _.:.14::.l:'9::.::9:.:,1.:7.:.=..3

$ 658,583.95 $ _--:::64;.:.:9::.1:.9::.::3:.:::8.:.:::.5:,2

$

-7,557.43 $

56,714.09

229,811.18 _--=22::.:..7.840.05

$ 222,253.75 $

2.8.4. .,5.5.4",;,,;,14.

The notes to the general purpose financial statements are an integral part of this statement.
-5-

KINCHAFOONEE REGIONAL LIBRARY

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000


Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY
The Kinchafoonee Regional Library (Library) operates pursuant to Official Code of Georgia Annotated Sections 20-5-40 through 20-5-59 to provide public library services with costs shared by participating local governmental agencies and grants from the State ofGeorgia. With the exception ofthe departure from generally accepted accounting principles disclosed in these notes, the financial statements of the Library have been prepared in conformity with generally accepted accounting principles as applied to governmental units and unless otherwise disclosed in these notes, the financial statements present all fund types and account groups of the Library.
The Library Board consists of ten members; two members appointed from the Calhoun County Library Board, two members appointed from the Clay County Library Board, two members appointed from the Randolph County Library Board, three members appointed from the Terrell County Library Board and one member appointed from the Webster County Library Board. The Board is without authority to determine the amount of its funding, except by submission of budget requests to local governmental units from which the Library receives support and to the State of Georgia for State and Federal funding. Membership in the Library and participation in library services is at the discretion of each participating governmental agency. The Library Board has the power to designate management, the power to retain unreserved fund balances of local and other funds for continued operations and is the lowest level of oversight responsibility for the Library's operations. The Kinchafoonee Regional Library is determined to be a joint venture.
FUND ACCOUNTING
The Library uses a fund and an account group to report on its financial position and the results ofits operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain governmental functions or activities.
A fund is a separate accounting entity with a self-balancing set of accounts. An account group is a financial reporting device designed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect expendable available financial resources.
General Fixed Assets, which includes the Library's inexhaustible collections and books, are recorded as expenditures in the various funds at the time ofpurchase. A General Fixed Assets Account Group is not presently maintained by the Library. To conform to generally accepted accounting principles, a General Fixed Assets Account Group should be maintained for reporting the cost ofassets acquired by governmental fund types.

-6-

KINCHAFOONEE REGIONAL LIDRARY

EXHIDIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The general purpose financial statements account for all State, Federal, Local and Other funds under control of the Library, in compliance with generally accepted accounting principles applicable to governmental units, unless otherwise disclosed in these notes. The fund and the account group presented in this report are as follows:
GOVERNMENTAL FUND TYPE - used to account for all of the Library's general activities.
Governmental Fund Type.includes:
GENERAL FUND - the fund used to account for all financial resources of the Library. These transactions relate to resources obtained and used for services provided by a Library.
ACCOUNT GROUP
GENERAL LONG-TERM DEBT ACCOUNT GROUP - A financial reporting device used to account for compensated absences.
BASIS OF ACCOUNTING
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities are generally included on the balance sheet. Operating statements ofthese funds present increases (i.e., revenues and other financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets. Their reported fund balance is considered a measure of available spendable resources.
Liabilities which are expected to be financed from available spendable resources are reported as liabilities in the governmental funds. Other liabilities, which are not expected to be financed from available spendable resources, are reported in the General Long-Term Debt Account Group.
Governmental funds are accounted for using the modified accrual basis ofaccounting under which:
Revenues are recognized when susceptible to accrual (i.e., when they become both 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 be used to pay liabilities of the current period. Those revenues considered susceptible to accrual are intergovernmental grants and investment income.
Expenditures are generally recognized when the related fund liability is incurred.

-7-

KINCHAFOONEE REGIONAL LmRARY

EXHmIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

-."

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BUDGET

The Kinchafoonee Regional Library's budget is a complete financial plan for the Library's fiscal year and is based upon estimates of expenditures together with probable funding sources. There is no statutory prohibition regarding overexpenditure of the budget at any level. The budget for all governmental funds is prepared by fund, function and object. The legal level ofbudget control was established by the Library at the aggregate level. The budget for governmental funds was prepared in accordance with generally accepted accounting principles.

The budget process begins when the Library's administration prepares a tentative aggregated budget for the Board's approval. After approval ofthis tentative budget by the Board, copies are sent to all local funding agencies. After funding approval is received from all local funding agencies, the Board makes revisions as necessary and adopts the budget. The budget is then submitted to the Board of Regents of the University System of Georgia as a part of the Library's annual application for State aid. The Board may increase or decrease the budget at any time during the year. All unexpended budget authority lapses at fiscal year end.

CASH AND CASH EQUIVALENTS

COMPOSITION OF DEPOSITS Cash and cash equivalents consist of deposits in authorized financial institutions. Georgia Laws authorize the Library to deposit its funds in one or more solvent banks, insured Federal savings and loan associations, or insured State chartered building and loan associations.

INVESTMENTS

COMPOSITION OF INVESTMENTS Investments made by the Library in nonparticipating interest-earning contracts (such as certificates of deposit) and repurchase agreements are reported at cost. Participating interest-earning contracts and money market investments with a maturity at purchase ofone year or less are reported at amortized cost. Both participating interest-earning contracts and money market investments with a maturity at purchase greater than one year and equity investments are reported at fair value. The Official Code
ofGeorgia Annotated Section 36-83-4 authorizes the Library to invest its funds. In selecting among
options for investment or among institutional bids for deposits, the highest rate ofreturn shall be the objective, given equivalent conditions of safety and liquidity. Funds may be invested in the following:

(1) Obligations issued by the State of Georgia or by other states,

(2) Obligations issued by the United States government,

-8-

KINCHAFOONEE REGIONAL LIBRARY

EXHIBIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

-'.

Note I: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(3) Obligations fully insured or guaranteed by the United States government or a United States government agency,
(4) Obligations of any corporation of the United States government,
(5) Prime banker's acceptances,
(6) The Local Government Investment Pool administered by the State of Georgia, Office of Treasury and Fiscal Services,
(7) Repurchase agreements, and
(8) Obligations of other political subdivisions of the State of Georgia.
RECEIVABLES
Receivables consist of grant reimbursements due on Federal, State or other grants for expenditures made but not reimbursed, allotted funds from participating local governments, and other receivables disclosed from information available. Receivables are recorded when either the asset or revenue recognition criteria has been met. Receivables recorded on the general purpose financial statements do not include any amourtts which would necessitate the need for an allowance for uncollectible receivables.
COMPENSATED ABSENCES
Compensated absences represent obligations ofthe Library relating to employees' rights to receive compensation for future absences based upon services already rendered. This obligation relates only to vesting accumulating 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 is deemed immaterial to the general purpose financial statements.
MEMORANDUM ONLY - TOTAL COLUMNS
Total columns on the general pUrpose financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position or results ofoperations in conformity with generally accepted accounting principles, nor is such data comparable to a consolidation.


-9-

KINCHAFOONEE REGIONAL LIDRARY

EXHIDIT liD"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

-'

Note 2: DEPOSITS AND INVESTMENTS

COLLATERALIZATION OF DEPOSITS Official Code of Georgia Annotated (OCGA) Section 45-8-12 provides that there shall not be on deposit at any time in any depository for a time longer than ten days a sum ofmoney which has not been secured by surety bond, by guarantee of insurance, or by collateral. The aggregate ofthe face
value of such surety bond and the market value of securities pledged shall be equal to not less than
11 percent ofthe public funds being secured after the deduction ofthe amount ofdeposit insurance. OCGA Section 45-8-11 (b) provides an officer holding public funds may, in his discretion, waive the requirement for security in the case ofoperating funds placed in demand deposit checking accounts.
,
Acceptable security for deposits consists of anyone of or any combination of the following:

(1) Surety bond signed by a surety company duly qualified and authorized to transact business within the State of Georgia,

(2) Insurance on accounts provided by the Federal Deposit Insurance Corporation,

(3) Bonds, bills, notes, certificates of indebtedness or other direct obligations of the United States or of the State of Georgia,

(4) Bonds, bills, notes, certificates of indebtedness or other obligations of the counties or municipalities of the State of Georgia,
.
(5) Bonds of any 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,

(6) Industrial revenue bonds and bonds ofdevelopment authorities created by the laws ofthe State of Georgia, and

(7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation of the United States government, which are fully guaranteed by the United States government both as to principal and interest or debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association.

CATEGORIZATION OF DEPOSITS At June 30, 2000, the bank balances were $300,411.74. The amounts ofthe total bank balances are classified into three categories of credit risk:

Category 1 - Cash that is insured (e.g., Federal depository insurance) or collateralized with securities held by the Library or by the Library's agent in the Library's name.

-10 -

KINCHAFOONEE REGIONAL LffiRARY NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 2000
...~'

EXHffiIT "D"

Note 2: DEPOSITS AND INVESTMENTS

Category 2 - Cash collateralized with securities held by the pledging financial institution's trust department or agent in the Library's name.
Category 3 - Uncollateralized deposits. (This includes any bank balance that is collateralized with securities held by the pledging financial institution, or by its trust department or agent but not in the Library's name.)

The Library's deposits are classified by risk category at June 30, 2000, as follows:

Risk Category

Bank Balance

1

2

3



$ 273,088.50 27,323.24 0.00

Total

$ 300.411.74

CATEGORIZATION OF INVESTMENTS At June 30, 2000, the fair value of the Library's total investments was $3,721.44 and this entire amount consisted of common stock which was held by the Library in the Library's name.

Note 3: RISK MANAGEMENT

The Library is exposed to various risks ofloss related to torts; theft of, damage to, and destruction of assets; errors or omissions; job related illness or injuries to employees; natural disaster; and unemployment compensation.

The Library has obtained commercial insurance for risk ofloss associated with torts, assets, errors or omissions and job related illness or injuries to employees. The Library has neither significantly reduced coverage for these risks nor incurred losses (settlements) which exceeded the Library's insurance coverage in any of the past three years.

The Library has elected to self-insure for all losses related to natural disaster. The Library has not experienced any losses related to this risk in the past three years.

The Library is self-insured with regard to unemployment compensation claims. The Library accounts for claims within the General Fund with expenditure and liability being reported when it is probable that a loss has occurred, and the amount of that loss can be reasonably estimated. The Library has not experienced any unemployment compensation claims during the last two years.

The Library has purchased surety bonds to provide additional insurance coverage as follows:

- 11 -

KINCHAFOONEE REGIONAL LmRARY

EXHIDIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000



Note 3: RISK MANAGEMENT

Position Covered

Amount

Director Bookkeeper

$ 15,000.00 $ 15,000.00

Note 4: GENERAL LONG-TERM DEBT

The changes in General Long-Term Debt during the fiscal year ended June 30, 2000, were as
follows:

Compensated Absences

Balance July 1, 1999

$ 25,078.34

Deductions Annual Leave Earned and Utilized (Net)

1,098.28

Balance June 30,2000

$ 23.980.06

Note 5: ACCUMULATED EMPLOYEES' LEAVE

Full-time employees may earn up to thirteen and one-third hours of personal leave each month depending on length of service. Personal leave can be carried over from year to year up to the amount earned in one year of service. Upon termination of employment, employees will be paid at their current rate ofpay for all unused personal leave up to the maximum accumulated. See Note 1Compensated Absences

Note 6: RETIREMENT PLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA (TRS)

TRS PLAN DESCRIPTION Substantially all librarians and clerical personnel employed by regional and county libraries are covered by the Teachers Retirement System of Georgia (TRS), which is a cost-sharing multiple employer defined benefit pension plan. TRS provides service retirement, disability retirement and survivors benefits for its members in accordance with State statute. The Teachers Retirement System of Georgia issues a separate stand alone financial audit report and a copy can be obtained from the Georgia Department of Audits and Accounts.

- 12-

KINCHAFOONEE REGIONAL LIDRARY

EXHIDIT "D"

NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS

JUNE 30, 2000

-'

Note 6: RETIREMENT PLANS

TRS CONTRIBUTIONS REQUIRED AND MADE Employees ofthe Library who are covered by TRS are required by State statute to contribute 5% of their gross earnings to TRS. The Library makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees in accordance with State statute and as advised by their independent actuary. The required employer contribution rate is 11.29% and employer contributions for the current fiscal year and the preceding two fiscal years are as follows:

Fiscal Year

Percentage Contributed

Required Contribution

2000 1999 1998

100% 100% 100%

$ 41,086.38 $ 41,102.52 $ 37,955.85

- 13-

KINCHAFOONEE REGIONAL LIBRARY SCHEDULE OF STATE REVENUE YEAR ENDED JUNE 30, 2000

AGENCY/FUNDING
GRANTS Technical and Adult Education, Georgia Department of Public Libraries Salaries Travel Library Materials Maintenance and Operation

SCHEDULE "1"

GOVERNMENTAL FUND TYPE GENERAL FUND

$

367,549.91

4,500.00

23,270.32

16,713.00

$

412,033.23



See notes to the general purpose financial statements.
- 14-

KINCHAFOONEE REGIONAL LIBRARY SCHEDULE OF FEDERAL REVENUE
YEAR ENDED JUNE 30, 2000
_Io_a
AGENCY/FUNDING
GRANT Museum and Library Services, Institute of Through Georgia Department of Technical and Adult Education Library Services and Technology Act State Library Program

SCHEDULE "2"
GOVERNMENTAL FUND TYPE GENERAL FUND
$ ====.,,;3=0;,8=9=4,.0..0=



See notes to the general purpose financial statements.



-15 -

KINCHAFOONEE REGIONAL LIBRARY SCHEDULE OF LOCAL REVENUE YEAR ENDED JUNE 30, 2000

SCHEDULE "3"

LOCAL SOURCES Boards of Education Calhoun County Clay County Randolph County Terrell County Webster County City Governments Arlington Cuthbert Dawson Edison Fort Gaines Morgan Preston County Governments Boards of Commissioners Calhoun Clay Randolph Terrell Webster

GOVERNMENTAL FUND TYPE GENERAL FUND

$

7,200.00

4,321.57

5,254.08

22,000.00

4,800.00

2,499.96 20,500.02
8,512.50 4,500.00 12,964.68
650.00 1,200.00

21,000.00 26,419.79 24,724.92 29,872.50
2,961.00

$ ==-_ _~19~9!381.02

See notes to the general purpose financial statements. -16 -

KINCHAFOONEE REGIONAL LIBRARY SCHEDULE OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30, 2000
-

SCHEDULE "4"


NAME

TITLE CATEGORY

SALARIES

TRAVEL

Altman, Baxter, Bishop, Bridges, Clarke, Cooper, Copeland, Fowlkes, Harvey, Holbrook, Jenkins, Jones, Manry, Medders, Messer, Miliner, Montalvo, Powell, Reynolds, Roberts, Russell, Sealy, Stanfield, Stewart, White, Wiley, Willitts,

Clara C. Elizabeth A. Pearlie A. Margaret P. Joanne R. Lisa P. Claudia M. Lenan G. Sonji A. Diane L. Martha R. Betty Helen M. Mary D. Frances P. Patsy A.
Shurell A.
Cassandra A.. Teresa W. Gladys E. Sara L. Barbara F. Nan E. Bridgett Lisa B. Scharlotte L. Martin A. Jr.

Clerk Clerk Clerk Clerk Clerk Clerk Librarian Clerk Bookkeeper Clerk Clerk Clerk Librarian Assistant Director Director Clerk Clerk Clerk Clerk Clerk Director Clerk Clerk Clerk Clerk Librarian Librarian

$

7,616.40 $

351.75

12,303.52

1,512.52

4,946.60

1,517.25

52,726.84

105.00

17,679.96

343.98

5,648.37

2,492.49

60,181.54

53,326.84

46,232.54

1,853.25

154.28

9,721.53

11,952.90

666.75

26,643.34

12,466.16

832.10

1,947.75

1,113.02

40,048.14

22,111.25

46.75
13.50
4.70
15.01
231.31
37.00 188.20 375.00 578.25 2,279.99
76.00
37.11 115.00
216.70 26.70
214.75

Totals per Report

$ 396,496.07 $ _ _..;;4,455.97

See notes to the general purpose financial statements. -17 -


SECTION II
FINDINGS AND QUESTIONED COSTS

KINCHAFOONEE REGIONAL LffiRARY SCHEDULE OF FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30, 2000
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ProORYE~CURRENTYEAR
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Finding Control Number: 7352-93-01
The audit report for the year ended June 30, 1999, noted that the management ofthe Kinchafoonee Regional Library chose not to maintain a system-wide General Fixed Assets Account Group within the formal accounting records as required by generally accepted accounting principles. In the year under review, the Library did not establish a General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose financial statements ofthe Library being incomplete and not in accordance with generally accepted accounting principles. Appropriate action should be taken by the Library to establish accounting controls and procedures to provide for maintenance ofa General Fixed Assets Account Group. These subsidiary records should include an inventory of land, buildings, equipment and inexhaustible collections and books owned by the Library and should include, but may not be limited, to date acquired, acquisition cost, estimated replacement cost, location and description. Detailed records should be maintained of all additions and deletions to the General Fixed Assets Account Group.
CURRENT YEAR
CASH AND CASH EQUIVALENTS Inadequate Separation of Duties Finding Control Number: 7352-00-01
An examination of the internal accounting control procedures revealed that the Library did not maintain adequate separation ofduties in the performance ofthe following accounting functions and related procedures:
The cash receipting and deposit preparation functions were not separated from the recording of receipts on the general ledger. In addition, the reconciliation ofthe operating account was not performed by someone independent ofthe general ledger function. No supervisory review of the bank reconciliations was performed.
Separation ofduties involving key accounting functions is the basis for achieving an adequate system ofinternal control. These deficiencies were a result ofmanagement's decision to limit the number of administrative staff made responsible for accounting functions. Management should periodically review this decision to determine ifemployee duties can be reassigned to achieve a higher degree of internal control with the existing staff.