Review report, state of Georgia, Department of Technical and Adult Education, Administrative Central Office (Oversight Unit), year ended June 30, 1995

G,t,.
/>.?.00 .R.l -.43 I 1"1"14-"15
STATE OF GEORGIA DEPARTMENT OF AUDITS
254 WASHINGTON STREET ATLANTA, GEORGIA 30334

REVIEW REPORT STATE OF GEORGIA DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT) YEAR ENDED JUNE 30, 1995

DEPARTMENTOFTECHNICALANDADULTEDUCATION ADMINISTRATNE CENTRAL OFFICE <OVERSIGHT UNIT}
- TABLE OF CONTENTS -

SECTION I

FINANCIAL

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

EXIIlBITS

FINANCIAL STATEMENTS

A COMBINED BALANCE SHEET (STATUTORY BASIS)

ALL FUND TYPES AND ACCOUNT GROUPS

2

B STATEMENT OF CHANGES IN FUND BALANCES (STATUTORY BASIS)

GOVERNMENTAL FUND TYPE

3

C STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

BUDGET FUND

4

STATEMENTS OF FUNDS AVAILABLE AND EXPENDITURES

COMPARED TO BUDGET

BUDGET FUND

D

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

9

E

"B" LOTTERY FOR EDUCATION

10

F NOTES TO THE FINANCIAL STATEMENTS

11

SUPPLEMENTARY INFORMATION

G COMBINING BALANCE SHEET (STATUTORY BASIS)

BUDGET FUND

30

H COMBINING STATEMENT OF CHANGES IN FUND BALANCE

(STATUTORY BASIS)

BUDGET FUND

31

COMBINING STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

BUDGET FUND

32

J STATEMENT OF CHANGES IN ASSETS AND LIABILITIES

FIDUCIARY FUND TYPE AGENCY FUNDS

37

SCHEDULES

SCHEDULES OF APPROVED BUDGET

l

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

38

2

"B" LOTTERY FOR EDUCATION

41

SCHEDULES OF BUDGET TRANSFERS TO OTHER UNITS

3

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

42

4

"B"LOTTERYFOREDUCATION

44

5 CASH AND CASH EQUIVALENTS

45

DEPARTMENTOFTECHNICALANDADULTEDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
- TABLE OF CONTENTS -

SECTION I

FINANCIAL

SUPPLEMENTARY INFORMATION

SCHEDULES

6 SCHEDULE OF GOVERNOR'S EMERGENCY FUND

46

7 SCHEDULE OF FEDERAL REVENUES

47

8 SCHEDULE OF EXTRAORDINARY EXPENDITURES

49

SCHEDULES OF ALLOTMENTS TO STATE TECHNICAL INSTITUTES

9

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

50

10

"B" LOTTERY FOR EDUCATION

52

11 ANALYSIS OF PRIOR YEAR'S SURPLUS FUNDS COLLECTED FROM STATE

TECHNICAL INSTITUTES

53

12 RECONCILIATION OF SALARIES, AND WAGES, AND TRAVEL

54

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

SECTION I FINANCIAL

CLAUDE L. VICKERS
STATE AUDITOR (,40,1) 656-2174

DEPARTMENT OF AUDITS
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400
October 20, 1995

Honorable Zell Miller, Governor Members of the General Assembly ofGeorgia Members of the State Board of Technical and Adult Education
and Honorable Kenneth H. Breeden, Commissioner Department of Technical and Adult Education
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 F) of the Administrative Central Office (Oversight Unit) ofthe Department ofTechnical and Adult Education as of and for the year ended June 30, 1995, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute ofCertified 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 Administrative Central Office (Oversight Unit) of the Department of Technical and Adult Education.
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 of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.
The financial statements referred to above include only the financial activities of the oversight unit of the Department ofTechnical and Adult Education. Financial activities of other organizational units (the various State Technical Institutes) are not included.
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 conformity with the basis of accounting described in Note 1.

95ARL-4X

Our review was made for the purpose ofexpressing limited assurance that there are no material modifications that should be made to the financial statements in order for them to be in conformity with the basis of accounting described in Note I. The accompanying supplementary information (Exhibits G through J and Schedules 1 through 12) is presented only for supplementary analysis purposes. Such information has been subjected to the inquiries and analytical procedures applied in the review of the financial statements and we are not aware of any material modifications that should be made thereto.
Respectfully submitted,
~~
Claude L. Vickers State Auditor
CLV:cm 95ARL-4X

FINANCIAL STATEMENTS - 1-

QEPARIM=NT OF TEPHNICAL ANP Ar'll.JLT eDlJCATJON NMNISTRATM; CENTRAL Qff1Pe /QVERSIGHI UNffi
poMBINEQ BAt ANQE SHf;f;T (STATUTORY BA.SIS)
ALL FUND TVPFS ANP ACCOUNT GROUP$ JllNeM 1995

EXHIBIT"A"

~
Cash and Cash E q u -
Accoums Receiyable State Appropriation Federal Financial Auistance 0lher
FIXBdEquipment
Amounts to be Provided for Payment of: Accrued Compenaated Absences Capital Leae Comm-

GOVERNMENTAL FUND TYPE BUDGET

FIDUCIARY FUND TYPE
AGENCY

U09317.27 $ 035.18
19,596,654.90 3,227,007.05 1,174731.tM
23,998,393.79

ACCOUNT GROUPS

GENERAL

GENERAL

FIXED

LONG-TERM

ASSETS

DEBT

TOTALS (Memorandum Only) JUNE 30, 1995 JUNE 30, 1994

17,654,079.39

1 -453,352.45 $

105414.79

19,586,654.90 $ 3,227,007.05 1,174,731.84

13,695,404.32 3,558,963.15 2,389,561.23

23,998,393.79 $ 19,643,928.70

17,654,079.39 $ 16,207,371.11

531,838.93 $ 76,700.00
808,538.93 $

531,838.83 $ 76,700.00
808,538.93 $

450,301.62 7,908.92
458,210.54

25,407,711.06 $ .035.18 $ 17,654,079.39 $

608,538.83 $ 43,714,364.56 $ 36,414,925.14

LIABltmes ANP FUND EQUITY
LiabiHUes Cash '9rdraft Accourds Payable Contracts Payable Allotments Due to Other Units Payroll Wdhholdlngs Funds Held in Custody for Olhenl Compenaated Absences Capital Leases
Total Liabilities
Fund Equity 1.-ment in General Fixed Assets Fund Balance ROB8Mld Construction Reserve Trust Fund Federal Financial Assistance Resolution ol Disallowad Coats Satemte Dish Installation Un"'"""'8d Designated Surplus Regular Lottery for Education
Total Fund Equity

0.00 9,1.390.90 1,515,918.79 a,1n,254.13
264.30 $

,035.18

19,128,82817 $ ,035.18 17,654,079.39

531,838.93 76,700.00

0.00 $ 9,1.390.90 1,515,918.79 a,1n,254.19
264.30 ,035.18 531,838.93 76,700.00

107,487.64 13,008,893.59
1,670,115.27 4,117,905.15
60,780.17 105,414.79 450,301.62
7,908,92

608,538.93 $ 19,792,402.28 $ 19,528,817.15

17,654,079.39 $ 16,207,371.11

5,533,318.05 760.35
68,284.00 0.00

5,533,318.05 760.35
68,284.00 0.00

0.00 18,756.
0.00 118,320.00

566,614.63 108,905.86
6,2TT,882.89

$ 17,654,079.39

566,614.63 108905.86

459,835.21 81,ns.23

23,831,962.28 $ 16,886,107.99

Total Liabilities and Fund Equily

25,407,711.06 $ ,035.18 $ 17,654.079.39 $

608.538.83 $ 43,714,364.56 $ 36,414,925.14

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

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE /OVERSIGHT UNln STATEMENT OF CHANGES IN FUND BALANCE /STATUTORY BASIS}
GOVERNMENTAL FUND TYPE YEAR ENDED JUNE 30 1995

EXHIBIT"B"

FUND BALANCE - JULY 1
Reserved Unreserved
Designated Surplus
~
Adjustments to Prior Yea(s Accounts Payable Excess of Funds Available over Expenditures
Exhibit"C" Reimbursement of Prior Year's Audit Exceptions Reimburaement of Prior Yea(s Expenditures Transfer of Surplus from State Technical Institutes
(see Schedule)
DEDUCTIONS
Unreserved Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 1993 Year Ended June 30, 1994
Adjustments to Prior Yea(s Accounts Receivable
Refunds to Grantors
Georgia Department of Education Federal Financial Assistance
Georgia Department of Human Resources Federal Financial Assistance
Georgia Institute of Technology Satelllte Technology Program
U. S. Department of Education Federal Financial Assistance
Reserved Fund Balance Carried Over from Prior Year as Funds Available
FUND BALANCE - JUNE 30
(To Exhibit "Aj

BUDGET FUND

YEAR ENDED

JUNE 30, 1995

JUNE 30, 1994

$

137,076.44 $

58,938.05

541,660.44

865,017.27

$

678,736.88 $

923,955.32

$

588,980.36 $

204,456.91

5,981,093.05 1,348.15
32,782.35

559,660.83 0.00
74,846.92

245,114.65

288,575.14

$

6,849,318.56 $

1, 125,539.80

0.00 $ 786,775.09 271,427.76
23,736.09 239.17 0.00
30,918.00 137,076.44
$ ---'1=,2=50,=172=.55- $

1,151,592.41 0.00
127,491.65
7,432.68 0.00 5.24
25,298.21 58,938.05 1,370,758.24

6,277,882.89 $ ===67==8'=7=38=.88=

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. -3-

QEPARTMENT OF TFCHNICAL AND ADUI T FQUCATION ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT uNm STATEMENT OF FUNDS AVAIi ABLE ANQ f;XPENQITURES
BUQGf;TFUND YEAR ENDED JUNE; 30 1995

EXHIBIT"C"

FUNOS AVAILABLE
REVENUES
STATE APPROPRIATION General Appropriation Amended Appropriation Governor's Emergency Fund (See Schedule)
Total State Appropriation
Allotments to State Technical Institutes (See Schedule)
Net State Appropriation
FEDERAL REVENUES (See Schedule) Allotments to State Technical Institutes (See Schedule)
Net Federal Revenues
OTHER REVENUES RETAINED Contracts Georgia Department of Adminmrative Services Distant Leaming Project Program Union County Board of Commissionera Uek>ng Leaming Center G. E. 0. Testing Fees Insurance Recoveries Registration Fees Reimbursements from Various Sources Other Sources
Total other Revenues Retained
Total Revenues
CARRY-OVER FROM PRIOR YEAR
Transfer from Reserved Fund Balance Federal Financial Assistance Private Grants Satellite Dish Installation
Total Cany-Owtrfrom Prior Year
Total Funds Available
EXPENDITURES
PERSONAL SERVICES
Salaries and Wages Employer's Contributions for:
F.t.C.A. Retirement Health Insurance Liability Insurance Unemployment Compensation Insurance Workera' Compensation Insurance Assessments by Merit System
See Independent Accountant's Combined Report on Review of Financial Statements and Supplementary lnfonnation.
The notes to the financial statements are an integral part of this statement.
-4-

TOTALS

YEARENDEO

JUNE 30, 1995

JUNE 30, 1994

166,983,138.00 S 21,172,573.00
37,500.00

141,399,0,41.00 19,218,650.00 62,500.00

188,193,211.00 S 160,680,191.00

-118,786,566.41

-105,382,965.53

69,406,644.59 S 55,297,225.47

25,091,999.28 S -15,179,236.28

24,918,065.16 -15,492,247.98

9,912,763.00 $

9,425,817.18

47,795.00 S
12,000.00 105,617.75
47,223.00 50,551.53
6,171.69 0.00
269,458.97 S
79,588,866.56 $

0.00
0.00 72,895.71
0.00 0.00 47,540.07 154.53
120,590.31
64,843,632.96

18,756.44 S 0.00
118,320.00
137,076.44 $

58,932.81 5.24 0.00
58,938.05

79,725,943.00 $ 64,902,571.01

3,277,109.50 $
171,625.64 460,693.61 403,778.17
20,889.00 747.00
16,356.81 8,398.80
4,359,598.53 S

2,805,911.05
149,750.52 405,093.32 346,236.22
11,176.00 2,524.00 21,246.00 8,423.09
3,750,360.20

Pef'ABTMENT OF teCHN1QAL ANP AQUJ I EPVQATIQN APMNISIBATNF CENTRAt OFFICE lOVEBSIQHT UNm STATEMENT OF FtJNQS AVAILABLE ANP l;;XPENPITURES
BUDGeI FUNQ
YEAR ENDED JUNE 30 1995

EXHIBIT"C"

EXPENDITURES REGULAR OPERATING EXPENSES
Molar Vehicle Expenses Supplies and Materials Repairs and Maintenance Rents (Other than Real Estate) Insurance and Bonding Other Operating Expenses Duplicating and Rapid Copy Publications and Printing
TRAVEL
~ Equipment Purchases
Lease/Purchase or Equipment
Rental of Equipment
COMPUTER CHARGES
Other Coots Supplies and Materials Repairs and Maintenance
Scftware Equipment
Equipment Purchases Per Diem, Fees and Contracts
Per Diem and Fees Contrads Compute, Billings, D0AS
REAL ESTATE RENTAtS
TELECCM..JNICATIONS PER DIEM FEES ANP CQNTRACTS
Per Diem and Fees Contrads
CAPITAL OUTLAY
Per Diem, Fees and Contracts Contrac1s
OTHER
OPERATING EXPENSES~NSTITUTIONS Other Coots Other Operating Expenses Extraordinary Expenditures (See Schedule) Publication& and Printing
See Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
The notes to the financial statements are an integral part of this statement.
-5-

TOTALS

YEAR ENDED

JUNE 30, 1995

JUNE 30, 1994

6,138.61 $ 162,00025
16,580.04 18,904.50 2,721.00 184,386.18
0.00 81,481.78
452,172.36 $
189,111.40 $

3,898.,46 123,414.35 31,342.65
16,088.86 1,424.66
181,305.70 14,708.53
164,766.40
536,951.61
175,027.90

8,323.21 $ 8,269.98 2,382.72
18,975.91 $

29,970.29 10,384.08
396.00
40,750.37

7,473.00 $ 66,515.45
4,597.84
56,609.69
10,439.01 253,992.64 102,590.76
502,218.39 $
386,997.74 $
197,662.34 $

1,504.38 112,704.11
26,428.42
81,121.19
13,950.00 361,116.79 96,651.71
693,676.60
362,536.42
187,179.78

69,908.36 $ 795,945.00
865,853.36 $

92,643.44 303,288.25
395,931.69

0.00 $

915,000.00

274.00 $ 35,000.00
0.00

0.00 0.00 237.50

DEPARTMENT QF TECHNICAL AND ADULT EQUCATION ApMINlJRATIVE CENTRAi OFFICE {OVERSIGHT UNID STAJFMENT OF FUNDS AVAILABUi AND E;XPENQITURES
BUOOETFUND
YEAR ENQFp IUNE 30 1995

EXHIBIT"C"

EXPFNOITURES

2I1:tm

OPERATING EXPENSE$-INSMUTIONS Per Diem , F898 and Contracts Per Diem and Fees
Contracts

- -QUICK START PROGRAM Salaries and Wages Employer's Contributions for:
FJ.CA Retirement HaaHh Insurance Liability Insurance UnemF>knent Compensation Insurance Worker's Compensation Insurance

Othet'Cosls

by the Merit Sy&tem

MolorVohiclee_,...

Supplies and Material&

Repairs and Maintenance

lftilffies

Renls (Othet' than Real Estate)

Insurance and Bonding

Grants to Counties, Cities and Civil Divisions

Otho< Operating E,q,ensas

Publications and Printing

TlllWII

Equipment

Equipment Purchases

Leaae/ Purchaae of Eq:uipment

Renlal d Equipment

Computer Chargn

Software

Equipment

Equipment Purdlases

Computer Billings, OOAS

Real Estate Rentals

T8'ecommunicatk>ns

Per Diem, Fees and Contracts

Per Diem and Fees

Contracts

AREA SCHOOL PROGRAM Othet' Cools Grants to Counties, Cities and Civil Divisions
REGENTS PROGRAM Othet'Cosls Grants to Counties, C"llies and Civil Divisions
ADULT LITERACY GRANTS Othet' Cools Supplies and MaleriaJs Grants to Counties, Cities and Civil Divisions Otho< Operating Expenses

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

TOTALS

YEAR ENDED

JUNE 30, 1995

JUNE 30 191M

58,-432.00 S 25,182.00
118,888.00 $

880.03 0.00
1117.53

1,985,325.38 $
48,094.86 2'46,183.86 248,166.65
12,449.00 531.00
11,626.19 793.07
12,-432.93 376,883.19
50,887.51 19,705.17 '46,330.15 3,753.90 82,302.90 125.26222 61,626.31 191,058.55
396,636.75 1,838.53
52,046.38
120,4'46.90
0.00 3,51820 265,997.05 110,633.30
2,629,623.33 0.00
7,104,153.29 $

1,883,n7.116
48, 12.11 233.870.2 235,609.24
0.00 0.00 0.00 852.63
5,585.30 304,633.19
58,222.26 35,879.12
5,n9.48 2,976.00 151,303.50 95,158.99 60,545.38
14 ,015.18
357,43.11
0.00 28,601.45
60,369.81
38,742.64 1183.24
142,887.79 &2,112.n
1,917,696.53 1,818.00
5,876,054.06

2S,so1,no.13 s

24,506,284.08

2,767,457.95 $

2,698,066.95

71,373.21 $
6,091,410.19
10,614.00

1,948.80 5,614,126.42
28,680.00

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT uNm STATEMENT OF FUNDS .6.VAILABLE AND fxpENDITURES
BUOOET FUND YEAR ENQEQ JUNE 30 1995

EXHtBIT"C"

EXPENDITURES
AOULT LITERACY GRANTS Per Diem, Fees and Contracts Per[);ernandFContracls
JOB TRAINING PARTNERSHIP PCT OlherCoots Grants to Counties, Cities and Civil Oivi&ions
SPECIAL EDUCATION EQUIPMENT OlherCoots Su~ies and Materials Equipment Equipment Purchases
DISTANT LEARNING- SATELLITE DISHES other Coots Repairs and Maintenance Equipment Equi- Purchases
COMPUTER LABORATORIES ANO SATELLITE DISHES - ADULT LITERACY other Coots Grant& to Counties, Cities and Civil Divisions Equipment Equipment Purchases Telecommunications Per Diem, Fees and Contracts Per Diem and Fee& Contracls
CAPITAL OUTLAY TECHNICAL INSTITLITE SATELLITE FACILITIES OlherCoots Repairs and Maintenance
EQUIPMENT - TECHNICAL INSTITLITES OlherCoots Repair& and Maintenance Grant& to Counties, Cities and Civil Divisions Equipment Equipment Purcha&es Computer Charges
Sdlware Telecommunication&

TOTALS

YEAR ENDED

JUNE 30, 1995

JUNE 30, 1994

22,n2.86 S 2n.21.83
6,.73,642.09 S

23,275.61 237,659.61
5,906,890...

1,128160.&4 $

1,071,091.81

0.00 S 0.00 0.00 $

61,004.18 137,221.65 198,225.83

<459.00 $ 35,391.0,1 39,850.0,1 S

7,280.00 299,895.50 307,175.50

0.00 $
1&4,967.00 801,1&4.81
0.00 0.00
966,151.81 $

237,000.00
1,712,832.2. 397,5'43.00
68,.00.00 402,117.45
2,817,892.89

20,014,673.00 S

0.00

0.00 $ 527,381.33
2,087,097.83
3,. .1.67 se,n1.94
2,6n,642.77 S

15,750.00 93,100.00
7,516,281.23
287,970.0,1 0.00
7,913,101.27

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

QEPARJMENT OF TECHNICAL ANP AOlJLT gpucATIQN AQMIN1$IRATM; PENTRAI QFFICE 10\/ERStGHT UNm SIATBENT OF FUNQS AVAIi ABLE ANP exeeNPITYBES
8UDGFTFUNP YEAR ENQEP JUNE 30 1W

EXHIBIT"C"

EXPENDITURES
~
CAPITAL OUTLAY. COMPUTER LABORATORIES 0lher Coots Repairs and Maintenance Equipment
Equipment Pu""-
Campuler ChargN Scftwara
CAPITAL OUTLAY ADULT LITERACY Per Diem, F880 and Contnacl& Contracts
TalalOlher
Tota1 Expenditures
Excess of Funds Available over Expenditures

TOTALS

YEAR ENDED

JUNE 30, 1995

JUNE 30, 1994

0.00 S 0.00 0.00 0.00 S

3,512.88 11,273.18 2.-009.39 2,510,795.'45

0.00 $ 66,792,239.92 $ 73,74C,IM9.95 S 5,981,093.05

3,480,000.00 57,285,<495.61 64,342,910.18
559,660.83

79,725,943.00 S 64,902,571.01

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

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE [OVERSIGHT llNln STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES
COMPARED TO BUDGET BUDGET FUND
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30 1995

EXHIBIT"D"

FUNDS AVAILABLE ~
State Appropriation Federal Revenues Other Revenues Retained
CARRY-OVER FROM PRIOR YEAR Transfer from Reserwd Fund Balance

BUDGET

ACTUAL

VARIANCEFAVORABLE (UNFAVORABLE)

$

40,062,609.00 $

12,498,420.00

266,011.00

52,827,040.00 $

40,197,183.43 $ 9,912,763.00 269,458.97
50,379,405.40 $

134,574.43 -2,585,657.00
3,447.97
-2,447,634.80

0.00

18,756.44

18,756.44

$

52 827 040.00 $

50,398,161.84 $

-2,428,878.16

EXPENDITURES
Personal Services Regular Operating Expenses Travel Equipment Computer Charges Real Estate Rentals Telecommunications Per Diem, Fees and Contracts Personal Services-Institutions Operating Expenses-lnstiMions Quick Start Program Araa School Program Regents Program Adult Literacy Grants Job Training Partnership Act

4,545,134.00 $ 524,209.00 208,245.00 40,796.00 512,977.00 367,136.00 209,250.00
1,005,851.00 86,600.00
127,906.00 7,216,430.00 25,506,673.00 2,767,459.00 7,810,771.00 1,897,603.00

4,359,598.53 $ 452,172.36 189,111.40 18,975.91 502,218.39 366,997.74 197,682.34 865,853.36 0.00 118,688.00
7,104,153.29 25,501,720.13
2,767,457.95 6,473,542.09 1,128,180.84

185,535.47 72,036.64 19,133.80 21,820.09 10,758.61
136.26 11,567.66 139,997.64 86,600.00 9,018.00 112,276.71 4,952.87
1.05 1,337,228.91
769,442.16

52 827 040.00 $

50,046,532.33 $

2,78/J,507.67

Excess of Funds Available over Expend~ures

$

351,629.51 $

351629.51

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-

DEPARTMENT OF TECHNICAi AND ADULT f:'.DUCATION ADMINISTRATIYf:'. CENTRAL OFFICE IQYf:'.RSIGHT UNITI STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES
COMPARED TO BUDGET BUDGET FUND
"B" LOTTERY FOR EDUCATION YEAR ENDED JUNE 30 1995

EXHIBIT"E"

FUNDS AVAilABLE .BEYf:'.lilJ.ES
- Appropriation
CARRY-0\/ER FROM PRIOR YEAR Transfer from Reserved Fund Balance

BUDGET

ACTUAL

VARIANCEFAVORABLE (UNFAVORABLE)

24,646,284.00 $

29,209,461.16 $

4,563,177.18

118,320.00

118,320.00

0.00

24 764 604.00 $

29,327,781.16 $ _ _4~,563_,_177_.1_6

EJ<pENDITURES
Distant Leaming - Satelllte Dishes Computer Laboratories and Satelllte
Dishes - Adult Literacy Capital Outlay- Technical Institute
Satelllte Facilities Equipment -Tectmlcal Institutes Repairs and Renovations

$

118,320.00 $

39,850.04 $

966,396.00

966,151.81

20,014,673.00 2,691,613.00 973,603.00

20,014,673.00 2,677,642.77 0.00

78,469.96
243.19
0.00 13,970.23 973603.00

$

24,764,604.00 $

23,698,317.62 $

1,066,286.38

Excess of Funds Available over Expenditures

5 629,463.54 $

5,629,463.54

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 TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT)
NOTES TO THE FINANCIAL STATEMENTS JUNE30 1995

EXHIBIT"F"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
REPORTING ENTITY The Department of Technical and Adult Education, an organizational unit of the State of Georgia, is part of the executive branch of government of the State of Georgia. The State Board of Technical and Adult Education is composed of one member from each Congressional District in the State and five at-large members appointed by the Governor and confirmed by the Senate for five-year terms. The Commissioner is the chief executive officer of the Department and is selected by the State Board to serve at its pleasure.
The Department does not have authority to determine the amount of funding it will receive from the State of Georgia for any given fiscal year. Such authority is vested in the General Assembly of Georgia. The Department also- does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, the Department of Technical and Adult Education is included within the State of Georgia reporting entity for financial reporting purposes because of the significance of its 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 of Governmental Accounting and Financial Reporting Standards.
The Administrative Central Office ofthe Department ofTechnical and Adult Education is the "Oversight Unit" ofthe Department and performs administrative functions and provides guidance to the twenty-nine (29) State Technical Institutes which are organizational units of the Department ofTechnical and Adult Education.
The accompanying financial statements represent only the financial position and results of operations of the Administrative Central Office ofthe Department ofTechnical and Adult Education. The financial position and results of operations of other organizational units ofthe Department (various State Technical Institutes) are not included in these financial statements.
FUND ACCOUNTING The Administrative Central Office ofthe Department ofTechnical and Adult Education uses funds and account groups to report on its financial position and the results of its 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 self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used 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 ofthe governmental funds not recorded directly in those funds.
Funds and account groups presented in the accompanying financial statements are as follows:

- 11 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION
ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNITI
NOTES TO THE FINANCIAL STATEMENTS
JUNE30 1995

EXEDBIT "F"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FUND ACCOUNTING
GOVERNMENTAL FUND TYPE
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.
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 donated. 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.
BASIS OF ACCOUNTING MEASUREMENT FOCUS
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. With 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 ofTreasury and Fiscal Services in the subsequent fiscal year.

- 12 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXIIlBIT "F"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING GOVERNMENTAL FUND TYPE BUDGETFUND
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 of encumbrances as expenditures and liabilities is in conformity with accounting practices prescribed or permitted by statutes and regulations ofthe State of Georgia, but is not consistent with generally accepted accounting principles, which provide for the recording of encumbrances as a reservation of fund 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 balance of the 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.
FIDUCIARY FUND TYPE AGENCY FUNDS
Agency Fund 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 ofTechnical and Adult Education are on the basis of a 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
- 13 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT"F"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BUDGET budget unit object classes as provided in Act No. 1208 ofGeorgia 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.
The appropriated budget is adopted at the departmental level and covers the Budget Fund. The budget allocation and disbursement of these funds is made to the various technical institutes by the Administrative Central Office.
CASH AND CASH EQUIVALENTS Cash and Cash Equivalents include demand deposits with banks and other financial institutions.
ACCOUNTS RECEIVABLE Accounts receivable consist of appropriation allotments due from the Office of Treasury and Fiscal Services, reimbursements due from Federal, State, local, and private grants and contracts, and other receivables disclosed from information available.
INVENTORIES No inventories ofsupplies are reported in the current financial statements. Expendable supplies are recorded as expenditures at the time of purchase.
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:
CONSTRUCTION RESERVE TRUST FUND In accordance with the Official Code of Georgia Annotated Section 20-1-8, lottery funds appropriated for purposes of new capital construction not yet expended or encumbered.
FEDERAL FINANCIAL ASSISTANCE The residual portion ofFederal financial assistance revenues not yet expended or encumbered. This amount is restricted for expenditure in future years. This accounting treatment differs from generally accepted accounting principles in that the unearned portion of Federal financial assistance should be reflected as deferred revenue.
RESOLUTION OF DISALLOWED COSTS Funds reserved for possible refund of disallowed federal program costs pending an appeal to the U. S. Department ofEducation.

- 14 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION
ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNITI
NOTES TO THE FINANCIAL STATEMENTS
JUNE 30 1995

EXHIBIT "F"

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
UNRESERVED FUND BALANCE In accordance with accounting practices prescribed or permitted by statutes 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 as follows:
REGULAR - An amount ofunexpended general appropriations available to the State for reappropriation in subsequent years.
LOTTERY FOR EDUCATION - An amount of unexpended lottery appropriations available for future reappropriation for Lottery for Education.
COMPENSATED ABSENCES Compensated absences represent obligations of the Department relating to employees' 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 Budget Fund for the current portion ofthis obligation as this amount will not be liquidated with expendable available financial resources. Funds are provided in the appropriation of State 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.
MEMORANDUM ONLY - TOTAL COLUMNS Total columns on the Combined Balance Sheet (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 in conformity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this 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 ofthe changes in the Administrative Central Office's financial position and operations. Comparative totals have not been included on statements where their inclusion would not provide enhanced understanding of the Administrative Central Office'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.

- 15 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE fOVERSIGHf UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS
STATE OF GEORGIA COLLATERALIZATION STATUTES AND POLICIES Funds ofthe State ofGeorgia cannot be placed in a depository paying interest longer than ten days without the depository providing a surety bond to the State. In lieu ofa 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:
(1) Bonds, bills, certificates ofindebtedness, notes, or other direct obligations ofthe United States or ofthe State of Georgia.
(2) Bonds, bills, certificates ofindebtedness, notes, or other obligations of the counties or municipalities ofthe State of Georgia.
(3) Bonds ofany public authority created by the laws ofthe State of Georgia, providing that the statute that created the authority authorized the use ofthe bonds for this purpose.
(4) Industrial revenue bonds and bonds of development authorities created by the laws ofthe State of Georgia.
(5) Bonds, bills, certificates ofindebtedness, notes, 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, and debt obligations issued by the Federal Land Bank, the Federal Home Loan Banlc, the Federal Intermediate Credit Bank, the Central Bank for Cooperatives, the Farm Credit Banks, the Federal Home Loan Mortgage Association, and the Federal National Mortgage Association.
(6) Guarantee or insurance of accounts provided by the Federal Deposit Insurance Corporation.
As authorized in the Official Code of Georgia Annotated Section 50-17-53, the State Depository Board has adopted policies which allow agencies 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 Administrative Central Office or by its agent in the Administrative Central Office's name.
- 16 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

NOTE 2: CUSTODIAL CREDIT RISKS OF CASH DEPOSITS

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

Cash Deposits

Carrying Amount

Bank Balances

S I 453 091 32 S 3 747 270 22

NOTE 3: OPERATING LEASES

Risk Categories
I# 630 63 s_ _.,;o!!,loo,!!1 s3 2 632 52

The Administrative Central Office has entered into certain agreements to lease real property which are classified as operating leases (leases on assets not recorded on the balance sheet). These leases generally contain provisions that, at the expiration date of the original term of the lease, the Administrative Central Office has the option of renewing the lease on a year-to-year basis. Future minimum lease payments for operating leases as ofJune 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

$ 676 522 32

Expenditures for rental of real property under operating leases for the year ended June 30, 1995, totaled $632,994.79.

NOTE 4: CAPITAL LEASES

The Administrative Central Office acquires certain equipment through multi-year capital leases with varying terms and options. These agreements contain fiscal funding clauses in accordance with Official Code of Georgia Annotated Section 50-5~64 which prohibits the creation of a debt to the State of Georgia for the payment ofany sums under such agreements beyond the fiscal year ofexecution ifappropriated funds are not available. Ifrenewal ofsuch agreements is reasonably assured, however, capital leases requiring appropriation by the General Assembly ofGeorgia are considered noncancellable for financial reporting purposes.

- 17 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT)
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

NOTE 4: CAPITAL LEASES

As ofJune 30, 1995, future minimum lease payments under capital leases for equipment are as follows:

Fiscal Year Ending June 30

1996 1997 1998 1999 2000
Total Future Minimum Lease Payments

$ 15,600.00 15,600.00 15,600.00 15,600.00 14 300.00
$ Z6. 7QQ QQ

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.

The following is a summary ofchanges ofequipment for the General Fixed Assets Account Group during the fiscal year:

Balance July 1, 1994

$16,207,371.11

Additions Deductions

I, 713,778.73 267 070.45

Balance June 30, 1995

$)76_54 079 39

- 18 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE30 1995

EXHIBIT "F"

NOTE6: GENERALLONG-TERMDEBT

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, 1994

$ 450,301.62

Additions Annual Leave Earned and Utilized (Net) Salaries and W?ies Salary-Related ringe Benefits Current Year Leases
Deductions

78,880.20 2,657.11

Balance June 30, 1995

$ 53183823

NOTE 7: RISK MANAGEMENT

Capital Leases $ 7,908.92
78,000.00 9 208.92 $ 76. 700 00

Total $ 458,210.54
78,880.20 2,657.11 78,000.00 9 208.92 $ 6Q8 538 23

Public Entity Risk Pool

The State Personnel Board - Merit System ofPersonnel Administration internally administers for the State of Georgia a program of health benefits for the employees of units ofgovernment of the 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 ofgovernment 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 ofGeorgia to process claims in accordance with the State Employees' Health Benefit Plan as established by the State Personnel Board.

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 Technical and Adult Education 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.

- 19 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTR.ATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

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 ofthe State ofGeorgia and county health departments, pennits 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 ofa general creditor of the 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.
NOTE9: RETIREMENTPLANS
TEACHERS RETIREMENT SYSTEM OF GEORGIA
Plan Description The Administrative Central Office participates in the Teachers Retirement System ofGeorgia (TRS), a costsharing multiple-employer public employee retirement system (PERS) established by the General Assembly ofGeorgia for the purpose of providing retirement allowances and other benefits for teachers ofthe State of Georgia. The Administrative Central Office's payroll for the year ended June 30, 1995, for employees covered by TRS was $2,652,978.58. The Administrative Central Office's total payroll for all employees was $5,262,434.88.
Benefits TRS provides service retirement, disability retirement, and survivor's benefits for its members. A member is eligible for service retirement after the member (1) has attained the age of60 years and has at least ten years ofcreditable service, (2) has at least 30 years ofcreditable service, regardless ofage, or (3) has attained the age of55 years and has at least 25 years of creditable service. For those members with 30 years ofservice or those age 60 with at least ten years of service, retirement benefits are equal to 2% of the average of the member's two consecutive highest paid years ofservice multiplied by the number ofyears ofcreditable service up to 40 years. Any member who has between 25 and 30 years ofcreditable service and is at least 55 years ofage shall receive a benefit which is reduced by the lessor of 1/12 of 7"/o for each month the member is below age 60, or by 7"/o for each year or fraction thereofby which the member has less than 30 years of service. The nonnal retirement pension is payable monthly for life. Options are available for distribution ofthe member's monthly pension at a reduced rate to a designated beneficiary on the member's death.

-20-

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXIIlBIT "F"

NOTE9: RETIREMENTPLANS

TEACHERS RETIREMENT SYSTEM OF GEORGIA

Benefits Retirement benefits also include death and disability benefits whereby the disabled member or surviving spouse is entitled to receive annually an amount equal to the member's service retirement benefit or disability retirement, whichever is greater. The benefit is based on member's creditable service (minimum of 10 years of service) and compensation up to the date ofdeath or up to the time of disability.

Members become fully vested after ten years of service. If a member terminates with less than ten years of service, no vesting ofemployer contributions occurs, but the member's contributions are refunded with interest.

Contributions Required and Contributions Made Employees ofthe Administrative Central Office who are covered by TRS are required to pay 5% of their gross earnings to TRS. The Administrative Central Office makes monthly employer contributions to TRS at rates adopted by the TRS Board of Trustees as advised by their independent actuary. For fiscal year 1995, the employer contribution rate was 11.81% for covered employees. The interest rate assumption (rate ofreturn on investments) was 7.50%.

Total contributions to the plan made during fiscal year 1995 amounted to $445,967.51, of which $313,316.80 was made by the Administrative Central Office and $132,650.71 was made by employees. These contributions represented 11.81% Administrative Central Office and 5% (employees) ofcovered payroll.

Funding Status and Progress Pension Benefit Obligation
The amount of the total pension benefit obligation is based on a standardized measurement established by Statement No. 5 of the Governmental Accounting Standards Board (GASB) that is required to be used for reporting purposes. The standardized measurement is the actuarial present value ofcredited projected benefits. This pension valuation method reflects the present value of estimated pension benefits that will be paid in future years as a result of employee services performed to date and is adjusted for the effects of projected salary increases and any step-rate benefits. A standardized measure of the pension benefit obligation was adopted by the GASB to enable readers of the PERS financial statements to assess that PERS funding status on a going-concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among similar PERS.

The total unfunded pension benefit obligation ofTRS as of June 30, 1994, which was the latest information available, was as follows:

Total pension benefit obligation Net assets available for benefits, at cost Unfunded pension benefit obligation

$15,313,743,000 14 254 785 000
$ 1 0S8 9S8 000

- 21 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT"F"

NOTE9: RETIREMENTPLANS
TEACHERS 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 of the same date. TRS does not make separate measurements ofassets and pension benefit obligation for individual employers.
Retirement System Contributions Total contnbutions from all employers to 1RS for the year ended June 30, 1995, were $565,117,811.00. The Administrative Central Office's contribution for the year ended June 30, 1995, of$313,316.80 was actuarially determined and represented .0554% oftotal contributions made by all participating employers.
Trend Information Historical trend information is presented in the financial report ofTRS for the year ended June 30, 1995. This information gives an indication of the progress made in accumulating sufficient assets to pay benefits when due.
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA
Plan Description The Administrative Central Office 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 of the State ofGeorgia. The Administrative Central Office's payroll for the year ended June 30, 1995, for employees covered by ERS was $2,526,274.75. The Administrative Central Office's total payroll for all employees was $5,262,434.88.
Benefits The benefit structure ofERS was significantly modified on July I, 1982. Unless elected otherwise, an employee who currently maintains membership with ERS based upon State employment that started prior to July I, 1982, is an "old plan" member subject to the plan provisions in effect prior to July I, 1982. All other members are "new plan" members subject to the modified plan provisions.
Members become vested after IO years of creditable service. A member may retire and receive normal retirement benefits after completion of IO years of creditable service and attainment ofage 65. Retirement benefits paid to members are based upon a formula 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
-22-

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE30 1995

EXHIBIT"F"

NOTE9: RETIREMENTPLANS
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA
Benefits 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% ofannual compensation and 4.75% ofannual compensation paid by the Administrative Central Office on behalf ofthe employee. Under the new plan, member contributions consist solely of 1.25% ofannual compensation paid by employee. The Administrative Central Office also is required to contribute at a specified percentage ofactive member payroll determined annually by actuarial valuation. For the year ended June 30, 1995, the ERS employer contribution rate for the Administrative Central Office amounted to 14.89% ofcovered payroll and included the 4.75% contributed on behalfofthe 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 $406,092.05, ofwhich $374,513.61 was made by the Administrative Central Office and $31,578.44 was made by employees. These contributions met the requirements ofthe 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 ofemployee 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.
The pension benefit obligation was computed as part ofan 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 ofinflation and merit increases:

-23 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT)
NOTES TO THE FINANCIAL STATEMENTS JUNE30 1995

EXHIBIT "F"

NOTE9: RETIREMENTPLANS

EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA

Funding Status and Progress Pension Benefit Obligation ~
20

Percentage 9.5%

25

8.5%

30

6.5%

35

6.0"lo

40to65

5.7%

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

The total unfunded pension benefit obligation ofERS as ofJune 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

$ 2,227,653,000

Current Employees

Accumulated Contributions

648,516,000

Employer-Financed Vested

1,085,190,000

Employer-Financed Nonvested Total Pension Benefit Obligation

1 206 805 000 $5,168,164,000

Net Assets Available for Benefits

4 858 015 000

Unfunded Pension Benefit Obligation

$ 3)0 )49 000

-24-

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS mNE 30 1995

EXIIlBIT "F"

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 of the 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 contnbutions from all employers to ERS for the year ended June 30, 1995, were $256,624,679.00. The Administrative Central Office's contribution was actuarially determined and represented .1459% 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 Administrative Central Office 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 ofTrustees. The Administrative Central Office's payroll for the year ended June 30, 1995, for employees covered by GDCP was $46,936.65. The Administrative Central Office's total payroll for all employees was $5,262,434.88.

-25 -

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

NOTE 9: RETIREMENT PLANS
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 of Trustees. Ifa member has less than$ 3,500 credit to his/her account, the Board of Trustees has the option of requiring a lump sum distribution to the member in lieu of making periodic payments. Upon the death ofa member, a lump sum distribution equaling the amount credited to his/her account will be paid to the member's designated beneficiary.
Contributions and Vesting Member contributions are seven and one-half percent (7.5%) of gross salary. There are no employer contributions. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination 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 $3,520.30 which represents 7.5% 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 tennination of employment. See Note 1 - Compensated Absences.
Certain employees who retire with one hundred and twenty days or more offorfeited annual and sick leave are entitled to additional service credit in the Employees' Retirement System of Georgia.
NOTE 11: CONTINGENCIES
Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies. This could result in refunds to the grantor agency for any expenditures which are disallowed under grant terms. The amount of expenditures which may be disallowed by the grantor cannot be determined at this time although the Administrative Central Office expects such amounts, if any, to be immaterial to its overall financial position.
-26-

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT}
NOTES TO THE FINANCIAL STATEMENTS JUNE 30 1995

EXHIBIT "F"

NOTE 11: CONTINGENCIES
Litigation, claims and assessments filed against the Administrative Central Office of the Department of Technical and Adult Education, 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.
NOTE 12: BONDING INFORMATION
The Commissioner and all employees ofthe Administrative Central Office of the Department of Technical and Adult Education 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 Administrative Central Office to a maximum of$1,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees. The Faithful Performance of Duty Coverage insures the Administrative Central Office to a maximum of $1,000,000.00 against loss sustained from fuilure ofits 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 Administrative Central Office 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 theseadditional public employee dishonesty coverages, the policies insure the Administrative Central Office to a maximum of $9,000,000.00 against loss sustained through fraudulent or dishonest acts by its employees.

- 27 -

SUPPLEMENTARY INFORMATION -29-

DEPARTMENT OF TECHNICAi AND ADULT EDUCAT!ON ADMINISTRATIVE CENTRAL Off!CE /OVERSIGHT UNID
COMB\N\NG BALANCE SHEET !STATUTORY BASJS}
BUDGET FUND JUNE30 1995

"A"
DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

s
LOTTERY FOR EDUCATION

EXHIBIT"G" TOTAL

Cash and Cash Equivalents
Accounts Receivable State Appropriation Federal Financial Assistance other

$ _ _2~,345~,4~1_4_.24_

$ _ _2~,345~,_41_4_.2_4

2,701,619.60 $ 3,227,007.05 1,171,791.84
7,100,418.49 $

16,895,035.30 $ 2,940.00
16,897,975.30 $

19,596,664.90 3,227,007.05 1,174,731.84
23,998,393.79

Total Assets

9445832.73 $

16,897,975.30 $

26 343 808.03

LIABILITIES AND FUND EQUITY
Liabilities Cash Overdraft Accounts Payable Contracts Payable Allolments Due to other Units Payroll Withholdings
Total Liabilities
Fund Equity Fund Balance Reserved Construclion Reser,e Trust Fund Federal Financial Assistance Resolution of DisallaNed Costs Unreserved Designated Surplus Regular Lottery for Education
Total Fund Equity
Total Liabilities and Fund Equity

$

936,096.97 $

936,096.97

$

5,TT1,193.46

3,670, 197.44

9,441,390.90

1,132,901.07

383,017.72

1,515,918.79

1,905,814.92

6,266,439.26

8,172,254.18

264.30

264.30

$

8,810,173.75 $

11,255,751.39 $

20,065,925.14

$

5,533,318.05 $

5,533,318.05

$

760.35

760.35

68,284.00

68,284.00

566,614.63

108,905.86

566,614.63 108,905.86

$

635,658.98 $

5,642,223.91 $

6,2TT,682.89

$

9445832.73 $

16 897,975.30 $

26 343 808.03

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-30-

DEPARTMENT OF TFCHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAi OFFICE /OVERSIGHT UNITI COMBINING STATEMENT OF CHANGES IN FUND BALANCE /STATUTORY BASIS)
BUDGET FUND YEAR ENDED JUNE 30 1995

EXHIBIT"H"

FUND BAI ANCE JULY 1
Reserved Unreserved
Designated Surplus
ADDITIONS
Adjustments to Prior Yeafs Accounts Payable Excess of Funds Available over Expend~ures
Exhibit"!" Reimbuniement of Prior Yeafs Audit Exceptions Reimbuniement of Prior Yeafs Expenditures Transfer of Surplus from State Technical Institutes
DEDUCTIONS
Unreserved Fund Balance (Surplus) Returned to Office of Treasury and Fiscal Services Year Ended June 30, 1994
Adjustments to Prior Yea(s Accounts Receivable Refunds to Grantors
Georgia Department of Education Federal Financial Assistance
Georgia Department of Human Resources Federal Financial Assistance
U. S. Department of Education Federal Financial Assistance
Reserved Fund Balance Carried Over from Prior Year as Funds Available
FUND BALANCE - JUNE 30
(To Exhibit "G")

"A" DEPARTMENT OF
TECHNICAL AND ADULT EDUCATION

s
LOTTERY FOR EDUCATION

TOTAL

18,756.44 $
459,935.21
$----"47"8=,69=1.6=5 $

118,320.00 $
81,725.23 200,045.23 $

137,076.44
541,660.44 678,736.88

576,219.99 $
351,829.51 1,348.15
32,782.35 236,913.74
1,198,893.74 $

12,760.37 $ 5,829,463.54
8,200.91 5,650,424.82 $

588,980.36
5,981,093.05 1,348.15
32,782.35 245,114.65
6,849,318.56

696,848.95 $ 271,427.76
23,736.09 239.17
30,918.00 18,756.44 1,041,926.41 $

89,926.14 $

786,nS.09 271,427.76

23,736.09

239.17

30,918.00

118,320.00

137,076.44

208,246.14 $ _ __;1c,:,250=c:.17:..:2:::.55=

635,658.98 $

5,642,223.91 $ -==6_:z_r_T._,88_2_.89_

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

QEPARTUFNT OF TFCHNICAI ANP AQULT f;Pl,Jt"!ATION ADMINISTRATJVE Ct=NTRAL QFFICI; 10\/ERSIGHT UNm COMBINING STATJSMl;NT OF FlJNQS AVAJLABI E ANQ EXffiNQIJVRES
QUOOEJFUNp
YEAR eNDEP JUNe 30 1ft95

EXHIBITT

FUNQS AVAILABLE
STATE APPROPRIATION General ApprapriaHon -Appraprialion - Emergency Fund Total Slate Apjlropriation
Allotments to State Technical Institutes
Net Slate Appropriation
FEDERAL REVENUES Alkltments to State Technical Institutes
Net Federal Revenues
OTHER REVENUES RETAINED Contracts Georgia Oapartment of AdminlatnttlYe Serw:es Distant Leaming Project Program Union County Board of Commissioners Uelong Leaming Center G.E.O. Testing Fees Insurance Recoveries Registration Fees Reimbursements from Various Soorces
Total Other Revenues Retained
Total Revenues
CARRY.01/ER FROM PRIOR YEAR
Transfer fron, Re&eMtd Fund Balance Federal Financial Assmtance Satellite Dish Installation
Total Cany-,C)verfrom Prior Year
Total Funds Available
EXPENDITURES PERSONAi SERVICES
Salaries and Wages Emplafer's Contributioos for:
F.I.C.A. Retirement Health Insurance Liability Insurance Unempk)yment Compensation Insurance Workers' Compensation Insurance Assessments by Merit System
See accompanying notes and Independent Accountanfs Combined Report on Review of Financial Statements and Supplementary Information.
.32.

"A" DEPARTMENT OF
TECHNICAL ANO ADULT EDUCATION

"B" LOTTERY FOR
EDUCATION

TOTAL

144,432,715.00 $ 1,305,573.00 37,500.00
1"5,n5,788.00 $
-105,578,604.57
,f(),197183.43 $
25,091,999.28 -15,179,236.28
9,912,763.00

22,550,-123.00 S 19,867,000.00

166,983,138.00 21,172,573.00 37500.00

42,417,-123.00 S 188,193,211.00

13,207,961.M

-118,786,566.41

29,209,461.16 $

69,G,644.59

25,091,999.28 -15179,236.28

9,912 763.00

47,795.00
12,000.00 105,617.75 47,223.00 50,651.53
6,171.69
269,"58.97
50,379,,f()5,,f() $

29,209,461.16 $

47,795.00
12,000.00 105,617.75
47,223.00 50,651.53 6,171.69
269,"58.97
79,588,866.56

18,756.44 $
18,756.44 S

118,320.00 118,320.00 $

18,756.44 118,320.00
137,076.44

50,398,161.M S

29,327,781.16 $

79,725,943.00

3,2n,109.50
171,625.64 460,693.61 ol()3,n8.17 20,889.00
747.00 16,356.81 8,398.80
4,359,598.53

3,2n,109.so
171,625.M 460,693.61 ol()3,778.17 20,889.00
747.00 16,356.81 8,398.80
4,359,598.53

PEPARTICNT Of TECHNICAL ANP APYI I FQlKtAIION APMNISTRATM; CENIBAI OFFICE CPYfRSfGHT UNID CQMBJNING STAieMENT OF FUNQS AVAlL ABI F ANP EXPENPIIVBES
BUOOET fUNP VEAR fNPQ JUNE 30 1915

FXf'FNQIIllBES
BEGULAB QfEBATING EXPfNSES
Molo<Vohlcle"SuppliN and Materials Repairs and Maintenance Rents (Olhef lhan Roal Eslate) Insurance and Bonding Olhef Operating " Publications and Printing
~
Equipment Purchases Lease/Purchase or Equipment Rental of Equipment
CQMPUTFR CHARGE$
Olhe<Coots Supplies and Materials Repairs and Maintenance
Software Equipment
Equipment Purchases Per Diem, Fees and Contracts
Per Diem and Fees Contracts Computer Billings, OOAS
REAL ESTATE RENTALS
TELECOI.NlJNICATIONS
PER QIEM EeES ANP CONTRACTS
Per Diem and Fees Contracts
OTHER
OPERATING EXPENSEs-lNSTITUTIONS Olhefc:o.ts Olhef 0pera1;ng " Extraordinary Expenditures Per Diem, Fees and Contracts Per Diem and Fees Contracts

"A" OEPARlMENT OF
TECHNICAL ANOADULT EDUCATION

"B" LOTTERY FOR
EDUCATION

6,138.81 162,000.25
16,580.04 18,904.50
2,721.00 184,366.18 61,-461.78
452,172.38
189,111.40
8,323.21 8,269.98 2,382.72 18,975.91
7,473.00 66,515.45
4,597.84 56,609.69
10,439.01 253,992.84 102,590.76
502.218.39
366,997.74
197,682.34
69,908.36 795,945.00 865,853.36

274.00 35,000.00
58,432.00 25,182.00
118,888.00

EXHIBITT
TOTAL
6,138.61 162,000.25
16,580.04 18,904.50 2,721.00 184,366.18 61,-461.78 452,172.36 189,111.40
8,323.21 8,269.98 2,382.72 18,975.91
7,473.00 66,515.45
4,597.84 56,609.69 10,439.01 253,992.84 102,590.76 502,218.39 366,997.74 197,682.34
69,908.36 795,945.00 865,853.36
274.00 35,000.00 58,432.00 25,182.00 118,888.00

See accompanying notes and Independent Accountant's Combined Report on Review or Financial Statements and Supplementary Information.
.33.

PfPARTMFNT OF TFCHNICA:I ANP AQI ILT ePUCATION AQMINISTRADYe CeNTRAL OFFJCe (OVERSIGHT UNID 9QMBINING STATEMENT OF FLJNQS AVAIi AAJ f ANP FXPENDlTURES
BUOGETfUNP VEAR ENPEP JUNe 30 1ggs

EXHIBITT

exeeND1TURe:s
2Il!EB
QUICK START PROGRAM
-1-Sala-andWE ~ Conlribution8 for: -_Ith........,. FJ.CA

Uabilily lnouranco
W - Unemployrnenl: Compensation Insurance Com-loo Insurance

OlherCoolo

bylhe Merit System

MotorVehlcleE,q,enses

Supplies and Materials Repairs and Maintenance

Utilities

Rents (Olher1han Real Estala)

Insurance and Bonding Grants to Counties, Cities and Civil DiYiaions Cllhot' Operating E,q,enses Publications and Printing

TnMII Equipment

EquipmentPuR:llaoes lea&elPurchae of Equipment

Ramal ol Equipment Compuler Charge&
Software Compuler BIiiings, DOAS

-IEstaleRentals
Telecommunications Per Diem, Fees and Contracts
Per [);em and Feaa

AREA SCHOOL PROGRAM Cllhot'Coolo Grants to Counties, Cities and Civil Divisions
REGENTS PROGRAM OlherCoolo Grants lo Counties, Cities and Civil Divisions
ADULT LITERACY GRANTS Cllhot'Coolo Supplies and Material& Grants to Counties, Cities and Civil Divisions Other ()pending "-"""' Per Diem, Fees and Contracts Per Diem and Fees Contracts

JOB TRAINING PARTNERSHIP ACT CllherCoots Grants to Counties, Cities and Civil Divisions

"A" DEPARlMENT OF
TECHNICAi. ANDADULT EDUCATION

"II" LOTTERY FOR
EDUCATION

TOTAL

1,985,325.38
-18,084.88 2-18,183.86 2-18,188.115
12,-.00 531.00
11,826.19 793.07
12,432.93 376,883.19 50,887.51
19,705.17 "46,330.15 3,753.90 82,302.90 125,262.22 61,626.31 191,058.55
396,836.75 1,838.53
52,0"46.39
120,-.90 3,518.20
265,997.05 110,633.30
2,629,623.33
7,104,153.29
2s,so1,no.13
2,767,457.95
71,37321 6,091,410.19
10,614.00
22,722.86
2n,21.83
6,473,52.09
1,128,160.84

$

1,985,325.38

-18,084.86 246,183.86 2-18,188.115
12,46.00
531.00 11,826.19
793.07

12,432.93 376,883.19
50,887.51 19,705.17 "46,330.15 3,753.90 82,302.90 125,262.22 61,826.31 191,058.55

396,836.75 1,838.53
52,046.39

120,-.90 3,518.20
265,997.05 110,633.30

2 629,623.33

7,104,15329

$ 25,501,720.13

$

2,767,457.95

71,37321 6,091,410.19
10,614.00

22,722.86
2n.21.83

$

6,473,52.09

$

1,128,160.8

See accompanying notes and Independent Accountanrs Combined Report on Review d Financlal Statements and Supplementary Information.
.34.

PsPAR1MfNT OF TECHNICAi ANP ADULT EDUCATION ADMINISTRATIVE CENTRAi OFFICE (OVERSIGHT LJNm CQMBINING STATEMENT OF FUNDS AVAILABLE ANO EXPENDITURES
BLJQGET FUNP YEAR ENPEP JUNE 30 1pgs

EXHIBITT

EXf'ENQITURES
~
DISTANT LEARNING SATELLITE DISHES Otherea.ts RepainandMolnlenanca Equipment Equipment Pun:!-.
COMPUTER LABORATORIES AND SATELLITE DISHES ADULT LITERACY Equipment Equipment PuR:hases T-.,,,rnunicatlons
CAPITAL OUTLAY TECHNICAL INSTITUTE SATELLITE FACILITIES Olher Cools Repairs and Maintenance
EQUIPMENT TECHNICAL INSTITUTES Other Cools
-..Grants to Counties, Cities, and Civil Dtvi&ions
Equipment Equipment Purchases
Compule<Charu-
Telecommunications
Total Other
Tolal Expend~ures
Excess of Fund& Available OYer Expenditures

"A" DEPARTMENT OF
TECHNICAL ANDADULT EDUCATION

"B" LOTTERY FOR
EDUCATION

TOTAL

4,459.00 S 35,391.04 39,850.04 S

4,<ISll.00 35,391.04 39,850.04

164,967.00 S 801,184.81
966,151.81 $

164,967.00 801,164.81
966,151.81

20,014,673.00 $ 20,014,673.00

43,093,922.30 $ 50,046,532.33 $
351,629.51

527,381.33 S 2,087,097.83
3,441.67 59,n1.94
s 2,sn,62.n
23,698,317.62 $ 23,698,317.62 S 5,629,483.54

527,381.33 2,087,097.83
3,441.67 59,n1.94
2.sn.S2.n
66,792,239.92 73,744,649.95
5,981,093.05

50,398,161.64 $ 29,327,781.16 $ 79,ns,943.oo

See accompanying notes and Independent Accountanrs Combined Report on Review d Financial statements and Supplementary lnformatk>n.
.35.

C"ic Jc.
,10ro) g

QEPARTMfNT OF TfCHNICAL ANP APl/bT f pcATIQN ADMINISTRATIVE CfNTRAL OFFICE fOVERSIGHT UNITI STATEMENT OF CHANGES IN ASSfIS ANp LIABILITIES
F1pc1ARY FUND TYPE AGENCY FUNps YfAR ENpEp JUNE 3Q 1995

EXHIBIT"J"

fUNP
Postsecondary Activities Accounts

ASSETS/ LIABILITIES JULY 1, 1994

ADDITIONS

DEDUCTIONS

ASSETS/ LIABILITIES JUNE 30, 1995

$ ===1=05=4=1=4=.79=$

160736.14 $

=115.75 $ ===44==035==.1=8

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

DEPARTMENT OE TECHNICAl ANP ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE (oVERSJGHJ UNm
SCHEDULE OF APPROVED BUDGET "A" DEpARTMENT OF TECHNICAi AND ADULT EDUCATION
YEAR ENDED JUNE 30 1995

FUNDS AVAILABLE
_REVENUE S-Apprcpriatlan Fedonll R other R - Retained
CARRY-OVER fROM PRJOR VEAR Transfer from R-.ed Fund Balance

EXPENDITURES

Pelsonal Services Regular Opelllting i._,_ TnM!I
Equipment ComplUr Charges

Real -

Rentals

Telecommunlcatio

Per Diem, F - and Conlrac:ts

C8pilal OUllay

Pelsonal Servlces-lnalil

Operating ~lnatilulions

QUlck Start Program

Area School Pn,gram

Regents Program

Adull Lila<acy Grants

Job Training Partnership Act

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

GOVERNOR'S EMERGENCY
FUND

$ 144,432,715.00 $ 19,369,880.00 11.297,198.00
$ 175,099,793.00 $
0.00

1,305,573.00 $ 206,551.00
1,512,124.00 $

$ 175,099 793.00 $

1 512124.00 $

37,500.00 37,500.00
37,500.00

$

3,731,235.00 $

371,335.00

110,500.00

15,000.00

406,730.00

334,490.00

158,000.00

704,000.00

0.00

99,797,501.00

19,869,284.00

6,518,990.00

25,012,445.00

2,758,900.00

15,311,383.00

0.00

141,424.00 29,458.00 10,000.00
$ -274,34200 1,605,573.00
11.00

10,000.00 27,500.00

$ 175099793.00 $

s 1 s12124.00 ====31.,..soo,.....0..0=

See acc:ampanying notes llld Independent Accountant's Combined Report on
Review or Financial Slatemenls and Supplementary lnfonnation.
-38-

SCHEDULE 1

BUDGET ADJUSTMENTS

TOTAL APPROVED
BUDGET

LESS: BUDGET TRANSFERS TO OTHER UNITS

TOTAL

$ 145,775,788.00 $ 105,713,179.00 $

40,062,609.00

$

19,375,925.00

38,952,356.00

26,453,936.00

12,498,420.00

30,385,965.00

41,683,163.00

41,417,152.00

266,011.00

$

49,761,890.00 $ 226,411,307.00 $ 173,584,267.00 $

52,827,040.00

427,448.00

427,448.00

427,448.00

0.00

$

50 189 338.00 $ 226 838 755.00 $ 174011715.00 $

52 827 040.00

$

672,475.00 $

4,545, 134.00

$

4,545,134.00

123,416.00

524,209.00

524,209.00

87,745.00

208,245.00

208,245.00

25,796.00

40,796.00

40,796.00

106,247.00

512,977.00

512,977.00

32,646.00

367,136.00

367,136.00

51,250.00

209,250.00

209,250.00

291,851.00

1,005,851.00

1,005,851.00

1,576,000.00

1,576,000.00 $

1,576,000.00

0.00

14,820,435.00

114,343,594.00

114,256,994.00

86,600.00

24,104,617.00

43,973,901.00

43,845,995.00

127,906.00

215,828.00

8,340,391.00

1,123,961.00

7,216,430.00

494,228.00

25,506,673.00

25,506,673.00

8,559.00

2,767,459.00

2,767,459.00

4,581,310.00

19,920,204.00

12,109,433.00

7,810,771.00

2,996,935.00

2,996,935.00

1,099,332.00

1,897,603.00

50 189,338.00 $ 226 838,755.00 $ 174011715.00 $

52 827 040.00

-39-

SCHEOULE"2'

fl INOS l':VAU em E

ORIGINAL APPROPRIATION

AMENDED APPROPRIATION

BUDGET ADJUSTMENTS

TOTAL APPROVED
BUDGET

LESs. BUDGET TRANSfERS TO OTHERUNrTS

TOTAL

PMBY-QYfB FB9M PBIOR YEt,B
T...,_trorn R...viad Fund Balance

22,550,423.00 S

19,867,000.00

0.00

42,417,423.00 $ 17,771,138.00 S 24,848,264.00

118320.00

118320.00

118320.00

.............,.__ _ eon,p..,~ands..Nila o.hN-Adult
Lllnoy
_... _Cllpital Outlay-Technic:al IMtilutes..Mite Facilities
Equipment. Tectinal lnatitullN

22550"23.00 S
0.00 1,000,000.00 19,147,873.00 S 2.402.750.00
0.00

19 867 000.00 $
867,000.00 12,000,000.00 7000000.00

118320.00 $ 42,5357"3.00 S 17771139.00 S 247&UI04.00

118,320.00 $

118,320.00
s 1,000,000.00
20,014,673.00 14,402,750.00 7 DOD 000.00

33,eos.00
11,711,137.00 6 026 397.00

118,320.00
Cle6,3"5.00 20,014,673.00 2,891,913.00
973803.00

22550423.00 S

19867000.00 S

118320.00 S 425357"3.00 S 17771139.00 S 24784e04.00

See accompanying notes #Id Independent Accountant's Combined Report on Reviewd F1n11ncial Sl:alarnents and Supplementary tnformation.

-41-

121;:PABDC!il QE J:e~HN~ ~Q amlLI ~ ICA-TION
~lJB6~ CENTRAl OFFICE l~B~tfi ~
~l:ll;t!JI& QE m,n;;~gfa TRANSB;f IQ QTl:li;B ~Nill a_ 121;PB13!MENT QE IfCHH~I ~g ~IT E~T!Qt:I
VEAR !=NClEP .11.JNE 30 1995

STAJ:e TECHNICAL INSTfTIJTES
Albany Technlcal lnoliMe Altamaha Technical Institute -AnloTechnlcallnotitute Augusta Technical Institute Ben Hil~rwin Technical Institute Carroll Technical Institute Chattahoochee Technical Institute Columbus Technical Institute Cccoa Valley Technical Institute Flint River Techrrical Institute Griffin Technical Institute Heart of Georgia Technical Institute LanierTechn)cal lnstitute Macon Technical Institute Middle Georgia Technical Institute Moultrie Area Technteal lnstitute North Georgia Technical Institute North Metro Technicat lnstitu1e 0geechee Technical Institute Okefenokee Technical lnstttu1e Pickens Technical Institute Sandenmlle Technical Institute South Georgia Technical Institute Southeastern Technical lnstttute Swainsboro Technical Institute Thomas Technical Institute Valdosta Technical Institute Walker Technical Institute West Georgia Technical Institute

CAPITAL OUTLAY
27,000.00 100,000.00
36,000.00 111,000.00 1,300 000.00

APPROVED BUDGET

PERSONAL SERVICESINSTITlJTIONS

OPERATING EXPENSESINSTITUTIONS

QUICK START PROGRAM

ADULT LITERACY GRANTS

5,720,796.00 $ 3,307,640.00 $

96,824.00

2,375,424.00

1,334,307.00

173.00 $

362,542.00

6,715,089.00

2,253,559.00

254.00

715,547.00

9,153,136.00

3,356,311.00

565,432.00

814,820.00

3,2n,919,oo

1,086,697.00

2,457.00

313,927.00

4,570,153.00

1,878,007.00

830,478.00

5,866,842.00

1,913,380.00

6,690,305.00

1,822,944.00

93,083.00

4,126,058.00

1,422,037.00

51,107.00

347,028.00

2,674,700.00

1,204,399.00

644,334.00

.201 ,338.00

2,029,250.00

956.00

719,455.00

2,971,345.00

996,924.00

n,460.oo

3,733,187.00

1,206,989.00

183,878.00

720,610.00

6,504,245.00

2,960,943.00

2,576.00

67,000.00

3,314,837.00

1,076,843.00

14,614.00

550,952.00

2,841,937.00

956,455.00

871.00

357,986.00

5,245,718.00

2,164,537.00

14,455.00

442,568.00

3,441,970.00

1,324,056.00

842.00

229,337.00

2,597,038.00

990,293.00

11,234.00

427,005.00

3,120,746.00

1, 114,>0.00

8,000.00

417,349.00

2,745,238.00

873,032.00

2,989.00

431,981.00

79,452.00

73,509.00

4,086,864.00

2,089,335.00

700.00

526,962.00

2,147,267.00

767,269.00

9,301.00

605,TT1.ll0

2,638,222.00

967,291.00

750.00

627,373.00

3,714,614.00

1,143,738.00

466,116.00

3,997,609.00 2,915,953.00

1,665,495.00 1,105,787.00

1,223.00

319,357.00
409,m.oo

2,793,991.00

940,568.00

82,462.00

483,703.00

JOB TRAINING PARTNERSHIP
/lCT 36,951.00
13,907.00 70,811.00 46,565.00 85,346.00 83,596.00 27,439.00 60,639.00 28,696.00 182,315.00
37,811.00 53,896.00 61,834.00 62,752.00 38,880.00
15,209.00
24,013.00
69,440.00 35,752.00 27,000.00 60,835.00 15,045.00

1,576000.00 $ 114,256,994.00 $ 43,845,995.00 $ 1,123,961.00 $ 12,109,433.00 $ 1,099,332.00

See accompanying notes and Independent Accountants Combined Report on Review of Financial Statements and suppiementary Information.
-42-

SCHEDULE7

TOTAL 9,162,011.00 $ .,072,-.00 9,698,356.00 13,780,510.00 .722,565.00 7,363,984.00 7,843,818.00 8,460,751.00 6,006,869.00 4,552,129.00 7,113,314.00 4,..S,729.00 5,962,275.00 9,608,660.00 5,019,080.00 4,220,001.00 7,907,158.00 4,996,205.00 4,040,779.00 4,698,-.00 4,053,241.00
152,961.00 6,727,874.00 3,529,608.00 .,414,076.00 5,360,220.00 6,010,684.00 4.-.147.00 5,595,769.00

STATE FUNDS

FEDERAL REVENUES

FUNDING PROVIDED

OTHER

CARRY-OVER

REVENUES

PRIOR YEAR

RETAINED

LOCAL FUNDS

TOTAL

.966,001.00 $ 1,0&2,21.00 $ 3,121,056.00 $

12,713.00 $ 9,162,011.00

2,115,.ae.oo

,406,788.00

1,490,2"9.00

.012.-.00

6,010,3:W.OO

1,2.0,263.00

2,. .7,759.00

9,698,356.00

8,784,9"3.00

2,068,117.00

2,877,.SO.OO

50,000.00 13,780,510.00

3,003,012.00

625,823.00

893,730.00

.,722,565.00

4,420,065.00

1,285,"97.00

1,658,422.00

7,363,984.00

4,815,230.00

1,333,633.00

1,694,955.00

7,843,818.00

5,821,178.00

1,172,399.00

1,439,896.00

27,278.00

8,"60,751.00

3,657,892.00

936,259.00

1,412,718.00

6,006,869.00

2,500,560.00

921,907.00

1,129,662.00

4,552,129.00

3,722,265.00

1,347,302.00

1,976,870.00

66,877.00

7,113,314.00

3,204,503.00

473,508.00

767,718.00

4,..S,729.00

3,976,993.00

550,436.00

1,390,631.00

. .,215.00

5,962,275.00

5,838,686.00

1,292,559.00

2,467,415.00

10,000.00

9,608,660.00

2,926,. .2.00

946,518.00

1,141,120.00

5,000.00

5,019,080.00

2,693,453.00

933,184.00

583,364.00

10,000.00

4,220,001.00

4,955,. .1.00

844,664.00

2,107,053.00

7,907,158.00

2,890,530.00

429,717.00

1,675,958.00

4,996,205.00

2,344,462.00

688,579.00

1,007,738.00

4,040,779.00

2,780,467.00

946,895.00

933,143.00

38,000.00

4,698,"95.00

2,696,130.00

736,190.00

617,921.00

3,000.00

4,053,241.00

138,591.00

14,370.00

152,961.00

4,514,250.00

811,751.00

1,.01 ,873.00

6,727,87.00

2,151,289.00

573,610.00

804,709.00

3,529,608.00

2,578,309.00

1,076,846.00

638,921.00

120,000.00

4,414,076.00

3,252,572.00

952,662.00

1,154,986.00

5,360,220.00

3,603,910.00

916,988.00

1,465,786.00

34,000.00

6,010,684.00

2,603,184.00

922,018.00

966,965.00

4.-.147.00

2,687,108.00

757,582.00

2,144,714.00

6,365.00

5,595,769.00

s 174,011,715.00 $ 105,713,179.00 $ 26,453,936.00 $ 41,417,152.00 $

s 427,..a.oo 174.011,715.00

.43.

DEP&BIM~fil QE If;Qt:lt:UCAI ~Q AQULT fl:21,JCATI~ ~INlTBAT~ ~l;W:B&., OF~f (~Rl~HT YN!!}
~Hl;CH.!L~ OF ~~l;T I~~B& IQ ~ R !i,!NIT ~ LQ!Il;RY EQB f,Q!.!QATION
YEARFNDEPJl1NE30 1995

SCHEDULE 4

!fil ~~t:INI~ INSTITUTE Albany Technical lnslitu18 Altamaha Technical Institute Athens Area Technical Institute Augusta Technical Institute Ben Hllt.-lrwin Tectmical Institute Carroll Technical Institute ChallahoochM Technical lnslitu18 Columbus Technical Institute Ccosa Valley Technical lnslitu18 Frint River Technical Institute Griffin Technical Institute Heart of Georgia Technical lnslitu18 Lanier Technical Institute Macon Technical lnslitu18 Middle Georgia Technical I Moultrie Araa Technical Institute North Georgia Technical Institute North Melro Technical lnstiblts ()geaehM Technical Institute Okefenokee Technical Institute Pickens Technical Institute South Georgia Technical Institute Soulhaastern Technical Institute Swainsboro Technical tnstitute Thomas Technical Institute Valdosta Technical Institute Walker Technical Institute West Georgia Technlcal Institute

COMPUTER LABORATORIES AND SATELLITE
DISHESADULT LITERACY
1,200.00 5,652.00 2,590.00
3,846.00 2,037.00 6,140.00 1,073.00
6,960.00
4,107.00

APPROVED BUDGET

EQUIPMENTTECHNICAL INSTITUTES

REPAIRS
AND RENOVATIONS

TOTAL

FUNDING PROVIDED
STATE FUNDS

83,000.00 $ 235,000.00 $ 318,000.00 $ 318,000.00

115,442.00

50,000.00

166,642.00

166,642.00

187,881.00

318,000.00

505,881.00

505,881.00

493,338.00

500,000.00

998,988.00

998,988.00

676,203.00

180,000.00

858,793.00

858,793.00

843,842.00

350,000.00

1,193,842.00

1,193,842.00

860,935.00

425,000.00

1,285,935.00

1,285,935.00

184,311.00

257,000.00

441,311.00

441,311.00

295,884.00

300,000.00

595,884.00

595,884.00

407,219.00

100,000.00

511,065.00

511,065.00

345,153.00

375,000.00

720,153.00

720,153.00

1,ne,214.00

130,000.00

1,910,251.00

1,910,251.00

216,100.00

240,000.00

462,240.00

462,240.00

342,231.00

470,750.00

812,981.00

812,981.00

138,049.00

25,647.00

164,769.00

164,789.00

147,997.00

250,000.00

397,997.00

397,997.00

154,000.00

340,000.00

494,000.00

494,000.00

75,330.00

82,290.00

82,290.00

120,851.00

120,851.00

120,851.00

125,005.00

90,000.00

215,005.00

215,005.00

115,295.00

130,000.00

249,402.00

249,402.00

178,000.00

165,000.00

343,000.00

343,000.00

122,652.00

122,652.00

122,652.00

567,890.00

180,000.00

747,890.00

747,890.00

1e1.m.oo

90.000.00

2e1,m.oo

2e1,m.oo

186,125.00

265,000.00

451,125.00

451,125.00

209,656.00

260,000.00

469,656.00

469,656.00

2,542,744.00

300,000.00

2,842,744.00

2,842,744.00

s s s s 33,605.00 11,111,131.00

s.026,397.oo 11.111.139.oo 11.n1,139.oo

See accompanying notes and Independent Accountanfs Combined Report on Review d Financial Statements and Supplementary Information.
-44-

DEPARTMENT Of TECHNICAL AND ADULT EDUCATION
ADMINISTRATIVE CENTRAL OFFICE Co\/ERSIGHT UNID CASH ANP CASH EQUIVALENTS JUNE3() 1995

SCHEDULE "5"

NONINTEREST BEARING ACCOUNTS
NationsBank of Georgia, A-.Georgia
Funds Held on Behalf of Sanden!ville Technical Institute
INTEREST BEARING ACCOUNTS
Wachovia Bank of Georgia, Atlanta, Georgia
Commerclal Interest Checking Account

1,409,056.21 261.06 $

1,409,317.27

44,035.18

$ ===1--,453=,35=2=.45=

See accompanying notes and Independent Accountanrs Combined Report on Review of Financial Statements and Supplementary Information.
.45.

DEPARTMENT OF TECHNICAi AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE IOVERSIGHT UNITI
SCHEDULE OF GOVERNOR'S EMERGENCY FUND YEAR ENDED JUNE 30 1995
Hickory Log Vocational School - Purchase Air Condrtioners for the School Rome Housing Authority- Assist with Operating Expenses for the
Graham Homes Wilfingham Village GED/Day Care Programs Provide Incentive Funds to New Participants in the cartifoed
Literate Community Program

SCHEDULE "6''
10,000.00 10,000.00 17,500.00
s =====3=1..s..o..o..0.0=

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-46-

DEPARJMfNT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE [OVERSIGHT UNITI
SCHEDULE OF FEDERAL REVENUES YEAR ENDED JUNE 30 1995

SCHEDULE"7"

BUDGET FUND
Commerce, U. S. Department of Measurement and Engineering Research and Standards Through Georgia Institute of Technology
Education, U. S. Department of Adult Education - State Administered Basic Grant Program Direct
Vocational Education - Basic Grants to States Through Georgia Department of Education
Vocational Education - Consumer and Homemaking Education Through Gecrgia Department of Education
Vocational Education - Community Based Organizations Through Georgia Department of Education
State Literacy Resource Centers Direct
Energy, U. S. Department of State Energy Conservation Stripper Well Oil VIOiation Funds Through Georgia Environmental Facillties Authority
Energy Conservation For lnstltutional Buildings Through Valdosta Technical Institute
Federal Emergency Management Agency Disaster Assistance Through Office of the Governor
s. Labor, u. Department of
Employment and Training Assistance - Dislocated Workers Direct
Job Training Partnership Act Through Georgia Department of Labor
Mine Health and Safety Grants Direct

CFDA NUMBER

AMOUNT

11.609

$

52,463.51

84.002 84.048 84.049 84.174 84.254

7,171,107.75 14,404,392.29
335,829.62 122,688.81 219,649.93

81.041 81.052

827.92 7,182.00

83.516

4,447.00

17.246 17.250 17.600

226,288.00 2,393,834.79
153,287.66

$

25 091 999.28

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-47-

DEPARTMENT OF TECHNICAi AND ADULT EPUCATION ADMINISTRATIVE CENTRAL OFFICE /OVERSIGHT UNITI
SCHED\/1 E OF EXTRAORDINARY EXPENDITURES YEAR ENDED JUNE 30 1995
OPERATING EXPENSES-INSTITUTIONS
Settlement of Personal 1n;.,nes Sult Anderson, Alvin Frederick

SCHEDULE "8"
s =====35==000==.oo=

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary Information.
-49-

gEPARTUEtiJ: gf RC~IC6I ~Q 6C!~LI Eot.JCATION ADMlNISTRAiflE QENTRAL OFFICE t~RSIG.HT WII)
IQl:IE'2UJ.E Qf AU_OTMEM[ IQ liibIE I E ~ ~ f f l ~ ! DEe!BIMEfil QE IE~~~ ~ &.!LI EDUCATION VEAR ENQEP JllNE 30 1995

~T--Technicol--T-Aug.-T-BonHIII-NlnT-Corral Tochnical _ , . . ~hoochee Technicol lnslibb ColumbusT_.-... Cocoa Valley T - lnstilule FlintRiwrT-llnslituta Grillin T - 1 _ _ , HNrtd ~ Tocmical _ , _ LllniorT_I_ -T-Middloci-gloTochnlc:al--TochnicalNorth~ Tochnical lnslitule
North - T - OgNdlNT--Tochnic:ol-T--T-Soull, ~ Technical lnatitule -Technical-.,Tec:hnic:allnstitule Thomas Tochnic:ol _ , . . -Technlcol _,.,, W-Tod>nicallnstilulie
Wost Goofvia Toc:hnical lnslilulie

PERSONAL
SERVICESINSTITUTIONS

OPERATING
EXPENSESINSTITUTIONS

4,870,224.32 $

485,853.93 $

1,853,801.53

296,801.58

5,670,224.99

4611)37.92

7,855,717.58

856,572.23

2,893,053.58

327,431.30

4,0115,765.00

450,071.00

4,738,736.73

467,791.11

5,937,996.00

718,053.00

3,462,022.28

271,611.72

2,233,122.46

318,485.97

3,339,646.24

495,943.81

2,783,404.68

353,019.44

3,315,809.38

431,829.37

5,837,597.00

1.007,993.00

2,711,779.22

332,340.00

2.523.216.00

323,552.00

4,327,409.82

768,641.36

2,512,032.17

383,280.30

2,160,502.13

237,082.00

2,500,072.00

2n,431.01

2,419,989.03

302.207.66

74,255.89

59,404.78

3,622,579.81

801,923.12

1,932,202.31

272,954.61

2,319,066.72

307,745.98

3,191,587.68

283,346.09

3,698,871.95

237,an.33

2,445,889.83

294,325.00

2,640,942.75

207,515.50

APPROVED ALLOTMENTS

QUICK START PROGRAM

ADULT UTERACY GRANTS

96.585.47

172.27 $

235,775.29

252.75

558,412.37

585,431.30

584,372.53

2,307.00

290.243.72

482,1197.00

93,060.96 51,105.51
955.57
163,873.12 2,575.28 14,614.00 870.40
13,349.76
sn.oo
11,233.45 8,000.00 2.968.06

316,575.33 316,231.81 413,685.22 346,165.27 491,401.97
397,080.00 272,953.00 346,511.38 205,565.04 201,905.61 396,372.62 431.961.00

382.14 9,300.00
749.89
1,221.22
62,459.36

372,466.45 390,910.30 374,091.33 251,591.00 306,468.16 378,783.73 329,151.29

98,167,519.12 $
Seo accomponylng , _ 1111d Independent Accountant's Combined Report on ReviowdFonancial S - and Supplomenlary-.

11,831,925.16 $

1,122,164.51 $

8706,701.42

SCHEDULE 9

JOB TRAINING PARTNERSHIP
ACT 35,119.22 $
11,032.36 46,708.11 38,176.99 76,294.70 34,965.67 24,786.42 56,635.86
227.85 149,507.43
25,632.93 50,094.34 50,104.81 62,752.00 33,314.82
15,205.86
23,130.49
64,820.95 35,752.00 26,921.00 59,565.29 8,761.52

TOTAL 5,487,782.94 $ 2,386,550.67 6,700,960.39 9,728,801.76 3,551,212.59 5,115,127.70 5,241,513.51 6,773,896.38 4,157,950.70 2,868,068.11 4,399,748.27 3,485,589.39 4,428,546.77 6,898,259.62 3,505,918.03 3,183,343.40 5,491,227.14 3,101,554.51 2,625,929.05 3,181,875.69 3,157,165.75
133,660.67 5,020,482.01 2,605,367.22 3,066,474.87 3,762,279.78 4,271,179.66 3,178,543.85 3,248,830.42

STATE FUNDS

FUNDING PROVIDED FEDERAL REVENUES

4,965,962.47 $

521,820.47 $

2,165,018.89

221,531.78

6,010,165.93

690,794.46

8,759,101.14

969,700.62

3,002,327.59

548,665.00

4,420,065.00

695,062.70

4,815,230.00

426,283.51

5,820,955.96

952,940.42

3,657,890.51

500,060.19

2,496,873.78

371,194.33

3,722,264.57

677,483.70

3,135,185.37

350,404.02

3,976,988.12

451,558.65

5,838,528.28

1,059,731.34

2,926,442.00

579,476.03

2,693,452.40

489,891.00

4,954,280.06

536,947.08

2,883,922.43

217,632.08

2,339,808.65

286,120.40

2,780,457.00

401,418.69

2,690,302.09

466,863.66

133,660.67

4,513,931.63

506,550.38

2,151,288.00

454,079.22

2,578,163.03

488,311.84

3,252,489.10

509,790.68

3,603,850.57

667,329.09

2,602,893.97

575,649.88

2,687,105.36

561,725.06

TOTAL 5,487,782.94 2,386,550.67 6,700,960.39 9,728,801.76 3,551,212.59 5,115,127.70 5,241,513.51 6,773,896.38 4,157,950.70 2,868,068.11 4,399,748.27 3,485,589.39 4,428,546.77 6,898,259.62 3,505,918.03 3,183,343.40 5,491,227.14 3,101,554.51 2,625,929.05 3,181,875.69 3,157,165.75
133,660.67 5,020,482.01 2,605,367.22 3,066,474.87 3,762,279.78 4,271,179.66 3,178,543.85 3,248,830.42

929,530.62 $ 120,757,840.85 $ 105,578,604.57 $ 15,179,236.28 $ 120,757,840.85

-51-

'1E~~tfi QE Ili'-':IN!Q&. AHQ ~1:!JLI EDLJCATJON ~l~TRATNF ~tf[B&. QEE&E (M!:~ljT UH!D Qt:IEI:! 11 EQE ~LQIMl;tfi TQ STAIE IEQH~Ir-A! ~JmlIE
:: l.QmB)'. FQB &DUCATION
YEAR ENQEQ JUNE 30 1995

SCHEDULE "10"

-,YToc:hnk:allnstilule _,.Toc:hniclllnstilule --Technical lnstilule Augl,m Technicll lnstilule Bon Hill-Irwin Toc:hnk:al lnstilule
Canoll Technical C--.Technicallnstilule Cclumbus Technical lnstilule Coosa Valley Technical 1.-.ia Flint R!Yw Technical 1.-.ia GriffinToc:hnical-..., Heart d Georgia Toc:hnical Institute
Lanier Technical Institute
_ , Technical lnstilule Middle Georgia Technical lnstitula --Toc:h-llnstilule North Georgia Technical 1nstitu1D North -Toc:hnical-..., Ogoeci- Toc:h-1 lnstitulo Okolenokoe Technical Institute Picbns Technical lnslitut8 South Georgia Technical Institute - . Toc:h-l lnslilule Swainsbo<o Technical lnstitulo Thomas Technical lnstitula -Technical lnstilule Wall<er Technical lnstilule West Georgia Toc:hnical lnslilule

COMPUTER LABORATORIES AND SATELLITE
DISHESADULT LITERACY

APPROVED ALLOTMENTS

EQUIPMENTTECHNICAL INSTITUTES

REPAIRS AND RENOVATIONS

1,171.90 5,318.90 2,590.00
3,846.00 2,036.72 6,068.45 1,072.50
6,949.56
4,107.00

83,000.00 115,441.97 $ 187,891.00 "'93,335.94 676,203.00 &43,842.00 860,933.99 183,515.00 295,894.00 407,219.00 345,153.00 1,778,214.00 216,100.00 342,231.00 138,049.00 147,997.00 153,976.69
75,169.25 120,851.00 125,005.00 115,295.00 177,558.72 121,056.30 567,890.00 197,772.00 186,125.00 209,656.00 2,542,744.00

3,000.00 87,780.86 154,695.48 10.611.71
50,265.98 285,000.00 180,255.75
750.00 25,646.80 145.122.00 339,902.19
16,873.97 130,000.00
sa,m21

TOTAL

FUNDING PROVIDED
STATE FUNDS

83.000.00 $

83,000.00

119,613.87

119,613.87

275,671.86

275,671.86

653,350.32

653,350.32

676,793.00

678,793.00

654,453.71

654,453.71

860,933.99

860,933.99

183,515.00

183,515.00

346.159.98

346,159.98

411,065.00

411.065.00

630,153.00

630,153.00

1,780,250.72

1,780,250.72

382,424.20

382.424.20

342,981.00

342.981.00

164,768.30

164,768.30

293,119.00

293,119.00

"'93,878.88

493,878.88

62,118.81

62,118.81

120,851.00

120,851.00

141,878.87

141,878.97

249,402.00

249,402.00

177,558.72

177,558.72

121,056.30

121,056.30

624,667.21

624,667.21

197,772.00

197,772.00

186,125.00

186,125.00

209,656.00

209,656.00

2,542,744.00

2 542,744.00

33,161.03 $ 11,708,118.86 $
See accompanying no4as and lndepandent Accountants Combined Report on Review d F....- Statements and Supplementery -

1,466,681.95 $ 13,207,961.84 $ 13,207,961.84

-52-

DEf'ARJMfNT OFTECHNICAL AND ADULT EP\/CAT(ON

SCHEDULE 11

APM1NISTBATIVE CENTRAi OFFICE (0\/ERSIGHT UNID

ANALYSIS OF PRIOR YEAR'S SURPLUS FUNDS COLLECTED FROM STATE TECHNICAL INSTITUTES

YEAR fNDED JUNf 30 1995

Albany Technical Institute Altamaha Technical Institute Athens Area Technical Institute Augusta Technical Institute Ben Hi~IIWin Technical Institute carro11 Technical Institute Chattahoochee Technical Institute Columbus Technical Institute Flint Rhler Technical Institute Griffin Technical Institute Heart of Georgia Technical Institute Lanier Technical Institute Macon Technical Institute Middle Georgia Technical Institute Moultrie Area Technical Institute North Georgia Technical Institute North Metro Technical Institute Ogeechae Technical Institute Okefenokee Technical Institute Pickens Technical Institute South Georgia Technical Institute Southeastern Technical Institute Swainsboro Technical Institute Thomas Technical Institute Valdosta Technical Institute Walker Technical Institute

REGULAR

LOTTERY FOR EDUCATION

$

12,907.14

42,951.49

8,010.60

12,100.14

1,390.13

7,374.39 $

8,304.14

402.17

30,307.54

4,441.55

5,674.70

66.86

14,065.84

12,028.10

518.88

501.84

45,719.86

5,174.11

2,185.99

1,055.93

1,880.39

7,406.09

1,933.51

7,177.53

731.54

2,603.28

$ 38.20
5,799.90
1,360.50 1,002.31

TOTAL
12,907.14 42,951.49 8,010.60 12,100.14
1,390.13 7,412.59 8,304.14
402.17 30,307.54 4,441.55
5,674.70 66.86
19,885.74 12,028.10
518.88 501.84 45,719.86 5,174.11 2,185.99 1,055.93 3,240.89 7,406.09 2,935.82 7,177.53 731.54 2,603.28

$

236,913.74 $

8200.91 $

245114.65

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary lnfonnation.
-53-

DEPARTMENT OE TECHNICAL ANP ADULT EDUCATION ADMINISTRATil(E CENTRAL QFFlCf CQl(ERSIGHT VNID
RECONCILIATION OE SALARIES ANO WAGES ANO TRAVEi YEAR ENDED JUNE 3Q 1995

SCHEDULE "12"

Totals per Annual Supplement
Accruals June 30, 1995 June 30, 1994 July 1, 1994 Accrual Adjustments
Totals per Report
SUMMARY BY OBJECT CLASS
BUDGET FUND Personal Services Travel Other Quick Start Program

SALARIES AND WAGES

$

5,262,434.88 $

TRAVEL 372,905.48

7,264.47 -106.'I0 106.40

$

5 262 434.88 $

380169.95

$

3,277,109.50

$

1,985,325.38

189,111.40 191,058.55

5 262 434.88 $ ===380=-=169=.95=

See accompanying notes and Independent Accountant's Combined Report on Review of Financial Statements and Supplementary lnfonnation.
-54-

SECTION II FINDINGS AND IMPROPER OR QUESTIONED COSTS

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION AD:MINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT} SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30 1995

STATUS OF PRIOR YEAR FINDINGS AND IMPROPER OR QUESTIONED COSTS

The status of the findings disclosed in the review report for the year ended June 30, 1994, is summarized below:

Audit Control Number

Status ofFinding

415-94-01 415-94-02 415-94-03 415-94-04 415-94-05 415-94-06

See Audit Control Number 415-95-01 See Audit Control Number 415-95-02 Corrective Action Implemented Corrective Action Implemented Finding Deleted See Audit Control Number 415-95-03

PRIOR YEAR/CURRENT YEAR

ACCOUNTING CONTROLS (OVERALL) - Financial Statements AD:MINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Separation ofDuties Audit Control Number 415-95-01

The review report for the year ended June 30, 1994, disclosed that the Administrative Central Office did not provide for adequate separation of duties in the performance of accounting functions and related procedures in the area of General Fixed Assets/Property Management. For the year under review, the Administrative Central Office again did not achieve an adequate degree ofinternal control in this area. The responsibilities for physical inventories, maintenance of property records and custodial functions were assigned to the same individual.

Separation of duties involving key accounting functions is the basis for achieving an adequate system of internal control. Inadequate separation of duties creates an environment which does not provide reasonable assurance the accounting data and financial statements are accurate and complete.

The Administrative Central Office should review the accounting procedures in place, design procedures which would enhance segregation of duties relative to the General Fixed Assets/Property Management control category, and implement those procedures to strengthen the internal controls over the accounting function.

Memorandum Only Federal Financial Assistance Programs Affected and CFDA Numbers:

84.002 84.048 17.250

Adult Education - State Administered Basic Grant Program Vocational Education - Basic Grants to States Job Training Partnership Act

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE (OVERSIGHT UNIT} SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEARENDEDJUNE30 1995
PRIOR YEAR/CURRENT YEAR
GENERAL FIXED ASSETS/PROPERTY MANAGEMENT - Financial Statements ADMINISTRATIVE REQUIREMENTS - Federal Financial Assistance Inadequate Equipment Inventory Records Vocational Education - Basic Grants to States (CFDA 84.048) Audit Control Number 415-95-02
The review report for the year ended June 30, 1994, disclosed that the equipment inventory records for the general fixed assets of the Administrative Central Office were deficient. For the year under review, our examination included a review ofthe internal accounting controls utilized by the Administrative Central Office in maintaining their State Property System for compliance with Federal and State laws and regulations. In addition, procedures were performed to verify the accuracy of the total equipment inventory valuation contained in the inventory records, which comprises the General Fixed Assets Account Group. The deficiencies noted are as follows:
(1) Title to equipment located at various colleges and technical institutes operated by local boards of education vests with the Department of Technical and Adult Education; however, the Administrative Central Office does not monitor or account for this equipment.
(2) A sample of twenty equipment items selected from the Administrative Central Offices's inventory records for physical examination revealed that one item could not be located.
The deficiencies identified above were caused by the Department's failure to follow guidelines for maintaining equipment inventories. The Administrative Central Office should follow established procedures to ensure that equipment inventories are maintained in accordance with Federal Regulations (34 CFR 80.32) and the State Property System Manual.
MONITORING SUBRECIPIENTS Inadequate Subrecipient Monitoring Procedures Federal Financial Assistance Vocational Education - Basic Grants to States (CFDA 84.048) Audit Control Number 415-95-03
The review report for the year ended June 30, 1994, noted deficiencies in the procedures used by the Administrative Central Office in monitoring subrecipients. For the year under review, some improvements were made, however, deficiencies remained in the subrecipient monitoring procedures for the Vocational Education - Basic Grants to States program. Subrecipient applications for this program were reviewed to determine if applications were approved before funding was provided. Our examination revealed that three applications for the grant period ofJuly 1994 through June 1995 were approved in the month of December 1994 after funds were disbursed.

DEPARTMENT OF TECHNICAL AND ADULT EDUCATION ADMINISTRATIVE CENTRAL OFFICE <OVERSIGHT UNIT} SCHEDULE OF FINDINGS AND IMPROPER OR QUESTIONED COSTS
YEAR ENDED JUNE 30 1995
PRIOR YEAR/CURRENT YEAR
MONITORING SUBRECIPIENTS Inadequate Subrecipient Monitoring Procedures Federal Financial Assistance Vocational Education - Basic Grants to States (CFDA 84.048) Audit Control Number 415-95-03
This deficiency was caused by the Department's failure to establish appropriate internal controls to ensure that local applications are approved before granting funds to subrecipients. The Administrative Central Office should establish and implement internal controls to ensure that grants are approved prior to disbursing funds to subrecipients.