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MANAGEMENT REPORT ,_ 
 
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WEST CENTRAL TECHNICAL COLLEGE 
 
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, CARROLLTON, GEORGIA 
 
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AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA 
 
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 YEAR ENDED JUNE 30, 2001 
 
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''Russe' ll W. Hinton 
 
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 WEST CENTRAL TECHNICAL COLLEGE MANAGEMENT REPORT -TABLE OF CONTENTS- 
 
LETTER OF TRANSMITrAL 
 
Page 
 
SECI10N I 
 
SELECTED FINANCIAL INFORMATION 
 
EXHIBITS 
 
A ANALYSIS OF CHANGES IN FUND BALANCE 
 
BUDGET FUND 
 
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 
 
SECI10NII AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
SECI10NID CURRENT YEAR FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
 
 Russ,LL w_ u1~-roN 
STATE AUDITOR 
(40,t) 55&-2174 
 
DEPARTMENT OF AUDITS AND ACCOUNTS 
254 Woshmgton Street, SW, Suite 214 AtlantJ, Gcorg10 30334-8400 
December 18, 2001 
 
Honorable Roy E Barnes, Governor Members of the General Assembly of Georgia Members of the State Board ofTechmcal and Adult Education Members of the Local Board of Directors 
and Honorable Janet Ayers, President West Central Technical College 
Ladies and Gentlemen 
As part ofour audit ofthe statutory basis financial statements ofthe State ofGeorgia presented m the State ofGeorgia Report ofthe State Auduor, the general purpose financial statements ofthe State of Georgia presented m the State ofGeorgia Comprehensive Annual Financial Report, and the 1Ssuance of a Statewide Single Audi/ Report pursuant to the Smgle Audit Act Amendments, as ofand for the year ended June 30, 200 I, we have performed certa.J.n audit procedures at West Central Techmcal College Accordmgly, the financial statements and compliance act1V1t1es of West Central Techmcal College were exammed to the extent considered necessary III order to express an opm1on as to the fair presentation of the financial statements contained m the foregomg documents and to issue reports on compliance and mtemal control as reqmred by the Smgle Audit Act Amendments of 1996. 
Tlus Management Report contams mformatton pertinent to the financial and cornphance act1V1t1es of West Central Technical College as of and for the year ended June 30, 2001. The particular mformatton provided 1s enumerated m the Table of Contents 
Tlus report 1s mtended solely for the mforma!ion and use ofmanagement and members ofthe Local Board ofDtrectors of West Central Techmcal College and 1s not mtended to be and should not be used by anyone other than these specified parties 
Respectfully submitted, 
 
RWHgp 
 
State Auditor 
 
 SECTTON I SELECTED FINANCIAL INFORMATION 
 
 WEST CENTRAL TECHNICAL COLLEGE ANALYSIS OF CHANGES IN FUND BALANCE 
BUDGET FUND YEAR ENDED JUNE 30. 2001 
 
EXHIBIT "A" 
 
FUND BALANCE - JULY 1 2000 Reserved 
ADDITIONS 
Adjustments to Pnor Yea(s Accounts Payable 
Excess of Funds Available over Expenditures Exhibit "B" Exhibit "C" 
Prior Yea(s Checks Voided 
DEDUCTIONS AdJustments to Prior Yea(s Accounts Receivable Refunds to Grantors Federal Financial Assistance Georgia Department of Technical and Adult Education - Adminlstrabve Central Office Reserved Fund Balance Camed Over from Pnor Year as Funds Available 
FUND BALANCE JUNE 30 2001 
SUMMARY OF FUND BALANCE Reserved Federal Financial Assistance For Continuation of Program For Refund to Granter Agency Georgia Department of Technical and Adult Education  Administrative Central Office Other lnventones Live Work ProJects 
Surplus/Deficit 
 1 
 
"A" DEPARTMENT OF 
TECHNICAL AND ADULT EDUCATION 
 
"B" LOTTERY FOR 
EDUCATION 
 
$ 
 
s 15311744 
 
0 00 
 
$ 
 
s -114,407 98 
 
118.867 13 
 
212,231 61 7 535 14 
 
-1.912 61 
 
$ 
 
105 358 77 $ 
 
116 954 52 
 
$ 
 
163,693 71 $ 
 
000 
 
23608 
 
9104217 
 
$ 
 
254 971 96 $ 
 
0 00 
 
$ 
 
3 504 25 $ ___1_1_6~9=54=52_ 
 
s 
 
4,941 30 
 
22,680 80 22,974 91 30,703 62 56 951 59 
 
$ 
 
138,252 22 
 
-134 747 97 $ 
 
116 954 52 
 
$ 
 
3 504 25 $ _ _1_1_6._9,_54,;,,,,;;;52_ 
 
 WEST CENTRAL TECHNICAL COLLEGE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES 
COMPARED TO BUDGET BUDGET FUND 
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30 2001 
 
EXHIBIT"B" 
 
FUNDS AVAILABLE REVENUES 
State Appropriabon Federal Revenues Other Revenues Retained 
CARRY-OYER FROM PRIOR YEAR Transfer from Reserved Fund Balance 
 
BUDGET 
 
ACTUAL 
 
VARIANCEFAVORABLE (UNFAVORABLE) 
 
$ 8,289,964 00 $ 8,201,091 80 $ 
 
1,547,916 00 
 
1,345,055 39 
 
3,333,360 02 
 
2,928,283 58 
 
$ 13,171,240 02 $ 12,474,430 77 $ 
 
-88,872 20 -202,860 61 -405 076 44 
-696,809 25 
 
0 00 
 
91 042 17 
 
91 042 17 
 
$ 131171,240 02 $ 12,565,472 94 $ _ _..c-60=5,;,,;76C'-7...;;0.:;;...8 
 
EXPENDITURES Personal Services-lnst1tu1Jons Operating Expenses-lnstrtubons Capital Outlay Adult Literacy Grants Job Training Partnership Act 
Excess of Funds Available over Expenditures 
 
$ 9,326,089 00 $ 8,911,421 60 $ 
 
2,722,02002 
 
2,476,831 78 
 
129,526 00 
 
129,523 99 
 
956,306 00 
 
815,908 12 
 
37,299 00 
 
19 555 84 
 
414,667 40 245,188 24 
2 01 
140,397 88 17 743 16 
 
$ 1311711240 02 $ 12,353,241 33 $ _ _...;;8;,,;,1.:.,:7,;:,;99:..::8...;;6.:;;...9 
 
$ 212,231 61 $=-~21g2a,:2a,;3~1.;,6:d,1 
 
-2- 
 
 WEST CENTRAL TECHNICAL COLLEGE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES 
COMPARED TO BUDGET BUDGET FUND 
"B" LOTTERY FOR EDUCATION 
YEAR ENDED JUNE 30 2001 
 
EXHIBIT "C" 
 
FUNDS AVAILABLE REVENUES 
State Appropnat1on 
EXPENDITURES Equ1pment-Technlcal lnsbtules 
Excess of Funds Available over Expenditures 
 
BUDGET 
 
ACTUAL 
 
VARIANCEFAVORABLE (UNFAVORABLE) 
 
$ 426,04000 $ 426,04000 $ _ _ _ _ _0~00~ 
 
$ 4261040 00 $ 427,952 61 $ _ _ _1~,9_1_2_6_1 $ -1 912 61 $ ==~1_9._1_2.,6,..1 
 
-3- 
 
 WEST CENTRAL TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL 
YEAR ENDED JUNE 30. 2001 
 
EXHIBIT "D" 
 
Totals per Annual Supplement 
 
Accruals June 30, 2000 June 30, 2001 
 
AdJustment Chnstman, Dunson, Moten, 
 
Pat Walter L Tara S 
 
SALARIES 
 
TRAVEL 
 
$ 7,716,11845 $ 129,12513 
 
-30,005 09 5,724 25 
 
1,12000 
 
204 56 988 28 
 
$ 7,692,957 61 $ 130,317 97 
 
-4- 
 
 SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS 
 
 WEST CENTRAL TECHNlCAL COLLEGE AUDITEE'S RESPONSE 
SUMMARY SCHEDULE OF PRIOR Y'EAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30. 2001 
 
PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
 
FINDING CONTROL NUMBER AND STATUS 
 
FS-826-00-0 I 
 
Prev1ously Reported Corrective Action hnplcrnented 
 
 SECTTONill CURRENT YEAR FINDINGS AND QUESTIONED COSTS 
 
 WEST CENTRAL TECHNICAL COLLEGE SCHEDULE OF Fll\'DINGS AND QUESTIONED COSTS 
YEAR ENDED JUNE 30, 2001 
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS 
CASH AND CASH EQUIVALENTS REVENUES/RECEIY ABLES/RECEIPTS Inadequate Accountmg Procedures Fmdmg Control Number FS-826-01-01 
For the year under reVJew, defic1enc1es were noted m accountmg procedures at West Central Technical College for the followmg control categones 
Cash and Cash Eqmvalents 
Net unadjusted reconc1hng items of$2,286.92 for the Operatmg Account; $2,861.38 for the Payroll Account,$ 16,128 29 for the H 0. P E. Scholarslnp Account, and $17,870. I I for the Pell Scholarslup Account were identified on the June 30, 200 l bank reconc1hat1ons These reconcilmg items consisted ofchecks cleanng the bank but never recorded on the general ledger, deposits made to the bank account but never recorded on the general ledger and amounts resultmg from Journal entnes mcorreetly adJustmg general ledger cash accounts 
These cond11Ions occurred because of management's failure to estabhsh procedures to record reconc1lmg items on the accountmg records The Techrucal College should estabhsh appropnate procedures and controls to ensure that all reconciling items 1dent1fied on the bank reconc1hat1ons are corrected on the accountmg records in a timely marmer 
Revenues/Rece1vables/Rece1pts 
For the year under review, accounts receivable reported on the general ledger were not supported by amounts on subs1d1ary accounts receivable ledgers. Subsequent to June 30, 200 I, Technical College personnel 1dent1fied errors m the subs1d1ary and general ledgers These errors consisted of cash receipts recorded as revenues mstead ofproperly credited against ex1sung receivable accounts In addition, we noted deposits not recorded on the general ledger and receivables that were recorded m error. 
Extensive procedures were required to produce a detail ofaccounts receivable at June 30, 2001 These procedures resulted m adjustments to Budget Fund and Agency Fund receivables to reduce receivable amounts reported on the general ledger by $190,470.91 and $650.00 respectively. 
These defic1enc1es occurred because of management's failure to reconcile subs1d1ary ledgers to the general ledger The Techmcal College should estabhsh appropnate procedures and controls to ensure that accounts receivable reported m the subsidiary ledgers properly support and reconcile with totals reported in the general ledger