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AUDIT REPORT OCONEE REGIONAL LIBRARY
DUBLIN, GEORGIA YEAR ENDED JUNE 30, 1999
.J ----~--~~~------,-----
STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
254 WASH I NGTON STREET
ATLANTA, GEORGIA 30334-8400
OCONEE REGIONAL LffiRARY -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
2
B
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES
3
C
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
5
D
STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN FUND BALANCES
FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUND
6
E
STATEMENT OF CASH FLOWS
FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUND
7
F NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
8
ADDITIONAL FINANCIAL INFORMATION
SCHEDULES
SCHEDULE OF REVENUE
1
STATE
16
2
LOCAL
17
3 SCHEDULE OF SALARIES AND TRAVEL
18
SECTIONTI FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS
SECTION I FINANCIAL
RUSSELL \V. HINTON
STATE AUDITOR (404) 6562174
DEPARTMENT OF AUDITS AND ACCOUNTS
254 Washington Street, S.W., Suite 214 Atlanta. Georgia 30334-R400
July 13, 2000
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 Oconee Regional Library Board
INDEPENDENT AUDITOR'S COMBINED REPORT ON GENER..L\L PURPOSE FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have audited the accompanying general purpose financial statements of the Oconee Regional Library, as of and for the year ended June 30, 1999, as listed in the table of contents. These general purpose financial statements are the responsibility of the Oconee 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 generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As described in 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 of the 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.
The aggregate effects on the general purpose financial statements of this variance or omission has not been determined, but is believed to be material.
99ARL-42A
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 Oconee Regional Library as of June 30, 1999, and the results of its operations and the cash flows of its nonexpendable trust fund for the year then ended, in conformity with generally accepted accounting principles.
Our audit was performed for the purpose of forming an opinion on the general purpose financial statements of the Oconee Regional Library taken as a whole. The accompanying financial schedules (Schedules 1 through 3), as listed in the table of contents, are presented for purposes of additional analysis and are not a required part ofthe general purpose financial statements. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and in our opinion is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole.
A copy of this report has been filed as a permanent record in the office of the State Auditor and made available to the press of the State, as provided for by Official Code of Georgia Annotated Section 50-6-24.
ectfully submitted,
l<J.4Jk
R, sell W. Hinton State Auditor
RWH:das 99ARL-42A
OCONEE REGIONAL LIBRARY
OCONEE REGIONAL LIBRARY COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUP
JUNE 30, 1999
EXHIBIT "A"
Cash and Cash Equivalents Investments Accounts Receivable Amount to be Provided in Future Years
For Payment of Compensated Absences
GOVERNMENTAL FUND TYPE GENERAL FUND
FIDUCIARY FUND TYPE
TRUST FUND
ACCOUNT GROUP
GENERAL LONG-TERM
DEBT
TOTALS
(Memorandum Only)
JUNE 30, 1999
JUNE 30, 1998
$
131,174,53
$
131,174,53 $
136,523,73
60,834.11 $
17,578,86
78,412.97
56,788.77
749,97
749.97
3,046.38
$
39,161,37
39,161,37
Total Assets
$ ===1~9;;;,2,~75:;;;;8;;;;.6~1 $
17,578,86 $
39,161.37 $
249,498.84 $===1=96=,3=5;;08;;0,88=
LIABILITIES AND FUND EQUITY
LIABILITIES
Accounts Payable
$
Compensated Absences
Total Liabilities
$
FUND EQUITY
Fund Balances
Reserved
For Encumbrances
For Endowment Corpus
Unreserved
Designated for
Self-Insurance
$
Undesignated
Total Fund Equity
$
5,716.90 5,716,90
$
$
39,161.37
$
39,161.37 $
5,716,90 $ 39,161.37
44,878,27 $
19,314.93 19,314.93
$
13,762.79
15,978,71 171,063,00
187,041.71 $
3,816.07 17,578.86
$
14,770,56
$
13,762,79
13,279,14
15,978,71 174,879,07
15,099,46 133,894,79
$
204,620.57 $
177,043,95
Total Liabilities and Fund Equity
$ ======1~9~2,~75=8;;,;;.6;,;,,1 $
17,578,86 $
39,161.37 $
249,498,84 $ -===,,;,196;;,;;0;,3;,;;;5=8.=88=
The notes to the general purpose financial statements are an integral part of this statement. -2-
OCONEE REGIONAL LIBRARY STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES YEAR ENDED JUNE 30, 1999
EXHIBIT"B"
REVENUES
State Funds Federal Funds Local Funds Other Funds
Total Revenues
EXPENDITURES
Current Public Services Technical Services Support Services Maintenance and Operation Information Technology
Capital Outlay
Total Expenditures
Excess of Revenues over (under) Expenditures
FUND BALANCE JULY 1
GENERAL FUND
TOTALS
(Memorandum Only)
YEAR ENDED
JUNE 30,1999
JUNE 30, 1998
$ 555,788.99 $
583,516.63 67,575.41
$ 1,206,881,03 $
555,788.99 $
583,516.63 67,575.41
1,206,881.03 $
964,071.47 10,100.00
605,123.43 138,036.23
1,717,331,13
$ 625,410.82 $ 129,859.15 243,214.94 91,306.11 90,480.68
$ 1,180,271.70 $
$
26,609.33 $
160,432.38
625,410.82 $ 129,859.15 243,214.94
91,306.11 90,480.68
1,180,271.70 $
26,609.33 $
160,432.38
659,509.45 121,919.94 325,616.70 109,336.83
1,013,322.95
2,229,705.87
-512,374.74
672,807.12
FUND BALANCE JUNE 30
$ 187,041.71 $
187,041.71 $===16=0:=,4=3=2.:=38=
The notes to the general purpose financial statements are an integral part of this statement. -3-
OCONEE REGIONAL LIBRARY STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL GENERAL FUND
YEAR ENDED JUNE 30, 1999
EXHIBIT"C"
REVENUES
State Funds Local Funds Other Funds
Total Revenues
EXPENDITURES
Current Public Service Technical Services Support Services Maintenance and Operation Information Technology
Total Expenditures
Excess of Revenues over (under) Expenditures
OTHER FINANCING SOURCES (USES)
Other Sources Other Uses
Total Other Financing Sources (Uses)
Excess of Revenues and Other Financing Sources over (under) Expenditures and Other Financing Uses
FUND BALANCE JULY 1,1998
FUND BALANCE JUNE 30,1999
GENERAL FUND
BUDGET
ACTUAL
$ 559,008,96 $ 555,788,99
582,841.71
583,516.63
22,255.00
67,575.41
$ 1,164,105.67 $ 1,206,881.03
$ 630,175.14 $ 625,410.82
127,097.19
129,859,15
232,838.96
243,214.94
85,757,91
91,306.11
91,276.11
90,480.68
$ 1,167,145,31 $ 1,180,271,70
$
-3,039,64 $
26,609.33
$
9,625.64
-6,586,00
$
3,039.64
$
0.00 $
26,609.33
197,381.14
160,432.38
$ 197,381.14 $====1=87..,.0=:4=1=.7==1
The notes to the general purpose financial statements are an integral part of this statement. -5-
OCONEE REGIONAL LIBRARY STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES
FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUND YEAR ENDED JUNE 3D, 1999
EXHIBIT"D"
OPERATING REVENUES None Recorded
OPERATING EXPENSES None Recorded Operating Income (Loss)
NONOPERATING REVENUES Interest Earned Total Income (Loss)
FUND BALANCE JULY 1
FUND BALANCE JUNE 30
WILSON MEMORIAL
FUND
TOTALS (Memorandum Only)
YEAR ENDED JUNE 30, 1999 JUNE 30, 1998
$
0,00 $
0,00 $
0,00
$
0.00 $
0,00 $
0,00
$
0,00 $
0.00 $
0,00
967.29
$
967.29 $
16,611.57
967.29 967.29 $ 16,611.57
921.80 921.80 15,689.77
$
17,578.86 $ ===17~,5~7=8~.8~6 $ ===16=,6=1=1..5..7=
The notes to the general purpose financial statements are an integral part of this statement. -6-
OCONEE REGIONAL LIBRARY STATEMENT OF CASH FLOWS FIDUCIARY FUND TYPE - NONEXPENDABLE TRUST FUND
YEAR ENDED JUNE 30.1999
EXHIBIT"E"
Cash Flows from Operating Activities: No Operating Activities Recorded
Cash Flows from Investing Activities: Proceeds from Maturity of Investment Interest Received on Investments Purchase of Investment
Net Increase in Cash
Cash and Cash Equivalents - .Iuly 1
WILSON MEMORIAL
FUND
TOTALS (Memorandum Only)
YEAR ENDED JUNE 30, 1999 JUNE 30, 1998
$
0.00 $
0.00 $
0.00
$
16,611.57 $
16,611.57 $
15,689.77
967.29
967.29
921.80
-17,578.86
-17,578.86
-16,611.57
$
0.00 $
0.00 $
0.00
$
0.00 $
0.00 $
0.00
0.00
0.00
0.00
Cash and Cash Equivalents - June 30
$=======0=.0=0$====0=.0=0$ ======0='0==0
The notes to the general purpose financial statements are an integral part of this statement. -7-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30,1999
Notel: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY
The Oconee 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 of Georgia. With the exception of the 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 16 members; 4 members appointed by Laurens County Library Board, 3 members appointed by Johnson County Library Board, 3 members appointed by Treutlen County Library Board, 3 members appointed by Washington County Library Board and 3 members appointed by Wheeler County Library Board. The Library 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 Oconee Regional Library is therefore determined to be ajoint venture.
FUND ACCOUNTING
The Library uses funds and an account group to report on its financial position and the results of its 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 accountabilityJor 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 of purchase. 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 of assets acquired by governmental fund types.
The general purpose financial statements account for all State, 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. Funds and the account group presented in this report are as follows:
- 8-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1999
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
GOVERNMENTAL FUND TYPE - used to account for all of the Library's general activities. The Governmental Fund Type includes:
GENERAL FUND - the fund used to account for all financial resources of the Library except those required to be accounted for in another fund. These transactions relate to resources obtained and used for services provided by a Library.
FIDUCIARY FUND TYPE - the trust fund used to account for assets held by a government unit in a trustee capacity or as an agent for individuals, private organizations, other government units and/or other funds. This fund includes:
NONEXPENDABLETRUSTFUND Wilson Memorial Fund - the fund used to account for an endowment of which the corpus is to be invested and preserved intact with the resultant income to be evenly split between an addition to principal and the purchase of science books.
ACCOUNT GROUP
GENERAL LONG-TERM DEBT ACCOUNT GROUP - used to account for material compensated absences not appropriately accounted for and recorded in other fund tYPes.
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 of these 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.
Nonexpendable trust funds are accounted for on a flow of economic resources measurement focus. With this measurement focus, all assets and liabilities associated with the operation of these funds are included on the balance sheet. Operating statements present increases (e.g., revenues) and decreases (e.g., expenses) in net total assets.
Governmental funds are accounted for using the modified accrual basis of accounting under which:
- 9-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30. 1999
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount ofthe transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities ofthe 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.
The accrual basis of accounting, as required by generally accepted accounting principles, is utilized by the nonexpendable trust funds. Under the accrual basis of accounting, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred.
BUDGET
The Oconee 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 of budget 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 of this 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 of one 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 are reported at fair value. The Official Code of Georgia Annotated Section 36-83-4 authorizes the Library
- 10-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30.1999
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
to invest its funds. In selecting among options for investment or among institutional bids for deposits, the highest rate of return shall be the obj ective, 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,
(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 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 amounts which would necessitate the need for an allowance for uncollectible receivables.
COMPENSATED ABSENCES
Compensated absences represent obligations of the 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.
- 11 -
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30. 1999
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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, results of operations or cash flows in conformity with generally accepted accounting principles, nor is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation ofthis data. Certain reclassifications have been made to the comparative data to conform to the current year classifications.
Note 2: DEPOSITS
COLLATERALIZAnON 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 of money which has not been secured by surety bond, by guarantee of insurance, or by collateral. The aggregate of the face value of such surety bond and the market value of securities pledged shall be equal to not less than 110 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 of operating 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 ofGeorgia, providing that the statute that created the authority authorized the use of the bonds for this purpose,
(6) Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia, and
- 12-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30. 1999
Note 2: DEPOSITS
(7) Bonds, bills, notes, certificates of indebtedness, or other obligations of a subsidiary corporation ofthe 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, 1999, the bank balances were $284,587.47. The amounts of the 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.
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, 1999, as follows:
Risk CategOIy
Bank Balance
1 2 3
Total
$ 180,847.77 0.00
103,739.70
$ 284,587.47
Note 3: RISK MANAGEMENT
The Library is exposed to various risks of loss 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 of loss associated with torts, assets and errors ot omissions. 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 these risks in the past three years.
- 13-
OCONEE REGIONAL LIBRARY
EXHIBIT ifF"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30, 1999
Note 3: RISK MANAGEMENT
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 participates in the Association County Commissioners of Georgia-Self Insured Workers' Compensation Fund, a public entity risk pool organized on July 1, 1982 to develop, implement and administer a program ofworkers' compensation self-insurance for its member organizations. The Library pays an annual premium to the Fund for its general insurance coverage. Additional insurance coverage is provided through an agreement by the Fund with Safety National Casualty Corporation to provide coverage for potential losses by the Fund in excess of $450,000.00 loss per occurrence, up to $2,000,000.00.
The Library has purchased a surety bond to provide additional insurance coverage as follows:
Position Covered All Employees Note 4: OPERATING LEASES
Amount $ 100,000.00
The Library has committed under a lease for a copier. This lease is considered for accounting purposes to be an operating lease. Lease expenditures for the year ended June 30, 1999, amounted to $1,780.00.
Note 5: GENERAL LONG-TERM DEBT
The changes in General Long-Term Debt during the fiscal year ended June 30, 1999, were as follows:
Balance July 1, 1998 Additions
Annual Leave Earned and Utilized (Net)
Balance June 30, 1999
Note 6: ACCUMULATED EMPLOYEES' LEAVE
Compensated Absences
$
0.00
39.161.37 $ 39,161.37
The Library's full-time employees earn vacation leave after a year of service based on their position. Employees may accumulate up to a maximum offorty-five days ofvacation leave. All unused vacation leave is paid to employees, at their current rate of pay, upon retirement or termination of employment. See Note 1 - Compensated Absences
- 14-
OCONEE REGIONAL LIBRARY
EXHIBIT "F"
NOTES TO THE GENERAL PURPOSE FINANCIAL STATEMENTS
JUNE 30.1999
Note 7: 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.
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 11.95% and employer contributions for the current fiscal year and the preceding two fiscal years are as follows:
Fiscal Year
Percentage Contributed
Required Contribution
1999 1998 1997
100% 100% 100%
$ 80,354.74 $ 70,565.18 $ 62,513.40
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OCONEE REGIONAL LIBRARY SCHEDULE OF STATE REVENUE
YEAR ENDED JUNE 30, 1999
AGENCY/FUNDING
GRANT Technical and Adult Education, Georgia Department of Public Libraries Salaries Travel Library Materials Talking Books Center Maintenance and Operation
SCHEDULE "1"
GOVERNMENTAL FUND TYPE
GENERAL FUND
$
392,023.99
5,750.00
53,453.00
57,709.00
46,853.00
$
555,788.99
See notes to the general purpose financial statements.
-16 -
OCONEE REGIONAL LIBRARY SCHEDULE OF LOCAL REVENUE
YEAR ENDED JUNE 30,1999
LOCAL SOURCES Boards of Education Johnson County Treutlen County City Governments Dublin Soperton Wrightsville County Governments Boards of Commissioners Johnson Laurens Treutlen Wheeler
SCHEDULE "2"
GOVERNMENTAL FUND TYPE
GENERAL FUND
$
8,026.56
5,998.23
202,432.00 2,875.00 6,999.96
10,958.00 340,806.96
4,659.96 759.96
$
583,516.63
See notes to the general purpose financial statements.
-17 -
OCONEE REGIONAL LIBRARY SCHEDULE OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30,1999
SCHEDULE "3"
NAME
Akins, Carey, Cash, Coleman, Dillard, Fortner, Hackle, Hall, Hall, Hilliard, Hogan, Kerr, Mack-Brown, Mathew, Miller, Northrop, Oxford, Schrader, Smith, Snellgrove, Stanford, Stateson, Summey, Thomas, Warren, Whatley-Wilcox, Wiggins, Williams, Williams, Woodburn,
Harold T. Susan R. B.J. Donna Abbie Marolyn Hilda S. Lugine Shirley A. Patricia Virginia C. Glenda Ina Beverly A. Sally Lesley L. Julia S. Patricia Luticia L. Jennifer E. Blondell R.
Patty B.
Lashunda A. Jane L. Gail R. JoyS. Christian
Mattie K. Linda R.
Susan S. Chris C.
Accruals June 30, 1998
TITLE CATEGORY
Reference Librarian Branch Manager Circulation Clerk Technical Services Librarian Assistant Director Branch Assistant Manager TBC Clerk Custodian/Security Business Manager Reference Librarian Branch Services Librarian Branch Manager Patron Accounts Manager Children's Assistant Circulation Clerk Reference Assistant Circulation Clerk Children's Librarian Children's Assistant Shelver Administrative Secretary Circulation Clerk Reference Librarian Reference Librarian Automation Assistant Librarian Circulation Desk Manager LBPH Manager Director Automation Specialist
SALARIES
TRAVEL
$
5,701.05
9,717.50
3,204.50
43,271.30 $
42.00
43,028.26
223.00
533.00
2,860.00
22,465.69
25,378.44
34.48
48,242.00
161.75
51,144.10
194.50
9,360,00
18,114.42
13,989.60
5,481.92
6,673.76
14,096.80
113.89
29,817.84
26.50
705.55
4,539.55
9,553.00
11,309.50
37,312.40
750.25
38,913.94
238.75
21,434.40
44.25
3,745.00
18,089.41
18,445.92
515.20
65,182.32
1,725.00
51,345.40
741.50
$
633,656.57 $
4,811.07
-25.25
Totals per Report
$
633,656.57 $ ====4'67=:85....8=2=
See notes to the general purpose financial statements. - 18 -
SECTIONll FINDINGS AND QUESTIONED COSTS
OCONEE REGIONAL LIBRARY SCHEDULE OF FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30,1999
ProORYE~CURRENTYEAR
GENERAL FIXED ASSETS Failure to Maintain General Fixed Assets Account Group Finding Control Number: 6872-93-02
The audit report for the year ended June 30, 1998, noted that management of the Oconee 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 system-wide General Fixed Assets Account Group within the formal accounting records. This condition results in the general purpose financial statements of the Library being incomplete and not in accord~.:J.ce with generally accepted accounting principles. Appropriate action should be taken by the Library to establish accounting controls and procedures to provide for maintenance of a General Fixed Assets Account Group. These subsidiary records should include an inventory ofland, 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.