LANIER TECHNICAL COLLEGE
OAKWOOD, GEORGIA
'REPORT ON AUDIT OF THE FINANCIAL STATEMENTS FOR THE FISCAL YEAR ENDED JUNE 30,2010
~y?-;g'4;l/~lI;I''!'y' '! "
W I# r p l a bepartment of Audits and Accounts Russell W. Hinton State Auditor

LANIER TECHNICAL COLLEGE - TABLE OF CONTENTS -
SECTION I FINANCIAL INDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION REQUIRED SUPPLEMENTARY INFORMATION MANAGEMENT'S DISCUSSION AND ANALYSIS BASIC FINANCIAL STATEMENTS EXH l BITS A STATEMENTOFNETASSETS B STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS C STATEMENT OF CASH FLOWS D NOTES TO THE FINANCIAL STATEMENTS SUPPLEMENTARY INFORMATION SCHEDULES 1 BALANCESHEET(N0N-GAAPBAS1S)BUDGETFUND 2 SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT (NON-GAAP BASIS) BUDGET FUND 3 STATEMENT OF PROGRAM REVENUES AND EXPENDITURES BY FUNDING SOURCE COMPARED TO BUDGET (NON-GAAP BASIS) BUDGET FUND 4 RECONCILIATION OF SALARIES AND TRAVEL
SECTION II FINDINGS AND QUESTIONED COSTS SCHEDULE OF FINDINGS AND QUESTIONED COSTS

SECTION I FINANCIAL

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

DEPARTMENOTF AUDITSAND ACCOUNTS
270 Washington Street, S.W., Suite 1-1 56 Atlanta, Georgia 30334-8400
January 1 8 , 2 0 1 1

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 Russell Vandiver, President Lanier Technical College
INDEPENDENT AUDITOR'S COMBINED REPORT ON BASIC FINANCIAL STATEMENTS AND SUPPLEMENTARY INFORMATION
Ladies and Gentlemen:
We have audited the accompanying basic financial statements (Exhibits A through D) of Lanier Technical College, an organizational unit of the State of Georgia, as of and for the year ended June 30, 2010. These financial statements are the responsibility of the Technical College's management. Our responsibility is to express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes consideration of internal controls over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Technical College's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As discussed in Note 1,the financial statements of Lanier Technical College are intended to present the financial position and changes in financial position and cash flows of only that portion of the business-type activities of the State of Georgia that is attributable to the transactions of Lanier Technical College. They do not purport to, and do not, present fairly the financial position and changes in financial position and cash flows of the State of Georgia, in conformity with accounting principles generally accepted in the United States of America.
In our opinion, the basic financial statements referred to above present fairly, in all material respects, the financial position of Lanier Technical College as of June 30, 2010, and its changes in financial position and cash flows for the year then ended in conformity with accounting principles generally accepted in the United States of America.

Management's Discussion and Analysis is not a part of the basic financial statements but is required supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of this supplementary information. However, we did not audit this information and express no opinion on it.
Our audit was conducted for the purpose of forming an opinion on the basic financial statements of Lanier Technical College taken as a whole. The accompanying supplementary information (Schedules 1through 4) is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole.
Respectfully submitted,
usd dell W. Hinton, CPA, CGFM
State Auditor

REQUIRED SUPPLEMENTARY INFORMATION

Lanier Technical College
Management's Discussion and Analysis
The following is management's discussion and analysis of Lanier Technical College's financial performance for the fiscal year ending June 30,2010, with comparative data from fiscal year ending June 30,2009. This discussion has been prepared by and is the responsibility of management.
Overview of the Financial Statemenb and Financial Analysis
This annual report consists of a series of financial statements prepared in accordance with the rules and regulations established by the Governmental Accounting Standards Board.
There are three financial statements presented: the Statement of Net Assets; the Statement of Revenues, Expenses and Changes in Net Assets; and the Statement of Cash Flows. The Statement of Net Assets used in conjunction with the Statement of Revenues, Expenses and Changes in Net Assets contains information concerning the Technical College's finances and activities as a whole and assists with providing an answer to the question "Is the Technical College as a whole better or worse off as a result of the year's activities?" These statements include all assets and liabilities using the accrual basis of accounting, which is similar to the accounting method used by corporations and other private sector companies. All revenues and assets are recognized when the service is provided and expenses and liabilities are recognized when others provide the goods or service, regardless of when cash is exchanged.
The Statement of Cash Flows is a valuable tool when evaluating the ability of the Technical College to meet financial obligations as they mature. This statement presents information related to cash inflows and outflows summarized by operating, noncapital financing, capital and related financing and investing activities.
This discussion and analysis of the Technical College's financial statements provides an overview of its financial activities for the year.
Statement of Net Assets
The purpose of the Statement of Net Assets is to present to the users of the financial statements a fiscal snapshot of the Technical College at a specific point in time. The statement presents the assets, liabilities and net assets of the Technical College as of the end of the fiscal year. Assets and liabilities are reported as current and noncurrent and the difference between assets and liabilities is reported as net assets. Over a period of time the increases and decreases reflected in the Statement of Net Assets, when considered with other nonfinancial facts such as enrollment levels and the condition of the facilities, can provide a measure to aid in determining whether the Technical College's financial position is improving or deteriorating.
Net assets are divided into three major categories. The first category, invested in capital assets, net of debt, provides information concerning the Technical College's equity in property, plant and equipment owned by the Technical College. The second category is restricted net assets, which is expendable. Expendable restricted net assets are available for expenditure by the Technical College but must be spent for purposes as determined by donors and/or external entities that have placed time or purpose restrictions on the use of the assets. The final category is unrestricted net assets, which are available for expenditure by the Technical College for any lawful purpose deemed necessaryto operate the Technical College.

Statement of Net Assets (thousands of dollars)

June 30,2010

Assets Current Assets Capital Assets, Net

Total Assets

Liabilities Current Liabilities Noncurrent Liabilities

Total Liabilities

Net Assets

Invested in Capital Assets, Net of Debt

$

24,479

Restricted- Expendable

163

Unrestricted

1,533

Total Net Assets

June 30,2009

$

12,005

451

The total assets of the Technical College increased by approximately $14,724,000 when compared to the prior year. This can be mainly attributed to an increase of approximately $12,474,000 in capital assets, net. This increase in assets follows the institutional philosophy to use available resources to acquire and improve all areas of the Technical College to better serve the instruction and public service missions of the Technical College.
Total liabilities for the fiscal year increased by approximately $1,005,000. This increase was primarily due to current liabilities increasing by approximately $944,000. The increase in current liabilities is predominately from the increases of around $765,000 in deferred revenue and accounts payable. The combination of the increase in total assets of approximately $14,724,000 and the increase in total liabilities of approximately $1,005,000 yields an increase in total net assets of approximately $13,719,000. The increase in total net assets is primarily in the category of invested in capital assets, net of debt which increased approximately $12,474,000, however, all categories of Net Assets did increase during the year.
Statement of Revenues, Expenses and Changesin Net Assets
The purpose of the Statement of Revenues, Expenses and Changes in Net Assets is to present the revenues received by the Technical College, both operating and nonoperating, and the expenses incurred by the Technical College, operating and nonoperating, and any other revenues, expenses, gains and losses received or spent by the Technical College during the fiscal year. Changes in total net assets as presented on the Statement of Net Assets are based on the information presented in the Statement of Revenues, Expenses and Changes in Net Assets.

Operating revenues are received for providing goods and/or services to various customers and constituencies of the Technical College. Operating expenses are those expenses paid to acquire or produce the goods and/or services provided in return for the operating revenues, and to carry out the mission of the Technical College. Therefore, nonoperating revenue is received when no goods or services are provided in exchange for the revenue. With the issuance of Statement No. 35, new guidelines were established by the Governmental Accounting Standards Board (GASB), which changed the classifications of state appropriations and gifts from operatingto nonoperating revenue. This change may result in an operating deficit that is offset by a nonoperating surplus.
Statement of Revenues, Expenses and Changes in Net Assets (Thousands of dollars)

June 30,2010

June 30,2009

Operating Revenues Operating Expenses

Operating Gain/Loss

$

-14,991

$

-13,129

NonoperatingRevenuesand Expenses

15,630

12,517

Income (Loss) Before Other Revenues,

Expenses, Gains or Losses

$

639

$

-612

Other Revenues, Expenses, Gains or Losses

13,080

326

Increase(Decrease)in Net Assets

$

13,7 1 9

$

-286

Net Assets at Beginningof Year

Net Assets at End of Year

The Statement of Revenues, Expenses and Changes in Net Assets reflects a positive year with an increase in the net assets at the end of the year. Some highlights of the information presented on the Statement of Revenues, Expensesand Changes in Net Assets are as follows:

Revenue by Source (Thousandsof Dollars) For the Years Ended June 30,2010, and June 30,2009

June 30,2010

June 30,2009

Operating Revenue

Tuition and Fees

$

Grants and Contracts

Sales and Services of Educational Departments

Other

7,343 5 1
1,278 6

$

5,030

48

1,020

113

Total Operating Revenue

Nonoperating Revenue State Appropriations Grants and Contracts Nonoperating Gifts Investment Income

Total Nonoperating Revenue

$

16,000

$

12,832

Capital Grants and Gifts

Total Revenues

Expenses (Thousands of Dollars) For the Years Ended June 30,2010, and June 30,2009
June 30,2010
Operating Expenses Instruction
Nonoperating Expenses Other
Total Expenses

June 30,2009

The sources of operating revenue for the Technical College are tuition and fees, grants and contracts, auxiliary services, and educational activities. The increase in operating revenue of approximately $2,467,000 is directly related to increase in tuition and fees and sales and service revenue for fiscal year 2010.
Tuition and Fees increased by approximately $2,313,000. This is directly related to the increased enrollment of 21.1% over fiscal year 2009 and an increase in the per credit hour tuition charge from $36 in fiscal year 2009 to $40 in fiscal year 2010.

Sales and Services revenue also increased in fiscal year 2010 by around $258,000. Revenues from continuing education and business and industry classes/services were the major contributors to this increase.

Utilities increased by approximately $44,000 during the past year. The increase was generated as a result of the Technical College paying for utilities for the Dawson County campus. In the previous fiscal year, the utilities were paid by the Dawson County Board of Education.

Personal Services expenses increased by approximately $1,484,000. This increase was due to additional adjunct instructors needed as a result of increased enrollment. Also, health insurance costs increased when compared to fiscal year 2009. In 2009, the employer health insurance premiums were eliminated by the State of Georgia for the last four months of the fiscal year. Employer premiums were charged at normal rates for 2010.

Scholarships and Fellowships increased significantly during fiscal year 2010. Federal financial aid
such as Pell and SEOG increased by approximately $2,095,000. This increase has a direct
correlation to the Technical College's increase in enrollment.

Net nonoperating revenues increased by approximately $3,113,000. This change was due to reductions in state appropriations which were offset by increases in Federal grants and contracts revenue. State appropriations decreased by approximately $1,285,000 due to state budget cuts. Federal Grants and Contracts revenue increased by approximately $4,335,000 from increases in Pell and Federalstimulus monies.

Statement of Cash Flows
The purpose of the Statement of Cash Flows is to provide relevant information concerning the cash receipts and payments of the Technical College during the year. It also provides information concerning the Technical College's ability to generate future cash flows and to meet its obligations as they come due. The statement is divided into five sections. The first section reports on the operating cash flows and shows the net cash used by the operating activities of the Technical College. The second section reflects cash flows from noncapital financing activities. The third section deals with cash flows from capital and related financing activities, which reflects the cash used for the acquisition and construction of capital related items. The fourth section reflects the cash flows from investing activities and shows the purchases, proceeds, and interest received from investing activities. The final section reconciles the net cash used to the operating income or loss reflected on the Statement of Revenues, Expenses and Changes in Net Assets.

Statement of Cash Flows (thousands of dollars)
June 30,2010

June 30,2009

Cash Provided (Used) By:

Operating Activities

$

-13,186

Noncapital FinancingActivities

15,294

Capital and Related FinancingActivities

-373

InvestingActivities

1

Net Change in Cash Cash, Beginningof Year

Cash, End of Year

Capital Assets
The Technical College had two significant capital asset additions for facilities in the fiscal year under review. Construction was completed on a new facility containing approximately 60,000 square feet on the Forsyth campus in June 2010. In addition, a building was donated to the Technical College by the Dawson County Board of Education. The new construction project on the Forsyth campus was funded by the Georgia State Financing and Investment Commission (GSFIC) at a cost of $12,134,395.90. Other assets funded by the GSFIC included $371,308.52 for equipment. Projected funding by the GSFIC for fiscal year 2 0 1 1for equipment purchases will be approximately the same.
Long- Term Liabilities
Lanier Technical College had total Long-Term Liabilities of $1,035,927.46 of which $568,099.69 was reflected as a current liability at June 30, 2010.
For additional information on Long-Term Liabilities see Notes 1and 6 in the Notes to the Financial Statements.
Economic Outfook
The Technical College is unaware of any currently known fact, decision, or condition that is expected to have a significant effect on the financial position or change how the Technical College operates for the next fiscal year. As in prior years, the Technical College's overall financial position is strong. Enrollment has increased for the past three years and this trend is expected t o continue into the next fiscal year. As a result, the Technical College anticipates the next fiscal year will be much like the last and the Technical College will maintain a close watch over resources to maintain the ability to react to unknown internal and external issues.
Russell Vandiver, President Lanier Technical College

BASIC FINANCIAL STATEMENTS

LANIER TECHNICAL COLLEGE STATEMENT OF NET ASSETS
JUNE 30.2010
ASSETS
Current Assets Cash and Cash Equivalents Accounts Receivable, Net Federal Financial Assistance Other Prepaid Items
Total Current Assets
Noncurrent Assets Capital Assets, Net
Total Assets
LIABILITIES
Current Liabilities Accounts Payable Salaries Payable Deferred Revenue Funds Held for Others Compensated Absences
Total Current Liabilities
Noncurrent Liab~lities Compensated Absences
Total Liabilities
NET ASSETS
Invested in Capital Assets, Net of Related Debt Restricted
Expendable Unrestricted
Total Net Assets

EXHIBIT "A"

The notes to the financial statements are an integral part of this statement. -2-

LANIER TECHNICAL COLLEGE STATEMENT OF REVENUES. EXPENSES AND CHANGES IN NET ASSETS
YEAR ENDED JUNE 30,2010
OPERATING REVENUES Student Tuition and Fees Less: Scholarship Allowances Grants and Contracts Federal Sales and Services Other Operating Revenues Total Operating Revenues
OPERATING EXPENSES Salaries Benefits Travel Scholarships and Fellowsh~ps Ut~lities Supplies and Other Services Depreciation Total Operating Expenses Operating Income (Loss)
NONOPERATING REVENUES (EXPENSES) State Appropriations Grants and Contracts Federal State Gifts Interest and Other Investment Income Other Nonoperating Expenses Net Nonoperating Revenues Income (Loss) Before Other Revenues, Expenses. Ga~nso, r Losses Capital Grants and G~fts State Nongovernmental Total Other Revenues, Expenses. Gains. or Losses Increase (Decrease)in Net Assets
- Net Assets Beginningof Year
Net Assets - End of Year
The notes to the financial statements are an integral part of this statement.
-3-

(This page left intentionally blank)

LANIER TECHNICAL COLLEGE STATEMENT OF CASH FLOWS YEAR ENDEDJUNE 30,2010
CASH FLOWS FROM OPERATING ACTIVITIES Tult~onand Fees Grants and Contracts Sales and Services of Educational Departments Payments to Suppl~ers Payments to Employees Payments for Scholarships and Fellowships Other Rece~pts(Payments) Net Cash Prov~ded(Used) by Operating Actlvitles
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES State Appropriations Agency Funds Transactlons Gifts and Grants Received for Other than Capltal Purposes Other Nonoperatlng Receipts
Net Cash Flows Provlded (Used) by Noncap~taFl inanc~nAg ct~vities
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Cap~taGl rants and GlfLs Recelved Purchases of Cap~taAI ssets Net Cash Provided (Used) by Capltal and Related Flnanc~ngActlvit~es
CASH FLOWS FROM INVESTINGACTIVITIES Earnings on Investments
Net Increase (Decrease) in Cash Cash and Cash Equivalents Beginning of Year
Cash and Cash Equlvalents End of Year
RECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES:
Operat~ngIncome (Loss) Adjustments to Reconc~leOperatlng Income to Net Cash
Prov~ded(Used) by Operatlng Actlvlt~es Deprec~at~oEnxpense Change In Assets and L ~ a b ~ l ~ t ~ e s : Accounts Receivable, Net Prepald Items Salar~esPayable Accounts Payable Deferred Revenue Compensated Absences
Net Cash Provided (Used) by Operat~ngA c t ~ v ~ t ~ e s
NONCASH ACTlVlN Gift of Cap~taAl ssets Reduc~ngProceeds of Capital Grants and Glfts
The notes to the flnanc~asl tatements are an Integral part of t h s statement.
-5-

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

NOTE 1: SUMMARY OF SIGNIFlCANTACCOUNTING POLICIES
REPORTING ENTITY Lanier Technical College is one of twenty-seven (27) State supported member colleges of postsecondary education in Georgia which comprise the Technical College System of Georgia, an organizational unit of the State of Georgia. The accompanying financial statements reflect the operations of Lanier Technical College as a separate reporting entity.
The Technical College's Local Board of Directors is composed of eleven (11)members serving staggered three-year terms who are appointed by the State Board of the Department of Technical and Adult Education. Appropriation of State funds is made to the Technical College System of Georgia by the General Assembly of Georgia. The System Office of the Technical College System of Georgia determines the amount of State appropriations to be received by Lanier Technical College. The Technical College does not have authority to retain unexpended State appropriations (surplus) for any given fiscal year. Accordingly, Lanier Technical College is considered an organizational unit of the Technical College System of Georgia for financial reporting purposes because of the significance of its legal, operational, and financial relationships as defined in Section 2100 of the Governmental Accounting Standards Board (GASB) Codification of Governmental Accounting and Financial R e ~ o r t i n gS. tandards.
Legally separate, tax exempt organizations whose activities primarily support member colleges of postsecondary education in Georgia which comprise the Technical College System of Georgia (an organizational unit of the State of Georgia), are considered potential component units of the State. See Note 13 for additional information.
FINANCIAL STATEMENT PRESENTATION The financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) as prescribed by the GASB and are presented as required by these standards to provide a comprehensive, entity-wide perspective of the Technical College's assets, liabilities, net assets, revenues, expenses, changes in net assets, cash flows, and replaces the fund group perspective previously required.
GAAP requires that the reporting of summer school revenues and expenses be split between fiscal years rather than in one fiscal year. Due to lack of materiality, the Technical Colleges of the Technical College System of Georgia will continue to report summer revenues and expenses in the year in which the predominate activity takes place.
BASIS OF ACCOUNTING For financial reporting purposes, the Technical College is considered a special-purpose government engaged only in business-type activities. Accordingly, the Technical College's financial statements have been presented using the economic resources measurement focus and the accrual basis of accounting, except as noted in the preceding paragraph. Under the accrual basis, revenues are recognized when earned, and expenses are recorded when an obligation has been incurred. All significant intra-college transactions have been eliminated.
The Technical College has the option to apply all Financial Accounting Standards Board (FASB) pronouncements issued after November 30, 1989, unless FASB conflicts with GASB. The Technical College has elected to not apply FASB pronouncements issued after the applicable date.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

CASH AND CASH EQUIVALENTS Cash and Cash Equivalents include petty cash, demand deposits and time deposits in authorized financial institutions.
ACCOUNTS RECEIVABLE Accounts receivable consist of tuition and fee charges to students, allotments due from the Technical College System of Georgia -System Office, reimbursements due from Federal, State, local and private grants and contracts, and other receivables disclosed from information available. Accounts receivable are recorded net of estimated uncollectible amounts.
CAPITAL ASSETS Capital assets are recorded at cost at date of acquisition, or fair market value at the date of capital contribution. The Technical College capitalizes all land and land improvements. For equipment, the Technical College's capitalization policy includes all items with a unit cost of $5,000.00 or more, and an estimated useful life of greater than one year. Buildings and Building Improvements, Improvements Other Than Buildings, Easements, Rights, Patents, Trademarks, Copyrights and Library Collections that exceed $100,000.00 or significantly increase the value or extend the useful life of the asset are capitalized. For infrastructure and software, the Technical College's capitalization threshold is $1,000,000.00. Routine repairs and maintenance are charged to operating expense in the year in which the expense was incurred. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally 1 0 to 4 0 years for buildings, 15 to 25 years for infrastructure, 1 5 years for improvements other than buildings, 1 0 years for library books, 3 to 1 0 years for equipment and software, and 1 0 to 20 years for intangibles.
To fully portray capital assets acquired by the Technical Colleges of the Technical College System of Georgia, it is necessary to look at the activities of the Georgia State Financing and Investment Commission (GSFIC) - a n organization that is external to both the Technical College and the Technical College System of Georgia. The GSFIC issues bonds for and on behalf of the State of Georgia, pursuant to powers granted to it in the Constitution of the State of Georgia and the Act creating GSFIC. The bonds are issued for the purpose of acquiring capital assets and this debt constitutes direct and general obligations of the State of Georgia, to the payment of which the full faith, credit and taxing power of the State are pledged.
For major construction projects, GSFIC records construction in progress on its books throughout the construction period and at project completion transfers the entire project costs to Lanier Technical College to be recorded as an asset on the Technical College's books. For the year ended June 30, 2010, GSFIC transferred capital additions valued at $12,148,909.39 to Lanier Technical College.
DEFERRED REVENUES Deferred revenues include amounts received for tuition and fees and other activities prior to the end of the fiscal year but related to the subsequent accounting period. Deferred revenues also include amounts received from grant and contract sponsors that have not yet been earned.
COMPENSATED ABSENCES Employee vacation pay is accrued for financial statement purposes when vested. The liability and expense incurred are recorded at year-end as accrued vacation payable in the Statement of Net Assets, and as a component of compensation and benefit expense in the Statement of Revenues, Expenses and Changes in Net Assets. Lanier Technical College had an accrued liability for compensated absences in the amount of $902,886.84 as of July 1,2009. For fiscal year 2010, $704,656.58 was earned in compensated absences and employees were paid $571,615.96, for a net increase of $133,040.62. The ending balance as of June 30, 2010 in accrued liability for compensated absences was $1,035,927.46.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30,2010

EXHIBIT "D"

NONCURRENT LIABILITIES Noncurrent liabilities include liabilities that will not be paid within the next fiscal year.
NET ASSETS The Technical College's net assets are classified as follows:
Invested in capital assets, net of related debt This amount represents the Technical College's total investment in capital assets, net of outstanding debt obligations related to those capital assets. To the extent debt has been incurred but not yet expended for capital assets, such amounts are not included as a component of invested in capital assets, net of related debt.
Restrided net assets - expendable Restricted expendable net assets include resources in which the Technical College is legally or contractually obligated to spend resources in accordance with restrictions imposed by external third parties, except for unexpended grant funds of $162,708.63 due to grantor agencies.
Unrestrided net assek Unrestricted net assets represent available resources derived from student tuition and fees, state appropriations, and sales and services of educational departments. These resources will be used for transactions relating to the educational and general operations of the Technical College, and may be used at the discretion of the governing board to meet subsequent fiscal year expenses for those purposes, except for unexpended state appropriations (surplus) of $1,663.67. Unexpended state appropriations must be refunded to the Technical College System of Georgia for remittance to the Office of Treasury and Fiscal Services.
When an expense is incurred that can be paid using either restricted or unrestricted resources, the Technical College's policy is to first apply the expense towards unrestricted resources, and then towards restricted resources.
INCOME TAXES Lanier Technical College, as a political subdivision of the State of Georgia, is excluded from Federal income taxes under Section 115(1) of the Internal Revenue Code, as amended.
CLASSIFICATION OF REVENUES AND EXPENSES The Statement of Revenues, Expenses and Changes in Net Assets classify the Technical College's fiscal year activity as operating and nonoperating according to the following criteria:
Operating Revenues Operating revenues include activities that have the characteristics of exchange transactions, such as (1)student tuition and fees, net of scholarship allowances, (2) certain Federal, state and local grants and contracts, and (3) sales and services.
Nonoperating Revenues: Nonoperating revenues include activities that have the characteristics of nonexchange transactions, such as gifts and contributions, and other revenue sources that are defined as nonoperating revenues by GASB No. 9, Reportig Cash Flows of Proprietary and Nonexpendable TrustFunds and GovernmentalEntities That Use Proprietary Fund Accounting, and GASB No. 34, such as state appropriations and investment income.
Operating Expenses: Operating expenses include activities that have the characteristics of exchange transactions.
Nonoperating Expenses: Nonoperating expenses include activities that have the characteristics of nonexchange transactions, such as capital financing costs related to investment activity.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

SCHOLARSHIP ALLOWANCES Student tuition and fee revenues, and certain other revenues from students, are reported at gross with a contra revenue account of scholarship allowances in the Statement of Revenues, Expenses and Changes in Net Assets. Scholarship allowances are the difference between the stated charge for goods and services provided by the Technical College, and the amount that is paid by students and/or third parties making payments on the students' behalf. Certain governmental grants, such as Pell grants, and other Federal, state or nongovernmental programs are recorded as either operating or nonoperating revenues in the Technical College's financial statements. To the extent that revenues from such programs are used to satisfy tuition and fees and other student charges, the Technical College has recorded contra revenuefor scholarship allowances.
NOTE 2: DEPOSITS
DEPOSITS The custodial credit risk for deposits is the risk that in the event of a bank failure, the Technical College's deposits may not be recovered. Funds belonging to the State of Georgia (and thus the Technical College) cannot be placed in a depository paying interest longer than ten days without the depository providing a surety bond to the State. In lieu of a surety bond, the depository may pledge as collateral any one or more of the following securities as enumerated in the Official Code of Georgia Annotated Section 50-17-59:
1. Bonds, bills, certificates of indebtedness, notes, or other direct obligations of the United States or of the State of Georgia.
2. Bonds, bills, certificates of indebtedness, notes, or other obligations of the counties or municipalities of the State of Georgia.
3. Bonds of any public authority created by the laws of the State of Georgia, providing that the statute that created the authority authorized the use of the bonds for this purpose.
4. Industrial revenue bonds and bonds of development authorities created by the laws of the State of Georgia.
5. Bonds, bills, certificates of indebtedness, 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, or debt obligations issued by the Federal Land Bank, the Federal Home Loan Bank, 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 allows agencies of the State of Georgia (and thus Lanier Technical College), the option of exempting demand deposits from the collateral requirements.
At June 30, 2010, the carrying value of deposits was $2,949,428.80 and the bank balance was $3,304,629.25. Of the Technical College's deposits, $3,025,581.12 were uninsured. Of these uninsured deposits, $3,025,581.12 were collateralized with securities held by the financial institution, by its trust department or agency, but not in the Technical College's name.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30,2010

EXHIBIT "D"

NOTE 3: ACCOUNTS RECEIVABLE

Accounts receivable a t June 30, 2010, consists of the following:

Student Tuition and Fees

$ 1,434,369.15

Federal, State and Private Funds

583,439.96

Georgia State Financing and Investment Commission

142,536.54

Other

324,815.32

Less: Allowance for DoubtfulAccounts Net Accounts Receivable

NOTE 4: CAPITAL ASSETS Following are the changes in capital assets for the year ended June 30,2010:

Beginning Balance July 1,2009

Additions

Reductions

Ending Balance June 30.2010

Capital Assets, Not Being Depreciated: Land and Land lmprovements Construction Work-In-Progress

Total Capital Assets. Not Being Depreciated

Capital Assets, Being Depreciated: Building and Building lmprovements lmprovements Other Than Buildings Equipment Library Collections

Total Assets Being Depreciated

Less: Accumulated Depreciation: Building and Building lmprovements lmprovements Other Than Buildings Equipment Library Collections

Total Accumulated Depreciation

Total Capital Assets, Being Depreciated, Net

Capital Assets, Net

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

NOTE 5: DEFERRED REVENUE Deferred revenue at June 30, 2010, consists of the following:

Prepaid Tuition and Fees

NOTE 6: LONG-TERM LIABILITIES Long-Term liability activity for the year ended June 30, 2010 was as follows:

Beginning Balance July 1,2009

Additions

Reductions

Ending Balance June 30,2010

Current Portion

Other Liabilities Compensated Absences $ 902,886.84 $

704,656.58 $

571,615.96 $ 1,035,927.46 $

568,099.69

NOTE 7: NET ASSETS

Changes in Net Asset activity for the year ended June 30, 2010 was as follows:

Balance

July 1,2009

Additions

Reductions

Balance June 30,2010

Invested in Capital Assets Net of Related Debt

Restricted Net Assets

Unrestricted Net Assets

Total Net Assets
NOTE 8: RETIREMENT PLANS
Lanier Technical College participates in various retirement plans administered by the State of Georgia under two major retirement systems: Employees' Retirement System of Georgia (ERS System) and Teachers Retirement System of Georgia. These two systems issue separate publicly available financial reports that include the applicable financial statements and required supplementary information. The reports may be obtained from the respective system offices. The significant retirement plans that the Lanier Technical College participates in are described below. More detailed information can be found in the plan agreements and related legislation. Each plan, including benefit and contribution provisions, was established and can be amended by State law.
EMPLOYEES' RETIREMENT SYSTEM OF GEORGIA The ERS System is comprised of individual retirement systems and plans covering substantially all employees of the State of Georgia except for teachers and other employees covered by the Teachers Retirement System of Georgia. One of the ERS System plans, the Employees' Retirement System of Georgia (ERS), is a cost-sharing multiple-employer defined benefit pension plan that was established

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

by the Georgia General Assembly during the 1949 Legislative Session for the purpose of providing retirement allowances for employees of the State of Georgia and its political subdivisions. ERS is directed by a Board of Trustees and has the powers and privileges of a corporation. ERS acts pursuant to statutory direction and guidelines, which may be amended prospectively for new hires but for existing members and beneficiaries may be amended in some aspects only subject to potential application of certain constitutional restraints against impairment of contract.
On November 20, 1997, the Board created the Supplemental Retirement Benefit Plan (SRBP-ERS) of ERS. SRBP-ERS was established as a qualified governmental excess benefit plan in accordance with Section 415 of the Internal Revenue Code (IRC) as a portion of ERS. The purpose of the SRBP-ERS is to provide retirement benefits to employees covered by ERS whose benefits are otherwise limited by IRC Section 415. Beginning January 1,1998, all members and retired former members in ERS are eligible to participate in the SRBP-ERS whenever their benefits under ERS exceed the limitation on benefits imposed by IRC Section 415.
The benefit structure of ERS is established by the Board of Trustees under statutory guidelines. Unless the employee elects otherwise, an employee who currently maintains membership with ERS based upon State employment that started prior to July 1,1982, is an "old plan" member subject to the plan provisions in effect prior to July 1,1982. Members hired on or after July 1,1982 but prior to January 1,2009 are "new plan" members subject to the modified plan provisions. Effective January 1,2009, newly hired State employees, as well as rehired State employees who did not maintain eligibility for the "old" or "new" plan, are members of the Georgia State Employees' Pension and Savings Plan (GSEPS). ERS members hired prior to January 1,2009 also have the option to change their membership to the GSEPS plan.
Under the old plan, new plan, and GSEPS, a member may retire and receive normal retirement benefits after completion of 1 0 years of creditable service and attainment of age 6 0 or 3 0 years of creditable service regardless of age. Additionally, there are some provisions allowing for early retirement after 25 years of creditable service for members under age 60.
Retirement benefits paid to members are based upon a formula adopted by the Board of Trustees for such purpose. The formula considers the monthly average of the member's highest 24 consecutive calendar months of salary, the number of years of creditable service, and the member's age at retirement. Post-retirement cost-of-living adjustments may be made to members' benefits provided the members were hired prior to July 1,2009. 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 and disability benefits are also available through ERS.
Member contribution rates are set by law. Member contributions under the old plan are 4% of annual compensation up to $4,200 plus 6% of annual compensation in excess of $4,200. Under the old plan, the Lanier Technical College pays member contributions in excess of 1.25% of annual compensation. Under the old plan, these Technical College contributions are included in the members' accounts for refund purposes and are used in the computation of the members' earnable compensation for the purpose of computing retirement benefits. Member contributions under the new plan and GSEPS are 1.25% of annual compensation. The Technical College is required to contribute at a specified percentage of active member payroll established by the Board of Trustees determined annually in accordance with actuarial valuation and minimum funding standards as provided by law. These Technical College contributions are not at any time refundable to the member or his/her beneficiary.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

Employer contributions required for fiscal year 2010 were based on the June 30, 2007, actuarial valuation for the old and new plans and were set by the Board of Trustees on September 18, 2008, for GSEPS as follows:
Old Plan* New Plan GSEPS
* 5.66%exclusive of contributions paid by the employer on behalf of old plan members
Members become vested after 10 years of service. Upon termination of employment, member contributions with accumulated interest are refundable upon request by the member. However, if an otherwise vested member terminates and withdraws his/her member contributions, the member forfeits all rights to retirement benefits.
TEACHERS RETIREMENT SYSTEM OF GEORGIA The Teachers Retirement System of Georgia (TRS) is a cost-sharing multiple-employer defined benefit plan created in 1943 by an act of the Georgia General Assembly to provide retirement benefits for qualifying employees in educational service. A Board of Trustees comprised of active and retired members and ex-officio State employees is ultimately responsible for the administration of TRS.
On October 25, 1996, the Board created the Supplemental Retirement Benefit Plan of the Georgia Teachers Retirement System (SRBP-TRS). SRBP-TRS was established as a qualified governmental excess benefit plan in accordance with Section 415 of the Internal Revenue Code (IRC) as a portion of TRS. The purpose of SRBP-TRS is to provide retirement benefits to employees covered by TRS whose benefits are otherwise limited by IRC Section 415. Beginning July 1,1997, all members and retired former members in TRS are eligible to participate in the SRBP-TRS whenever their benefits under TRS exceed the IRC Section 415 imposed limitation on benefits.
TRS provides service retirement, disability retirement, and survivor's benefits. The benefit structure of TRS is defined and may be amended by State statute. A member is eligible for normal service retirement after 3 0 years of creditable service, regardless of age, or after 1 0 years of service and attainment of age 60. A member is eligible for early retirement after 2 5 years of creditable service.
Normal retirement (pension) benefits paid to members are equal to 2% of the average of the member's two highest paid consecutive years of service, multiplied by the number of years of creditable service up to 40 years. Early retirement benefits are reduced by the lesser of one-twelfth of 7% for each month the member is below age 6 0 or by 7% for each year or fraction thereof by which the member has less than 3 0 years of service. It is also assumed that certain cost-of-living adjustments, based on the Consumer Price Index, will be made in future years. Retirement benefits are payable monthly for life. A member may elect to receive a partial lump-sum distribution in addition to a reduced monthly retirement benefit. Death, disability and spousal benefits are also available.
TRS is funded by member and employer contributions as adopted and amended by the Board of Trustees. Members become fully vested after 1 0 years of service. If a member terminates with less than 1 0 years of service, no vesting of employer contributions occurs, but the member's contributions may be refunded with interest. Member contributions are limited by State law to not

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

less than 5% or more than 6% of a member's earnable compensation. Member contributions as
adopted by the Board of Trustees for the fiscal year ended June 30, 2010 were 5.25% of annual salary. The member contribution rate will increase to 5.53% effective July 1,2010. Employer
contributions required for fiscal year 2010 were 9.74% of annual salary as required by the June 30, 2007 actuarial valuation. The employer contribution rate will increase to 10.28% effective July 1, 2010.

The following table summarizes the Lanier Technical College contributions by defined benefit plan for the years ending June 30,2010, June 30,2009, and June 30,2008:

ERS

Required

Percent

Contribution Contributed

TRS

Required

Percent

Contribution Contributed

GEORGIA DEFINED CONTRIBUTION PL4N
Plan Description Lanier Technical College participates in the Georgia Defined Contribution Plan (GDCP) which is a single-employer defined contribution plan established by the General Assembly of Georgia for the purpose of providing 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 Board of Trustees of the Employees' Retirement System of Georgia.
Benefi3 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. If a member has less than $3,500.00 credited 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 of a member, a lump sum distribution equaling the amount credited to his/her account will be paid to the member's designated beneficiary. Benefit provisions are established by State statute.
The Employees' Retirement System of Georgia issues a financial report each fiscal year which may be obtained through ERS.
Contributions and Vesting Member contributions are seven and one-half percent (7.5%)of gross salary. There are no employer contributions. Contribution rates are established by State statute. Earnings are credited to each member's account in a manner established by the Board of Trustees. Upon termination of employment, the amount of the member's account is refundable upon request by the member. The Technical College's payroll for the year ended June 30, 2010, for employees covered by GDCP was $2,111,376.18. The Technical College's total payroll for all employees was $11,680,814.30.
Total contributions made by employees during fiscal year 2010 amounted to $158,210.04 which represents 7.5% of covered payroll. These contributions met the requirements of the plan.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBIT "D"

NOTE 9: RlSK MANAGEMENT
PUBLIC ENTITY RlSK POOL The Department of Community Health administers for the State of Georgia a program of health benefits for the employees of units of government of the State of Georgia, units of county governments, and local education agencies located with the State of Georgia. This plan is funded by participants covered in the plan, by employers' contributions paid by the various units of government participating in the plan, and appropriations made by the General Assembly of Georgia. The Department of Community Health contracted with United Healthcare to process medical claims and Medco to process prescription drug claims in accordance with the State Employees' Health Benefit Plan as established by the Department of Community Health.
OTHER RlSK MANAGEMENT The Department of Administrative 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 processes 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 are purchased applicable to property, employee and automobile liability, fidelity and certain other risks. The Technical College, as an organizational unit of the Technical College System of Georgia, 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 various state organizations by DOAS to provide claims servicing and claims payment.
NOTE 10: POST-EMPLOYMENT BENEFITS
The Technical College participates in the following State of Georgia post-employment benefit plans: the Georgia State Employees Post-employment Health Benefit Fund (administered by the Department of Community Health) and the State Employees' Assurance Department - OPEB (administered by the ERS System). Separate financial reports that include the applicable financial statements and required supplementary information for these plans are publicly available and may be obtained from the respective system offices.
Retiree health benefits were previously funded through the Georgia Retiree Health Benefit Fund (GRHBF). In 2009, the General Assembly revisited the GRHBF and enacted legislation that, effective August 31, 2009, separated the GRHBF into two new funds: the Georgia School Personnel Postemployment Health Benefit Fund and the Georgia State Employees Post-employment Health Benefit Fund. The purpose of this change was to assure employers responsible for planning and funding future retiree health costs that their contributions will be dedicated to their respective retiree populations. Funds in the GRHBF were transferred to the Georgia State Employees Post-employment Health Benefit Fund or the Georgia School Personnel Post-employment Health Benefit Fund as described in the plan financial statements. The statute that created the GRHBF is repealed effective September 1,2010.

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 2010

EXHIBlT "D"

GEORGIA STATE EMPLOYEES POST-EMPLOYMENT HEALTH BENEFIT FUND The Georgia State Employees Post-employment Health Benefit Fund (State OPEB Fund) is a costsharing multiple-employer defined benefit postemployment healthcare plan that covers eligible former employees of State organizations (including technical colleges) and other entities authorized by law to contract with the Department of Community Health for inclusion in the plan. The State OPEB Fund provides health insurance benefits to eligible former employees and their qualified beneficiaries through the health insurance plan for State employees. The Official Code of Georgia Annotated (OCGA) assigns the authority to establish and amend the benefit provisions of the group health plans, including benefits for retirees, to the Board of Community Health (Board).

The contribution requirements of plan members and participating employers are established by the Board in accordance with the current Appropriations Act and may be amended by the Board. Contributions of plan members or beneficiaries receiving benefits vary based on plan election, dependent coverage, and Medicare eligibility and election. On average, plan members pay approximately 25 percent of the cost of the health insurance coverage.

Participating employers are statutorily required to contribute in accordance with the employer contribution rates established by the Board. The contribution rates are established to fund all benefits due under the health insurance plans for both active and retired employees based on projected "pay-as-you-go" financing requirements. Contributions are not based on the actuarially calculated annual required contribution (ARC) which represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years.
The combined active and retiree contribution rates established by the Board for employers participating in the State OPEB Fund were as follows for the fiscal year ended June 30,2010:

July 2 0 0 9 August 2 0 0 9 - October 2 0 0 9 November 2 0 0 9 -June 2010

22.165% of covered payroll for August coverage 16.581%of covered payroll for September- November coverage
22.165% of covered payroll for December - July coverage

No additional contribution was required by the Board for fiscal year 2010 nor contributed to the State OPEB Fund to prefund retiree benefits. Such additional contribution amounts are determined annually by the Board in accordance with the State plan for other postemployment benefits and are subject to appropriation.

The following table summarizes the Lanier Technical College combined active and retiree

contributions to the health insurance plans for the years ending June 30, 2010, June 30, 2009, and

June 30,2008:

Percentage

Required

Fiscal Year

Contributed

Contribution

LANIER TECHNICAL COLLEGE NOTES TO THE FINANCIAL STATEMENTS
JUNE 30,2010

EXHIBIT "D"

STATE EMPLOYEES' ASSURANCE DEPARTMENT - OPEB
State Employees' Assurance Department - OPEB (SEAD-OPEB) is a cost-sharing multiple-employer defined benefit postemployment plan that was created in fiscal year 2007 by the Georgia General Assembly to provide term life insurance to retired and vested inactive members of Employees', Judicial (JRS), and Legislative (LRS) Retirement Systems, amended to exclude members of JRS and LRS hired on or after July 1,2009. Pursuant to Title 47 of the OCGA, the authority to establish and amend the benefit provisions of the plan is assigned to the Boards of Trustees of the Employees'and Judicial Retirement Systems.
Contributions by plan members are established by the Boards of Trustees, up to the maximum allowed by statute (not to exceed 0.5% of earnable compensation). The Boards of Trustees of the Employees' and Judicial Retirement Systems establish employer contribution rates, such rates which, when added to members' contributions, shall not exceed 1%of earnable compensation. For the fiscal year ended June 30, 2010, contributions of ERS "old plan" members were 0.45% of earnable compensation, 0.22% of which was paid by the employer. Contributions of ERS "new plan" members and of members of the Judicial and Legislative Retirement Systems were 0.23% of earnable compensation. There were no employer annual required contributions (ARC) for the fiscal years ended June 30,2010, June 30,2009, and June 30,2008.
- 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 expenses which are disallowed under grant terms. The amount of expenses which may be disallowed by the grantor cannot be determined at this time although Lanier Technical College expects such amounts, if any, to be immaterial to its overall financial position.
Litigation, claims and assessments filed against Lanier Technical College (an organizational unit of the Technical College System of Georgia), if any, are generally considered to be actions against the State of Georgia. 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 30,2010.
NOTE 12: NATURAL CLASSIFICATIONS WITH FUNCTIONAL CLASSIFICATIONS
The Technical College's operating expenses shown at the natural classification on the "Statement of Revenues, Expenses and Changes in Net Assets" are all classified as Instruction at the functional classification.
NOTE 13: AFFILIATED ORGANIZATIONS
The Lanier Technical College Foundation is a legally separate, tax exempt organization whose activities primarily support Lanier Technical College. This affiliated organization is considered a potential component unit of the State of Georgia in accordance with GASB Statement No. 39, Determining Whether Certain Organizations are Component Units. Theref0re, the financial statements of the affiliated organization are not included in these financial statements. Copies of the financial statements for the affiliated organization may be obtained from Lanier Technical College.

(This page left intentionally blank)

SUPPLEMENTARY INFORMATION

LANIER TECHNICAL COLLEGE BALANCE SHEET (NON-GAAP BASIS)
BUDGET FUND JUNE 30,2010
Cash and Cash Equ~valents Accounts Recelvable
Federal Flnanclal Assistance Other Prepald Expend~tures
Total Assets
LIABILITIESAND FUND EOUTY Liabilit~es
Salar~esPayable Payroll W~thhold~ngs Benef~tsPayable Accounts Payable Encumbrance Payable Deferred Revenue Funds Held for Others
Total Liabilities Fund Balances
Reserved Federal F~nanclaAl ssistance State Grants and Contracts Sales and Services L~veWork Projects Prlor Year Local Funds Continuing Education Technology Fees Uncollecbble Accounts Recelvable Tultlon
Unrese~ed Surplus Total Fund Balances
Total Llabilltles and Fund Balances
Actual amounts were prepared on a prescribed basis of accounting that demonstrates cornpllance wlth budgetary statutes and regulations of the State of Georg~aw, hlch is a cornprehenslve bass of accounting other than generally accepted accounting principles.

LANIER TECHNICAL COLLEGE SUMMARY BUDGET COMPARISON AND SURPLUS ANALYSIS REPORT (NON-GAAP BASIS)
BUDGET FUND YEAR ENDEDJUNE 30.2010

REVENUES
state Appropr~at~on State General Funds
Federal Funds Other Funds
Total Revenues
CARRY-OVER FROM PRIOR YEAR
Transfer from Reserved Fund Balance
Total Funds Available
EXPENDITURES
Adult Literacy Economlc Development Technical Educatlon
Total Expenditures
Excess of Funds Available over Expenditures
FUND BALANCE JULY 1
Reserved Unreserved
ADJUSTMENTS
Pr~oYr ear Payables/Expenditures Pr~oYr ear Receivables/Revenues Unreserved Fund Balance (Surplus) Returned
To Technical College System of Georgia Year EndedJune 30.2009
Prlor Year Reserved Fund Balance Included In Funds Available
FUND BALANCE JUNE 3Q
SUMMARY OF FUND BALANCE
Reserved Federal Financial Assistance State Grants and Contracts Sales and Services Live Work Projects Prior Year Local Funds Continuing Educatlon Technology Fees Uncollectlble Accounts Receivable Tultion
Total Reserved
Unreserved Surolus
Total Fund Balance
Actual amounts were prepared on a prescribed basis of accountlng that demonstrates compl~ancewlth budgetary statutes and regulatlons of the State of Georg~a,whlch 1s a comprehensive basls of accountlng other than generally accepted accountlng prlnclples.

BUDGET

ACTUAL

VARIANCE FAVORABLE (UNFAVORABLE)

LANIER TECHNICAL COLLEGE STATEMENTOF PROGRAM REVENUESAND EXPENDITURESBY FUNDINGSOURCE COMPAREDTO B U M R
(NONGAAP BASIS) BUDGET FUND YEAR ENDEDJUNE XI,2010

Adult Lnaracy ?.?era Appropriation State General Funds Federal Funds Amerwn Recovery and ReinvestmentAct of 2009 Federal Stabll~zationFunde W e r Federal Funds Orher Funds
Total Adult Literacy
E C O ~ OD~~I E~ e I o ~ r n e n t Other Funds

Orlglnal Appropnat~on

Final Budget

current yea? Re~cnues

FundsAvailable Compared to Budget

Prlor Year Carryover

Total Funds Available

varmance Posmt~ve (Negative)

- $

2,288,35600 $

- 2.168.00100 $

2.14882953 $

OM) $

2.148.82953 $

-19,171.47

TechnitBI EdUCatlOn Stete Apvropnat~on State General Funds Federal Funds Amencan Recovery and Relnvestmeni Act Of 2 W 9 Federal StabllorauonFunds Gther FederalStlmulus Omer Federal Funds Orher Funds
Total Technical Education
- Gland Totals All Programs

$

8.919.79000 $

7,084,03700 $

7,084,00100 $

000 $

7.084.007 00 $

0 00

521.355.00 0 00
869.140 19 7.422.177 94

1,632,858 00 513.479 00 870.764 18
8,722,959 42

1,602,858 00 10.479 00
724.944 09 8.194.933.57

0 00 0 00 0 00 448.984.87

1,602,858 00 10,479 00
724.944 09 8.643.9lE 44

OW 503.000 W -145,820 09
.79.040 98

$

- - 17,732,463 13 $

18,794,06760 $

17,617,22166 $

448.984 87 $ 18,066,20653 $

-727,861 07

$

20.263.319.13 $

-- 21,685,94511 $

20,488,76161 $

539,32027 $

- 21,028,08188 $

- -657.86123

Aotual amounts were prepared on a prescribed bas88 of accountlngthat demonstrates compltancewlth budgotarystatutes and reguat~onsof me StatedGeorgla vrhlch is a comprehenllve baas d acwuntlngother than generally accepted accounungwlnclpler

Expendlturer Compared to Budget

Varlance

Posltlve

Actual

(Negirtlve)

Actual Funds Available
Over/(Under) Expenaoturer

Prlor Perlod Ad~urtments

Other Adjustments

Program Fund
Balances

Transfers

program Fund salances

Reserve

Surplus

Tobl Fund Balance

1349 44 1 1g2 23150
258 903 46

8

2 14797340 $

P

9 650 56 7 530 50 2 846 54
20027 60 $

450 56 000
405 57
85613 $

OW

0 00

OM)

0 00

605 32

0 00

- 9212 $

000 $

450 56

0 W

OW

0 W

0 25

0 W

- 76401 $

OW 1

450 56 0 00 OW
45056 $

0 00 0 00 0 25
31345 $

450 56 OW 0 25
76401

Unexpendsble Reserves Uncollect~bleAmounts Recc~vsble

(This page left intentionally blank)

Totals per Annual Supplement
Accruals June 30.2010 June 30,2009
Compensated Absences June 30,2010 June 30,2009
Lag Salaries June 30,2010 June 30.2009
Agency Funds
Unidentified Variance

LANlER TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL
YEAR ENDEDJUNE 30,2010

SCHEDULE "4"

SALARIES

TRAVEL

SECTION II FINDINGS AND QUESTIONED COSTS

LANIER TECHNICAL COLLEGE SCHEDULE OF FINDINGS AND QUESTIONED COSTS
YEAR ENDED JUNE 30,2010
FINANCIAL STATEMENT FINDINGS AND OUESTIONED COSTS No matters were reported. FEDERAL AWARD FINDINGS AND OUESTIONED COSTS No matters were reported.