Albany Technical College, Albany, Georgia, independent accountant's report on applying agreed-upon procedures for fiscal year ended June 30, 2011

ALBANY TECHNICAL COLLEGE
1 INDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREEDUPON PROCEDURES FOR FISCAL Y'EAR ENDED JUNE30,2011
Georgia

ALBANY TECHNICAL COLLEGE
- TABLE OF CONTENTS -

INDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES
EXHIBITS
A SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT
B STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES COMPARED TO BUDGET BY PROGRAM AND FUNDING SOURCE
C STATEMENT OF CHANGES TO FUND BALANCE BY PROGRAM AND FUNDING SOURCE

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RUSSELLW. WINTON
STATE AUDITOR
(404) 866-2174

DEPARTMENOTF AUDITSAND ACCOUNTS
270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400
December 8,2011

Members of the State Board of the Technical College System of Georgia Members of the Local Board of Directors
and Honorable Anthony Parker, President Albany Technical College
Independent Accountant's ReD0rt on A ~ ~ l v i Mn greed-U~onProcedures
Ladies and Gentlemen:
We have performed the procedures enumerated below, which were agreed to by the College and the System Office (Oversight Unit) of the Technical College System of Georgia, solely to assist you in assessing the accuracy of the annual financial statement information reported to the System Office by the College for inclusion in the State of Georgia's Comprehensive Annual Financial Report (CAFR) and Single Audt Report, and to assist you in assessing the accuracy of budget basis information provided in the Summary Budget Comparimn and Surplus Analjsis Report; Statement of Funds Available
and Expenditures Compared tv Budget By Program and Funding Source, and the Statement of Changes
To Fund Balance By Program and Funding a u r a ? which are attached as Exhibits A, B and C, respectively. Albany Technical College's management is responsible for the financial information reported to the System Office of the Technical College System of Georgia. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of the parties specified in this report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any other purpose.
1. Review selected balance sheet items reported on the annual financial statement worksheets (cash, accounts receivable, accounts payable, deferred revenues, net assets). Confirm that these items have adequate supporting documentation and are properly reconciled to the College's general ledger.
We did not note any exceptions as a resultof our procedures.
2. Obtain the College's GAAP basis worksheets for Statement of Net Assets and Statement of Revenues, Expenses and Changes in Net Assets (SRECNA) information that was submitted for inclusion in the State's CAFR and Single Audit. Utilizing test scripts, confirm that financial information presented in these worksheets properly support activity reported in the College's accounting records.
We did not note any exceptions as a result of our procedures.

3. Obtain the College's Statement of Cash Flows submitted for inclusion in the State's CAFR and Single Audit. Utilizing cash flow worksheets, confirm information reported on Statement of Cash Flows.
We did not note any exceptions as a result of our procedures.
4. Obtain the College's worksheets for financial statement note disclosure information submitted for inclusion in the State's CAFR and Single Audit. Utilizing notes worksheets and other supporting documentation confirm that note disclosures related to Cash, Investments, Accounts Receivable, Capital Assets, Long-Term Debt, Lease Obligations and Retirement Plans have been properly reported.
The Operating Lease note disclosure information was not properly reported. Rental expense for 2 0 1 1 was reported as $380,535.43 and it should have been $468,381.89 per the College'sgeneral ledger.
5. Review the College's year end GAAP basis journal entries. Obtain documentation for GAAP journal entries and confirm that the entries were posted to the College's annual financial statement worksheets.
We did not note any exceptions as a result of our procedures.
6. Confirm that State Appropriation revenues, receivables and remittances of prior year surplus balances have been properly recorded in the College's financial records. Prior year surplus balances should be netted against State Appropriation revenues in the GAAP basis financial statements; however, prior year surplus balances should be reflected as fund balance adjustments on the Budget basis financial statements.
We did not note any exceptions as a result of our procedures.
7. Obtain listing of write-off requests for accounts receivable less than $3,000.00 for fiscal year 2011. Confirm that these write-off requests have been approved by the State Accounting Officer and have been posted to the College's financial statements.
We did not note any exceptions as a result of our procedures.
8. Verify that the listing of salaries and travel reported to the Department of Audits is in accordance with O.C.G.A. 50-6-27 reconciles to amounts recorded in the College's financial statements.
We did not note any exceptions as a result of our procedures.
9. Review the year end Budgetary Statements including the Summaty Budget Comparison and Surplus Analysis Report (Exhibit A), Statement of Funds Avaiable and Expnditures Compared to Budget By Program and Funding Source (Exhibit B) and the Statement of Changes To Fund Balance By Program and Funding Source (Exhibit C). Confirm that budget information presented in these statements supports activity reported in the College's accounting records, the legal level of budgetary control (funding source within program) was maintained, and determine if any budget overexpenditures exist.
We did not note any exceptions as a result of our procedures.

10. Obtain documentation for Budget basis reserves reported by the College on the Summaly Budget Comparison and Surplus Analysis Report (Exhibit A). Confirm that the reserves are properly documented, valid and appropriate.
We did not note any exceptions as a result of our procedures.
11. Review the H.O.P.E. Scholarship Program reconciliation between the College and the Georgia Student Finance Commission. Confirm that information reported to the Georgia Student Finance Commission has been reconciled with H.O.P.E. Scholarship activity reported on the College's financial records.
We did not note any exceptions as a result of our procedures.
12. Review the Schedule of Expendituresof Federal Awards information submitted by the College for inclusion in the Statewide Single Audit. Confirm that the information is properly presented and supported by the College's accounting records.
We did not note any exceptions as a result of our procedures.
13. Review capital asset records to ensure that (1) subsidiary ledgers are appropriately reconciled to the ledgers, (2) capitalization thresholds are being properly followed, and (3) a complete annual physical equipment inventory is being conducted and that issues noted during the physical inventory are being properly addressed by management.
We did not note any exceptions as a result of our procedures.
14. Review bank reconciliations during the year under review to ensure that management is preparing them timely and that reconciling items are being addressed by management timely and in an appropriate manner.
We did not note any exceptions as a result of our procedures.
These agreed-upon procedures do not constitute an audit of the financial statements or any part thereof, the objective of which is to express an opinion on the financial statements or a part thereof. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.
This report is intended solely for the information and use of the specified users listed above and is not intended to be and should not be used by anyone other than these specified parties.
Respectfully submitted, t
~ k s e lWl . Hinton, CPA, CGFM State Auditor

EXHIBITS

ALBANY TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT
YEAR ENDEDJUNE 30,2011

REVENUES
State Appropriation state General Funds
Federal Funds Other Funds
Total Revenues
ADJUSTMENTS AND PROGRAM TRANSFERS
CARRY-OVER FROM PRIOR YEARS
Transfers from Reserved Fund Balance
Total Funds Available
EXPENDITURES
Adult Llteracy Economlc Development Technical Education
Total Expendltures
Excess of Funds Avallable over Expendltures
FUND BALANCE JULY 1
Reserved Unreserved
ADJUSTMENTS
Prlor Year Payables/Expend~tures Prior Year Rece~vables/Revenues UnreservedFund Balance (Surplus) Returned
From the Technical College Year Ended June 30.2010
Refunds to Grantors FederalFlnanclalAssistance Returnedto Technical College System of Georgla Year Ended June 30.2010
Prlor Year Reserved Fund Balance Included In Funds Avallable
FUND BALANCEJUNE 30
SUMMARY OF FUND BALANCE
Reserved Federal FinancialAssistance Refunds to Grantors Sales and Services Live Work Projects Prlor Year Local Funds Continuing Education Technology Fees Inventories Bookstore Tu~tlon
Total Reserved
Unreserved Surplus
Total Fund Balance

BUDGET

ACTUAL

EXHIBIT "A"
VARIANCE -
FAVORABLE (UNFAVORABLE)

ALBANY TECHNICAL COLLEGE STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES COMPARED TO BUDGET BY PROGRAM AND FUNDING SOURCE
YEAR ENDEDJUNE 30.2011

Adutt Literacy State Appropriatlon State General Funds Federal Funds Federal Funds Not Specifically ldentified Other Funds
Total Adult Llteracy
Economic Development Federal Funds Federal Funds Not Speclf~callyldent~fied Other Funds
Total Economlc Development
Technical Education State Appropriatlon State General Funds Federal Funds Federal Funds Not Specifically ldentified Other Funds
Total Technical Education
Total OperatingActivlty

Original Appropriation

Amended Appropriat~on

Final Budget

Current Year Revenues

EXHIBIT '6"

Funds Available Compared to Budget

Prlor Year

Adjustments and

Total

Carry-Over

Program Transfers Funds Available

Variance Positive (Negative)

Expenditures Compared to Budget

Variance

Actual

Positive (Negative)

Excess (Deficiency) of Funds Available
Over/(Under) Expenditures

ALBANY TECHNICAL COLLEGE STATEMENT OF CHANGES TO FUND BALANCE BY PROGRAM AND FUNDING SOURCE
YEAR ENDEDJUNE 30,2011

Adult Literacy State Appropriation State General Funds Federal Funds Federal Funds Not Spec~ftcallyldentlfied Other Funds
Total Adult L~teracy
Economic Development Federal Funds Federal Funds Not Speclfically ldentttied Other Funds
Total Economic Development
Technical Education State Appropriation State General Funds Federal Funds Federal Funds Not Speclfically ldentlfled Other Funds
Total Technical Education
Total OperatingActivity
Prior Year Reserves Not Available for Expenditure lnventorles Refundsto Grantors

Begnnlng Fund Balance/(Deficlt)
July 1

Fund Balance Carrled Over from
Prlor Per~od as Funds Available

Return of F~scaYl ear 2010
Surplus

Pr~orPertod Adjustments

Budget Unit Totals

EXHIBIT "C"

Other Adjustments

Early Return F~scaYl ear 2 0 1 1
Surplus

Excess (Deficiency) of Funds Ava~lable
Over/(Under) Expend~tures

Ending Fund Balance/(Deficit)
June 3 0

Analys~sof End~ngFund Balance

Reserved

Surplus/(Deficit)

Total

Summary of End~ngFund Balance ReSeNed
Federal Ftnanc~aAl ss~stance Refunds t o Grantors Sales and S e ~ ~ c e s Llve Work Projects Prior Year Local Funds Contlnulng Educat~on Technology Fees lnventor~es Bookstore Tu~Uon Unreserved Surplus
Total Ending Fund Balance - June 30