, ,,. I ( \ ' ' ' , " - , -,, ~ -' STATE OF GEORGIA (?EP_ARTMENT<;)F,AUDITS,4ND:ACCOUNTS. I \ I ..._. _,,, -' , ' J I ' , I \ J- - , I ; r ' ' ' ' ~ MANAGEMENT REPORT ', , I I . - ' ' ,' I' 'APPALACHIAN TECHNICAL COLLEGE -' ,. - JASPE~, GEORGIA ', \ J j ' '\ , AN _ORGANIZATIONA~ UNrr OF THE STATE OF GEORGIA YEAR ENDED JUNE 30. 2002 ' , ' , - '' 7 - Russell W. Hinton ' ' State Auditor I ' -' '' , APPALACHIAN TECHNICAL COLLEGE MANAGEMENT REPORT - TABLE OF CONTENTS - LETTER OF TRANSMITTAL SECTION I SELECTED FINANCIAL INFORMATION EXHIBITS A ANALYSIS OF CHANGES IN FUND BALANCE BUDGETFUND I B SCHEDULE OF FUNDS AVAlLABLE AND EXPENDITURES COMPARED TO BUDGET BUDGET FUND "A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION 2 C RECONCILIATION OF SALARIES AND TRAVEL 3 SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS R, ...,., I w. ""TO' STATE AUDITOP !A04) ~21 T4 0EPARTl\1ENT OF AUDITS AND ACCOUNTS ~"i--1- \VJ..,hmg:ton Street, 'i W. Suite :! 14 AtlJntJ, Georgia 10314-8400 December 19, 2002 Honorable Sonny Perdue, Governor Members of the General Assembly of Georgia Members of the State Board ofTechrucal and Adult Educanon Members of the Local Board of Directors and Honorable Nancy G Proffitt, President Appalachian Techrucal College Laches and Gentlemen As part ofour audit ofthe statutory basis financial statements of the State ofGeorgia presented m the State of Georgia Report of the State Auditor, the financial statements of the State of Georgia presented m the State of Georgia Comprehensive Annual Financial Report, and the issuance of a Statewide Single Audit Report pursuant to the Smgle Audit Act Amendments, as of and for the year ended June 30, 2002, we have performed certam audit procedures at Appalaclnan Techrucal College Accordmgly, the financial statements and compliance acttVJtles of Appalachian Techmcal College were exammed to the extent considered necessary m order to express an op1mon as to the fa1r presentation ofthe financial statements contamed m the foregomg documents and to issue reports on compliance and mternal control as rcqmred by the Smgle Audit Act Amendments of 1996 Tins Management Report contams mformanon pertinent to the financial and compliance act1vll1es of Appalachian Techmcal College as of and for the year ended June 30. 2002 The particular mformatlon provided 1s enumerated m the Table of Contents This report 1s mtended solely for the mformatlon and use of management and members of the Local Board of Directors of Appalachian Techmcal College and 1s not mtended to be and should not be used by anyone other than these specified parties Respectfully submitted, ~~Ak Russ I W Hmton State Auditor R\VH gp SECTION I SELECfED FINANCIAL INFORMATION APPALACHIAN TECHNICAL COLLEGE ANALYSIS OF CHANGES IN FUND BALANCE BUDGET FUND YEAR ENDED JUNE 30 2002 FUND BALANCE JULY 1 2001 Reserved Surplus ADDITIONS Adjustments to Pnor Yea~s Contracts and Accounts Payable Excess of Funds Available over Expenchturas Exh1b1t "Er" DEDUCTIONS Unreserved Fund Balance (Surplus) Returned to Georgia Department of Techrncal and Adult Education - Adm1mstrabve Central Office Year Ended June 30, 2001 Adjustments to Pnor Yea~s Accounts Recarvable Refunds to Granto111 Federal F1nanaal Assistance Georgia Department of Technical and Adult Educabon Admlmstrabve Central Office Other Reserved Fund Balance Carned Ovar from Pnor Year as Funds Available Other Deductions FUND BALANCE JUNE 30 2002 SUMMARY OF FUND BALANCE Reserved Federal Financial Ass1Stance For Refund to Granter Agency Georgia Department ofTechmcal and Adult EducallOn - Adm1mstrabve Central Office Other Lrve Work Protects PnorYearlocalfunds Surplus (Deficrt) - 1- EXHIBIT "A" "A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION $ 117,987 28 11951228 $ _ _ _~23~7~4"99=56= $ 26 490 07 102 068 59 $ _ ____.1"'28""5""5"'8-"66"- $ 119,51228 -21,597 03 1,922 07 15,228 95 98,265 81 42146 40 $ --~2,,,5,,5,.4"7-=8-'4=8 s_ _....:,1.:,:1O:a;5:,:.7,::.9.:,;74;;. $ 1,585 70 769 61 80,915 92 38 498 86 $ 121,770 09 -1119035 s ____11_0"'5"'1"'9"'1..4.. APPALACHIAN TECHNICAL COLLEGE SCHEDULE OF FUNDS AVAILABLE AND EXPENDITURES COMPARED TO BUDGET BUDGET FUND "A" DEPARTMENT OF TECHNICAL AND ADULT EDUCATION YEAR ENDED JUNE 30. 2002 EXHIBIT "B" FUNDS AVAILABLE REVENUES State Appropriation Federal Revenues Other Revenues Retained CARRY-OVER FROM PRIOR YEAR Transfer from Reserved Fund Balance EXPENDITURES Capital Outlay Personal Serv1ces-lnstrtut1ons Operabng Expenses-lnsbtubons Adult Lrteracy Grants Excess of Funds Available over Expendrtures BUDGET ACTUAL VARIANCEFAVORABLE (UNFAVORABLE) $ 3,463,725 00 $ 3,463,725 00 $ 1,437,566 00 1,109,721 07 1,350,400 00 1,297,121 84 $ 6,251,691 00 $ 5,870,567 91 $ 000 -327,844 93 -53 278 16 -381, 123 09 000 98,265 81 98 265 81 $ 612511691 00 $ 5,968,833 72 $ _ __c-2c.;:8c:2.:.:,8c:5,;,,,7.=2;:;_8 $ 56,000 00 $ 56,000 00 $ 3,497,177 21 3,436,314 53 2,080,256 79 1,756,911 73 618,257 00 617,538 87 000 60,862 68 323,345 06 718 13 $ 6,2511691 00 $ 5,866,765 13 $ _ __c3c,;:B4...c,:.:,9.=2;:;.5.;;,87"-- $ 1021000 59 s_~_1;.;;o;:;;2.:;os=0;;;s9~ -2 - APPALACHIAN TECHNICAL COLLEGE RECONCILIATION OF SALARIES AND TRAVEL YEAR ENDED JUNE 30. 2002 EXHIBIT "C" Totals per Annual Supplement Accruals June 30, 2002 Compensated Absences June 30, 2001 June 30, 2002 Agency Funds SALARIES s $ 3,241,318 29 TRAVEL 59,099 12 25000 -273,299 65 295,586 49 -225 14 -3- SECTION II AUDITEE'S RESPONSE TO PRIOR YEAR FINDINGS AND QUESTIONED COSTS APPALACHIAN TECHNICAL COLLEGE AUDITEE'S RESPONSE SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS AND QUESTIONED COSTS YEAR ENDED JUl\'E 30, 2002 PRIOR YEAR FINANCIAL STATEMENT FINDINGS AND QUESTIONED COSTS FINDING CONTROL NUMBER AND STATUS FS-840-00-0 I FS-840-00-02 FS-840-01-01 FS-840-01-02 Previously Reported Corrective Achon Implemented Previously Reported Corrective Action Implemented Previously Reported Corrective Action Implemented Previously Reported Corrective Action Implemented