STATE OF GEORGIA DEPARTMENT OF AUDITS AND ACCOUNTS
MANAGEMENT REPORT HEART OF GEORGIA TECHNICAL COLLEGE
DUBLIN, GEORGIA
AN ORGANIZATIONAL UNIT OF THE STATE OF GEORGIA YEAR ENDED JUNE 30, 2005 Russell W. Hinton State Auditor

HEART OF GEORGIA TECHNICAL COLLEGE - TABLE OF CONTENTS -

SECTION I

FINANCIAL

LETTER OF TRANSMITTAL

SELECTED FINANCIAL INFORMATION

EXHIBITS

A BALANCE SHEET-(STATUTORY BASIS)- BUDGET FUND

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

3

B ANALYSIS OF CHANGES IN FUND BALANCE-(STATUTORY BASIS)

BUDGET FUND

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

4

C STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES

COMPARED TO BUDGET- (STATUTORY BASIS)

BUDGET FUND

"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION

5

D RECONCILIATION OF SALARIES AND TRAVEL

7

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

SECTION I FINANCIAL

Russell W. Hinton
STATE AUDITOR
(404) 656-2174

DEPARTMENT OF AUDITS AND ACCOUNTS
270 Washington Street, S.W., Suite 1-156 Atlanta, Georgia 30334-8400
September 15, 2005

Honorable Sonny Perdue, Governor Members of the General Assembly of Georgia Members of the State Board of Technical and Adult Education Members of the Local Board of Directors
and Honorable Randall L. Peters, President Heart of Georgia Technical College

Ladies and Gentlemen:

As part ofour audit ofthe statutory basis financial statements ofthe State ofGeorgia presented in the State ofGeorgia Report ofthe State Auditor, the basic financial statements of the State of Georgia presented in the State ofGeorgia Comprehensive Annual Financial Report, and the issuance of a State ofGeorgia Single Audit Report pursuant to the Single Audit Act Amendments, as ofand for the year ended June 30, 2005, we have performed certain audit procedures at Heart ofGeorgia Technical College. Accordingly, the financial statements and compliance activities of Heart of Georgia Technical College 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 Heart of Georgia Technical College as of and for the year ended June 30, 2005. Information contained in this report is a by-product ofour engagement that is the representation ofmanagement, and accordingly, we do not express an opinion or any other form of assurance on it. The particular information provided is enumerated in the Table of Contents.

This report is intended solely for the information and use ofmanagement and members ofthe Local Board ofDirectors ofHeart of Georgia Technical College and is not intended to be and should not be used by anyone other than these specified parties.

RWH:as

Respectfully submitted,
-~~w. '
Russell W. Hinton State Auditor

SELECTED FINANCIAL INFORMATION - 1-

HEART OF GEORGIA TECHNICAL COLLEGE BALANCE SHEET - (STATUTORY BASIS) BUDGET FUND
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION JUNE 30, 2005

EXHIBIT"A"

ASSETS
Accounts Receivable Federal Financial Assistance Other
Prepaid Expenditures Inventories
Total Assets
LIABILITIES AND FUND EQUITY
Liabilities Cash Overdraft Accounts Payable Deferred Revenue Total Liabilities
Fund Balances Reserved Federal Financial Assistance Live Work Projects Prior Year Local Funds Total Fund Equity
Total Liabilities and Fund Equity

$

21,720.45

280,222.37

1,061.29

131,632.31

$ ==4=34=,6=3=6=.4=2

$

83,390.56

320,950.97

1,286.00

$

405,627.53

$

87.81

7,873.59

21,047.49

$

29,008.89

$ ==4=34=,6=3=6=.4=2

Statutory Basis financial information was prepared on a prescribed basis of accounting that demonstrates compliance with budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles.
-3-

HEART OF GEORGIA TECHNICAL COLLEGE ANALYSIS OF CHANGES IN FUND BALANCE - (STATUTORY BASIS)
BUDGET FUND "A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION
YEAR ENDED JUNE 30. 2005

EXHIBIT"B"

FUND BALANCE - JULY 1. 2004 Reserved Surplus
ADDITIONS Adjustments to Prior Year's Accounts Payable Excess of Funds Available over Expenditures Exhibit "C"
DEDUCTIONS Unreserved Fund Balance (Surplus) Returned to Georgia Department of Technical and Adult Education - Administrative Central Office Year Ended June 30, 2004 Adjustments to Prior Year's Accounts Receivable Refunds to Grantors Other Reserved Fund Balance Carried Over from Prior Year as Funds Available
FUND BALANCE - JUNE 30. 2005

$

29,667.87

296.03

$

29,963.90

$

2,167.49

85,764.53

$

87,932.02

$

296.03

58,923.13

9.60

29,658.27

$

88,887.03

$ ====29='=00=8=.8=9

Statutory Basis financial information was prepared on a prescribed basis of accounting that demonstrates compliance with budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles.
-4-

HEART OF GEORGIA TECHNICAL COLLEGE STATEMENT OF FUNDS AVAILABLE AND EXPENDITURES
COMPARED TO BUDGET - {STATUTORY BASIS) BUDGET FUND
"A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30. 2005

EXHIBIT"C"

FUNDS AVAILABLE REVENUES
State Appropriation Federal Revenues Other Revenues Retained
CARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance
EXPENDITURES Personal Services - Institutions Operating Expenses - Institutions Adult Literacy Grants
Excess of Funds Available over Expenditures

BUDGET

ACTUAL

VARIANCEFAVORABLE (UNFAVORABLE)

$

5,780,760.00 $

1,028,095.20

3,313,891.47

$ 10,122,746.67 $

5,780,760.00 $ 943,253.26
3,136,859.10
9,860,872.36 $

0.00 -84,841.94 -177 032.37
-261,874.31

0.00

29,658.27

29,658.27

$ 10,122,746.67 $

9,890,530.63 $ _ _ _-=23::..:2:.!.:,2:....:1-=.6:.=.0...:...4

$

6,903,096.32 $

6,816,573.07 $

2,450,551.95

2,277,755.08

769,098.40

710 437.95

86,523.25 172,796.87
58,660.45

$ 10,122,746.67 $

9,804,766.10 $ _ _____:_31.;_;7..:.;,9:..:8.:.0;.;.5.;._7

$

85,764.53 $ ======8=5;;,;7=6=4.=5=3

Statutory Basis financial information was prepared on a prescribed basis of accounting that demonstrates compliance with budgetary statutes and regulations of the State of Georgia, which is a comprehensive basis of accounting other than generally accepted accounting principles.
-5-

HEART OF GEORGIA TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL
YEAR ENDED JUNE 30, 2005

EXHIBIT"D"

Totals per Annual Supplement
Compensated Absences June 30, 2004 June 30, 2005
Lag Salaries June 30, 2004 June 30, 2005
Unidentified Variance
Totals per GMP Basis as Reported in the Consolidated Annual Financial Report

SALARIES

TRAVEL

$

6,113,413.57 $ 90,723.64

-427,435.18 514,976.56

27,446.90 -20,975.21

17.92

$

6,207,426.64 $ 90,741.56

-7-

SECTION II FINDINGS AND QUESTIONED COSTS

HEART OF GEORGIA TECHNICAL COLLEGE SCHEDULE OF FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30, 2005
FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS No matters were reported. FEDERAL AWARD FINDINGS AND QUESTIONED COSTS No matters were reported.