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MANAGEMENT REPORT ALBANY TECHNICAL INSTITUTE 
ALBANY, GEORGIA AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA 
YEAR ENDED JUNE 30, 1999 
STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS 
254 WASHINGTON STREET 
ATLANTA, GEORGIA 30334-8400 
 
 ALBANY TECHNICAL INSTITUTE MANAGEMENT REPORT - TABLE OF CONTENTS - 
 
LEITER OF TRANSMITTAL 
 
SECTION I 
 
SELECTED FINANCIAL INFORMATION 
 
EXHIBITS 
 
A ANALYSIS OF CHANGES IN FUND BALANCE 
 
BUDGETFUND 
 
1 
 
SCHEDULESOFFUNDSAVAILABLEANDEXPENDITURES 
 
COMPARED TO BUDGET 
 
BUDGET FUND 
 
B 
 
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION 
 
2 
 
C 
 
"B" LOTTERY FOR EDUCATION 
 
3 
 
D RECONCILIATION OF SALARIES AND TRAVEL 
 
4 
 
E RECONCILIATION OF PER DIEM AND FEES 
 
5 
 
SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
SECTION ill CURRENT YEAR FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
 
 w. RUSSELL HINTON 
STATE AUDITOR 
(404) 656-2174 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
254 Washington Street, S.W., Suite 214 Atlanta, Georgia 30334-8400 
November 22, 1999 
 
Honorable Roy E. Barnes, Governor Members ofthe General Assembly of Georgia Members ofthe State Board of Technical and Adult Education Members ofthe Local Board ofDirectors 
and Honorable Anthony Parker, President Albany Technical Institute 
Ladies and Gentlemen: 
As part of our audit of the statutory basis :financial statements of the State of Georgia presented in the State of Georgia Report ofthe State Auditor, the general purpose :financial statements of the State of Georgia presented in the State ofGeorgia Comprehensive Annual Financial Report, and the issuance of a Statewide Single Audit Report pursuant to the Single Audit Act Amendments, as of and for the year ended June 30, 1999, we have performed certain audit procedures at Albany Technical Institute. Accordingly, the :financial statements and compliance activities of Albany Technical Institute were examined to the extent considered necessary in order to express an opinion as to the fair presentation of the :financial statements contained in the foregoing documents and to issue reports on compliance and internal control as required by the Single Audit Act Amendments of 1996. 
This Management Report contains information pertinent to the :financial and compliance activities of Albany Technical Institute as of and for the year ended June 30, 1999. The particular information provided is enumerated in the Table of Contents. 
This report is intended solely for the information and use of management and members of the Local Board of Directors ofAlbany Technical Institute and is not intended to be and should not be used by anyone other than these specified parties. 
Respectfully submitted, 
 
RWH:gp 
 
~UJ-~~ 
Russell W. Hinton 
State Auditor 
 
 SECTION I SELECTED FINANCIAL INFORMATION 
 
 ALBANY TECHNICAL INSTITUTE ANALYSIS OF CHANGES IN FUND BALANCE 
BUDGET FUND YEAR ENDED JUNE 30, 1999 
 
EXHIBIT"A" 
 
FUND BALANCE - JULY 1, 1998 
Reserved Surplus 
ADDITIONS 
Adjustments to Prior Year's Accounts Payable Excess of Funds Available over Expenditures 
Exhibit "B" 
Exhibit c 
DEDUCTIONS 
Unreserved Fund Balance (Surplus) Returned to Georgia Department of Technical and Adult Education - Administrative Central Office Year Ended June 30, 1998 
Adjustments to Prior Year's Accounts Receivable Refunds to Grantors 
Georgia Department of Technical and Adult Education - Administrative Central Office Federal Financial Assistance 
Reserved Fund Balance Carried Over from Prior Year as Funds Available 
FUND BALANCE - JUNE 30, 1999 
 
"A" DEPARTMENT OF 
TECHNICAL AND ADULT EDUCATION 
 
"B" LOTTERY FOR 
EDUCATION 
 
TOTAL 
 
$ 
 
553,655.75 
 
26 004.77 $ 
 
$ 
 
579,660.52 $ 
 
$ 553,655.75 
 
0.00 
 
26,004.77 
 
0.00 $ 579,660.52 
 
$ 
 
3,379.53 
 
377,269.38 
$ 
 
$ 
 
380,648.91 $ 
 
$ 3,379.53 
 
0.00 
 
377,269.38 0.00 
 
0.00 $ 380,648.91 
 
$ 
 
26,004.77 $ 
 
4,582.85 
 
0.00 $ 26,004.77 
4,582.85 
 
5,18~.25 
 
426,267.33 
 
$ 
 
462,044.20 $ 
 
5,189.25 426,267.33 
0.00 $ 462,044.20 
 
$ 
 
498,265.23 $ -========-=o=.o=o $ 498,265.23 
 
SUMMARY OF FUND BALANCE 
 
Reserved 
 
Federal Financial Assistance 
 
For Refund to Georgia Department of Technical and 
 
Adult Education - Administrative Central Office 
 
$ 
 
For Refund to Grantor 
 
For Continuation of Program 
 
Flood Recovery Insurance Proceeds 
 
Inventories 
 
Live Work Projects  
 
Prior Year Local Funds 
 
Surplus 
 
$ - 1- 
 
2,302.25 885.35 
17,788.88 136,046.05 121,696.44 102,613.10 115,767.68 
1165.48 $ 
 
$ 
0.00 
 
2,302.25 885.35 
17,788.88 136,046.05 121,696.44 102,613.10 115,767.68 
1,165.48 
 
498,265.23 $ ==-=--o=.o=o $ 498,265.23 
 
 ALBANY TECHNICAL INSTITUTE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES 
COMPARED TO BUDGET BUDGET FUND 
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30, 1999 
 
EXHIBIT "B" 
 
FUNDS AVAILABLE REVENUES 
State Appropriations Federal Revenues Other Revenues Retained 
CARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance 
 
BUDGET 
 
ACTUAL 
 
VARIANCEFAVORABLE (UNFAVORABLE) 
 
$ 6,755,313.00 $ 6,755,313.00 $ 
 
1,609,127.00 
 
1,255,296.12 
 
4,007,517.00 
 
3,043,914.76 
 
$ 12,371,957.00 $ 11,054,523.88 $ 
 
0.00 -353,830.88 -963,602.24 
-1,317,433.12 
 
0.00 
 
426,267.33 
 
426,267.33 
 
EXPENDITURES 
Personal Services-Institutions Operating Expenses-Institutions Adult Literacy Grants Job Training Partnership Act 
 
$ 12,371,957.00 $ 11,480,791.21 $ ====-89=1,=16=5.7=9 
 
$ 6,778,747.00 $ 6,611,196.30 $ 
 
4,329,681.00 
 
3,500,268.82 
 
1,100,697.00 
 
854,829.33 
 
162,832.00 
 
137,227.38 
 
167,550.70 829,412.18 245,867.67 
25,604.62 
 
Excess of Funds Available over Expenditures 
 
$ 12,371,957.00 $ 11,103,521.83 $ 
 
1,268,435.17 
 
---'---'--- 
 
$ 
 
377,269.38 $ ====37=7,=26=9.3=8 
 
-2- 
 
 ALBANY TECHNICAL INSTITUTE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES 
COMPARED TO BUDGET BUDGET FUND 
"B" LOTTERY FOR EDUCATION YEAR ENDED JUNE 30, 1999 
 
EXHIBIT"C" 
 
FUNDS AVAILABLE REVENUES 
State Appropriations 
 
BUDGET 
 
ACTUAL 
 
VARIANCEFAVORABLE (UNFAVORABLE) 
 
- - - - - - $ 492,454.00 $ 492,454.00 $ 
 
0.00 
 
EXPENDITURES Equipment-Technical Institutes 
 
- - - - - - $ 492,454.00 $ 492,454.00 $ 
 
0.00 
 
Excess of Funds Available over Expenditures 
 
$ 
 
0.00 $=====0.=0=0 
 
-3- 
 
 ALBANY TECHNICAL INSTITUTE RECONCILIATION OF SALARIES AND TRAVEL 
YEAR ENDED JUNE 30, 1999 
 
EXHIBIT "D" 
 
Totals per Annual Supplement 
Accruals June 30, 1999 June 30, 1998 
Adjustments (List on File) 
 
SALARIES 
 
TRAVEL 
 
$ 5,828,534.53 $ 
 
55,054.85 
 
129,691.02 -142,742.82 
 
-129.35 524.58 
 
$ 5,815,482.73 $ ===5=5,4=50=.0=8 
 
-4- 
 
 ALBANY TECHNICAL INSTITUTE RECONCILIATION OF PER DIEM AND FEES 
YEAR ENDED JUNE 30, 1999 
 
EXHIBIT"E" 
 
Totals per Annual Supplement 
Adjustments (List on file) 
 
TYPE PAYMENT Other Expense 
 
FEE AMOUNT 
 
EXPENSE AMOUNT 
 
$ 
 
88,662.55 $ 
 
2,259.97 $ 
 
TOTAL 90,922.52 
 
-518.64 
 
-518.64 
 
$ 
 
88,662.55 $ 
 
1,741 .33 $ ======90=,4=0=3=.8=8 
 
-5- 
 
 SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
 ALBANY TECHNICAL INSTITUTE 
AODITEE'S RESPONSE 
SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 1999 
 
PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
 
FINDING CONTROL NUMBER AND STATUS 
 
FS-820-97-05 FS-820-98-01 
 
Previously Reported Corrective Action Implemented Partially Resolved - See Corrective Action/Responses 
 
CORRECTIVE ACTION/RESPONSES 
 
GENERAL FIXED ASSETS/PROPERTY MANAGEMENT Inadequacies in Operation ofProperty Management System Finding Control Number: FS-820-98-01 
 
Procedures were implemented in FY 99 to conduct an annual physical inventory. All equipment items were placed on the property system. An INTERMEC scanner was purchased to aid us in this process. Reconciliation of the equipment inventory records to clean up missing and duplicated items is in process. 
 
 SECTION ill CURRENT YEAR FINDINGS AND QUESTIONED COSTS 
 
 ALBANY TECHNICAL INSTITUTE SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
YEAR ENDED JUNE 30, 1999 
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
GENERAL FIXED ASSETS Inadequacies in Operation ofProperty Management System Finding Control Number: FS-820-99-01 
For the year under review, an examination ofthe equipment inventory records for the Institute's general fixed assets revealed the following deficiencies: 
(1) Fifty (50) equipment items were selected to test the accuracy of the Institute's general fixed asset records. These items contained a value of $1,460,109.91 and were selected for the purpose of locating the equipment as recorded in the inventory records. Of the items tested, two (2) items totaling $4,094.00 were not located. 
(2) One (1) item physically on hand could not be traced back to the inventory records. 
The discrepancies identified above were caused by the Institute's failure to follow guidelines for maintaining equipment inventories. The Institute should establish the necessary procedures to ensure that equipment inventories are maintained in accordance with provisions of the State Property System Manual.